Maracaibo, and a few of the larger cities, the standard of living is relatively high. In general, living costs are higher than in the United States, as a result of high freight rates and customs duties and the necessity for importing a large percentage of the foodstuffs, clothing, and other essentials. Consequently, the market for luxury and semiluxury goods is confined to the wellto-do class, the affluent business group, and the higher salaried people living in the cities.

Table 16.-Population of Venezuela, by Governmental Divisions

Average Wages.-Wages paid by the petroleum industry in the Maracaibo Basin are based on a minimum of 8 bolivares a day for unskilled labor. Semiskilled labor receives a minimum of 22 bolivares a day, while the average for all workers has been estimated at 12 bolivares a day. Commercial employees in Caracas receive the following average monthly salaries :

CHIEF ECONOMIC ACTIVITIES

Agriculture. Agriculture is the primary factor in the economy of Venezuela, and business conditions are affected most directly by crop conditions; although mining, stock raising, forestry, and manufacturing are also of importance. Coffee and cacao are the principal money crops. Other products include corn, tobacco, cotton, coconuts, sugar, tonka beans, wheat, rice, vanilla, balata, bananas, divi-divi, chicle, and cevadilla.

Stock Raising. The production of cattle hides and skins is important, and goatskins are a noticeable item in Venezuelan commerce. Exports of alligator hides and deerskins have increased considerably in recent years. A livestock census taken during 1936-37 gave the following results:

Forest Resources.-Venezuela's large forest resources include many varieties of hardwood. There are numerous sawmills in the country, and the high protective tariff on lumber and furniture encourages the use of domestic wood. Wood charcoal is the customary household fuel; but during recent years the exhaustion of immediately available wood supplies and Government efforts at forest conservation have encouraged the use of other fuels, notably kerosene. There are 6,800 known plants in Venezuela which furnish dyeing and tanning substances, gums and resins, fibers of industrial value, oleaginous seeds, and edible and industrial oils.

Manufacturing. Numerous steps have been taken by the Government to promote manufacturing. Duties have been increased on domestically manufactured articles and reduced on machinery and raw materials; and an industrial bank has been created to grant loans at low interest to incipient industries. 202836-40-10

An industrial census was taken in 1936, and although not completed for the entire country, showed invested capital at Bs. 128,221,190 in the Federal District and at Bs. 17,373,159 in the State of Aragua. These are the principal industrial areas. The total industrial investment for the country has been estimated at Bs. 300,000,000. Factories, though mostly small, are numerous and make a variety of products, including knitted hosiery, underwear, jackets, sweaters, blankets and cotton cloth, leather, cigars and cigarettes, shoes, beer, refined sugar, canned fish and meat, soap and candles, glass, cement and mosaic works, furniture, carriages and wagons, nails, corrugated sheet steel, paper, leather goods, fibers, rope, and clothing, butter and cheese, biscuits, and chocolate.

Mining. Mining has been an important industry in Venezuela since the colonial period; and while only gold, coal, salt, and diamonds are now mined, traces of most minerals can be found in some part of the country. In 1896, the Government listed 226 known mineral deposits. In recent years, deposits of asbestos, iron, chromate, tin, manganese, and mercury have been registered, but none of these are being developed. Venezuelan mineral production during the year 1938 was: Gold, 3,576,499 grams; coal, 5,591,110 metric tons; diamonds, 13,600 carats; and salt, 22,658,740 kilograms. Salt production is a Government monopoly, and imports are prohibited.

Petroleum Industry.-Venezuela during the past 18 years has risen to third place among oil-producing countries of the world, following the United States and Russia. There are two petroleum zones in Venezuela. The most important, in the Maracaibo Basin, contributes about 70 percent of the total output; the other, in eastern Venezuela, includes part of the States of Monagas and Anzoategui and the Federal Territory of Delta Amacuro. It is estimated that around $360,000,000 in foreign capital has been invested in the petroleum industry of Venezuela. Ninety-five percent of the oil production is exported, and the remainder is refined at seven small local refineries, which produce gasoline, kerosene, gas oil, and fuel oil, for local consumption. The larg est of the refineries (that located at San Lorenzo) has a daily capacity of 15,000 barrels and is being expanded to handle 30,000 barrels.

TRANSPORTATION AND COMMUNICATION

TRANSPORTATION

STEAMSHIP SERVICE.-Three lines offer direct steamship service from the United States to Venezuela :

(a) From New York. Grace Line (Office: 10 Hanover Square, New York, N. Y.).—Sailing from Pier 57, Manhattan, every Friday at noon, via Curacao. Time to La Guaira, 5 days; minimum first-class fare, $150. Royal Netherlands Line (Office: 25 Wall

Street, New York, N. Y.).—Weekly sailings from Pier 9 or Pier 12, via Port au Prince, Haiti, and Curacao, where connection may be made for Maracaibo. Time to La Guaira, 8 days; minimum first-class fare, $115.

(b) From Gulf Ports.-Aluminum Line.-Sailings every week from Mobile and New Orleans, to La Guaira; also, twice a month from Mobile and New Orleans to Maracaibo, via Curacao, La Guaira, and Aruba. All are freight steamers, but carry a limited number of passengers. Time from Mobile to La Guaira, 14 days; from New Orleans, 12 days.

(c) From Pacific Ports.-No direct service. Transshipment must be made at Panama.

Tourist Steamers.-There are frequent tourist steamers from the United States to Venezuela, and travelers frequently save time by making connections with them.

European Lines.-Steamship service, with first-class accommodations and frequent sailings, is normally maintained by several European lines, with connections between La Guaira and European ports.

Coastwise Service.-Compania Anonima de Navegacion de Carenero (Agents, H. L. Boulton & Co., Caracas).—Sailings fortnightly from La Guaira, with calls at Carenero, Guanta, Cumana, Porlamar, Carupano, Guiria, and Caripito; also fortnightly sailings from La Guaira to Puerto Cabello and Maracaibo.

Compania Anonima Venezolana de Navegacion (Head Office, Caracas). Serves all Venezuelan ports of any importance. Operates a service between Ciudad Bolivar and Trinidad, and a service on Lake Maracaibo. All steamers of this line are small and slow; trip from La Guaira to Ciudad Bolivar may take as long as 3 weeks.

The Royal Netherlands Steamship Co.-Operates a feeder service between Maracaibo and La Guaira.

AIR SERVICES.-The Pan American Airways offers a 24-hour weekly service between New York and La Guaira via Miami and Maracaibo. South-bound planes leave Miami at 7: 15 a. m. every Saturday and arrive at Maracaibo the same day at 5:30 p. m. Planes leave La Guaira every Monday at 6 a. m. and arrive at New York City on Tuesday at 5:40 a. m. Pan American Airways also maintains an east-to-west service, connecting Venezuela with Colombia and Trinidad. Three services a week schedule stops at Cumarebo, La Guaira, Guanta, and Caripito; one additional service stops only at La Guaira.

The Royal Dutch Airways (K. L. T.) operates scheduled flights between Curacao, Aruba, La Guaira, Maracaibo, and Barranquilla, Colombia. Fares from La Guaira to the different points linked by this line are as follows: to Curacao, Bs. 120; to Aruba, Bs. 135; to Coro, Bs. 135; to Maracaibo, Bs. 190; to Barranquilla, Bs. 290. (For exchange value of bolivar, see section under heading "Currency and Exchange.")

The Linea Aeropostal Venezolana maintains daily services from Caracas to most of the important commercial centers of the country. Passengers go from Caracas to the airport (located at Maracay, 66 miles from Caracas) by automobile. Fares from Caracas to the principal stops are as follows: Aragua de Barcelona, Bs. 180; Ciudad Bolivar, Bs. 240; Valle de La Pascua, Bs. 105; Zaraza, Bs. 140; Upata, Bs. 305; Guasipati, Bs. 315; Tumeremo, Bs. 340; Luepa, Bs. 420; Santa Elena, Bs. 490; Altagracia de Orituco, Bs. 70; Rio Chico, Bs. 50; Barcelona, Bs. 90; Cumana, Bs. 125; Porlamar, Bs. 145; Carupano, Bs. 180; Guiria, Bs. 270; and Maturin, Bs. 160.

RAILROADS.-Railway transportation in Venezuela is not highly developed, and few foreign commercial travelers use this medium. Total number of passengers carried by the 11 railway lines during the year 1938 was 327,223. The principal lines are: Ferrocarril de La Guaira a Caracas (electric), La Guaira to Caracas, 23 miles; Gran Ferrocarril de Venezuela, Caracas to Valencia, 112 miles; Ferrocarril de Puerto Cabello a Valencia, 34 miles; Ferrocarril Bolivar, Tucacas to Barquisimeto, Palma Sola to San Felipe, main line 101 miles, and secondary line 26 miles; Gran Ferrocarril del Tachira, Encontrados to Estacion Tachira, 83 miles; Gran Ferrocarril de La Ceiba, La Ceiba to Motatan, 50 miles; Ferrocarril Central de Venezuela, Caracas to Ocumare del Tuy, 35 miles.

BUS SERVICE.-The Compania Anonima "Lineas A. R. C." offers fairly good bus service between Caracas and the most important cities in Venezuela. The following fares are now in force from Caracas to: Maracay, Bs. 3; Valencia, Bs. 4; Puerto Cabello, Bs. 5; Villa de Cura, Bs. 3; San Felipe, Bs. 6; Barquisimeto, Bs. 8; Acarigua, Bs. 11; Valera, Bs. 15; Trujillo, Bs. 16; Maracaibo, Bs. 29; and Ciudad Bolivar, Bs. 30.

COMMUNICATION

Telegraph, Cable, Radio, and Telephone.-The Governmentoperated telegraph service covers all the important centers through a chain of 300 stations. Rates are Bs. 1 for the first 10 words, and Bs. 0.25 for each additional 5 words or fraction thereof.

All America Cables, Inc., operates a cable service between La Guaira and Maracaibo and an international service with the United States. An international (Government) radio service is

also available.

Telephone systems operate in and between the principal cities, and long-distance service with the United States is also available. Postage. The first-class letter rate from the United States to Venezuela is 3 cents per ounce or fraction thereof; from Venezuela to the United States, Bs. 0.25 if not exceeding 20 grams in weight, and Bs. 0.15 for each additional 20 grams or fraction thereof. Air-mail rates to the United States are: