STATE OF PARA, BRAZIL I^WS FOR THE Protection of the Rubber Industry AND FOR Encouraging the Cultivation of other Plants of Industrial or Economical Utility, and for the Establishment of Mills for Purifying Crude Rubber DECREES OF THE STATE OF PARA No. 1 1 09, Dated November 6th, 1 909 No. 1179, Dated May 17th, 1911 No. 1214, Dated November 4th, 1911 No. 1219, Dated November 4th, 1911 No. 1238, Dated November 6th, 1911 AND DECREE OF THE FEDERAL GOVERN- MENT OF BRAZIL No. 2543 A, Dated January 5th, 1912 ISSUED BY THE COMMERCIAL ASSOCIATION OF PARA New York, September 23, f912 STATE OF PARA, BRAZIL LAWS FOR THE Protection of the Rubber Industry AND FOR Encouraging the Cultivation of other Plants of Industrial or Economical Utility, and for the Establishment of Mills for Purifying Crude Rubber DECREES OF THE STATE OF PARA No. 1 1 09, Dated November 6th, 1 909 No. 1179, Dated May 17th, 1911 No. 1214, Dated November 4th, 1911 No. 1219, Dated November 4th, 1911 No. 1 238, Dated November 6th, 1911 AND DECREE OF THE FEDERAL GOVERN- MENT OF BRAZIL No. 2543 A, Dated January 5th, 1912 ISSUED BY THE COMMERCIAL ASSOCIATION OF PARA New York, September 23, 1912 Digitized by the Internet Archive in 2017 with funding from Columbia University Libraries https://archive.org/details/lawsforprotectioOOpara Distributed by the PAN AMERICAN UNION Washington, D. 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The Legislative Congress of the State, under the adminis- tration of his Excellency Dr. Joao Antonio Luiz Coelho, has decreed the following laws for the protection of the cultivation of the rubber tree (Hevea Br-aziliensis) and other plants of economical utility ; Law No. 1,109 dated 6th November, 1909, grants prizes and concessions to growers in the State, who, either them- selves, or companies they might organize, grow rubber and cocoa trees. This law has brought about the actual initiative of cultivators, there being already inscribed 80 candidates for the prizes, and other concessions granted by it, with the object to plant eight million three hundred and sixty thousand rubber trees, and two million five hundred and thirty-two thousand nine hundred cocoa trees. Law No. 1,214 dated 4th November, 1911, authorizes the Governor of the State to contract with one, or more companies, whether National or Foreign, the plantation of rubber trees (Hevea Braziliensis), by means of several concessions, notably the concession of State lands up to two hundred thousand hectares, and the reduction on the export duties. The Companies Societe Agricole du Para, and the Syndi- cate Franc-Bresilien have already contracted the culture of the Hevea Braziliensis, and are beginning their work. The Companies which hold the concessions under this law, according to Article No. 2, principally are obliged to plant not less than fifty thousand rubber trees, during the first five years, to count from the date of the signing of the Contract, and twenty thousand each year after this lapse of time, as far as the land granted allow them to do so. Law No. 1,219 dated 4th November, 1911, grants conces- sions to each one of the six establishments which are main- tained in the agricultural centres of the State, for the mechan- ical preparation and treatment of rice, corn, beans, cotton, and other products of the agricultural industry. 4 Law No. 1.238 dated 6th November, 1911, authorizes the Governor of the State to grant concessions of State lands, in the zone of the Brazilian Guyana, belonging to the State of Para, granting the advantage of free acquisition to those who undertake to divide the land into lots proper for the Pastoral and Agricultural Industry, without cost to the State, up to one hundred thousand hectares. Federal Law No. 2543A dated 5th January, 1912, estab- lishes measures with the object to facilitate and disenvolve the cultivation of rubber, Caucho, Manitoba, and Mangabeira, and the gathering and preparation of the rubber extracted from these trees, and authorizes the Executive Power not only to open the necessary credits for the execution of such measures, but also to execute such operations of credits which might be necessary. 5 Decree No. 1109, dated 6th November 1909 Granting premiums and advantages to agriculturalists OF THE State. The Legislative Congress of the State of Para decreed and I ratify the following law : Article 1. — To agriculturalists of the State who alone, or by associations which they may organize, complying with the conditions of the present law, the following premiums will be allowed, to be paid by the Financial Secretary of the State : (1) Of five hundred milreis*, for each lot of five hundred rubber trees, well planted; (2) Of one hundred and fifty mil- reis, for each lot of five hundred well planted cocoa trees. Art. 2. — In order to enjoy the rights to the premiums established by the present law, the agriculturalists or associa- tions must, in their plantations, follow and execute the rules prescribed by the Agricultural Department of the State, to whom they will have to communicate when they commence planting. Art. 3. — The premiums will be paid by instalments as follows : o) For plantations of rubber trees, the premium will be divided into four equal contributions which will be paid, as follows : The 1st at the end of the first year after the con- clusion of the planting ; the 2d at the end of the second year ; the 3d at the end of the third year; the 4th at the end of the fourth year. Art. 4. — ■ Before the payment of each instalment of the preceding premiums an employee of the Agricultural Depart- ment, duly appointed by the Government, will verify the num- ber of plants and their age and he will draw up a bond which must be signed by him, by the owner of the plantations and two witnesses who should be, whenever possible, two neigh- bouring agriculturalists. * Milreis = about 16 pence, say 32c. 6 § unique. If, at the time of verification of one of the lots of plants to be awarded, they verify at request of the planter that there are further new plantations, forming new lots, same will be noted separately by another bond, for the concession of a new premium, which will only be conceded on the stated periods established by this law. Art. 5. — If the verified plantations should not have Deen made according to the instructions given by the Agricultural Department of the State, or if they are not in a healthy condi- tion, under protest of the examiner or others the Government may refuse to pay the premium. § unique. In this case the planter claiming the premium, will have the right to ask the Government to nominate a com- mission of three professional men to judge the justice or injus- tice of the protest. Art. 6. — If at the time of any subsequent verificatioti made after the payment of the first instalment of a premium, they note that the number of plants formerly verified do not exist, the payment of the other contributions of the premium will be suspended until the number of plants be completed. Art. 7. — To every agriculturalist or association which will inform the Agricultural Department of the State that they are prepared to start planting, according to this decree, the following advantages will be conceded : a) A gratuitous annual distribution of five hundred kilos of chemical manure during four consecutive years; b) A gratuitous delivery of seeds, plants, instructions and pamphlets ; c) Gratuitous instructions about tilling, planting, &c. ; d) Gratuitous transportation by the Estrada de Ferro de Braganga (Braganga railway, — belonging to the State) and all navigation lines subventioned by the State, for all ma- chinery, material, plants, seeds, fertilizing manure, animals for transport work as well as for breeding purposes. 7 Art. 8. — • The owner of plantations, made according to this law, will furthermore enjoy the following advantages: a) For rubber: the reduction of export duties on the rubber produced, viz. : of 50% for the first ten years of pro- duction, and, of 30% for the following twenty years, and a reduction of 30% on the tariff of freights by the Estrada de Ferro de Braganga and all navigation lines that are subven- tioned by the State. b) For cocoa; a reduction of 30% on the export duties for 20 years to count from date of first crop and a similar reduction on the freight tariff of the Estrada de Ferro de Braganga and all navigation lines that are subventioned by the State. Art. 9. — In order to enjoy the privileges conceded by the preceding article, the producers must use on the bags, cases and other packages in which they may pack their produce, a distinct mark which must be duly registered in the Chamber of Commerce (Junta Commercial). Art. 10. — To agriculturalists or associations who request it, (to be utilized as plantations as indicated in this law), lots of land, not exceeding 100 hectares in all, will be sold at a reduction of 50% from usual legal prices. § 1. — The sale will be made good by means of a defini- tive deed when it is proved that in the same lands there exist plantations that have a right to premiums superior to the cost price of the lands. § 2. — If after three years, it be proved that the clause of the preceding paragraph is not complied with the sale will be considered void, all the lands reverting to the State’s dominion with the improvements existing thereon, without the right of indemnisation or restitution of the amount paid for them. Art. 11. — The Government will decree, as a fixed rule to this law, all necessary steps it may think fit, for its good execution and will open the necessary credits for the payment of the premiums instituted. 8 Art. 12. — All legal dispositions in opposition to this law are hereby revoked. The State’s Secretary of Public Works, Lands and Roads will see to the execution of the present law. Government Palace, of the State of Para, the 6th November, 1909, twenty-first year of the Republic. Signed : JoAo Antonio Luiz Coelho. Innocencio Hollanda de Lima. 9 Decree No. 1179, dated 17th May 1911 Authorizing the concession of advantages for a time not EXCEEDING 15 YEARS, TO PERSONS OR COMPANIES THAT MAY TAKE UPON THEMSELVES THE ONUS OF ESTABLISHING IN THIS CAPITAL MANUFACTORIES FOR THE PURIFYING OF INDIA-RUBBER ; AND PROVIDING FOR , OTHER NECESSARY RULES RELATING THERTO. The Legislative Congress of the State of Para has decreed and I ratify the following law : Article 1. — The Executive Power is hereby authorized to grant the advantages which they may consider necessary, including the exemption of taxes or duties (except those of exportation), for a time not exceeding fifteen years, to all per- sons or companies which may assume the compromise of estab- lishing, in this capital, manufactories for the purification of rubber, in order to permit the exportation of a single uniform type of first quality. Art. 2. — The chemical procesess employed in the purifica- tion and in the antiseptic preservation of the produce must in no manner damage it chemically or physically, and must not in the least prejudice its industrial value. Art. 3. — The Executive Power when making the conces- sions, will determine the conditions of same, the terms, rights and liabilities of the concessionaires and will fix the amount they will have to pay for fiscalizing on the part of the Gov- ernment. Art. 4. — As soon as the purification factories will be in operation, the Executive. Power will make uniform the rates that are now collected on rubber exported, so that the inter- mediate and lower grades may disappear for the benefit of the collecting of duties. Art. 5. — If the amount of the duties on rubber thus uniformed exceeds in an appreciable manner, during the first six months, the amount collected during the same period of the 10 past year, the Executive Power will send to Congress at its first meeting the necessary information which will allow them to reduce the rates of taxes. Art. 6. — Every legal disposition in opposition to this law is hereby revoked. The State’s Secretary of the Department of Public Works, Lands and Roads, will provide that said law be carried out. Government Palace of the State of Para, the 17th May of 1911, twenty-third year of the Republic. Signed ; JoAO Antonio Luiz Coelho. Innocencio Hollanda de Lima. 11 Decree No. 1214, dated 4th November 1911 Authorizing to contract with one or more national or FOREIGN COMPANIES, THE PLANTATION AND THE EXPLORA- TION OF THE RUBBER TREE. The Legislative Congress of the State of Para has decreed and I ratify the following law: Article 1. — The State Governor is hereby authorized to contract with one or several national or foreign companies the planting and exploration of rubber trees {Hevea hraziliensis) by conceding the following advantages : a) The concession of vacant lands up to 200,000 hec- tares* duly marked out, in due legal form, in conformity with the public land-laws, for the planting and exploration service of the company; b) Reduction of State’s export duties on cultivated rub- ber produced, viz. : ( 1 ) — 50% during the first ten years to count from the date of the first exportation, (2) — 40% during the next ten other years, (3) — 30% between the 20th and the 30th year of ex- portation, (4) — 20% from the 30th to the 40th year, (5) — 10% from the 40th to the 50th year. c) Reduction of tariff on the State’s railways and on the freight tariff of steamers which are subventioned or enjoy other Government favors, for all cultivated rubber produced by the company viz : (1) Of 30% during the first 20 years. (2) Of 20% up to the 30th year. (3) Of 15% from the 30th to the 40th year. (4) Of 10% from the 40th to the 50th year. * hectare = 2.47 acres. 12 d) If the company also cultivates cocoa, nuts and other products of economical value, the company will enjoy the same advantages mentioned under b and c. e) Exemption of State’s business taxation for ten years for the factories of mechanical improving of goods of its pro- duction. § unique. The Governor will provide equal advantages to the different municipalities. Art. 2. — In exchange for these advantages the company engages itself to : ( 1 ) Plant at least 50,000 rubber trees during the first five years of the concession, to count from the date of the signing of the contract and, 20,000 every year after this term, so long as the expansion of land will allow. (2) To register its firm in the Agricultural Department of the State, where a copy of the contract must be deposited. (3) To carry out in its planting the instructions laid down by the board of Agriculture. (4) To furnish a statistical note of number of trees planted, their state and the production in general of rubber and other products. (5) To employ on the bags, cases and other packages of goods of its production a mark which must be duly registered m the Chamber of Commerce (Junta Commercial) according to law. (6) To allow the Government to fiscalize over all the company’s services. Art. 3. — The concession of vacant lands will be made by provisory right title delivered at the time of demarcation, and which will be substituted by a definitive title as soon as the company will have made the plantations according to clause No. 1 of Art. 2. 13 Art. 4. — The concessions made according to this decree will be considered as falling of itself, for all effects, reverting to the State all lands, improvements made thereon, without any indemnisation on the part of the State if, after five years from the date of signing of the contract the company has not planted at least 50,000 rubber trees in a healthy state and complied with all the conditions of this decree unless under unforseen circum- stances as the Government may think fit. Art. 5. — The State Government will endeavor to obtain from the Federal Government, for the concessionaires, the ex- emption of custom house import duties for all machinery, etc., and other things that will be necessary for the preparing and culture of the ground. Art. 6. — 'The advantages under Art. 1 (b and c) will also be granted to agriculturalists to which the decree N° 1,109 of the 6th of November refers to, being in consequence annulled Art. 8, letters a and b of same decree. Art. 7 . — The concessions made to the following are ap- proved, to the — Societe Agricole du Para — and — Sindicat Franc-Brezilien — represented by the Baron Ferdinand Pas- quier, and Carlos MIeisel, according to the contacts of the 6th of May and 16th of August of the current year, registered in the State’s Financial Offices. Art. 8. — ■ The decree N® 1,100 of 5th November of 1909 is herewith cancelled as well as all legal dispositions in opposition to this decree. The State’s Secretary of the Department of Public Works, Lands and Roads will see to the execution of this law. Government Palace of the State of Para, the Ath of November of 1911, twenty- third year of the Republic. Signed : Jo.\o Antonio Luiz Coelho, Innocencio Hollanda de Lima. 14 Decree No. 1219, dated 4th November 1911 Granting advantages to each of the six establishments THAT MAY BE MAINTAINED IN THE AGRICULTURAL CENTRES OF THE STATE FOR THE IMPROVEMENT OF RICE, MAZE, BEANS AND COTTON. The Legislative Congress of the State of Para has decreed and I ratify the following law: Article 1. — To each of the six establishments that may after the date of the present law organize in the agricultural centres of the State, wherever the Government may choose, for mechanical bettering of rice, maze, beans or cotton, the follow- ing advantages will be granted : a) An annual subvention of two contos de reis* for four years, counting from the definite inauguration of same. b) Exemption of all State taxes for ten years. c) Gratuitous transport by the Estrada de Ferro de Braganca (railway to Braganga) or any other State railway or by vessels or steamers which receive benefits from the State, for all machinery, materials, plants, seeds, manure and first class breeding animals of any description. d) A reduction of 20% on freights on the tariff of the Extrada, de Ferro de Braganga and other lines of the State or steamers subventioned or assisted by the State Government for the cultivated produce. c) Exemption of the State export duties on the produce of the factories for ten years. f) A gratuitous distribution of seeds, plants, instructions and pamphlets. Art. 2. — To all other factories for the bettering of rice, maize, beans and cotton and those of dairy products already established or to be established in the future the advantages under Art. 1, letters b, c, d, e and /, will be granted. * 1 conto de reis = say $332. 15 Art. 3. — To the factories for bettering, by mechanical process, tobacco, cocoa, mandioca, textile plants the extraction of animal and vegetable oils, flesh, fruits, preserved fish and preparing of leather, the advantages under Art. 1, letters b, c, d, e and f, will be granted, as also the reduction of 30% of the State’s export duties. Art. 4. — To the refrigerating concerns that may be or- ganized in the State for providing the population and export fresh meat, fresh fish, fruits, dairy products, vegetables, eggs, game and flowers of national production, it will be granted for twenty years the exemption of State’s duties. § unique. The Governor of the State will make an agreement with the municipal districts of the State in order that they grant exemption of duties to the said factories, ac- cording to Art. 1, 2, 3 and 4. Art. 5. — The factories which Art. 1, 2, 3 and 4 refer to, if they want to enjoy the advantages of the present decree,, must comply with the following conditions : (1) Have their firm or name registered in the State’s. Agricultural Department. (2) Employ for cases, bags, baskets in which they may pack their produce, a mark that must be duly registered in the Chamber of Commerce (Junta Commercial). (3) Help the State in the distribution of seeds from their establishments to the agriculturalists in their neighbor- hood. (4) Admit at their expenses in the service of the fac- tories at least five young boys, orphans or poor, in order to give them a professional education. (5) Observe and follow the instructions or orders of the Agricultural Department of the State. (6) Deliver to the Agricultural Department of the State an exact annual statistical note showing the production of the establishment, the number of workmen employed and their respective salaries. 16 (7) Give to the Agricultural Department of the State any useful information which they may require. Art. 6. — The State Governor is hereby authorized to make an agreement with all owners of steamers in the State who have navigation lines in the rivers of its territory, whether they receive a government subsidy or not, to obtain a reduction or exemption of freight for agricultural products in general, machinery, plants, seeds, manure and the products of the fac- tories included in this law. The Governor will concede for an indefinite time a reduc- tion or exemption of State’s duties and other advantages he may consider convenient by means of a contract to all owners or charterers of steamers which consent to make the conces- sion mentioned in this article. Art. 7. — All legal dispositions in opposition to this decree are hereby revoked. The State’s Secretary of the Department of Public Works, Lands and Roads will see to the execution of this law. Government Palace of the State of Para, the 4th November of 1911, twenty- third year of the Republic. Signed : JoAo Antonio Luiz Coelho, Innocencio Hollanda de Lima. 17 Decree No. 1238, dated 6th November 1911 Authorizing the concession of vacant lands in the zone OF THE BRAZILIAN GUYANA AND ORDERING OTHER DISPO- SITIONS. The Legislative Congress of the State has decreed and I ratify the following law : Article 1. — The State Governor is hereby authorized to make concessions of vacant lands in the zone of the Brazilian Guyana, belonging to the State of Para, granting advantages of gratuitous acquisition to all those who take upon themselves, without onus for the State, to divide the same lands into appro- priated lots for agricultural and pastoral industry up to 100,- 000 hectares. Art. 2. — The land concessions will always be effected with the obligation of improvement, which must begin within the second year of the Government’s act granting the con- cession. Art. 3. — The Government by special act for every case will determine the limits of each concession in regard to its ex- tension as well as to its division. Art. 4. — The concessionaries of vacant lands, under iden- tical conditions, will have preference for the opening up of communications, such as roads, highways, economical railways and river navigation for the improvement of the conceded zone. Art. 5. — The concessions for the roadways, etc., will be made without guarantee of interest and the Government will have the privilege of establishing on each side of the line one or more lots of land not exceeding one kilometer* in width by twenty kilometers in length and keeping same for the dominion of the State. All legal dispositions in opposition to this decree are hereby revoked. * 1 kilometer — say .62 miles. 18 The State’s Secretary of the Department of Public Works, Lands and Roads will see to the execution of this law. Government Palace of the State of Para, the 6th November of 1911, twenty- third year of the Republic. Signed : JoAO Antonio Luiz Coelho, Innocencio Hollanda de Lima. 19 Decree No. 2543 A, dated 5th January 1912 Determining measures with a view of facilitating and DEVELOPING THE CULTURE OF RUBBER, CAUCHO, MANICOBA, AND MANGABEIRA TREES, AS WELL AS GATHERING AND IM- PROVING THE RUBBER EXTRACTED FROM THESE TREES AND AUTHORIZING THE EXECUTIVE POWER, NOT ONLY TO OPEN THE NECESSARY CREDITS REQUIRED FOR THE EXECUTION OF THE ABOVE MEASURES, BUT ALSO TO MAKE THE NECESSARY FINANCIAL OPERATIONS THAT SAME MAY CALL FOR. The President of the Republic of the United States of Brazil makes it known that the National Congress has decreed and he has ratified the following resolution ; Article 1. — That all utensils and materials for the culti- vation of the Seringueira (Para Rubber Tree) of the Caucho, of the Manicoba, and of the Mangabeira, and for the collec- tion and manufacture of the rubber extracted from these trees, are declared free of any import duties whatever, whether to be used solely in the extractive industry or for the purpose of cultivation. This exemption of duties will be requested of the Custom Inspectors, who will give the necessary exemption, after duly verifying, with the utmost speed, the qualifications and re- sponsibility of the petitioners. Art. 2. — That premiums be instituted in favor of those who make proper and entirely new plantations of the Seringueira, Caucho, Manicoba or Mangabeira, or to those who replant the Seringaes (wild rubber lands), Cauchaes (wild Caucho lands), Manicobaes (wild Manicoba lands), or Mangabaes (wild Manbageira lands), provided the land be properly utilized. The premiums to be paid under the follow- ing conditions ; o) Per group of 12 hectares of new cultivation 2,500 milreis as to the Seringueira; 1,500 milreis as to Caucho or Manicoba, and 900 milreis as to Mangabeira. 20 h) Per group of 25 hectares of replanted Seringaes (wild rubber lands), Cauchaes (wild Caucho lands), Manico- baes (wild Manicoba lands), or Mangabaes (wild Mangabeira lands), 2,000 milreis for the first, 1,000 milreis for the second and third, and 720 milreis for the fourth. 1) These premiums will be payable one year before the first crop, after it having been verified that the land has been entirely cultivated and the trees properly treated. (2) An increase of 5% annually on the value of the premiums instituted for the benefit of the planters of Para rubber will be conceded to those who prove having cultivated parallelly, in all the cultivated land of their property, alimentary plants, or plants of industrial utility. Art. 3. — The Government will establish at a convenient point an experimental station, or demonstrating farm, for the cultivation of the Seringueira in the Acre Territory, in each one of the States of Mattogrosso, Amazonas, Para, Maranhao, Piauhy, and Bahia, and for the cultivation of the Manicoba, together with the Mlangabeira, in the States of Piauhy, Ceara, Rio Grande do Norte or Pernambuco, Bahia, Minas Geraes, Sao Paulo, Goyaz, Parana and Matto Grosso. These stations will furnish gratuitously to all those in- terested who may ask selected seed, instructions as to the most practical and economic method of planting, and information as to the general results achieved and verified at the end of each year. Art. 4. — In addition to the indirect favors treated in Article 1, and of those which further may seem to the Gov- ernment reasonable and necessary, the Government will con- cede competitive premiums up to the sum of 400 contos to the first factory for the refining of Para rubber, which will reduce the various cpalities to one uniform and superior type for ex- portation, and which will establish itself in each one of the cities of Para and Manaos ; and up to the sum of 100 contos to the first factory for the refining of Manicoba and Manga- beira rubber, for the same purpose, and which will establish 21 itself in each one of the States of Piauhy, Ceara, Rio Grande do Norte, Pernambuco, Bahia, Minas Geraes and Sao Paulo ; and up to the sum of 500 contos for the first factory for the manufacture of rubber goods, which will establish itself in Manaos, in Para, in Recife, in Bahia and in Rio de Janeiro. To have right to this favor, it is necessary that the factory have an employed capital equal to four times the value of the premium. Art. 5. — The Government will order constructed three Immigrant Stations of sufficient capacity and of identical or- ganization and object on the Island of Flores, in Para, in Manaos, and at an appropriate point in the Acre, and at places which may be considered most necessary in the Amazon Val- ley, interior hospitals, surrounded with small agricultural colonies, and in which may be received the sick for treatment, with free vacination and rriedicines of the first quality offered for sale, as well as the broadcast distribution of printed pamph- lets containing hygienic advice for the prevention of the dis- eases of the region, and the practical treatment to apply in the absence of a physician. The direction and cost of the stations will belong to the Federal Government ; the hospitals, however, will be confided to professionals of recognized ability with a subsidy and other favors which the Government may judge reasonable, and obli- gations which will determine proper regulations. Art. 6. — For the purpose of facilitating transportation, and diminishing its cost in the Amazon Valley, the Govern- ment will order executed, with the least possible delay, the following improvements and complementary measures : (1) The construction of small standard roads along the rivers Xingu, Tapajos and others in Para and Matto Grosso, and of the rivers Negro and Branco and others in Amazonas, or roads penetrating the valleys of these rivers. Bids for con- struction will be by public competition, according to Law No. 1,126 of December 13, 1903, or for a price per kilometer, at the Government’s discretion, according to the difficulties of the 22 region. In case the States of Para, Matto Grosso and Amazonas have contracted for the construction of any of these roads, the Government will concede a premium of 15 Contos per kilometer for the purpose of facilitating the road’s completion. (2) The construction of a railroad from a convenient point on the Madeira-Mamore Railroad, in the neighborhood of the mouth of the river Abunan, passing through the Villa Rio Branco, and at a point between Senna Madureira and Catay, and terminating at the Villa Thaumaturgo with a' branch to the Peruvian Frontier by way of the valley of the river Purus. The construction of this railway will be made according to the dispositions of Decree No. 1,126 of December 13, 1903. As soon as the first section of the station of the crossing point at Villa Rio Branco be inaugurated the Government will establish a Custom House at Porto Velho, on the Madeira River, and will declare that port opened commercially to all friendly nations. (3) The construction of a railroad from the port of Para and uniting itself with the railroads centering at Pira- pora. State of Minas Geraes, and at Coroata, State of Maranhao, with the necessary branches to connect the initial or terminating points of navigation of the rivers Araguaya, Tocantins, Parnahyba and Sao Francisco. The railway will be constructed according to the dispo- sition of the Decree No. 1,126 of December 13, 1903, and will be rented by means of public competition. (4) The execution of the work necessary to make navi- gation effective, at any season of the year, for steamers draw- ing three feet of water, of the river Negro between Santa Isabel and Cucuhy; of the river Branco from its mouth to the fort of Sao Joaquim ; of the river Purus from Hyatananhan to Senna Medureira, and of the river Acre from its mouth to Riosinho de Pedras. 23 The Government may contract for the execution of these works, by means of, or without, public competition, with one or more sufficiently capable syndicates under the dispositions of Decree No. 6,368 of the 14th February, 1907, or other, which do not incur more expenses and which the Government may think fit and more advantageous in each case. Art. 7. — For the purpose provided in the foregoing arti- cle, all boats of any description to be admitted free of duties, and the revision of the law of Cabotagem (coast and river navigation law) for the purpose of simplifying and reducing the burdens of this law. Art. 8. — • The Government will concede identical exemp- tion, in addition to other indirect favors they may judge neces- sary, to those who will establish (against public competition) coal deposits at an appointed place in the Amazon Valley for the purpose of supplying ships and launches, at prices ap- proved by the Government. Art. 9. — The Government will promote and help in the establishment of producing centers, of alimentary foods, in the Amazon Valley under the following conditions, or others that the Government may deem necessary : (1) The renting of two of the national farms on the Rio Branco (by private or public bid) to a competent com- pany, who will agree to develop and practice on a large scale the breeding of cattle, the cultivation of cereals, and to estab- lish a factory for the making of dried beef (Jerked Beef) a packing house, dairies, machines for the cleaning of rice and other cereals, and factories for making farina. (2) Colonization, under the auspices of the Government, of the lands still owned by the Union, the Sao Marcos farm, situated between the rivers Mahu, Takuku, Surumu, and Cotingo, with national families of agriculturists and breeders, having in view the development of the production of ali- mentary foods and the breeding of cattle. (3) Concession to companies who will establish large farms on the preceding conditions, one in the Acre territory 24 (between the Rio Branco and Xapury), one in the State of Amazonas (in the region of the river Autaz), and one in the State of Para (on the Island of Marajo, or other more con- venient point in the Lower Amazon), of the following favors: a) Exemption of import duties of all material necessary for the complete equipment of the farm, including buildings, corrals, etc., machines for the culture, collection and treat- ment of cereals, and installation of dairies, and preserved beef factories, as well as cattle and seed which may be imported within the first five years after the installation of the farm. b) Premiums of 30 contos per group of 1,000 hectares of artificial pasture, planted and properly enclosed, and of 100 contos per group of 1,000 hectares prepared for cultivation and actually under cultivation with rice, beans, maize and mandioca (farina). c) Premiums of 100 contos per group of 500 tons of dairy products, and preserved meat of dried beef that may be produced within five years. (4) Exemption of import duties on vessels, instruments, machines, drugs, and ingredients necessary to the installation, during fifteen years, of a company for fishing, salting and pre- serving fish, which may establish itself in the rivers of Amazonas, and the concession of a premium of 10 contos dur- ing five consecutive years, when the production of preserved and salted fish is maintained annually at over 100 tons. Art. 10. — The Government will order immediate steps taken to have the lands in the Acre territory properly located and surveyed, so that titles of possession may be issued. (1) In the verification of these titles, as much as pos- sible, they ought to be followed : a) The titles given by the Governments of the State of Amazonas, of Bolivia, and of the ex-independent State of Acre before the treaty of Petropolis. h) Those titles of peaceful possession acquired by orig- inal occupation, or acquired from the original occupant, which 25 land is found to be in effective exploitation, and the habitual home of the possessor or a representative of his. (2) The maximum area of each parcel of land will be 10 square kilometers. (3) The Government will revise the dispositions of the law No. 601 dated 18th September, 1850, and Decree No. 1318 of the 30th of January, 1854, publishing new law for lands, with the modifications of the present decree and those which more suitably fit the actual conditions of the Federal ter- ritories. Art. 11. — Every three years the Government will hold in Rio de Janeiro an exposition embracing everything relating to the rubber industry of this country, on which occasion com- petitive premiums will be given in amounts authorized by the laws in vigor for the best methods of cultivation and treat- ment, and for the most perfectly manufactured products. Art. 12. — The Executive Power is authorized to enter into an agreement with the States of Para, Amazonas and Mattogrosso for the purpose of obtaining an annual reduc- tion of 10% until the maximum limit of 50% of the present duties is reached, and the exemption of any duties whatever for 25 years from the date of this law, on Plantation Para rub- ber. Immediately this agreement is made, the Executive Power will issue a decree making the reduction in duties (which the above States make) as to the Acre territory and conceding equal exemption on Plantation Para rubber from the Acre. Art. 13. — The Government is further authorized to enter into an agreement with the above named States as re- gards Acre rubber to cover the measures of protection and defense which those named States adopt in regard to their rubber, or to agree on others which may be deemed more con- venient, the Government for this purpose being empowered to issue the necessary decrees. Art. 14. — Eor the entire execution of this law and the realization of the decreed measures, the Executive Power will 26 issue, promptly, the necessary ordinances, opening each year the credits that may be necessary, account being given in the following year of the sums expended, the work done, and the results obtained, etc. Art. 15. — All dispositions to the contrary are revoked. Rio de Janeiro, the 5tli of January, 1912, ninety-first year of the Independence, and 24th year of the Republic. Signed : Hermes R. da Fonseca, Pedro de Toledo. I i t X iC 1 V I A 4,' i' ■I i % \ i i ■k