$60 
THE TRDPIOAL AtSRICStn-TOmST. 
[February i, 1892. 
Further, it may be stated that, excepting for funcy 
trilling lots of gold and silver-tipped teas, priocs of 
which are artificial, it has been quite a rarity and a 
wonder to see a line of Ooylon tea knocked down in 
ublio sale above 2b as the bigbeal range of value fur 
eat qualitioB has mostly been from iBOd to Is lUd per 
lb and even at these rates the parcels of teas realised at 
one time and another have been comparatively few. A 
principal cause ot the larger proportion of inferior 
grades in this season's crop has been the continuous 
rains In Ceylon daring the gathering and manufac- 
ture ot the teas, which, besides adding to the difli- 
onlties of drying and withering the tea, have partly 
spoiled the quality of the same, and left in many 
gardens and estates little else but rubbish to bo ex- 
ported to England, From tho latest information we 
can glean, however, it is expected that these adverse 
conditions of preparing tea for the Condon market will 
soon be overoome, and if so a decided improvement in 
the assortment of Ceylon teas will probably follow, 
and then this branch ot tho trade will bo in a stronger 
position than over to compete with the low-prioed 
growths of India and Ohina- In the meantime stocks 
on this side are excessive, embracing U,9G6,0Ui) lb. 
ns contrasted with 8,505,000, lb, in December lost, and 
nntil the extonsivo surplua here apparent is worked 
down, quotations generally may bo reckoned to rule 
as mnoh as ever in favour of both retailors and cuu- 
sumers. — //. and C. Mail, Doc, 18tb. 
4 
THE REGULATION OF INDIAN TEA 
SALES. 
TO THE EUiTOll OV THE “UOME AND COEONIAL MAIL " 
Sir, — In tho letters addressed to yon by Mr. Shil- 
lingtou and “ Observer,” a subject has been broached 
wbiob seems to merit more thorough discassiou than 
it has yet rooeived. Prefacing what I have to say with 
the remark that my interests are bound up with those 
of produoors ns oloaoly as any man’s can be, and that I 
do not write with a ooutrovecsiai object, I will brielly 
analyse the substance of their last letters. 
In them, the following piopoeitiune are as- 
Bumed 
1, — That supplies of Indian tea arc being unduly 
forced on the market, 
2, — Tbal the value of tea would bo raised by reduoing 
tbo supply DOW, and roiorviug some of it for sale 
during tbo summer months. 
3 , Xhat it is possible for sellers to combine hero 
to regulate supply. . , . , . 
4 , That tbo brokers aro aDsworablo for tUie not 
boio^ douo. 
For propositions 1 aod 2 Mr. Shillington is 
responsible. His opinious always doservo ooneidera- 
lion ; but in this instanoo they do not accord with the 
judgmont of the greater Dumber of those oogaged in 
the trade, whether as importers or buyers. J,® a 
matter of common knowledge that eaou snooeeding 
year finds buyers less willing to take tea of the old crop 
after April, o r May at the latest. The loss to those 
who have hold for tho summer demand — whether pro- 
ducers, dealers, or speculators — is as well known as the 
reason for it is obvious — via., tho inflow of honvy sup- 
plies of fresh tea from Ceylon after March. The bear- 
ing of this iaso fully appreciated that in f uture every 
produoer of Indian may require his crop closed by 
April, just as every grower who sells in Oalontta elects 
to wind up his sales before March, if be can. 
This being so, tbo realisation of tbo great bulk of Ibo 
imports must take place between Soptombor and April. 
By tbo use of aimplo arithmotio, any one who knows 
wnat the total supply will be oau find that to disposo of 
the crop it is needful to sell some 40,000 paokagea per 
week from Uept. 1 onwards, aud a reference to tho 
oiioulat file will show that tbo average siuee that date 
has been not mote than 38,000 packages per week, 
Bnt apart from the arithmelio problem, ia it really 
the ease that prices can bo raised, except to the most 
temporary and trifling extent, by the prooess of feed- 
ing the market ? Surely the value Of a large article 
of cuouaetce like tea depends upon tbe relation of 
total supply to tho total requiremout. Those who 
think otherwise forget that in these days the buyers 
have tbo same opportunities of obtaiugiug informa- 
tion as tho sellers have with ri-apeot to supplies. 
They are able to cnloulste for themselves the proba- 
bility of exooss or deficiency ; they know how many 
chests arrive each day, and how much of it Is hold 
aud bow mneb sold. Nothing destroys tboir con- 
fidence in buying so mucli as the knowledge that sup- 
plies ate beiug kept back, haugiug like a olund over 
tho market ready to come dowu, as the rsiu does, it 
may be when least wanted. 
'Your oorrespondent “ Obsorvor,” having assumod tbo 
eoaudnesa of Shillingtou's propositions, adds to them 
two of bis own. Lot mo broifly examine them. He 
aaasnmcB that it ia possible for importers to act in 
concert. Those who have earnestly tried to elTeot 
this know tbe oxoeoding difSculty. Ouly a few weeks 
ago tbe brokers met in solemn oonolave, aud passeda 
resolution doolsring that it was desirable that ouly 
35,UU0 cheats per week sbonld be put on tbe market. 
What followed 7 Within a fortnight the maximum 
was largely exceeded. Why? Boeauss no maohinery 
eon be devised to carry out what is aimed at. Why 
not? Beoauso every importer wishes someone else to 
bob', in order that bo may soli to better advantage ; 
but as for holding oil himself, welt he is not quite 
sure that this would be wise ! — and so tho brokers’ 
deliberations ended in a farce. 
Now let us go B little deeper beueatb tbe surfaoo. 
Kun through tho namos of tbo groat agency houses 
which manage the affairs of tho industry ia Loudon, 
add to them the experienced managers and direc- 
tors of tho largo companies whose headquarters are 
here, and ^on will find among them men of tbo 
bighost business oapaoity and foresight — men who 
know how to manage their own affairs, and prefer 
to manage them in their own way, declining to limit 
their froedom of action by entoring into combinations. 
Is it for the broker to go to such men and say, 
“ We advise you not to sell, Messrs. A,, B., aud C. 
are oflering large quantities this week and next, hold 
your teas for awhile?” Why, Sir, any broker who 
did that would speedily find himself among the ranks 
of tho unemploy^, and deservedly so. A broker’s 
busiuess is to obey orders, and carry out his employor’a 
instiuctlona as honestly and cacefolly as bo can. Bo- 
member too, that onc-third of tbe supplies are im- 
ported by speculators who buy iu Oaloutta ; in no 
possible comhinatiou of products could they bo iuclndod, 
A frioud at my elbow suggests to me that I 
should say somothiog about ■' Ubserver’s ” warniug 
to tho brokers that if they do not succood iu raising 
the prioo of tea the importers may dispons. with 
tboir servioca aud ” broke ” for thomselvos ; but I 
am loth to refer to suoh au unoallod-for threat, 
oxoept to place it in the same category as another 
rumour which is current to the effeot that oortaiu 
enterprising firms are ouly seeking an excuse to add 
the functions ot growot’s agent to that of broker, and 
all for 1 por cent. ! May each prove tbo antidote to 
to tho other I Ne sutor ultra crenidam, said Apelles 
to the shoemaker who daubed bis wall with palot, 
and thought be was an artiet. Fortunately there aio 
still old-fashioned folks who respect tbo recognised 
boundaries of their several oalliugs ; but if the strugglo 
for exiatcnco is to be carried to such a point as ■■ Ubscr- 
ver” hints at, well, I suppose tho fittest will survive. 
Bateau '«e do nothing to help each other out of the 
ditch into which we have fallen together ? " Observer's” 
most vsluablo letter in your issuo of the ISth, points 
to one way ; let me indicate another. Loudon ia 
too large a place for combinations, bnt what is not 
feasible boro may be possiblo elsewhere, Uo to tho 
source aud fouptainhead, India ; and hero a dozen more 
or less conflicting home interests are concentrated in a 
siuj^Ie focus, and if oonoerted action be possiblo at all, 
unite not to manipulate supplies, but to sitorten the 
output. Lot us have the courage to face the facts 
We are sufTeriug from ovor-produotioui and if growers 
would agree to make 10 por cent, less tea in India 
anti in Ceplon, we should soon see a very different state 
of things. Too many were mislead by (he iofisted 
