The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-04-14
FOREIGN BUYERS
AWAIT PRICE WAR
Vicente Gonzales Tells Balti-
moreans of Difficulties
Before Exporters.

BALTIMORE, April l5.-That foreign
buyers have held off expecting to see
AMERICAN exporters start price war in
the strenuous competition which was
expected to follow the war was the opin-
ion expressed here by Vicente Gonzales,
speaking before the Importers and FIX
rorters Board OF Trade at Emerson
Hall.
MIR Gonzales spoke as the repre- senta-
tive of the Mercantile Bank of the
Americas, and emphasized the impor-
tarce of extending credit in developing
foreign business at this time. and
warned business interests OF the dangers
of ccIstrictlng trade in general,
THE wider distribution of wealth IN
foreign countries" said Mr.. Gonzales
must precede any great development in
our export business Muon Of the pros
por.ty abroad 10 due TO rises In prices
CT raw materials concentrated in the
hands of a few The people except in
few cases. have not benefited by such
high prices. When this has taken place
and when American exporters have
seen A. TO make liberal extensions Of
credit predict the greatest boon In for
eirn commerce that this country has
ever seen.
which are keeping trade more or less In
state Of paralyzation. We nil have
been disappointed when the oessa ton OF
hostilities not only did not bring us
food or orders from all over the world
but on the contrary brought us cancel
lationg by thousands.
Every few people can explain why
.hings were 90 reversed The different
opinions expressed. far from explaining
81 am afraid ] am only going to add
IN this confusion in expressing my opin-
ion as to the cause Of the present stag
nation. But must make deductions
from my own observations.
I'VE all know that during the war al
most all stocks OF foreign merchandise
have been more or less consumed. Dill
culties in procuring credit and transpor-
tation, export restrictions. shortage Of
somo manufacturers and disturbances of
exchange have prevented the people or
all countries from importing enough
goods for actual consumption, and al
most all merchants have been clearing
up their stocks OF goods salable and I'M
saIablc at very satisfactory prices.
They sould be, therefore, to-day in a
splendid position 10 buy again. In fact
7 believe they nrP. But they have been
paying fancy priCes-war prices--and
they expected that almost at once the
excess price would he eliminated and
that they could buy much cheaper.
"Precaution or natural commercial in
stinct warned them to keep away for
while. They all knew that Europe, In
spite of statements to the contrary, could
not supply any quantity Of manufactured
goods for some time. They also knew
that ships could not be released at once
for peace time trade. And IL was not
on our European competitors that they
counted at all,
They expected that American export
ers could undersell themselves and that
the best policy was to wait. They are
still waiting, because the fall in prices
has become effective only on very few
articles.
because they are waiting manutac-
turers also are waiting, and they are
keeping the unemployed waiting also,
and all together are producing an un-
pleasant and perhaps alarming restless
ness In trade.
They cannot wait much longer. az
! the people do not stop consuming, and
! they must have goods and importers
will have 10 provide ther1.
| THE desire Of foreign buyers to turn
their trade back 10 Europe In avcngtg Z
cur impertinent demand for cash during
| the war has also lot to do with this
! situation.
! Those who had long standing credits
| in England, France and Germany and
at the same time were refused even .