Art. III.--TRADE AND COMMERCE OF CINCINNATI IN 1853.

WE again have the pleasure of transferring to the pages of the Merchants' Magazine, (a corrected and authentic copy of which has been forwarded to our address by Mr. Smith of the Cincinnati Price Current,) the elaborate "Review of the Trade and Commerce of Cincinnati, for the Commercial year ending August 31st 1853, as reported to the Chamber of Commerce, and published in the Cincinnati Price Current, by RICHARD SMITH, Esq., Superintendent of the Merchants' Exchange." We commenced the publication of this series of reviews of the Commerce &c., of Cincinnati, in the Merchants' Magazine for October, 1851, (vol. xxv. pages 429-445,) and that of New Orleans, which is made up for the Price Current of that city with equal care and fidelity, a few years earlier. The Chamber of Commerce in Cincinnati, we repeat, deserves the thanks of the commercial and industrial community throughout the country, for their efforts to diffuse correct and reliable information relating to the Trade and Commerce of so important a portion of our country.

ANNUAL STATEMENT OF THE TRADE AND COMMERCE OF CINCINNATI FOR THE YEAR ENDING AUGUST 31st, 1853.

In presenting our annual review of the Commerce of Cincinnati, for the commercial year just closed, it affords us great pleasure to be able to repeat the congratulary remarks of two former reports, with reference to the general prosperity of our city and country, as regards the commercial, agricultural, and manufacturing interests. In particular branches of trade, severe reverses were experienced during the year, but this was owing altogether to speculative movements, based upon incorrect estimates as to the extent of leading agricultural products. Had the over-sanguine feeling which led many into operations that proved most disastrous, been suppressed, we should have been able to report the result of the season's business in every branch of trade, as satisfactory. As it is, we are gratified in being able to state that, notwithstanding the heavy losses experienced in the provision trade, but few failures occurred, either in this city or the West. This may be attributed partly to the fact, that the favorable course of trade for two or three years previous, had greatly increased the real capital of operators, and in part to the unusually heavy purchases made early in the season, when prices were high, by eastern dealers. A very large proportion of the stocks passed into the hands of the latter, upon terms that afforded a profit to packers, and thus a majority of Western city dealers made a profit upon the season's business, while a full share of the losses was sustained in the seaboard cities.

But as regards the general prosperity of the country, our remarks need no qualification. Agricultural interests, which underlie all other interests, have, upon the whole, been highly prosperous. Manufacturers have been employed to the utmost extent of their ability, and the employer and the employee receive alike the most ample remuneration for their industry. Laborers of all classes have been in great demand in every section of the country, and at advanced wages constant employment has been obtainable. The rich treasures of California which have been, we may say, almost literally showered in upon us, have remained within, and been diffused through the country to a greater extent than in any former year. Our foreign export trade has largely increased. The only dark feature in the Commerce of the country is the extaordinary heavy imports. But these having been paid for, so far as payment has been required, by produce and railroad bonds, the precious metals were not drawn upon to as great an extent as last year, when imports were greatly less than during the past season,

and the disastrous results which have heretofore usually followed excessive imports, have, at least, been postponed. There are those, however, who have fearful forebodings as to the future, and hence the money market is found to be extremely sensitive, temporary pressures occurring without an apparent cause. As regards the present, however, the commercial sky is bright, and the horizon does not present a dark spot. It may be well to keep an eye to the future, and the commercial system will doubtless require occasional disturbances in monetary affairs to check the expanding tendencies of the present age; but there is certainly now no ground upon which to base an apprehension of the near approach of what is so much dreaded in the mercantile world-a commercial crisis.

In our prospective remarks in last year's report we took occasion to say, from the fullest information then in our possession, that the hog crop would show an increase of fully fifteen to twenty-five per cent over that of the preceding season, and that prices would open at or over five dollars. The increase in the number of hogs packed, as shown by our report made up at the close of the year, and corroborated by subsequent movements of products, was precisely twenty-four per cent. Prices opened at $5 15 to $5 25, and thus it is seen that our views, both as regarded quantity and the opening price, were correct. We also took occasion to remark, that in view of the light stocks of old products that would be in the market at the commencement of the packing season of 1852-3, dealers generally considered that the business would make a profit for the packers at $5. Had prices ruled between $5 and $6, these expectations would undoubtedly have been realized; but the extreme high figures at which the greatest portion of the hogs packed were purchased, increased the number of hogs, by inducing farmers to sell closer than usual, while the high prices that were demanded for products early in the season, checked the regular consump tive demand. By reference to our table of prices, elsewhere presented, it will be seen that the average range of prices for hog products during the year has been high, and the demand has proved equal to the supply. The losses sustained by operators, therefore, have not resulted from an unwarrantable decline in prices, or a falling off in the demand, but from the payment of exorbitant prices for hogs. Farmers were more than amply remunerated, and prices that would have paid a profit to packers, would also have made a good profit for feeders. As matters turned out, and taking the business as a whole, the profits were altogether on the side of the latter.

The prospects for an increased foreign demand for breadstuffs at the close of the last commercial year, were rather unsettled, but no great improvement was anticipated. The demand, however, proved much better than during the preceding year, and this, with receipts at the United States ports that showed no increase, but in many instances a falling off as compared with the preceding season, sustained the currency for both wheat and flour at a point above the average for the last year. The average for flour in this market the past year was $3 82, and for wheat 74c.; while last year the average was $3 10 for the former and for the latter 60 cts. The prospects for a good crop of corn, at the close of the last commercial year, were favorable; but an unusually wet fall operated injuriously, and the yield in the Western country was in quantity below an average, while in quality much of it was inferior; and this, with the high price of hogs, which induced farmers to feed freely, caused prices to rule comparatively high during the year, notwithstanding the farther falling off in the foreign demand; the average being 43 cents against 304 for the previous year. It is somewhat remarkable that the average and extreme prices of the article during the year, have been higher than in the European famine year of 1846-7, when the exports from this port reached 258,000 sacks; although our exports the past year comprised only 59,132 sacks. The exports of flour, wheat, and corn, to Great Britain and Ireland, from September 1st to August 15, a period of eleven-and-a-half months, show an increase in flour and wheat, and a decrease in corn, as compared with the corresponding period last year. The following are the figures:

The receipts at this port show a falling off in flour and wheat as compared with last year, and a slight increase in corn. The receipts at tide-water show a falling off in the aggregate of flour and wheat, and when we remember that last year's wheat crop was a full average, we are forced to the conclusion that the surplus of old wheat in the West is larger than usual.

With reference to beef cattle, we remarked that it was very evident that high prices would be sustained. This opinion was based upon the known com. parative scarcity of stock, and high price of hog products. By recurring to the reported currency of the past year, we find that prices ruled between $4 50 and $8 00 per 100 lbs. net; nothing over $6 75, however, having been paid for packing purposes. But $5 50 to $7 50 has been the leading range for home consumption.

Regarding the general condition of the country, but with special reference to the agricultural and laboring classes, as highly prosperous, we took occasion in our last review to predict an unusually heavy consumptive demand for groceries, hardware, dry goods, and all the leading luxuries and comforts of life; and by reference to our tables of imports and exports, it will be seen, as far as they exhibit the movements in specific articles, that the expectations then entertained have been realized in their fullest extent. The payments by country merchants during the year indicate an increased supply of money in the interior, and the promptness with which liabilities have been discharged, augurs well for the future.

A brief prospective glance, with reference to our leading western staples, will close this branch of our general remarks.

We have, in accordance with our custom, endeavored to obtain from various parts of the Western States, reliable information with reference to the crops and other matters connected with the agricultural interests of the country. From the advices so far received, we draw the following conclusions:-Wheat has proved a fair average crop both as regards quantity and quality, and the stocks now in the country, including the surplus from previous years, are large, and will prove equal to any demand that is at all likely to be experienced. Oats in this section were light, while in other places, especially farther West, the crops were heavy. Taking the whole West, the yield may be set down at two-thirds of an average crop. The yield of barley was heavy. Potatoes, two-thirds of a crop. Hay light in Ohio, Kentucky, and a great portion of Indiana, and the surplus for export will be smaller than usual. Corn looks exceedingly well, and with a favorable fall, the yield will be from a full average to one-fourth exIn some places the yield per acre will be below an average, but in almost every section there was an increased breadth of land planted. Of hogs, the supply is from one-fourth to one-third greater than last year. The quality is in some places better, and in others not so good as at this time last season; but taking altogether, it may be regarded as a fair average. Beef cattle are everywhere scarce, dear, and in demand, and there cannot, in any event, be an average supply. Farmers are increasing the stock as fast as possible, but it will be at least three years before we may expect the usual supply of beef.

cess.

With regard to the prospect for prices of Western produce, we may remark that it is decidedly favorable to the interests of the producing classes, as every article, with the exception of hogs and corn, promise to rule higher than last year. The condition of the European corn trade is quite different from what it was at this date last year; and is such, according to present indications and representations, that we may expect a greatly increased demand from Great Britain for our cereals. Crops in England, as represented by the best authority, will not prove more than half an average yield. In France, the crops are also short, and instead of exporting grain, that country will be a competitor of England in

the United States and Continental markets; and should the pending Russo-Turkish difficulties result in a European war, the demand for breadstuffs would be still further increased; but without reference to peace or war, we are likely to experience a demand from abroad for more than the usual quantity of wheat and flour. One fact, which tends to strengthen this opinion, and which has no reference to the crops, is the improved condition of the laboring and mechanical classes, resulting from a general advance in wages. The effect of this favorable change is shown in the consumption of the leading articles of food. The consumption of wheat and flour for the month of July, according to the board of trade returns, was as follows:

The quantity of wheat entered for consumption for six months was 2,065,366 quarters, against 1,056,410 quarters in the corresponding six months of last year. The following comparison shows the position of prices in this market and in Liverpool, at the dates annexed::

Flour, Ohio......

Cincinnati, Sept. 1.
1852. 1853.

Liverpool, Aug. 20.
1853.

1852.

21s.

28s. 6d.

While, therefore, there is nothing to warrant the belief that prices will rule unusually high either in this country or in Europe, there is very good reason to look for an increased export trade, and the realization of paying prices, as compared with the cost of production. Corn, in the event of present expectations with regard to the growing crop being realized, is expected to decline materially from current rates.

The feeling with regard to the market for hogs is unsettled, and it is difficult to arrive at anything conclusive with reference to even the opening prices. The fact that the crop promises to be one-fourth to one-third larger than last year, causes packers to move very cautiously. No contracts have been made for several months, except for some lots for early delivery, which are to be shipped East, alive. Feeders seem to have made up their minds to be satisfied with $4 00 per 100 lbs., net, and should this figure be realized the full crop will be sold, but in the event of lower prices, a greater number will be retained in the interior. It is therefore evident, we think, that prices will govern the supply to some extent; and that at $4, a crop at least one-fourth larger than that of last year, may be calculated upon. The question, then, for packers to decide, is, whether, with such a supply of hogs, prices of products can be sustained throughout the season at a point that will justify the payment of $4 as the first cost of the article. Some months ago it seemed almost certain that the stock of products to go over to the next season would be large, but the indications now are that the supply will be pretty well reduced before the incoming of the new crop. The foreign demand has been for two or three months past, and is still, very good, and the home consumptive demand is large, although the consumption of two months has been lost in the extreme South, in consequence of the early commencement and extreme severity of the yellow fever. The following comparison shows the range of prices in this market on the 1st of September this year and last:

As already remarked, the trade in Groceries and General Merchandise has greatly increased since our last annual report. This is attributable chiefly to the

rapid extension of the various railroad lines of which our city is the great center; and as roads continue to be pushed forward, our trade with the interior must continue to increase and extend.

In our last annual report we took occasion to notice the movement that was being made with reference to the construction of a new canal round the Falls of the Ohio, at Portland. A very strong but unsuccessful effort was made to obtain an appropriation from Congress for this purpose. Our business men and capitalists, being fully aware of the advantages that would result to our city from having a canal of ample dimensions; and of the great injury that our Commerce is sustaining, in consequence of the contracted dimensions of the present improvement; and almost despairing of securing favorable action on the part of the General Government; have taken steps to secure the construction of the work, as a private enterprise. Notwithstanding the numerous railroad outlets that have been created, our river Commerce is rapidly increasing; and it must continue to increase in a still greater ratio, as produce from portions of the interior, through which new lines of railroads have been constructed, connecting with our city, will be poured in upon us with increased abundance; and a corresponding increase will be experienced in the receipts of Groceries and General Merchandise that will be required to supply the rapidly extending area of country, of which our city, from her natural position and railroad conveyances, is the great center. Railroads cannot compete with water, in the conveyance of freight; and to the river our merchants must therefore continue to look, as the great inlet and outlet for our commerce with the seaboard cities and foreign countries.

So great has been the increase in the railroad enterprises in which our city is directly interested, that we are compelled to devote a larger space than usual to this branch of our report. We will, however, notice the several roads as briefly as possible.

The business on the Little Miami Railroad has continued to increase, both as regards freight and passengers. The Company are now constructing a second track. The following is a comparative statement of the earnings of the road, for twelve months ending July 31st:

The Company is now working the Cincinnati and Hillsboro' Road, to Hillsboro', under a contract with the latter Company. The Cincinnati, Wilmington and Zanesville Road is also furnishing business to the Little Miami Road, the former being completed from Wilmington to Morrow, on the latter.

Business on the Cincinnati, Hamilton and Dayton Railroad has also largely increased during the year, and the present condition of the Road, and its connections with other roads, completed and in progress, warrant us in predicting a further increase in the receipts, during the ensuing year. We will refer to the several roads that will, when completed, contribute a large amount of business to the C., H. and D. Road. The Richmond and New Castle Road is expected to be finished to the latter place by the first of November. The Indiana Central Road, from Richmond to Indianapolis, will be completed by the middle of