It is scarcely possible to imagine, much less to describe, the disappointment which prevailed among the young supercargoes a few months after their arrival in South America, particularly among those who had orders not to sell the goods entrusted to them lower than the prices specified in their invoices.
They could scarcely awaken themselves from the chimerical delusion that their mind was filled with; they disbelieved every thing, and continued to write to their employers to send out more goods, thinking the riches they had so fondly anticipated must yet roll down in torrents from the interior. The heart-breaking letters of those who sent them out, expressing the most poignant distress for want of remittances, at length awakened them, and their sanguine expectations of incalculable riches, heaps of dollars, or bars of gold, began to vanish. Many of the inhabitants came to look at their stores, but few offered to buy; and, incredible as it may appear, yet it is true, that when goods were offered to them at half the original cost, they invariably exclaimed, “Very dear.” Scenes of this kind I have repeatedly witnessed, and could scarcely suppress my indignation at seeing goods thus depreciated, which a few months before were so eagerly sought after, and bought at ten times the amount. Gentlemen consignees so situated were at a loss how to act: the duties, rents, charges, and other expenses were high, and must peremptorily be paid; their only resource was to open a shop or room for the purpose of selling their goods by retail, as the inhabitants wanted them.
These young men most unfortunately had calculated upon doing business only in the large way, similar to our most opulent mercantile establishments: on their arrival they took the best houses, set apart their hours for morning rides and attending to business, for going to their country seats[81], and dinner-parties. The idea of vending by retail was a bitter which destroyed all their pleasing anticipations of doing business in style: they thought themselves merchants, expecting to sell at any price they pleased to ask, and to buy at what they thought proper to offer! and could not stoop to be shopkeepers; many of them, rather than yield to that, sent goods to auctions, and sold them at what they would fetch, thus rendering a ruinous account to their employers. Others with more prudence accommodated themselves to circumstances, and were not offended at being asked for a pair of boots or a hat. These persons reaped all the advantage of the trade, as they got their price by selling to those whose necessities prompted them to purchase, and were ever ready to sell by the package when opportunity offered. Many of these young men, it is true, have been deservedly much blamed by the consignors, who have expressed great dissatisfaction at their extravagant mode of living, and at their proceedings, both in the disposal of the property sent to them, and in the purchase of merchandize to return; these complaints were justly founded, though something may be said in extenuation of the former, not only on the ground of their want of knowledge, but the unexampled situation of affairs; for a respectable and useful clerk, however capable of copying an invoice, or attending his employer’s counting-house, must make a very poor figure so situated, being very incapable of ascertaining or stating the merits of manufactured goods, and still less qualified to purchase the staple articles and general produce of the country. These severe and grievous disadvantages frequently gave the Brazilians the double advantage of buying below the market-price, and of selling above it.
From these and many other unfortunate and disastrous circumstances, the trade could not fail to become gradually worse and worse; hence it is very natural to imagine that necessitous consignors, eager to see the riches which they had so long and so vainly anticipated, became more pressing for remittances. One disappointment succeeded another; remonstrances were made; and powers of attorney were at length sent out almost by cargoes; property was removed from one consignee to another, at great expense, but to no purpose. At home the greatest confusion prevailed for want of money, until that lamentable and unfortunate epoch, when the columns of the Gazette were filled with the names of those very respectable merchants, who, before those ruinous speculations, were in a state of affluence. Many of those to whom immense sums were entrusted, have not even yet returned to their native country.
Misunderstandings frequently arose between the English and the Portuguese, either in making contracts, or in not complying with them; and they were continually prosecuting each other for injuries which both parties professed to have sustained. These litigations might have terminated very expensively, if not otherwise seriously, had not the wise measures of the Juiz Conservador prevented the perplexities of legal proceedings. The appeals of the English were always heard; they were strangers whom His Royal Highness protected, and they ever found in the Conde de Linhares a firm and powerful friend.
In the Plata, the monied men bought very largely of the cargoes which first arrived, and were afterwards considerable losers by the overflow which took place, when men of less capital bought for ten thousand dollars, what a few weeks before sold for fifteen or twenty. In Rio de Janeiro the case was somewhat different; for the monied men thought the English manufactures inexhaustible, and therefore kept back their gold, leaving the trade principally to men of a secondary class, who bought with great caution, and sold very promptly, for fear of a further depreciation.
Having stated the ruinous consequences of sending out goods not saleable, it may be proper to point out the articles in general consumption, though even these may be sold at great loss, if the markets be overstocked, for trade must depend on the wants and necessities of the consumer. If an individual possesses seven or eight hats, as many coats, &c. it is unreasonable to suppose that he can want more, though he may be tempted to purchase, if offered at very reduced prices: but even that must have an end, and a trade must soon expire where one party is constantly the loser. This has been too generally the result of our late speculations in South America, into which people hurried without calculation or foresight.
Iron and steel are articles for which there is a general and constant demand. The smiths prefer Swedish iron, as they have been always accustomed to it, and do not know how to heat and work the English. The next article to be mentioned is salt, in which the Brazilians are by no means nice. It is made and loaded at one or two places on the coast, but that which is most esteemed comes from the Cape de Verde islands; that brought from Liverpool is generally used in the sea-ports. Common woollens, baizes, and some stout fine cloths, particularly blue and black, are generally worn; also kerseymeres. Cotton goods of almost every description, especially if low priced, meet with ready sale, as do German linens. Hats of all sorts, (particularly dress-hats), and boots and shoes of English manufacture, have of late been sold in great quantities; the leather is much preferable to that made in Brazil. Common and finer earthenware, and glass; some sorts of fine and coarse hardware, and some plated goods, as candles now begin to be used instead of lamps. Bottled porter, Cheshire cheese, butter, cheap furniture, tin-plate, brass, lead in various shapes, shot of all sizes, gunpowder, drugs, some philosophical instruments, books, low-priced paper, watches, telescopes, salt provisions, as hams, tongues, and barrelled pork, low-priced saddlery, and most of all, India and other goods fit for the African coast. Marble mortars, mirrors, and many fancy articles of less note. Silk and cotton hosiery, fashionable dresses for ladies, particularly fine stockings and shoes.
It is to be observed that the mother-country still continues to send oil, wine, brandy, linens, cottons, some silks, and a variety of articles of inferior consequence. India goods, consisting chiefly of cottons, are sent from the Malabar coast, and China goods are in great plenty. From North America are imported flour, salt provisions, turpentine, tar, staves, household furniture, &c.