The Logan Republican. [volume] (Logan, Utah) 1902-1924, 1920-09-09
IN PANAMA

1870 ~ " w
-r-s-.--ss----..s-.---.....
Panama begins to repeat the story
OF Seuz. Concerning both enterpris-
es 1t was confidently predicted that
they never could pay operating ex-
penses. That was the confident con-
viction Of many Of the firemoet en-
gineers, merchants and financiers Of
both Great Britain and the United
States. When the sues canal was
CONSTRUCTED. not Q capitalist in eth
er Of those countries would invest q
cent in 1t. Yet the Sues company
has repeatedly had to reduce its tolls
ia order to keep it's profits within
the very liberal limits which It's
charter permits for dividends: and
the shares which, thanks to the gen
ius of Frederick Greenwood and
Ben jamin Disraeli. the British gov
eminent purchased for four million
pounds, are now valued at thirty
millions.
There were. as we have said, sim
liar predictions Of failure at Panama
In the early years Of that canal there
were deficits. which In time accum-
ulated a for midable total. But In
late years. steadily Increasing surplus
es have cut down the deficit. and
now promise soon--perhaps In an
other year--to wipe 1t altogether
from the slate. For the last fiscal
year. 1920. the revenues Of the can
al were $500. 900. and the expenses.
including the whole cost Of civil ad-
ministration Of the Canal Zone. sani-
tation. roads. and all the rest. we're
$3.50, 900; leaving a surplus to the
coed of s2.150.00o.
Those are. 1t Is true, the figures
for. operation only. No account is
made in them of interest on the can
al bonds or of depreciation OF plant.
But that will come in time. with
net profits on operation OF more than
two, millions a year, the canal will
before long begin 10 be able to pay
interest on the Investment. Consi-
derable as its traffic issit is stilll
small in comparison with that al
Suez. and with what we may conf
IDENTIFY expect it to become at Pan
anna. In this last fiscal year the
traffic was the largest on record. 1t
comprised 2.47s commercial vessels
with an aggregate tonnage OF s.,
545.653 tons. This was only trifle
more than that at Suez in the worst
OF the war years and was less than
half in number of vessels and two
fifths in tonnage of that at Sues In
normal years before the war.
But like that at Sues. the com
merce Of Panama will grow. 1t would
be an indelible reproach to US II We
did not ourselves cause It to grow
enormously. The canal Is an import
ant highway Of traffc in many direc-
lions. but chiefly 90 far as we are
ouerned. betwssa our eastern snu
western coasts, and between our east
ern and southern ports and the west
coast OF South America. We must
bear in mind that while our own
eastern and western coasts are con-
nected by rail as well rs by ocean
waterway, communication between
this country and South America is by
shipping alone. Note that from New
York to Callao by way of the Horn
Is 9,700 miles, and by way OF Pan
anna only $3.50 miles. Note. too,
that in the normal years just before
the war, of Peru's sixty-seven million
of foreign commerce we had only
seventeen millions: and that OF
Chili's two hundred and fifty-one
millions we had only thirty-two mil
lions. In those figures alone reside
suggestion OF complete success at
Panama. Weekly.