It is believed that by that time the inferior qualities furnished by Africa, Central America and even by Brazil, will gradually have disappeared from the market. In order to meet the consumption which, if progression that hitherto has taken place, continues, will then be of 98,603 tons, the production of Brazil and of the Orient together will surely render a quantity much superior to that demand. The average cost per Kilo of fine Pará rubber in the valley of the Amazon is from 3$000 to 3$500; in India of 2$650; however, this difference should disappear under the operation of the Rubber Defence Act, which is inserted further on, and the possible augmentation of the price in the Orient, where manual labor will become dearer later on when all its plantations are in full exploitation, and by the consequent scarcity of labor, against which agriculturists are already commencing to struggle. The industrial element still continues to give preference to the Brazilian rubber, this being better in quality, =nerve= and in elasticity—properties these which may probably be attributed to the process of curing, which is not employed in the Orient, or possibly to the meteorologic and climate conditions, the geological composition of the soil, etc. It is true that the quotation for planted rubber has been superior to that of wild rubber, but it is advisable not to forget, that while the former shrinks only 3 per cent, and has a much better appearance, the latter loses 18 per cent of its weight. The price difference is thus amply explained and when accounts are made up it is still the fine quality from Pará that is the better quoted. THE INDIA RUBBER PROBLEM—MEANS SUGGESTED AND RESOLVED BY THE STATES Threatened with losing the predominant position it has always occupied in the rubber market of the world, Brazil could not, without committing an economical suicide, remain inactive. The time having come when native rubber would enter into competition with planted rubber, Brazil had to defend its interests by becoming equipped for the struggle, making the cost of its product cheaper in order to ensure its occupying an advantageous position in the market. Many are the causes which at present contribute to the high cost of Brazilian rubber, but they may be united into three groups, as follows: 1st, expensive labour; 2nd, heavy transport tariffs; and 3rd, excessive export taxes. The expensive labour is due to the scantiness of population in the Amazon valley, the want of foreign immigration to compensate it, and the high cost of food supplies.