Holy Roman Empire

Chapter 64, Crisis is Always Accompanied by Opportunities



Since receiving news that the French government intended to initiate the "Colonial Farming Project," the Vienna Government had been on edge.

To this day, agriculture remains the most important pillar industry in Austria, employing the most people.

The capacity of the international grain market is limited. Had it not been for Austria calling for an international agricultural summit and leading the establishment of the International Agricultural Product Export Alliance, where major grain producing countries collectively control export volumes and jointly set grain prices to avoid vicious competition, things would not be as prosperous as they are now.

However, all this is based on the premise that supply and demand are basically balanced, and any country enhancing its grain production could cause market disruptions.

Franz, "How many suitable agricultural colonies do the French have available?"

Colonial Minister Stephen replied, "According to the data collected by the Colonial Department, French Africa alone has millions of square kilometers of arable land that can be developed and utilized, with about five hundred thousand square kilometers of fertile soil suitable for agricultural production.

Mainly distributed in French Algeria at 210,000 square kilometers, French Morocco at 120,000 square kilometers, French Tunisia at 40,000 square kilometers, French Egypt at 60,000 square kilometers…"

The natural environment and territories of this era are different from the future, and discrepancies in arable land area are inevitable.

For instance, Tunisia is divided between England and France, Morocco is also filled with powers from England, France, and Spain, and French Egypt includes half of Sudan.

Hearing this response, everyone's expression became even more serious.

With so much land, even if only a third, or even a fifth, is developed, the French could achieve self-sufficiency.

The Desert Empire is not entirely desert; just in French Africa alone, there is so much fertile soil, and if other French overseas colonies are included, this number could probably double.

In Franz's interests, the Indochina Peninsula is very suitable for agricultural development, although it is a bit far, yet the French have tariff barriers.

So much land, just developing a part of it could cause a devastating impact on the international grain market.

The French do not need to snatch up the international market, just achieving domestic self-sufficiency would be enough to cause the international grain market to collapse.

Although they knew, the Vienna Government was now powerless. The French developing their own land, Austria simply had no reason to interfere.

After pondering for a moment, Franz slowly said, "It's a matter of time, no major country wants to be controlled in strategic security, and the French are no exception.

Even if investing in colonial farms doesn't make money, as long as it can ensure self-sufficiency in grain and reduce foreign exchange losses, economically, it is a gain.

Now, only the French themselves can stop them. Agricultural investment is not something that shows returns in a short time.

Reclaiming wastelands, constructing irrigation projects, roads, all these require substantial initial investments, and no one makes a losing deal.

Capitalists definitely wouldn't be happy to invest; the colonial farming project would have to be funded by the French government.

Given the current situation, the French government is far from wealthy enough to easily finance agricultural development, and their investment in agriculture will still be limited in the short term.

At least for the next three to five years, we don't have to worry about the international grain market collapsing. With such a long time, a lot can be done."

Opening up new land is not just talk, perhaps clearing a field is simple—burn the trees, weeds, and level the land.

Apart from a very few naturally favorable areas with abundant water resources, most areas need to construct water conservancies.

Even after growing the crops, it's not the end. If they cannot be transported out for sale, even mountains of grain hold no value.

Taking all these factors into account, three to five years is already optimistic. Probably only coastal areas could yield some results, while it might take eight to ten years for inland areas to be developed.

Having some buffer time did not make everyone optimistic. A disaster was still bound to erupt; it was just a matter of sooner or later.

Foreign Minister Weisenberg suggested, "This is no longer just our affair. Perhaps leaking the news could yield even better results.

If we can pull together all the member countries of the Agriculture Export Alliance to exert pressure on the French, we might gain more than expected."

Undoubtedly, Russia and Austria would be the main ones applying pressure, while other alliance members could only cheer from the sidelines.

Forcing the French to give in would make everyone very happy. However, the probability is small; if it was so easy to compromise, France wouldn't be able to operate in the European Continent.

Prime Minister Carl shook his head, "There's no need; such matters can't be kept secret. Once the French colonial farming project is initiated, everyone will know.

If the international grain prices collapse immediately, then we are indeed the biggest victims, but don't we have a few years to buffer?

Although our domestic grain production capacity is still growing, this increase is merely about one and a half percent, yet our domestic market's grain consumption rate is increasing at four point seven percent.

If the Near East development plan hadn't commenced, the future grain capacity might have continued to grow, and perhaps in less than ten years, our grain capacity would have been just sufficient for domestic needs.

Currently, most of the finished grain we export is imported from the Russians—the surplus in grain capacity can simply lead to reduced purchase prices for raw grain to offset the losses.

A powerful Russian Empire does not align with our interests; it's beneficial to use the French to disrupt Russia's development.

If possible, it would be best to also involve the British.

If England and France both implement grain self-sufficiency plans, the international grain import market could directly shrink by half, letting everyone truly feel the power of an agricultural crisis."

The high increase in grain consumption is due to various factors, with population growth being the most direct cause, increasing food consumption.

Secondly, the standard of living of the people is continually improving, and so is their consumption level, most notably the rapid increase in the consumption of meat products.

As a result, the grain used for feed has also been growing rapidly, with an annual growth rate of over five percent.

Finally, there's an increase in grain used for industry, including in sectors like pharmaceuticals, chemicals, alcohol, and starch, where the demand for grain continues to grow.

Rapid growth in demand does not mean that capacity can also grow rapidly. In fact, since the outbreak of the agricultural crisis, the Vienna Government has always encouraged the planting of cash crops.

It's not that Franz doesn't understand the importance of grain, but Austria really doesn't lack grain; continuing to increase capacity would result in crop depreciation harming the farmers, or even crops rotting in the fields.

Otherwise, had the Agriculture Export Alliance not been established, we might still be experiencing an agricultural crisis, with everyone dumping milk into the rivers.

Of course, wooing the Russians is also one of the reasons.

Grain exported by the Russian Empire each year, over ninety percent flows into Austria, and nearly half of that grain, once processed, eventually flows back to Russia for sale.

The continuity of the Russian-Austrian Alliance is maintained due to friendly civil relations, essentially built on mutual interests.

Usually, alliances based on interests are the sturdiest, yet the Russian-Austrian relationship is an exception.

If one day the Russians complete their industrial revolution, and their domestic processing industries develop, the grain interest chain will break.

However, that is a concern for the future, and in the short term there's no need to worry. Stay tuned with empire

Against the backdrop of imperfect infrastructure, the Tsarist nobles still prefer to be flood-and-drought resistant mine owners and landlords, and are not enthusiastic about the hugely risky industry.

Franz knew, these reasons were just on the surface. Ten years later, the Near East development plan would also be nearly complete, and Austria's dominance would be truly established.

By then, the process of unifying Germany should also be on the agenda. The Vienna Government isn't one to stir up trouble and attract hatred.

Austria still lacks the capability to challenge the European world alone—stirring up relationships among European countries is very necessary.

The French colonial development plan indeed harms Austria's interests, but compared to national strategy, a temporary loss is acceptable.

Taking advantage of the situation to provoke the British to join, it may seem like England and France have achieved grain self-sufficiency and their strategic security is no longer limited, but it also places them against the Russians.

Touching the Russians' cheese, affecting the interests of tens of millions of people, even if the Tsarist Government wants to side with England and France, the Russian people wouldn't agree.

The chance of failure is too high when confronting three, but confronting two, or even one-on-one increases the chances of success.

As a mature monarch, Franz still felt it was best to avoid war if possible.

"The Prime Minister is right, we can't and don't need to stop the French from developing their colonies.

The diplomatic department should make a token effort to let the outside world know we are very dissatisfied, and it would be best to make the British feel that the French strike hit our soft underbelly.

Inducing the London Government to join, artificially creating the most severe agricultural crisis, creating opportunities for our next strategic move."

An agricultural crisis is no fun matter; if it indeed occurs, grain exporting countries would suffer huge losses, and the participants, England and France, would not have it easy either.

The French are better off, protected by tariff barriers, and the Paris Government would not let domestic grain prices collapse.

The British would have it tough, as free trade is a double-edged sword. While enjoying the benefits it brings, they must also bear its negative effects.

In the British manner, if an agricultural crisis erupts, the initial investments would all be in vain, and the parliamentary lords would order the government to stop the losses.

Spending money is a minor issue; the key is political turmoil, which could delay the British Government's decision-making, which would be very beneficial for Austria's next plan.


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