Phenix gazette. [volume] (Alexandria [D.C.]) 1825-1833, 1831-06-25
FLOUR TRADE OF PENNSYLVANIA.

Flour that this Wheat is principally, exported.
The -four trade is carried on somewhat III the
following manner:
The cultivation of grain being one of the most
important branches of Pennsylvania industry
the Legislature have thought proper to impose
certain regulations flor the sake oil alfording
stability to the commerce in this article) with
which the exporters Of flour are required to
comply.
The -four must be packed IN barrels or half
barrels of uniform weight and size: the former
1856 pounds or cwt. Slr. independent of the
weight Of the barrel. BY this regulation, every
purchaser knows the precise quantity he buys;
and the size of the barrels being uniform, adapts
them to advantageou, stowage, IN the holds OF
ship, &c.
The Hour must also undergo the inspection
of an officer or his deputy; whose daty is to see
that the -four is of standard quality; and this Ut
icer puts his certificate Of appreciation on the
barrel. by placing III it plug on which IS stamp
ed the letters S. P. the initials OF STATE Of Penn
syLrunia. This strikes Us as too obscure deSlg-
nation.
The millers, in nearly all cases, bny the wheat
from the farmers; and when ground. send the
Hour to be sold by factor; ii est, in more mo-
dern language, a commission merchant. Anu
bakers and shipping merchants buy OF this factor.
The factors have large store-houses, frequently
holding quantities sufficient TO load "a vessel Or
two Of considerable burden.
The sales to bakers aud domestic consumers
are generally for cash, or on short credit. To
aud unless specially otherwise agreed on at
the purchase,) interest is added and included
in the promiSsory note.
mil! al n
selling at the market price. without regard to the
prospect of rise or fall; directing their factors
accordingly. The great body Of the millers re-
sign their sales to the discretion of the commits
sion inerchant--who is anxious of course, to &C
quire renDwm tor getting high prices. The high
prices at which flour was sold during the French
| revolutionary wars will long be In the memory
of all engaged in the flour trade; and then it was
the necessities of armies and the interruption OF
industry, the ordinary course OF commerce,
which caused rise in the price of -four. up to
II dollars per barrel. And now whenever news
arrives Of prospect of war in Europe, or a fail
ure in the crops, our factors, in their eagerness
TO exhibit their superior discernment, act as if
they foresaw that the market had not yet reach
ed its maximum; the II dollars per barrel again
enters into and disturbs the imagination, and they
invariably demand price higher than the foreign
market justifies. Now, the orders that come 10
Philadelphia are either confined to certain IL
nit, virtually to be regulated by the price of
the article in the consuming market. Conse-
quently the agents of foreign merchants being
prevented from purchasing, and our own pru
dent merchants not venturing to purchase at
such price, the sale is lost to the milers, and
the effects extend to the whole community. 1t
is true that, from this course the flour bought
E. L. ,.ll
vanced price; but it will be seen presently, that
this extra price is not II profit to the miller, and
that the operation proves injurious to the farmer
The miller, on being advised Of the advanced
price of -four, is induced to give more for wheat;
and his new stock of -four therefore costs him
more money. At the same time, his agent has
checked the sale Of the article, and it acculnu-
lates in the market. A reduction takes place:
sales are languid, and at reduced prices: and but
for the portion sold for home consumption, the
miller would have been loser, by the very oc-
currences, which, if judicously used to advan-
tage, would have brought him great profit.
In the next place, all the flour that would have
gone to the foreign market, remains at home to
gut our own. and njure the sale of the CROP
lowering IFS price, and checking the productive
powers of the farmer
If the market were regularly cleared, there
would be a proportionate activity among the pro-
ducers; improvements in agriculture would ad.
vance, more land would be cultivated; CONNER
cial circulation eniyened ard extended; and the
beneficial effects extend TO every member Of the
community.
The consequences of brisk, trade upon indiyi.
dual prosperity are the same, whether the com
modites have been the product Of the field, the
ocean, or the mandatory.
The erroneous practice Of our factors benefits
no one. The miiier. as we have seen, loses as
much by the fail in the price OF Hour, as he gain
ed by the fictitious rise, which inevitably follow
these errors.
The farmers chance cf gain IS in proportion to
his unsoid stock on hand when the rise takes
place. But all that he may have gained is lost
BY the effects @! large stack being on hand when
his next crop come to marhet.
The consumer has to pay an advanced price;
for which he may, it he chooses, indemnify him.
sell afterwards, by purchasing, at a reduced price
and eating an article that has deterorated in qua
lity, by age.
In the end, it will be found that the principal I