The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-07-17
We LOSE FOREIGN MARKETS.
FACTS FROM "DAILY CONSULAR
AND TRADE REPORTS"

| In South America European Manufacturer
Control the Markets Only Becauss
they Furnish the Oh eaper Goods
which the People Can AfTOrd to Buy.
WASHINGTON July I8.--The issue OF the
Daily Consular Reports, which has been
q feature OF tho Department OF Commerce
and Labor, will show an improvement
beginning tomorrow, that will be appre-
ciated by the commercial world. The title
Of the report will hereafter he the Daily
Consular and Trade Reports
In the future the daily issue will carry
not only the reports Of American Consuls.
but will have department Of commercial
and trade news, and comment. made up
from authoritative but unofficial sources,
which Is likely to prove very valuable.
This innovation is the idea Of Major John
M. Carson the new chief Of the Bureau OF
Corporations. The bureau issues about
5000 copies daily OF this pamphlet.
Mr.. Lincoln Hutchinson, special agent
Of the Department Of Commerce and Labor
who is investigating trade conditions in
South America, in his first report written
from the State of Pernambuoo, points
out the reasons why European manufac-
turers have advantage over the Americans
in that market.
-The Great Western Brazilian Railway
controls the lions share Of the 500 odd
miles of railroad, he says. at is an Eng
lish concern"
He says that the equipments Of the road
are imported from England and that the
equipments Of cotton factories and sugar
mills are of English make.
mot only Is i true that the industrial
draw their equipments from Europe" he
says, but most of the employees, mana
gers, superintendents clerks, operatives.
&c. naturally purchase goods to which
they have been accustomed at home, and
American goods, even though they may
be better and cheaper, are likely to be
overlooked"
Agent Hutchinson says the French have
practically the entire market for. canned
butter because the Americans have not
1t will keep as we'll in a tropical climate az
the French. The small French tins are
also more readily salabe to people whose
poverty precludes their buying a large
quantity at time or using it rapidly.
Another reason offered for the failure OF
is the extreme poverty" of the consum-
ing classes, who "cau afford to buy only the
cheapest and fmsiest grades of commcd-
tiles, and most of the American goods
offered are too good Tor them. he a0CfS.
Some of the articles used here. even in
the hest hotels (such as. candlesticks, forks
and spoons inkstands, &c.). are of a kind
which it would be difficult to find even in
the poorest homes in the United States.
To the mass Of the people, the price of even
these almost worthless articles il pro-
hihitive. Yet these goods are Of kind
which it Is not an uncommon thing to see
in use among the peasantry Of Europe,
especially in Germany"
The report quotes a former consular
officer and an attache of the Philadelphia
Commercial Museum
"One of the great obstacles to the pro-
motion of our trade which haue come to
my notice through the experience mem
toned is the fact that the American manu-
factllrer having a surplus in any way,
makes a dash for the foreign market
through the superiority OF his goods creates
a demand. and then. as soon as the home
market consumes this surplus, ignores en-
tirely the foreign demand which he has
created and destroys promising market"
Consul-General Guenther Of Frankfort
has discovered that the German people are
raising the same cry against trusts and
syndicates that is often heard in this coun-
try. He says:
Complaints come from many Industries
that the trusts and syndicates sell their
products to foreign manufacturers at much
lower prices than they compel German
industries to pay. thus benefiting foreign
competition and iniuring German exports
of manufactured articles, where labor
forms the principal item of cost