and Magazine of the Ceylon Agricultural Society.— May, 1912. 



479 



THE RUBBER OUTLOOK FOR 1913. 



AND FORWARD SALES. 

 We took occasion recently to draw attention 

 to the very favourable forward contracts entered 

 into by plantation companies, not only for 1912, 

 but for 1913. The list is now rapidly growing, 

 and up to the time of writing the top price of 

 4s 9|d has been obtained by the Java Amalga- 

 mated Rubber Estates, Ltd., who have sold for- 

 ward six tons for delivery January to June, both 

 months inclusive, of next year. The total list 

 to date is as follows : — 



Name of Company; 

 Lavant 

 Jeram 



Serdang Central 

 Langkat Sumatra 

 Bandav Sumatra 

 Jugra 



Gula Kalumpong 

 Rubana 

 Straits Rubber 

 Tali Ayer 

 Ulenshiel 

 Sumatra Para 

 Sungei Kruit 

 Kuala Selangor 

 Sungei Kruit 

 Nordanal 

 United Serdang 

 Gula Kalumpong 

 United Sumatra 

 Sumatra Consoli- 

 dated R.K. 

 Java Amalgamated 

 Ba'gan Serai 

 Batak Rabit 

 Glenshiel 

 Kurau 

 Rubana 

 Straits R. Co. 

 Tali Ayer 

 Java Amalgamated 



It is quite certain that many other sales will 

 be added to the list, especially by those com- 

 panies who intend making sure of a minimum 

 price, for part of their crops, during a year 

 when largecrops will undoubtedly come forward. 



This policy is one which renders shareholders 

 more or less independent of the fluctuations in 

 price for which our commodity is noted. By 

 some it is regarded as gambling or rank specu- 

 lation, but by others it is regarded as wise. As 

 a matter of fact it is the ouly prudent course to 

 adopt, especially when by selling such a small 

 portion the companies practically guarantee a 

 dividend to the shareholders. We would be 

 against any plantation company selling the 

 whole of its crop except at a ridiculously high 

 price; given a definite, though perhaps small, 

 dividend by tho sale of a fraction of the year's 

 crop we think shareholders can rightly take 

 their rifks on the balance. 



Sale Charges ON r Forward Contracts. 



It is true that in entering into forward con- 

 tracts the sellers have to take qnusual precau- 

 tion, and frequontly go to extra expense in order 

 that the solvency of the buyer can be guaranteed. 

 The usual brokerage for ordinary sales is \ per 

 cent.; for forward contracts in which the broker 

 qnarantees the solvency of the buyer the com- 

 mission is 1 per cent., or equal to 7 per lb. of 

 rubber selling at 5s. lOd. per lb. 



When, as is occasionally necessary, rubber has 

 to be bought in against the contract, the seller is 



Tons sold. 



Price. 



a 



4s 



4d 





4s 



4d 



a 



4s 



4d 



Q 



4s 



4d 



6 



is 



6d 



78 



4s 



6d 



12 



4s 



6d 



12 



4s 



6d 



21 



4s 



6d 



18 



4s 



6d 



6 



4s 



7id 



24 



4s 



7id 



12 



4s 



fcd 



36 



4s 



8d 



12 



49 



8d 



24 



is 



8d 



I 9 . 



4s 



S£d 



IK 



5s 



9d 



n 



5s 



9d 



i 



4s 



9d 



2 



4s ' 



9d 





4s 



9d 



6 



4s 



9d 



6 



4s 



9d 



6 



4s 



9d 



> j» ." 1 • i 



4s 



9d 



24 



4s 



9d 



6 



4s 



9d 



6 



4s 





sometimes charged a further commission. It is 

 against these commissions which many planta- 

 tion owners are objecting. We believe, from tha 

 representations made to us, that some minimum 

 scale of brokerage for forward sales would lead 

 to more business being done. A clearing house 

 might also make a reasonable representation 

 on this point. 



Plantation Futures and Spot Fine Hard. 



Meanwhile it is a matter for surprise that the 

 demand for plantation sorts has become so keen, 

 manufacturers having evidently overcome many 

 of the difficulties formerly experienced by them. 

 It is remarkable that the price for 1913 planta- 

 tion rubber should be nearly as high as that of 

 spot fine hard Para. Surely this is another 

 sound argument why plantation Para should be 

 quoted as the premier grade instead of tine hard, 

 which is gradually being overtaken in quantity 

 and actual demand. — India Rubier Journal, 

 March 23 



THE AGRICULTURAL DEPARTMENT 

 OF BRITISH GUIANA. 



A colony which is on the eve of launching an 

 Agricultural Depaitment of its own must needs 

 take an interest in the operations of other 

 Crown Colonial departments of agriculture 

 working under tropical conditions. 



From a recent issue of the Demarara Daily 

 Mail to hand, we find that the work of the 

 Agricultural Department of British Guiana is 

 being carried on in the face of some opposition, 

 but it is reassuring to find a responsible member 

 of the Legislature pressing its claims in vigorous 

 terms. He is reported to have said that he 

 was not prepared to hamper the work of the 

 department one iota : and that in an agricul- 

 tural colony one must support the Department 

 that was responsible for the progress of Agri- 

 culture. 



We can only trust that the same liberal spirit 

 will actuate our own Legislative Councillors, 

 and that the new Department of Agriculture 

 will be allowed full scope for carrying on its 

 legitimate work without let or hindrance. 



A matter of deep concern both in British 

 Guiana as well as Ceylon is the conservancy 

 of the Coconut industry by providing means 

 for protecting it against the devastating action 

 of disease. This colony has fortunately enjoyed 

 immunity from any serious disorder affecting 

 the Coconut palm, but the Western tropics 

 would appear to be more liable to the incur, 

 sions of insect enemies and the depredations 

 of fungoid diseases, and it is found necessary 

 to make special provision beforehand for 

 dealing with such contingencies. In the dis- 

 cussion on the question of financial aid in 

 this connection the Colonial Engineer, Mr. 

 J. H. W, Park, (who was the late Assistant 

 Director of Irrigation in Ceylon) illustrated the 

 point he was urging bya reference to his ex- 

 perience in this Colony. He is reported to have 

 said that so me 300,000 palms had had to be des- 

 troyed in Ceylon as the result of this Government 

 being unwilling to adopt prompt measures to deal 

 with an invasion of coconut caterpillars. The il- 



