106 THE RUBBER INDUSTRY 



State in the Union. Finally Para and Matto Grosso 

 agreed to an annual diminution of 10 per cent, in the 

 existing charge of 20 per cent, until the tax was 

 reduced to 10 per cent on the value of all shipments, 

 the Federal Government on its part undertaking to 

 apply similar terms for the rubber produced in the 

 national territories of the Acre and elsewhere. Ama- 

 zonas refused to join this compact, giving as a reason 

 that the tax in force in that State was only 18 per cent, 

 on the export value, and therefore the action taken by 

 Para, Matto Grosso, and the Federal Government, 

 effected nothing more than the establishment of equal 

 conditions so far as the immediate future was con- 

 cerned. The agreement in regard to the 10 per cent, 

 reduction for Para, Matto Grosso, and the national 

 territories, became operative on January i, 1914, but it 

 is quite inadequate to meet the exigencies of the situa- 

 tion created by the fall in the price of rubber. More- 

 over, the Governor of Para has stated publicly that he 

 favours the retention of the full 20 per cent, for 

 financial reasons and continues to levy that rate. 



At present (January, 1914) the charges on a valua- 

 tion of two shillings per pound of rubber, including 

 the payment of duties at Manaos or Pard, the only 

 shipping ports in the Amazon Valley, are as follows : 



MANAOS 



