I'm the Dauphin in France

Chapter 1303 The Period of Trade Boom

Mirabo continued, "Actually, quite a few people were dancing and celebrating outside the Ministry of Military Affairs last night, and now there should be even more soldiers gathered in the square."

Joseph looked out the window and nodded.

At his request, the severance pay for ordinary veterans has been increased to 160 francs, and the Ministry of Military Affairs will help them find jobs. This is a benefit that was previously unimaginable.

As for the soldiers who can enter the police, tax and other systems, they have obtained a stable long-term "meal ticket", so it is understandable that they are excited.

Mirabo and the Crown Prince withdrew their gaze and continued to report, flipping through the documents in their hands: "After entering September, the number of factory orders across the country has increased significantly."

"Especially for steel products, machinery, chemicals, pharmaceuticals, and furniture, the delivery volume next month is expected to increase by about 25% compared to before the start of the war."

Joseph was taken aback. A quarter-fold increase in orders was no joke; it was no exaggeration to call it a trade boom!
But he immediately realized: "Is it because production in other countries was damaged by the war?"

This war affected almost the entirety of Central and Western Europe, except for mainland France and a few countries in northern Italy. Prussia, Austria, and the North German states were particularly hard hit.

After these countries reduced their own production, merchants looked around Europe and found that only France had quickly resumed production, so they immediately switched to importing from there.

“Indeed, Your Highness,” Mirabeau added. “The Stuttgart Trade Agreement also played a significant role, with low tariffs giving us a price advantage.”

"Currently, among the goods that Britain sells to the German region, only textiles, porcelain, tea, and ship equipment are priced slightly lower than in my country. In other aspects, Britain is at a disadvantage in competition with my country."

Joseph couldn't help but smile. All his years of hard work in promoting French industrial development and improving the financial and tax system had finally yielded gratifying results.

Of course, this was also thanks to the victory in the war; otherwise, it would have taken a considerable amount of time for French goods to penetrate the German market.

He then looked at Mirabeau and asked, "How much lower are the costs of British textiles compared to ours?"

He didn't care much about the small market for porcelain and ship supplies. Tea was controlled by sea routes, and France had no immediate solutions. But textiles were the cash cow of the era, and they had to find a way to get their hands on them.

Mirabeau replied without hesitation, “10% to 13%, Your Highness. Mainly because the British have access to cheap cotton from North America and India, and lower transportation costs.”

"In the production process, my country's costs have caught up with those of the UK."

Joseph frowned: "How much higher are the transportation costs?"

“After being loaded onto ships on the Thames, British cotton yarn could be transported directly to Rotterdam and then distributed to various parts of Germany along the Rhine River.”

"Goods from Lyon, on the other hand, had to be transported via the Rhône River to the vicinity of Champagne, and then by horse-drawn carriage to the Moselle River, from where they could enter the Rhine," Mirabeau said helplessly. "This resulted in our transportation costs for every kilometer of cotton yarn being 50 to 70 francs higher than those of the British. And this was after the introduction of steam paddle steamers."

River transport was already more expensive than sea transport. The journey from Lyon to the Rhine involved several detours along the waterways, making it much farther than the distance reached by British merchant ships that crossed the English Channel. The use of horse-drawn carriages further increased costs—hiring carriages and the two loading and unloading operations combined accounted for almost half of the transport costs.

Mirabeau glanced cautiously at the Crown Prince and suggested, "Your Highness, we could actually ask the German states to raise import tariffs on British goods, which would keep British goods out of continental Europe. You know, many of the North German states have granted Britain most-favored-nation status."

Joseph shook his head and said, "This is not a complete solution."

Mirabeau's strategy was very similar to Napoleon's Continental System, but as it turned out, trade coercion only provoked strong backlash from the German states and was even used by the British to incite anti-French sentiment. Ultimately, the outcome of trade was determined by the market.

Joseph sighed: "We must build the railway between Lyon and Paris as soon as possible, so that textiles from there can be transported by train to the port of Cologne and then into the Rhine. Without the intermediate transshipment by horse-drawn carriages, the difference in transportation costs between us and Britain will be greatly reduced."

"In the future, when a railway bridge is built across the Rhine in Cologne, it will be possible to transport goods directly from Lyon to the sales location. Of course, this will require the construction of railways in northern Germany as well. At that time, transportation costs will become a huge advantage for us."

Mirabeau imagined the vision described by the crown prince, and his eyes sparkled with excitement.

It's important to understand that if the railway connected France with the northern German states, it wouldn't just be textiles; all French goods along the route could be loaded onto wagons and transported to the German regions. Furthermore, goods could be unloaded at any time and sold in cities along the way.

Overall trade efficiency could be increased at least tenfold!
This means that the velocity of wealth circulation will increase significantly.

He tried to calm himself down and raised a very serious question: "Your Highness, it is nearly 400 kilometers from Lyon to Paris, and building this railway will require an investment of at least 7 million francs."

"The Ministry of Transport has only planned the railway from Lyon to Moulin so far, and the Ministry of Finance is already complaining bitterly..."

The journey from Lyon to Moulins is only the first third of the route to Paris.

Joseph also frowned.

This is just one railway line within France. Who knows how much money will be invested when it extends to northern Germany and various Italian countries.

Money is such a wonderful thing, but it always seems to cause me trouble...

He thought to himself, "We must find a way to raise funds from all over Europe."

Mirabeau immediately nodded: "People will soon realize the enormous value of trains. I believe that within a year or two at most, the French National Railway Company will have enough investment to lay the Paris-Lyon line."

“Too slow.” Joseph was clearly not satisfied. “It would be best if construction could start within three months and the entire line could be open to traffic by the end of next year.”

"Therefore, we need to find a way to promote our fundraising efforts. But where should we begin..."

Mirabo was at his wits' end.

Just then, Emmanuel knocked on the door and entered, bowing slightly. "Your Highness, you will be presiding over the World Cup draw ceremony in 40 minutes."

"The World Cup?" Joseph's eyes suddenly lit up. Wasn't this the perfect opportunity for publicity?
This year's World Cup is no longer just France's "self-entertainment"; currently, all other European countries except for England, Russia, and Austria have registered to participate.

There were even six American countries participating.

It is absolutely a genuine world-class event.

(End of this chapter)