Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-03-22

while anxious to see the Panama canal
prove success. is loyal to the Tehuante-
business for it in spite Of the opening Of
the canal.
4 i
That the Panama canal will get the
major portion of the through cargo busi-
ness now be
Canal Will Not ing handled
Ruin Roads Business. !, ~ 'ne nec
route is generally conceded, and were
there no other business in prospect to
take it's place the outlook of the Te-
huantepec route would be gloomy indeed.
But one Of the notable things in connec-
ton with the approaching completion of
the Panama canal Is the confidence of
all Central America that it means an
era of unbounded prosperity for the west
coast. The same feeling prevails in west
ern Mexico and in the Pacific states of
our own country, and the whole, financial
world shares It, This means that mil
lions OF tons of new freight. will be
created. Some of this will go forward in
full cargo shipments and another cart of
1t will be made up of small consignments.
The management of the Tehuantepec
route practically conceded all full cargo.
business to the Panama canal. But, they
point out, a ship will come down the
west coast with a cargo made up of ship
ments to New York, Liverpool, Ham
burg and other points. This cargo will
have to be transshipped somewhere. and
the Tehuantepec route can perform that
service more expeditiously and as cheap
ly as the Panama canal. So they expect
to get enough additional business to
make up losses.
- +
The Tehuantepec route. affords a saw
ing Of about 1.2O miles between Atlantic
and Pacific ports
Affords Saving in temperate zone
.f,1 nnx sr:I.. territory, as coGl-
OF l,SuV Miles. pared with the
Panama canal. On ordinary steamers this
means four days. Today the rate across
the Isthmus Of Tehuantepec is between
- and s. a ton. This affords a good
profit on operation. The actual cost of
handling the freight at the two terminals
amounts to approximately $1.75. The rate
which can be made when the competition
Of the canal is encountered will have to
include this amount and the cost Of haul
Ing the freight two hundred miles be-
tween ports If they can haul it as cheap
~ as the average in the United States,
this expense will be approximately 81 go
per ton, making total expense OF 1885
per ton. Add to this the reasonable profit
and the resulting rate per ton will be
close to 81.
It il thought the tonnage toll through
the Panama canal will be 81 per ton, net
register: that is. ship will be charged
for 2. full cargo whether she has 1t
aboard or not A ship capable Of car
ryihg 5000 tons Of cargo would be charg-
ed 5000 for passing through the canal.
even If she carried only $500 tons of
cargo. At Tehuantepec the charge would
be on the amount of cargo actually hand
led, As It takes approximately two days
to transfer "a cargo. the net gain OF time
over the Panama route would be two
days. or possibly three, counting usual
delays.
The most profitable business handled by
the Tehuantepec route Is that carried to
1t by the American Hawaiian Steamship
Company. whose ships formerly sailed
around Cape Horn. The Tehuantepec
route guarantees the steamship company
a certain profit ON Its tonnage Of through
freight, The agreement Ia that tn steam
ship company shall have two-thirds Of
the through rate and the railroad one.