Affairs of the East India Company: Appendix A (5) No. 1

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A. (5.)

Papers relating to the Cultivation of COFFEE, COTTON and TOBACCO in INDIA.

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No. 1.- Papers relating to the Cultivation of Coffee in the East Indies.

(1.) - Extract of a Revenue Letter from the Bengal Government to the Court of Directors, dated 29th June 1826, respecting the Permission granted to Europeans to hold Lands on Lease for the Cultivation of Coffee.

46. On our Proceedings of the annexed Dates is recorded our Correspondence with the Board of Revenue in the Lower Provinces, relative to certain Applications which had been received from Individuals for Permission to hold Land for the Formation of Coffee Plantations.

47. Your Honourable Court will observe, that the Board were decided in their Opinion as to the Expediency of encouraging the Speculation ; and with reference to their Sentiments regarding the Fitness of the Soil of India for the Cultivation of Coffee, (founded, to a certain Extent, upon practical Experience;) the low Rate, compared with the Produce of other Countries, at which it is expected that Coffee, the Growth of our own Provinces, may be brought into the Market; the rapid Extension of Consumption which this Cheapness would induce; and the great National Importance, both to England and India, of the Creation, eventually probable, of a new Article of Export from the latter Country, we were disposed fully to concur with them; and the Disposition to enter on such Speculations being greatly influenced by the Abundance of Capital at the Moment, which might not long continue, it appeared to be important to lose no Time in sanctioning the proposed Arrangement.

48. We have accordingly, as your Honourable Court will perceive, embodied in the Form of a Resolution the Rules under which respectable Individuals, properly authorized to reside in India, shall be permitted to rent Land for the Cultivation of Coffee, it being indispensable, from the Nature of the Cultivation, that the Grower should enjoy a Lease of considerable Length. By the Provisions above referred to, we have, we trust, sufficiently provided for the Protection of all Interests connected with the Soil or Revenue, and we do not anticipate that any Evils can possibly arise from the Indulgence which we have deemed it expedient to shew to the first Adventurers in a new Branch of Agricultural and Commercial Speculation.

(2.) - Minute of Mr. Trower, Member of the Board of Revenue at Calcutta, dated 25th March 1823.

After a deliberate Consideration of the Two Applications transmitted by Government for the Consideration and Report of the Board of Revenue for the Lower Provinces, relative to Permission to hold Lands for the Cultivation of Coffee, I am of Opinion that one of them may, without Hesitation, be complied with as unobjectionable, and that the other at once be rejected.

It does not appear to me necessary that, in the event of the Indulgence solicited being granted, any material Alteration in the existing Rules relative to Europeans holding Lands, in Farms or by Purchase, should take place. By Section 3, Regulation 38, of 1793, Europeans are prohibited from purchasing or renting Lands out of Calcutta, without the Sanction of The Governor General in Council; and in Section 5 of the same Regulation, the Rules to be observed when this Sanction is granted are laid down.

It is sufficient therefore for the Government, on the present or in all future Applications of this Nature, to grant or refuse the Indulgence solicited, without the Necessity of a general Revocation of existing Rules, or of assigning any Reasons for the Decision they may think proper to pass.

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It has been observed, that the Indigo Planters have often fruitlessly prayed for this Indulgence, and that there can be no doubt that the Encouragement of the Cultivation of Indigo (considering the Question as a National Advantage) would be attended with much more extensive Advantages than can be expected from the Cultivation of Coffee. Without entering into the Question of the comparative Advantages to be derived from the Cultivation of Indigo and Coffee, I shall observe, that I do not think the Cultivation of Indigo would be benefited in any degree by the Permission to Europeans to occupy Lands as Proprietors or Farmers. Indigo so greatly impoverishes the Soil, (unless in Lands subject to annual Inundation,) that the Planters are compelled to seek new Lands every second or third Year. No Indigo Planter, therefore, would apply for Permission to purchase Lands, or to hold them on a long Lease, for the exclusive Purpose of cultivating Indigo; and that they should hold them on any other Grounds, and be placed on a Footing with the Natives, is in many Accounts highly objectionable. It is a Fact well known to every Judge and Collector in Bengal, that Indigo Planters are even now in the habits of compelling Ryots to receive Advances for the Cultivation of Indigo, contrary to their Interest and Inclinations; and if this is now done whilst the Planters have no authorized Influence in the Villages surrounding their Factories, how much more would it be done when they became Proprietors of the Lands, or held them in long Lease. I mention these Circumstances in order to shew that there are great Objections to extending the Indulgence under Consideration to Indigo Planters, and that it is not necessary for the Improvement or Encouragement of the Cultivation of the Plant so to do; whilst in regard to the Cultivation of Coffee a long Lease is absolutely necessary. The Coffee Plant is at least Four Years before it arrives at Maturity, and it continues to flourish for a Period of Twenty Years or more. It is therefore evident that the Cultivation of Coffee through the Agency of Agreements with the Ryots, in the same Manner that the Indigo Cultivation is carried on, could never be effected.

The Attempt to introduce the Cultivation of Coffee in India, so as to render the Produce equal in Quality to that now brought into the Europe Markets, requires ample Funds and a certain degree of Agricultural Experience. It will be Five or Six Years before its Equality to that now used in Europe can be decided on; and if it proves inferior, the Speculation would not, I conceive, be carried on. It must therefore at present be considered quite experimental; and, under these Circumstances, I do not think it likely that numerous Applications for similar Indulgence will be made for some Time to come; and even though they should, it rests with Government to grant or reject them.

It is observed in Mr. Secretary Mackenzie's Letter, that the Object appears to be one of National Importance, and that his Lordship in Council is naturally disposed to afford to those who shall first embark on the Undertaking every proper Encouragement. On these Grounds the Application of Messrs. Wallick and Gordon appears to me to be highly deserving of his Lordship's Support, as embracing both pecuniary Funds and agricultural Experience, which may be considered essentially necessary to secure Success. It is for Permission to hold One thousand Beegahs of Land for a Period of Twenty Years, and states that the preliminary Arrangements in regard to Rent have already been entered into with the Proprietor, and appear to me in every respect unobjectionable. It is to be presumed that the Application is for Lands at present untenanted by Ryots, in which Case no other Rules would appear to be necessary than those already in force under Section 5, Regulation 38, of 1793. If, however, there should be Ryots residing on the Land, and who have hitherto cultivated Parts of it for their own Use under Pottahs held from the Proprietor, I am of Opinion that Messrs. Wallick and Gordon should bind themselves by a heavy Penalty not to compel the Ryots to cultivate Coffee in opposition to their Wishes, and that all Engagements entered into with Ryots should be registered, or Copies deposited, in the Collector's Office.

The Application of Mr. Locke should, I think, be rejected, as it solicits Permission to purchase Lands; if it had been for the Farm of Lands for a stated Period, I think there would have been no Objection to its meeting with his Lordship's favourable Support.

W. Trower.

Revenue Board, 25th March 1823.

(3.) - Resolution of the Government of Bengal, passed 7th May 1824.

1. As far as a Judgment can in such a Case be formed until Trial be made, there appears to be abundant Reason to conclude that the Cultivation of Coffee may be successfully prosecuted in this Country on an extensive Scale, and that the Article may indeed be produced at a Cost considerably below that which the lowest Prices hitherto known in the Market would amply reimburse, while at the same Time there is scarcely any thing of which the Consumption is likely to experience so large an Augmentation in the event of any material Reduction of Price.

2. The Extension of the Export Trade of India is an Object of the highest Importance both to England and to India, and the Introduction of a new Branch of Trade, such as that in question may eventually become, would be a great National Benefit. The Speculation appears, therefore, to be one which is in a high degree worthy of the Support of Government. From the Nature of the Case it is indispensably necessary that those who undertake it should have an assured Tenure in the Lands appropriated to the Cultivation for a considerable Period of Time; and although it is to be expected and desired that the Natives will before long enter on the Speculation, and be guided by the Example set to them in the Conduct of it, yet, to its early and successful Introduction on a large Scale, it appears to be essentially requisite to allow Scope to European Enterprize and Intelligence.

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3. The Land required in each Case will, it is probable, admit of easy Demarcation, although, in the lower Parts of Bengal at least, it may not be found practicable to procure a sufficient Extent of suitable Ground without some Intermixture of Land applicable only to other Purposes; and his Lordship in Council would hope that little Difficulty will be experienced in providing for the satisfactory Adjustment of all Claims, and the effectual Protection of all Rights, attaching to Land to be used in the Cultivation of Coffee, or otherwise necessarily included within the Limits of the Plantation.

4. For this Purpose, however, and especially for the Protection of the Ryots and the Security of the real Interests of the Speculators, it appears to be necessary to prescribe some special Rules to be observed before any Lands shall be occupied by Europeans, that the Arrangements concluded by them with the Owners and Occupiers of Land should be certified by the Collectors of the Districts, and that the European Planters should be held subject to the Awards of those Officers in all Matters touching the Payment of Rent, the Adjustment of Boundaries, and the like, with an Appeal, of course, to the Board of Revenue.

5. It appears to be for several Reasons desirable that the Tenure of the European Planters should be that of Leaseholders, not that of Proprietors of the Land. As to the Terms of the Lease, it seems to be unnecessary to lay down at present any general Rule.

6. With the above Sentiments, his Lordship in Council is pleased to resolve, That Europeans of Respectability, being Persons, of course, duly licensed as to Residence, shall be authorized to take Leases of Land for the Cultivation of Coffee, under the following Conditions and Restrictions:

7. Persons desirous of establishing Coffee Plantations shall, in the first instance, apply for the Permission of Government to do so, stating the District in which they propose to have the Establishment, and the Quantity of Land they wish to include in their Plantations, and each of them. Such Applications to be submitted through the Secretary to Government in the Territorial Department.

8. When Permission is granted, the Parties shall submit to the Collector of the District a detailed Statement of the Lands which they desire to occupy, and of the Terms which they may have settled with the Owners and Occupants, including every one whom they may know to possess an Interest in the Lands; this Statement shall be in English, Persian, and Bengallee, if in Bengal; and in English, Persian, and Hindostanee, if in Behar or in the Western Provinces; and in English, Persian, and Orysa, if in Cuttack.

9. The Collector shall cause to be published on the Land desired to be taken, or in the nearest Haut or Village, and shall likewise stick up in his Cutchery, an Ishtahar, notifying the Contents of the Application, and requiring all Persons who may desire to submit any Representation in the Matter to come forward in Person, or by Vakeel, within the Period of One Month.

10. Any Representations which may be made to the Collectors in consequence of such Notice will be duly investigated by him, and the Result recorded in a regular Proceeding.

11. If the Result of such Investigation shall appear to him to render objectionable the Establishment of the proposed Coffee Plantation, the Collector shall report the Circumstances to the Board of Revenue, and be guided by their Instructions as to his further Proceedings.

12. At the End of the Period fixed in the Ishtahar, if there shall not appear to be any Objection to a Compliance with the Application of the Party, the Collector shall either proceed himself to the Spot, or shall depute the Pergunnah Canongoe, or other Aumeen, to measure and mark off the Land proposed to be appropriated as a Coffee Plantation, and to take from the several Parties interested therein the necessary Deeds in favour of the Planter, and from the Planter the requisite Engagements in favour of the Parties.

13. When the whole is concluded, the Collector shall submit his Proceedings to the Board of Revenue, who, if satisfied that all Claims have been duly attended to and properly adjusted, will finally confirm the Arrangement.

14. Persons licensed as above to hold Lands will, of course, be chargeable with all Expences attending the Measurement and Demarcation of the same, and the other necessary Investigations.

15. Lands occupied by Khoodkasht Ryots or other Cultivators, enjoying a hereditary Right of Occupancy, must not, of course, be transferred without the Consent of those Persons.

16. Where the Rents may be receivable by a Talookdar or other Middleman coming between the Ryots and the Zemindar or Sudder Malgoozar, the Right of the latter to object to the Arrangement will depend on the Nature of the intermediate Tenure; but, in general, it is the Desire of Government, that no Lands should be taken by Europeans unless all Parties possessing an Interest in the Soil or in the Rents shall consent to the Arrangement.

17. Europeans permitted to hold Lands as above must bind themselves to submit to the Award of the Collector of the District, subject only to Appeal to the Board of Revenue, in all Matters relating to any Rent or other Consideration demanded from them on account of the Land occupied by them, as well as in all Disputes touching the Possession of the Lands, or any Wells, Watercourses, Tanks, Reservoirs or the like.

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18. The Coffee Plantation shall be liable to Sale by the Collector in Satisfaction of any Award passed by him, if not otherwise satisfied, within such Time as may be appointed by the Board of Revenue, to whom in all Cases requiring recourse to Sale a Reference shall be made.

19. If any European licensed to occupy Land for a Coffee Plantation shall violate the Engagement into which he may enter, or shall usurp or violently disturb the Possessions of his Neighbours, or shall be otherwise guilty of any Act in breach of the Peace, The Governor General in Council reserves to himself the Power of cancelling the Licence, and of directing the Interest possessed by the Offender in the Plantation to be sold.

20. The Board of Revenue will be authorized to take such further Security as they may deem necessary; but, in general, his Lordship in Council would presume that the Plantation itself will afford sufficient Security. Parties who may suffer in consequence of the Annulment of a Planter's Licence will also have their Remedy in a Suit in Court.

21. It will frequently, his Lordship in Council presumes, be necessary to include in the Planter's Possession a certain Quantity of Land on which Coffee cannot be grown, besides Tanks and the like; and the Plant requires the Shelter of other Shrubs or Trees, which may at the same Time be otherwise turned to Profit. A certain Latitude is therefore necessary, but the Board will see that it is not abused.

22. It will, of course, be the Business of the Collector to see that an adequate Rent is paid for all Malgoozaree Lands included in a Coffee Plantation; and the Tenure will be secured from the Operation of a Public Sale for Arrears of Revenue under the Provisions of Section 31, Reg. 2, of 1822.

23. When a Lease may be taken from a subordinate Talookdar, the Planter must take the Precaution of making the superior Holder or Holders Parties to his Engagement, that he may be secure from the Consequences of Default on the Part of the Lessor.

24. Subject to the above Provisions, his Lordship is pleased to authorize Doctor Wallick and Mr. Gordon to hold the Land for which they applied. They will be referred to the Board and the Collector for the final Adjustment.

25. Mr. Lock's Application to purchase 1,000 Begas of Land is deemed inadmissible.

Ordered, That a Copy of the above Resolution be sent to the several Boards of Revenue and to the Commissioner in Cuttack, in order that the several Collectors subject to their respective Authority may be instructed accordingly.

(4.) - Extract of Revenue Letter from the Court of Directors to the Government of Bengal, dated 10th September 1828, in reply to the Letter from Bengal of 29th June 1826.

20. We think with you that there is sufficient Ground for expecting beneficial Results from encouraging the Cultivation of Coffee in Bengal. As the Rules you have established appear to us to provide for the Protection of all Interests connected with the Soil or Revenue, the Measure has our full Approbation.

(5.) - Extract of a Letter from the Court of Directors to the Government of Bengal, dated the 8th of July 1829, directing that Government to adhere to the Terms of their Resolution of 7th May 1824.

The Permission granted by you in 1824 to certain Europeans to hold Portions of Land on Lease, for the Purpose of making the Experiment whether Coffee could be advantageously cultivated in Bengal, cannot and must not be drawn into a Precedent. The Duration of the Leases granted even for that Purpose we deemed unnecessarily long; but as the Quantity of Land applied for was limited, and a doubtful Experiment stood in need of peculiar Encouragement, we, by our Letter of 10th September 1828, sanctioned the Indulgence which you had thought expedient to grant. We also considered that the Case of Coffee was peculiar, a considerable Outlay being necessary to form the Plantation, and a Number of Years elapsing before it yields any Return. A certain length of Tenure is required by these Circumstances for the profitable Cultivation of Coffee; but these Circumstances do not exist with regard to Indigo. The Cultivation of Indigo is annual; and a single Year, or at most a few Years, will indemnify the Cultivator for the Expence he has incurred. We observed that at the Time of granting the Leases for the experimental Cultivation of Coffee, a strong Line of Distinction was drawn, and very properly, by the Officers of your Government, between the Case of Indigo and that of Coffee. By the Minute of Mr. Trower, under Date 25th March 1823, we see that the Utility of any Lease to the Cultivator of Indigo was altogether denied.

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We direct that all the Rules laid down, and all the Securities provided by the Resolution of Government, dated 7th May 1824, shall be strictly observed in the Case of every Permission granted to an European to hold Land on Lease for the Purpose of Cultivation.

Under these Securities we do not object to your granting Permission to Europeans to hold Lands on Lease in their own Names, for the Cultivation of Indigo and other Agricultural Products.

The length of the leases must in all Cases be regulated with reference to the Nature of the Cultivation, and must not be greater than may be necessary to afford the Undertaker the Prospect of a fair Remuneration for the Capital he may expend. The Leases must not in any Case exceed the Duration of Twenty-one Years, without a previous Reference to us, and our express Approbation.

It is not less important in the Case of the Transfer of Leases than in that of the original Grant, that Government should be satisfied in regard to the Respectability and good Character of the Individuals who are to hold them, and therefore the Permission of Government must be rendered necessary to every Transfer of a Lease held by an European.