THE 



TROPIGAL AGRICULTURIST 



AND 



MAGAZINE OF THE 



CEYLON AGRICULTURAL SOCIETY. 



Vol. XXX. COLOMBO, 15th MAY, 1908, No. 5. 



The Price of Rubber. 



What we predicted some years ago 

 has come to pass, the price of rubber is 

 from 3s. to 4s., aud there seems little 

 likelihood of any serious insrease be- 

 fore the production of large quantities 

 of plantation rubber will tend to keep it 

 down. The sudden drop in price is 

 probably the best thing that could have 

 happened for the rubber planting in- 

 dustry, for it has checked tne rapid 

 extension which was going on every- 

 where, and which would soon have spelt 

 overproduction. People in Ceylon and 

 Malaya were planting rubber feverishly, 

 as if no other country were concerned, 

 forgetting that Java, Borneo, South 

 India, Sumatra, and many other coun- 

 tries were doing the same, that Mexico 

 had a very large area already ulanted, 



and that Ecuador was exporting larger 

 quantities of cultivated rubber than 

 Ceylon. At 3s. or even 2s. 6d. there is a 

 very good margin of profit in rubber, 

 and people will now be driven to ex- 

 perimenting with a view to getting 

 the best results at the cheapest rate, 

 just as in tea or cacao. T he only people 

 likely to suffer are some of the over- 

 capitalised companies started during the 

 height of the boom. 



Many persons are asking why the new 

 uses predicted when the price fell to 3s. 

 are not already visible, but they must 

 remember that the price must be certain 

 to remain low before anyone will bring; 

 in new uses for rubber. After it has 

 remained low for say two years, we may 

 expect to see them. 



