AGRICULTURE. The soil in Paraguay is gen erally good. Farming is the chief pursuit, but -is in a very backward condition. Only about 300.000 acres are under cultivation, chiefly along the rivers, where transportation is easy. Owing to the fact that the State owns the public lands and for a long period sold large areas to capitalists and syndicates, the price of the lands most favorably situated for farming or stock raising was high, and this helped to retard the development of agriculture. Large tracts of country also have been assigned to the holders of Paraguayan bonds as security for the national debt, and many a peasant pays rent to foreign owners of land. The most important crop is mate, whose withered leaves are used as tea, the beverage being very popular in Paraguay, Brazil, Argentina. and some other South Ameri can countries. The deCoction appears to act both as a stimulant and also, by retarding diges tion, as a substitute for food. Half of the crop is consumed at home. The crop is gathered from the wild shrub in the forests or from the cultivated plant, and though the adjacent districts of Brazil also produce it, that of Para guay is superior in quality. The native orange trees yield an enormous crop. Almost every house has its orange grove. Bogs are fattened on oranges, and immense quantities are exported. Maize, the great cereal crop. is the staple food.
Wheat, rice, and other cereals are raised, but not in sufficient quantities to supply the home de mand. Tobacco is a large crop, and is con sumed in enormous quantities, hut has been so poorly cured that it is only just beginning to be important in exports. Among other vege
table products are sugarcane. coffee. cotton. and ramie. Stock-breeding has not yet attained its proper development. The grasses are of superior quality. The number of cattle is now rapidly increasing. Good grazing lands are abundant in Eastern Paraguay, and branches are being opened by cattle men on the plains of the Gran Chaco. In 1901) it was estimated that the cattle num bered horses, 182,790; mules and asses, 7626; sheep, 214,060; goats. 32,334; and hogs, 23,900. The cattle are used cu h-tly for meat (including jerked beef), and .for hides, which are a large export. As in all Spanish countries, butter is seareely known, but butter and cheese are now produced by foreign immi grants for their own consumption. Among the numerous forest products; the qurbracho colorful°, now found only on the Chaco. is most important. It contains nearly 31) per cent. of tannin and is used chiefly for tanning, but also for railroad ties and other purposes. Large quantities of the wood are exported to Germany, and the tannin is also locally extracted. The export of forest products for Europe and other parts of the world is increasing, though the difficulty of carrying them to the Paraguay and Parana rivers for shipment is still great. Paraguayan woods for piles in the harbor works of Argentina and Uru guay and for railroad ties are in large demand.