"What? Germany asks Brazil for coffee pricing rights!"
Tangning told Deputy Foreign Minister Shamal in an unbelievable tone that he could not imagine that Germany would actually make such a request.
"Yes, Your Majesty."
Deputy Foreign Minister Shamal handed the telegram sent by Tony about the situation in Germany, Europe, led by the inspection team to His Majesty King Pedro III.
"Your Majesty, Wilhelm II, said to Minister Tony during the negotiations with the German government.
If Brazil wants to obtain Germany's latest chemical industry, military industry, steel and internal combustion engine technology, as well as a loan of 3 billion marks.
In addition to paying mineral mortgages, Brazil also needs to pay for coffee pricing rights. As well as providing 35% of the annual production of cocoa, natural rubber, and cane sugar, Brazil has to reduce the market price of these three products by 10%."
Tang Ning's eyebrows gradually furrowed as she read the message. This trip to Europe was not going to be smooth sailing.
Tony's stay in England and France was going very well.
Especially in France, the introduction of technology went very smoothly. In France, Tony directly used Brazil's billion tons of iron ore, 100 million tons of coal mines, 30% of the coffee share, 25% of the cocoa share, and 15% of the rubber share as collateral.
, and borrowed another 10 billion francs from France.
England and France went smoothly in the previous stage, but in the third stop in Germany, Brazil was hit hard.
The German Emperor Wilhelm II was a man who was sometimes very generous and sometimes stingy. His personality changed a lot and was very difficult to guess.
Other countries were trying their best to avoid delaying the outbreak of World War I, but William II was very much looking forward to the early outbreak of the war. He personally stood up and directly encouraged Austria-Hungary to go to war.
William II's actions made Austria and Hungary a little incredible.
In history, William II made many strange decisions, many of which were due to this personality.
Because of the Kaiser's operations, Germany's relations with other countries were very delicate, and it was always difficult to engage in diplomacy and win over allies.
Before the start of World War I, Germany had only two allies. One of the allies, Italy, was actually obliged not to participate in the war depending on the situation. In the end, the so-called ally Italy stabbed Germany in the back.
If it were not for the outbreak of World War I, Germany would have been so full of energy in the early stages of the war, and Bulgaria would have been defeated by the Second Balkans, and only joined the Allies out of greed for profit. In addition, Churchill in the UK had acted stupidly, seizing local chickens and buying them with the country's efforts.
The warships angered the local chickens, so the Ottoman Empire may not necessarily join the Allies like the Kingdom of Bulgaria, which was motivated by interests.
Throughout World War I, the four Allied countries challenged the whole world. It would be strange if they did not lose.
Tangning has brought a lot of benefits to Germany. After the initial collision, the relationship has been very harmonious ever since. I thought there would be no obstacles in borrowing money and introducing technology, but I didn't expect that we still bumped into each other.
"What is Germany thinking? Does it want to control the price of coffee in Brazil? Brazil is not a small country like Guatemala, but it actually wants to ask for our coffee pricing rights.
William II has disappointed me so much. I have made a lot of concessions to him before. In addition to the mineral mortgage, I have given him 35% of the coffee share, 20% of the cocoa, cane sugar and natural rubber shares, but he is still not satisfied."
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The Germans in Guatemala own 10% of the country's coffee plantations, account for 40% of Guatemala's coffee harvest, and control 80% of the country's coffee bean sales.
Although, in exchange for Brazil's industrialization, Tangning was squeezing Brazil's agriculture, using low-priced agricultural products and various minerals in exchange for technical and personnel support from the great powers.
However, Tangning has never compromised with anyone, and even gave up the pricing power of Brazilian goods, and Deutsche actually did so this time.
Although the price of coffee today is not as high and abnormal as the $1.08 per pound in 1812, the current price of coffee remains between 25 and 49 cents per pound.
Even if there are now other regions around the world that are planting coffee on a large scale because of coffee interests, which has led to a sharp increase in coffee production, causing coffee prices to fall by another 30% to 55%.
Brazilian coffee has certainly been impacted by this process, but because of its excellent quality and occupying more than 50% of the global market share, Brazilian coffee has some advantages in price negotiations.
The price of coffee in Brazil has not dropped as much as in other regions, so the profits are still considerable.
Tangning thought about further increasing the share of cocoa, cane sugar and rubber, but Germany asked for coffee pricing rights and set the same pricing rights as Guatemala, which he couldn't accept.
"Your Majesty, the Kaiser and his government have stated that if Brazil can maintain the same pricing power as Guatemala in selling coffee to Germany, they are willing to increase their support for Brazil."
Shamal told the angry king about a series of preferential conditions added by Germany.
"As long as they agree to conditions such as coffee pricing rights, they are willing to increase the amount of aid by 1 billion marks, and the technical and personnel support will also be increased. There will be no obstacles to Brazil's introduction of technical personnel in the future."
Germany's technology is undoubtedly very advanced. Even in chemical industry, military industry, steel and internal combustion engine technology, it can be said that it is unique in the world and is far ahead of Britain and France.
As the birthplace of the second industrial revolution, Germany's technological updates are undoubtedly stronger than those of Britain and France, especially in terms of new technologies, which have a solid foundation and are more advanced.
Brazil failed to catch up with the first industrial revolution, but during the second industrial revolution, Brazil was playing with agriculture, building a big coffee industry, and hanging its neck on the agricultural tree.
It can be said that Brazil has not even reached the level of the first industrial revolution.
Now Tang Ning is taking great strides forward, hoping to lead Brazil to the top and directly enter the second industrial level.
The price to pay must be quite high.
That is to say, Brazil has a strong foundation and can withstand Tang Ning's lavish technology purchases. If it were another country, it would have to depend on the weather and hope that a big country would personally lay out its industry.
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Brazil does not have this kind of luck. The world today does not even have the shadow of the Cold War era.
Russia is still Tsarist Russia and relies on France to export capital and technology to develop its industry. Even if it later became a superpower, its industrialization would still be driven by the great times.
If it had not caught up with the global economic crisis on a very large scale, it would not have been able to complete its industrial layout so quickly and catch up with the world trend in a short period of time.
Tang Ning was very confused about Germany's conditions.
After losing the first pricing power, countries will propose corresponding reciprocal conditions, which will definitely hurt Brazil.
If coffee is loosened, other agricultural products will naturally be affected.
Tangning really didn't want to open this hole.
Moreover, coffee profits will be very large in the next few years, especially after the outbreak of World War I, coffee prices will rise, and profits will expand unprecedentedly.
Take the United States as an example.
In 1917, the U.S. Munitions Command confiscated 29 million pounds of coffee.
A reporter at the time said: "Coffee is the most popular drink in the military camp, and soldiers must drink it after every meal."
The coffee in American military camps mostly uses low-grade Santos beans. After being roasted and ground in the United States, it is simply packaged and shipped to the military camps.
In this case, much of the coffee must have spoiled after it was shipped to the army.
In this way, the army also has regulations that only 5 ounces of coffee powder can be brewed per gallon of water. The coffee grounds in the brewing pot must be reserved for the next meal. After adding water, add another 3 ounces of coffee powder per gallon of water.
If Brazil really looses its grip on coffee pricing like Germany does, it’s hard to say for other countries, but Brazil will definitely loosen its grip on Britain and France.
In a reciprocal relationship, the European powers played very smoothly.
During World War I, the sales volume of coffee was no joke. It was not yet time for European countries to use coffee to enhance the will of their troops.
At this time, coffee is a cheap stimulant, which can effectively improve the combat effectiveness of the army.
During World War I, except for Britain, which chose tea, other countries chose coffee. Even Britain, because there was not enough tea, also used a lot of coffee.
If the pricing power is negotiated this time, by World War I, Brazil will not be able to propose changes to Britain and France for a long time.
Guatemala’s coffee pricing power is very low and cannot be lower. It is the cheapest in the coffee industry. Agreeing to Germany’s pricing will directly impact Brazil’s coffee layout.
Seeing Tangning deep in thought, Shamal knew that His Majesty the King was weighing the pros and cons, so he stopped interrupting. He just waited quietly so that His Majesty the King would have enough time to think carefully.
This chapter has been completed!