Archive for February, 2013

02/02/2013

* Earl Grey descendants sell English tea to China

Taking coal to Newcastle and tea to China!

Reuters: “An estate owned by descendants of the 19th century British aristocrat for whom Earl Grey tea was named is turning history on its head by selling English tea to China.

Wesley Goldsworthy picks tea leaves at the Tregothnan Estate near Truro in Cornwall January 14, 2013. REUTERS-Stefan Wermuth

The Tregothnan estate in the southwestern English county of Cornwall started selling tea from its tiny plantation in 2005 and last year produced about 10 metric tons (11.023 tons) of tea and infusions.

Although a drop in the ocean of global tea production, which the UK Tea Council estimated to be about 4.3 million metric tons, Tregothnan has found a niche for its products by trading on England’s historical reputation as a nation of tea-lovers.

“It’s unique. There’s no one else who’s growing tea in England and putting English tea on the market,” owner Evelyn Boscawen told Reuters.

The long history of immersing tea leaves in hot water for a refreshing drink is not lost on the son of the current Viscount Falmouth and a descendant of British Prime Minister Charles Grey, for whom the bergamot-flavored Earl Grey tea is named and whose Reform Act of 1832 sowed the seeds of modern parliamentary democracy and universal suffrage in Britain.

Chinese tea has been coming to Britain since the East India Company first imported it in the 17th century for consumption by wealthy aristocrats.

By the Victorian era, taking tea had become a regular ritual at almost every level of society from elaborate afternoon tea for the rich in country houses to tea and gruel for the working poor as depicted by author Charles Dickens.

But the Boscawens at Tregothnan are bucking the historic trend of tea flowing from East to West by beginning to export some of their wares to China and elsewhere.

“We do see China as an opportunity at the moment,” Boscawen said. “The Chinese are great lovers of buying exotic things from all over the world. Even if it might have come from China (originally).”

Tea, native to Asia, is not traditionally grown in Britain but can be cultivated outdoors at Tregothnan, which is situated in England’s southwest and benefits from an unusual microclimate similar to that of Darjeeling in India.

Less similar to India is the tiny scale of production at Tregothnan, which might be large enough to be considered a small Darjeeling tea garden, the English estate’s commercial and garden director Jonathan Jones said.

“We went into this right from the outset as being able to put the English into English tea,” Jones said. “We weren’t ever looking at being the new India or China, that’s ridiculous.””

via Earl Grey descendants sell English tea to China | Reuters.

See also: For all the Tea in China by Sarah Rose: the smuggling of and transplanting tea from China into India took several years to effect though eventually, British tastes turned to Indian tea in preference to Chinese tea.

 

02/02/2013

* Coming of age: China’s used car market outpaces new sales growth

This also means that tyre companies will be selling tyres to replace the original sets.  Invest in rubber company shares!

Reuters: “Used car sales in China grew faster than new car sales for a second straight year in 2012, and should account for half of all sales within seven years as the world’s biggest autos market matures.

People select automobiles at a second-hand market in Shenyang, Liaoning province December 10, 2011. REUTERS/Sheng Li

While new cars still outsold used vehicles by more than 3 to 1 last year, they are sputtering after a period of breakneck growth, and the potential for the pre-owned market to be the industry’s growth engine is prompting foreign automakers to open more used-car outlets.

A key target for them are buyers like Jiang Meng, a 32-year-old office worker in the southeastern city of Guangzhou, who this month went shopping for a sport utility vehicle, and hadn’t considered a second-hand car until she came across a used car dealer run by Nissan Motor Co’s (7201.T) local joint venture.

“I wanted an SUV, but I wasn’t sure of getting a used one until I stepped into the store. There are so many models and they offer a warranty,” said Jiang, who traded in her 2-year-old Nissan Tiida sedan for a 4-year old silver Qashqai. The deal cost her 25,000 yuan ($4,000). A new Qashqai is priced at around 189,000 yuan.

“The car was very clean inside and outside and it drives very well. Many of my friends thought it’s new,” she said.”

via Coming of age: China’s used car market outpaces new sales growth | Reuters.

02/02/2013

* Venezuela seeks $4 billion China loan, $2 billion Chevron credit

Reuters: “Venezuela‘s government and state oil company PDVSA are in urgent talks over a long-expected $6 billion in loans from China and U.S. energy giant Chevron that would help relieve the nation’s strained finances, sources close to the discussions said.

Workers stand in front of a drilling rig at an oil well operated by Venezuela's state oil company PDVSA in Morichal July 28, 2011. REUTERS/Carlos Garcia Rawlins

Oil Minister Rafael Ramirez said this week that PDVSA had no plans to issue any more dollar-denominated bonds, confounding widespread speculation that one was planned to address a chronic shortage of dollars for local businesses.

That has left the government in the OPEC member seeking other forms of financing, amid pressure to order a devaluation of its currency that would ease the pressure on its cash flow by providing more bolivars for every dollar of oil sales.

Its top priority is a deal agreed last year with China Development Bank for a $4 billion loan this year.

Venezuela has borrowed $36 billion from China in recent years – repaid with oil shipments – making Beijing the single biggest foreign source of funding for the country’s socialist government, according to finance ministry data.

But a source close to the talks told Reuters that the Chinese team wanted to toughen the terms of the deal.

“The Chinese have introduced a clause that the Venezuela team decided to reject,” the source said, without describing the proposed change. “That was holding things up until recently, but they are coming to an agreement on the amendment.””

via Exclusive: Venezuela seeks $4 billion China loan, $2 billion Chevron credit – sources | Reuters.

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