Two Princes Trading Company
"Mmm, pan-fried lamb chops, Sugar Beet truffle soup, toast. 🍬☠ Claws 🐟♠"
Alexei casually ordered a few dishes from the waiter beside him, then looked at Joseph and said, "I'm curious, what do you mean by 'things unrelated to politics'?"
"Give me a cup of Black Tea, no milk, spices, or sugar."
Joseph dismissed the waiter and smiled, "For example, doing some business or something. If you had your own business in Paris, Her Majesty Empress Queen wouldn't recall you to Russia out of concern for your character—oh, please forgive my wording."
Doing business? Alexei blinked, feeling that it made some sense. No one would associate a businessman busy making money with the heir apparent in Saint Petersburg. It was indeed a good way to stay away from politics and also to some extent shed the image of a playboy.
In fact, that's exactly what Alexei's descendants did. In order to stay away from politics, they went into business and eventually established Russia's largest Sugar Industry Company.
However, Alexei immediately shook his head. "Thank you for your advice, Your Highness. But I have absolutely no business sense. Her Empress already subsidizes me with tens of thousands of Ruble every year, and I don't want to lose any more of her money."
"No, I believe you'll make money," Joseph laughed, "And a lot of money."
"Your Highness, if I may be frank, this is probably very difficult to achieve. I know my own capabilities."
Joseph, inhaling the delicate fragrance of the teacup the waiter had brought, glanced at his Illegitimate Son: "It's not as difficult as you imagine. All you need is a good partner."
"Partner?"
Joseph gestured with the small spoon towards himself. "For example, me."
Alexei asked in surprise, "You mean you want me to go into business with you?"
Joseph nodded. "We can invest together to establish a trading company specializing in trade between France and Russia."
He didn't say this on a whim; he had been planning to do so for a long time.
In fact, France and Russia had signed a trade agreement as early as two years ago, but on the one hand, France was facing Finance difficulties, and on the other hand, the two countries had few goods that they could offer each other that were of interest to them— France had little else to export to Russia besides wine and Enlightenment thought. At the same time, France did not have high demand for Russia's main exports, such as Flax, Oils, and Timber.
This has resulted in the trade volume between the two sides remaining lukewarm.
However, both countries are eager to significantly increase their trade volume.
Russia has always been concerned about its over-reliance on trade with Britain and has sought to change its trade structure, such as increasing France's share of trade, in order to reduce the risk of being controlled by the United Kingdom.
As for France, increasing its trade with a major power like Russia would certainly greatly improve its Finance situation.
But wishes remain just wishes. Historically, until Napoleon and Russia joined the Anti-French Alliance, trade between the two countries did not see much improvement.
This is the situation Joseph wants to reverse, and he has the means to do so.
Historically, France had little demand for Russia goods because France Textile had been crippled by the United Kingdom. However, under Joseph's leadership, the France Textile would now challenge United Kingdom, requiring large quantities of Textile raw materials, Flax being one such example. As for Cotton and Wool, those would have to be sourced from North America and Australia later.
At the same time, since United Kingdom is heavily reliant on Russia for its Flax — Russia flax accounts for about 80% of its Flax consumption—if France were to consume large quantities of Russia Flax, it would inevitably lead to a shortage of Flax in the United Kingdom, which in turn would cause the price of its Flax Textile to rise.
This can be described as killing two birds with one stone.
On the other hand, France industry is poised for explosive growth, and its industrial products urgently need markets to sell. Russia, with its population of over 30 million, has such a large market that France products absolutely need to participate.
Joseph originally planned to wait for Talleyrand to make contact with the Russia first before proceeding with trade.
Today, he happened to meet Alexei, and he felt that this might be an even more suitable opportunity.
"You don't need to worry about the business operations; we can find professionals to manage the company," Joseph said. "I'll contribute some merchant ships as my equity. These ships will fly the Russia flag and enjoy your ' Armed Neutrality ' policy to avoid United Kingdom interference."
"And you have people in Russia buying Flax, Oils, and perhaps iron as your equity investment."
"After these goods are transported to Marseille, they will be loaded with France wine and Textile, and possibly Paper, Machines, and other goods, before being returned to Crimea."
The so-called "Declaration of Armed Neutrality" was Russia's trade policy announced by Catherine II in 1780. Its main content was that "Russia, as a neutral country, shall allow its ships to navigate freely between ports and along the coastlines of belligerent countries, unless they are carrying wartime embargoed goods, in which case the belligerent countries shall not impose any restrictions."
This policy had been approved by the United Kingdom. Therefore, even if there were disagreements between Britain and France, normal trade could be guaranteed by using Alexei's "Russia ships" for cargo transportation.
Furthermore, Joseph had a hidden trick up his sleeve here.
He had previously reviewed the Anglo-Russian Trade Agreement, which stipulated that Russia merchant ships could transport goods from the the East to Europe without obstruction by the English Fleet. Initially, the United Kingdom believed that Russia had little presence in the the East, so they agreed without much thought. However, this could be exploited by him through his trading company with his Illegitimate Son.
Alexei pondered for a moment, then hesitated before saying, "Your Highness, I must admit that your suggestion is very sound."
"However, quite a few people are already engaged in this kind of trade between France and Russia, and I don't think we can be more competitive than them."
Joseph smiled and nodded. Alexei was indeed a smart man, not the spoiled brat he appeared to be. It seemed that cooperating with him would not disappoint.
First of all, the current volume of trade between France and Russia is far from sufficient.
"If I remember correctly, more than three hundred merchant ships sail from the United Kingdom to Riga every year [Note 1]. Only one-tenth of that number sails from Lyon to the Black Sea [Note 2].
"To be frank, France is about to begin Industrial Reform, which will significantly increase the demand for Russia goods, especially Flax. This will mean that the existing merchant fleet will be far from sufficient."
Alexei nodded slightly. So the Crown Prince of France had inside information. In that case, this business deal really could be done.
Joseph leaned forward and lowered his voice, "Also, I can offer you Tariff concessions. I guarantee the discounts will be substantial."
Are you serious?
"Certainly."
Joseph was confident that he could secure these Tariff concessions from the Cabinet, without even needing to lower Tariff; he could simply turn a blind eye to his trading companies.
This would not only win over the Russia, but also reduce the raw material costs for the France Textile and increase its competitiveness due to the lower import Tariff on Flax.
At the same time, this would reduce trade ties between Britain and Russia, increasing the cost of the United Kingdom Flax products.
He continued, "At the same time, you can use your connections in Russia to get some cheaper goods like Flax and Oils. This way, we can lower costs on both ends, so how can we not make a profit?"
Alexei was overjoyed. If he could export to France in large quantities at low Tariff, it would greatly reduce Russia's trade dependence on the United Kingdom. This was something the Empress had wanted to do for more than ten years but had not been able to. If he attributed these achievements to his brother, it would surely change his mother's attitude towards him greatly [Note 3]!
He excitedly clasped his hands together and said, "Your Highness, I think your proposal is very feasible. I will do my best to lower the purchase price of the goods."
Joseph smiled and bowed slightly, "It's a pleasure to work with you, Count Bobrinsky."
At the dinner table, the dishes Alexei had ordered had been cold for a long time, but he hadn't even thought about eating them.
Joseph had another hot dish brought out and gestured to the Illegitimate Son, "I think you should enjoy your dinner now."
After Alexei finished eating, the two discussed some details about the trading company, thus finalizing the cooperation.
Joseph's main reason for setting up this trading company, bypassing the Russia government, was to avoid lengthy trade negotiations. Negotiations in this era were far from efficient, especially since Russia and France were geographically distant. If the negotiators on both sides encountered disagreements, it would take more than two months to return to their respective countries for consultation.
So he used this underhanded approach to first get trade between the two countries going. Once the trade volume was large enough and both sides had market dependence, it would be much easier to negotiate a trade agreement.
In addition, this also indirectly controlled some of the raw material imports, making the capitalists a little more obedient.
Around 10 p. m., Alexei said goodbye to Joseph, but stood there watching him leave, a sense of unreality welling up inside him.
What kind of young man is this? He suddenly appeared before me, solved my predicament with a trading company, and at the same time gave Russia a great gift.
He hadn't really believed the rumors about the Crown Prince of France before, such as his role in Police Reform that greatly improved security in Paris, and his planning of this grand Fashion Week. He simply assumed that the officials had handled everything and then attributed the credit to the Crown Prince.
After tonight's encounter, he was now convinced that the previous rumors about the Crown Prince were true, and that his eloquence and wisdom were even more remarkable than the rumors had suggested.
Alexei suddenly felt a pang of regret. If his brother Paul had possessed such wisdom, he wouldn't have had to spend so many years away from his homeland, numbing himself with Alcohol and women, and transforming himself into a useless playboy.
While Joseph and Alexei were discussing the trading company, an auction was taking place in the Hall of Fashion Week.
The auction was attended by dignitaries from various countries, including many members of Royal House. Queen Mary, who had just given a brief speech at Fashion Week, was also pulled by her niece to sit in the attic on the second floor.
The items auctioned at Fashion Week mainly consist of expensive dresses and luxury goods.
None of these things caught the Queen's eye; her mind was preoccupied with her conversation with Louis XVI at noon.
It happened after lunch; she casually chatted with her husband about their son's fiancée.
She was convinced that her niece had won the Crown Prince's heart, but the King told her that he had spoken with his son and that neither Clementine nor Maria were likely to be his ideal fiancées.
She looked at her lively and adorable niece beside her with a hint of distress. God, how could Joseph not like her?
For a moment, she really wanted to do what other King Queen did and directly tell her son that Clementine was his future wife. But she couldn't bear to see her son look disappointed or unhappy.
Perhaps we should wait a little longer... The Queen sighed inwardly. The Crown Prince and Clementine were still young; perhaps if they spent more time together, he would fall in love with his beautiful and lovely cousin.
Just then, the auctioneer announced in a melodious voice, "The next item is this precious ' Wish of the Stars ' bracelet. It comes from a renowned designer..."
As the Queen was lost in thought, she saw Clementine suddenly stand up, her large blue eyes fixed on the item being auctioned, excitedly muttering to herself, "It's his! Yes, that's it!"
The Queen smiled and shook her head. Young girls find it hard to resist the allure of beautiful jewelry, and she herself would get just as excited when she saw jewelry she liked in her youth.
She just didn't notice that the bracelet in the auction was almost identical to the one worn by the Crown Prince in the painting "The Child of Divine Grace"!
God is my witness, this is definitely not Joseph's jewelry; he had never even seen this necklace before.
That was entirely because Madam Lebrun painted the picture, accepted a Jeweler's sponsorship and included the necklace provided by the jeweler in the painting. But to be honest, this dazzling necklace, with its galaxy pattern made of a large number of diamonds, did indeed suit Joseph's image very well.
After the auctioneer announced the starting price of 80,000 Livre, Clementine gestured to her maid without hesitation, who immediately raised her right hand.
Before the auctioneer could even announce a bid, a woman's voice came from a private box on the east side. "Ninety thousand."
Clementine puffed out her cheeks immediately. Someone actually dared to steal her cousin's necklace, and even offered an extra Livre!
She gestured again to the maid, who raised her hand.
The auctioneer immediately gestured towards her. "This guest has bid 91,000 Livre."
The same voice said, "One hundred thousand."
The little girl, not to be outdone, raised the price again.
Meanwhile, the woman in the east-facing private room continued adding to the round number, unchanging. "One hundred and ten thousand."
Clementine grew anxious, hands on her hips, and shouted angrily, "120,000!"
Hmph, did you think I wouldn't add another ten thousand?
The woman on the east side answered without hesitation, "One hundred and forty thousand."
"You! It's gone up again!" the little girl continued to shout, "Louis XVI!"
"180,000."
"Two hundred thousand!" Clementine angrily quoted the price, then turned to the maid and said, "Who is that man? Why is he picking on me!"
The maid leaned close to the railing of the second-floor private room, peeking out halfway. Through the gap in the curtain in front of the east-facing private room, she finally caught a glimpse of a woman sitting there in a red dress, with long brown hair and a pair of gentle brown eyes.
She immediately pulled back, covering her mouth in surprise, and whispered in Clementine's ear, "Miss, it looks like the Princess of the Two Sicilies."
"Ah--" The little girl bit her lip. If it were her, she couldn't afford to lose!
Two hundred and fifty thousand!
[Note 1]: Riga is a port in Sweden and a transit point for Anglo-Russian trade. The Riga government collected a trade commission between the UK and Russia.
[Note 2]: Since Russia took control of Crimea, trade between France and Russia could proceed via the Mediterranean Sea, through the Dardanelles Strait controlled by the Ottoman, to the Black Sea, where goods could stop and be unloaded in Crimea.
[Note 3]: Catherine II disliked her husband Peter III, who idolized Prussia to the extreme (she staged a coup to overthrow his rule and ascended the throne as Empress), and also disliked her eldest son Paul, who resembled her husband. She repeatedly expressed her desire to depose Paul as heir apparent and pass the throne directly to her eldest grandson. Some ministers even supported the Illegitimate Son Alexei replacing Paul as heir apparent. In short, Paul was worried about his succession until the very last second before Catherine II's death.
Thank you to the three generous readers: Crown Prince Dongming233, Heart Like Floating Leaves, and Book Friend 20210621185415959, for your generous donations to this book! The author will always love you all! Mwah!
(End of this chapter)