Bisbee daily review., 1908-05-28
SUBSIDIES ID BE GRANTED
 FOR IRRIGATION
The Mexican Congress Passes a Bill That Will Greatly Help Companies, Farmers and the Country in General.

| CII1 OF MEAlCO, May Z6.-A bill was yesterday introduced in the Mex ican congress by the department of finance providing for the granting of subsidies to irrigation enterprises, and a concession for new bank which will allow the farmers to secure long term mortgage loans.
 It is provided that the responsibility of the government as to the payment of subsidies to enterprises of this character shall be fixed in each con cessiOn granted, and the total amount of the obligations incurred under these subsidies shall not exceed S25,- 100000, and shall be paid from special appropriations included every year in the regular estimate of expenditures. The total amount of the bonds which may issued by the banking company, the principal and interest of which will be guaranteed by the govern ment, shall not exceed $50,O00,0 900. The bill is one of the most import ant measure introduced by the gov ernment in the past few years. Its reading was listened to with deep in-
 
 by a full explanation from MT. Ll- mantour, who stated that notwith- standing the fact that the government has proposed some measures intended to relieve the financial situation, these measures are not of a permanent char acter and will not be sufficient to pre- vent similar troubles in the future.
 The government realizes that all plans for the relief of the financial sit uation would not be complete unless some measures are taken to increase home production, to promote indus tries, to encourage agriculture, and to make the country less dependent up- on foreign markets for necessary sup plies. Therefore, the goevrnment urges congress to pass law granting the executive power to act upon the following points:
 To grant subsidies to irrigation works, and to secure by the most CO.,, venient means the establishment of institutions to give the agricultural en- terprises as we'll as export products industries, and especially those which use upon a large scale the natural re- sources of the country, the greatest possible facilities for the obtaining of long loans at moderate interest
 The use of this power would be Ca ercised under the following provisA ions:
 The subsidies shall be paid on hes tareas of land liable to irrigation U. On cubic meters of water kept in dams when either result has been obtained under concessions granted by the de partment of fomento.
 The government may grant for term of not to exceed ten years free importation of agricultural imple- ments, cattle for breeding purposes, materials, seed, and all products which the department may determine upon and name i3 the concession, after having consulted with the department of finance, and the latter department IS convinced that 1t is impossible to obtain similar products as cheap and good in the home markets as abroad.
 The government may guarantee that for term not longer than ten years lproducts from such irrigated lands are granted freedom from export duties. | The appropriation of land for irriga- tion purposes shall be made upon the same basis as provided in the railroao 1 law.
 The institution intended for the loan ing of money to agricultural and in- dustrial concerns under this law shall be organized in the form of "socie- dad anonima," according to the terms of the commercial law and on the basis fixed by the department of f. nance.
 The government may grant to such companies the same facilities and ex- emptious as provided in the banking law, and many also grant to them power to issue bonds backed by gov, ernment guarantee, obtaining in return such advantages as the government many consider convenient.
 The terms of the concession grant ed to such companies will be such as to determine the rules according to which the loans shall be made to those enterprises which may be beneficial to lthe development of natural resources of the country as referred to in the law.
 The loans shall be made on mort gages or collateral guarantee formed by first class securities, or with the en- dorsement of any chartered bank.
 The time of the loan snail not ex- ceed fifteen years and the rate of in- Iterest charged fer the loan shall be Tmoderate, and ia proportion to the in- lterest, expenses, and redemption of the bonds issued by the company.
 The bill was submitted to the com Imit:ee on credit affairs, and will come IUp for discussion in a few days.