SOUTH AMERICA: CHILE. 361 



All duties are collected in Chilean gold pesos, or dollars, valued at 

 36 cents in American gold. There are sixty-nine distinct classifi- 

 cations of paper in the tariff. 



WATER POWER AND MILLS. 



An incalculable force can be utilized from the mountain streams 

 running through the central and southern provinces. Many of these 

 are near railroads. There are but few navigable rivers, and those 

 that exist are distant from the centers of commerce. The sea offers 

 easy and cheap access to the most important cities and towns. 



There are 3 paper, 30 flour, and about 20 saw mills run by water 

 power exclusively. 



FUEL AND PAPER MATERIALS. 



There is abundant wood fuel in the south. Chilean coal is plenti- 

 ful and is used on the railroads and for manufacturing purposes. It 

 is an excellent combustible, but is inferior to foreign coal. Chilean 

 coal costs the equivalent of $5 in American gold per ton of 1,000 

 kilograms (2,204.6 pounds) at the coal ports of Lota, Coronel, and 

 Lebu, and from the mines of Arauco and Carampangue. Australian 

 (Sydney) and English coal costs on board in the bays and harbors 

 of Chile the equivalent of $6 in United States gold per ton of 2,240 

 pounds. 



Among raw materials suitable for making paper may be men- 

 tioned palm trees, canes, palm leaves and pods, straw, rags, waste 

 paper, old rope, bagging, etc. The quantities are variable; straw 

 abounds. 



MACHINERY. 



Facilities for making machinery exist, but its cost would exceed 

 that of machinery imported, which is duty free. 



WAGES. 



The wage of a laborer working ten hours per day is $i to $1.50 

 in Chilean paper currency per day; skilled labor and mechanics' 

 wages range from $125 to $150 in Chilean paper currency per month. 

 The Chilean dollar (paper currency) is worth to-day 27 cents in 

 United States currency. 



PRODUCTION. 



The production is confined to coarser qualities of paper for wrap- 

 ping. No fine papers or any kind of wall papers are made. 



There are 3 paper mills, all run by water power i in Quillota, i 

 in Ocoa, and i in Buin. None of them is doing what may be con- 

 sidered a remunerative business. The machinery of the Quillota mill 



