The Sun.
London, England, 1848-01-24 00:00:00

COMMERCIAL REPORT.

(From the Bengal Hurkaru Price Current of Dec. 7.)
The effect of the home commercial crisis on our
mercantile community has been most disastrous.
Painful as had been the previous rumours, and
gloomy the forebodings generally indulged in, the
reality exceeded the worst anticipations. Nine com•
mercial firms of this city have been compelled to
suspend payments, though in some instances not with-
out a confident expectation of being enabled ulti-
mately to meet all their liabilities. It has been
deemed desirable for the present to have the affairs of
most of these houses vested in trustees, for the benefit
of the concerned.

Such extended disasters—involving so many in
terests, and so widely spread in their effects—have, or
course, been productive of the most serious conse-
quences to the whole commerce of the country..
Credit and commerce were at once annihilated, and.
business in every branch reduced to cash transactions.
The acceptances of no European house could be dis-
counted in the Bazaar. The whole mechanism of our
trade, internal and external, was for the time alike un•
hinged, and all engaged in business endeavoured to
curtail their operations.
There wer• serious apprehensions of the crisis ex-
tending to the Bazaar. It is, however, satisfactory
to state that the effects there have been less important
than might have been expected from the discredit at-
taching to all agency drafts, and the loss and incon-
venience experienced by the holders of paper on the
houses that have been compelled to suspend payments.
The healthy action of the trade with the interior has
for the time been impeded; bat should the accounts
by the steamer at all tend to the revival of confidence,
the interruption is not likely to be otherwise than
temporary, unless the money market should become
much more tightened,

It was nearly a week after the receipt of these event-.
ful tidings before the excitement which they pro-
duced allowed of almost any resumption of business.
The export trade was dull, and holders being naturally
rather anxious sellers, the market tended to a lower
scale of prices. Latterly, however, there has been
more inquiry, although business has not been resumed
to any considerable extent, and the demand has been
confined to a few staples. The inquiry has been
chiefly for remittance purposes, and would probably
have been more considerable, were it not for the
scarcity and dearness of tonnage.
The indigo season has scarcely opened, only one
sale of consequence having been made. Sugar has
latterly engaged more attention, a slight decline in
prices inducing remitters to purchase more freely.
Silk remains neglected,:and Combs, though now large
in stock, find no buyers. Saltpetre is taken freely
for America, and sales for England and France to a
moderate extent have also been made. There is some
demand for tonnage for the new rice crop, but little
of the grain has yet come to market. Jute sells
largely. Linseed is rather higher. There is a fair
demand for America for other staples, as lac dye,
hides, ginger, gunny, bags, &c.
The first opium sale of the season was held on the
29th November, and passed off very quietly, afford-
ing a remarkable contrast to the proceedings at the
opening sale of last year. The drug sold dearer than
had been expected, the average of Patna being
1,020r5., the lowest price it has been sold at in a
Government sale since June, 1842, when the average
was 881 rs. The market has since been quiet.
The import trade has been inactive. The whole
system by which the commerce of the interior is
carried on is disorganized by the general prostration
of credit. There has also been a natural expectation
that holders would in some degree be compelled to
force their goods on the market, which has not, how-
evee, as yet been the case. For cottons the demand
has been languid, but rather more disposition to buy
has latterly been apparent. Of mule twist some large
sales were made soon after the arrival of the mail,
and for the season a fair inquiry has been maintained.
Woollens are in rather less request. For metals_ the
demand has been less brisk, and sales have been un•
important.
It is a favourable circumstance in the present state
of affairs that the money market is still in a compara-
tively easy position. There is, however, much caution
shown on all sides, and no disposition to loan out
funds except on undoubted and tangible security..
The Bank of Bengal rates of business are unaltered,.
and it has been announced that loans would be
granted by the Bank on deposit of opium scrip.,
practice now revived after having been some years
in disuse. The position of the Union Bank in con-
nexion with the recent failures created much anxiety
and was the subject of many rumours. Shares which
under the pressure of a run upon the bank had sunk
to 200 to 250 rs. per share, have since advanced to
270 to 300 rs. per share.
Exchange transactions have been limited in. extent,
and though there is still a considerable range of
quotations, the rates' have latterly been rather more
settled at ahout the following for six months' sight
paper:-Ist Class with docts., is. 10/4. to Is. lid.
per rupee; Ist ditto without ditto, ls. 11d. to ls. 'lid.
ditto ; Baring's Am. credits, is. 11id. to is. Hid.
ditto. Tonnage has been scarce, arrivals coining in
slowly. The rates of freight have consequently been
well maintained. For sugar and rice 61. 10s. tn 74.
have been paid to London and Liverpool.