The Birmingham age-herald., 1906-11-21
ROOT TALKS ON
 FOREIGN TRADE
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 ~-~-~~--~-o~-o~~~~~ the people of the two continents are complementary to each other; the South American is polite, refined cultivated, fond of literature and of expression and of the graces and charms of life, while the North American is strenuous, in- 1 tense, utlitarian Where we accumulate, they spend While we have less of the cheerful philosophy which finds sources of happiness in the existing conditions of life, they have less of the inventive facul- ty which strives continually to increase the productive power of man and lower the cost of manufacture. The chief mer- It's of the peoples of the two continents are different; their chief defects are diff ferent. Mutual intercourse and Knowledge cannot fail to greatly benefit both; each can learn from the other: each can teach much to the other, and each can con- tribute greatly to the development and prosperity of the other. A large part of their products find no domestic competi- tion here; large part of our products will find no domestic competition there. The typical conditions exist for that kind of trade which is profitable. honorable and beneficial to both parties.
 Time Has Come.
 Now, however the time has come; both North and South America have grown up 10 Blame 5 pOllcyi lHe plouuCLioli, tho trade the capital, the enterprise of the United States have before them the op- portunity to follow, and they are free to 1 follow, the pathway marked out by the far-sighted statesmanship of Blaine for l the growth of America, North and South in the peaceful prosperity of mighty | commerce.
 "To utilize this opportunity certain prac- tical things must be done. For the most part these things must be done by null titude of individual efforts they cannot l be done by government Government may help to furnish facilities for the doing of them. but the facilities will be use less unless used by individuals; they can- | not be done by resolutions of this or any other commercial body; resolutions are useless unless they stir individual bus mess men to action in their own business affairs. The things needed nave been fully and specifically set forth In many reports of efficient consuls and of highly com petent agents of the department of com merce, and they have been described in countless newspapers and magazine ar ticles; but all these things are worth less unless they are followed by individual action I will indicate some of the mat ters to which every producer and mer- chant who desires South American trade should pay attention:
 Things to Be Observed.
 '1. He should learn what the South Americans want and conform his product to their wants. If they think they need heavy castings, he should give them heavy castings and not expect them to buy light ones because he thinks they are better. If they want coarse cottons, he should give them coarse cottons and not expect th<m to buy fine cottons. It may not pay today, but 1t will pay to- morrow. The tendency to standardize ar tices of manufacture may reduce the cost and promote convenience, but if the consumers on the River Plate demand a different stnadard from the consumers on the Mississippi you must have two stan dards or lose one market.
 "2 Both for the purpose of learning what the South American people want and of securing their attention to your goods you must have agents who speak Spanish or Portuguese language. For this there are two reasons; one is that people can seldom really get at each others minds through an interpreter. and the other is that nine times out of ten it is only through knowing the Spanish language that a North American comes to appre- ciate the admirable and attractive per sonal qualities of the South American, and is thus able to establish that kindly and agreeable personal relation which is so potent in leading to business relati
 B The American producer should ar range to conform his credit system to that prevailing in the country where he wishes to sell goods. There is no more money lost upon commercial credits In South America than there is in North America; but business men there have their own wlys of doing business; they have to adap, the credits they receive to he credits they give. II is often ncon- vcnient disagreeable and some times i'm possible for them to conform to our ways. and the requirement that they should do so is a serious obstacle to trade.
 ITO understand credit il is. of course, necessary to know something about the character. trustworthiness. and commer- cial standing of the purchaser, and the American producer or merchant who have some means of knowledge upon this subject This leads naturally to the next obsery ation have to make.
 Should Establish Banks.
 4. The establishment of banks should be brought about The Americans already engaged in South American trade could well afford to subscribe the capital and establish an American bank In each of the principal cities of South America. This Is. first, because nothing but very bad management could prevent such a bank from making money; capital is much needed in those cities, and six eight and ten per cent can he obtained for  money upon yust as safe security as can | be had in Kansas City, St. Louis or New i York. It Is also because the American bank would furnish a source of informa- tion as to the standing of the South Amer ican purchasers to whom credit may be extended, and because American banks l would relieve American business in South l America from the disadvantage which now exists of making all its financial transactions through Europe instead of directly with the United States. It is un- 1 fortunately true that among hundreds of 1 thousands of possible customers the i United States now stands in a position l of assumed financial and business in i feriority to the countries through whose banking houses all its business has to 1 be done.
 :. The American merchant should ac- l qure himself. if he has not already done so. and should impress upon all his agents that respect for the South American to whcih he is justly entitled and which is