Chapter VI: Part II: Student Reports (2)

FLAGS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
American 51 10 77,183 2,094 61 79,277
Colombian -- 6 -- 303 6 303
Spanish 7 -- 26,439 -- 7 26,439
French 6 -- 14,771 -- 6 14,771
Dutch 3 33 7,251 2,913 36 10,164
English 37 7 90,678 272 44 90,950
Italian 3 -- 16,962 -- 3 16,962
Norwegian 11 -- 13,505 -- 11 13,505
Venezuelan 27 186 9,034 5,535 213 14,569
---- ---- -------- ------- ---- --------
Total 145 242 255,823 11,117 387 266,940

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

PORTS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
La Guaira 72 53 112,498 4,835 125 117,333
Maracaibo 28 19 14,968 1,480 47 16,448
Puerto Cabello 27 25 111,369 915 52 112,284
Ciudad Bolívar 14 1 3,118 8 15 3,126
Carúpano 6 12 1,381 186 18 1,567
Puerto Sucre -- 15 -- 225 15 225
La Vela -- 16 -- 735 16 735
Cristobal Colón 12 34 7,720 1,148 46 8,868
Pampator -- 43 -- 762 43 762
---- ---- -------- ------- ---- --------
Total 159 218 251,054 10,294 377 261,348

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

FLAGS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
Spanish 13 50,041 13 50,041
French 14 2 3,011 3,060 16 6,071
Dutch 3 28 1,914 1,693 31 3,607
English 27 4 73,319 81 31 73,400
Italian 6 33,924 6 33,924
Norwegian 4 6,184 4 6,184
Venezuelan 24 183 5,302 5,386 207 10,688
---- --- -------- ------ ---- ------
Total 159 218 251,054 10,294 377 261,348

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

FLAGS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
La Guaira 49 53 79,593 3,936 102 83,529
Maracaibo 69 121 29,560 11,987 190 41,547
Puerto Cabello 33 108 86,306 5,275 141 91,581
Tucacas 4 5 4,065 557 9 4,622
Ciudad Bolívar 14 1 3,512 9 15 2,521
San Felix 3 942 3 942
Barrancas 9 1 3,494 6 10 3,500
Carúpano 17 29 17,304 614 46 17,912
Rio Carila 15 2 1,096 16 17 1,112
Puerto Sucre 2 45 118 882 47 1,000
Guanta 13 9 5,515 511 22 6,026
La Vela 91 6,954 91 6,954
Cristobal Colón 6 361 10,200 5,421 367 15,621
Pampator 3 104 139 2,687 107 2,826
---- --- -------- ------ ---- ------
Total 237 930 241,844 38,855 1,167 280,699

_Nationalities of Ships Sailing from Venezuelan Ports._

FLAGS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
American 63 18 82,332 5,857 81 88,189
Colombian 4 257 4 257
Spanish 6 24,141 6 24,141
French 4 2 14,331 134 6 14,465
Dutch 23 131 17,445 11,019 154 28,464
English 56 8 48,391 407 64 48,798
Italian 3 15,441 3 15,441
Norwegian 15 19,038 15 19,038
Venezuelan 67 767 20,725 21,181 834 41,906
---- --- -------- ------ ----- ------
Total 237 930 241,844 38,855 1,167 280,699

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

PORTS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
La Guaira 45 48 93,167 3,449 93 96,616
Maracaibo 63 121 28,565 8,280 184 36,845
Puerto Cabello 34 135 105,769 2,521 169 108,290
Tucasas 1 9 1,021 746 10 1,767
Ciudad Bolívar 23 1 6,809 9 24 6,818
Barancas 2 17 481 249 19 730
Carúpano 14 23 6,626 578 37 7,204
Rio Cariba 4 6 280 107 10 387
Puerto Sucre 1 24 30 911 25 941
Guanta 6 12 2,080 845 18 2,925
La Vela -- 68 -- 3,903 68 3,903
Cristobal Colón 8 367 7,974 5,939 375 13,913
Pampator 4 137 111 4,445 141 4,556
---- ---- -------- ------- ---- --------
Total 205 968 252,913 31,982 1,173 284,895

_Nationalities of Ships Sailing from Venezuelan Ports._

FLAGS SHIPS TONNAGE TOTAL
_Steam_ _Sail_ _Steam_ _Sail_ _Ships_ _Tonnage_
American 60 7 81,078 1,659 67 82,737
Spanish 15 -- 57,788 -- 15 57,788
French 22 9 11,893 1,910 31 13,803
Dutch 17 106 9,404 5,859 123 15,263
English 44 10 53,090 696 54 53,786
Italian 4 -- 22,772 -- 4 22,772
Norwegian 7 -- 9,582 -- 7 9,582
Venezuelan 36 836 7,306 21,858 872 29,164
---- ---- -------- ------- ---- --------
Total 205 968 252,913 31,982 1,173 284,895

[8] United States of Venezuela: Ministerio de Hacienda; "Estadistica Mercantil y Marítima."

As can readily be seen from these figures the chief commerce of Venezuela is with American and European countries. The shipping service is of two kinds--line service and tramp or charter service. The former consists of actual steamship lines under an organized company, operating on regular itineraries and on stated dates with regular rates for freight, passenger and mail service. The latter refers chiefly to sailing vessels of small tonnage, either engaged independently in trade or under charter contract with firms or individual shippers for a certain stipulated length of time, at certain rates mutually agreed upon, and for stated cargoes and voyages.

Since, in this connection, line service is of the most importance we shall first take up the various steamship lines operating between Venezuelan ports and other ports of the world.

=TRANSATLANTIC COMPANY OF BARCELONA=

This is a Spanish line of steamships, having its home office
at Barcelona, Spain. It was established January 21, 1882,
and supplies a passenger, freight and mail service, making
one voyage each month at intervals somewhat irregular. Its
itinerary comprises the following ports:

Barcelona, Genoa, Puerto Rico, Habana, Puerto Limon, Colón,
Puerto Colombia, Curaçao, Puerto Cabello, La Guaira, Puerto
Rico, Barcelona.

The vessels in service are the Montevideo, Buenos Aires,
Lyaysi, Montserrat, Antonio Lopez, Manuel Calvo, Satrustyui.

Because of the length of time taken in transit this line does a
greater freight than passenger business. Its rates are governed
by those of other European steamship companies, since they are
united under a gigantic ocean-carriers' agreement, which will
be discussed later.

=COMPAGNIE GENERAL TRANS-ATLANTIQUE=

This is a French line, established June 27, 1872, with its home
office in Paris. It supplies a monthly service for passengers,
freight and mail. Its itinerary formerly was:

Nazaire, Point a Pitre, La Guaira, Puerto Colombia, Cartagena,
Colón, Puerto Colombia, Puerto Cabello, Port de France, St.
Nazaire and Bordeaux.

(N. B.--According to information recently received, this line
now also calls at Havre.)

The vessels in service are the Perón, Puerto Río, and Haiti.
The service is not as regular as could be desired and rates
are governed by the same conditions which apply to the Spanish
company previously mentioned.

=ROYAL DUTCH WEST INDIA MAIL=

This is a Dutch line, having its home office in Amsterdam,
Holland. Its service was crippled during the war, but it was
reestablished in October, 1919. It supplies a freight and
passenger service every fifteen days between the following
points:

Amsterdam, Holland, La Havre, La Guaira, Puerto Cabello,
Curaçao, Puerto Colombia, Cartagena, Puerto Limon and Cristobal.

The vessels now in service are the Stella, Crynssen, Styvessant
and Orange Nassam.

=HARRISON LINE=

This is a British line, established in June 28, 1875, with
its home office in Liverpool, England. It supplies a monthly
freight and mail service between the following ports:

Liverpool, Barbadoes, Trinidad, La Guaira, Puerto Cabello,
Curaçao, Puerto Colombia, Cartagena, Colón, Beloge, Puerto
Barrios, New Orleans, Galveston, Liverpool.

The vessels in service are the Dictator, Author, Orator,
Senator and Benefactor.

=LEYLAND LINE=

This is a British line, operating between the same ports as
the Harrison Line, and also has its home office in Liverpool.
It supplies a semimonthly freight and mail service between
these ports. The vessels now in service are the Antillian,
Alexandrian, Median, Nortonian, Nobian Asian and Nossian.
These two British lines are most important as freight and mail
carriers, the passengers carried being relatively small in
number.

=LA VELOCE LINE=

This is an Italian line having its home office in Genoa, Italy.
It was established in 1890 and supplies an irregular freight,
passenger and mail service between the following ports:

Genoa, Marseilles, Barcelona, Teneriffe, Trinidad, La Guaira,
Puerto Cabello, Caracao, Puerto Colombia, Cartagena, Port
Limon, Colón and Genoa.

Its vessels in service are the Europa and Bologna.

=TRANSATLANTIC ITALIAN COMPANY=

This is another Italian company operating steamships between
that country and the Americas. It is a new company, the service
having been established August 10, 1920, with home office in
Genoa, Italy. Its itinerary comprises the following ports:

Genoa, Marseilles, Barcelona, Cadiz, Teneriffe, Trinidad, La
Guaira, Puerto Cabello, Curaçao, Puerto Colombia, Cristobal,
Balboa, Guayaquil, Callao, Mollendo, Arica, Casigua, Aristo,
Fagasta, Valparaiso and Genoa.

This line is equipped with three 12,000 ton motor vessels of
recent design; the San Georgio I, San Georgio II, and San
Georgio III, and supplies a passenger and freight service.

These ships carry merchandise and raw material from La Guaira
and Puerto Cabello to less accessible ports like Ciudad
Bolívar, and from the latter port to the northern coast this
company is rapidly increasing the number and tonnage of its
vessels and undoubtedly will be an important factor in the
commercial progress of Venezuela in the years to come.

* * * * *

In referring to the great European steamship lines which touch Venezuelan ports I mentioned the fact that a combination to control freight rates existed. This is simply an agreement by which these companies agree on maximum and minimum rates to be charged on certain classes of goods. Undoubtedly such pooling has its disadvantages, since it tends to keep competition out of the field.

We come now to a consideration of the one American line operating between New York and La Guaira, _i.e._, the "Red D Line" of steamships. I have purposely saved this for the last since, in considering this subject from an American viewpoint, it is naturally the most important. This line carries the mail, passenger and freight from American ports to those of Venezuela, and is responsible to a great extent for the proper delivery of merchandise sold to Venezuelan companies by American firms.

The Red D Line has its home office in New York City, with branch offices in Caracas, San Juan, P. R.; Curaçao, W. I.; Puerto Cabello and Maracaibo. It is under contract with the United States Government for the transportation of mail, and supplies a weekly service between New York, Porto Rico, Curaçao and Venezuela.

In regard to rates and charges, among the most important of this company's regulations are the following:

(1) Rates are assessed per cubic foot, or 100 pounds ship's
option, except as otherwise provided.

(2) Packages containing different articles will be charged the
tariff rate for the highest class article contained therein.

(3) Packages of more than $100.00 in value must be noted on
ships receipts when such goods are offered at the pier. Charges
on packages of this kind will be in addition to tariff 3/4 of
1% on all values over $100.00 per package. This company will
not be liable in the event of loss or damage from any cause
whatever as detailed in bills of lading, for more than $100.00
per package unless such value is shown on shipping receipts and
extra freight paid thereon.

(4) Minimum charge to San Juan, P. R., $3.00; to Curaçao,
Maracaibo, Coro and Puerto Cabello, $5.00; to La Guaira, Ven.,
$5.00 plus wharf dues.

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

(6) This company requires two copies of bills of lading to
San Juan, P. R., and Curaçao, D. W. I., and five copies to La
Guaira, Puerto Cabello, Maracaibo and Coro, Venezuela.[9]

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

There are many additional regulations covering special cases, which it is impossible to enumerate here. For those interested I would recommend a copy of the Red D Line Freight Tariff No. 1-A, which may be secured at any of this company's offices.

The ships now in service for this line are the Caracas, 3,000 tons; Philadelphia, 2,500 tons; Merida, 630 tons, and the twin screw steamers Maracaibo and Zulia, 1,800 tons each. Two additional vessels for use on this line are now under construction in the States.

At the present time, however, it is to be regretted that comparatively poor and irregular service exists between the two Americas. American salesmen and business men operating in Venezuela constantly complain of delays in forwarding mail and merchandise resulting in financial loss for themselves and creating dissatisfied customers. Considering the existing monopoly in communication, it is surprising that trade between Venezuela and America has progressed to the extent that it has. Venezuela is a rich country and can supply many varieties of agricultural products to the United States; on the other hand, she must look to the United States for manufactured goods, machinery, etc., to enable her to prosper. There is a wonderful opening for American capital in the country of Simón Bolívar, but it never can be fully realized until ocean communication between the two sister republics is greatly improved.

CABLE COMMUNICATION

Cable communications with the exterior are at present monopolized by the "French Company of Telegraph and Cables," through a concession which lasts until 1929. This privilege is based on the first article of contract which governs the Company's relations with the Government of Venezuela; the privilege is exclusive and the controlling lines run from La Guaira and La Vela, ports of Venezuela, to the Dutch Island of Curaçao, thence to the Republic of Haiti, and thence to New York and France. The price per word from Venezuela to New York is five bolivares (approximately one dollar under normal exchange) but because of various tariffs assessed by the company, and extra charges in delivery, the rates usually exceed that figure. Moreover the service is poor and uncertain, interruptions are frequent and a cable can not be depended upon in matters of urgent importance. The company has not improved its service and methods to meet the growing needs of an expanding business. Something must be done to solve this difficulty of cable communication before the potentialities of Pan-American trade can ever be realized. But it can not be solved without the abolition or modification of the present monopoly.

WIRELESS COMMUNICATION

Closely linked with the question of cable communication is the problem of establishing wireless communication with foreign countries. In this connection the recent severance of relations with Germany resulting in a scarcity of materials and high prices greatly retarded the installation of an improved wireless system with the outside world. But on October 15, 1919, the government of the Republic of Venezuela decided to call for bids for the construction of a wireless telegraph station in the neighborhood of Caracas, the capital of the Republic.

The geographical situation of Caracas is as follows: Latitude North 10°-30'-24". Longitude 4°-25'-4" West of the Meridian of Greenwich. Its altitude above the sea level is 922 meters and its distance from the Caribbean Sea 10 kilometers. Caracas is separated from the coast by a branch of the Andes Mountains which, in that part nearest to the city, are 1,800 meters above sea level.

The technical conditions of the plant are:

(1) The station must be of sufficient capacity to communicate
with similar stations in Europe and the United States of
America.

(2) The station shall contain a plant for the emission of loud
voices and another plant for the emission of subdued voices
intended for communicating with wireless stations not yet
equipped with the system of loud waves.

(3) The necessary electric power will be furnished by a
private concern in the shape of 190 volt, 50 cycle, 3 phase,
alternating current as used in Caracas.

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

The bids must contain:

(1) The general plan of the plant and the necessary detailed
plans and cuts drawn on a convenient scale.

(2) A general description of the apparatus.

(3) The time necessary for its construction.

(4) Total cost of the station. The amount will be paid in
Caracas in quarterly installments, cash, at the end of each
quarter, in accordance with the progress of the work. The
government will retain 10% of the amounts of each payment,
which sum will be paid to the contractor after compliance with
the provisions of the next article.

(5) The assumption of an obligation by the bidder to manage
the station during six months after its completion as a proof
of delivery in good working order. After this has been proved,
the aforesaid 10% of the cost of the work will be paid to the
contractor.

The bids must be sent to the Minister of Fomento of Venezuela
before the last day of June, 1920. On the last day of August,
1920, in a Cabinet Meeting, the bid which in the opinion of
the Federal Executive offers the greatest advantage will be
accepted, while the Government reserves the right to reject all
bids if it is deemed convenient.

Any responsible construction concern--national or
foreign--specializing in this work may send in a bid.

The importance of this proposed wireless station is very evident to those interested in Venezuela, and its prosperity. By establishing direct and efficient communication between this country and America and Europe, it will open the way to vast trade possibilities.

Having thus discussed the three methods of communication which are of paramount importance in foreign trade, we can not but realize that Venezuela has been working under a serious handicap. However, she has made great progress in the last decade and it is to be hoped that under a wise government she will continue her sound trade policies and before many years will take her proper place among the leading commercial nations of the world.

_Philip D. Sullivan._

TRANSPORTATION FACILITIES

Pronounced improvements in the political, economic and social life of the Republic of Venezuela have been effected within the last few years by the construction, upon a broad and comprehensive scale, of a system of national highways totalling, in extent of completed roads, 2,900 kilometers (approximately 1,800 miles). These have been specifically designed to bear the burden of motor transportation both of passengers and freight, as well as of all classes of vehicular and equestrian traffic. Built primarily with a military objective, these roads already have come to serve the routine needs of peace, while being at all times available for the exigencies of war. They provide a means for the quick mobilization of the Venezuelan army of 50,000 men at any of the principal strategic points of the country. Infantry, cavalry or artillery may with equal facility and despatch pass over any of these roads to a given rendezvous. The broad, smooth highways compass distances, grades and defiles that hitherto presented almost impassable barriers to the quick and flexible movement of military forces.

If heretofore the army suffered from a lack of adequate transportation facilities, the commerce of Venezuela too was woefully handicapped. One of the greatest and most coveted of Venezuela's assets is her magnificent coastline of hundreds of miles on the Caribbean Sea. To realize the serious difficulties under which her rich interior labored in seeking an egress to foreign markets, it need only be noted that until the completion, during the last decade, of the highway system with its three separate routes from three chief ports of the republic to the capital and interior centers of industry, the country had the use of only two railway lines. These lines were well constructed, it is true, but offered an indifferent service at a prohibitive tariff with amazingly excessive wharf and terminal charges. The only available alternative to these consisted of old Spanish trails up and down the mountain sides where the necessity of walking in single file hazarded the necks of man and beast.

With respect to the technique of construction and maintenance of the highways of the new system, local considerations and the requirements of the major volume of traffic normally moving into or out of a given section have been carefully taken into account. On the level stretches of the extensive llanos in the interior, advantage has been taken of natural dirt bases for roads that have come to sustain the burden of the enormous production of cattle, grain, corn, coffee, cotton and sugar sent forth from those fertile plains. On the precipitous mountain slopes of the massive watershed that divides the highland llanos from the sea, macadam has been the principal material used; this has been true also in other mountain districts of the Republic. In general, American and English principles of roadbed construction have been employed and great numbers of steel bridges and not a few suspension bridges have been designed, imported and set up by leading American bridge-building corporations.

The improved route from Caracas to Guatire has made the latter accessible at all times to the capital. The route from Caracas to Barquisimeto supplies a direct road from the capital to the center of the Venezuelan Andes, while the one from Maracay to Ocumare de la Costa leads directly to the sea at the point of juncture of the two greatest highways, opening the way to the agricultural and cattle raising industries of the central region of the Republic.

The Great Eastern Highway leads from Caracas through the states of Miranda, Auzoategui and Bolívar to the mineral region of interior Guayana. The Great Western Highway connects the center of the Republic with the remotest western regions, leading from Caracas to Valencia, San Carlos, Guanare, San Antonio de Caparo and San Cristobal. It crosses the most densely populated part of Venezuela and promises to be, in the near future, the principal artery of communication. Telegraphic connection is constantly maintained between the road engineers and the minister of public works. The highway from Turmero to Calabozo is likely to become the bond of union between the great eastern and western highways. It has maintained traffic for the first time in the llanos during the rainy season, thus furnishing a constant outlet for the wonderful productivity of this region. Steam rollers and other standard mechanical apparatus have been employed in the construction work, while recently the authorities have commenced to use the superficial petrolization process for laying the dust and counteracting the impairment of the roadbed by the rapidly increasing automobile traffic.

The equipment of the highways has brought to the fore another characteristic and interesting Venezuelan institution--the road workmen--who fulfill a dual function in the task they assume when a road or section is completed: that of attending to, or assisting in, its upkeep or repair, guarding against violation of the regulations laid down for its use by the public, and otherwise policing a stretch that is three kilometers upon macadam roads and two kilometers upon natural dirt roads. The "peones camineros" represent but another and latter-day application to public service of the marvelously faithful, intelligent and efficient common labor of the country.

The mileage mentioned above is practically for motor vehicles and is constantly used by the 2,000 passenger cars in active service. Had the new road system been inspired and carried into execution by American builders for the advancement of their own people's interests, they could scarcely have served more thoroughly the purpose of American commerce. From the outset, these roads have operated to strengthen this country's position as a producer and exporter of automobiles. Thus a vital public improvement, undertaken by the Venezuelan Government, operated primarily to establish an altogether new market for one of the chief industrial products of the United States. Yet despite the fact that the capital of Venezuela, Caracas, has a population of 100,000 and boasts of having 1,000 automobiles or one car for every hundred citizens, relatively few motor-trucks are to be seen there or, in fact, elsewhere in Venezuela.

Nevertheless, it requires neither seer nor prophet to foresee practically unlimited opportunities throughout the land of Bolívar for every kind and class of American manufactures, from agricultural, mining and factory machinery to the smallest articles of merchandise; and this as the direct result of the building and extension of the Venezuelan highway system. For transporting these manufactures from ship's side to interior communities--some of them Spanish colonial settlements that have flourished for almost four hundred years but which until now have not known American importations--there is only one logical and available instrument,--the American motor-truck.

RAILROADS

The standard gauge of the United States and Canada, 1.435 meters between rails, was adopted by the National Congress of 1912, an act necessary for any great capacity of railroad transportation as well as the assurance of an immediate and adequate supply of materials.

Laws were promulgated June 12, 1917, and June 4, 1918, for the concession, construction and operation of railroads by domestic and foreign companies or individuals, containing the following provisions:

1. That all enterprises be approved by the National Congress;
that all controversies be settled in Venezuelan courts; that
one-half of the employees be from Venezuela, and that no
interest be guaranteed by the government on capital invested.

2. That complete plans of any railroad project be submitted to
the minister of public works prior to beginning operations,
and that deposits of money be placed in the national treasury
as a guarantee of integrity.

3. That regulations and standard measurements be carefully
observed; also provisions for roadbeds, crossings, etc.

4. That the right be reserved to the National Government to
take over railroads after forty years of service, if desired.

5. That rival lines in close proximity to those already
constructed be prohibited, and that branches or prolongations
of existing lines be permitted in accordance with regulations.

6. That rates fixed by owners be approved by the public
ministry; that mails be carried free, and that reductions be
allowed to government employees; and materials destined for the
improvement of public works shall be transported at reduced
rates.

7. PRIVILEGES: that no oppressive taxes be levied on railroads;
that a fair proportion of unclaimed lands be conceded to
railways; that free transportation be allowed railway
construction material; that railways be permitted to erect
telegraph and telephone lines provided the government be
granted gratuitous use of them; and that the employees be free
from military service, except in case of international war.

There are twelve railroad systems in Venezuela at the present time with a combined length of 600 miles and 40 millions of dollars invested capital.

1. =The Bolívar Railroad Company= owned and financed by the
English with a working capital of $5,914,075 was the first
railroad of Venezuela. The road is 88½ kilometers long, the
gauge 0.61 meters. It has 165 bridges and 20 stations; the
route is from Tucacas to Aroa. The number of passengers carried
in 1919 was 24,408, and during the same period freight amounted
to 38,820 tons.

2. =The La Guaira-Caracas Railroad= is over 23 miles in length
and carries the greatest part of the products of the country;
it serves more than half of the central part of the republic.
This railroad is the most important railroad in Venezuela,
because it has direct connection with the Valencia and Puerto
Cabello Railroad and the railroad going to Ocumare de la Costa.
The length is 35.5 kilometers, the gauge 0.915 meters. There
are 10 bridges, 8 tunnels and 9 stations and the route is from
La Guaira to Caracas. It is owned by the English with a capital
of $4,175,000. The number of passengers carried in 1919 was
73,305 and freight amounted to 76,335 tons.

3. =The Valencia-Puerto Cabello Railroad Company= is the second
most important railway in Venezuela and performs the same
service as the La Guaira to Caracas Railroad. It is owned and
financed by the English with a working capital of $4,141,000.
It has a length of 54 kilometers, the gauge is 1.07 meters and
there are 23 bridges, 1 tunnel and 6 stations along the route
from Valencia to Puerto Cabello. The number of passengers
carried in 1919 was 53,990 and freight amounted to 55,121 tons.

4. =The Grand Railroad of Venezuela= is owned and financed by
Germans with a working capital of $15,000,000. The length is
179 kilometers, the gauge 1.07 meters, there are 212 bridges,
86 tunnels and 25 stations. The route is from Caracas to
Valencia. The number of passengers carried in 1919 was 211,442
and freight amounted to 76,335 tons. The rolling stock of
this road consists of 18 locomotives, with a combined weight
of 720 tons, 30 passenger coaches, 68 flat cars, 60 box cars
and 19 stock cars. The passenger tariff equals 6¼ cents per
mile for second class and 7.78 cents for first class. Freight
rates are equivalent to 15.65 cents per ton mile. The freight
traffic is small and nearly half the revenue is from passengers
carried. The management attempted some development work in tree
planting, the introduction of new crops, and the improvement of
stock, but the grasshopper plague affected the results.

5. =The Guanta-Barcelona Railroad= is owned and financed by a
Venezuelan company with a working capital of $300,000. This
road is 18.5 kilometers long, the gauge 1.07 meters; there
are 4 bridges and 6 stations. The route is from Guanta to
Barcelona. The number of passengers carried in 1919 was 13,553
and freight amounted to 28,863 tons.

6. =The Railroad of Carenero= is owned and financed by
the French with a working capital of $1,576,800. It is 33
kilometers long, the gauge 0.915 meters; there are 57 bridges
and 5 stations; the route is from Carenero to San José. The
number of passengers carried in 1919 was 20,037 and freight
amounted to 6,923 tons.

7. =The Maiquetia-Macuto Railroad= is owned and financed by the
English with a working capital of $100,000. The length is 7
kilometers, the gauge 0.915 meters; there are 8 bridges and 4
stations. The route is from Maiquetia to Macuto. The number of
passengers carried in 1919 was 430,668 and freight amounted to
2,563 tons.

8. =The Central Railroad of Venezuela= is owned and financed by
the English with a working capital of $3,484,500. The length
is 60 kilometers, the gauge 1.07 meters; there are 23 bridges,
14 tunnels and 7 stations; the route is from Caracas to the
station Tereza. The number of passengers carried in 1919 was
326,945 and freight amounted to 22,971 tons.

9. =The La Ceiba Railroad= is owned and financed by a
Venezuelan Company with a working capital of $1,600,000. The
length is 81.5 kilometers, the gauge 0.915 meters; there are
43 bridges and 5 stations; the route is from La Ceiba to
Roncayolo. The number of passengers carried in 1919 was 9,649
and freight amounted to 21,706 tons.

10. =The La Vela-Coro Railroad= is owned and financed by the
Venezuelan Government with a capital of $208,000. The length is
13.5 kilometers, the gauge 0.915 meters; there are 8 bridges
and 3 stations; the route is from La Vela to Coro. The number
of passengers carried in 1919 was 6,681 and freight amounted to
10,828 tons.

11. =The Grand Railroad of the Táchira= is owned and financed
by a Venezuelan Company with a capital of $1,500,000. The
length is 115 kilometers, the gauge 1.07 meters; there are 3
bridges and 13 stations; the route is from Uraca to Táchira.
The number of passengers carried in 1919 was 19,070 and freight
amounted to 19,562 tons.

12. =The Santa Barbara-El Vigia Railroad= is owned and financed
by the Venezuelan Government with a working capital of
$600,000. The length is 60 kilometers, the gauge 1.07; there
are 37 bridges and 3 stations; the route is from Sta. Barbara
to El Vigia. The number of passengers carried in 1919 was
11,940 and freight amounted to 17,821 tons.

On several of the main roads traffic is lighter now than twenty-five years ago, and notwithstanding the fact that rail transportation costs no more than that by pack mule, scarcely any of the railway enterprises have earned a fair return upon the capital invested, though certainly transportation has been quickened and rates have been steadied, if not cheapened. The principal reasons for this lack of earning power lie in the sparseness of the population, and its distribution along a long narrow strip of territory skirting the seaboard, a condition which leads to the building of unconnected lines with short hauls. Contributory reasons are the moderate producing and consuming power of the people, and the general refusal of the lines to grant low rates for the transportation of commodities of small value.

The waterways of Venezuela, numerous and general as they appear on the map, are singularly disappointing on closer investigation. The great Orinoco is a fine natural highway, it is true, as far as Pericos, some 600 miles from the mouth, but here the river is broken by the rapids of Atures, and beyond by those of Maipures, hence it is impossible for large boats to pass through to the upper river. The Apure, Arauca, and Meta are, of course, useful means of communication with the Colombian border regions and the southwestern llanos, but the numerous tributaries on the north side are generally too variable in depth for permanent traffic, and those on the south, as we have seen, are broken up by rapids for practically their whole length.

On the other hand, if we take the positive value of the river highways, rather than their actual extent, we shall see that they are of considerable importance; the rivers of Guayana and of the eastern llanos may be of little use for large boats, but the Orinoco forms a great, central artery, from which roads, and perhaps eventually railways, can diverge to the limits of the basin. Some of the llano tributaries, too, are navigable for steamers, and thus the State of Apure is now kept in communication with the outside world. Then, too, there is the great advantage accruing to the State of Zulia from its central lake, with its many tributary navigable rivers, along which large boats can travel throughout the greater part of the State and on to the boundaries of those of the Andes, as well as into the neighboring republic of Colombia. Along most of these natural and easily utilized lines of communication there are already services of steamers, nothing very advanced, it is true, but still a beginning.

The most important of the accessible regions of the country are the great plains stretching from east to west of the Orinoco and Apure rivers, well suited to cattle raising, the rich alluvial region east of Lake Maracaibo and the rich agricultural region around Lake Valencia.

Although these vast plains are open ranges covered with natural grasses for cattle feeding, conditions, in general, are not those prevailing in the Argentine Republic. The climate is much more tropical; tropical diseases are prevalent, and the river valleys are subject to overflow in times of high water. The higher lands farther north along the foot hills of the coast range generally lack sufficient water during the dry season of the year, which is December to June. Much could be done to remedy this by the introduction of water through modern irrigational devices.

The future of Venezuela depends primarily on her own people, upon whom devolves the duty of developing in a conscientious and painstaking manner the many resources of their country. It is certain that in the task which lies before them they will need and obtain assistance of foreign capital and advice, and in this, if American enterprise is alive to a great opportunity, we as a nation should bear no small part.

_Edward Fanning._

AGRICULTURE IN VENEZUELA

The Agricultural Zone of Venezuela covers about 300,000 square kilometers, according to recent statistics, and extends from the Atlantic Ocean to Colombia, embracing the territory between the Caribbean seacoast and the plains of the Orinoco towards the south of the country.

Venezuela has fertile soil, perfect adaptability to the growth and maturity of everything that is essential to the existence of man and beast, mild climate, with temperatures varying according to the elevation of the land and latitude, and strategic geographical position. These favorable conditions designate Venezuela as one of the most attractive and advantageous regions for agricultural pursuits. Twenty per cent of the population are engaged in agricultural work, but this proportion is far from being sufficient for an extensive development of the natural resources of this vast area. It is estimated that a population one hundred fold greater could derive a comfortable subsistence from this agricultural region. This vast area, including such a great number of square kilometers, should become one of the most prosperous, rich and accessible agricultural fields of the world following an increase in population, greater and improved transportation facilities, and with the introduction of new methods of cultivation and more general application of modern machinery.

The principal agricultural products of Venezuela are: coffee, cacao, sugar, tobacco, India-rubber, tonka-beans, cotton, corn, vanilla, wheat and kindred products.

The vegetable seeds are also numerous and consist of vetches, bean seed, peas, beans, peanuts and okra.

The vegetable plants consist of: cabbage, cauliflower, melons, asparagus, turnips, radishes, beets, egg plants, garlic, pepper, celery, carrots, cresses, onions, spinach, lettuce and artichokes.

The fruits of Venezuela, of which there are many different species, include: oranges, large sweet lemons, limes, plantains, pineapples, pomegranates, figs, grapes, strawberries, plums, breadfruit, chestnuts, mangoes, zapotes, parchas, medlars, tamarinds, cactus fruit, mandarines, and a great variety of bananas of a very high quality. There is a vast region available for the raising of bananas, but, up to the present no use has been made of it and there is a very small amount of capital invested in the production of this fruit ($100,000 in American gold).

COFFEE

The cultivation of coffee in Venezuela began in 1784. At the present time, it is estimated by experts that there are about 260 million coffee trees under cultivation, which place Venezuela second among the coffee growing countries, according to recent statistics.

Coffee is produced in the temperate climate regions of the Republic from five hundred to two thousand meters above sea level. It is estimated that coffee trees last from forty to fifty years, yielding an average crop of one-eighth of a kilogram of coffee beans per tree. Sixteen million dollars are invested in coffee trees in Venezuela at the present time.

CACAO

Venezuela possesses one of the choicest cacao zones of the world. The natural cacao (Theobroma edenda,--edible food of the Gods) is a seed from a tree indigenous to the soil of Venezuela. From this seed the chocolate of commerce is made. As the cacao tree requires for full development and good crops a temperature of 80 degrees Fahrenheit, and a moist air, therefore the Venezuelan lands along the coast of the Caribbean Sea, sloping from the mountain tops to the shore, and which are bedewed by the exhalation of the sea and irrigated by the many rivers coursing down the valleys, are found to be well adapted in all respects to the very profitable cultivation of cacao. It is, however, also found and cultivated in other parts of Venezuela.

About two hundred trees may be planted in one hectare (about two and one-half acres) and they must be protected from the sun by shade trees until they have acquired normal size. Five years after having been planted the trees begin to bear two crops a year, ripening in June and December. The average life of a tree is about forty years. The seed is similar to a shelled almond; about sixteen of these seeds are enclosed in an elongated pod ribbed like a musk melon. The pods are of a yellow and red color and when they become ripe turn purple. On being gathered and heaped in piles on the ground, after a few days they ferment and burst; then the seeds are shelled, washed and housed.

There are two grades of cacao grown in Venezuela, namely,--the criollo, which is the native cacao, and the trinitario, which was originally imported from the Island of Trinidad. The criollo, a very high grade, grows especially well in the valleys situated near the sea, where the temperature is warm and moist.

The demand for this product in Europe before the war was considerable and large quantities were exported annually. In Spain and Italy cacao is used in the form of chocolate, whereas in France, England and the former German Empire, it is chiefly used in the manufacture of sweets and confections, but its use is becoming so varied and extensive that it will soon be a staple article of consumption as universally needed as coffee or tea. Venezuelan cacao also finds a ready market in the United States where it is known as Caracas and Maracaibo Cacao.

As the cacao-yielding region in the world is comparatively restricted, the planters of this staple need not fear the increasing competition which has been met in the cultivation of other staple products. At the present time it is estimated that $12,400,000 are invested in the cultivation of cacao in Venezuela.

TOBACCO

Tobacco, discovered by the Spaniards in Yucatan, was introduced from there to the West Indies and thence transplanted to Venezuela, where it is most successfully cultivated in Capadare, Yaritagua, Mérida, Cumanacoa, Guanape, Guaribe and Barinas. Excellent tobacco is grown near Cumaná, that from Guacharo being considered exceptionally good. The plant thrives best in humid and fertile soil. Cultivation requires about six months in Venezuela before it is ready for the market, and while the cost of cultivation is not large, great care is required.

Some tobacco is exported from Venezuela, chiefly to Havana, where it is mixed in the manufacture of Havana cigarettes.

The different classes of tobacco grown in Venezuela are distinguished according to the regions where they are produced. These regions are

_Maturin:_

This grade of tobacco is produced chiefly in Venezuela and is used in the manufacture of Venezuelan cigarettes. It is one of the better known classes of tobacco entering foreign trade. This class of tobacco has:

1. Leaves which are light with relation to their bulk.

2. Medium strength, agreeable aroma.

3. It will keep in good condition for a maximum of two years but then begins to rot and completely loses its strength.

_Capadare:_

This class of tobacco is considered to be better than the Maturin tobacco. It maintains its strength and does not rot until three or more years after it has been gathered. It has a very agreeable taste and its weight as compared with its bulk is greater than that of the Maturin tobacco and does not burn as fast as the latter. It is classified into first and second class tobacco by the gatherers.

_Salon:_

On account of the very fine leaves and aroma which this tobacco possesses it is used as the outer leaf in making fine cigars. It burns well, is light in relation to its bulk and is classed by the gatherers as Cover, Inner-cover and Core tobacco.

_Golfero:_

This region is on the shores of the Gulf of Cariaco and has recently been planted with Havana tobacco seeds and is now producing a superior quality. It has strength, aroma of a fine quality and burns very well. It lasts about two years without rotting and on account of its steady strength and agreeable aroma, it is very much demanded by the manufacturers of cigarettes. It is divided into Principal, Half-tree and Sprouts.

_Guaribe:_

This tobacco is rather strong, has an agreeable taste and aroma but as a general rule does not burn well. It is used in the manufacture of cigarettes, in small proportions, in order to give strength. It is also divided into Principal, Half-tree and Sprouts.

_Cocorote_:

This tobacco is mostly used in the manufacture of cigarettes. It has a delicate leaf, is light in weight, has considerable strength and good taste. It is classified as Cover, Inner-cover and Core tobacco.

_Guacharo_:

This tobacco is produced near the Gulf of Cariaco in the vicinity of the Guacharo Caves. It has an exceptional and superior strength, a better taste and finer aroma than any other tobacco, not only of Venezuela but of any place in the world where tobacco is cultivated. There is only a small supply of this kind of tobacco because it will not grow in any other region on account of the very mature strata formation. The leaf is small and delicate; there is consequently a great demand for it from the cigar manufacturers. Cigarette manufacturers can not make use of it because the quantity produced is too small.

PRODUCTION OF TOBACCO

The annual production of the different classes of tobacco in Venezuela varies a great deal according to the conditions of the season and the demand for the product. The approximate output between the years 1914-1919 was estimated at more than 3,000 tons from the different regions. The average production above referred to is liable to increase to a considerable extent provided the demand requires it, as soil fit for tobacco cultivation is plentiful. The price of tobacco naturally varies with the supply and demand and an increase of exports of tobacco contemplated in the near future will tend to increase the prices. The total value of tobacco exported from Venezuela in 1917 amounted to more than $50,000; in 1918(?) the exportation amounted to more than $800,000.

The total amount of capital invested in Venezuela in the cultivation of the tobacco plant is estimated at $2,000,000.

INDIA RUBBER

Rubber, which was discovered in French Guiana in 1758, is called "caucho" or "goma elastica," in Venezuela. The rubber produced in the Orinoco, Cassiquiare and Rio Negro sections of Venezuela comes from forests of Heveas. There are other species of rubber trees but their sap is less elastic and much thicker. The tree is found in plentiful quantities throughout the Guiana section and the Andes Range, and in some States of the East, West and South of Venezuela. More than twenty tribes of Indians inhabiting the Amazon territory of Venezuela gather rubber and prepare it, but, as a general rule, in a very primitive manner.

In the Orinoco region the Hevea tree produces from 40 to 50 grams of juice; in that of the Rio Negro from 80 to 100 grams and in that of the Cassiquiare from 125 to 150 grams per tree.

Due to the fact that this product as well as many others of the country are gathered within the vast territory bordering on Brazil, they are exported through the Brazilian port of Para and reach American and European markets as of Brazilian origin.

Rubber trees when cultivated in a scientific manner yield an average of 95% of pure rubber, each tree producing about 460 grams of juice.

The exploitation of rubber in Venezuela may be considered as limited entirely to the gathering of the natural product on a small scale, as the many million acres producing rubber would require several million people to exploit them. The investment of capital on a large scale is required to develop this important industry. First and most important, labor must be induced to come to Venezuela in order to develop this immense natural resource now scarcely touched. The world demand for this product is great and rubber would undoubtedly be a profitable investment for American investors if undertaken in a systematic and technical way. It is estimated that not more than $1,200,000 are invested in the rubber industry in Venezuela.

SUGAR CANE

Sugar cane is indigenous in Venezuela and cultivated with good results. Lately, Sugar Cane Central Factories have been established to manufacture the products of the sugar cane. These plants equipped with the best modern improvements as to buildings and machinery have at their disposal sufficient capital to enable them not only to supply the home consumption but to export their products in considerable quantity.

The climate and the fertile soil of Venezuela are the principal factors in the production of sugar cane, as it grows everywhere in Venezuela except in mountainous parts lacking irrigation.

Four species of sugar cane are cultivated in Venezuela, namely: Criolla, the Otati, the Batavian and the Salangore.

The Criolla is cultivated to the largest extent on account of its sweetness and good results.

The planting and cutting of the sugar cane is controlled in such a manner that there is always in the plantations sufficient cane reaped and ready, in order to avoid interruptions in the grinding during the whole year round. To ensure this continuity of crops, the soil must be kept well irrigated at all times.

The region near the Lake of Valencia produces longer and thicker canes having more juice, but they contain less sweetness.

Sugar plantations are usually divided into _Tablones_ covering ninety meters square, each lot separated by a road. Such lots, when well manured, irrigated and sown with sugar cane, produce sixty to eighty loads of "papelon" (brown sugar), or 160 loads of alcohol: that is, 5,120 cones of brown sugar weighing 8,129 kilograms or 9,600 liters of alcohol. Every plantation of any importance has a special building with the necessary machinery and equipment for manufacturing the different sugar products. These are: sugar, brown sugar, alcohol and rum.

Brown sugar is offered for sale molded in different forms such as cones and squares. The best quality of sugar produced in Venezuela is manufactured near Guatire, a town three hours distance from Caracas by motor truck or automobile. Rum is manufactured from sugar cane and alcohol. The previously mentioned Sugar Central Factories command an aggregate capital of $7,700,000, have a total of 12,800 hectares of sugar cane under cultivation and can produce 2,600 metric tons of sugar per day. This product at present commands a high price abroad; therefore, with proper management these plants now offer a Venezuelan product for exportation in large quantities and of a very fine quality, and for which without much difficulty they should be able to establish a wide market.

As far back as 1913 there existed 600 individuals and companies devoted to the cultivation of sugar cane, with an aggregate total capital of more than $10,600,000 invested in this industry.

WHEAT

This product was introduced into Venezuela by the Spaniards at the beginning of the conquest and was cultivated in Aragua, Barquisimeto, Trujillo, Mérida and the Táchira. The high table lands and valleys in the mountainous regions of Western Venezuela are available for cultivation of wheat. Fine crops of this grain are now raised, which, after being made into bread, is the chief breadstuff of all classes of the country.

In the Republic of Colombia wheat is cultivated on a large scale with good results both in cold, temperate and hot zones. Venezuela has similar zones, therefore by sowing the proper kind of grain in each zone as practiced in Colombia and by adopting the same or similar systems of cultivation as are there used, wheat could easily be raised in Venezuela not only for home consumption, but for export.

COTTON

Cotton, although a natural product of Venezuela, was not cultivated until 1782. Its output became important during the Civil War of the United States, but after that event and the subsequent great decline in prices of this staple product, the industry was gradually abandoned. The cotton tree attains the height of a shrub and under usual cultivation produces in Venezuela more than in the United States. At the beginning of 1800 the average exportation of cotton was 450,000 kilograms a year. In 1850 the export of cotton was of 300,000 kilograms and in 1888 of 57,000 kilograms. In 1913, 267,300 kilograms of cotton with a commercial value of $72,120 were exported.

Cotton grows in nearly the whole territory of Venezuela, but the best results have been obtained in the States of Aragua and Carabobo, which produce 54% of the total Venezuelan crop.

The farmers sow cotton when they plant corn or beans during the month of July and the crop of cotton begins to be gathered at the end of the month of November or the beginning of December. This depends upon the time when rains permit the sowing. The crops of corn or beans pay the expense of the whole cultivation of the cotton and the only outlay in the raising of cotton is the gathering. It is estimated that the production of cotton in Venezuela in normal times, excepting droughts, locusts, etc., amounts to 7,000,000 kilograms in the seed. There is an average of 28.5% cotton in the seed, therefore, 1,995,000 kilograms of seeded cotton are produced. The cotton seeds which were sown in the month of June, 1918, began to give a crop in the month of December of the same year, and the gathering of said crop ended in the month of March, 1919. It has been estimated that this crop produced a total of 1,995,000 kilograms of seeded cotton grown in the various states of the Venezuelan Federal Union.

The price of cotton in Venezuela during the last eight years (1911-1919) has fluctuated between Bolivars 70 to 150 per 46 kilograms. The last price of 150 Bs. per 46 kilograms was the one paid at the end of the 1919 crop, due to the high price of cotton in the United States, the country producing the greatest amount of cotton in the world.

Since Venezuela produced in 1919 a total of 1,995,000 kilograms of seeded cotton which were sold at an average of 3.25 Bs. per kilogram, the total value of the Venezuelan cotton crop amounted to Bs. 6,483,750 ($1,296,750 American gold).

Venezuelan cotton is classified as Cotton No. 2. (Egypt produces cotton No. 1.) Due to the difference in seeds, soil, cultivation on a small scale, etc., Venezuelan cotton is mixed in such a manner that a standard quality of uniform length of fibre is not obtainable in a given lot. For this reason the price of Venezuelan cotton is always somewhat less than that of the medium class cotton from the United States.