INDUSTRIAL AND COMMERCIAL
SOUTH AMERICA
[Illustration: SOUTH AMERICA]
INDUSTRIAL AND COMMERCIAL
SOUTH AMERICA
BY
ANNIE S. PECK, A.M., F.R.G.S.
AUTHOR OF
“A SEARCH FOR THE APEX OF AMERICA,” “THE SOUTH
AMERICAN TOUR, A DESCRIPTIVE GUIDE,” etc.
[Illustration]
NEW YORK
E. P. DUTTON & COMPANY
681 FIFTH AVENUE
Copyright, 1922
By E. P. DUTTON & COMPANY
_All Rights Reserved_
_Printed in the United States of America_
FOREWORD
“Industrial and Commercial South America” has been prepared, as was the
descriptive guide, “The South American Tour,” with the desire to aid in
promoting acquaintance with South America and, as a natural sequence,
friendship and trade.
As far as possible the facts have been gleaned from publications of the
various Governments, in a few cases from those of our own, from high
officials of many large companies, and from a few authoritative works.
While I can hardly hope that despite all care and effort I have made
no slip anywhere, I devoutly trust that no errors will be discovered
of such magnitude as I have often noted in my reading of important
publications and that any here detected will receive lenient criticism.
The vast amount of labor involved in the collection of data and the
effort made to attain accuracy has been such that no time remained for
rhetorical embellishment unless with delayed publication.
Great pains have been taken with spelling and accents, the correct
use of the latter discovered with difficulty, as they are altogether
omitted in many works and in others by no means to be depended upon.
Yet they are most important for correct pronunciation.
In this text the spelling of some names varies by intention because
the two spellings are frequent and authorized, and should therefore be
familiar. Thus _Marowijne_ is the Dutch and _Maroni_ the English name
for the same river. So _Suriname_ is spelled with and without the _e_.
South American names ending in either _s_ or _z_ are found, the _z_
common in older publications. The _s_ is a more recent style, taking
the place of _z_ even in the middle of a word. Thus _Huaráz_ is also
written _Huarás_ and even _Cuzco_, _Cusco_. But I drew the line there,
as _Cuzco_ is too well established in English to make the new and
uglier form desirable.
My spelling of _Chilian_ is consistent throughout. Formerly so spelled
by all, _Chile_ being earlier written _Chili_, when the Spanish form
of the name was here adopted many imagined that the adjective should
be changed also. For this no reason appears, but the contrary. The
accepted ending for adjectives of this nature is _ian_, unless euphony
demands a different, as _Venezuelan_. Where the ending _ean_ is
correctly employed as in _Andean_ and _European_, also _Caribbean_,
which unhappily is often mispronounced, the _e_ is long and receives
the accent. This would be proper in _Chilean_ as the _e_ in _Chileno_
receives the accent; but as a change in our pronunciation is unlikely,
it is better to drop the final vowel and add the suffix _ian_ as is
done in many other cases; thus _Italy_, _Italian_.
The frequent writing of _maté_ in English is absolutely wrong. It is
never so printed in Spanish, though naturally in French; but to copy
their form for a Spanish word is absurd. The word of course has two
syllables, but is accented on the first; not on the last as the written
accent would imply.
_Iguassú_ in Spanish is spelled _Iguazú_, but the Portuguese form
has the right, because it is a Brazilian river, nowhere flowing in
Argentina, and for a short distance only on the boundary. The Brazilian
spelling should therefore be followed by us, and it has the advantage
that it is more apt to be correctly pronounced.
Persons not undertaking the study of Spanish should at least learn
the simple rules of pronunciation; the vowels having the ordinary
continental sounds, the consonants in the main like our own, though in
the middle of a word _b_ is generally pronounced like _v_, _d_ like
_th_ in _this_ and _ll_ like _ly_. The rules for accent are easily
remembered, names ending in a vowel being accented on the penult,
those in a consonant, except _s_, _z_, and _n_, on the ultima, unless
otherwise indicated by an accent.
The heedlessness of many Americans on such matters is notorious and
inexcusable. Knowing the correct pronunciation they continue to
mispronounce even an easy word. A notable illustration is Panamá,
which many former residents of the Canal Zone and others here persist
in calling the ugly _Pánama_ instead of the correct and agreeable
_Panamá_. Although in English the accent is not generally used on this
word or on Colón, Panamá is repeated throughout the book to emphasize
the correct pronunciation.
It is hoped that other accents given will in general be found correct.
It may however be said on Brazilian authority that the accents on
Brazilian names are less important than in Spanish.
A considerable divergence in the date of statistics may be noted, for
which there are several reasons. In some cases pre-war figures, in
others figures for 1917 or 1918, seem to afford a fairer valuation;
or they might be the only ones available. Some figures (often in the
nearest round number) are given as late as 1921, but to bring all at
the same time up to the moment was quite impossible. Great difficulty
has been experienced in choosing between conflicting statements and
figures. In one case three sets of figures of areas were presented by
the same person, before I finally secured the most accurate.
* * * * *
My grateful appreciation is due and my hearty thanks are here expressed
to all who in any degree have helped by supplying or verifying data of
whatever nature. Officials of the various countries and of many large
companies evinced kindly interest in the work and gave freely of their
time, few being too busy to afford information. The names are too
numerous to mention, but I trust that all will feel assured that their
courtesy was recognized and that the remembrance will be cherished.
CONTENTS
CHAPTER PAGE
INTRODUCTION xv
I. SOUTH AMERICA AS A WHOLE 1
THE NORTH COAST
II. COLOMBIA: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 7
III. COLOMBIA: PHYSICAL CHARACTERISTICS 14
IV. COLOMBIA: THE CAPITAL, THE STATES AND TERRITORIES,
CHIEF CITIES 20
V. COLOMBIA: PORTS AND TRANSPORTATION 30
VI. COLOMBIA: RESOURCES AND INDUSTRIES 40
VII. VENEZUELA: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 53
VIII. VENEZUELA: PHYSICAL CHARACTERISTICS 59
IX. VENEZUELA: CAPITAL, STATES, TERRITORIES, CHIEF CITIES 63
X. VENEZUELA: PORTS AND TRANSPORTATION 77
XI. VENEZUELA: RESOURCES AND INDUSTRIES 86
XII. GUIANA AS A WHOLE: BRITISH GUIANA 100
XIII. DUTCH AND FRENCH GUIANA 109
THE WEST COAST
XIV. ECUADOR: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 114
XV. ECUADOR: PHYSICAL CHARACTERISTICS 121
XVI. ECUADOR: CAPITAL, PROVINCES, CHIEF CITIES 130
XVII. ECUADOR: PORTS AND INTERIOR TRANSPORTATION 135
XVIII. ECUADOR: RESOURCES AND INDUSTRIES 141
XIX. PERU: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 148
XX. PERU: PHYSICAL CHARACTERISTICS 156
XXI. PERU: CAPITAL, DEPARTMENTS, CHIEF CITIES 162
XXII. PERU: PORTS AND INTERIOR TRANSPORTATION 174
XXIII. PERU: RESOURCES AND INDUSTRIES 185
XXIV. BOLIVIA: AREA, HISTORY, GOVERNMENT, POPULATION,
PHYSICAL CHARACTERISTICS 205
XXV. BOLIVIA: CAPITAL, DEPARTMENTS, CHIEF CITIES 214
XXVI. BOLIVIA: PORTS AND TRANSPORTATION 221
XXVII. BOLIVIA: RESOURCES AND INDUSTRIES 229
XXVIII. CHILE: AREA, HISTORY, GOVERNMENT, POPULATION,
ETC. 245
XXIX. CHILE: PHYSICAL CHARACTERISTICS 250
XXX. CHILE: CAPITAL, INDIVIDUAL PROVINCES, CITIES 254
XXXI. CHILE: PORTS AND TRANSPORTATION 261
XXXII. CHILE: RESOURCES AND INDUSTRIES 270
THE EAST COAST
XXXIII. ARGENTINA: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 280
XXXIV. ARGENTINA: PHYSICAL CHARACTERISTICS 287
XXXV. ARGENTINA: THE CAPITAL, INDIVIDUAL PROVINCES
AND TERRITORIES 291
XXXVI. ARGENTINA: SEAPORTS AND INTERIOR TRANSPORTATION 301
XXXVII. ARGENTINA: RESOURCES AND INDUSTRIES 315
XXXVIII. PARAGUAY: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 332
XXXIX. PARAGUAY: PHYSICAL CHARACTERISTICS 338
XL. PARAGUAY: THE CAPITAL AND OTHER CITIES 341
XLI. PARAGUAY: RESOURCES AND INDUSTRIES 345
XLII. URUGUAY: AREA, HISTORY, GOVERNMENT, POPULATION,
PHYSICAL CHARACTERISTICS 354
XLIII. URUGUAY: CAPITAL, DEPARTMENTS, CHIEF CITIES, PORTS 360
XLIV. URUGUAY: TRANSPORTATION, RESOURCES AND INDUSTRIES 366
XLV. BRAZIL: AREA, HISTORY, GOVERNMENT, POPULATION, ETC. 372
XLVI. BRAZIL: PHYSICAL CHARACTERISTICS 379
XLVII. BRAZIL: THE CAPITAL, INDIVIDUAL STATES, CITIES 390
XLVIII. BRAZIL: TRANSPORTATION--OCEAN, RIVER AND RAILWAY 406
XLIX. BRAZIL: RESOURCES AND INDUSTRIES 414
L. BRAZIL: OTHER INDUSTRIES 424
LI. SOUTH AMERICAN TRADE 434
LII. LIFE IN SOUTH AMERICA 454
APPENDIX I. POSTAL REGULATIONS, ETC. 459
APPENDIX II. LEADING BANKS OF SOUTH AMERICA 462
APPENDIX III. STEAMSHIP LINES TO SOUTH AMERICA 467
APPENDIX IV. PUBLICATIONS 477
LIST OF MAPS
FACING PAGE
SOUTH AMERICA _Frontispiece_
COLOMBIA 10
COLOMBIA, VENEZUELA, GUIANA, ECUADOR, NORTH BRAZIL 64
ECUADOR, PERU, BOLIVIA, SOUTHWEST BRAZIL 152
CHILE, ARGENTINA, PARAGUAY, URUGUAY 254
EASTERN ARGENTINA, URUGUAY 308
EASTERN BRAZIL 390
ENVIRONS OF SAO PAULO AND RIO DE JANEIRO 408
INTRODUCTION
Our recently awakened interest in foreign trade and in world affairs
renders imperatively necessary a more accurate knowledge of other
countries and a more intimate acquaintance with their peoples. Engaged
in settling the various sections of our own country and in developing
its manifold resources, we were too long self sufficient in thought and
narrow in our activities. Yet years ago a few far-sighted statesmen
like James G. Blaine realized that a broader field of action would
soon become essential to our continued prosperity. A few manufacturers
supplemented their domestic business with a modicum of foreign trade. A
few men of affairs devoted their energies exclusively to the field of
foreign commerce.
The Spanish War, first inspiring many with the idea that the United
States had become a world power with interests beyond its boundaries,
served to arouse in others a disposition to have a share in foreign
trade. Following a gradual increase in the early years of this century,
a sudden expansion of our commerce occurred a few months subsequent to
the outbreak of the Great War. A scarcity of shipping prevented its
attaining the proportions which might otherwise have been realized.
Now that this obstacle is removed and the exactions of war service
are over, adequate preparations should be made for the conduct of our
developing commercial relations, especially with our Sister Continent
at the south.
The supposition that those individuals who are directly engaged in
foreign commerce are alone benefited thereby has unfortunately been
widespread. Under our democratic form of government it is particularly
essential that all should understand the advantages of foreign trade
for the welfare of the entire nation, that this may not be hampered
by the narrow views of local-thinking politicians, jealous of the
prosperity of other individuals or sections, or by persons who concern
themselves merely with the question of wages for a few or with other
special matters; and thus that our commerce may be fostered by our
Government according to the custom of other nations, with no purpose
of bitter rivalry or unfriendly greed, but with the natural and proper
desire of a great nation to share in the mutual benefits accruing to
all countries where suitable and honorable foreign trade is developed,
as in the case of individuals who buy and sell in the home market.
Some knowledge of other countries and peoples, of causes contributing
to their present condition, and of their prospects for future
development, while giving intelligent interest to trade and of service
in making plans for permanent rather than transitory gain, is desirable
for all who care to rise above ignorant narrow-minded provincialism,
to be better prepared for civic and political duties, and to enjoy a
broader outlook upon the entire world.
* * * * *
The most superficial observer cannot fail to perceive the enormous
advantages which have arisen from division of labor among individuals
and nations. The personal barter of primitive days was soon superseded
by a medium of exchange, fixed locally though varying in different
regions. There followed the transport from one city to another and
from distant lands of the various products, natural or manufactured,
of those cities and countries. As many things grow only in certain
parts of the world, others we know are manufactured only in certain
districts. That in the distant future the time may come when the
entire habitable globe will be occupied, each portion produce what is
best adapted to its environment, and the fruits of the whole earth be
enjoyed by all its inhabitants, is from the physical point of view the
ideal to which we may look forward, a goal for the attainment of which
every nation may fittingly contribute.
Few are the portions of the earth where it is impossible for man to
dwell, providing for his wants from his immediate surroundings. Each
section not altogether barren produces such food and requisites for
clothing as are essential to sustain life in that locality. The only
considerable portion of the globe which is uninhabited, the Antarctic
continent, seems likely so to continue, as it appears not merely
the most unattractive spot in the world but devoid of the barest
necessities for existence.
The North Polar regions, however, support a few people who live upon
the products of the country and who probably would not survive if they
adopted the customs of civilization as we regard them, though the use
of a few articles which have been carried there may slightly ameliorate
their hard existence.
The denizens of the tropical forest, who also have adapted themselves
to their surroundings, being able to live with little labor, generally
pursue an easy life, since necessity and ambition for improvement are
lacking.
In other quarters of the globe where labor is necessary to sustain life
but where its results may be a bare existence, comfort, or luxury,
man has continually struggled for improvement, braving danger and
suffering, and toiling long hours for the future good of himself or his
children. Thus has the world made progress.
Here in the United States we might live in comfort with the products of
our broad lands only; yet we do not desire to seclude ourselves within
a Chinese Wall. We would enjoy the fruits of the whole earth, not by
imperialistic conquest, but through friendly acquaintance, the sharing
of ideas, and the exchange of products.
Some things we produce in such abundance that we have a superfluity
to barter for others things which we produce not at all or not in
sufficient quantities. In the past we have had more trade with
Europe than with other continents. In various lines of manufactures
and of artistic goods we are still unable to compete. While east and
west trade will no doubt continue indefinitely, for natural products
it would seem that the chief exchange should be north and south, a
difference in latitude causing variety in climates, and a diversity in
productions both animal and vegetable. With our expansion of shipping
facilities following the conclusion of the War, we may hope for a
continuing increase of movement from north to south on this hemisphere,
making for friendship and political harmony as well as for material
advantage.
In considering South America from a commercial and industrial point
of view it is necessary to study the physical characteristics of the
individual countries, their advantages and drawbacks; the climate and
soil; the resources, including the animal, vegetable, and mineral
products, and the water power; the character of the inhabitants
including the quality and quantity of human labor; their present needs
and wants; the future possibilities; the opportunity for investments of
various kinds and political conditions affecting these; the instruments
of exchange, banking and trade regulations; the means of communication
and transport by land and water.
In addition we should know the difficulties which have retarded
the development of countries settled earlier than our own, that
instead of a supercilious mental attitude on account of real or
fancied superiority in certain directions, we may have a sympathetic
understanding of conditions, and of tremendous obstacles, some of which
have been overcome in an extraordinary manner.
A general view of the continent as a whole may well precede a more
detailed study of the several countries.
INDUSTRIAL AND COMMERCIAL
SOUTH AMERICA
CHAPTER I
SOUTH AMERICA AS A WHOLE
PHYSICAL CHARACTERISTICS
In the study of South America one may observe certain points of
resemblance with others of difference between that continent and North
America. The outline of each, we perceive, is roughly triangular, broad
at the north and tapering towards the south; but as the broad part of
one is not far from the Arctic Circle while that of the other is near
the equator, we find that the greater part of North America is in the
temperate zone while most of South America is in the torrid; disparity
in climate and productions follows.
The geological formation of the two continents is as similar as their
outline. There is a correspondence on the northeast between what are
called the Laurentian Highlands in Labrador and the uplands of Guiana;
on the southeast between the Appalachian system of the North and the
Serra do Mar of Brazil, each having a northeast to southwest trend and
a fair similarity in height, though the tallest peak in either range
is the Itatiaiá in Brazil, which by 3000 feet exceeds Mt. Mitchel, the
highest of the Appalachians. A difference worth noting is that the
Brazilian range is closer to the sea.
A similarity, perhaps greater, exists in the west where lie, close to
the shore, the loftier ranges of the two continents, of much later
origin than the eastern mountains, and containing many volcanic peaks.
Each system includes several chains with valleys or plateaus between;
but in the United States the system which includes the Rockies is wider
than is that of the Andes at any point. The two systems are distinct,
having neither the same origin nor the same trend, while the altitude
of the South American _massif_ greatly exceeds that of the North
American mountains.
Between the coastal regions both continents have great basins sloping
to the north, east, and south with a large river draining each:
the Mackenzie and the Orinoco flowing north, the St. Lawrence and
the Amazon east, the Mississippi and the Paraná south. Were the
two continents side by side there would be a great resemblance in
production instead of the present considerable diversity.
While in area South America is ranked as smaller than North America,
it may be a trifle larger in land surface, especially in habitable
regions, if the opinion of Humboldt is correct that the Amazon Basin
will one day support the densest population on the globe. The southern
continent, comprising no large bodies of water like Hudson Bay and our
Great Lakes, also has, save the slopes of the highest mountains, no
regions like those near the Arctic Circle, incapable of supporting more
than the scantiest population.
The outline of the continent is less irregular than that of North
America, consequently there are fewer good harbors, especially on the
west coast.
CLIMATE
As three quarters of South America lie within the tropics, the entire
north coast, and the wider part of the continent including most of
Brazil with the countries on the west as far down as the northern
part of Chile, a tropical climate and productions might here be
expected. But happily within the torrid zone of both hemispheres are
the loftiest mountain ranges of the world. These modify the climate
of large sections to such a degree that in many places there is
perpetual spring, a perennial May or June; in other districts one
may in comparatively few hours go from regions of eternal summer to
perpetual snow, finding on the way the products of every clime. Thus
the mountains and table-lands of South America are effective in causing
moderate temperatures over extensive areas within the tropics, with
accordant productions.
In comparing the climates of North and South America we must note
that while the tropical region of the latter is much the larger, in
corresponding latitudes it is in general cooler south of the equator
than north. An examination of the isothermal lines, that is _the lines
of equal average heat around the globe_, shows:
First, that the line of greatest heat, a mean temperature of 85°, is
north of the equator most of the way. In the Western Hemisphere it runs
well up into Central America; then it passes along the northeast coast
of South America to a point just below the equator and the mouth of the
Amazon, going far north again in Africa.
Second, that of the mean annual isotherms of 65°, which are regarded as
the limits of the hot belt, the one in the Northern Hemisphere runs 30°
or more from the equator, while that in South America hardly touches
the 30th parallel, and on the west coast approaches the equator to
within 12°: which means that the tropical region extends much farther
north of the equator than it does south.
Third, that of the isotherms of 50° for the warmest month, which are
considered as the polar limits of the temperate zones, the one is
much nearer to the north pole than the other is to the south. Great
masses of water, we know, have a tendency to equalize climate, as
the water heats and cools more slowly than the land; but they do not
make the average temperature higher. From the movement of the waters
of the ocean their temperature over the globe is more nearly equal,
while the stable land of broad continental masses has temperatures
more nearly corresponding to the latitude, though with greater daily
and annual extremes. But for practical purposes, that is for its
effect on vegetation, the amount of heat received in summer is of
more consequence than the extreme cold of winter. For this reason the
temperature of the warmest month instead of the annual mean is taken
as the measure; for if that month’s mean temperature is below 50°,
cereals and trees will not grow. The broad land masses in the Northern
Hemisphere have a greater summer heat than the narrow stretch of land
in extreme South America. The greater cold of winter in the north
temperate zone does no harm.
We may observe further that in the Northern Hemisphere the west coasts
of both continents are warmer in the same latitude than the east, at
least in the temperate zone, while in South America a good part of the
west coast within the tropics is much cooler than the east. In the
temperate zone the variation is slight.
In the matter of rainfall, a most important factor of climate and
production, South America is favored with a liberal supply, the arid
portions being comparatively small in area, and many of these easily
capable of irrigation and of resulting excellent crops.
Dividing the continent into tropical and temperate regions, the former
includes (lowlands only) the entire north coast, the whole of Colombia
with ports on the Pacific, and Ecuador beyond, the low interiors of
Peru and Bolivia, and around on the east the greater part of Brazil,
far beyond the mouth of the Amazon; these sections have much in common
as to climate and productions. Below Ecuador on the west coast, though
still in the torrid zone, we find cooler weather, practically no rain,
and for 1600 miles a desert region; beyond this there is a temperate
climate with gradually increasing rainfall, and at last in southern
Chile too much. On the east coast tropical weather and products
continue till we pass Santos and the Tropic of Capricorn, followed by
sub-tropical and temperate climates and production. The mountainous
regions even at the equator have cooler weather, the temperature ever
lowering with increase of altitude.
OTHER DISTINCTIVE FEATURES
In general we may say that the soil is extremely fertile and that the
country contains wonderfully rich deposits of minerals of almost every
kind. The immense store of precious metals found on this continent,
some assert the greatest in any portion of the globe, was an important
factor in its settlement; yet for true national prosperity the humbler
coal and iron are of more value. Water power is also of material
service. In these three important elements of wealth South America is
not deficient, though her resources in these lines are but slightly
developed.
Although many settlements were made in South America more than half
a century earlier than our first at Jamestown, Virginia, in 1607,
the population is much smaller than that of North America, the
approximate number of inhabitants being 60,000,000 for South America
and 150,000,000 for North; manifestly the development of her countries
has been less rapid. For this there are obvious reasons.
The tropical climate of the north coast and of much of Brazil might
seem less attractive to residents of temperate Europe and less
conducive to strenuous labor on the part of those who came; the cooler
regions of the south were more remote than the lands of North America.
Moreover, the Spanish colony promising the greatest wealth, Peru, which
at the same time was the seat of government, was indeed difficult of
access, presenting besides, stupendous obstacles to interior travel. In
view of these facts it seems wonderful that so many settlements were
made on the west coast and that so great a degree of culture was there
maintained.
Growth was further hampered by heavy taxes, merciless restrictions on
trade, and other regulations by the home governments, almost until the
countries achieved their independence. During the century of their
freedom most of the Republics have suffered from revolutions and other
troubles, but in recent years several have enjoyed a rapid development
with considerable immigration. All now present opportunities of various
kinds for investment by capitalists, for general trade, and for other
forms of business. Such opportunities, as well as the conditions of
living, vary greatly in different countries and in localities of the
same country.
It has long been a source of criticism on the part of the diplomats
and residents of the various Republics that in our minds they have
been lumped together; that we often refer to those portions of the New
World which were settled by the Spanish and Portuguese as Latin America
or to all save Brazil as Spanish America. Now that we are entering
upon a period of closer relationship with our southern neighbors, it
is obviously desirable that we should differentiate among them, learn
of the diversity in productions and resources which characterize
the various countries, and something of their social and political
conditions, all of which have a bearing upon present and prospective
possibilities for commercial relations. Therefore the countries must be
studied carefully and individually.
So far as transportation and travel are concerned South America is
often divided broadly into three sections: the East, the West, and the
North Coasts, to which a fourth is sometimes added, the Amazon Basin.
We may begin with the nearest, the countries on the North Coast, follow
with those on the West, and coming up from the south conclude with
Brazil. With the Republics of the North Coast we have the greatest
percentage of trade, with those on the East the largest amount.
THE NORTH COAST