Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-08-18
GREAT ENTERPRISES
That Uncle Sam May Foster in
South America.
SECRETARY ROOTS TOUR
Suggests Valuable Opportunities to
This Country.
AN INTERNATIONAL BANK
Would Serve as a Commercial Agency
for Americans-Railro Built
by Yankee Engineers.

Copyright, 1906 by Frank G. Carpenter)
Secretary Roots South American tour
will be of great value to the United States
1t will give the government live idea Of
the possibilities of the Spanish-American
republics, and of the necessity of pushing
our commerce there if we are to hold our
own with the Germans, the English and the
Italians. Our Secretary of State Is close
ly associated with the great financial in
situations of the country. He knows every
big capitalist and his little head is packed
with practical business brains He will
meet the leading financers Of each re-
public. and will be able to point out many
fields in which good, hard American dol
lars 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 IJru-
quay and Argentina One project which
he is almost sure to advocate is the estab-
Hshment of a great international bank to
do business between the United States and
the eastern republics of South America
Our trade with that part Of the CONT
nent amounts to more than s1OO. 600. 600
year, and the most of it is carried on
through England. which charges about /
per cent toll for it's banking facilities.
An International American Bank.
An International American bank would
have its head offices 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 it's interna-
tional business, and 1t would serve as a
commercial agency upon which Americans
could call for the standing of the business
firms 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 10
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 100000. and the London
and Brazilian bank about $s.OOOOOO. There
are strong Italian banks in Buenos Ayres
and Rio and the Brasilianische Bank
which has houses at Rio de Janeiro,
Of 100000 marks or $4,000, 900,
while the Deutsche Uberseeische Bank,
operating in Buenos Ayres and Valparaiso
has capital of $5,000.000. The native ana
large sums. The capital Of the anco Popu-
lar Argentine and the Banco Espanol del
Rio de la Plata is $20,00OOOO, and that Of
the Banco del Commercio. including it's re-
serve fund, Is over $5,OOOO00. An Ameri-
can international bank could be run In con-
nection with one Of our big financial insti-
tutions of New York and large capital
could be employed. The bank would get
the bulk of the American exchange at the
start and 1t would steadily increase in its
business and profits.
An American Steamship Line.
Secretary Root will undoubtedly advo-
cate the putting on Of a line Of fast steam
ers from New York to the Atlantic ports of
South America. This has long been urged
by our ministers and consuls 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
subsidizing such q line believing that it will
eventually pay. The trade already amounts
to far more than 100000. 900. We buy be-
tween $50, 100000 and $90.OO0.OOO worth of
stuff from Brazil alone every year and we
ship there goods to the amount OF
$4,000, 600 and more. The great bulk
of our imports Is coffee, but, with
rapid steamship connections, our ex
ports to Brazil would increase. From the
Argentine we buy from $25,O00O00 to $780,
100000 worth of goods every year. and in
1905 our sales there amounted to almost
$18000.0O0. we have also considerable
trade with Uruguay. SO that line Of ex-
press 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 great part Of
our imports are carried in German or Eng
lish steamers. Both the English and the
Germans are doing all they can to increase
their steamship connections with the yari-