Chapter 486: The Salt Market Proposal

But by now everyone was forcing themselves to stay alert — the conversation between Zhao Jin and Ruhui just moments ago had thoroughly piqued their interest.

Zhao Jin took his seat in the center and declared in a clear voice, "Since sending goods out carries risk for you, and having them come here to collect carries risk for them — neither side feels at ease outside their own territory — why not choose a suitable place to trade, convenient for all?"

Never mind that moments ago they had been shaken and unsettled, weary and listless — the moment they heard this proposal, every single person focused intently. They had all already guessed what Zhao Jin was driving at.

"Xuzhou sits at the crossroads of three provinces, a pivotal land hub and chokepoint, right where Henan, Shandong, and South Zhili meet. The waterways are just as convenient — the Yellow River connects to the Grand Canal. I, Zhao, intend to establish a market here in Xuzhou, dedicated to salt trading for all of you and our friends from outside the province. You bring your salt goods here, traveling only through the South Zhili stretch north of the river — no risk to worry about, and transport costs won't be high. Same goes for those outside the province: leaving the province from here is quick, the distance is short, and once they pick up the goods they're back on their own turf, no risk to worry about either." Zhao Jin spoke at length with ease and confidence.

The inn fell quiet. The various salt merchants and their stewards exchanged glances; those with closer ties even murmured a few words among themselves.

"Your safety in Xuzhou will be my responsibility. You've all just witnessed the Zhao Battalion's review — with a force like that, I doubt any bandits or brigands would dare cause trouble." Zhao Jin spoke with solemn authority.

Another round of murmuring followed below, until someone hesitantly spoke up: "What percentage does Master Jin want?"

Setting up a market for everyone to come and trade — it sounded mutually convenient. Buyers and sellers would deal at the market, and Zhao Jin, having established it, would effectively serve as guarantor. After seeing the Zhao Battalion's review, everyone felt this guarantor could indeed guarantee their safety.

But they also knew there was no such thing as a free feast in this world. With Zhao Jin doing so much, naturally he would take a cut. The key question was how much.

The moment the question left his mouth, the man who asked regretted it deeply. Why even ask about a percentage, he thought. After witnessing the Zhao Battalion's strength just now, if he wanted a certain cut, could you refuse to give it? Even if he swallowed everything whole, what recourse would anyone have? Report to the authorities? Or fight it out? If either of those worked, the Feng family would be the victors right now.

"Twenty percent! I want only twenty percent!" Zhao Jin answered in a firm voice.

At that figure, the room fell silent again. Even at its priciest, a catty of salt fetched only a few coins — the profit was all in volume. Large volume naturally meant large profit, but with large volume, the transport costs for carts, horses, and guards inevitably rose as well. Though one could evade official taxes and various government fees, these transport costs could not be avoided — they were the greatest expense.

The farther the distance, the higher the transport costs, of course. And crossing through prefectures and counties meant the number of guards had to increase too — all of that cost silver.

But now, they only needed to deliver the salt to Xuzhou to trade. Guards and such were no longer a concern, and transport costs were far lower than before. All these miscellaneous expenses added together likely exceeded twenty percent anyway.

Some calculated even further. Originally, their own salt convoys sold as they traveled, with connections in villages and stockades all along the route, dealing with many small local strongmen. Those small strongmen certainly wouldn't come to Xuzhou to buy in bulk. Presumably, major players from Henan and Shandong would come instead, buying in large quantities — the price would naturally be a bit lower. But no matter how you figured it, this twenty percent was very fair.

"As you can all see, my estate sits right on the official road, and it's not far from the Yellow River waterway. The salt market will be built right here — convenient for coming and going. My Zhao Battalion is right beside it, so I imagine we can provide full protection. Is there anything else you're uneasy about?" Zhao Jin added. As he finished, everyone exchanged glances and nodded slightly. The proposal truly pleased all.

Though they had been trafficking illicit salt for so many years, there was still risk involved, after all. With this arrangement, the risk would be greatly reduced.

At that moment, a steward sitting in the outer circle stood up. He first cupped his fists in salute, then said cautiously, "Master Jin, everyone here has just witnessed the Zhao Battalion's might. Such troops are naturally invincible on land — no one doubts that. But what about the Yellow River waterway? We follow the rules and come trade at the salt market, but what if those who don't play by the rules exploit gaps on the water routes? There are plenty of river bandits, too. The grain transport routes are manageable, but the Yellow River waters around Xuzhou are chaotic. If by some mishap something goes wrong, can Master Jin still look after us?"

At these words, the salt merchants' expressions varied. Some thought he had a point; others cursed him inwardly.

The relatively cumbersome grain barges couldn't navigate the Yellow River, but other vessels could sail back and forth without much trouble. Going by water would save enormously on transport costs, making Zhao Jin's proposed twenty percent somewhat less worthwhile. Moreover, selling outside would also bring much cheaper prices — and those cheaper prices would naturally affect the salt being traded at the market.

By raising this point, the man meant to drag everyone down together — no one would be allowed to exploit loopholes and gain an advantage. Everyone would obediently pay the twenty percent fee. To put it bluntly, if one died, they all died.

Beyond that, the Yellow River pirates were indeed a major headache. Though they didn't operate much along the Xuzhou stretch, if a salt transport ship caught their eye, the usual result was losing both men and cargo. Everyone had seen how formidable the Zhao Battalion was, but that kind of strength could only guarantee safety on land. What about the rivers and waterways? If losses occurred there, how would the Zhao Battalion respond?

And if this salt market were truly established, with no need to worry about leaving the province to transport salt, everyone would naturally choose the most labor-saving and cost-efficient way to bring it here. Nine times out of ten, that meant the Grand Canal–Yellow River route. The safety of the waterways would thus become a critical matter.

"No need to worry. The Zhao Battalion will cover safety on the waterways as well!" Zhao Jin answered with full confidence. The crowd looked at one another. If this hadn't come up, they might have let it slide, but now that it had been raised, they naturally knew Zhao Jin had no boats to speak of. No boats, yet boasting so boldly — could he really be relied upon?

They thought it, but no one was tactless enough to voice the question. Even the man who had raised the point sat down meekly.

As if reading their minds, Zhao Jin smiled and said, "I have two countermeasures. First, we'll set up checkpoints on the river — all passing vessels will be inspected, and any carrying smuggled salt will naturally be confiscated. Second is even simpler. It's true I don't have many boats, but those who do business on the river have to come ashore sooner or later. Their dens on land can't run away. Does that put your minds at ease?"

The crowd nodded one after another. Zhao Jin's name was renowned throughout the rivers and lakes — that much they could figure out on their own.

Seeing that no one had further questions, Zhao Jin smiled and nodded, then spoke again: "I'm not in a rush for you to decide right now. Go back and discuss it. But I'll say this upfront: as long as the salt market isn't open, not a grain of salt will pass through Xuzhou — won't get past my territory. For every picul that comes, I'll seize a picul; for every catty, I'll seize a catty. And please tell your friends and relatives: those who come to register and sign up within this month will pay a twenty percent fee. Those who come after this deadline — it won't be twenty percent anymore. Thirty percent, forty percent... hard to say."

Hearing this, everyone looked at one another, faces impassive, but inwardly they had all made up their minds. If they could avoid telling others, they would. Let others come late and pay higher fees — then their prices couldn't compete, and their share would naturally shrink. Though illicit salt wasn't the biggest business, squeezing out rivals was always a good thing.

The Yangzhou salt merchant system was too entrenched. Each family's share had remained unchanged for decades — the strong stayed strong, and no matter how the weak chased, they could never catch up. But this yet-to-open Xuzhou salt market seemed to offer hope on that front.

"You've all been delayed in Xuzhou for quite some time — I imagine you're anxious to return. After lunch, please feel free to take your leave." Zhao Jin said with a smile.

Those seated first breathed a sigh of relief — at last they could leave Xuzhou and go home. But they immediately realized they felt not the slightest ease. They had to hurry back and get busy. Every day lost was a day's earnings lost.

They had felt thoroughly stifled these past days in Xuzhou. Hearing they could leave, spirits rose considerably. Some even pondered whether they should bring back some Han Well Famous Liquor — it was scarce even in Yangzhou, and truly excellent.

Before departing, however, they still wanted to get on good terms with Zhao Jin. Judging by the Zhao Battalion's structure, Zhao Jin held overall command, while that Wang Zhaojing and that Ruhui each seemed to oversee a domain — they might well have dealings with them in the future. Once back in Yangzhou, they'd need to send people over quickly.

As for the stewards and shop managers who had been dispatched here, they were equally frantic. There was much they couldn't decide on their own, yet this Xuzhou matter was far too important — they had to hurry back and report to their masters. A few who harbored ambitions of their own were even more anxious to return.

Zhao Jin and his companions had been discussing and bustling without pause these days, and only now did things reach a concluding stage. They drank a few mouthfuls of tea that had already gone cold, all of them relaxing considerably.

This salt market proposal had been put forward by Zhao Jin. Setting up a large trade market at a transportation hub never failed to make money, and with Zhao Jin's current strength, he could fully provide protection. Once the salt market opened here, merchants and goods from Shandong and Henan would converge on this spot — and by then, the profits would amount to far more than just that twenty percent.

Moreover, Han Well Famous Liquor could also sell more and travel farther through the flow of people and goods. With the distillery now expanded and output increased, the artificial scarcity strategy would need to change — they could consider releasing more supply.

For now, the Zhao Battalion's roots were still in Xuzhou. To grow and strengthen the Zhao Battalion, to win the hearts of the Xuzhou people, they still had to develop and build up Xuzhou itself.

The percentage cut had also been carefully considered. The illicit salt passing through Xuzhou to various destinations was, after all, not the foundation of the Yangzhou salt merchants' business. To make them willingly participate in the Xuzhou salt market, force alone wouldn't suffice — they had to be enticed with profit. The market's setup itself, plus this twenty percent share, was an offer the Yangzhou salt merchants could not refuse.

"The capable are capable in all things. Even if Big Brother weren't running the Zhao Battalion and instead devoted himself to commerce and enterprise, he would surely be a man of immense wealth, a Tao Zhu!" When everything was settled, Wang Zhaojing said with heartfelt admiration.

Ruhui likewise sighed with emotion: "I originally thought that creating a distillery in Xuzhou was already making something from nothing — digging gold from flat ground. I never imagined something like this salt market. A poor, bitter place like Xuzhou has become a land of profit. With the salt market, there's actually more that can be done — Xuzhou is naturally positioned to be a great trading hub."