New-York tribune., 1890-01-12
SELECTIONS FROM THE MAIL.
THE PRICE OF RUBBER.
DEFENCE OF THE CONCESSION GRANTED BY
THE GOVERNMENT OF PARA

DEFENCE OF THE CONCESSION GRANTED BY
THE GOVERNMENT OF PARA
To the Editor Of The Tri bune
Sir: The articles published in your ana o'nei
papers OF this city in regard 10 the concession eaeu
by the Government of Para TO the Companhld Mer-
cantil do Para tend create the opinion that saiu
concession is unjust and very detrimental 10 inc III
terest of those engaged in the rubber trade Most of
the publications we have on the subject seem 10
have emanated from large manufacturers Vi r"ooo'
goods, with the exception of one or tWo importers
whose desire TO the prices Of lHe Ia" P'ouuo'
as low as possible but natural Ihcre Is however
in this as in any other question, the other side TO
be contemplated.
The export duty on india rubber IS almost the only
source Of revenue accessible TO the Government at
Para Therefore, If for other reason, 1t Is cleai!
in the interest of said Government TO see 1ar value
established for the product on winch theE cNS di
~ad valorems duty. During the last few years the
price Of rubber, through the manipulation OF certain
speculators has been times far below ITS cost
OF production and thus not only have the receivers ol
this product at Para sustained enormous losses but e
Government has been deprived of part OF lis heces-
Bary revenue.
II NAV be well to state that the receivers OF
rubber at Para are merchants who supply the eaterer
OF that produce with food clothing and wages, get
ting their pay for these outlays IN the rubber sent
10 them from the interior. If the prlce thcy opVah
for this Para is below the sum they nave 'nuS
advanced they lose the difference, as there is no
possibility of their collecting this from the people III
the interior.
One fact should certainly not be lost sight or ana
that is the receivers of the rubber the parties VINO
pay the twenty reis each ko sold by them Io'
export, the Government serving merely as collector
of said funds which it is to hand over To inc '"in
panha Mercantil in monthly payments The petition I'D
favor Of the concession presented TO the Government
OF Para was signed by 100 firms, almost inc
toaity of said receivers. whereas the counter Pc'o"
was signed by seven firms only, and these ali exporters
whose interest is in buyng cheap and selling ueu
The enormous majority IN favor oi tle % C"lDcnS,' d
proves that the commercial community al Idl" IeEI'u
1t absolute necessity to the Nell@r' od ,n". ,.
State ard shows that the Government IN EFdlltih
1t has bestowed Lcncit upon that couhtl! "h'A
II * difficult 10 comprehend how the manufacturing
Interests IN our country suffer by said concession
Amounting 10 les than one half cent per pound When
one considers that during the last e" mon tl'~ ana be
rubber here nuctiiatcd between 80 and "A cents per
pound and seems impartial mind that steady
price even if moderately high and III sympathy WIN
The cost of production OF the article, is more beneficial
TO the manufacturer than price subject to such
fluctuations stated. caused by tie operation OF
ply, which ought to regulate business, concession oi
As regards the legality of the concession or OF
he official act of an Independent state. II seems 10 ne
nonsensicai to raise such me ana cry hS ne " tt e
manner of collecting the revenues Is one "i u ac @
butes conferred upon the state by the 'rhcTu w %
ernment of Brazil There is. moreover, greater
monopoly in the forming of trusts here are creating
a buying power among cw large operators In order
price for inclr own pultid>tN anu '"Hlc4lIi-
the smaller buyers either TO buy from them or else DC
subjected to the eXtOrtiOn of their manlpulatlon>
There are in the United states from seventy I'VE L"
one hundred purchasers of rubber, OF whom iour OF
five bun the bulk. either through their agents at Para
or from the importers here. the remainder being com
PEELED TO buy in small way. aud subject To the
prices made by the large consumers who. when they
have large stocks make prices low and vice versa.
The chief importers do not look favorabH upon the
concession simply because it takes certain power
away from them. With the concession IN force, al
buyers Will be the same footing. and time vii
show that a steady and equitable price being cNta'
man ffaffrT la
a greater benefit by il than the constant fluctuations,
brought about by the manipulacons of the larger buy
ers, secure 10 them.
Rubber when shipped is generally very moist and
consequently loses in weight on the trip from Iar tO
This port from 4 to l. per cent according 10 quality.
some of the lower kinds sometimes shrinking mp to
90 per cent. in view Of this what docs the extra
10 per cent amount TO- considering the benefit arising
from the establishment Of equitable price. subject
only to the law of supply and demand! FAIR PLAY.
New York. January Is, 1880.