The Sun.
London, England, 1835-05-13 00:00:00

THE TEA TRADE.

Among the merchants connected with the tea trade the
change of Ministers appears to have caused considerable
apprehension, as doubts are entertained whether Mr. Spring
Rice will consent to a fixed duty, to which Sir Robert Peel
is said to have been all but pledged, particularly as the
necessity of it is made more apparent in every fresh arrival
by the conflict of opinion between the brokers and the
Government inspectors ; and what makes the change to
be at present more deplored is the uncertainty whether
any decision will be come to upon the subject before the
orders for next season are sent out. It might have been
expected that some time would elapse before the tea trade,
now divided into so many hands and scattered over eight
or ten ports, would become settled like other articles of
import, but the present feverish state of the market could
hardly have been contemplated, and can arise only from
erroneous calculations on the subject.
The East India Company have limited their sales to
4,000,000 of pounds quarterly, which extends them for
the remainder of their stock to eight quarterly sales from
this period, the first commencing in June next, and the last
being in March, 1837: so that they will have disposed of
the whole of their stock before the ships of the season
1836-7 begin to arrive. The consumption during the
above period may be safely taken at 36,000,0001 b.
for the first year, and 39,000,0001 b. for the second,
being together 75,000,0001 b., of which the East India
Company supply 33,000,0001 b., (present stock unsold
32,681, 1481 b.) leaving 42,000,0001 b. to be furnished by
de free trade, the imports of which, in round numbers, may
be stated to be, at the opening of the trade, 4,000,0001 b.;
the season 1834-5, according to the estimates of a house
at Canton, made from the quantity of tea brought down,
and remaining, and checked by the tonnage of the season,
26,000,000 lb.; ditto 1834-6, 26,000,0001 b., adding to which
the present stock of the Companp's tea sold, 5,000,0001 b.
makes 61,000,0001 b„ leaving 20,000,0001 b., or half a year's
consumption, when the ships of the season 1836-7 begin
to arrive, while the standing stock of coffee and other ar-
ticles of current use is nearer that of a whole year. The
plain question, therefore, is, who must take the place of the
company in keeping a standing stock—the merchant or the
wholesale dealer ; for speculators cannot be expected to
embark in an article of which their knowledge must be but
limited. The general feeling, however, appears to be, that
at present it must be divided between the merchant and
wholesale dealer, although the circumstance of a whole
year's supply of this article arriving at once, leads to the
conclusion that the dealer must ultimately hold a greater
proportion than in other articles. In either case it is stated
2d. per lb. would be ample interest for the outlay of capital,
while within a fortnight teas have fallen 4d. to 6d. per lb.
The price it is supposed will be still lower, leaving remu-
nerating profits to the importer and dealer, while the quan-
tity imported this season is represented as equal to the
Company's, and much fitter for use than tea which has been
from two to three years in the warehouse.