result of the low prices then prevailing. The quality of the 1903 crop was better than anything brought to the Bahia market for many years, the berry being well developed. This was due to the favorable weather experienced when the coffee was growing, rather than to any improvement in the collection of the berry or the care of the plants. The prospects of the new crop can not be said to be favorable, owing to the drought, which has caused the berries to become dry and fall. "Contrary to all anticipation the cocoa crop was smaller than the preceding one. Unseasonable weather during the flowering time is given as the cause of the reduced crop, which only ran to 262,513 bags. The area of production has again been increased by new plantations, and it is hoped that the 1904 returns will show a marked improvement. Competition is so keen among exporters that very little margin is left for commission to those engaged in the trade, and even this is often further reduced owing to the frequent claims made by the receivers. Machinery is hardly ever employed by the planter for the drying of beans, although it is evident that its use could not fail to be of great benefit whenever the weather proved unseasonable. "India rubber improved greatly during the past year. An increasing and steady demand from Europe caused the discovery of new sources of supply in the interior of this State. Vast forests of manicoba, the existence of which was never suspected, were exploited and a grade of rubber supplied far superior to anything hitherto seen on the Bahia market. The rubber is collected by natives." MINING NOTES. A rich lead mine has been discovered at Machadinho, municipal district of Abacté, in the State of Minas Geraes. A rich deposit of amianthus has been recently discovered at San Thomé das Lettras, municipal district of Campanha, in the State of Minas Geraes. CHILE. CUSTOM-HOUSE REVENUE. The total of the custom-house receipts of the Chilean Republic, during the month of August, 1904, amounted to $7,337,352, of which $4,069,472 corresponded to export duties and $3,267,880 to import duties. During the corresponding month of 1903 the total revenue was $6,551,114, of which $3,690,590 proceeded from export duties and $2,860,534 from import duties, showing an increase of $786,238 for August, 1904. During the first eight months of 1904 there was an increase in the revenue of $3,593,001, compared with the same period of the foregoing year. Of this latter sum, $1,736,598 was due to an increase in the exportations of nitrate, and the balance of $1,850,403 to a general improvement in commercial circles and the consequent increase of importations. The customs receipts at Valparaiso for the month of August amounted alone to $2,259,512.91, being nearly half of the total receipts, and showing a difference of $198,163.23 in favor of 1904, the receipts for the same month of last year amounting to $2,061,344.68. For the eight months of 1904 the amount received was $14,080,001.29, showing an increase, as compared with last year, of $815,317.64. In the following table will be found the amount contributed to the revenue by each custom-house in August, 1903 and 1904, showing Iquique as the largest contributor with Valparaiso in the second place: The trade of Chile with the United States in 1902, 1903, and 1904 was represented by the following figures: A NEW INSURANCE LAW. According to a report forwarded by Consul R. E. MANSFIELD from Valparaiso to the Department of Commerce and Labor of the United States, a law affecting foreign insurance companies operating in Chile has been passed by the National Congress and will go into effect in December of this year. The bill divides fire companies into first and second class; those with a capital of 500,000 pesos ($182,500) and more to belong to the former and those with a capital of less than that sum to the latter. In estimating the capital of a company the reserve and accumulated funds will be considered as capital. Fire companies of the first class will be required to deposit 300,000 pesos ($109,500) and those of the second class 200,000 pesos ($73,000). Companies insuring against maritime and agricultural risks exclusively will be required to deposit 50,000 pesos ($18,250). The deposits may be invested in unencumbered real estate in Chile, in currency or sterling, or in bonds of institutions accepted by the President of the Republic. Life insurance companies will be of two classes, first and second. The former will be required to deposit, under the same conditions as fire companies, 400,000 pesos ($146,000), and the latter 300,000 pesos ($109,500). They will also be required to deposit 20 per cent of their yearly premiums. Insurance companies will also be subject to a yearly tax as follows: Fire, first class, 3,000 pesos ($1,095); second class, 2,000 pesos ($730); life, first class, 4,000 pesos ($1,460); second class, 3,000 pesos ($1,095). DEVELOPMENT OF THE MAGELLANES TERRITORY. The territory of Magellanes, which has an extent of 19,000,000 hectares, is destined to a great future. This part of the Chilian territory owes its present prosperity to sheep raising and to the discovery of gold mines. The annual exports of wool abroad amount to 55,000,000 and 60,000,000 kilograms. Sheep skins figure in the exports for the sum of 230,000 to 250,000 piasters. Sheep raising is distributed as follows: Terre de Feu, 1,200,000 head; adjacent islands, 225,000 head; territory of Magellanes, 2,750,000 head. The sheep which grow in this region seem to be native to the country and furnish a strong, silky, and white wool. To gain an idea of the profits which this commerce yields it is only necessary to note the fortunes realized in a short time by the cattle. raisers of Magellanes. Stock raisers who have begun with a capital of 20,000 to 40,000 piasters ten or fifteen years ago are now owners of 60,000 to 90,000 head. The exports of wool from Chile for last year were as follows: Bull. No. 2-04- -11 Common wool: To France, 177,214 pisasters; Great Britain, 193,227 piasters; Germany, 34,100 piasters; United States, 87,950 piasters. Merino wool: France, 55,628 piasters; Great Britain, 432,110 piasters; United States, 133,357 piasters; Germany, 968 piasters. Mixed wool: France, 11,924 piasters; Great Britain, 107,648 piasters; United States, 125,940 piasters; Belgium, 2,800 piasters. INDUSTRIAL PROGRESS. [From "Berichtenüber Handel und Industrie," a German commercial and industrial paper, of July 29, 1904.] A short time ago Chile solemnly opened a Permanent Industrial Exhibition. The President presided, surrounded by the leading people of Chile and the entire foreign diplomatic corps. The day is referred to as one marking a new era in the development of the country. The Permanent Exhibition owes its origin to the efforts of the Sociedad de Fomento Fabril (Society for furthering manufactures), an active organization that secures subsidies from the State for the support of technical education, and which aims, above all things, at the protection of Chilean industries. The tariff legislation of Chile, during the last six or seven years, is traceable to this organization, particularly to the opinions submitted by its experts to the Chilian Government. Hitherto the society has supported an industrial museum in Santiago, Chile's capital. In this were exhibited machines, implements, tools, etc., of Chilean and foreign production. Most of the space was taken up by machines and furniture. In the new permanent museum or exposition, in which Chile's exhibit in the Paris Exposition of 1900 is to have a permanent place, foreign as well as Chilean samples and models will be exposed. It is hoped and expected that the new venture will so commend itself to the country as to secure a healthy and steady growth. It is to be divided into five parts: (1) Permanent exposition of factory and industrial products; (2) a.museum of industrial and art industrial models; (3) an exposition of foreign products; (4) a museum, or exposition, of Chile's raw products; (5) a library and periodic special expositions. By means of the exposition, parties interested in commerce and manufactures will be made more and more familiar with Chile's productive capacity and with the quality of the home-made articles, etc. Thus they will be induced to give them a chance in competition with foreign wares. The bringing in and exhibition of foreign models is expected not only to serve to secure extended sales in Chile, but successful imitation on the part of Chilean manufacturers and ultimate independence, even in the more intricate and complicated forms. They will also serve to further Chile's efforts to secure better technical education in its industrial schools. Inasmuch as the industrial development of Chile will never be as fast as the Sociedad de Fomento desires, even though its recorded progress in recent years has been remarkable, the museums of the exposition must serve not only educational purposes, but to secure sales of machines and other articles exhibited. The participation of foreign manufacturers in the Permanent Exposition will be decided by and by, when the different departments take on a definite line of development. This is only a matter of a few months at most, since parts of the permanent buildings are already occupied. In these, up to date, there is nothing on exhibition except agricultural machines, implements, etc., of Chilean manufacture, and these only in limited numbers. Mining and the saltpeter industry have not been assigned to the Sociedad de Fomento, but to the Sociedad de Mineria (Society of Mines). Viticulture is not well represented. This is true of the paper, meat preserving, match, and furniture industries. The sugar industries have indicated their purpose to participate both in the permanent and in the special exhibitions. A large number of the articles exhibited have been made from imported raw materials or from half-manufactured products bought and brought in to encourage home industries. Among these he finds chocolate, liquors (particularly imitations), honey, sauces, mustards, preserved fish, fruit and vegetable preserves, jellies, English pickles, chicory, preserved milks, starches, soda waters, lemonades, children's foods, beers, wine, champagnes, olive oils, etc. Besides these, the production of salt should be mentioned. Then there is a group for fats, oils, soaps, etc., of Chilean production, and another for chemical products. Paper makers are not yet represented, because the largest concern in the country is financially embarrassed. There are exhibits of leather, shoes, gloves, etc. In shoes Chile is doing well. The demand is fairly well met by the native producers. There are exhibits of dry goods of all kinds. Efforts to establish cotton and woolen factories have been fairly successful. English capital has been employed in these lines, particularly in the cotton mills. Foreign capital and foreign training are being employed in all lines, but particularly in textiles, to put Chile in a position where it can make the most of what it possesses. The stone and clay industries have done very well in Chile and are well represented in the exposition. Cement factories are doing so well that they can count on a long period of prosperous activity. The manufacture of lime is keeping pace with the wants of Chile except in the finer qualities wanted in the sugar mills. The manufacture of glass is also successful as far as it has gone. There are pretentious exhibits of woodwork, particularly |