Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-01-18
BACKGROUND OF EVENTS
BY PAUL Y. COLLINS.

Just what has the United States at
stake in the peace of Nicaragua?
Besides our purchased right TO build
and own an interoceanic canal across
the country, there are private in
terests-not oil as in Mexico, but
mahogany and Offee-amounting at
the most conservative estimate to
81 900 900, for those two lines.
Prior to the World War British
loans in Nicaragua amounted to 81.
500 goo which have been taken over
by Americans The United States
Government loaned the Nicaragua
government 1000, 900, and holds as
security for it's sinking fund the ad-
miniStration of the customs receipts.
An American commission has charge
of the collection of all customs, on
account of the loan, and it is signifi-
cant that under this commission the
receipts are practically double what
they had been under Nicaraguan ad-
ministration. The total United States
investment in Nicaragua, aside from
the canal project, exceeds $4,000 ,O00.
Other estimates run az high as $780,
900 900.
This capital investment. however,
does not measure the value OF the
disturbance to our commerce, due to
the unrest there. which for the last
seven months has greatly depressed
all commerce coming from the East
coast, for both sellers and purchasers
have feared for the safety of the com
moditieS The depression would have
been felt more acutely but for the
unusually good coffee crop of 1926,
coupled with high prices for the pro
ducers, but the coming coffee crop is
now in jeopardy because of the lack
Of available pickers, owing to mill
tary conScription. Coffee exports go
out of the Pacific Ocean ports, coffee
represents As per cent of all Mica
raguan exports and 10 per cent OF the
Pacific commerce. The 1924-l925 crop
was 20 500 900 pounds, and last year :
crop was 40. 900 900 pounds. The 1925
coffee exported amounted to "a 900 900
pounds. at "a value of SIS. 627 1872. while
the 1926 exports amounted to $500
600 at Il value of $780, 900. Fortu-
nately the West coast has had the
least disturbance, so the coffee ex
ports have not been interfered with
Two-thirds of all Nicaraguan coffee
comes to the United States, IA pei
cent to Fran and per cent to Hol
land, all of which commerce will be
demoralized If the Sacasa forces gain
control Of the West, as they have had
of the East. Coffee production has
been increasing at the rate of 20 per
cent per annum, Tor the last decade
especially since 1919.
Banana production has increased
from 1878 900 eXpOrtable punches in
| 1927 to 3.027,14 punches in l925-at
an average price of 80 cents bunch
| Value about 81 800, 900 for last year
Prior to 1916, sugar exports were in
| considerable. but in 1925 they amount
ed to $l.J59 1876, and last years eX
ports are estimated higher.
| Mahogany exports for 1874 Were
| 81 .O81 ,S44. and in 1925, 81 ,565 1886, while
| the first quarter of 1926 amounted IL
over $500 900.
| In addition, there are exports oil
cedar, rosewood, dyewoods, chicle anC
| balsam.
There are only 203 miles OF railroad
| in the country. although the area il
| exactly the same as that of New YORK
State. There are $50 miles of motor
roads and 200 miles Of cart roads. The
| total exports of 1925 amounted to VIZ,
| $50. OPS, OF which the United States
| took IS per cent, the United Kingdom
| per cent, France ID per cent ane
Germany per cent.
The imports are chiefly foodstutfs
$1,468,207; cotton goods, $3.50, 1888
iron and steel, 1852 ,245; silk goods
$349 ,O32. More than two-thirds of i'm
ports come from the United States.
%k
In 1917, the United States paid Mica
ragua $4,000 900 for the perpetua
right to construct and own a trans
isthmus canal, subject to the Hay
L .,4sw lett 49,,