Evening star., 1922-08-17
TREND IS UPWARD
|NLAT|N AMERICA
Federal Bureau Reveals
Trade Conditions During
Fiscal Year.
REIMBURSEMENT IS FACTOR
Survey Reports Many Signs
Which Promise an Improvement
in Commercial Situation.

Latin American trade is clearly on
the upward trend despite the sharp
decline in the flow of commerce be-
tween this country and the southern
republics during the past fiscal year.
according to a survey of the situa-
ton made today by DR.. julius Klein:
director of the bureau Of foreign and
domestic commerce Of the Commerce
Department
Readjustment from abnormal con-
ditions he found to be mainly re-
sponsible for the reduction of Latin
States from $1.l31. 100000 in 1921 to
1861 100000 in 1929, and the decline
in exports to South America from
$l.3o3. 900. 900 in 1921 to $49S.o00,o00
IN 1922. There has been. he declared.
some unjustified alarm over the
marked decline as shown by the re-
cent figures. but the causes of this
REDUCTION are in no sense ominous.
Period Of Readjustment.
The twelve months in question"
Dr. Klein said. simply represent a
period Of read djustmer.: from year Of
abnormal and, in many ways, un-
healthy trade imitation down to the
proportions justified by the normal
economic relations among the Ameri-
can republics. The beginning of 1921
found on hand in the United States
large stocks of most of the raw ma
terlals coming from Latin America.
and during the period of readjustment
the consumption of these stocks and
the demand for new ones was slow.
Like conditions preva l in Latin
America with respect our goods.
The beginning of the year found
the merchants of that region over
stocked with imported goods. much Of
which had been ordered in 1919. but
IAln RI
swell the trade figures of that year.
One Remarkable Gain.
There are. however. many signs
which promise an early improvement
In the situation. The Argentine grain
and hides exports have shown a re-
markable gain from January to July.
l922, as compared with the same
period In 1921. The Brazilian govern
ment recently reinaugurated the val
the planters at prices which enabled
them to meet part of their obligations.
SO that prices are now bringing a
profit to plantation owners.
In the summer of 1921 the foreign
consumers of Chile's great export
stocks to meet their needs for a year.
But this situation has changed and
Chilean trade is now showing a steady
improvement. as the result of the first
appre ciable movement OF nitrate since
1920.
Sales IncreasinE Steadily.
Similarly. the markets for practi-
cally all other Latin American ex-
ports now show a decided improve
ment over those of a year ago, and
our sales to the southern republics
have, therefore. been increasing stead
lily since October. 1921. when they
reached their lowest point in recent
years. Our exports to the ten repub-
lies Of South America were on the de-
cline during the first six months of
1921. but they increased steadily dur
ing the first six months of 1922. For
example, our sales to Argentina, Bra
zil and Chile in January. 1922. were.
respectively. 25 per cent. II per cent
and % per cent of our sales to them
in January, 1921. In contrast with
this is the showing for June, 1922. in
which month our shipments to those
countries were. respectively. 122 per
cent, III per cent and ISL per cent OF
those made in June. 1921.
The value OF American trade in
both directions for the first half of
1922 was two-thirds greater than in
the first half of 1914. which is sig
nificant gain even after allowing for
changes in price levels during the in
terval."