The Providence news. (Providence [R.I.]) 1891-1906, 1905-05-16
TO GET THE
BEST RATES
FOR CANAL

Washington. May 1.-THE executive
committee OF the isthmian canal COM
mission yesterday decided to purchase in
the markets Of the world the material
and ships necessary for the building OF
the Panama canal.
This important decision was reached
with some reluctance. because A. Was ap-
preciated BY Secretary Talt and tho eS-
ecutive committee that there will surely
be a great outcry from two great in
terests In the country-producers Of
material and the ship owncrs--if the pur-
chases were not limited 10 the American
products.
But IL was decided that the money con-
sidcration was so great that II could not
be ignored. for IL was held that i'm cases
fully 30 per cent more would be charged
for material needed in canal construction
than the same goods could be procured
for I'm Europe.
Chief Engineer Wallace for instance,
showed that two ships, in addition to
those running between New York and
! Colon. and owned by the Panama Rail-
road company were absolutely necessary
10 carry the food supplies and material
needed for tho work.
No American ships could be bought at
any reasonable price, and when II came To
| building such ships IL was found. accord
ing TO Secretary Taft's statement, that
whsle he COULD buy two G0oo-ton ships in
Europe for s150eo. II would cost $l4oo0 900
TO build such ships here.
And. i'm addition. while the Euroiean
ships could be had at once. il would take
at least is months to secure american
boats. Therefore. IL was decided 10 buy
the ships where they could be had cheap
est and obtained the quickest.
BOUND TO BE oUTCRY.
As to material needed for canal con-
struction. the committee decided that by
reserving 10 itself the right 10 purchase
I'm the worlds markets II would at least
oblige American manufacturers TO give
them the benefit OF their foreign prices
IL they wish 10 sell goods 10 the com
mittee.
Secretary Taft explained yesterday that
he felt Obliged TO indorse this decision be
cause. having given congress every oppor-
l'tunity TO give a contrary direction. he
felt that the very terms of the canal act
provided that 81 should be constructed at
the lowest possible cost. And in this
/ connection he called attention to the fol-
/ lowing recommendation contained I'm tho
/ fret report OF the isthmian canal COM
/ mission:
IAN important question OF policy is vet
| TO be determined. II the isthmian canal
| commissioners are not bound by any re-
| striction OF congress as TO whore thcy
| shall purchase machinery. materials and
/ supplies, then II would seem TO be their
| duty to construct tho canal as cheaply
as possible. and so To buy what they
need where they can get It the cheapest
This. however, Is certain TO produce
every time that a large contract is
/ awarded to II foreign manufactures OF
dealer. an outcry on the part OF the Amer
can unsuccessful competitors.
IF congress approves the policy Of
favoring American manufacturers and
dealers, even IL Il increases the cost OF
tho construction OF tho canal. then II
seems TO be only just that IL should de-
clare this policy by law and lay down a
rule which the commission can easily
| follow"