392 PAPER IN FOREIGN COUNTRIES. 



Nothing is manufactured out of paper here. The increase in 

 consumption will be very slow. The Dutch dominate all branches 

 of trade here, including paper. 



WATER POWER, FUEL, RAW MATERIAL, AND LOCAL TRANSPORTATION. 



There is an unlimited amount of water power, practically entirely 

 undeveloped. The coast cities of Java and Sumatra have mountains 

 immediately back of them, from which flow copious streams. These 

 are turned into canals, which run through the cities into the sea. 

 . The principal fuel here is coal, which costs about $7.50 per ton 

 and generally comes from Australia, although recently a cargo came 

 out from Baltimore. The planters also use much wood and sugar- 

 cane refuse, which costs next to nothing and is good fuel. 



The materials for paper making are bamboo and long grass, in 

 unlimited quantities; a very small quantity of rags is available. 



Transportation facilities are good. There are railroads running 

 all over the island and frequent coastwise steamers from one town 

 to another. 



There is no apparent reason why paper should not be made here, 

 except that the price of imported paper is so low that no one dares 

 to try. Many have talked of it, but up to the present moment no 

 attempt has been made. 



IMPORTS. 



See under "consumption" for classes and prices of paper im- 

 ported. 



The paper comes chiefly from Holland, Norway, Belgium, and 

 Germany; but, as it is all, or nearly all, imported through Holland, 

 it is entered at the custom-house as Dutch paper. The value of the 

 paper imported for 1897 is given at the custom-house as a little over 

 $500,000. 



BANKS, DUTIES, AND MAIL FACILITIES. 



The banking facilities here are excellent, there being several 

 large Dutch banks and two English ones which sell and buy exchange 

 on all parts of the world at lowest rates. 



The duty on paper of all kinds is 6 per cent ad valorem. 



Mail takes four weeks to Europe, five weeks to the United States 

 (east coast), and four and one-half weeks to San Francisco. There 

 are cable connections with all parts of the world. 



FOREIGN TRADE. 



No country, except Holland, is doing anything to build up the 

 paper trade, the principal reason being that the colonial govern- 

 ment, which is by far'the largest consumer taking nearly half of the 

 paper used here will buy only of firms in Holland. 



