July i, 1897.1 
23 
THE TROPICAL AGRICULTURIST.! 
grass, most likely the former, — within or near 
the city, gives a return of R8 per month or 
K96 per annum for each acre ! Grass is, there- 
fore, six times more profitable than cinnamon. 
How are the mighty fallen ! 
Now, it seems that the Government — or rather 
the Government Agent, W. P. ?— had recently to 
lease 300 ajres of cinnamon a id 200 acres grass 
for a period of five years (1897-1902) and how 
this was done, can best hi learnt from our 
extract elsewhere. Suffice it to say, that while 
our contemporary estimates that the cinnamon 
should yield R24,000 in the five years and grass 
R96,000 or a total of R120,000, the 500 acres 
were at first, very nearly leased out for R20,000 ! 
But more sagacious counsels prevailed and the 
offer was raised to R55,000. Still, this is 
thought to be too low. But that depends. True, on 
the estimates. R65,000 will remain for the lessee ; 
but what about his looking after 500 acres of 
cultivation for five years and the risk incurred, 
year by year, of a failure of crop or failure of 
market in that time. We scarcely think the 
margin too great from this point of view. 
THE CEyLON & ORIENTAL ESTATES 
ICOMPANY, LIMITED. 
REPORT OF THE DIRECTORS. 
The Directors beg to submit the Audited Accounts 
for the year 1896. 
The Tea crop (including 23,088 lb. made from bought 
leaf) totalled 1,542,754 lb. against 1,332,142 lb. in the 
previous year. The average price of the Tea sold 
in London was 8 07d. per lb., against 8'44d. per lb. in 
1895, which depreciation is on a parity with that of 
the general average of Ceylon. The average exchange 
for the year was 14'68d. as against 13’Wd in 1895. 
There has been charged to capital during the 
year the cost of the half-share of Denegama estate, 
and a small purchase of land at Keenakelle together 
with the sum of £1,320 2s 3d for new buildings and 
machinery, and £2,634 19s 7d for planting and up- 
keep of new clearings. 
Upon renewals and repairs to buildings and 
machinery the expenditure was £1,125 13s Od, and 
this outlay has, as usual, been defrayed out of 
revenue, while £500 has in addition been written off 
for depreciation. A liberal expenditure upon manure, 
considerably in excess of any previous year, has 
also been charged to the working account, and the 
full advantage of this has yet to be experienced. 
The estates have been well kept up in every respect, 
and according to the most recent reports are looking 
promising. 
To provide funds towards payment of the second 
half-share of Denegama estate, an issue of £6,000 
of 44 per cent. First Mortgage Debenture Stock 
was m'vle on the 1st October last. The price ob- 
tained for the stock was £103, and the premium 
thereon has been applied in part payment of the 
legal expenses and stamp duties attending the con- 
version of the 6 per cent. Debentures into 44 per 
cent. Debenture Stock. 
Owing to the higher exchange and a lower market 
for tea, the profits for the past year are less than 
in 1895. This deficiency was further increased by 
reason of the small crop of coffee from the 120 
acres still in bearing on Keenakelle estate. The 
Directors are glad to sav that a better revenue is 
expected from this sou'ce in the current year, as 
also from the increase of crop from the cocoa now 
coming into bearing. 
In pursuance of the policy which the Directors 
have followed from the beginning, further small 
clearings of tea will be opened this year — in all about 
100 acres. 
The balance at credit of Profit and Loss Account, 
after paying all charges, including Debenture Interest, 
writing off £437 12s. lid., the expenses at tending the 
conversion of the Debentures, and £500 for depreciation 
of Buildings and Machinery, is £7,831 12s. 4d., and 
deducting therefrom the Interim Dividends paid in 
November last, there remains a balance of £4,945 3s 5d., 
which the Directors recommend be apportioned thus: — 
To Reduction of Debenture Issue 
Expenses Account .. .. £1,250 0 0 
To Payment of the Preference 
Dividend for six months to 3lst 
December 1896 (making 6 per 
cent, for the year), less tax .. 1,334 0 0 
To Payment of an Ordinary Divi- 
dend at the rate of 4 per cent. 
(making 7 per cent, for the 
year), free of tax . . . . 2,210 11 2 
To Carry Forward to next 
Account . . . . . . 150 12 3 
The Directors again desire to express their satis- 
faction with the work done by the Staff in Ceylon. 
Hugh Chapman, Secretary. 
Hugh C. Smith, Chairman. 
J. Huntley Thring, Managing Dir actor 
London, 24th April 1897. 
SCHEDULE OP ESTATES. 
c8 
O) 
H 
Name of ® 
Estate. ™ 
o 
Bogahawatte 541 
Le Vallon & 
Rajatalawa 1,216 
Denegama. . 
318 
Peacock Hill 
300 
Keenakelle 
(including 
Serendib 
and Keena- 
gashena) . . 
500 
Peradenia . . 
424 
Oodewelle . . 
442 
Osragalla . . 
320 
Wiltshire & 
Hampshire 
272 
Wangie Oya 
445 
Moralioya & 
Wilton . . 
218 
Pathragalla.. 
100 
O <D 
O <0 
C3 rQ 
<0 ri <0 
S § S 
Q =3 
<1 <1 
120 100 40 . 
. . 55 . . 
276 30 
c8 <0 
§ g 
^ g 
■3 a 
s.a 
<1 N 
o 
618 
2,358 3,579 
131 449 
192 492 
810 1,570 
747 1,171 
953 1,395 
129 449 
517 844 
122 567 
237 455 
319 725 
5,096 120 276 155 70 5 6,592 12314 
CEYLON AS.SOCIATION IN LONDON- 
REPORT OF THE TEA AND PRODUCE 
COMMITTEE MAY, 1897. 
The Committee has held six meetings during' the 
year. ° 
Special attention has been given to matters in 
connection with the public sales of tea in Mincing 
Lane so that the arrangements and conditions of 
the sales may as far as possible meet the convenience 
of buyers. 
The limits for small breaks wore extended to 18 
chests, 24 half chests, and 40 boxes, on 1st October 
last ; and these sales have since that date been of 
sufficient importance to attract buyers of every class. 
At one of the large Tuesday sales of Ceylon tea" 
in October last, some delay was caused by the inter- 
position between the large breaks and small breaks, 
of a sale of Java teas. On the attention of the Com- 
mittee of the Tea Bcolnrs’ Association of Loudon 
being called to this, a recommendation was issued 
by it to Java brokers to endeavour to induce their 
merchants to issue catalogues for Thursdays only. 
In J anuary last a circular was issued by the Tea 
Brokers’ Association of London announcing that, in 
accordance with a resolution carried at the annual 
