Rise of the 1630s South America

Chapter 124 Bordeaux Situation ([-])

Sunday, June 1635, 6.Old Continent Bordeaux, sunny weather.

In Europe in the 17th century, people had to work even on Sunday.Ordinary people have no money to eat and drink if they don’t work, but the middle-class wives who are gradually getting rich due to various reasons often invite their friends on this day, and after getting dressed, they go to the street to buy some household needs. object.

And in France, where extravagance is gradually becoming popular, people's love for gorgeous goods is also increasing day by day.Since cotton cloth first became popular in the aristocratic circles, the middle class, who have been committed to imitating the living habits of the aristocrats, have worn all kinds of cotton textiles with a hundredfold enthusiasm: cloaks, burqas, underwear, skirts, trousers, Stockings, gloves, etc., and even tablecloths, curtains, bed sheets, etc. at home were replaced by cotton products.Especially in the warmer Gascony region, in addition to the new wool blended with silk and short wool, cotton products are even more popular, occupying the vast majority of the market share.

The consumption concept of the middle class is like this, and the petty bourgeoisie who have been imitating the living habits of the middle class are naturally no exception.They use all the little money they earn from hard work to buy luxuries such as cane sugar and tobacco leaves, as well as a large number of cotton products, so as to quickly approach the lifestyle of the middle class and at the same time strictly distinguish themselves from the bottom laborers. open.

The above aristocrats, middle class and petty bourgeoisie are the main force to buy cotton cloth.Of course, after the cheap and high-quality East Coast cloth starts to be sold, some ordinary laborers who have relatively spare money may also buy some.Based on their huge base, it is estimated that the total consumption of this part of the population will not be too small.

In the early morning of this day, in the cotton shop located in the bustling area of ​​Bordeaux city, close to the Pasquale family textile factory, two store clerks with solemn faces opened the door and announced the official start of the day's work.What is different from the past is that after they opened the store, they also hung a small blackboard at the door, which read in French "newly arrived east coast calico, price: 9 su 6 deniers (1 sou = 12 deniers)."

This price was the product of a compromise between Xu Xin and Old Pasquale and others after a lot of hard work.Originally, according to the meaning of the "comprador class" in the 17th century, the price of white cotton cloth on the east coast would be set at 10 sous, 6 deniers or 11 sous in order to grab high profits.However, under Xu Xin's arguments, the other party finally agreed to initially set the price of each piece of cotton cloth at 9 su and 6 deniers (less than 2.4 yuan), and then gradually adjust the price depending on the sales situation.

This price is a rare low price in the history of cotton cloth.Since the British introduced Indian cotton cloth to Europe at the end of the 16th century and the beginning of the 17th century, the price of cotton cloth has dropped from the initial high of two pounds per piece, but it still remained above 15 shillings at this time.Of course, if there is no intervention from the Taoist public, the price of cotton cloth will still gradually decrease, and then it will not set off another climax until the 17s, and the price will gradually rise to a maximum of 80 pound and 1 shillings per piece.

As soon as the price of cotton cloth was announced at 9 sous and 6 deniers per piece, the keen housewives took notice immediately.Surprised, they entered the store, picked up the East Coast calicos on the shelves, and took a closer look.

The breathability, lightness and toughness of East Coast cloth amazed these smart housewives. Some housewives who have used high-end Indian cotton cloth even thought that the texture of these white cotton cloths was no worse than those Indian cotton cloths. Less, maybe more than that.

Soon, in the expectant eyes of the shop assistants, No. 1 housewife asked to purchase two bolts of calico.She needs some tablecloths at home, and she thinks that the excellent texture of these East Coast cloths in front of her is obviously more suitable for this role. After all, she is a decent person now, and she should not use those rough local cotton cloths anymore.

"Madam, here is the cotton cloth you want." After paying 19 sous, the clerk wrapped up two bolts of cotton cloth graciously and handed it to the housewife in front of her.

After the first one went up to buy, there was a second one soon.The clerks also became busy from being idle at the beginning. They kept processing each customer's purchase request, and then packed the items, collected money and settled, and they were too busy.At this rate, they might be able to sell hundreds of cotton cloths in one morning.

Unlike the lively scene in the store in front, transactions are also going on in the warehouse behind the store, but these transactions seem a little quiet.Some cotton dealers who have had business dealings with the Pasquale family for many years have already heard the news. After carefully inspecting the quality of the goods, the eyes of these dealers are full of excitement.

The quality is better than Indian cotton cloth, but the price is only lower than the cheapest local cotton cloth, which means that they have greater profit margins.

On behalf of the Pasquale family and the bigwigs behind them, Julian reached an agreement with these dealers in the warehouse: the wholesale price of cotton cloth is 9 sous per piece, with 1000 pieces as a sales unit.Soon, these familiar dealers bought 10 horses.Many of them are not natives of Bordeaux. After they buy cotton cloth, they will transport the goods to other towns in Gascogne for sale. Therefore, the price of their goods is often higher than the local price of Bordeaux. It will be more than [-] sous per horse.

They earned 1 sou per bolt of cotton cloth, 1000 francs for 50 bolts, if freight was not counted.This amount is already quite a lot. According to the economic level at this time, if you have an annual income of 50 francs, you can be firmly in the ranks of the middle class in a super-large city known for luxury like Paris, and this is why these small and medium-sized businessmen highest possible position.

In one morning, more than 8200 pieces of high-quality East Coast cloth were sold, and the sales revenue was nearly 3700 francs.This is an astonishing figure, because it means that the gross profit of the new "comprador class" in Gascony represented by the Pasquale family has reached more than 800 francs, far exceeding that of the old Pasquale. The annual income of a handloom factory.

After such a calculation, Julian's face was filled with a smile: It's still easy to make money like this!The textile factory has been working so hard for a year, but it is not as much money as it has earned this morning. It seems that the dilapidated factory in my house can really be closed.Those workers who are willing to change careers to be shop assistants should ask them if they are willing to move their families to the east coast area. Whoever will work hard to run the factory in the future must be the biggest fool.

The store was closed at noon, and the clerks explained in every possible way and promised that the store would be open normally in the afternoon, which calmed down the customers who came in a hurry after getting the news.After a while, the store entrance finally became deserted.

Sales in stores have cooled down, but it doesn't mean that big transactions in warehouses will stop.As the news spread and spread, more and more people knew that the textile factory of the Pasquale family began to sell a kind of high-quality cotton cloth called "East Coast Cloth", and the price was lower than the average price of cotton cloth on the market. Two to three percent.

Some merchants scoffed when they first heard the news: the average price of local cotton cloth on the market is about 12 sous, if it is 9% to [-]% cheaper, the price will drop to [-] sous per piece, such a low price Who can make money?

Even for the cheapest low-quality Indian calico, the purchase price per piece is around 7-8 shillings, and after long-distance ocean transportation, the cost will rise to nearly 9 sous.In addition, several major European textile countries such as the United Kingdom, the Netherlands, and Italian states have begun to impose high tariffs on Indian cotton cloth. Although the textile industry in France is not very developed, it has followed suit and imposed a general import tax of 7.5% on Indian cotton cloth. .The Bordeaux local government also imposed an additional tax of 20% on each piece of Indian cotton cloth, making the price of even the lowest-grade Indian white cotton cloth exceed 14 sous per piece, and the price in rural areas was even around 15-16 sou.

Such a price and its not-so-leading quality have kept the sales of Indian cotton cloth in Bordeaux and even Gascogne region from beginning to end, with only a few thousand pieces per year. This is what the British East India Company has always regretted. things.For many years, the local cotton cloth market has been maintained in such a rigid and uncompetitive environment.And the local textile merchants in Gascogne are making their own money with peace of mind in such a semi-trade protection environment.

But the facts are facts after all. The Pasquale family has sold so many cotton cloths in the morning, so it is not difficult to find out.Soon, the latest news came through various channels.

The businessmen who learned the truth could no longer sit at the dining table and enjoy a sumptuous lunch. They all dressed up and then rushed to the Pasquale family's workshop.

The market balance that had been maintained for decades was broken, and East Coast cloth entered the market with an unstoppable momentum. Relying on its quality and cost advantages, there will be no suspense in sweeping the cotton cloth market in Bordeaux and even Gascogne.And all of these announced the arrival of a crisis for those local traditional handicraft workshops and traders.

At this critical moment, they must do something. Maybe it’s a good choice to dispose of their goods at a low price. It’s nothing to lose money. no tears.Of course, before doing this, they had to confirm the facts themselves.

(End of this chapter)