112 
If rubber containing 20 per cent, or at a maximum, say, 25 per cent, 
of water is shipped the actual amount of dry rubber sent for 2 
cents at pre-war rates would be 80 or 75 per cent., respectively, that 
is to say, each pound of actual rubber will cost 2| cents or 2f cents 
at pre-war rates and 5 cents or 5^ cents at present rates of freight. 
This represents an extra cost on freight of § to f cent at pre-war 
rates and 1 to 1^ cents at present rates. 
This extra cost has now to be compared from an economic point 
of view with the cost of preparing, say, smoked sheet in estate 
factories and this cost is represented when compared with “ slab,” by 
the actual cost of machining, since acetic acid or some other 
coagulant has to be used in the case of both “ slab ” and sheet. 
The lowest factory costs for present first grades is probably 
about 1.5 cents per lb . which includes oil for engines and acetic 
acid, but does not allow for capital cost and depreciation of 
machinery and factory. In the preparation of ‘‘slab” rubber, apart 
from the machinery required to treat 20 to 30 per cent, of the 
crop which is represented by lower grades, all machinery and 
consequently a large factory is eliminated. 
Leaving aside, however, the depreciation on factory and machinery, 
the cost of preparation of first grades is probably not lower than the 
above figure and in the preparation of virgin “slab” rubber the saving 
effected in cost of preparation will at least compensate for the extra 
freight even at present rates, while in most cases and at pre-war 
freights the saving in cost of preparation will probably be from 
1 to 2 cents per pound on many estates. 
The above figures have demonstrated that virgin “ slab ” is 
cheaper to prepare, requiring little care, apart from cleanliness, and 
that the saving on cost of preparation more than compensates 
for the extra freight charges on moisture. 
Two other disadvantages may be mentioned, viz., difficulty of 
fixing duty owing to a possible variable moisture content, and 
secondly the introduction of a new type of rubber may cause 
confusion among manufacturers. The first of these would be 
capable of adjustment in a short time and presents no greater 
difficulty than does Fine Hard Para while the second is not worth 
taking into consideration, since the manufacturer would soon realize 
the value of this type of rubber. 
With regard to the shipping of “slab” rubber in the form 
of crepe, there is no advantage to the producer, in fact possibly 
a slight disadvantage in that the coagulum after maturing for 
six days is very tough and therefore more difficult to machine. The 
advantages* lie entirely with the manufacturer who is obtaining 
a better type of rubber, which is clean and dry, and probably may 
not, if properly packed, require rewashing. 
