The Bozeman courier., 1926-10-08

the Suez route, while "a nations were
represented in the maritime caravan
at Panama
The World War was not the only |
unexpected factor in bringing Pana-
ma 80 quickly to equality with Suez, |
nor the most important The enor-
nous increase in Panama traffic in !
1923 was represented almost entirely |
by petroleum and its products, NOV
ing from California to the east coast |
and Europe. In the year ended June
sc, 1924. tolls aggregating $24,290,00O
we're collected. of which s9,071, 900
was from tankers carrying petroleum.
An even more striking statement OF
the matter is that for the same year
exactly 80 per cent Of all tonnage
through the Canal was between the
two ocean fronts of the United
States that is, 19,5OO.OOO tons; and
of this. considerably over 100000
tons. Or more than two-thirds was Pc
troleum 1t was OF course chiefly
from California, en- route to eastern
refineries. In the succeeding year
this petroleum movement fell on
heavily; but for 1926 it is again in
creasing and the increase is likely to
continue for many years. But for the
petroleum traffic. the Canal would
have shown a deficit in every year of
fits operation.
The enormous petroleum business
has been in other ways advantageous
| to Panama A constantly increasing
proportion of maritime shipping now
adays uses oil fuel Oil-burning ships
seek routes on which they can most
cheaply buy oil; and because Cali
fornia oil can be put so cheaply into
the bunkers of vessels passing
through the Panama ditch, there
is a substantial inducement to
prefer this route. This will In
creasingly favor Panama and mill
tate against Suez, as the number
OF oil burners increases. Moreover,
Panama's advantage viii still further
increase as the enormous oil re-
sources OF Venezuela, Colombia, and
other South American countries
are developed.
Great Service of Panama
II cheap petroleum has thus served
Panama so well, Panama in turn has
equally served the American motor
list, who consumes most Of the worlds
petroleum products. For Panama has
, brought the Pacific Coast petroleum
to the eastern market at costs which,
but for the Canal, would be vastly
greater. Thus the Canal has given
the United States the cheapest Pc
troleum products in the world, and
! helped build the automobile industry
and our modern highway system.
This mutually helpful Relationship
between the Canal and the petroleum
users Is the more impressive wher
: one realizes that it was not even re
motely anticipated at the time Presi
dent Roosevelt started building the
I Canal So late. indeed, as 1910, wheI
Admiral Evans wrote his articles
about the Canal and decided that /
could not be profitable for severa
g decades at least, he based all his cal
r culations on the probable cost OF Goa
e for bunkering ships. He did no
# dream that merchant marines wer
t. on the verge OF tbs revolutIonar,
Q change from coal to OIL So he figures
d that, as there is practically no bunks
3 coal in the countries bordering on th
Pacific that ocean could not CON
% pete, by way Of Panama, for a great
$ ly increased share Of shipping. III
ie oil Development overturned the pr0pf
le ecies OF Admiral Evans. and OF a
q others who had foreseen that fus
problems would make Pananta "a
d profitable.