About thirty years back, a large quantity of Madeira used to be imported at Calcutta, by the Company, in pipes of extra-measurement, for the use of their servants. Sometimes nearly a thousand pipes arrived during the course of the season; being of prime quality, and laid in by the Company’s agents at Fonchall, it always sold well at the annual auctions: six hundred rupees was a common average. For some time past, the Company have, generally speaking, declined this trade, which was of extensive convenience to the residents at Bengal, and must be supposed to have paid them amply for their outward tonnage, while the returning tonnage was always at liberty to receive investments for the Europe market. The cause of this relinquishment has been attributed to various circumstances; but, I believe, is to be found in that immense supply which, at the close of the war in 1782, glutted the markets for some seasons. Until that date, the Company had nearly monopolized the trade, there being no competitors of consequence, though the speculation was open to all; but its excellence, which seemed to offer full seventy pounds for every pipe, that cost perhaps only twenty-five, or thirty, on the Island of Madeira, induced the French, Portugueze, and some English speculators, to embark on vessels under Imperial colors, and to become rivals in a trade which could not bear extension beyond certain narrow limits. All could not be supplied at Fonchall; therefore Teneriffe, and other inferior wines, were substituted; whereby the depreciation even of the best genuine Madeira was enhanced, and it fell, in consequence, full fifty per cent. Of late years, very little of the latter has found its way to India; the produce of the island being almost wholly required for the Europe market; but the merchants in that quarter have found out the way to _doctor_ the inferior wines of the neighbouring isles, so as to sell them at a good price, under the captivating titles of ‘London Particular,’ ‘London Choice _Particular_ Particular,’ &c. &c.
The low price to which Madeira fell, (for, in 1781-2 it had been so high as two thousand rupees per pipe,) made a great change in the affairs of some adventurers, who had anticipated the golden harvest with which they were to return to Europe. The general effects were highly beneficial, as the greater portion of persons settled in Calcutta, &c., were enabled to purchase large quantities; which, being kept in _godowns_, (warehouses and cellars,) gradually improved in that hot climate, and, after a few years, became highly valuable. Many gentlemen availed themselves of the low state of the markets to supply themselves abundantly; some purchased from forty to sixty pipes, and thus secured to themselves a supply of capital wine, for many years consumption, at a certain price.