Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-11-19

duties. and the nature Of the Jurisdiction
which u to be exercised In the terminal
cities OF Panama and Colon.
When Military Governor Davis estab-
lished United States post offices In the zone
and a two-cent stamp therefore became
sufficient for the transmission OF letters,
complaint was made that the revenues of
the Panama republic suffered serious
loss. But the deficiency hardly could be
heavy one. for the amount of mail matter
originating on the isthmus is not large.
Until the republic of Panama set up, inter-
national mail was an actual source OF loss
to the Columbian government The rate
was ten cents per half ounce. but 1t was
based on the Colombian currency, which at
that time was several hundred points below
par, The ten-eent stamp on the gold basis
actually represented the fraction of a cent.
Question of Customs Duties.
Jurisdiction of the cities of Panama and
Colon is more important and It really In
cludes the questions of the customs duties.
1t is quite probable that the establishment
Of American ports at Ancon or the Pacific
mouth of the canal and Cristobal. the At
lantic entrance. causes complications and
worries the Panama officials about the rev.
enue from the shipping. However. some
mistaken notions obtain in regard to the
customs duties. Naturally Dingley rates
may be expected to prevail in ports under
control of the United States. Yet 1t Is not
by Panama were merely nominal and en-
abled the native merchant to import goods
at very great advantage over ordinary
tariff rates.
duties on the isthmus because Its agrlcui-
tural Industries were not of the KIND 10
need protection. But there was series of
very complicated port and customs duties,
which subjected merchandise imported TO:
consumption to a heavy toll. The hscal
regulations promulgated by the new repup.
lie also provided an ample system OF
charges. The economic problem now is to
adjust these customs imposts to the Ding
ley rates goods imported for consump-
ton in the canal zone.
The Isthmian Merchants.
Most Of the merchants in Panama ana
Colon are not natives and 1t Is doubtful
whether many of them have become cii-
zens of the new republic. They are sub
jects of France, Great Britain, Germany,
Italy and China. They were intense par
tisans of the revolution and contributed
financially to its support. l could walk
down to the plaza of Santa Ana any day
and pick out a dozen foreign merchants
who knew all about the revolution. Their
justification was that everything they had
was at stake. Colombias action In reject
ing the Hay-Herran treaty meant the imam
cial ruin of the iSthmuS and they Joined
with the natives In the measures taken
to end the power of Colombia
While the majority of them were not Co
lombian citizens and have not become Pan
ANA citizens business community
they are an integral factor in the republic
and are entitled to consideration. But their
grievance against the United States tariff
rates is not a very deep one.
They are not doing business for philan-
thropy. and are not concerned in keeping
down the price of living. The promptness
with which they marked up everything
from JOG per cent to 800 per cent showed
bat how
else and We're willing to make the GUS
toner pay all he could for their goods.
The warnings of the members of the canal
commission and the reports of Minister
Barrett have kept a good many people
from going to the isthmus in the expecta-
ton of boom, and it is not SO easy now
to maintain high prices.
Yet the Colon and Panama merchants
have succeeded pretty well, and it may be
said that they have doubled the price of
living for those whose connection with the
canal or with private enterprises requires
a residence the isthmus. They cannot.
therefore complain If the United States
takes a business view of the situation and
declines to become an accomplish in the
scheme for drawing the dollars from the
pockets of those who can ill afford to
spare them.
Lottery Company's Grievance.
While little has been heard of one source
of anti-American sentiment it can be traced
by those who know the local conditions.
This is the Panama lottery. Under the in
srructions of President Roosevelt one of
Gov. Davis first acts was to prohibit the
lottery within the canal zone. 1t could
not be exterminated, but its sphere of per-
nicious activity could be restricted. No
one questions that gambling always will
go on in Panama, and that lottery in
some form will find supporters, yet the
United States, at least. can be relieved