The midland journal. (Rising Sun, Md.) 1885-1947, 1926-09-24

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 so quickly to equality with Suez,
nor the most important. The enor-
nous increase in Panama traffic in
1928 was represented almost entirely
by petroleum and it's products, NOV
ing from California to the east coast
and Europe. In the year ended June
80, 1924, tolls aggregating $24,290,000
were collected, Of which $9,071,0 900
was from tankers carrying petroleum.
An even more striking statement of
the matter is that for the same year
exactly so per cent Of all tonnage
through the Canal was between the
two ocean fronts of the United
States; that is, 13,500,00o 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 off
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 deficit in every year of
its 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.
Panamas advantage will still further
increase as the enormous oil re-
sources of Venezuela, Colombia, and
other South American countries
are developed.
Great Service of Panama
If 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 when
one realizes that it was not even re-
motely anticipated at the time Presi-
dent Roosevelt started building the
Canal. SO late, indeed, as 1910, when
Admiral Evans wrote his articles
about the Canal and decided that it
could not De prontaDie Tor several
decades at least, he based all his cal
culations on the probable cost of coal
for bunkering ships. He did not
dream that merchant marines were
on the verge Of the revolutionary
change from coal to oil. So he figured
that, as there is practically no bunker
coal in the countries bordering on the
Pacific. that ocean could not COM
pete, by way of Panama, for a great
ly increased share OF, shipping. The
oil development overturned the proph-
ecies of Admiral Evans. and of all
others who had foreseen that fuel
problems would make Panama un-
profitable. '.,a~..,-..a,..........i. ae~n,.,