, 1874-05-06

of Martinique aud Guadeloupe. Within the
last six years an amount of capital exceed
ing 1900, 000I. has been expended there in
factories erected under this system, and from a
return kindly furnished me by the Governor of
Martinique, it appears that of the twelve Gem
trail Factories in that Island that are owned
by Companies, eight, established at a cost
varying from 31,200l., to l00,0002., began
work in and since 1871.
In all these factories the principle on which
the business is conducted is the same. The
sugar-canes are purchased by weight from the
neighbouring planters, the factory carrying
them from the place of growth either by tram
way or by a water-service of lighters and
9team-tugs.
Tue canes are for the most part supplied
under agreements for terms of years. The
price paid is the cash value, according to the
current market rate, of a fixed percentage of
the sugar known as bonnie q~atri6me. This is
the quality of sugar made under the old system,
which is of less value than that made by the
factory by about IA francs per cWt. The
amount of the above percentage varies, the
highest being 6 and the lowest 5. The two
factories first established in Martinique, the
"FranG lis" and the "Lareinty," were f3rtu-
nate enough to have obtained these contracts at
Iu6 y PEI C6IlJ. Idle1 Out Il6 Otl6FS nave DGen
compelled to offer higher terms. The majority
now pay the 6 per cent. rate: and it has
been shown by experience that even that high
rate is consistent with large profits to the
purchasing factory.
Thus find from the above returns that the
Marin" factory, which pays exclusively the
6 per cent. rate, made a net profit of I6I. los.
per cent. in The first year of operations (l87I),
and 81 per cen. in the second year (I872)
These profits are the more remarkable, mas
much as the factory which obtained them is
the smallest yet established under the system,
and manufactured in the first of the above
years only 740 tons ofsugar, and in the second,
1858 tons.
AS payment for canes usually far exceeds in
amount all other working expenses, and as the
5 compared with the 6 per cent. rate involves
of course a saving of One-sixth in this item, the
profits of the factories having the advantage of
the lower rate should ~(c9teras parj6us) be very
large. AS thty in fact have been.
Unfortunately one of the only two factories
coming under this category in Martinique is in
private hands, so that [ am unable to publish
the amount of profits earned. These, however,
may be inferred to be large, from the fact that
the lessees have established three other factories
with an aggregate capital of $685. 900 %francs),
Of which they have the management, and hold q
large proportion of the shares.
The other ive-per-cent factory, the Fran
co.'s" being owned by a Company, its profits
are published. These have heen as follows -
In 1867 (the first year of operations), 10 per
cent in 1868, % per cent. in 1869, 48 per
cent in 1870, SO per cent. in 1871, SO per
cent. in 1872, 35 per cent.
The shares of this factory, of which the par
value is 500 francs, were at the time of my
departure in June last, at 1850, and the shares
of all the 81 per cent factories that commend
ed operations previous to this year were at a
high premium, though The normal rate of in.
terest in the Island is very high.
With respect to Guadeloupe, which is COM
paratively distant from my Government, I
have 40 information beyond what is contained
in the Report of the Commissioners appointed
in 1872 to inquire into the Central Factory
System by the Government of the british
Confederated Leeward Islands. This report
contains abundant evidence that in Guadeloupe,
as in Martinique, the Central Factories have
been profitable to all concerned.
l quote as a specimen the concluding re-
marks respecting the "Usine D. Arboussier,"
which, as the Report states, pays the 81 per
cent. rate, and which, though it cost ZIG, 0OOL.
(having incurred great expense for its water
supply, was enabled to declare a dividend of
81 ner cent in the third wear of its axistanca