Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1914-11-24

OI Ine WOrlQ WAS absolutely |
crippled and many manufacturers who |
had not realized that there business
was in any way dependant on foreign |
trade found themselves confronted by
a declining market. The shipping of
the world was entirely disorganized
and is not to-day adequate to meet
the demands of the worlds business.
Our cotton, which was marketed to |
a great extent In Europe became un-
marketable and the price which was
expected to be somewhere about 2
cents, dropped to cents. In n similar
way the products OF South American
countries which are mainly staple, |
raw materials and which were largely |
marketed in Europe, failed to find
their usual markets and stagnant
trade was the result in these coun-
tries.
Gradually. howevet, there has
come resumption in trade and COM
merce and shipping has been resumed
in limited way. Tremendous war
orders have come in from the compat
ant nations to swell our exports. The
credit of the worlds is gradually read
tusting itself by different means in this
country. The South American coun-
tries, however. remain in a critical
condition, without money and with
out credit.
The Nations Chance
THE United States can make great
decision which will undoubtedly, enor-
mously extend her markets. She can
take advantage of this opportunity or
she can let 1t go and lose the great ad-
vantages from her position as the only
great nation of the world which is now
at peace. 1t is not an opportunity,
however. which can be realized with
out an effort. but it Is only with a |
supreme effort on the part of the
United States that we will be able to
ltake advantage of the opportunity
which is presented. We cannot real
iZe II by attempting to lgo into South
America and sell our manufactured
goods. The people in these countries
have no money with which to purchase
and we must find way to help them.
We can do this by one of two ways,
We must either furnish South Amer
lean countries with the funds to mar
ket their products. or we must extend
to them practically unlimited credit.
If we are able to rise to this occasion,
we have made the South American
countries our commercial friends. We
have opened the way for permanent
! ly large business in these countries. If,
however, we fail to meet the situation,
we have lost our great opportunity.
THE situation is perfectly clear.
The South American countries are pro-
ducers of staple raw materials, which
were marketed in Europe. On the
opening of the war they could not
market their goods and prices have
increased enormously. The South
American countries are in the same
position as our Southern States. They
have great quantities of raw material,
but not market and consequently no
money. They cannot, therefore, hope
to sell our manufactured goods until
in some way or other we have sup
piled these countries with money orl
credit.
Must DO Something
1.-THE remedy, however. can only be
determined after careful study. 1t
may be that we shall have to make
a loan to the various South American
governments. Maybe the banks OF
this country will find it possible to
place a loan with the South American
banks. taking warehouse receipts as
security the establishment of branch
banks will to some extent relieve the
situation: the inauguration of more
direct of dollar exchange will exist.
Finally there must be a fundamental,
far reaching change in our banking
arrangements as they affect foreign
trade.
1.-THE point is, that we must do
something, something fundamental.
something which is the result of de-
! lliberate, mature and expert thought
and we must do it quickly. To inform
! businessmen in a general way the
and to tell him that he must be eau
| tious at the present time is rather SUI
perfuous advice, as the businessman
is always cautious in the event of a
strained financial situation.
What we need in the development
of our foreign trade is common sense,
or business sense: there is nothing
systerious about the development of
our foreign trade. as matter of fact.
the fundamental business principles inl
foreign trade are exactly the same as
the principles which govern domestic
trade"
Afternoon Session
Mayor Royal made the address of
welcome this afternoon. The speakers
were w. S. Hies manager of the for
eign department of the National City
Bank, of New York. and the foremost
authority in the country on foreign |
credits; Dudley Bartlett, chief of the
foreign trade bureau of the Philadel- |
phia Commercial Museum. which has
an exhibit at the conference.
Our Changeable Tariff
In closing the morning session |
Chairman Watt said Mr.. Barrett, in
referring to the annoyance of the
shifting tariffs and sudden changes in |
the Pan-American countries, had not
mentioned the fact that we have in |
the United States a similar situation
in our own Interstate commerce |
Commission on which the South |
Americans had nothing in the matter
of tariff changes.
Governor Tener has invited a few
gentlemen to meet Mr.. Barrett infor |
mally at dinner this evening.
Luncheon For the Speakers
All of the four principal speakers
at to-day's conference were guests OF
honor at four luncheons, given at the
Harrisburg Club at l o'clock this af- |
ternoon.
John Barrett, director general of the |
Pan American Union was the guest of
Francis ]. Hail. Other guests at this
luncheon were Donald Mccormick, !
M. c. Kennedy, president of the
Cumberland Valley Railroad; ]. V. w.
Reynders, vice-president of the Penn
sylvania Steel Company, and A. b. |
Farquhar president of the York !
Chamber of Commerce.
Il. T.. Pratt chief of the United
States Bureau of Foreign and Domes-
tic Commerce, was the guest of the (!
following committee of railroad otil- |
cials:
W. F. Rose, division freight agent
Pennsylvania railroad. chairman; the
PENNSYLVANIA division freight agents
at Baltimore, Williamsport, Altoona; |
the general freight agent from Phila- |
deInhia and industrial agents from