RIO, SANTOS, AND BRAZILIAN TRADE
Two days’ sail from Bahia brought us within sight of the wonderful
mountains that mark the entrance to the Bay of Rio de Janeiro. As one
approaches land, the first thing that catches the eye is the far-famed
Sugar Loaf Mountain which seems to guard the southern side of the
entrance. Back of it is a region even more romantic, a cluster of higher
mountains, green to their tops, yet with sides so precipitous and
pinnacles so sharp one wonders how anything can grow on them. The region
presents, in fact, such a prodigious variety of crags and precipices,
peaks and summits, that the separate forms are lost in a chaos of
beautiful hills.
The great granite rocks that guard the entrance to the harbor leave a
passage scarcely a mile in width. At the base of the Sugar Loaf we saw a
fairy white city romantically nestling in the shadow of the gigantic
crag. It is the new National Exposition of Brazil.
Once safely inside the granite barriers, the bay opens out and becomes
an inland sea, dotted with hundreds of islands, a landlocked basin with
fifty square miles of deep water.
On the northern shores of the bay lies the town of Nictheroy, the
capital of the state. Its name perpetuates the old Indian title of the
bay, “hidden water.” The name of the capital of the Republic, on the
south side of the bay, carries with it a remembrance of the fact that
when first discovered, the bay was mistaken for the mouth of a great
river, the River of January.
Since the early years of the sixteenth century, Rio has been conspicuous
in the annals of discovery and conquest. Magellan touched here on his
famous voyage round the world. The spot where he landed is now the site
of a large hospital and medical school. French Huguenots attempted to
find here a refuge in the time of the great Admiral Coligny. As one
steams slowly into the harbor, one passes close to the historic island
of Villegagnon, whose romantic story has been so graphically told by
Parkman.
Hither came the King of Portugal, flying from the wrath of Napoleon.
Here lived the good Emperor Don Pedro II, one of the most beneficent
monarchs the world has ever seen. And into these waters are soon to come
Brazil’s new Dreadnoughts, about which all the world has been
speculating, and which have made Argentina almost forget the necessities
of economic development in her anxiety to keep up with Brazil in the way
of armament.
An elaborate system of new docks, that has been in the course of
construction for a long time, has not been completed yet; so we anchor a
mile or more from the shore, not far from a score of ocean steamers and
half a hundred sailing vessels. Before the anchor falls we are
surrounded by a noisy fleet of steam launches, whose whistles keep up a
most infernal tooting. A score of these insistent screamers attempt to
get alongside of our companion-way at the same time. In addition, half a
hundred row-boats attack the ladder where some of the steerage
passengers are trying to disembark.
We had heard, before entering the port, that there were several hundred
cases of smallpox here, besides other infectious diseases. Yet this did
not prevent everybody that wanted to, and could afford the slight cost
of transportation, from coming out from the shore and boarding our
vessel. Such a chattering, such a rustling of silk skirts and a
fluttering of feathers on enormous hats, such ecstatic greetings given
to returning citizens! Such ultra-Parisian fashions!
On shore we found the marks of modern Rio--electric cars, fashionable
automobiles, well-paved streets, electric lights, and comfortable
hotels--very much in evidence. Were it not for the blinding sunlight
that fairly puts one’s eyes out in the middle of the day, one could
readily forget one’s whereabouts. To be sure, if you go to look for it,
there is the older part of the city which still needs cleaning up
according to modern ideas of sanitation. But if you are content to spend
your time in the fashionable end of the town or speeding along the fine
new thoroughfares in a fast motor car, it is easy to think no more of
Rio’s bad record as an unhealthy port.
The city of Rio is spread over a large peninsula that juts out from the
south into the waters of the great bay. Across the peninsula, through
the centre of the busiest part of the city, the Brazilians have
recently opened a broad boulevard, the Avenida Central. Fine modern
business blocks have sprung up as if by magic, and the effect is most
resplendent. The spacious avenue is in marked contrast with the very
narrow little streets that cross it. One of them, the Rua Ouvidor, the
meeting-place of the wits of Rio, is in many ways the most interesting
street in Brazil. Here one may see everybody that is anybody in Rio.
At one end of the Avenida Central is Monroe Palace, which once did duty
at an International Exposition, and more recently was the meeting-place
of the third Pan-American Conference, made notable by the presence of
Secretary Root. Beyond the showy palace to the east there are a number
of little bays, semi-circular indentations in the shore, which have
recently been lined with splendid broad driveways, where one may enjoy
the sea breeze and a marvellous view over the inland sea to the
mountains beyond.
At the far end of the new parkway rises the ever-present Sugar Loaf, at
whose feet are the buildings of the National Exposition. They are
wonderfully well situated, lying as they do on a little isthmus wedged
in between two gigantic rocks, with the ocean on one side and the
beautiful bay on the other. The buildings themselves are not
particularly remarkable, being decorated in the gorgeous style of
elaborate whiteness that one is accustomed to associate with
expositions.
The crowds I saw there were composed exclusively of Brazilians, most of
whom had apparently visited the grounds many times and accepted them as
the fashionable evening rendezvous. Each of the states of Brazil had a
building of its own in which to exhibit its products, and there was a
theatre, a “Fine Arts” building, a Hall of Manufactures, and a sad
attempt at a Midway. An entire building was devoted to the manufactures
and exports of Portugal. All other buildings were devoted to the states
or industries of Brazil, making the prejudice in favor of the mother
country all the more noticeable.
A change is coming over the foreign commerce of Rio. Twenty years ago,
the largest importing firms were French and English. Many of these have
practically disappeared, having been driven out by Portuguese, Italian,
and German houses. The marked leaning toward goods of Portuguese origin
is very striking and naturally difficult to combat.
Brazil has recently established in Paris an office for promoting the
country and aiding its economic expansion. This office is publishing a
considerable literature, mostly in French, and will undoubtedly be able
to bring about an increase of European commerce and that immigration
which Brazil so much needs. The completion of the new docks will greatly
help matters.
But besides new docks Rio needs a reformed customs service. Every one is
agreed that the most vexatious thing in Rio is the attitude of the
custom house officials. Either because they are poorly paid or else
simply because they have fallen into extremely bad habits, they are
allowed to receive tips and gratuities openly. The result may easily be
imagined.
[Illustration: THE CORCOVADO FROM RIO]
A few days after my arrival, an American naturalist, thoroughly honest
but of a rather short temper, was treated with outrageous discourtesy,
and his personal effects strewn unceremoniously over the dirty floor of
the warehouse by angry inspectors, simply because he was unwilling to
bribe them. There was no question as to his having any dutiable goods.
The population of Rio is variously estimated at between seven and eight
hundred thousand, but her enthusiastic citizens frequently exaggerate
this and speak in an offhand way of her having a million people. They
are naturally reluctant to admit that Rio has any fewer than Buenos
Aires.
The suburbs of Rio are remarkably attractive. On the great bay, dotted
with its beautiful islands, are various resorts that take advantage of
the natural beauties of the place, and cater to the pleasure-loving
Brazilians. From various ports on the bay, railroads radiate in all
possible directions, going north into the heart of the mining region and
west through the coffee country to Saõ Paulo. The terminus of a little
scenic railway is the top of one of the highest and most remarkable of
the near-by peaks, the Corcovado. The view from the summit can scarcely
be surpassed in the whole world. The intensely blue waters of the bay,
the bright white sunlight reflected from the fleecy cumulous clouds so
typical of the tropics, the verdure-clad hills, and the white city
spread out like a map on the edge of the bay, combine to make a
marvellous picture.
No account of Rio, however brief, would be complete without some
reference to the “Jornal do Comercio,” the leading newspaper of Brazil,
whose owner and editor, Dr. J. C. Rodriguez, is one of the most
influential men in the country. In addition to guiding public opinion
through his powerful and ably edited newspaper, he has had the time to
attend to numerous charities and to the collection of a most remarkable
library of books relating to Brazil. He has recently taken high rank as
a bibliographer by publishing a much sought after volume on early
Braziliana, basing his information largely on his own matchless
collection.
Another well-edited paper is “O Paiz,” which like the “Jornal do
Comercio” has its own handsome edifice on the new Avenida Central. A
subscription to it for one year costs “thirty thousand reis”--a trifle
over nine dollars! As in the case of other South American newspapers,
its offices are far more luxurious and elaborate than those of their
contemporaries in North America. These southern dailies give
considerable space to foreign cablegrams, so much more, in fact, than do
our own papers, that it almost persuades one that we are more provincial
than our neighbors.
Santos, the greatest coffee port in the world and the only city in
Brazil having adequate docking facilities, is a day’s sail from Rio. It
is separated from the ocean by winding sea-rivers or canals. The marshes
and flats that surround it, and the bleaching skeletons of sailing
vessels that one sees here, are sufficient reminders of the terrible
epidemics that have been the scourge of Santos in the past. Stories are
told of ships that came here for coffee, whose entire crews perished of
yellow fever before the cargo could be taken aboard, leaving the vessel
to rot at her moorings. All of this is changed now, and the port is as
healthy as could be expected.
Yet the town is not attractive. It lacks the picturesque ox-drays of
Pernambuco and the charming surroundings of Rio. The streets are badly
paved and muddy; the clattering mule-teams that bring the bags of coffee
from the great warehouses to the docks are just like thousands of others
in our own western cities. The old-fashioned tram-cars, running on the
same tracks that the ramshackle suburban trains use, are dirty but not
interesting. Prices in the shops are enormously high. In fact, on all
sides there is too much evidence of the upsetting influence of a great
modern commerce.
A long line of steamers lying at the docks taking on coffee is the
characteristic feature of the place, and a booklet that has recently
been issued to advertise the resources of Brazil bears on its cover a
branch of the coffee tree, loaded with red berries, behind which is the
photograph of a great ocean liner, into whose steel sides marches an
unending procession of stevedores carrying on their backs sacks of
coffee. It not only emphasizes Brazil’s greatest industry, but it is
also thoroughly typical of Santos.
Most of the coffee is grown in the mountains to the north, and comes to
Santos from Saõ Paulo on a splendidly equipped British-built railway.
The line is one of the finest in South America. It rises rapidly through
a beautiful tropical valley by a gradient so steep as to necessitate
the use of a cable and cogs for a large part of the distance. The
powerhouses scattered at intervals along the line are models of
cleanliness and mechanical perfection.
Notwithstanding the fact that America is by far the greatest consumer of
Santos coffee, the greater part of the local enterprises are in British
hands. The investment of British capital in Brazil is enormous. It has
been computed that it amounts to over six hundred million dollars.
Americans do not seem yet to have waked up to the possibilities of
Brazilian commerce, or to the fact that the question of American trade
with Brazil is an extremely important one.
It is only necessary to realize that the territory of Brazil is larger
than that of the United States, that the population of Brazil is greater
than all the rest of South America put together, and that Brazil’s
exports exceed her imports by one hundred million dollars annually, to
understand the opportunity for developing our foreign trade.
Brazil produces considerably more than half of the world’s supply of
coffee, besides enormous quantities of rubber. The possibilities for
increased production of raw material are almost incalculable. It is just
the sort of market for us. Here we can dispose of our manufactured
products and purchase what will not grow at home.
We have made some attempts to develop the field, even though our
knowledge is too often limited to that of the delightful person who knew
Brazil was “the place where the nuts come from!” We have
[Illustration: THE HARBOR OF SANTOS]
little conception of the great distances that separate the important
cities of Brazil and of the difficulties of transportation.
A story is told in Rio of an attempt to go from Rio to Saõ Paulo by
motor, over the cart-road that connects the two largest cities in the
Republic. The trip by railway takes about twelve hours. The automobile
excursion took three weeks of most fearful drudgery. Needless to say,
the cars did not come back by their own power.
It is more difficult for a merchant in one of the great coast cities of
Central Brazil to keep in touch with the Amazon, than it is for a
Chicago merchant to keep in touch with Australia.
Furthermore, to one who tries to master the situation, the coinage and
the monetary system seem at first sight to present an insuperable
obstacle. To have a bill for dinner rendered in thousands of _reis_ is
rather confusing, until one comes to regard the thousand _rei_ piece as
equivalent to about thirty cents.
Another and much more serious difficulty is the poor mail service to and
from New York. To the traveller in South America, unquestionably the
most exasperating annoyance everywhere is the insecurity and
irregularity of the mails. The Latin-American mind seems to be more
differently constituted from ours in that particular than in any other.
He knows that the service is bad, slow, and unreliable. But it seems to
make little difference to him, and the only effort he makes to overcome
the frightfully unsatisfactory conditions is by resorting to the
registered mail, to which he intrusts everything that is of importance.
Add to this fact the infrequency of direct mail steamers from the United
States to the East Coast, and it may readily be seen where lies one of
the most serious obstacles in the way of extending our commerce with
Brazil.
A marked peculiarity of the Brazilian market is its extreme
conservatism. Brazilians who have become accustomed to buying French,
English, and German products are loath to change. American products are
unfashionable. The Brazilian who can afford it travels on the
luxuriously appointed steamers of the Royal Mail, and he and his friends
regard articles of English make as much more fashionable and luxurious
than those from the United States.
This is largely due to the lack of commercial prestige which we enjoy in
the coast cities of Brazil. The Brazilians cannot understand why they
see no American banks and no American steamship lines. Our flag never
appears in their ports except as it is carried by a man-of-war or an
antiquated wooden sailing vessel. To their minds this is proof
conclusive that the American, who claims that his country is one of the
most important commercial nations in the world, is merely bluffing.
Such prejudices can only be overcome by strict attention to business,
and this attention our exporters have in large measure not yet thought
it worth while to give. The agents that they send to Brazil rarely speak
Portuguese, and are unable to compete with the expert linguists who come
out from Europe. Frequently they even lack that technical training in
the manufacture of the goods which they are trying to sell, which gives
their German competitors so great an advantage.
Still more important than commercial travellers in a country like
Brazil, is the establishment of agencies where goods may be attractively
displayed. An active importer told me that, in his opinion, the most
essential thing for Americans to do was to maintain permanent depots or
expositions where their goods could be seen and handled. Relatively
little good seems to result from the use of catalogues, even when
printed in the language of the country, owing to the insecurity of the
mails and the absence of American banks or express companies which would
insure the delivery of goods ordered.
Finally, it is disgraceful to be obliged to repeat the old story of
American methods of packing goods for shipment to South America. This
fact has been so often alluded to in many different publications that it
might seem as though further criticism were unnecessary. Unfortunately,
however, in spite of repeated protests, American shippers, forgetful of
the almost entire absence of docks and docking facilities here, continue
to pack their goods as if they were destined for Europe.
At most of the ports, lighters have to be used. These resemble small
coal barges, into which the goods are lowered over the side of the
vessel. Often more or less of a sea is running, and notwithstanding all
the care that may be used the durability of the packing-cases is tested
to the utmost. I saw a box containing a typewriter dumped on top of a
pile of miscellaneous merchandise, from which it rolled down, bumping
and thumping into the farther corner of the barge. Fortunately, this
particular typewriter belonged to a make of American machines whose
manufacturers have learned to pack their goods in such form as to stand
just that kind of treatment. The result is that one sees that brand of
machine all over South America.
The American consul in Rio, Mr. Anderson, has been doing a notable
service in recent years by sending north full and accurate reports of
business conditions in Brazil, and our special agent, Mr. Lincoln
Hutchinson, has written excellent reports on trade conditions in South
America. To the labors of both these gentlemen I am greatly indebted for
information on this subject.