— 90 — 



mentions that the Board of Trade 1 ) at Savannah appoints a special com- 

 mittee consisting of two factors and two exporters, the personnel of 

 which changes every two months, to which is entrusted the duty of 

 fixing the prices of the twelve brands of colophony and of the different 

 qualities of turpentine oil. I. e. "water white" "standard", "off one shade", 

 "off two shades" and "off three shades" (the last-named, however, is not 

 maketable, — or rather for "turpentine oil" pure and simple, for the 

 various qualities are mixed in order to restrict the sales to one standard 

 quality. The findings of this committee must be those of a majority of 

 the members, and if necessary an additional factor and an additional 

 expo rter are elected to sit on the committee. 



Mr. Carson, who is himself the head of the senior firm of factors at 

 Savannah, writes on the position of the factor in the industry. The factor 

 is to all intents and purposes the selling agent of the producer, whose 

 home is generally far away in the woods, he is also his confidential man 

 and adviser and not infrequently his banker. He buys up the merchandise 

 and passes it on to the jobbers, who on their part supply the retail tradesmen 

 and other consumers. There are several reasons against the concentration 

 of purchase and sale in one hand (a plan which has already been tried), 

 the principal of these being that the factor keeps no stock, but has to 

 dispose of his goods according to requirements and occasion, as the 

 condition of the market and the prices may demand. In these circumstances 

 it is the dealer or jobber rather than the factor who runs the risk of any 

 fluctuations in price that may occur. 



According to Saussy, the turpentine industry in Mexico 2 ) is still in 

 the initial stage; its unfavourable position being mainly due to its scattered 

 character and to the location of the distilleries far from the great railway- 

 lines and main arteries of traffic, and at much higher altitudes. The 

 conditions of labour are said to be good, but Saussy complains bitterly 

 about the constant interference of the tax-collectors, which is unknown in 

 the United States. Not only is there a tax of 10 centavos (2 x /2 d. or 5 cents) 

 upon every tree which is tapped — an impost which is only remitted 

 under special conditions — but every business-book (cash-book, day- 

 book, $c.) is taxed, every page of every book having to bear a stamp of 

 5 centavos. These burdens, as well as many others unknown in the United 

 States, such as income-and receipt-taxes, make it difficult for the American 

 citizen to accustom himself to the peculiar conditions of the country. 



The present position of the wood-turpentine industry is described by 

 H. E. Grant, Secretary Wood Turpentine Association. It is only within the 

 last few years that wood turpentine has been produced with any degree 

 of success, failures, losses and disappointments having previously been 



1 ) Perhaps "Chamber of Commerce" better expresses the British idea of the functions 

 of such an organisation. 



*) Comp. Report November 1908, 118. 



