being over thirty-three species of commercial value. Quebracho wood is
found in the provinces of Santa Fe, Santiago del Estero and Corrientes.
It is very hard, impervious to moisture and will not rot. Due to these
admirable qualities it was formerly used for sleepers for railways but
now owing to the fact that it is excessively rich in tannin it is used
almost exclusively for the purpose of curing leather. Formerly it was
exported in large logs to Europe or to the States and the tanning
extracts expressed, but to-day there are many factories in the districts
where the wood is grown, devoted to obtaining the tannin directly,
thereby materially reducing the cost of the article. Inasmuch as hides
and quebracho are products of the Argentine it would seem that the
tanning of leather would under proper management develop into a large
industry here. The export of tannin for 1914 was over $11,000,000.
Outside of the industries referred to and a few breweries, cigar
factories, and apparel factories, wherein goods for local consumption
are produced, there is no general manufacturing in the Argentine.
No other country of Latin America is as well provided with railways as
the Argentine, nor with as regular and superior access to Europe and the
States and all parts of the world. More than fifty steamship lines
arrive and depart regularly from the various Argentine ports, all the
seafaring nations of the earth being represented. In 1852, one observer
counted over 600 vessels in the harbor of Buenos Aires flying the
American flag or more than double the number of all the other nations
combined. To-day but few are to be seen in the vast shipping of this
busy port.
The Argentine Republic stands ninth among the world’s nations in the
length of her railways, having about 22,000 miles of track. Many lines
are in process of construction or contemplated, the public and the
government both realizing that a complete network of railways leading to
the ports accelerate the moving of crops and cattle and are absolutely
essential to its prosperity. Buenos Aires quite naturally is the
principal terminal of most roads, while Santa Fe, Rosario, Bahia Blanca
and La Plata are rapidly coming to the front as shipping centers and are
providing appropriate facilities for handling trade. It has been said
that every railway in the country is extending its lines more and more
into the interior, and railway journeys to Brazil, Paraguay and Bolivia
as well as Chile are now possible. It may be interesting to note that
the longest stretch of straight track known to railroad builders is to
be found in the Argentine, where the rails run a distance of 175 miles
without a curve of any kind.
Wagon roads outside of the larger cities are poor and in bad condition,
and much is needed to be done in this respect.
There are many weekly sailings of the most modern and swift passenger
ships to Europe, one Italian line making the voyage from Buenos Aires to
Genoa in fifteen days. It is also possible to go via Hamburg or England
to New York in better ships for practically the same money and in less
time than is taken by ships engaged in the direct run from Buenos Aires
to New York. The Lamport & Holt Line (British) runs directly from New
York to Buenos Aires, with weekly sailings, carrying freight and
passengers. The Prince Line (British) and the Barber Line (American but
flying the British flag), the Norton Line (British), the American Rio
Plate Line (American) leave New York twice a month for Argentine ports.
The Houston Line (British) from Boston and New York and the New York and
South American Line sail monthly from New York for River Plate ports.
The Munson Line (American) from Mobile, Alabama, sends two ships monthly
to Buenos Aires. There are many tramp ships from American ports in this
trade also.
The docks and facilities for handling goods in Buenos Aires are second
to none in the world and are modeled after the famous Liverpool system,
having cost over $50,000,000. Steamers unload cargoes directly into the
government custom warehouses, on the other side of which are networks of
railway tracks from which they can be forwarded to the interior. Each of
the large cement-sided canals or basins for the ship traffic is provided
with locks or water gates, while the masonry warehouses, buildings and
grain elevators extend for miles along the city water front. Yet the
business of the port has grown so that there is much congestion,
especially at certain seasons of the year and plans are being considered
for doubling its present facilities.
[Illustration:
_By permission of the editor of_ The Americas
Grain Elevators, Buenos Aires
]
Much of the impetus in trade circles in this land is due to the presence
of the English, Germans and Italians who control the banking,
transportation and commercial life of the country. Both the Briton and
the Teuton have large sums invested in all kinds of enterprises, the
total being estimated at $2,000,000,000. The Italian has developed into
the small shopkeeper and farmer. In Buenos Aires alone there are two
daily papers printed in English, which serves to give some idea of the
extent of the English speaking population in this city. There are also
daily papers published in Italian, German, French and Arabic.
Practically all the nations of Europe are represented in the banking
business, the United States being the last to enter the field. The
English are the strongest and the Germans next.
Argentine is supposed to be on a gold exchange basis, the gold _peso_
being worth one hundred _centavos_, or in our money 96.5 cents. The gold
_peso_ is designated by the sign $C/L, the symbol C/L meaning _curso
legal_, or legal tender. This is practically an imaginary coin, and the
money one sees is paper currency, the paper _peso_ being worth 44 per
cent. of its face value, or 42.46 cents in United States gold. This is
represented in the following manner $M/N, meaning _moneda nacional_ or
national money. This paper currency fluctuates slightly each day, being
governed by the market conditions. The abbreviations O/S, C/L, and M/N
are placed before the dollar or _peso_ mark, as for example O/S $500 or
may follow it, as, for instance, $500 M/N.
The Argentine has long been noted for its unfavorable fees charged
travellers, each province having a separate tariff, varying according to
the commodity one may be selling. They are subject to such changes on
short notice that it is useless to give them here, besides the subject
has been dealt with elsewhere in this book. Before doing business it is
wise to give this matter careful consideration. No duty is charged on
samples.
The following cities should be visited:
_Population_
Buenos Aires 1,700,000
Rosario 300,000
Cordoba 120,000
La Plata 100,000
Tucuman 80,000
Bahia Blanca 75,000
Mendoza 65,000
Santa Fe 50,000
Salta 40,000
Parana 37,000
Corrientes 30,000
San Juan 16,000
San Luis 15,000
The Argentine exported goods to the value of $468,999,410 in 1913, and
during the same time imported goods to the extent of $408,711,966, of
which amount less than 8 per cent. came from the United States. England
controlled the bulk of the trade with Germany second and France third.
The principal exports are meats and meat products, agricultural products
such as wheat, corn, oats, barley, linseed, hay, alfalfa, woods and dye
woods, live animals, wool, hides, skins, butter and cheese. It imports
foodstuffs, textiles, iron, steel, railway supplies and rolling stock,
agricultural implements and machinery, wagons, carriages, automobiles
and automobile supplies, electrical apparatus, glass, china, ready-made
clothes, hats, shoes, toilet articles, drugs and chemicals, paints and
varnish, stockings and socks, silks, kitchen-utensils, enamelled ware,
tools, vegetables, fruits, eggs, oils, greases, and coal.
IV
URUGUAY
The first European who set foot on Uruguayan soil was the man who
discovered the Rio de la Plate—Juan Diaz de Solis. This was in 1508. He
and his associates were immediately attacked by the Charruca Indians,
who annihilated the party. Later on Portuguese settlers from Brazil
attempted to colonize this land, but they met with repulses, as did also
the Spanish colonists who followed them. As a result of the invasion of
this territory by Portuguese and Spanish it was claimed by both these
countries and became a bone of contention between them for more than two
hundred years. The Portuguese colonists were finally routed bodily and
their city of Montevideo, founded in 1724, came under control of the
Spanish Viceroy. Portugal still persisted in claiming this province and
when Dom Pedro made an Empire of Brazil, he also attempted to exercise
jurisdiction over Uruguay as well. This ultimately resulted in a war
between Brazil and Argentine, in which the Uruguayans rallied to the aid
of the Argentinians, defeating the Brazilians. A treaty of peace in
which the mediation of England was asked, was signed August 27, 1828,
giving Uruguay its independence.
The present government is based upon that of the United States and
comprises executives in the persons of a President and a Vice-President,
elected for four years, and a legislative body, consisting of a House of
Representatives and a Senate.
Uruguay occupies an area of 72,210 square miles, or is about as large as
all of the New England States. It is virtually an extensive undulating
plain, having in its northern section a series of mountain ranges but
few of which are higher than 2000 feet. It is bounded on the east by the
Atlantic Ocean and on the north by Brazil, the Rio Cuareim flowing
between the two countries. The Uruguay, dividing Argentine and Uruguay,
forms its western boundary while the wide mouth of the Rio de la Plate
may be called its southern boundary line.
The climate is extremely temperate and healthful—so much so in fact that
it is rapidly developing into a summer resort for Chileans, Argentinians
and Brazilians; many of the wealthiest of these nationalities have
established seashore homes within its boundaries, especially outside of
Montevideo. Extreme summer heat such as one finds in Buenos Aires, is
never encountered here, although there are days in winter when it is
particularly cold. Snow occasionally falls.
Uruguay has a population of 1,500,000, its people being among the best
in Latin America. As in Argentine, the Indians are comparatively few and
to be found in remote districts only. There are practically no negroes
and mixed breeds. Owing to the influx of English, Italian, and Swiss
colonists, the standard of the population is continually rising and its
geographical position, salubrious climate and vast areas of tillable
land will attract more and more desirable settlers to its boundary.
Immigration is encouraged along the most modern and progressive lines.
Uruguay is fortunate in having many navigable rivers, the chief of which
are the Rio de la Plate and the Uruguay, giving a total of over 700
miles of water deep enough for ocean-going vessels. One river alone—the
Uruguay—has ten ports open for interoceanic trade, the cities on this
river being Carmelo, Neuva Palmira, Soriano, Fray Bentos, Neuva Berlin,
Casa Blanca, Pysandu, Neuva Pysandu, Salto and Santa Rosa. Mercedes is a
large city, on the Rio Negro, and is used as a port of call for
ocean-going vessels. There is also Lake Merim on the borders of Brazil
on which run small launches.
Uruguay has comparatively few railroad systems and only 1600 miles of
railways. There are many projects for railway development however and
the completion of the mileage planned will rapidly bring the country to
the fore. American capital is now being interested in this field.
While there are some minerals to be found in the mountainous sections,
still the country will always be a pastoral one. Mica, gold, precious
stones and petroleum are known to exist, yet comparatively little, if
anything, has been done along these lines.
Of her 45,000,000 acres of land, less than 5 per cent. is devoted to
agriculture, owing to lack of population. There are about 1,700,000
acres of virgin forest lands and over 40,000,000 acres devoted to
grazing cattle and sheep.
Wheat is the chief cereal grown, with corn, barley, oats and linseed in
the order named. Tobacco has been tried with favorable results.
The raising of cattle of all kinds and the maintenance of
slaughter-houses and packing establishments for the purpose of supplying
Europe with meat forms the largest industry. One plant alone at Fray
Bentos—owned by the Liebig Company and where the extract of that name is
made,—kills over 3,000,000 head a year. Very naturally meat by-products
are produced and exported in large quantities. Much frozen and tinned
meat is exported. Some idea of the enormous size of the cattle industry
here may be gained when we are told that at the present time Uruguay has
over 9,000,000 cattle, 30,000,000 sheep, 800,000 hogs, 600,000 goats and
430,000 horses.
One of the leading industries is the shearing of wool, all of which is
exported. The good climatic conditions, in connection with attention
paid to breeding, have resulted in the production of a wool of superior
length and texture and as a consequence wool-buyers from Europe are
attracted to this market. In 1913 the amount exported reached the
enormous sum of $35,875,975.
Despite the fact that Uruguay has no gold coin of its own, it is on a
gold basis and its _peso_, or dollar, is worth almost four cents more
than ours, or to be exact, $1.034. This is a decidedly unusual state of
affairs for Latin America, and reflects favorably on the financial
condition of the country.
There is much English capital invested here, and to a large extent trade
is in the hands of Englishmen. Many German and Italian houses are
represented and these nationalities are also becoming interested in
local enterprises.
Uruguay exports wool, hides, horn, hair, meats and meat products, grease
tallow, grain and cereals, the total amount expressed in figures for
1913 being $65,142,000.
In 1913 she imported goods to the value of $50,666,000, the leading
items being foodstuffs, iron, steel, glass, china, wooden products,
oils, chemicals, medicines, stationery, toilet articles, tobacco,
textiles, shoes, hats, and silks.
While commercial travellers are supposed to pay a yearly license of
$100, still this can be waived by making the proper connection with some
local dealer or commission house.
The following cities should be visited:
_Population_
Montevideo 500,000
Pysandu 35,000
Mercedes 25,000
Salto 25,000
Fray Bentos 15,000
Rivera 10,000
Guadalupe 10,000
Minas 10,000
Florida 10,000
Colonia 10,000
Uruguay has from three to five steamships sailing weekly direct for
Europe, or the United States.
All vessels leaving either Europe or the United States and calling at
Buenos Aires touch at Montevideo the day before arriving at Buenos
Aires, as well as on the return trip. Two night lines of comfortable
steamers connect Buenos Aires and Montevideo, which are about 110 miles
apart. Ample transoceanic and coastwise freight service is also
provided.
V
PARAGUAY
Due to the ambitions of one man—Carlos Antonio Lopez—a dictator of the
worst type, with Napoleonic designs, Paraguay, one of the finest of
South American countries, one with brilliant prospects and holding the
greatest opportunities, is to-day the most backward and has the smallest
population.
Paraguay was discovered by Sebastian Cabot in 1526. Following him came
Juan de Ayolas and Domingo Irala, who in 1536 founded the city of
Asuncion, now the capital of the republic. Up to 1810 it was a Spanish
colony, being latterly governed by the Viceroy from the home country who
resided in Buenos Aires. At that time it was called the Province of
Paraguay. It declared its independence from the mother country in 1811,
the Spanish Governor-General aiding in the movement. After trying
various forms of government it became a republic in 1844, which form of
government still exists, the executive power being vested in a President
and Vice-President, with a legislative body composed of a Senate and
Chamber of Deputies.
It is impossible in even briefly writing of this really wonderful
country to refrain from some reference to the one man, Lopez, whose
desire for power resulted in the almost total annihilation of a people.
His arbitrary rule embroiled his nation in disputes with much of Europe
and the United States, and resulted in a war with Uruguay, Brazil and
Argentine. In addition to this internal strife developed in which
assassins, murderers and executioners played their parts. When Lopez was
finally killed and his power gone, Paraguay’s population, according to
Dawson, the well-known historian, had decreased from a “1,300,000 to a
little over 200,000, only about 29,000 being men and 90,000 children
under fifteen years of age.” There were five women to one man. As a
result of this devastation the country never has revived. Recent
revolutions have set it back still further and whatever of good may come
to this benighted land must be written in the future tense.
Paraguay is almost an inland country, having but one outlet to the sea
in the Parana River. Its 196,000 square miles of territory is bounded on
the north by Brazil and Bolivia; on the west and south by Argentine, and
on the east by Argentine and Brazil. The Paraguay River runs directly
through its territory from south to north dividing it into two sections,
Western Paraguay, or the Chaco, and Eastern Paraguay. It is well watered
with many small streams, while toward the north and east are mountain
chains.
The climate of Paraguay is so equable that the country is sometimes
called the “Sanitarium.” The two seasons are the rainy and the dry. It
never snows in this land and flowers in great variety and a riot of
color bloom constantly. The southern two-thirds are in the Temperate
Zone, the northern one-third in the Tropic Zone.
The population is estimated at 800,000, over 100,000 of which are wild
Indians, the remainder being largely of mixed blood, negro
predominating. There have been some sporadic attempts to encourage
immigration, which have not resulted in any great movement in this
direction, owing to the instability of the government and the backward
condition of the people as well as to the general isolation of the
country.
Travel in Paraguay is most primitive. There are few roads and most of
the commerce is carried by bullock carts on almost impassable trails or
by pack train over narrow paths. But one railway, having a total length
of about 250 miles, ekes out a homeopathic existence, running from
Asuncion, the capital, to Ville Encarnacion. Many railways must be built
to open the country. One can go by rail from Asuncion to Buenos Aires in
two days, the trip requiring a ferry-age from Posadas to Ville
Encarnacion. The Trans-Paraguayan Railway now in course of construction
will do much to develop the country. Communication with the outside
world via Montevideo or Buenos Aires is maintained by river steamers,
requiring from five days to a week to make the trip to Asuncion, which
is about 1100 miles from the Argentine capital.
[Illustration:
Interior of a gentlemen’s hat store, Asuncion, Paraguay
]
[Illustration:
A country store in Colombia
]
From Asuncion it is possible to go into the interior or even to Brazil,
on light-draft steamers, the Guyara Falls, 1300 miles above the capital,
stopping navigation of the Parana River at this point.
The Paraguay River is navigable for vessels of twelve-foot draft to
Asuncion and for smaller vessels 700 miles farther.
Most of the commerce of Paraguay is carried in lighters drawn by tugs,
and these emissaries of trade are to be met on all the rivers and
waterways of this country.
There are several lakes, navigable for small craft, but of no importance
from a commercial standpoint.
While both the climate and the soil warrant one in stating that Paraguay
is susceptible of high agricultural development, little has been done in
this regard, outside of locally producing the few vegetables and fruits
required for home consumption. Sugar-cane, tobacco, tropical fruits and
cotton would thrive in this country. Each one of these staples has been
successfully raised, the cotton being something like our own famous Sea
Island brand.
A business, small in size, yet of great importance, and restricted to
this locality, is the production of oil of petitgrain, a form of orange
perfume, much in use in European perfume houses as a base for toilet and
flavoring extracts. The essential oil is obtained in the most primitive
manner and is always in great demand.
A lace peculiar to the country, called “nanduti” or spider lace, is made
by native women, and if properly commercialized might develop into a
paying trade.
The growing and curing of “Yerba Mate,” a native tea, used extensively
in Paraguay, Uruguay, Brazil, Argentine and Chile, yields considerable
income, but is never destined to become an article of great
international commerce. The plant or shrub grows wild. The crop amounts
to about 18,000,000 pounds yearly.
Quebracho, a red-colored wood, rich in tannin, is indigenous to the
country. It is used for furniture and railroad ties and the extract made
from it is employed in tanning leather. In one year, over $4,000,000 of
this wood alone was imported to the United States, much of it being used
for paving blocks.
Thousands of acres of cabinet and other commercial woods are to be found
in the forests, but are without value, owing to their isolation and lack
of means of transportation to get them to the markets.
The country has some ore deposits. The principal ones are copper,
mercury, manganese and iron. They cannot be developed on account of
their remote location.
It therefore follows that the chief industries of Paraguay for years to
come will be in the production of raw materials and in the raising of
cattle for which its well-watered plains are admirably adapted. It has
now about 6,000,000 head of cattle and sheep and two slaughter-houses,
killing about 40,000 annually. There are two large American companies
engaged in the cattle industry; also one big German firm in the same
line.
Paraguay has not invited capital and inducements of this nature need not
be expected for some time.
While supposedly on a gold basis, money of this metal exists only as a
fiction. The inconvertible paper _peso_ has a fluctuating value, being
at times as low as two and a half cents U. S. gold, and as high as five
cents U. S. gold, according to the stability of the government and local
commercial conditions.
Credits should be extended with the greatest caution.
In 1913 Paraguay exported $5,462,000 worth of materials, chiefly fruit
to Argentine, as well as yerba mate, timber, hides, dried beef,
quebracho, lace, and tobacco. Most of her exports were taken by the
neighboring republics, and by them reshipped to the markets of the
world. No exports to the United States for 1913 are given, but in 1912
they amounted to only $593. Germany is her largest European creditor,
last year taking over $1,198,686 of her products.
Paraguay in 1913, imported $7,671,551 in textiles, foods, hardware,
fancy and toilet goods, shoes, hats, liquors, drugs, clothes, steel and
iron, of which amount the United States contributed $181,367 as against
Germany’s $989,898 and England’s $963,418.
Commercial travelers are supposed to pay a duty proportionate to the
business they do. As a matter of fact, no effort is made to collect this
tax and the local merchant generally protects the traveler visiting him
from such exploitation.
The following cities should be visited:
_Population_
Asuncion 60,000
Villa Rica 35,000
Concepcion 25,00
Encarnacion 10,000
Owing to its situation it is necessary in order to reach Paraguay to go
by train or boat from Buenos Aires, or by boat from Montevideo; the
journey from Buenos Aires is the quickest and most comfortable.
All goods intended for Asuncion or other points in the country are
trans-shipped at either Buenos Aires or Montevideo, arrangements for
which can be made with the lines running from Europe or the United
States direct to either of these ports. Or your customer in Paraguay
will instruct you to ship his order through some agent whom he will
specify in his shipping instructions, who will attend to the routine
detail to forward the consignment.
VI
CHILE