| Part ofa series on |
| Economic systems |
|---|
Major types |
By regional model |
Aplantation economy is an economy based onagriculturalmass production, usually of a fewcommodity crops, grown on large farms worked by laborers or slaves. The properties are calledplantations. Plantation economies rely on theexport ofcash crops as a source of income. Prominent crops includedcotton,rubber,sugar cane,tobacco,figs,rice,kapok,sisal,Red Sandalwood, and species in the genusIndigofera, used to produceindigo dye.
The longer a crop'sharvest period, the more efficient plantations become.Economies of scale are also achieved when the distance to market is long. Plantation crops usually need processing immediately after harvesting. Sugarcane,tea, sisal, andpalm oil are most suited to plantations, while coconuts, rubber, and cotton are suitable to a lesser extent.[1]
Plantation economies are factory-like, industrialised and centralised forms of agriculture,[citation needed] owned by large corporations or affluent owners. Under normal circumstances, plantation economies are not as efficient as small farm holdings, since there is immense difficulty in proper supervision of labour over a large land area.[citation needed] When there are large distances between the plantations and their markets, processing can reduce the bulk of the crop and lower shipping costs.
Large plantations producing large quantities of a good are able to achieveeconomies of scale for expensive processing machinery, as the per unit cost of processing is greatly diminished. This economy of scale can be achieved best with tropical crops that are harvested continuously through the year, fully utilising the processing machinery. Examples of crops that are suitable to be processed are sugar, sisal, palm oil, and tea.[2]
In theThirteen Colonies, plantations were concentrated in the South. These colonies included Maryland, Virginia, North Carolina, South Carolina, and Georgia. They had goodsoil and long growing seasons, ideal for crops such asrice andtobacco. The existence of manywaterways in the region made transportation easier. Each colony specialized in one or two crops, with Virginia standing out in tobacco production.[3]
%2c_plate_IV_-_BL.jpg)
Planters embraced the use ofslaves mainly becauseindentured labor became expensive. Some indentured servants were also leaving to start their own farms as land was widely available. Colonists tried to useNative Americans for labor, but they were susceptible to European diseases anddied in large numbers. The plantation owners then turned to enslavedAfricans for labor. In 1665, there were fewer than 500 Africans in Virginia but by 1750, 85 percent of the 235,000 slaves lived in the Southern colonies, Virginia included. Africans made up 40 percent of the South's population.[3]
According to the1840 United States census, one out of every four families in Virginia owned slaves. There were over 100 plantation owners who owned over 100 slaves.[4] The number of slaves in the 15 States was just shy of 4 million in a total population of 12.4 million, and the percentage was 32% of the population.
| Region | Slaves | Percent of population | Total population |
|---|---|---|---|
| Lower South | 2,312,352 | 47% | 4.919 million |
| Upper South | 1,208,758 | 29% | 4.165 million |
| Border States | 432,586 | 13% | 3.323 million |
Fewer than one-third of Southern families owned slaves at the peak of slavery prior to theCivil War. InMississippi andSouth Carolina the figure approached one half. The total number of slave owners was 385,000 (including, inLouisiana, somefree African Americans), amounting to approximately 3.8% of the Southern and Border states population.
Western Europe was the final destination for the plantation produce. At this time, Europe was starting toindustrialize, and it needed a lot of materials to manufacture goods. Being the power center of the world at the time, they exploited the New World and Africa to industrialize. Africa supplied slaves for the plantations; the New World producedraw material for industries in Europe. Manufactured goods, of higher value, were then sold both to Africa and the New World. The system was largely run by European merchants.[5]
Indigofera was a major crop cultivated during the 18th century, inVenezuela,Guatemala—andHaiti until the slaverebellion against France that left themembargoed by Europe andIndia in the 19th and 20th centuries. The indigo crop was grown for making blueindigo dye in the pre-industrial age.
Mahatma Gandhi's investigation of indigo workers' claims of exploitation led to the passage of theChamparan Agrarian Bill in 1917 by the British colonial government.
In Southeast Asia British and Dutch colonies established plantations to produce agricultural commodity products including tea, pepper and other spices, palm oil, coffee, and rubber. Large scale agricultural production continues in many areas.[6]
