September r, 1901.] 



THE INDIA RUBBER WORLD 



359 



HECHT, LEVIS & KAHN'S REVIEW. 



THE annual circular issued from Liverpool by the above 

 named importing firm embodies the results of a careful 

 attempt to estimate the world's production and consumption of 

 rubber, and also the total visible supply on July i. The figures 

 given, compared with those previously issued by this firm, are : 



lSg8-99. 1899-1900. igoo-01. 



Total production, tons 52,192 53.348 52,864 



Total consumption 48,783 48,352 51,136 



Visible supply, July 1 4,871 7,86g 6,941 



In many cases, of course, it is impossible, in such estimates, 

 to calculate shrinkage between producing and consuming mar- 

 kets, and there are other elements of inaccuracy, but the above 

 are oflfered as approximate amounts. Again, the " ton " is a 

 variable quantity, in different countries, but accepting the met- 

 rical ton of 1000 kilograms as the standard, the estimate (or 

 the past twelve months reads : 



Total production 116,543,974 pounds. 



Total consumption 112,734.426 " 



Visible supply, July 1 15,302,128 " 



The Pard crop shows an increase of 3}^ per cent, over last 

 year, but this is almost wholly in Peruvian (Cancho). While 

 during the last ten years, the production of Pard grades, pro- 

 perly speaking, has increased 57 per cent., the output of Caucho 

 has more than trebled, as shown here in detail : 



1890-91. 1900 01. Increase. 



Para fine tons. 9,954 14.637 47^ 



Para medium (entrefine) I.37I 2,879 11 ;; 



Para coarse (negroheads) 4,032 6,718 66^ 



Peruvian (Caucho) i.ioo 3,573 225;, 



Total 16,457 27.807 6q% 



That increase in production and deterioration in quality in- 

 variably go together, says the circular, has been exemplified in 

 a very marked manner during the year under review. Ant- 

 werp imports have again increased by 1200 tons, and the 

 quality of the rubber has very much deteriorated ; in fact, the 

 bulk of the arrivals consists now of heated and badly condi- 

 tioned kinds, and the high standard of previous years can no 

 longer be counted on, 



" Values. — The extreme high prices of the last two seasons 

 have at last given way to a more normal level, partly on account 

 of unfavorable conditions in the United States, where the trade 

 had to struggle against the paralyzing effect of two successive 

 open winters, and partly because of reduced activity on this 

 side. So firm was the 4 shilling basis established in the mind 

 of the whole rubber trade that, after a temporary decline to 

 3/11^ in July and August, prices rebounded once more to 

 4/4 in September. From this, however, under the influence of 

 increasing receipts and the financial crisis in Para, which pre- 

 cluded holders out there from showing more resistance, the 

 decline was almost uninterrupted till values touched in March 

 last 3/6. The importance of the decline brought about its own 

 reaction, which was assisted by large American purchases in 

 Pard and by, what seemed at the time, a most determined 

 effort in America to control the world s market. The success 

 of this move on the part of Americans was, however, only a 

 partial one, as manufacturers had, during the period of decline, 

 bought beyond their immediate requirements, thereby creating 

 an invisible supply (see our remarks in last year's review) which 

 enabled them to successfully combat the attempt to force a 

 rise upon them." 



" Progress. — While, during the crop year ending June 30, 

 the shipments from Pard to Europe fell to the level of those in 

 1896, the shipments to the United States were the largest on 

 record. It would, however, be misleading to conclude that the 



larger shipments and consequent larger deliveries, point neces- 

 sarily to a corresponding increased consumption in the United 

 States. On the contrary, the probabilities are that large quan- 

 tities have been stored away (or speculative purposes, and the 

 fact that important shipments of hard cure rubber have been 

 made during the last few months from New York to Europe, 

 seems to confirm this assumption." 



" Prospeci S. — The new season opens at what are generally 

 acknowledged moderate prices, considering the modern condi- 

 tion of rubber industries. The visible supply of all kinds Paid 

 IS now i6;V per cent, smaller than at the beginning of the pre- 

 vious season, and it is generally assumed that the coming Para 

 crop will show a falling o(I variously estimated from 10 to 25 

 per cent. Some decrease would be only natural, considering 

 last season's financial crisis at Pard, which caused a large re- 

 duction in the number of rubber gatherers sent into the inte- 

 rior. On the other hand, a certain number of hands have, 

 contrary to former years, remained in the interior, which to a 

 certain extent will compensate for the reduced immigration. 

 All things considered, the deficiency will probably not be so 

 severe as to cause anything like a rubber famine, especially as 

 the prospects of consumption in Europe are not particularly 

 favorable." 



KING LEOPOLD, RUBBER MERCHANT. 



THE interest of the king of the Belgians in Congo rubber 

 is mentioned so often, in his own country as well as else- 

 where, that it must amount to something. In fact so far as the 

 Congo Free State is Belgian at all, it may be considered as 

 King Leopold's private property. The value of the rubber re- 

 sources in the Congo was no sooner appreciated than a " pri- 

 vate domain " was established, within which rubber gathering 

 without official permission was prohibited. It happened that 

 the richest rubber forests were included in the reserved dis- 

 trict. Every steamer from the Congo which arrives at Ant- 

 werp with rubber includes on its manifest a liberal shipment 

 on account of the " Domaine prive " — in other words state rub- 

 ber. But this is not all. Some time ago T/u Speaker, an 

 English journal, published an article pointing out that several 

 of the supposedly private companies in the Congo rubber 

 trade were in reality permitted to operate there only on condi- 

 tion that the state — practically the king — should be admitted 

 as a shareholder, in most cases to the extent of 50 per cent, of 

 the capital. The amount of rubber coming from that country 

 from really private companies, therefore, is comparatively small. 

 Taking the reports of Congo rubber arrived at Antwerp during 

 the first half of 1901, as published in detail each month in THE 

 India Rubber World, the figures permit of the following an- 

 alysis, in the light of the article published in the English paper : 



Kilograms. 



Domaine prive Etat du Congo 1,592,101 



Companies in which the state is interested 614,087 



All other companies 761,831 



Total 2,968,019 



While these figures may be subject to revision, the salient 

 fact remains that the rubber output is largely in the hands of 

 the government. And if half the reports be true, the rub- 

 ber collectors who work for the government agents do not re- 

 ceive such high wages, but that a very comfortable profit exists, 

 at the prices commanded by Congo rubber at Antwerp for 

 several years past. King Leopold may fairly be recognized, 

 therefore, as one of the greatest of rubber merchants. And 

 he can afford to laugh at competition. 



