Omaha daily bee., 1906-08-19
Copyright. 1906. by Frank @. carpentsr.)

NCopyr1gnt, lsO5, Dy FRANK -. CarpentcrsJ
TAsHINGToN. Aug ts.-(special
I~I Correspondence OF The ee.)-Sec-
retary Roots South American
S44tti tour will be Of great value TO the
United States. II Will give tho
government a live idea OF the possibilities
of the spansh-American republics and Of
the necessity OF pushing our commerce
there ~ we are to hold our own with the
Germans, the English and the Italians
Our secretary OF state is closely associated
with the great financial institutions of the
country He knows every big ca apitalist and
his little head is packed with practical.
business brains. He will meet the leading
hDehciers OF each republic, and will be
able to point out many fields in which
good. hard American dollars can be sown
TO yield an hundred fold. He has already
discovered this at Para. the center Of the
rubber industry and the metropolis of the
Amazon and also at the big cities along
the east coast of Brazil. and he Is now
about to see something Of Uruguay and
Argentina. One project which he Is al
most sure TO advocate is the establishment
OF a great international bank to do busi-
ness between the United States and the
eastern republics Of South America. Our
trade with that part of the continent
amounts to. more than s100,ooOoo0 year,
and the most Of It is carried on through
England. which charges about per cent
toll for Its banking facilities.
International american Bank.
An international American hank would
have its head ofices at New York. Rio and
Buenos Ayres and branches at the differ
ent Brazilian centers. 1t might do a big
local business in addition to its interna-
commercial agency upon which Americans
could call for the standing OF the business
Arms Of the various countries. 1t would
probably pay big dividends. as Is now the
case with almost every foreign bank in
Atlantic South America. Many of those in
Rio and Buenos Ayres pay from to 1e
per cent, and some give per cent on de-
posits which are left for six months or
longer These institutions are operated
with large capital The Anglo-Argentine
bank has over s2ooO.ooO and the London
and Brazilian bank about ,S.00o000. There
are strong italian banks in Buenos Ayres
and Rio and the Brasilianische bank. which
has houses at Rio de Janeiro. Sac Paulo
and Santos. has a capital of 100000 marks
or s25oo.0o0 while the Deutsche Ubersee-
ische bank. operating in Buenos Ayres and
Valparaiso. has a capital of s5,00o,0oo The
native and Spanish banks are operated
with similarly large sums. The capital OF
the Banco Popular Argentine and the
Banco Espanol del Rio de la Plata is s2O,-
10000. and that Of the Banco del Com
merco, including its reserve fund. IL over
100000 An American international bank
could be run in connection with one of our
big financial institutions OF New York and
large capital could be employed. The bank
would get the bulk of the American ex-
change at the start and It would steadily
increase In Its business and profits.
American Steamship Line.
Secretary Root will undoubtedly advo-
cate the putting on Of line of fast steam
.ers from New York to the Atlantic ports OF
South America. This has long been urged
by our ministers and consuis from both
Brazil and Argentina as a necessity to the
rapid increase OF American trade. I under
stand that the several governments Of
South America would be glad to Join with
us in subsidising such line. believing that
II will eventually pay The trade already
amounts to far more than s1oO.oo00oo. We
buy between ssoooo.o0o and 500 900 worth
Of stun fror. Brazil alone every year and
we ship there goods to the amount of
$4,000, 900 and more. The great bulk OF our
imports is coffee. but with rapid steamship
connections our exports to Brazil would
increase. From the Argentine we buy from
tB.o0o. 900 to 900 worth Of goods every
year, and In 1905 our sales there amounted
70 almost $16.0ooO0o. We have also consid-
able trade with Uruguay, 80 that a line
OF express steamers would have plenty
to do. At present much of the goods
which are shipped from the United States
to South America go via Europe. and a
great part of our imports are carried In
German or English steamers Both the
English and the Germans are doing all they
can to increase their steamship connections
with the various South American coun-
tries and the Germans promise to acquire
monopoly OF the carrying trade
Indeed the kaiser has earned his title as
THE Great International Drummer" He
has. in quiet way. equipped many expe-
ditions like that of Secretary Root. al
though he has not yet sent a secretary Of