PART II

STUDENT REPORTS

THE ECONOMIC HISTORY OF VENEZUELA

REFERENCES USED.--History of South America, W. H. Koebel; With the

Trade Winds, Ira Nelson Morris; The Land of Bolívar, Statesman's

Yearbook, 1918-1919; Reports of International High Commission; Reports

of Minister of Finance (Venezuela); Official Gazette of Venezuela.

GEOGRAPHICAL

The United States of Venezuela occupies the northernmost part of South

America bounded on the ocean side by the Atlantic and the Caribbean

and on the land side by British Guiana, Colombia and Brazil. It has an

area of 393,976 square miles (1,020,396 kilometers) with a population,

however, of only 2,848,121 or approximately 7 to the square mile. This

is in striking contrast with the figures obtained from the United

States Census of 1920 which shows an average population of 35.5 to the

square mile.

Venezuela is divided geographically into four zones, the _llanos_ or

large plains and river valleys which afford excellent opportunities for

the raising of cattle, the _mountain section_, formed by three mountain

ranges, the _table lands_ or plateaus and the _mining zone_. Venezuela

covers the same extent of superficial area as France, Belgium, Holland,

Denmark, Switzerland, Portugal, the United Kingdom of Great Britain and

Ireland. The country is especially fortunate in having an immense coast

line which extends over 1,800 miles. It has 32 ports, some 50 creeks

and bays, 7 peninsulas and 7 straits. Besides the Lake of Maracaibo,

which is the largest and of special importance, there are also 204

smaller lakes, 60 rivers, 8 of which are of the first magnitude. Along

with the variety of physical features Venezuela has a variety of

climate which permits the raising of many crops of the tropical and

temperate zones.

POLITICAL

Venezuela was sighted by Columbus on his third voyage in 1498, when he

entered the Gulf of Paria and sailed along the Delta of the Orinoco.

In 1550 this territory became the Captain-generalcy of Caracas and

remained under Spanish rule until early in the nineteenth century.

The modern history of Venezuela dates from the year 1813 when Simón

Bolívar took up arms against the Spanish Government and finally

defeated them at the Battle of Boyaca on August 7, 1819. Two years

later at Carabobo the Royalist forces were entirely routed and an end

was put to Spanish control in South America.

Simón Bolívar is venerated in Venezuela as the father of his country,

a title which he richly deserves. He was born in Caracas in 1783 and

from his earliest years his life seemed to be dedicated to the cause

of freedom. As a young man he studied in France and was an eye witness

to many of the scenes of the French Revolution, so that the spirit of

freedom and revolt against despotic government was further intensified

in him.

After his victory over the Spanish forces in 1821 Bolívar was formally

appointed President of Colombia which then included the present

republics of Venezuela and Ecuador. In 1830 Venezuela separated from

Colombia and became an independent state. The remainder of Bolívar's

public career was devoted to tireless labor in behalf of his people

that they might enjoy a stable and beneficial government. He died at

Santa Marta on December 17, 1830, almost penniless after having labored

throughout his entire life in the interest of his native country.

On March 30, 1845, Spain recognized the independence of Venezuela in

the Treaty of Madrid.

A period of successive revolutions followed until finally in 1870

Guzman Blanco assumed control of the country as dictator. Evading

the provisions of the constitution which prohibits the election of a

President for successive terms, Blanco successfully arranged through

two decades for the nomination of some one of his colleagues who was to

hold office as a figurehead.

The people finally tired of this procedure and in 1889 there was a

revolt against the dictator which resulted in his overthrow. At the

elections which followed General Andueza Palacios was elected to the

presidency, but another revolution followed in 1891, during which

Palacios was unseated and General Crespo, his vanquisher, took up the

reins of government.

During the administration of General Crespo trouble arose with Great

Britain over the boundary between British Guiana and Venezuela.

President Cleveland intervened in 1895, urging arbitration and finally

in 1899 the matter was amicably settled. This difference with Great

Britain left certain memories with the Venezuelan people which for a

long time operated to the discouragement of British capital.

After another series of revolts, General Cipriano Castro became

president in 1900. Internal disturbances continued and in addition to

this misfortune, Castro ruled as a dictator, employing corrupt and

revolutionary methods which not only aggravated the domestic disease

but ruined credit before the nations of the world. In 1907 the Belgium

debt was repudiated and the following year trouble arose with Holland

regarding the harboring of refugees in Curaçao. Diplomatic relations

were also broken off with England, Italy and France during Castro's

administration. Finally, in 1908 he found it advisable to retire to

Europe and in his absence Juan Vicente Gómez, the Vice President, took

control and was installed as President in June, 1910. General Gómez

still exercises the supreme power in his capacity as Commander-in-Chief

of the Army.

PRODUCTS

(See Reports on Agriculture, Minerals, and Animal Industries.)

BANKS AND CURRENCY

There are four national banks in the country--the Bank of Venezuela,

the Bank of Caracas, the Bank of Maracaibo and the Commercial Bank.

These four banks issue paper currency, which is not legal tender,

although generally accepted as such.

Previous to the establishment of branch banks in Venezuela by foreign

concerns, the majority of import and export houses doing business in

the Republic were engaged in domestic and foreign banking business. As

a general rule, these merchants charged such a high rate of interest

that individuals could not improve their property nor prosper in their

regular agricultural pursuits.

In 1916 the Royal Bank of Canada opened a branch in Caracas and in

several other places in the country. Three years later the National

City Bank of New York entered the field and opened branches in Caracas

and Maracaibo. Other concerns which have opened branches are the

Anglo-Spanish-American Bank, Ltd., The Commercial Bank of Spanish

America, Grace & Co. of New York through their branch, the Venezuela

Commercial Company, and The Mercantile Bank of the Americas.

The currency is on a gold basis and gold coins of foreign countries are

accepted as legal tender. The coinage of silver and subsidiary metal is

restricted.

The bolivar, named in honor of the Liberator, is the monetary unit and

contains 1-1000 part of a kilogram of gold.

Gold coins are issued in 5, 10, 20, 50 and 100 bolivar pieces. Silver

coins are issued in 1, 2½, 5 bolivar pieces and 50 and 20 centimo

pieces. The smaller, token coins, are of nickel in 12½ and 5 centimo

pieces. The five-bolivar piece is commonly known as the "fuerte" and is

worth $.96½ in U. S. gold.

AIDS TO ECONOMIC DEVELOPMENT

Capital can be supplied in either of two ways: by investors from

foreign countries or through loans made by the government of Venezuela

to individuals who are unable to interest outside capital. For the

welfare of the country, the latter seems to be more advisable, as

it would reach a larger number of small farmers who are not in need

of large sums, and who moreover are not familiar with the financial

requirements of foreign investors.

A provision similar to the Federal Farm Loan Act passed in the United

States in July, 1917, would be of immense importance in aiding

agriculture enterprises.

The lack of immigration has long been a serious problem in the economic

development of this country; it can only be said that the government

has this question under discussion and probably something will soon

be done to induce immigrants to come to Venezuela where a multitude

of opportunities await them.[2] However, it will be necessary for the

government to assure this class of prospective citizens that the bulk

of desirable land is still in the hands of small holders and that the

power of the government is sufficient to protect the small farmers.

[2] See report on new Immigration Act, pp. 39-41.

In spite of the fact that the country is very sparsely settled, the

present railroad system is inadequate and large tracts of land are of

little or no value because of the expense of handling the products.

Obviously, the products of these areas can not successfully compete

in the world's markets, if the margin of profit has been absorbed

antecedently by high transportation expenses.

The oldest railroad is the Bolívar Railroad which was begun in 1873.

It is a 24-inch gauge, 176½ kilometers long and extends from Tuscasas

to Barquisimeto. The La Ciella line was authorized in 1880 and has a

91-meter gauge and a length of 81½ kilometers.

The most important road and one of the few which has paid any returns

is the La Guaira to Caracas line, which is about 23 miles long and was

built by British capital.

In passing it can truly be said that railroad development has been

retarded as much by political insecurity as by the undeveloped

industrial state of the country, the topography and the expense of

securing railroad equipment. However, the present administration is

giving considerable attention to this need and an extensive program of

wagon-road building is now in process of construction and plans have

also been perfected for extensive railroad expansion.

GOVERNMENT

The Republic of Venezuela was founded in 1830 by separation from the

other members of the "Free State" established by Simón Bolívar within

the limits of the old Spanish colony of New Granada. The Constitution

was modeled after that of the United States of North America, but

greater autonomy is allowed to provincial and local governments.

The chief executive is the President, elected for a term of six years,

assisted by six ministers and a Federal Council of 19 members. The

Federal Council is appointed by Congress every two years; the Council

chooses a President from its own members, who is also President of the

Republic. Neither the President nor members of the Federal Council can

be re-elected for the following period.

The legislative branch of the government is divided into two houses

called the Senate, whose members are elected for six years by the State

Legislatures, and the House of Representatives, whose members are also

elected for a six year-period, but by direct vote, one to each 40,000

inhabitants.

The country is divided into 20 States, 2 Territories and a Federal

District. The National Congress includes 40 Senators and 52

Representatives. Each state has an equal number of representatives,

each having a legislative Assembly, whose members are chosen in

accordance with its respective constitution.

PROSPECTIVE

Venezuela stands to-day upon the threshold of great interior

development especially in agriculture and cattle-raising. Her position

is similar to that of the United States after the Civil War when vast

areas, sparsely settled, lay awaiting the movement of population to

develop them. Her mineral resources are practically untouched and

opportunities await foreign capitalists who are familiar with the

development of new countries.

The political situation, however, should not be neglected. W. H. Koebel

in his "History of South America" says, "No state of South America

can show such a perpetual ferment, such a fog of unrest and strife

hanging over and choking its development as this." Whether or not the

past eight years of stable government and national prosperity has

demonstrated to the people of Venezuela the proper course to follow is

a question beyond the scope of the present inquiry.

In any event, the foreign investor will be well advised if he places

his capital in Venezuela only after mature consideration of the

political changes of the last two decades and the ability of the

present administration to carry through its policy of enlightened

development.

_James F. Costello._

POPULATION, IMMIGRATION, EDUCATION

REFERENCES:

Census Bureau, Caracas, Venezuela, July, 1920.

Memoria del Ministro del Fomento, 1920.

Confidential Report of Department of Commerce, 1919.

Memoria de Instrucción Pública, 1918, 1919, 1920.

Memoria de Obras Públicas, 1920, Vol. 1.

Encyclopaedia Britannica.

The last official census of Venezuela, which was completed in the year

1891, placed the population of the country at 2,323,527. According

to the Venezuelan Year Book of 1904, 10% of the people are white and

of European descent, but by far the larger part, possibly 70% of the

total, is a mixed race in which white and Indian blood prevail, the

remainder being pure Indian blood. It is not to be expected that the

new census, begun in August, 1919, will show any great changes because

of the three following reasons:[3]

1. The neglect of sanitation and hygiene in the past, which was

responsible for a heavy death rate.

2. The numerous civil wars and revolutions, which ended however some

fifteen years ago, when a reconstruction period commenced under the

present régime.

3. Comparative lack of immigration, the actual increase being balanced

by the yearly total of emigration of Venezuelans to foreign countries.

[3] In 1917 the population was estimated as 2,848,121. The last census,

1919-1920, may show some increase.

The future, however, holds brighter prospects due to the fact that

remedies have been found for the first two causes, and energetic

efforts are being made to increase immigration, as will be shown in

detail later.

Within an area of approximately 394,000 square miles the greater part

of the people is found in the regions of Lake Maracaibo, the Federal

District of Caracas and along the Coast, the Southern and interior

sections being to a great extent unknown and unexplored. The region of

Barquisimeto in the state of Lara is the most densely populated area,

while in Apure far to the south is found low swampy land, sparsely

populated, interlaced with a network of rivers, which in the rainy

season cover the entire country with a blanket of water, making travel

impossible for months and mail deliveries most difficult and irregular.

The agricultural zone extending along the coast and inland to the

Orinoco, employs 20% of the population in this pursuit alone, and

contains all the important cities of Venezuela, with the exception

of Ciudad Bolívar. The largest city is Caracas, with a population

(including the Federal District) estimated to-day at 137,687, an

increase of 47,687 since 1891. Its sea-port is La Guaira, connected by

a railroad winding around 23 miles of mountains. The second port of

importance is Puerto Cabello in the vicinity of Valencia, the second

largest city of Venezuela, which has a population estimated at 64,681.

Maracaibo with 48,480 is the third largest city in Venezuela, being

second in the country in business importance. This last district ought

to have the heaviest increase in the future due to the location of the

mines and petroleum wells in this area which attract the majority of

immigrants, while its heavy coffee exportations offer a wide field for

investment and employment.

Mérida, and Barcelona with its port of Juanta which serves the coal and

salt mining regions, are two important populous regions while other

cities varying in population from 10,000 to 50,000 are Ciudad Bolívar,

Barquisimeto, Trujillo and Juanare.

A glance at the following data, with the last two reports approximately

estimated, will serve to show the increase.

1891 official census 2,323,027 Ratio per square kilometer 22

1911 " " 2,743,833 " " " " 26

1917 " " 2,848,121 " " " " 27

The most heavily populated districts are:

Federal District 137,687 Density per square kilometer 70.2

Carabobo 193,234 " " " " 43.9

Nueva Esparta 52,431 " " " " 39.6

Trujillo 185,624 " " " " 24.4

The least populated states are:

Bolívar 69,938 Density per square kilometer .03

Apure 30,008 " " " " .04

The territories which have had no increase since 1891:

Amazonas 45,097 Density per square kilometer .02

Delta-Amaeuro 9,243 " " " " .02

Revised statistics June 19, 1920, for the city of Caracas:

Catedral 12,229

Altagracia 14,280

Santa Teresa 6,050

Santa Rosalia 19,284

Candelaria 13,344

San Juan 16,436

La Pastora 11,409

San Jose 6,688

--------

Total 90,720

Remainder of District 46,967

--------

District total 137,687

Yearly increase of population estimated from comparative statistics of

births, deaths, immigration and emigration:

1910 28,091

1911 30,310

1912 11,797

1913 24,050

1914 24,988

1915 12,904

1916 9,589

1917 20,359

1918 8,308

1919 20,590

IMMIGRATION

The nationalities that immigrate to Venezuela, in order of numbers, at

the present time are Americans, Germans, Italians, Spaniards, Syrians,

Hollanders, with few French and English. Of these, the Spaniards,

Italians and Syrians alone, with a few odd exceptions, become citizens.

Before the war, Germany furnished the preponderant immigrant element

but to-day the Germans are coming in fewer numbers, and Americans are

increasing proportionately.

The reasons for the American increase are mainly the establishment of

three branches of the Royal Bank of Canada in Venezuela in 1916; the

National City Bank of New York with two branches, one in Caracas the

other in Maracaibo, and the Mercantile Bank of America with branches in

the same two cities. As mentioned above, the petroleum activities in

San Lorenzo in the Maracaibo district, the mines and coffee ventures,

also brought many Americans.

The lack of immigration in the past has been due mainly to sanitary

conditions, and the internal troubles of the country. The foreigner,

if unmolested long enough to build up a profitable business, faced the

danger of having it swept away, and his life endangered during one

of the frequent revolutionary outbreaks prior to the present régime.

However, great efforts are being expended to promote immigration as

vitally necessary for the future successful upbuilding of the country,

for Venezuela relies for her increase in population upon this source

and consequently several methods have been pursued to attain this end.

A glance at the laws of immigration formulated January 7, 1893, will

show the favorable inducements offered foreigners.

The Decree of 1893 created a Board of Immigration to promote

colonization. The Board is known as the Central Board of Immigration

and established subordinate boards throughout the country. These

societies, state societies, as well as private companies, were

authorized to make the following favorable concessions to induce

foreigners to come and colonize unused lands.

1. Payment of the immigrant's passage by land and sea, from the

place of embarkation to any of the main immigrant depots. The

National Government may also pay the passage of the immigrant

from the place of residence to the place of embarkation.

2. Payment of landing expenses and board and lodging for thirty

days after arrival.

3. Admission free of duty of their wearing apparel, domestic

utensils, and instruments of trade.

4. Exemption of any payments for necessary passports.

SPECIAL PROVISIONS

All rights accorded by law to aliens are guaranteed, and if naturalized

they are exempt from military duties, except only in case of foreign

wars.

Special provisions were also made in behalf of individuals and

companies organizing colonies for settlement in Venezuela.

The manner of making contracts with immigrants is carefully specified

in the following manner:

(_a_) Those who purchase lands during the first two years of

their settlement, shall not be bound to pay the price thereof

until after the expiration of four years, counted from the day

actual possession is taken. They can not dispose of the land,

however, during this period.

(_b_) The title is not to be determined until the stipulated

price is paid and the required cultivation and residence proved.

Special provisions and concessions were also made for the colonization

of public lands by private individuals and companies.

There is an annual appropriation in the National Budget to promote this

project. At the time of this writing, Mr. Simon Barcelo is in Europe,

traveling through the different countries inducing immigrants to come,

and acting as a forwarding agent. The result of his endeavors is being

manifested in the increased number of immigrants arriving within recent

months.

Venezuela's immigration is bound to increase in the future, for

advertisement is bringing results. The subjoined statistics will show

that this is not the only problem confronting the Government, for the

balance of immigration and emigration is only slightly in favor of

the former, as many Venezuelans leave the country yearly for the West

Indies, the United States and Europe. Whereas before the war, the

majority of the youths were educated in Europe, and travelers naturally

sought Europe, difficulty of communication and transportation during

the war turned the stream toward the United States, and the present

popularity of Americans in Venezuela bids fair to perpetuate this

condition of affairs.

_Year_ _Immigration_ _Emigration_

1910 8,273 7,233

1911 9,204 7,219

1912 9,615 7,981

1913 11,617 10,708

1914 10,610 9,742

1915 9,818 8,770

1916 8,596 7,639

1917 7,857 7,182

1918 6,153 5,841

1919 12,433 12,897

PUBLIC EDUCATION

Education in Venezuela is free, and in the six primary grades is

compulsory, the schools from the ages of 7 to 14 years being maintained

by the National Government, State, or Municipality, the Department

of Education being under the direct supervision of the Minister of

Public Instruction, with subordinate officials forming a board. In

1908 Mr. Guillermo Todd, a distinguished Venezuelan educator, was sent

to the United States, where he spent two years in the larger cities

inspecting the school system, the normal schools and universities. On

his return he was appointed superintendent of schools, and reorganized

the system, introducing many American ideas and methods which largely

prevail to-day.

The maintenance of the educational system depends upon the receipts

from stamps, from post-cards and letters, from fines collected from

violators of the instruction laws; from taxes upon inheritances,

imposts upon tobacco leaves and manufactures, and from the proceeds of

the revenue stamps placed upon boxes of cigars.

During the school year of 1919 there were founded two primary schools

with three teachers each, two with two teachers and nine schools

with one teacher. Two schools were suspended and eleven changed into

co-educational with one teacher, while thirteen schools changed their

location. Heretofore education has followed the population only.

Outside the cities, towns and large cities near the coast there were

scant educational facilities, and the rural population was to a large

extent uninstructed, there being no schools nor teachers. During

1917 a movement was inaugurated to establish rural schools in all

industrial districts, and migratory schools of this kind are now in

operation in Frujillo, in Mario El Cantado and Caracas, the states

and municipalities have taken the matter in hand. On September 19,

1919, a decree was passed by the National Government to offer a bonus

in the form of wages, of from 100 to 200 bolivares ($20.00 to $40.00)

to competent persons possessing a certificate of primary elemental

instruction, who would enroll and teach children below fourteen years

of age the rudiments of education in localities of small population

where there were no public schools nor teachers. The bonus to be

received varied according to the number of pupils enrolled; many small

classes are now in operation throughout the rural districts.

The Obligatory Instruction Law compelling children from 7 to 14

years of age to attend class has been rigidly enforced by Government

decree during 1919; a list of offending parents is compiled and they

are visited by educational officers, and fined if found guilty of

not sending their children to school. By an order of June 20, 1919,

English is to be henceforth taught in all primary schools, in view

of its present importance as a commercial language. On September 1,

1919, appropriation being made, two new Manual Training Schools were

founded, one at Mérida, the other at San Cristobal. Physical training

is now considered an important part of the training, and at least a

half-hour a day is spent in calisthenics and gymnastic training. In

1918 the Boy Scouts movement was proposed, and introduced into the

schools of Maracaibo, where under the supervision of Mr. W. Douglas

it has been intertwined with the courses of the public educational

institutions. This movement is now receiving national prominence, and

gained favorable commendation in the Memoria de Instrucción Pública

(1918).

According to the latest data, there are approximately 1,500 primary

schools in Venezuela with 50,000 pupils enrolled, but the system is

laboring under the difficulty of a lack of teachers, due to inadequate

compensation. The children attend school six days a week, but on

Saturday have class in the morning only. The curriculum consists

of a daily lecture or assembly, elements of the Spanish language,

arithmetic, the legal system of weights and measures, rudiments of

etiquette and hygiene, moral and civic instruction, gymnastic exercises

or national songs, and elements of manual training. The afternoon

classes embrace writing, geography, history, topics of the day and

gymnastic exercises.

The Secondary Education of Venezuela is not as generally widespread, in

proportion, as primary education. There are 102 schools of this class

corresponding to high schools in the United States; 58 are for boys,

38 for girls, and 4 are co-educational. Some are grouped into Federal

Colleges and Normal Schools annexed to Federal Schools in Caracas and

Valencia.

Caracas is nominally the center of education in Venezuela. Here are

found two normal schools, one for men and one for women, and two

national schools of arts and trades, one for each sex. In 1917 Schools

of Commerce were instituted at Caracas, Maracaibo, Puerto Cabello,

Curúpano and Ciudad Bolívar. These are similar to our own commercial

schools, teaching languages, bookkeeping, stenography, accounting and

the like. Besides, there are found throughout the country thirty-four

schools of higher instruction, and twenty-one subsidized by the

Government.

One institution, founded June 30, 1919, may be interesting to note,

_viz_, the National Telegraph School of Caracas in which the first

pupils were enrolled from July 1 to 7, 1919. The school is situated in

the Federal Telephone and Telegraph Building.

The candidate must have the following qualifications:

1. Be a Venezuelan.

2. Over 15 years of age and under 25.

3. Have had elementary primary instructions and the certificate issued

for the same.

4. Be of good character.

5. Have no contagious diseases, and no physical defects.

6. In case he is a minor he must have the permission of his legal

guardian.

There are six National Universities, located in the following cities:

1. Central University of Caracas.

2. The University of the Andes at Mérida.

3. The University of Valencia in the State of Carabobo.

4. The University of Maracaibo in the State of Julia.

5. The University at Ciudad Bolívar in the State of Bolívar.

6. The University of Barquisimeto in the State of Lara.

The following courses are pursued in the Universities: Medicine, Law,

Political Science, Philosophy and Letters, Dentistry and Pharmacy.

The length of these courses is six years with the exception of

pharmacy, which is a four-year course.

Among the professional schools the following are of greater importance:

1. School of Engineering at Caracas.

2. School of Naval Construction at Puerto Cabello.

3. School of Political Science at San Cristobal.

4. School of Medicine in Caracas (founded December, 1915). A free

dispensary is attached, subsidized by public funds under the direction

of Civil Hospitals.

5. School of Dentistry, Caracas (1916).

6. School of Sciences (Physical, Natural and Mathematical) Caracas

(December, 1915).

7. School of Chemical Research.

Of the Academies the more important are:

1. Those of natural science, music, oratory and modern languages found

in the larger cities.

2. The Academy of Language in Caracas devoted to the national language

and literature.

3. The Academy of History in Caracas devoted to national history.

4. One seminary at Caracas,--the Catholic Seminary for Theology and

Canonical Jurisprudence.

Under "miscellaneous" we may consider the following:

The National Library of Caracas containing 50,000 volumes; a national

museum containing a valuable historical collection; the Cajigal

Observatory devoted to Astronomical and Meteorological work; the

libraries of Valencia and Maracaibo, and the Pasteur Institute in

Caracas.

Among the educational achievements of the past few years, the following

are worthy of mention:

1. Departments for engineering work.

2. Departments for the administration of budget.

3. Improvements in laboratories in physics, mineralogy, geology, botany

and zoology.

4. Enlargement of the libraries and improvement of the school of

medicine.

5. The schools of arts and crafts for men has 541 men enrolled. The

clever map making of the students should be especially noted.

6. The meteorological stations in Mérida, Maracaibo and Calabozo.

The appropriation for education for the fiscal year July 1, 1920 to

June 30, 1921, recently passed by the Venezuelan Congress, contains the

following items:

_Bolivares_

1. Ministry 120,580

2. National Council of Instruction 119,016

3. Primary Education 2,465,542

4. Secondary Education 259,240

5. Normal Education 203,940

6. Board of Inspection 135,600

7. Superior Instruction and Institutes

of University Extension 373,781

8. Special Instruction 326,672

9. Celebrations and Entertainments 143,940

10. General Costs 180,000

----------

Total Bs. 4,328,181

It may be said in conclusion that Venezuela fully recognizes the

importance of sound educational institutions and every effort is being

expended to bring about the desired results through legislation. The

work is slowly materializing but assuredly progressing. By far the

greatest problem is the lack of professors. Educational progress has of

necessity been retarded in the past but as the era of prosperity of the

country has been gradually, but surely, dawning, this important branch

has not been neglected, and a brighter future is before the Venezuelan

youths which will preclude the necessity of going abroad, as they have

done in the past, to complete their training.

The country has need of highly educated men; it is determined to

provide the institutions necessary to satisfy these needs.

_Thomas F. Morris._

PORTS OF VENEZUELA

With an increasing commerce and steady betterment of domestic economic

conditions, the ports of Venezuela are rapidly assuming a position that

for continued development and general good condition has never been

equalled in the history of the country. All countries recognize the

vital economic value of ports and with few exceptions can gauge their

own prosperity by the nature and number of their harbors. Few countries

are more dependent upon their ports than Venezuela. Because of poor

inland communication with neighboring countries, and an inability to

maintain itself, largely due to lack of manufactures, and due also to

a marked dependence upon the outside world for the marketing of its

products, this nation is to a high degree reliant upon its foreign

commerce and hence, in turn, upon its ports.

Fortunately, Venezuela has a long coast line of 3,020 kilometers,

indented with 32 harbors, 50 small bays and many coves. The most

important ports in the approximate order of importance are: La Guaira,

Maracaibo, Puerto Cabello, Ciudad Bolívar, Carúpano, Puerto Sucre, La

Vela, Cristobal Colón, Caño Colorado, Guanta, Pampatar, Imataca and

San Antonio del Táchira. At the present time many of the best natural

ports and the most favorably situated are still undeveloped or occupy

a secondary position. This is partially due to the lack of development

of their naturally rich and fertile hinterlands, difficulties of

transportation and unsympathetic government legislation. However,

remedies are now being applied and it can safely be predicted that

certain of the minor ports will soon outstrip the older and better

developed ones. A brief survey will serve to show the general nature

and economic status of some of the better known ports.

Chief in importance is LA GUAIRA which, connected with Caracas by 24

miles of railroad, stands as the commercial center of Venezuela and

will be treated in more detail later.

MARACAIBO

Situated on a fresh water lake of approximately the same size

as Lake Erie, the Port of Maracaibo drains a large hinterland.

Coffee and petroleum are its two important exports. Besides

that of Venezuela, much coffee of Colombian origin is exported

from the port. It may also be noted that there is an ever

increasing exploitation of petroleum and a corresponding demand

for harbor facilities. Physically the port enjoys a great

advantage in being located on a large lake fed by numberless

rivers.

The lake itself could accommodate vessels of thirty-foot draft,

while three of the largest rivers, the Catatumbo, Lulia and

Escalante can be travelled by river steamers of fair size.

The two former streams are navigable as far as Villamizar in

Colombia, and afford a fine transportation route for the coffee

and other products of Santander. However, the port suffers a

great disadvantage, as the main channel leading into the port

is obstructed by a bar. The depth of water on this bar ranges

from seven feet at low tide to twelve feet at high tide. The

project of dredging the channel seems to be entirely feasible

and if accomplished would add greatly to the general prosperity

of Venezuela.

PUERTO CABELLO

Deriving its name from the fact that its waters were considered

so placid that a vessel might anchor within its protection

sustained by a single strand of hair, Puerto Cabello remains

the most sheltered port of Venezuela. Equipped with a floating

dock 282 feet long, 80 feet wide and 21 feet high, it is

able to take care of vessels up to 2,000 tons and has proved

especially serviceable for the small steamers that serve the

coast cities of Venezuela and Colombia. Coastwise vessels of

light tonnage are constructed here and repairs of an extensive

nature may be made. Many improvements to the ship building

plant and repair docks are under way and the new floating

dry dock when completed will permit the docking of vessels

up to 4,000 tons, which means that it will be capable of

accommodating practically all vessels that touch Venezuelan

ports. The average depth of the harbor is 28 feet. Cattle are

an important export, large consignments being made from the

surrounding country. A frozen meat establishment controlled by

English interests is of considerable value to the port, the

meat being shipped to England in special ships. Puerto Cabello

is 20 miles distant from Valencia and has railroad connections

with both it and Caracas. Other exports besides cattle are

coffee, cacao, dyewoods, hides, skins, and copper ores.

CIUDAD BOLÍVAR

A river port situated on the right bank of the Orinoco 240

miles above its mouth, Ciudad Bolívar is the commercial center

of the Orinoco basin. A bar which blocks the river channel

prevents ships of more than twelve feet draft from navigating

the harbor. Due to the large quantity of sand deposited by

the river and its tributaries, dredging is practically an

impossibility. Vessels of less than twelve feet draft can go

up the Orinoco as far as San Fernando de Apure. The principal

exports are cattle, horses, mules, tobacco, cacao, rubber,

tonka beans, bitters, hides, timber and other forest products.

The port has connections with government land lines, regular

communication with the lower and upper Orinoco and steamship

lines to New York and the Antilles. The government imposes a

surtax of 30% on imports from the West Indies which greatly

diminishes the commerce of the port.

MINOR PORTS

=Carúpano= is well located for commerce, being on the Caribbean

coast at the opening of two valleys. It is the commercial

center of the rich and populous hinterland of the valleys

of Tunapui and Pilar and the valuable forests of Coiguar.

The principal exports are coffee, cacao, cotton and forest

products. Although possessing fair wharves, the harbor is very

open and cargo must be moved in lighters and launches to the

piers. Traffic is almost entirely of a coastwise nature with La

Guaira.

=Guanta= is one of the eastern ports of the country and has an

excellent natural land-locked harbor. Its wharf can accommodate

trans-Atlantic steamers, although commerce from abroad is

light. The wooden pier, formerly in very bad condition, is

being replaced by one of concrete. Guanta is connected by

twenty-four miles of railroad with the coal mines of Naricuse

and furnishes fuel for coastwise vessels. Large numbers of

cattle are raised in the surrounding country and upon the

completion of improvements the harbor should have a very bright

future. By a government decree of 1917 the port was closed to

import commerce and depends almost entirely upon exports for

its functioning.

=Puerto Sucre= is situated west of the city of Cumaná at a

distance of less than a mile. It is equipped with a wooden

pier constructed by the Cumaná and Carúpano Pier Company. The

depth of water varies greatly and the loading and unloading of

vessels is accomplished in lighters belonging to the company.

The commerce of the port is small, most being undertaken with

the neighboring ports of Venezuela.

=La Vela= borders on a low swampy region and is connected by

railroad with Coro. Except for a small coastwise trade with

Puerto Cabello, the port enjoys little commercial activity.

Coal mines are near by and with their future exploitation an

increase in commerce may be expected. The waters of the harbor

are unusually rough and lighters must be used for discharging

cargo.

[Illustration: RANCHO GRANDE

THE ROAD THROUGH THE MOUNTAINS]

[Illustration: PORT OF OCUMARE DE LA COSTA ON THE CARIBBEAN]

While there are many other ports besides those mentioned above, their

commerce is so light and in such a poor state of development that more

consideration need not be given them here. For the most part, their

commerce is entirely coastwise and is carried on principally in small

sailing vessels. The fundamental obstacle to their future progress

and indeed to the progress of the entire nation seems to be lack of

population--a difficulty which the government is striving hard to

overcome by furnishing immigrants with free transportation, and paying

passport expenses.

SPECIAL PORT ACTIVITIES

At present there are no free ports in Venezuela and despite many

rumors and much discussion the establishment of a free port, at least

for some time, seems improbable. However, the Minister of Finance

has recommended the installation of bonded warehouses at some port

centrally located on the coast mainly for the better accommodation of

coastwise trade. Cargoes could be placed for a long period of time in

the proposed warehouses and the charges collected with the movement of

goods. The advantage of such a plan would be principally the ability

of profiting from market conditions and the fluctuation of prices.

The execution of this plan depends solely upon the legislation of the

government and will be officially considered in the near future.

Of far greater importance is the proposed project of transforming

Puerto Ocumare de la Costa from a small harbor with very little

commerce into a leading port capable of becoming a formidable rival

of La Guaira. For the accomplishment of this the former port would

have to be connected by railroad with Maracay, a distance of 43 miles,

and goods shipped to the territory which La Guaira now supplies.

The railroad would be very difficult to construct as it would have

to traverse a mountainous country and would take years to complete.

Engineers are considering the feasibility of the undertaking. The

reason for the new project is generally believed to be the raise in

rates of the La Guaira Harbor Corporation brought about by changing

from weight to volume measurement of cargo. The company justifies its

charge advance on the grounds that it was necessitated by the increase

in wages due to strikes. However, the government insists that the

raise is entirely out of proportion to the increase in salary paid.

The new rates impose an increase in charge of 37½% on coffee, 87⅓% on

cacao and 300% on hides. Proportionate increases are made on many other

articles.

It is needless to say that if the plan is carried out it will directly

or indirectly affect a large portion of the country. And whether the

economic advantages, such as new harbor development, the opening up

of new lands, and the increased mileage of railroads will justify the

disadvantage of large expenditures and risks involved is a question

that time alone can answer.

PORT OF LA GUAIRA

Formerly considered one of the most dangerous harbors on the Caribbean

coast, La Guaira is to-day Venezuela's leading port and the recipient

of a large volume of commerce both from Venezuela and abroad. Its

prosperity may be assigned to several causes. By reason of its

proximity to Caracas, the capital and chief city of the republic, the

port enjoys a great commercial advantage, as Caracas is a center of

transportation activities. Again, the harbor besides being favorably

located can accommodate vessels of large draft and possesses harbor and

warehouse facilities of an extensive nature. Government legislation has

also accomplished much to assure its preeminence as certain laws now in

force operate to divert much commerce to La Guaira that would normally

go to other Venezuelan ports.

The port works and equipment are owned by the La Guaira Harbor

Corporation, an English company that has undertaken improvements

totalling $5,000,000 and that have changed the harbor from a natural

to an artificial port. Before the improvements, the port was an open

roadstead--unsheltered and very dangerous. At the present time it is

protected by a stone and concrete sea wall, constructed from an average

depth of 29½ feet and rising 19½ feet above water. This protection

is ample and ships may move about and anchor in complete safety. The

sheltered area of the harbor is 75 acres and has an average depth of

from 28 to 30 feet. Entrance is made between the buoy at end of pier

No. 5 and buoy No. 4 placed at a distance of 300 feet. The maximum

range of tide is approximately 3 feet. Vessels of 23-foot draft can

safely navigate the harbor.

Landing is made at jetties inside the breakwater and the cargo is

loaded on cars and taken to warehouses. The jetties are three in number

and can accommodate three large or four small steamers. These jetties

are all equipped with railway facilities. Bunkerage is not available

and vessels must coal from lighters or cars on wharf. The port can

supply only a limited amount of coal, mostly Cardiff briquettes. Fuel

oil can not be obtained, but is available in large quantities at

Curaçao, 60 miles distant.

The population of the port is estimated at 26,000. The climate is

very hot with an average temperature of 84°. The prevailing winds are

northeast by southwest.

Though but 8 miles from Caracas, 24 miles of winding railroad through

the mountains are necessary to connect the port with the capital. The

line is owned by an English company, has a gradient of 4% and is of

3-foot gauge. From Caracas the Great Railroad of Venezuela operates a

road to the city of Valencia which in turn is connected by a third line

to Puerto Cabello.

The principal exports of the port are coffee, cacao and hides which are

sent principally to the United States, with which commerce is greatly

increasing. Much cacao of the better grade is exported to France.

The imports are textiles, chemicals, machinery, hardware, paper

products, drugs and medicines, of which 75% come from the United

States. Large return cargoes are difficult to get and at times

absolutely unobtainable.

The following statistics may serve to show the volume of commerce of

the port:

MOVEMENT OF CARGO FROM THE PORT OF LA GUAIRA

_1918_ _1919_

_Metric_ _Metric_ _Increase_

_Tons_ _Tons_ (_M. T._)

Foreign imports 25,384 38,843 13,459

Foreign exports 26,186 30,632 4,445

Coastwise trade 55,446 64,195 8,748

-------- ------- -------

Total movement 107,017 133,671 26,654

MOVEMENT OF PASSENGERS FROM LA GUAIRA

_Year_

1915 8,216

1916 8,707

1917 9,976

1918 9,897

1919 15,974

MOVEMENT OF CARGO FROM PORT OF LA GUAIRA BY YEAR SINCE 1905

_Year_

1905 92,489

1906 89,299

1907 93,548

1908 63,012

1909 74,414

1910 81,525

1911 91,996

1912 105,844

1913 116,116

1914 110,498

1915 104,583

1916 113,351

1917 123,963

1918 107,017

1919 133,671

PILOTAGE AND TOWAGE

Pilotage is not compulsory and is little used as entrance to the harbor

is easily made. When signalled for, the pilot boards the vessel about 2

miles off shore and proceeds to the port. Towage is very seldom used,

the only tug available being owned by the harbor corporation. The

charge for towage is $50 for a distance of from 4 to 6 miles off shore.

Mooring and shifts within the harbor are made from swinging buoys and

with the vessel's own equipment of capstan and winches. A mooring

charge of $0.0286 per net ton register is collected by the harbor

corporation both on steamers and sailing vessels.

LIGHTERAGE AND CARTAGE

The port is equipped with six lighters of 30 ton capacity, all of

which are owned by the corporation. They are principally used when the

mole is overcrowded and for the handling of large packages. Vessels

carrying explosives or other dangerous cargo must anchor just inside

the breakwater and discharge their goods into lighters.

Cartage for local delivery is accomplished by means of small

two-wheeled carts; most of the cargo, however, is handled by the

railroad with which the jetties are all connected.

STEVEDORING

Harbor conditions, on the whole, are satisfactory. When experienced,

the help is skillful and efficient but unfortunately is hard to obtain.

The employees have no union and are for the most part mulattoes. The

regular hours of work are from 7 A. M. to 4:30 P. M., while overtime

(daylight) is from 4:30 P. M. to 6:30 P. M.

The cost of discharging cargo is 60c. per hour during the regular

hours. For overtime in daylight the rate is increased 40c. and in night

time 60c. Tally clerks receive $3.00 per day with 40% increase for

overtime in daylight and double time after 9:00 P. M.

The time rate for handling cargo is about 20 metric tons per hour by

gang of 20 men. The discharging rate varies according to the nature

of the cargo as it can not be placed on the wharf faster than the

employees of the Customs House can check it.

PORT CHARGES

Of first importance are the charges collected by the government, which

include the following: An export tax on coffee, cacao, etc., which

is paid by the exporter, the vessel not being charged; a tax by the

captain of the port to the value of $2.41; interpreter's service,

which, however, is not compulsory, $6.18; port doctor fee $9.65 for

steamers and $4.83 for sailing vessels; pilotage, if taken, for

steamers $16.21, sailing vessels $11.58; government stamps, $1.93.

Vessels are boarded by the port doctor and a bill of health is required

from the Venezuelan Consul at the last port, also lists of passengers

and crew.

The port possesses an under-equipped hospital and a fee of $3.86 is

collected by the hospital association from each large vessel entering

or leaving the harbor. If proceeding to another domestic port a bill of

health is required and a charge of $2.35 is made by the government.

The municipality collects a water charge of $46.32 whether water is

taken on or not. If additional water is desired, a further charge of

77c. a ton is made. Other charges are made by the Harbor Corporation

including $0.0386 per net ton register for mooring and a similar sum

for each metric ton loaded or discharged during regular hours.

WHARVES AND WAREHOUSES

The breakwater pier is equipped with 3 jetties of concrete

construction, with a vessel clearance of 2,000 feet. The length of

jetty No. 1 is 70 meters, while that of No. 2 and No. 3 combined is

215 meters. Their width is 15 meters and the depth of water at low tide

is 30 feet. The jetties have a capacity of 6,000 tons of general cargo.

The pier is equipped with ten revolving steam cranes, the largest of

which is of 12 ton capacity with boom radius of 60 feet at an angle of

45°. The remaining cranes are of 5 and 3 ton capacity respectively.

The port has four warehouses with a total floor space of 5,134 square

meters. All are in charge of the government and are in good condition.

Strict regulations are in force and the Custom House processes are of a

character to discourage commerce.

The national tariff is highly protective, the government receiving

a large percentage of its revenues from this source. Few goods are

admitted free and those likely to compete with home industry are

severely taxed.

DOCUMENTS

Necessary for port doctor:

Bill of health.

List of crew (register).

List of passengers.

Necessary for customs authorities:

Ship's register (sometimes demanded).

Consular dispatch from Venezuelan Consul, consisting of one

sealed package with general manifest of cargo, consular

invoices, bills of lading, etc.

Two copies of crew list.

Two copies of the passenger list.

Two copies of the list of provisions and stores.

Two copies of the "Sobordo" in hand.

Two copies of the B/L sealed by Venezuelan Consul in the last

port.

Necessary for agency:

Vessels bringing cargo from United States ports:

1 copy of manifest.

1 set of ship's export declarations.

1 set ship's papers (from American vessels).

_Paul Babbitt._

OCEAN, CABLE AND RADIO COMMUNICATION WITH VENEZUELA

Venezuela, northernmost of the South American republics, comprises an

area of 393,976 square miles, including vast mineral resources and land

well suited for agricultural pursuits and cattle raising. Among the

principal agricultural products which Venezuela raises in sufficient

quantity for export to other parts of the world are coffee, cocoa,

sugar, tobacco and rubber. Other exports are gold, hides and skins.

Among the principal imports we find cotton goods, wheat flour, and,

in short, all manufactured articles used in the tropics except shoes,

laundry soap, candles, matches, salt, ready-made clothing and similar

articles upon which tariff rates are prohibitive.[4]

[4] United States Commerce Reports (No. 48-A), 1920.

It is within my province here to discuss communication facilities

between Venezuela and other countries, both in regard to steamship

facilities, and cable and wireless communication, for the purpose of

determining whether or not the existing lines of communication are best

suited to promote commerce between Venezuela and the countries to which

and from which she exports and imports products.

The first point to be considered is that of shipping communications,

since it is in ships that foreign commerce must be carried. In the

following pages we shall briefly discuss Venezuelan ports, volume of

shipping entering and leaving these ports and the countries and lines

owning and operating these ships.

The principal Venezuelan ports in order of their importance are La

Guaira, Maracaibo, Puerto Cabello and Ciudad Bolívar.[5]

[5] Reports of Trade Commissioner Bell, Commerce Dept.

_La Guaira_, due to its geographical position as the port nearest the

United States and Europe (2,000 miles from New York and New Orleans),

together with the fact that it is near Caracas, the capital and

commercial centre of Venezuela, is the most important port in that

country. It is therefore a port of egress and entry for Caracas and

central Venezuela. Besides being the capital and largest city, Caracas

is, to a peculiar degree, the centre of the commercial and industrial,

as well as the political life of Venezuela. Practically every company

engaged in any sort of business maintains an office in Caracas, which

accounts in part for the importance of the nearby port of La Guaira.

Due to the importance of coffee and sugar growing in the district

around _Maracaibo_, this port is the second in importance in

Venezuela.[6] It is situated at the entrance of a great lake which

opens the way to a territory rich in coffee and sugar plantations as

well as in coal mines and petroleum fields. Its only disadvantage is

the fact that a shallow channel which must be dredged continually

prohibits the entrance of vessels of large tonnage at many periods of

the year.

[6] Consular reports from La Guaira and Maracaibo.

The next port in importance, that of _Puerto Cabello_, is the inlet

and outlet for a district containing three of Venezuela's largest

cities, Valencia, Barquisimeto and Coro. This region is preeminently

agricultural in its activities and its prosperity is largely dependent

on its export trade in coffee, cacao, hides, skins, copper ore and

frozen meat.

_Ciudad Bolívar_,[7] fourth in importance of the ports of Venezuela,

is situated on the Orinoco River, about two hundred miles above its

mouth. In every respect its commerce is very different from that of the

rest of Venezuela, depending not upon the products of manufacturing or

agriculture, but upon wild products of the forests; upon gold mined

and washed in Venezuelan Guiana, and upon hides which are rafted down

the Orinoco and its tributaries from southern Venezuela and eastern

Colombia.

[7] Consular reports from Puerto Cabello and Ciudad Bolívar.

In order to give a clear idea of the ships and tonnage entering and

leaving the various Venezuelan ports, as well as their nationalities,

I have compiled statistics from the official figures given by the

Minister of Hacienda for the year 1918, the last year for which

figures could be obtained. A study of these figures shows the relative

importance of the ports of the country as well as the volume of

commerce with foreign nations.[8]

SUMMARY

_Number of Ships Entering Each Port, January-June, 1918._

PORTS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

La Guaira 52 18 102,762 962 70 103,724

Maracaibo 12 39 9,522 4,380 51 13,902

Puerto Cabello 33 24 107,041 1,563 57 108,604

Ciudad Bolívar 14 1 3,118 9 15 3,127

Carúpano 14 14 17,145 184 28 17,329

Puerto Sucre 5 33 2,474 285 38 2,759

La Vela -- 33 -- 1,797 33 1,797

Cristobal Colón 13 36 13,250 1,307 49 14,557

Pampator 2 44 511 630 46 1,141

---- ---- -------- ------- ---- --------

Total 145 242 225,823 11,117 387 266,940

_Nationalities of Ships Entering These Ports, January-June, 1918._

FLAGS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

American 51 10 77,183 2,094 61 79,277

Colombian -- 6 -- 303 6 303

Spanish 7 -- 26,439 -- 7 26,439

French 6 -- 14,771 -- 6 14,771

Dutch 3 33 7,251 2,913 36 10,164

English 37 7 90,678 272 44 90,950

Italian 3 -- 16,962 -- 3 16,962

Norwegian 11 -- 13,505 -- 11 13,505

Venezuelan 27 186 9,034 5,535 213 14,569

---- ---- -------- ------- ---- --------

Total 145 242 255,823 11,117 387 266,940

_Number of Ships Entering Venezuelan Ports June-December, 1918._

PORTS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

La Guaira 72 53 112,498 4,835 125 117,333

Maracaibo 28 19 14,968 1,480 47 16,448

Puerto Cabello 27 25 111,369 915 52 112,284

Ciudad Bolívar 14 1 3,118 8 15 3,126

Carúpano 6 12 1,381 186 18 1,567

Puerto Sucre -- 15 -- 225 15 225

La Vela -- 16 -- 735 16 735

Cristobal Colón 12 34 7,720 1,148 46 8,868

Pampator -- 43 -- 762 43 762

---- ---- -------- ------- ---- --------

Total 159 218 251,054 10,294 377 261,348

_Nationalities of Ships Entering Venezuelan Ports,

June-December, 1918._

FLAGS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

Spanish 13 50,041 13 50,041

French 14 2 3,011 3,060 16 6,071

Dutch 3 28 1,914 1,693 31 3,607

English 27 4 73,319 81 31 73,400

Italian 6 33,924 6 33,924

Norwegian 4 6,184 4 6,184

Venezuelan 24 183 5,302 5,386 207 10,688

---- --- -------- ------ ---- ------

Total 159 218 251,054 10,294 377 261,348

_Number of Ships Sailing From Each Port, January-June, 1918._

FLAGS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

La Guaira 49 53 79,593 3,936 102 83,529

Maracaibo 69 121 29,560 11,987 190 41,547

Puerto Cabello 33 108 86,306 5,275 141 91,581

Tucacas 4 5 4,065 557 9 4,622

Ciudad Bolívar 14 1 3,512 9 15 2,521

San Felix 3 942 3 942

Barrancas 9 1 3,494 6 10 3,500

Carúpano 17 29 17,304 614 46 17,912

Rio Carila 15 2 1,096 16 17 1,112

Puerto Sucre 2 45 118 882 47 1,000

Guanta 13 9 5,515 511 22 6,026

La Vela 91 6,954 91 6,954

Cristobal Colón 6 361 10,200 5,421 367 15,621

Pampator 3 104 139 2,687 107 2,826

---- --- -------- ------ ---- ------

Total 237 930 241,844 38,855 1,167 280,699

_Nationalities of Ships Sailing from Venezuelan Ports._

FLAGS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

American 63 18 82,332 5,857 81 88,189

Colombian 4 257 4 257

Spanish 6 24,141 6 24,141

French 4 2 14,331 134 6 14,465

Dutch 23 131 17,445 11,019 154 28,464

English 56 8 48,391 407 64 48,798

Italian 3 15,441 3 15,441

Norwegian 15 19,038 15 19,038

Venezuelan 67 767 20,725 21,181 834 41,906

---- --- -------- ------ ----- ------

Total 237 930 241,844 38,855 1,167 280,699

_Number of Ships Sailing from Each Port, July--December, 1918._

PORTS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

La Guaira 45 48 93,167 3,449 93 96,616

Maracaibo 63 121 28,565 8,280 184 36,845

Puerto Cabello 34 135 105,769 2,521 169 108,290

Tucasas 1 9 1,021 746 10 1,767

Ciudad Bolívar 23 1 6,809 9 24 6,818

Barancas 2 17 481 249 19 730

Carúpano 14 23 6,626 578 37 7,204

Rio Cariba 4 6 280 107 10 387

Puerto Sucre 1 24 30 911 25 941

Guanta 6 12 2,080 845 18 2,925

La Vela -- 68 -- 3,903 68 3,903

Cristobal Colón 8 367 7,974 5,939 375 13,913

Pampator 4 137 111 4,445 141 4,556

---- ---- -------- ------- ---- --------

Total 205 968 252,913 31,982 1,173 284,895

_Nationalities of Ships Sailing from Venezuelan Ports._

FLAGS SHIPS TONNAGE TOTAL

_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_

American 60 7 81,078 1,659 67 82,737

Spanish 15 -- 57,788 -- 15 57,788

French 22 9 11,893 1,910 31 13,803

Dutch 17 106 9,404 5,859 123 15,263

English 44 10 53,090 696 54 53,786

Italian 4 -- 22,772 -- 4 22,772

Norwegian 7 -- 9,582 -- 7 9,582

Venezuelan 36 836 7,306 21,858 872 29,164

---- ---- -------- ------- ---- --------

Total 205 968 252,913 31,982 1,173 284,895

[8] United States of Venezuela: Ministerio de Hacienda; "Estadistica

Mercantil y Marítima."

As can readily be seen from these figures the chief commerce of

Venezuela is with American and European countries. The shipping service

is of two kinds--line service and tramp or charter service. The

former consists of actual steamship lines under an organized company,

operating on regular itineraries and on stated dates with regular rates

for freight, passenger and mail service. The latter refers chiefly

to sailing vessels of small tonnage, either engaged independently in

trade or under charter contract with firms or individual shippers for

a certain stipulated length of time, at certain rates mutually agreed

upon, and for stated cargoes and voyages.

Since, in this connection, line service is of the most importance

we shall first take up the various steamship lines operating between

Venezuelan ports and other ports of the world.

=TRANSATLANTIC COMPANY OF BARCELONA=

This is a Spanish line of steamships, having its home office

at Barcelona, Spain. It was established January 21, 1882,

and supplies a passenger, freight and mail service, making

one voyage each month at intervals somewhat irregular. Its

itinerary comprises the following ports:

Barcelona, Genoa, Puerto Rico, Habana, Puerto Limon, Colón,

Puerto Colombia, Curaçao, Puerto Cabello, La Guaira, Puerto

Rico, Barcelona.

The vessels in service are the Montevideo, Buenos Aires,

Lyaysi, Montserrat, Antonio Lopez, Manuel Calvo, Satrustyui.

Because of the length of time taken in transit this line does a

greater freight than passenger business. Its rates are governed

by those of other European steamship companies, since they are

united under a gigantic ocean-carriers' agreement, which will

be discussed later.

=COMPAGNIE GENERAL TRANS-ATLANTIQUE=

This is a French line, established June 27, 1872, with its home

office in Paris. It supplies a monthly service for passengers,

freight and mail. Its itinerary formerly was:

Nazaire, Point a Pitre, La Guaira, Puerto Colombia, Cartagena,

Colón, Puerto Colombia, Puerto Cabello, Port de France, St.

Nazaire and Bordeaux.

(N. B.--According to information recently received, this line

now also calls at Havre.)

The vessels in service are the Perón, Puerto Río, and Haiti.

The service is not as regular as could be desired and rates

are governed by the same conditions which apply to the Spanish

company previously mentioned.

=ROYAL DUTCH WEST INDIA MAIL=

This is a Dutch line, having its home office in Amsterdam,

Holland. Its service was crippled during the war, but it was

reestablished in October, 1919. It supplies a freight and

passenger service every fifteen days between the following

points:

Amsterdam, Holland, La Havre, La Guaira, Puerto Cabello,

Curaçao, Puerto Colombia, Cartagena, Puerto Limon and Cristobal.

The vessels now in service are the Stella, Crynssen, Styvessant

and Orange Nassam.

=HARRISON LINE=

This is a British line, established in June 28, 1875, with

its home office in Liverpool, England. It supplies a monthly

freight and mail service between the following ports:

Liverpool, Barbadoes, Trinidad, La Guaira, Puerto Cabello,

Curaçao, Puerto Colombia, Cartagena, Colón, Beloge, Puerto

Barrios, New Orleans, Galveston, Liverpool.

The vessels in service are the Dictator, Author, Orator,

Senator and Benefactor.

=LEYLAND LINE=

This is a British line, operating between the same ports as

the Harrison Line, and also has its home office in Liverpool.

It supplies a semimonthly freight and mail service between

these ports. The vessels now in service are the Antillian,

Alexandrian, Median, Nortonian, Nobian Asian and Nossian.

These two British lines are most important as freight and mail

carriers, the passengers carried being relatively small in

number.

=LA VELOCE LINE=

This is an Italian line having its home office in Genoa, Italy.

It was established in 1890 and supplies an irregular freight,

passenger and mail service between the following ports:

Genoa, Marseilles, Barcelona, Teneriffe, Trinidad, La Guaira,

Puerto Cabello, Caracao, Puerto Colombia, Cartagena, Port

Limon, Colón and Genoa.

Its vessels in service are the Europa and Bologna.

=TRANSATLANTIC ITALIAN COMPANY=

This is another Italian company operating steamships between

that country and the Americas. It is a new company, the service

having been established August 10, 1920, with home office in

Genoa, Italy. Its itinerary comprises the following ports:

Genoa, Marseilles, Barcelona, Cadiz, Teneriffe, Trinidad, La

Guaira, Puerto Cabello, Curaçao, Puerto Colombia, Cristobal,

Balboa, Guayaquil, Callao, Mollendo, Arica, Casigua, Aristo,

Fagasta, Valparaiso and Genoa.

This line is equipped with three 12,000 ton motor vessels of

recent design; the San Georgio I, San Georgio II, and San

Georgio III, and supplies a passenger and freight service.

These ships carry merchandise and raw material from La Guaira

and Puerto Cabello to less accessible ports like Ciudad

Bolívar, and from the latter port to the northern coast this

company is rapidly increasing the number and tonnage of its

vessels and undoubtedly will be an important factor in the

commercial progress of Venezuela in the years to come.

* * * * *

In referring to the great European steamship lines which touch

Venezuelan ports I mentioned the fact that a combination to control

freight rates existed. This is simply an agreement by which these

companies agree on maximum and minimum rates to be charged on certain

classes of goods. Undoubtedly such pooling has its disadvantages, since

it tends to keep competition out of the field.

We come now to a consideration of the one American line operating

between New York and La Guaira, _i.e._, the "Red D Line" of steamships.

I have purposely saved this for the last since, in considering this

subject from an American viewpoint, it is naturally the most important.

This line carries the mail, passenger and freight from American ports

to those of Venezuela, and is responsible to a great extent for the

proper delivery of merchandise sold to Venezuelan companies by American

firms.

The Red D Line has its home office in New York City, with branch

offices in Caracas, San Juan, P. R.; Curaçao, W. I.; Puerto Cabello and

Maracaibo. It is under contract with the United States Government for

the transportation of mail, and supplies a weekly service between New

York, Porto Rico, Curaçao and Venezuela.

In regard to rates and charges, among the most important of this

company's regulations are the following:

(1) Rates are assessed per cubic foot, or 100 pounds ship's

option, except as otherwise provided.

(2) Packages containing different articles will be charged the

tariff rate for the highest class article contained therein.

(3) Packages of more than $100.00 in value must be noted on

ships receipts when such goods are offered at the pier. Charges

on packages of this kind will be in addition to tariff 3/4 of

1% on all values over $100.00 per package. This company will

not be liable in the event of loss or damage from any cause

whatever as detailed in bills of lading, for more than $100.00

per package unless such value is shown on shipping receipts and

extra freight paid thereon.

(4) Minimum charge to San Juan, P. R., $3.00; to Curaçao,

Maracaibo, Coro and Puerto Cabello, $5.00; to La Guaira, Ven.,

$5.00 plus wharf dues.

(5) Heavy or bulky packages by special arrangement only.

(6) This company requires two copies of bills of lading to

San Juan, P. R., and Curaçao, D. W. I., and five copies to La

Guaira, Puerto Cabello, Maracaibo and Coro, Venezuela.[9]

[9] Red D Line Freight Tariff No. A-1.

There are many additional regulations covering special cases, which it

is impossible to enumerate here. For those interested I would recommend

a copy of the Red D Line Freight Tariff No. 1-A, which may be secured

at any of this company's offices.

The ships now in service for this line are the Caracas, 3,000 tons;

Philadelphia, 2,500 tons; Merida, 630 tons, and the twin screw

steamers Maracaibo and Zulia, 1,800 tons each. Two additional vessels

for use on this line are now under construction in the States.

At the present time, however, it is to be regretted that comparatively

poor and irregular service exists between the two Americas. American

salesmen and business men operating in Venezuela constantly complain

of delays in forwarding mail and merchandise resulting in financial

loss for themselves and creating dissatisfied customers. Considering

the existing monopoly in communication, it is surprising that trade

between Venezuela and America has progressed to the extent that it

has. Venezuela is a rich country and can supply many varieties of

agricultural products to the United States; on the other hand, she must

look to the United States for manufactured goods, machinery, etc.,

to enable her to prosper. There is a wonderful opening for American

capital in the country of Simón Bolívar, but it never can be fully

realized until ocean communication between the two sister republics is

greatly improved.

CABLE COMMUNICATION

Cable communications with the exterior are at present monopolized by

the "French Company of Telegraph and Cables," through a concession

which lasts until 1929. This privilege is based on the first article

of contract which governs the Company's relations with the Government

of Venezuela; the privilege is exclusive and the controlling lines run

from La Guaira and La Vela, ports of Venezuela, to the Dutch Island of

Curaçao, thence to the Republic of Haiti, and thence to New York and

France. The price per word from Venezuela to New York is five bolivares

(approximately one dollar under normal exchange) but because of various

tariffs assessed by the company, and extra charges in delivery, the

rates usually exceed that figure. Moreover the service is poor and

uncertain, interruptions are frequent and a cable can not be depended

upon in matters of urgent importance. The company has not improved its

service and methods to meet the growing needs of an expanding business.

Something must be done to solve this difficulty of cable communication

before the potentialities of Pan-American trade can ever be realized.

But it can not be solved without the abolition or modification of the

present monopoly.

WIRELESS COMMUNICATION

Closely linked with the question of cable communication is the problem

of establishing wireless communication with foreign countries. In this

connection the recent severance of relations with Germany resulting

in a scarcity of materials and high prices greatly retarded the

installation of an improved wireless system with the outside world.

But on October 15, 1919, the government of the Republic of Venezuela

decided to call for bids for the construction of a wireless telegraph

station in the neighborhood of Caracas, the capital of the Republic.

The geographical situation of Caracas is as follows: Latitude North

10°-30'-24". Longitude 4°-25'-4" West of the Meridian of Greenwich. Its

altitude above the sea level is 922 meters and its distance from the

Caribbean Sea 10 kilometers. Caracas is separated from the coast by a

branch of the Andes Mountains which, in that part nearest to the city,

are 1,800 meters above sea level.

The technical conditions of the plant are:

(1) The station must be of sufficient capacity to communicate

with similar stations in Europe and the United States of

America.

(2) The station shall contain a plant for the emission of loud

voices and another plant for the emission of subdued voices

intended for communicating with wireless stations not yet

equipped with the system of loud waves.

(3) The necessary electric power will be furnished by a

private concern in the shape of 190 volt, 50 cycle, 3 phase,

alternating current as used in Caracas.

(4) Furthermore, the installation shall include a set of

reserve motors.

The bids must contain:

(1) The general plan of the plant and the necessary detailed

plans and cuts drawn on a convenient scale.

(2) A general description of the apparatus.

(3) The time necessary for its construction.

(4) Total cost of the station. The amount will be paid in

Caracas in quarterly installments, cash, at the end of each

quarter, in accordance with the progress of the work. The

government will retain 10% of the amounts of each payment,

which sum will be paid to the contractor after compliance with

the provisions of the next article.

(5) The assumption of an obligation by the bidder to manage

the station during six months after its completion as a proof

of delivery in good working order. After this has been proved,

the aforesaid 10% of the cost of the work will be paid to the

contractor.

[Illustration: BOLÍVAR'S HOME IN THE MOUNTAINS WITH STATUE OF

THE HERO, CAPTAIN RICAURTE]

[Illustration: ON THE ROAD FROM MARACAY TO CARACAS]

The bids must be sent to the Minister of Fomento of Venezuela

before the last day of June, 1920. On the last day of August,

1920, in a Cabinet Meeting, the bid which in the opinion of

the Federal Executive offers the greatest advantage will be

accepted, while the Government reserves the right to reject all

bids if it is deemed convenient.

Any responsible construction concern--national or

foreign--specializing in this work may send in a bid.

The importance of this proposed wireless station is very evident to

those interested in Venezuela, and its prosperity. By establishing

direct and efficient communication between this country and America and

Europe, it will open the way to vast trade possibilities.

Having thus discussed the three methods of communication which are of

paramount importance in foreign trade, we can not but realize that

Venezuela has been working under a serious handicap. However, she has

made great progress in the last decade and it is to be hoped that under

a wise government she will continue her sound trade policies and before

many years will take her proper place among the leading commercial

nations of the world.

_Philip D. Sullivan._

TRANSPORTATION FACILITIES

Pronounced improvements in the political, economic and social life of

the Republic of Venezuela have been effected within the last few years

by the construction, upon a broad and comprehensive scale, of a system

of national highways totalling, in extent of completed roads, 2,900

kilometers (approximately 1,800 miles). These have been specifically

designed to bear the burden of motor transportation both of passengers

and freight, as well as of all classes of vehicular and equestrian

traffic. Built primarily with a military objective, these roads already

have come to serve the routine needs of peace, while being at all

times available for the exigencies of war. They provide a means for

the quick mobilization of the Venezuelan army of 50,000 men at any

of the principal strategic points of the country. Infantry, cavalry

or artillery may with equal facility and despatch pass over any of

these roads to a given rendezvous. The broad, smooth highways compass

distances, grades and defiles that hitherto presented almost impassable

barriers to the quick and flexible movement of military forces.

If heretofore the army suffered from a lack of adequate transportation

facilities, the commerce of Venezuela too was woefully handicapped.

One of the greatest and most coveted of Venezuela's assets is her

magnificent coastline of hundreds of miles on the Caribbean Sea. To

realize the serious difficulties under which her rich interior labored

in seeking an egress to foreign markets, it need only be noted that

until the completion, during the last decade, of the highway system

with its three separate routes from three chief ports of the republic

to the capital and interior centers of industry, the country had the

use of only two railway lines. These lines were well constructed, it

is true, but offered an indifferent service at a prohibitive tariff

with amazingly excessive wharf and terminal charges. The only available

alternative to these consisted of old Spanish trails up and down the

mountain sides where the necessity of walking in single file hazarded

the necks of man and beast.

With respect to the technique of construction and maintenance of the

highways of the new system, local considerations and the requirements

of the major volume of traffic normally moving into or out of a given

section have been carefully taken into account. On the level stretches

of the extensive llanos in the interior, advantage has been taken of

natural dirt bases for roads that have come to sustain the burden of

the enormous production of cattle, grain, corn, coffee, cotton and

sugar sent forth from those fertile plains. On the precipitous mountain

slopes of the massive watershed that divides the highland llanos from

the sea, macadam has been the principal material used; this has been

true also in other mountain districts of the Republic. In general,

American and English principles of roadbed construction have been

employed and great numbers of steel bridges and not a few suspension

bridges have been designed, imported and set up by leading American

bridge-building corporations.

The improved route from Caracas to Guatire has made the latter

accessible at all times to the capital. The route from Caracas to

Barquisimeto supplies a direct road from the capital to the center

of the Venezuelan Andes, while the one from Maracay to Ocumare de

la Costa leads directly to the sea at the point of juncture of the

two greatest highways, opening the way to the agricultural and cattle

raising industries of the central region of the Republic.

The Great Eastern Highway leads from Caracas through the states of

Miranda, Auzoategui and Bolívar to the mineral region of interior

Guayana. The Great Western Highway connects the center of the Republic

with the remotest western regions, leading from Caracas to Valencia,

San Carlos, Guanare, San Antonio de Caparo and San Cristobal. It

crosses the most densely populated part of Venezuela and promises

to be, in the near future, the principal artery of communication.

Telegraphic connection is constantly maintained between the road

engineers and the minister of public works. The highway from Turmero

to Calabozo is likely to become the bond of union between the great

eastern and western highways. It has maintained traffic for the first

time in the llanos during the rainy season, thus furnishing a constant

outlet for the wonderful productivity of this region. Steam rollers

and other standard mechanical apparatus have been employed in the

construction work, while recently the authorities have commenced to

use the superficial petrolization process for laying the dust and

counteracting the impairment of the roadbed by the rapidly increasing

automobile traffic.

The equipment of the highways has brought to the fore another

characteristic and interesting Venezuelan institution--the road

workmen--who fulfill a dual function in the task they assume when a

road or section is completed: that of attending to, or assisting in,

its upkeep or repair, guarding against violation of the regulations

laid down for its use by the public, and otherwise policing a stretch

that is three kilometers upon macadam roads and two kilometers upon

natural dirt roads. The "peones camineros" represent but another and

latter-day application to public service of the marvelously faithful,

intelligent and efficient common labor of the country.

The mileage mentioned above is practically for motor vehicles and is

constantly used by the 2,000 passenger cars in active service. Had the

new road system been inspired and carried into execution by American

builders for the advancement of their own people's interests, they

could scarcely have served more thoroughly the purpose of American

commerce. From the outset, these roads have operated to strengthen this

country's position as a producer and exporter of automobiles. Thus a

vital public improvement, undertaken by the Venezuelan Government,

operated primarily to establish an altogether new market for one of the

chief industrial products of the United States. Yet despite the fact

that the capital of Venezuela, Caracas, has a population of 100,000

and boasts of having 1,000 automobiles or one car for every hundred

citizens, relatively few motor-trucks are to be seen there or, in fact,

elsewhere in Venezuela.

Nevertheless, it requires neither seer nor prophet to foresee

practically unlimited opportunities throughout the land of Bolívar

for every kind and class of American manufactures, from agricultural,

mining and factory machinery to the smallest articles of merchandise;

and this as the direct result of the building and extension of the

Venezuelan highway system. For transporting these manufactures from

ship's side to interior communities--some of them Spanish colonial

settlements that have flourished for almost four hundred years but

which until now have not known American importations--there is only one

logical and available instrument,--the American motor-truck.

RAILROADS

The standard gauge of the United States and Canada, 1.435 meters

between rails, was adopted by the National Congress of 1912, an act

necessary for any great capacity of railroad transportation as well as

the assurance of an immediate and adequate supply of materials.

Laws were promulgated June 12, 1917, and June 4, 1918, for the

concession, construction and operation of railroads by domestic and

foreign companies or individuals, containing the following provisions:

1. That all enterprises be approved by the National Congress;

that all controversies be settled in Venezuelan courts; that

one-half of the employees be from Venezuela, and that no

interest be guaranteed by the government on capital invested.

2. That complete plans of any railroad project be submitted to

the minister of public works prior to beginning operations,

and that deposits of money be placed in the national treasury

as a guarantee of integrity.

3. That regulations and standard measurements be carefully

observed; also provisions for roadbeds, crossings, etc.

4. That the right be reserved to the National Government to

take over railroads after forty years of service, if desired.

5. That rival lines in close proximity to those already

constructed be prohibited, and that branches or prolongations

of existing lines be permitted in accordance with regulations.

6. That rates fixed by owners be approved by the public

ministry; that mails be carried free, and that reductions be

allowed to government employees; and materials destined for the

improvement of public works shall be transported at reduced

rates.

7. PRIVILEGES: that no oppressive taxes be levied on railroads;

that a fair proportion of unclaimed lands be conceded to

railways; that free transportation be allowed railway

construction material; that railways be permitted to erect

telegraph and telephone lines provided the government be

granted gratuitous use of them; and that the employees be free

from military service, except in case of international war.

There are twelve railroad systems in Venezuela at the present time with

a combined length of 600 miles and 40 millions of dollars invested

capital.

1. =The Bolívar Railroad Company= owned and financed by the

English with a working capital of $5,914,075 was the first

railroad of Venezuela. The road is 88½ kilometers long, the

gauge 0.61 meters. It has 165 bridges and 20 stations; the

route is from Tucacas to Aroa. The number of passengers carried

in 1919 was 24,408, and during the same period freight amounted

to 38,820 tons.

2. =The La Guaira-Caracas Railroad= is over 23 miles in length

and carries the greatest part of the products of the country;

it serves more than half of the central part of the republic.

This railroad is the most important railroad in Venezuela,

because it has direct connection with the Valencia and Puerto

Cabello Railroad and the railroad going to Ocumare de la Costa.

The length is 35.5 kilometers, the gauge 0.915 meters. There

are 10 bridges, 8 tunnels and 9 stations and the route is from

La Guaira to Caracas. It is owned by the English with a capital

of $4,175,000. The number of passengers carried in 1919 was

73,305 and freight amounted to 76,335 tons.

3. =The Valencia-Puerto Cabello Railroad Company= is the second

most important railway in Venezuela and performs the same

service as the La Guaira to Caracas Railroad. It is owned and

financed by the English with a working capital of $4,141,000.

It has a length of 54 kilometers, the gauge is 1.07 meters and

there are 23 bridges, 1 tunnel and 6 stations along the route

from Valencia to Puerto Cabello. The number of passengers

carried in 1919 was 53,990 and freight amounted to 55,121 tons.

4. =The Grand Railroad of Venezuela= is owned and financed by

Germans with a working capital of $15,000,000. The length is

179 kilometers, the gauge 1.07 meters, there are 212 bridges,

86 tunnels and 25 stations. The route is from Caracas to

Valencia. The number of passengers carried in 1919 was 211,442

and freight amounted to 76,335 tons. The rolling stock of

this road consists of 18 locomotives, with a combined weight

of 720 tons, 30 passenger coaches, 68 flat cars, 60 box cars

and 19 stock cars. The passenger tariff equals 6¼ cents per

mile for second class and 7.78 cents for first class. Freight

rates are equivalent to 15.65 cents per ton mile. The freight

traffic is small and nearly half the revenue is from passengers

carried. The management attempted some development work in tree

planting, the introduction of new crops, and the improvement of

stock, but the grasshopper plague affected the results.

5. =The Guanta-Barcelona Railroad= is owned and financed by a

Venezuelan company with a working capital of $300,000. This

road is 18.5 kilometers long, the gauge 1.07 meters; there

are 4 bridges and 6 stations. The route is from Guanta to

Barcelona. The number of passengers carried in 1919 was 13,553

and freight amounted to 28,863 tons.

6. =The Railroad of Carenero= is owned and financed by

the French with a working capital of $1,576,800. It is 33

kilometers long, the gauge 0.915 meters; there are 57 bridges

and 5 stations; the route is from Carenero to San José. The

number of passengers carried in 1919 was 20,037 and freight

amounted to 6,923 tons.

7. =The Maiquetia-Macuto Railroad= is owned and financed by the

English with a working capital of $100,000. The length is 7

kilometers, the gauge 0.915 meters; there are 8 bridges and 4

stations. The route is from Maiquetia to Macuto. The number of

passengers carried in 1919 was 430,668 and freight amounted to

2,563 tons.

8. =The Central Railroad of Venezuela= is owned and financed by

the English with a working capital of $3,484,500. The length

is 60 kilometers, the gauge 1.07 meters; there are 23 bridges,

14 tunnels and 7 stations; the route is from Caracas to the

station Tereza. The number of passengers carried in 1919 was

326,945 and freight amounted to 22,971 tons.

9. =The La Ceiba Railroad= is owned and financed by a

Venezuelan Company with a working capital of $1,600,000. The

length is 81.5 kilometers, the gauge 0.915 meters; there are

43 bridges and 5 stations; the route is from La Ceiba to

Roncayolo. The number of passengers carried in 1919 was 9,649

and freight amounted to 21,706 tons.

10. =The La Vela-Coro Railroad= is owned and financed by the

Venezuelan Government with a capital of $208,000. The length is

13.5 kilometers, the gauge 0.915 meters; there are 8 bridges

and 3 stations; the route is from La Vela to Coro. The number

of passengers carried in 1919 was 6,681 and freight amounted to

10,828 tons.

11. =The Grand Railroad of the Táchira= is owned and financed

by a Venezuelan Company with a capital of $1,500,000. The

length is 115 kilometers, the gauge 1.07 meters; there are 3

bridges and 13 stations; the route is from Uraca to Táchira.

The number of passengers carried in 1919 was 19,070 and freight

amounted to 19,562 tons.

12. =The Santa Barbara-El Vigia Railroad= is owned and financed

by the Venezuelan Government with a working capital of

$600,000. The length is 60 kilometers, the gauge 1.07; there

are 37 bridges and 3 stations; the route is from Sta. Barbara

to El Vigia. The number of passengers carried in 1919 was

11,940 and freight amounted to 17,821 tons.

On several of the main roads traffic is lighter now than twenty-five

years ago, and notwithstanding the fact that rail transportation costs

no more than that by pack mule, scarcely any of the railway enterprises

have earned a fair return upon the capital invested, though certainly

transportation has been quickened and rates have been steadied, if

not cheapened. The principal reasons for this lack of earning power

lie in the sparseness of the population, and its distribution along

a long narrow strip of territory skirting the seaboard, a condition

which leads to the building of unconnected lines with short hauls.

Contributory reasons are the moderate producing and consuming power of

the people, and the general refusal of the lines to grant low rates for

the transportation of commodities of small value.

The waterways of Venezuela, numerous and general as they appear on the

map, are singularly disappointing on closer investigation. The great

Orinoco is a fine natural highway, it is true, as far as Pericos, some

600 miles from the mouth, but here the river is broken by the rapids

of Atures, and beyond by those of Maipures, hence it is impossible for

large boats to pass through to the upper river. The Apure, Arauca,

and Meta are, of course, useful means of communication with the

Colombian border regions and the southwestern llanos, but the numerous

tributaries on the north side are generally too variable in depth for

permanent traffic, and those on the south, as we have seen, are broken

up by rapids for practically their whole length.

On the other hand, if we take the positive value of the river

highways, rather than their actual extent, we shall see that they are

of considerable importance; the rivers of Guayana and of the eastern

llanos may be of little use for large boats, but the Orinoco forms

a great, central artery, from which roads, and perhaps eventually

railways, can diverge to the limits of the basin. Some of the llano

tributaries, too, are navigable for steamers, and thus the State

of Apure is now kept in communication with the outside world. Then,

too, there is the great advantage accruing to the State of Zulia from

its central lake, with its many tributary navigable rivers, along

which large boats can travel throughout the greater part of the State

and on to the boundaries of those of the Andes, as well as into the

neighboring republic of Colombia. Along most of these natural and

easily utilized lines of communication there are already services of

steamers, nothing very advanced, it is true, but still a beginning.

The most important of the accessible regions of the country are the

great plains stretching from east to west of the Orinoco and Apure

rivers, well suited to cattle raising, the rich alluvial region east of

Lake Maracaibo and the rich agricultural region around Lake Valencia.

Although these vast plains are open ranges covered with natural grasses

for cattle feeding, conditions, in general, are not those prevailing

in the Argentine Republic. The climate is much more tropical; tropical

diseases are prevalent, and the river valleys are subject to overflow

in times of high water. The higher lands farther north along the foot

hills of the coast range generally lack sufficient water during the dry

season of the year, which is December to June. Much could be done to

remedy this by the introduction of water through modern irrigational

devices.

The future of Venezuela depends primarily on her own people, upon whom

devolves the duty of developing in a conscientious and painstaking

manner the many resources of their country. It is certain that in the

task which lies before them they will need and obtain assistance of

foreign capital and advice, and in this, if American enterprise is

alive to a great opportunity, we as a nation should bear no small part.

_Edward Fanning._

AGRICULTURE IN VENEZUELA

The Agricultural Zone of Venezuela covers about 300,000 square

kilometers, according to recent statistics, and extends from the

Atlantic Ocean to Colombia, embracing the territory between the

Caribbean seacoast and the plains of the Orinoco towards the south of

the country.

Venezuela has fertile soil, perfect adaptability to the growth and

maturity of everything that is essential to the existence of man

and beast, mild climate, with temperatures varying according to

the elevation of the land and latitude, and strategic geographical

position. These favorable conditions designate Venezuela as one of the

most attractive and advantageous regions for agricultural pursuits.

Twenty per cent of the population are engaged in agricultural work,

but this proportion is far from being sufficient for an extensive

development of the natural resources of this vast area. It is

estimated that a population one hundred fold greater could derive a

comfortable subsistence from this agricultural region. This vast area,

including such a great number of square kilometers, should become one

of the most prosperous, rich and accessible agricultural fields of

the world following an increase in population, greater and improved

transportation facilities, and with the introduction of new methods of

cultivation and more general application of modern machinery.

The principal agricultural products of Venezuela are: coffee, cacao,

sugar, tobacco, India-rubber, tonka-beans, cotton, corn, vanilla, wheat

and kindred products.

The vegetable seeds are also numerous and consist of vetches, bean

seed, peas, beans, peanuts and okra.

The vegetable plants consist of: cabbage, cauliflower, melons,

asparagus, turnips, radishes, beets, egg plants, garlic, pepper,

celery, carrots, cresses, onions, spinach, lettuce and artichokes.

The fruits of Venezuela, of which there are many different species,

include: oranges, large sweet lemons, limes, plantains, pineapples,

pomegranates, figs, grapes, strawberries, plums, breadfruit, chestnuts,

mangoes, zapotes, parchas, medlars, tamarinds, cactus fruit,

mandarines, and a great variety of bananas of a very high quality.

There is a vast region available for the raising of bananas, but, up

to the present no use has been made of it and there is a very small

amount of capital invested in the production of this fruit ($100,000 in

American gold).

COFFEE

The cultivation of coffee in Venezuela began in 1784. At the present

time, it is estimated by experts that there are about 260 million

coffee trees under cultivation, which place Venezuela second among the

coffee growing countries, according to recent statistics.

Coffee is produced in the temperate climate regions of the Republic

from five hundred to two thousand meters above sea level. It is

estimated that coffee trees last from forty to fifty years, yielding

an average crop of one-eighth of a kilogram of coffee beans per tree.

Sixteen million dollars are invested in coffee trees in Venezuela at

the present time.

CACAO

Venezuela possesses one of the choicest cacao zones of the world. The

natural cacao (Theobroma edenda,--edible food of the Gods) is a seed

from a tree indigenous to the soil of Venezuela. From this seed the

chocolate of commerce is made. As the cacao tree requires for full

development and good crops a temperature of 80 degrees Fahrenheit, and

a moist air, therefore the Venezuelan lands along the coast of the

Caribbean Sea, sloping from the mountain tops to the shore, and which

are bedewed by the exhalation of the sea and irrigated by the many

rivers coursing down the valleys, are found to be well adapted in all

respects to the very profitable cultivation of cacao. It is, however,

also found and cultivated in other parts of Venezuela.

About two hundred trees may be planted in one hectare (about two and

one-half acres) and they must be protected from the sun by shade trees

until they have acquired normal size. Five years after having been

planted the trees begin to bear two crops a year, ripening in June and

December. The average life of a tree is about forty years. The seed is

similar to a shelled almond; about sixteen of these seeds are enclosed

in an elongated pod ribbed like a musk melon. The pods are of a yellow

and red color and when they become ripe turn purple. On being gathered

and heaped in piles on the ground, after a few days they ferment and

burst; then the seeds are shelled, washed and housed.

There are two grades of cacao grown in Venezuela, namely,--the criollo,

which is the native cacao, and the trinitario, which was originally

imported from the Island of Trinidad. The criollo, a very high grade,

grows especially well in the valleys situated near the sea, where the

temperature is warm and moist.

The demand for this product in Europe before the war was considerable

and large quantities were exported annually. In Spain and Italy cacao

is used in the form of chocolate, whereas in France, England and the

former German Empire, it is chiefly used in the manufacture of sweets

and confections, but its use is becoming so varied and extensive that

it will soon be a staple article of consumption as universally needed

as coffee or tea. Venezuelan cacao also finds a ready market in the

United States where it is known as Caracas and Maracaibo Cacao.

As the cacao-yielding region in the world is comparatively restricted,

the planters of this staple need not fear the increasing competition

which has been met in the cultivation of other staple products. At

the present time it is estimated that $12,400,000 are invested in the

cultivation of cacao in Venezuela.

TOBACCO

Tobacco, discovered by the Spaniards in Yucatan, was introduced from

there to the West Indies and thence transplanted to Venezuela, where

it is most successfully cultivated in Capadare, Yaritagua, Mérida,

Cumanacoa, Guanape, Guaribe and Barinas. Excellent tobacco is grown

near Cumaná, that from Guacharo being considered exceptionally good.

The plant thrives best in humid and fertile soil. Cultivation requires

about six months in Venezuela before it is ready for the market, and

while the cost of cultivation is not large, great care is required.

Some tobacco is exported from Venezuela, chiefly to Havana, where it is

mixed in the manufacture of Havana cigarettes.

The different classes of tobacco grown in Venezuela are distinguished

according to the regions where they are produced. These regions are

_Maturin:_

This grade of tobacco is produced chiefly in Venezuela and is used in

the manufacture of Venezuelan cigarettes. It is one of the better known

classes of tobacco entering foreign trade. This class of tobacco has:

1. Leaves which are light with relation to their bulk.

2. Medium strength, agreeable aroma.

3. It will keep in good condition for a maximum of two years but then

begins to rot and completely loses its strength.

_Capadare:_

This class of tobacco is considered to be better than the Maturin

tobacco. It maintains its strength and does not rot until three or more

years after it has been gathered. It has a very agreeable taste and its

weight as compared with its bulk is greater than that of the Maturin

tobacco and does not burn as fast as the latter. It is classified into

first and second class tobacco by the gatherers.

_Salon:_

On account of the very fine leaves and aroma which this tobacco

possesses it is used as the outer leaf in making fine cigars. It burns

well, is light in relation to its bulk and is classed by the gatherers

as Cover, Inner-cover and Core tobacco.

_Golfero:_

This region is on the shores of the Gulf of Cariaco and has recently

been planted with Havana tobacco seeds and is now producing a superior

quality. It has strength, aroma of a fine quality and burns very

well. It lasts about two years without rotting and on account of its

steady strength and agreeable aroma, it is very much demanded by the

manufacturers of cigarettes. It is divided into Principal, Half-tree

and Sprouts.

_Guaribe:_

This tobacco is rather strong, has an agreeable taste and aroma but as

a general rule does not burn well. It is used in the manufacture of

cigarettes, in small proportions, in order to give strength. It is also

divided into Principal, Half-tree and Sprouts.

_Cocorote_:

This tobacco is mostly used in the manufacture of cigarettes. It has a

delicate leaf, is light in weight, has considerable strength and good

taste. It is classified as Cover, Inner-cover and Core tobacco.

_Guacharo_:

This tobacco is produced near the Gulf of Cariaco in the vicinity

of the Guacharo Caves. It has an exceptional and superior strength,

a better taste and finer aroma than any other tobacco, not only of

Venezuela but of any place in the world where tobacco is cultivated.

There is only a small supply of this kind of tobacco because it will

not grow in any other region on account of the very mature strata

formation. The leaf is small and delicate; there is consequently

a great demand for it from the cigar manufacturers. Cigarette

manufacturers can not make use of it because the quantity produced is

too small.

PRODUCTION OF TOBACCO

The annual production of the different classes of tobacco in Venezuela

varies a great deal according to the conditions of the season and

the demand for the product. The approximate output between the years

1914-1919 was estimated at more than 3,000 tons from the different

regions. The average production above referred to is liable to increase

to a considerable extent provided the demand requires it, as soil fit

for tobacco cultivation is plentiful. The price of tobacco naturally

varies with the supply and demand and an increase of exports of tobacco

contemplated in the near future will tend to increase the prices. The

total value of tobacco exported from Venezuela in 1917 amounted to more

than $50,000; in 1918(?) the exportation amounted to more than $800,000.

The total amount of capital invested in Venezuela in the cultivation of

the tobacco plant is estimated at $2,000,000.

INDIA RUBBER

Rubber, which was discovered in French Guiana in 1758, is called

"caucho" or "goma elastica," in Venezuela. The rubber produced in the

Orinoco, Cassiquiare and Rio Negro sections of Venezuela comes from

forests of Heveas. There are other species of rubber trees but their

sap is less elastic and much thicker. The tree is found in plentiful

quantities throughout the Guiana section and the Andes Range, and in

some States of the East, West and South of Venezuela. More than twenty

tribes of Indians inhabiting the Amazon territory of Venezuela gather

rubber and prepare it, but, as a general rule, in a very primitive

manner.

In the Orinoco region the Hevea tree produces from 40 to 50 grams of

juice; in that of the Rio Negro from 80 to 100 grams and in that of the

Cassiquiare from 125 to 150 grams per tree.

Venezuela, an economic report Presented by students of the School of Foreign Service, as an aid to the foreign trade of the United States · 第 4 / 9 章