Chapter 12

BUENOS AYRES, the capital of Argentina, is the largest city not only in South America but in the whole southern hemisphere. The La Plata, at whose mouth it stands, affords navigation into all the northern parts of the republic, as well as into the neighbouring states of Uruguay, Paraguay, Brazil, and Bolivia. The riverside at Buenos Ayres is at all times of the year a perfect forest of masts and smoke-stacks belonging to the shipping that supplies this navigation. Recently, at a cost of $25,000,000, the river, which here is shallow, has been deepened and new wharves and docks have been built, and ocean-going vessels of the deepest draught (which formerly used to be lightened fourteen miles away) can now unload or be loaded right in the very heart of the city. The total commerce of the republic amounts to $200,000,000 or $225,000,000 a year, and of this trade Buenos Ayres transacts seven eighths in imports and three fifths in exports. The amount of this trade secured by the United States is about a tenth, running from $12,000,000 to $24,000,000. In 1896 it was only $12,500,000. The principal export trade is with France ($24,000,000), Great Britain ($14,000,000), Germany ($13,000,000), and Belgium. Great Britain does not buy Argentina wool. The principal import trade is with Great Britain ($45,000,000), Germany ($14,000,000), France ($12,000,000), and Italy. The Buenos Ayreans are fond of display and of dress and of ornamentation, and the importations from France and Italy are principally of goods to gratify this fondness. There is a considerable exportation of wheat, flour, tobacco, and maté (Paraguay tea) to Brazil and other South American states. Buenos Ayres is the centre of the Argentina railway system, which consists of about 9000 miles of road. There are 25,500 miles of telegraph routes. The national debt amounts to $430,000,000. The provincial debts amount to about $140,000,000. The taxation amounts to nearly ten per cent. of the earnings of the people, as against four and one half per cent. in Canada and five per cent. in Australia.

BRAZIL

Brazil is a much larger and more populous country than Argentina. Its area (3,209,878 square miles) is as large as that of all the United States, less half of Alaska. A great portion of this area is of superlatively tropical richness of production. But, unfortunately, the most fertile parts of Brazil are the parts least fit for settlement by white men. The population by the last census is approximately 14,500,000, but less than 4,000,000 of this population are pure whites. The negroes that were lately slaves number over 2,000,000, and there are supposed to be about 1,000,000 Indians. Intermediate between the Indians and negroes and the white population are the numerous mixed races or half-breeds. Agriculture is the chief industry, but is of two kinds: the tropical agriculture of the central and south central seaboard, which is carried on principally by negro and mulatto labour, and the agriculture of the temperate region of the extreme south, which is carried on mainly by colonists from Europe, the recent European emigration being almost wholly directed toward that region. Almost the whole of the interior of Brazil still remains unsettled and untilled. The COFFEE yield of Brazil is enormous and is its principal product. The production amounts to 8,000,000 bags or over 1,000,000,000 pounds annually, which is more than two thirds of the total amount of coffee used in the world. Labour for coffee cultivation is scarce and dear, and in the earlier stages of the production of the berry the Brazilian coffee gets badly treated. But machinery is used wherever possible, and in the later stages of the production the Brazilian coffee gets the best attention that skill can devise. As a consequence the coffee product of Brazil is rising in the estimation of coffee-users. The shrubs are cultivated under palm-trees so as to keep them from the intense heat of the sun. Three or four harvests of berries are obtained in a year. Rio Janeiro and SANTOS are the two chief centres of the coffee industry. Next to coffee the chief tropical product is SUGAR, the export of which is about 250,000 tons annually, principally from Pernambuco. Other products of the tropical area of Brazil are COCOA and COTTON, from the cultivated coast regions, and RUBBER and Brazil-nuts, from the dense forests of the lower Amazon; also DYEWOODS and CABINET WOODS, drugs, and diamonds. For many years Brazil was celebrated for its diamonds--obtained chiefly from a town in the interior named Diamantina. The present diamond production is not large. From the temperate agricultural region of the south, dried beef, hides, and tallow are the chief exports. The greatest customer of Brazilian produce is the United States, which takes $70,000,000 worth. Great Britain is next, with $35,000,000 worth (in rubber alone in 1896 $15,000,000). Brazil gets her goods principally from Great Britain, the United States, France, and Germany--from Great Britain $20,000,000, from the United States $13,000,000. The imports include almost all articles needed for domestic and manufacturing purposes--particularly cottons and woollens, ironware, machinery, lumber, flour, rice, dried meats, kerosene, butter, and fish. There are, however, 155 cotton factories established in Brazil, with capital to the value of $50,000,000, and cotton manufacturing is protected by very heavy duties. But agricultural machinery and such like manufactures are very lightly taxed. The principal food of the people is manioc flour (tapioca).

RIO JANEIRO

RIO JANEIRO (674,972), the capital and principal city, though a poor-looking place, is situated on a magnificent harbour--one of the very finest in the world. About 1500 vessels, with tonnage amounting to 2,500,000 tons, enter Rio Janeiro with foreign trade annually. Nine thousand miles of railway have been built in Brazil and 3500 more are in course of construction, and 12,000 miles of telegraph routes have been built. Rio Janeiro is the chief railway centre, but other centres are RIO GRANDE DO SUL, in the temperate regions of the south, and BAHIA and PERNAMBUCO, in the tropical regions. The public (national) debt of Brazil is not far short of $1,000,000,000, bearing interest (a great part of it) at from four to six per cent. per annum.

XII. THE TRADE FEATURES OF CANADA

CANADA, PRACTICALLY AN INDEPENDENT FEDERAL REPUBLIC

The dominion of Canada comprises all that portion of the continent of North America north of the United States--except Alaska and Newfoundland and the coast of Labrador. (Newfoundland and the Labrador coast is a colony in direct relationship to Great Britain.) Canada is entirely self-governing and self-maintaining, and its connection with Great Britain is almost wholly a matter of loyalty and affection. It consists (1) of seven Provinces: Ontario, Quebec, Nova Scotia, New Brunswick, Prince Edward Island, Manitoba, and British Columbia, which, in their self-governing powers and their relation to the general government, correspond very closely to our States; (2) of four Territories--Assiniboia, Alberta, Saskatchewan, and Athabasca, which correspond somewhat to our Territories; (3) of four other Territories--Ungava, Franklin, Mackenzie, and Yukon, which are administered by the general government; and (4) the District of Keewatin, which is under the jurisdiction of the lieutenant-governor of Manitoba. The capital of the whole dominion is Ottawa. Each province has its own capital.

SIZE, SOIL, CLIMATE, AND POPULATION OF CANADA

The area of Canada is immense. It figures up to 3,456,383 square miles, which is almost 500,000 square miles more than the total area of the United States exclusive of Alaska, and not far short of being equal to the area of all Europe. But almost 150,000 square miles of this area are taken up by lakes and rivers; and a much greater portion than this, under present conditions of civilisation, is wholly uninhabitable, being either too cold or too barren. Yet when all the necessary allowances have been made there still remains in Canada an immense area with soil fertile enough and climate favourable enough for all the purposes of a highly civilised population. Over 900,000 square miles are already occupied, and of the occupied area fully one half has been "improved." The older provinces are, acre for acre, as suitable for agricultural pursuits as the adjoining States of the Union. Manitoba, the "Prairie Province," is almost one vast wheat field, with a productivity for wheat unequalled anywhere except in the Red River valley of Minnesota and Dakota. The Manitoba grain harvest foots up to 50,000,000 bushels. British Columbia is a land of almost infinite possibilities, not only because of its mineral and timber resources, but also because of its capabilities for agriculture and fruit-growing. The Territories are so vast an area that no general description of them is possible, but it may be said that the great wheat valley of the Saskatchewan, the sheltered grazing country of Alberta, and the great wheat plains of the Peace River valley in Athabasca, are regions adapted in soil and climate to sustain a hardy and vigorous people. The population of Canada is comparatively small. It is estimated at 5,250,000. Over 1,000,000 people of Canadian birth reside in the United States, and the number of Americans residing in Canada is only 80,000. Out of the 2,425,000 persons who came to Canada as immigrants in a period of forty years, no fewer than 1,310,000, or fifty four per cent., came over into the United States. It is stated that this exodus has ceased, and that if any great movement of population now exists it is toward Canada.

CANADA'S FOREST WEALTH

Canada, like all new countries, depends for her prosperity upon the development and exportation of her natural products. These are of four great classes: (1), the products of her forests; (2), the products of her mines; (3), the products of her fisheries; (4), her agricultural products. Canada's forest resources, when both extent and quality are considered, are the finest in the world. The forest area uncut was in 1891 nearly 1,250,000 square miles, or more than one third of the area of the whole country. The annual value of the timber and lumber produced is about $82,500,000. The annual value of the timber and lumber exported is about $32,000,000. Two thirds of this goes to Great Britain, and over $9,000,000 in lumber and logs goes to the United States. Quebec and Ontario have unlimited supplies of spruce for wood-pulp manufacture, the annual output of which reaches 200,000 tons. The uncut lumber of British Columbia, which includes Douglas pine, Menzies fir, spruce, red and yellow cedar, and hemlock, is estimated to be 100,000,000,000 cubic feet.

CANADA'S MINERAL RESOURCES

Canada is just beginning to realise the largeness of her mineral resources. The most talked of gold-mines are those of the Klondike district, the extent of which is still uncertain. Much more definitely known and almost as productive are the gold-mines of British Columbia and the newly discovered gold-fields of the Rainy River district in northern Ontario. More important than the gold-mines of Canada are its coal-fields. These are principally in Nova Scotia and British Columbia. The latter province is destined to be the coal-supplying region for the whole Pacific coast of North America. The yearly output at present is about 1,000,000 tons; the yearly output of Nova Scotia is about 2,000,000 tons, principally produced by American capital. In Alberta there are said to be coal-fields having an area of 65,000 square miles. Iron is found in abundance in both British Columbia and Ontario. Ontario has in its nickel-mines of Sudbury a mineral treasure not found elsewhere in equal abundance in the world. Experts have estimated that 650,000,000 tons of this ore are actually in sight. Ontario produces petroleum and salt. Silver, copper, lead, asbestos, plumbago, mica, etc., are found in varying quantities. Canada imports annually from the United States nearly $10,000,000 worth of coal and coke.

CANADA'S FISHERIES

The fisheries of the Gulf of St. Lawrence and of the shallow waters bordering on Nova Scotia and Newfoundland have for centuries been the most productive in the world. The Canadian fishing interest in these waters is very great. Cod, mackerel, haddock, halibut, herring, smelts, and salmon, are the principal fish, and the annual "take" is about $15,000,000. About $2,500,000 worth of whitefish, salmon-trout, herring, pickerel, and sturgeon are produced annually from the Canadian lakes. The salmon-fishing of the rivers and great sea-inlets of British Columbia brings about $4,500,000 annually. About one half of the total product is exported to Great Britain and the United States.

CANADA'S AGRICULTURAL PRODUCE

Agriculture, including stock-raising, dairying and fruit-growing, is Canada's greatest industry. Over 23,000,000 acres are under crop and about 20,000,000 under pasture. Over 3,000,000 acres are under wheat cultivation. Ontario exports more than twice as much cheese as the whole of the United States, and her cheese product is recognised as the finest in the world. Canada exports to Great Britain alone $15,000,000 worth of cheese annually. In 1896, in Ontario alone, 170 creameries turned out over 6,000,000 pounds of butter at an average net receipt of 18-1/4 cents a pound. By the cold-storage facilities provided by the government Canadian butter can be sent even from far inland points to Liverpool or London without the slightest deterioration. England buys $6,000,000 worth of Canadian bacon and hams annually, and Canadian beef is already famous on the London market. American corn for stock-feeding is admitted to Canada free of duty and about $10,000,000 worth is imported annually. A great deal of eastern and southern Canada is well adapted to fruit-raising. The Niagara-St. Clair peninsula of Ontario is especially famous for its peaches and grapes.

CANADA'S TRADE WITH THE UNITED STATES

Canada has made a great effort in the direction of encouraging home manufactures, but her most progressive and most staple industries are those concerned in the conversion of the raw products of the country into articles of common merchandise. Her steam horse-power in proportion to population is the largest in the world. The capital invested in factories as a whole amounts to over $400,000,000, with an annual output of over $500,000,000. Her total annual importation is now over $130,000,000. More than half of this is from the United States. Canada's total annual exportation is about $160,000,000. Of this over one third goes to the United States. Canada's total trade with the United States is about forty one per cent. of her total trade with all countries, and almost equal to her total trade with Great Britain. Canada's total trade with the United States is exceeded only by that of Great Britain, Germany, and France, and her import trade with the United States is exceeded only by that of Great Britain and Germany.

CANADIAN CITIES

MONTREAL (250,000) is the commercial metropolis of Canada. It is situated on an island in the St. Lawrence River, and, though 1000 miles from the open ocean, the largest sea-going vessels reach its wharves with ease. It is the headquarters of Canada's two great railways--the Canadian Pacific system, with its 8000 miles of road, and the Grand Trunk system, with its 5000 miles of road. Through passenger-trains run from Montreal to Vancouver on the Pacific coast, a distance of nearly 3000 miles. Montreal is the centre also of the great inland navigation system of Canada.

TORONTO (200,000), the capital of the province of Ontario, is the second city of Canada. While Toronto has a great local trade and many important manufactures, it is specially noted as an educational centre. QUEBEC (80,000) is the oldest city of Canada and one of the oldest upon the continent. HALIFAX (50,000), the eastern terminus of the Canadian railway system, has one of the finest harbours in the world. WINNIPEG (35,000) is destined to be the centre of the great inland trade of Canada.

XIII. THE TRADE FEATURES OF THE UNITED STATES

THE CHARACTER OF OUR EXPORT TRADE

Having reviewed the industrial and trading conditions of the other great commercial nations of the world, it should now remain for us to review these conditions in the United States. But the United States is so large a country, and its trading and industrial interests are so diversified and extensive, that it would be impossible for us in the limits of our space even barely to touch upon all these interests. So that with respect to the "Trade Features of the United States" we shall simply confine ourselves to one part of the subject--namely, the character, extent, and importance of our foreign trade. And we shall, further, have to restrict ourselves in the main to our exports. These will be found to be principally not manufactures, but the products of our great agricultural, mining, and forest industries. The total value of the manufactures of the United States amounts in round numbers to the immense sum of $10,000,000,000 annually, a sum considerably more than a third (it is thirty five per cent.) of the total value of the annual manufactures of the world. But only a very small portion of this vast output is exported. The greater portion of it is used to sustain the still vaster internal trade of our country, a trade which amounts to more than $15,500,000,000 annually, an amount not far short of being one third of the total internal trade of the world, and not far short of being twice the internal trade of Great Britain and Ireland, the country whose internal trade comes next to ours. Our exports, therefore, are not in the main manufactured goods, but breadstuffs, provisions, and raw materials, the production of our farms, our plantations, our forests, and our mines. But principally they are the products of our farms and our plantations, for with the exception of cotton we do not export much raw material. Nearly all the raw material we produce (other than cotton) we use in our own manufactures. And even this is not enough, for in addition we have to import considerable quantities of raw material for our manufactures from other countries, the principal items being raw sugar, raw silk, raw wool, chemicals of various kinds including dye-stuffs, hides and skins, lumber, tin, nickel, and paper stock.

OUR EXPORT TRADE IN DETAIL

Our total exportation for the twelve months ended June 30, 1898, amounted to the unprecedented sum of nearly $1,250,000,000 ($1,231,329,950).[4] This is an amount almost a quarter of a billion dollars greater than ever before, the only years when the export even approximated this amount being 1897 and 1892, when the exportation was slightly over a billion dollars in each case. Of this exportation the sum of $855,000,000, or seventy one per cent. of the whole, was for the PRODUCTS OF AGRICULTURE, the principal items being (1) "breadstuffs," including wheat and wheat flour, corn and cornmeal, oats and oatmeal, rye and rye flour, $335,000,000; (2) cotton, $231,000,000; (3) "provisions," including beef and tallow, bacon and hams, pork and lard, oleomargarine, and butter and cheese, $166,000,000; (4) animals, including cattle, horses, sheep, and hogs, $47,000,000; (5) raw tobacco, $23,000,000; (6) oil-cake, $12,500,000, and (7) fruits and nuts, $9,000,000. The exports of the products of our mines amounted to only 1.6 per cent. of the total export, or scarcely $20,000,000, the principal items being (1) coal and coke, $12,500,000; (2) crude petroleum, $4,000,000, and (3) copper ore. The exports of the products of the forest amounted to only three per cent. of the total export, or $38,000,000, the principal items being (1) sawed and hewn timber, logs, lumber, shingles, and staves, $28,500,000, and (2) naval stores, including resin, tar, turpentine, and pitch, $9,000,000. The exports of the products of our fisheries amounted to only $4,500,000, or less than one half of one per cent. of the total exports. The exports of the products of our manufactures, according to the official returns, amounted to $289,000,000, or twenty four per cent. of the total export. But this sum included many items which represent raw natural products converted merely into material for subsequent manufacture, as, for example, pig- and bar-iron, planed boards, sole leather, ingot- and bar-copper, cotton-seed oil, and pig- and bar-zinc. The principal items in the true "manufactures" list are (1) machinery, including metal-working machinery, steam-engines and locomotives, electrical machinery, pumping machinery, sewing-machines, typewriting-machines and printing-presses, and railway rails, hardware, and nails, $65,000,000; (2) refined petroleum, $50,000,000; (3) manufactures of cotton, $17,000,000; (4) vegetable oils and essences, $12,000,000; (5) agricultural implements, $7,000,000; (6) cycles, $7,000,000; (7) paper and stationery, $5,500,000; (8) furniture and other manufactures of wood, $5,000,000; (9) tobacco and cigarettes, $5,000,000; (10) fertilisers, $4,500,000; (11) boots and shoes, harness, and rubber shoes, $3,500,000; (12) telegraph, telephone, and other instruments, $3,000,000; (13) bags, cordage, and twine, $2,500,000; (14) books and pamphlets, $2,500,000; (15) sugar, syrup, molasses, candy, and confectionery, $2,000,000; (16) spirits, including brandy and whisky, $2,000,000; and (17) clocks and watches, $2,000,000.

FOOTNOTE:

[4] For the year ending June 30, 1899, the total exportation amounted to $1,204,123,134.

OUR EXPORTS AND THOSE OF GREAT BRITAIN COMPARED

The significance of these figures descriptive of our export trade will be better understood from a few comparisons. Our total exportation for the year 1897-8 was, as said before, in round numbers, $1,250,000,000. For the year previous it was over $1,000,000,000. The exportation of Great Britain for the year 1896 was $1,500,000,000. For the year 1897 it was almost the same amount. For the year 1895 it was $1,450,000,000. But whereas our exportation of breadstuffs, provisions, animals, fruit, etc., and of raw materials, such as cotton, lumber, ores, etc., amounts to probably 77 or 78 per cent. of our total exportation, while our exportation of manufactured goods amounts to not more than 22 or 23 per cent., the exportation of breadstuffs, provisions, raw material, etc., which Great Britain makes is not more than one sixth, or 17 per cent., of her total exportation, while her exportation of manufactured goods is five sixths, or 83 per cent., of her total exportation. For example, Great Britain's export of textiles alone amounts to over $500,000,000 a year (for 1896 $526,647,525), while our total export of textiles, including cottons, woollens, silks, and fibres, is not more than $19,000,000 a year. Great Britain's total export of hardware and machinery amounts to over $250,000,000 a year; our total export of these articles does not amount to more than a third of this sum. On the other hand, Great Britain's total export of raw materials of all sorts is not more than $100,000,000 a year, while ours of cotton alone is almost two and one-third times that sum. And while Great Britain exports no breadstuffs or provisions to speak of, our exportation of these articles (including animals) amounts to the enormous sum of $855,000,000 a year.

OUR IMPORTS AND THOSE OF GREAT BRITAIN COMPARED