National Republican. (Washington City (D.C.)) 1872-1888, 1881-02-08
Interoceanic Canal.

lnteFOcean1c Canal.
Captain William Lawrence Merry, a
member of the San Francisco Board of
Trade, wrote the following letter, dated
January 10, to friend in this city:
The San Francisco Produce Exchange have been
taking account Of stock of wheat remaining in
California ON the 1st of January. The stock is
found greatly in excess of their anticipatiOns and
shows that we shall have for export during this
crop year about 200 900 tons and Oregon about
25O,OOO tons, with prospect of a larger crop next
year. Our estimate in Board of Trade supplement-
airy report was 100000 tons for California and
100000 for Oregon. send these figures as an indi-
cation of what may be expected by the time the
Nicaragua canal can be completed Viewed IN
contrast with Nimmo's ideas, how absurd is his
fear of a want of tonnage to support a canal! The
gentlemen who are interested in the Nicaragua
canal have at least one thing which need not
trouble them Let them complete the work, and
California as well as the whole Pacific coast will
furnish them all the tonnage they will want to
handle Eastward.
Certainly this is remarkable exhibit.
And when we remember the many other
products of our west coast, among
which we may name the wine of Califor-
MIA and the spar and other timber of
Oregon, which cannot afford to pay rail-
road freights, we see that Captain Merry
is not unreasonable in regarding that
trade alone as quite sufficient to main
tain canal, without considering the
other traffic, enormous in amount, that
would naturally seek the canal route, and
thus leave the stormy region around
Cape Horn almost unvfsited by man.
We may fairly assume double transit
through the canal of all the shipping re-
quired to move the wheat and other pro-
ducts of our west coast, and that the vessels
would either find more valuable cargOes
or take coal to that coast, for which there
is always demand at fair paying price.
Supposing the freight capacity only as
chargeable, and that to be $3.50 per ton, a
double transit would make the round sum
of S7,2500O0; deducting S1,000000 for
more than that of the Suez Canal, we have
net revenue of S6,250,000 on the capital,
or more than seven and half per cent,
should the cost of the canal, when COM
pleted be double the estimate of the en-
gineer, or $S2,OO0,OOO, and it is altogether
probable that it will be well within that
figure. 1t does not admit of doubt that
the traffic passing through the canal from
the west coast of South America. from
Australia, New Zealand, the Sandwich and
Philippine Islands, from Japan and the
northern ports of China, would be yet
more considerable than the tonnage re-
quired to move the wheat of California
and Oregon.
But the question of most interest is not
SO much the success of the canal, beyond
making it commercially feasible, as the
benefit we may hope will accrue to the
producers and shippers from the west
coast, and, refectiyely, by enabling them
to supply themselves with the products
and manufactures of the Atlantic coast.
. This year the average freights from
San Francisco to Liverpool have been SIS
per ton, making total for the wheat
crop indicated for export of 26,100,000.
The voyage through the canal would be
made by an auxiliary screw steamer in
about one-third the average time of a
sailing-vessel via Cape Horn. A freight
charge of S11.50 per ton, which would be
half that of the sailing-vessel by Cape
Horn, with the canal dues added, might
certainly be deemed large. Supposing
these rates of freight and canal dues,
which we may admit are altogether too
high, and much higher than they would
be after a regular traffic was established,
there would still be a saving of $9,425,000
on the freight as compared with Cape
Horn; also at least two months decreased
length of voyage, a less rate of insurance,
&c, which, ,consideredasa whole, wouldre
duce the cost of getting their wheat to the
market about twenty-five cents per bushel,
and fully one-half of what is now paid
via Cape Horn.
We need not wonder that the producers
and shippers on our Pacific coast are
looking anxiously for congressional action
in the incorporation of the Nicaragua
Canal Company. 1t does not ask any
bonus, guarantee of bonds, or support not
now provided for in our treaty with the
the government of Nicaragua. This may
be regarded as plain business transac-
ton, involving no Government liabilities
in the. future.
THE site of the permanent city post
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