Chapter 439

Without being able to stop the main force of the French army, Hutier and the rest had no interest in pursuing the Egyptian colonial army. After the battle, the Eighth Division immediately began a major recruitment campaign.

Within a short week, the Eighth Division tripled in size, and all the young and strong men in the surroundings were conscripted.

At least they still had a conscience and didn't follow the bandits and enlist men, women, old and young into the army as cannon fodder.

The army marched forward along the Nile River, ignoring the cities along the way and choosing to attack the plantations in the countryside.

While destroying the plantations, they recruited the enslaved Egyptians into the army and spread the idea of national independence.

Relying on the strategy of bullying the weak and fearing the strong, the Eighth Division could be said to have a smooth journey and expanded rapidly like a rolling snowball.

In comparison, the progress of the main force of the rebel army was much slower. Unlike Hutier and the rest who left after doing one job, the upper echelons of the rebel army still had their goals.

To be a warlord, one naturally couldn't do without territory. The leader, Mahdi, could no longer control the situation. All the powerful factions moved out to fight for territory.

In order to fight for territory, there were even fights. If not for the threat of the French, the rebel army would probably have split up.

In order to unite the rebel army and fight against the French's subsequent counterattack, Lieutenant General Jarrett went out many times to coordinate the relationship between the various parties.

However, what needed to be chaotic still had to be chaotic. The composition of the rebel army was too complicated, and there were endless internal conflicts. It was only due to the threat of the French that they maintained an empty framework of unity.

As the leader of the rebel army, Mahdi was very dissatisfied with this situation. However, the incident of blowing up the Aswan Dam had caused his prestige within the rebel army to plummet.

If not for the support of the British, it was unknown whether he could still sit firmly in his position as the leader.

At this time, if he still didn't know that he had been tricked by the British, Mahdi wouldn't be able to leave his illustrious name in the original timeline.

Once again, the facts proved that one could be made a scapegoat except for the black pot.

With the reputation of being ruthless, it was difficult for Mahdi to recruit subordinates. Everyone didn't have a good impression of this boss who could betray his own people at any time.

Affected by this, the second-in-command of the rebel army, Lei Si, directly led his troops and set out for the valley plains, preparing to split up a region.

Mahdi was also powerless. Although he won the first round of the anti-encirclement war, his political prestige also plummeted.

There were no real restraints. The Rebel Army, which had been pulled together by individual prestige, was a loose alliance in itself.

Out of helplessness, Mahdi could only join in the fight for territory. This made Lieutenant General Jarrett, who wanted to attack the root of the problem, very dissatisfied.

In the rebel command center, Lieutenant General Jarrett said righteously, "Everyone, the crisis has just begun. It's far from time to enjoy the fruits of victory.

The French will not accept defeat, and it will not be long before they come back. When that time comes, we will not be facing a mob of colonies.

I'm sure you've all heard of the world's number one army. It was not blown out by the French, but by the swords and guns of the battlefield.

He had won once by luck, but the same strategy could not be used a second time. Having been fooled once, the French were unlikely to be fooled again.

In the future, we will face an unprecedented and bitter battle. If we want to gain an advantage in the upcoming battle, we must first take down this place. "

Looking at where Lieutenant General Jarrett's baton was pointing, it was no surprise that it was Cairo.

This ancient city, which had political, economic, and military value, was crucial to the rebel army's upcoming battle.

Only by taking down Cairo would the rebel army have a chance of independence from the French.

A middle-aged man asked doubtfully, "Lieutenant General, hasn't the 8th Division already set off for Cairo?"

In his opinion, the French army in Cairo had suffered heavy losses in the battle not long ago and was now at its weakest. There was no way they could stop the 8th Division.

Jarrett shook his head. "Asun, you're too optimistic. Cairo is different from the small cities you've encountered.

In fact, the rebel army's progress was smooth because the French in these small cities were scared out of their wits and did not organize a decent resistance at all.

Cairo is different. This is the center of Egypt, and the French will definitely not give up.

The news of the defeat at the frontline has already spread, and the French who stayed behind have probably organized a new garrison by now.

Without any heavy firepower, it's impossible for the 8th Division to capture Cairo, which is heavily guarded by the French. "

Frankly speaking, Jarrett was very satisfied with the 8th Division under the command of the Austrian.

Whether it was destroying the cotton plantations along the way or going straight to the delta, it was very much in Britannia's interest.

Judging from the current situation, Egypt's cotton production was destined to plummet this year, and it would be difficult for it to recover in the next few years.

This was undoubtedly the best news for the British cotton textile industry. With the decline in supply of raw materials and the decline in production, it was undoubtedly the best time to seize the market.

Even though it wasn't Jarrett's plan, it didn't stop him from taking credit for it.

Politics was also about equivalent exchange. As the leader of this Egyptian rebellion, he would naturally receive a reward from the domestic enterprises after returning home.

It could be economic, or it could be political. In short, Lieutenant General Jarrett had made a huge profit this time.

Encouraging the rebel army to attack Cairo was only a part of Lieutenant General Jarrett's plan. If possible, he hoped that the rebel army would come to the Suez Canal.

It would be best if they could block the canal's navigation, and then the British Empire could use the opportunity to protect the canal's navigation to penetrate deep into the Suez Canal area.

…

The capital market was sensitive. Affected by the defeat in Egypt, the stock prices of textile companies in Paris plummeted, and many companies engaged in Egyptian plantation operations went bankrupt.

A storm was brewing. Affected by the collapse of the textile industry's stock prices, the Paris stock market as a whole fell by 11.4% in a short week. Billions of francs were wiped out.

International cotton prices also experienced a violent shock. On the London cotton futures market, cotton prices skyrocketed by a third.

Under this double blow, the French cotton textile industry ushered in its coldest winter.

Affected by the reduction in raw material supply, countless enterprises announced layoffs and production cuts. For a time, the unemployment rate skyrocketed, and the French economy faced another challenge.

Although he was mentally prepared, when it all really happened, Napoleon Iv still felt like it was a lifetime ago.

No matter how bitter he felt, he still had to find a way to solve the problem, or else a new round of economic crisis would break out.

After experiencing the Paris Revolution, Napoleon Iv was extremely vigilant against an economic crisis that could shake the foundation of his rule.

"The domestic economy continues to deteriorate. What plans does the Ministry of Economy have?"

After a little thought, Minister of Economy Erza cautiously replied, "This economic turmoil is mainly due to the impact of the Egyptian rebellion, and cotton production has fallen sharply.

Coupled with the drought in North America this year, many federal states have reduced cotton production, and cotton prices on the international market have risen sharply.

The Ministry of Economy suggested that the government temporarily waive cotton import tariffs to reduce the cost of imported raw materials for textile companies, and at the same time, give them low-interest loans to tide over the difficulties. "

Would it work if tariffs were lowered?

The answer was: no.

The lack of cotton supply on the international market meant that there were bound to be companies that could not purchase enough cotton.

Capital cooperation also had to be based on first come, first served. Capitalists engaged in cotton wholesale, under similar prices, would definitely choose to cooperate with reliable old customers.

Many supply partnerships had lasted for years, or even decades. It was not easy to pry open by latecomers.

Most of these companies were concentrated in Britannia. As a rising star, the French cotton textile industry developed after occupying Egypt, the cotton production area.

Unless they could buy cotton at a high price, French textile companies simply could not purchase enough cotton on the international market.

It was precisely because they knew all of this that many companies announced layoffs and production cuts in advance before the cotton reserves were exhausted to deal with the coming crisis.

Foreign Minister Terence Burkin reminded, "It's not that simple. International cotton wholesalers are not fools. Such a good opportunity, it's impossible for them not to take advantage of it.

If nothing unexpected happens, they may use this as a threat to make us permanently abolish cotton import tariffs. "

Tariff barriers were also one of the main reasons why the French cotton plantation economy could develop.

The high tariffs made the originally cheap cotton lose its competitiveness after entering the French market, and the local plantation merchants made a windfall.

Driven by interests, the number of capitalists investing in cotton plantations in recent years has also been increasing, and the French had basically achieved self-sufficiency in cotton.

This damaged the interests of overseas cotton growers and wholesalers, and everyone was eager for this market.

Naturally, it was nothing in normal times. With the strength of France, these interest groups could not shake it.

But now it was different. There was a problem with the French cotton supply chain, and they had to find a solution from the international market.

Minister of Economy Erza objected, "It's impossible to abolish cotton import tariffs. Without enough interest incentives, domestic capitalists will not invest money in cotton plantations at all.

Moreover, this is not just a problem of cotton, it also involves other industries.

Once we compromise here, there will be endless calls for us to abolish tariffs.

Based on the domestic economic development, we will have to adopt tariff barriers to protect domestic industries for a long time to come. "

This was a fact that had been proven in the previous economic crisis. France really couldn't participate in international competition at the moment.

Chancellor of the Exchequer Roy Vernon: "That's not all. Recently, our foreign reserves have fallen sharply.

Now we have to purchase large amounts of cotton from the outside world, which is bound to consume a large amount of foreign exchange. The Empire's foreign exchange reserves have fallen to a very dangerous level.

So far, we have 31.876 million pounds, 65.423 million DH, and other minority currencies, a total of about 1.78 billion francs. "

Since the Paris Revolution, the French economy had been in a state of trade deficit for years. Relying on tariff barriers, it was not easy to achieve a trade balance, but the good days didn't last long, and now it was in a state of deficit again.

Long-term capital outflows were obviously not conducive to the country's economic development. Finding a way to reverse the trade deficit had become a major problem for the Government of France.

Minister of Economy Erza said, "The Marquis is right. If we want to restore the domestic economy, we must find a way to get rid of the trade deficit.

Don't think about increasing exports for the time being. Even without tariffs, our industrial and commercial products lack competitiveness internationally.

The best way to solve the problem in a short period of time was to reduce foreign exchange expenditures.

At present, the main commodities we import are: grain and coal.

The domestic coal production is insufficient, and there are no large coal mines in North Africa. The only large coal mine that we control is still far away in Indochina.

However, if we want to meet the domestic needs, our production capacity is still far away, and we also have to bear the high transportation costs. Self-sufficiency is simply impossible.

The only solution is food. Algeria, Tunisia, and Morocco all have areas suitable for agricultural production. As long as they are developed, it won't be a problem to meet domestic needs.

The return on investment in food is too low, and the capitalists won't participate. They can only rely on government investment.

This is also a good thing. As long as we control this well, we can ensure food self-sufficiency without harming the interests of the domestic farmers.

Not only can we save a lot of foreign exchange expenditures, but we can also attack our competitors in Europe and ensure food security. "

Ever since she proposed the African farm plan, Erza had become an advocate of this policy, constantly preaching the benefits.

Of course, this was only what the outside world thought. In fact, Erza was doing this because she had no other choice.

Withdrawing from the free trade system also had its pros and cons. While reaping the benefits, they also had to bear the disadvantages of this policy.

If you restrict me, I naturally have to restrict you. Due to the high tariffs, France's industrial and commercial exports had plummeted.

This was only a small problem. Relying on trade protection to drive away international competitors, the domestic market share was enough for the capitalists to make up for their losses.

But France was also a major industrial raw material importer.

The African Development Strategy was one of the measures taken by the Government of France to get rid of its dependence on the outside world.

Although the development in North Africa was slow due to the lack of investment, it was still considered a success.

France had basically achieved self-sufficiency in a variety of cash crops, including cotton. Even if it wasn't self-sufficient, it also reduced the need for imports.

However, this was still not enough. Not all resources could be self-produced. Coal and grain were still a problem.

Erza naturally couldn't do anything about coal that couldn't be regenerated. Facing a trade deficit, he could only choose to solve the problem of grain.