Evening star., 1950-05-21

hat product. In spite OF talk IN
Congress about imposing a 2-cents-
pound tax on foreign copper.
We are still buying Chilean and
copper in large quantities
md at good prices.
Since the war. Bolivian tin sales
have suffered because We turned
,nce again to Malaga and the East
indies for our supplies of this
metal. But the Far Eastern mines
ire now threatened by Communist
aggression. Production is already
being hindered because Of Com
nunist guerrilla activities through
out all that area.
Bananas Are Booming
Banana production in Central
Colombia, Ecuador and
elsewhere. which was almost COM
pletely suspended during the war
and for several years afterward.
is back TO normal. Every one OF
these countries reapS an export
tax on all the fruit shipped out.
Due to new agreements between
the United Fruit Co. and the Gov
ernments Of Honduras and Costa
Rica, those two nations now share
in the companys profltS. In addi-
ton, hundreds OF millions OF dol
lars are being spent within the
countries for wages, leases on lands
and other facilities for rehabilita-
ton and expansion.
The tourist trade for such coun-
tries as Mexico. Cuba, Guatemala
and others has enjoyed tremen-
dous increases. Mexico's tourist
income last year amounted to more
than a hundred million dollars.
and is holding up we'll this year.
All Of which has resulted In .
substantial improvement in the
payment Of Latin American debts
to United States exporters and
investors. While our total trade
with them fell of in the last year.
it is still a healthy unsubsidiEed
trade. Most important Of all. our
markets In Latin America are dol
lar markets. Today Venezuela
and Cuba rank among our best
dollar customers. In fact. the
dollars we spend in all these ma
tions are coming back to us in
payment for our goods. and in
earnings Of United States firms
doing business in them.
Brazil Reduces Debt
In the last three years Brazil
had piled up large debts to US for
imports Of manufactures and un-
RENTED earnings of our investors,
but she is now steadily paying on
these obligations. The high prices
we have paid for Brazilian coffee
have helped considerably to bring
about this situation. Her credit
is improving and she is buying
more agricultural and other ma
chinery. Stockholders in United
States companies operating in
Brazil are beginning to realize
some dividends. Colombia has
paid of practically all Of its out
standing debts to our exporters.
Although she had to cut her
imports drastically in the past
year, Mexico. too. has been
promptly meeting payments on
her loans and credits. The hum
dred million dollars our tourists
spent below the border last year
has contributed very materially
to this recovery.
With Cuba, Colombia and one
or two others, the tourist trade
has become a two-way business.
Tourist influx from Cuba has made
Miami two-season city. Most
of the luxury hotels at Miami
Beach are now open the year
around. Many Of them do almost
as much business in the summer
as in the winter. Washington.
New York. New Orleans and the
West Coast cities are also begin
ming to realize a profitable tourist
trade from Latin America.
Argentina Shifts
The great surprise TO every one
Is the change Of front in Argen-
tina. and the businesslike way In
which the Peron government Is
trying to correct the unfortunate
economic practices which practi-
cally dried up trade with the
United States and all but para
lyzed United States investments In
the pampa country. She had piled
up debt Of nearly SITS million to
United States exporters. Her
credit had almost completely
dried up.
More than a year ago. and OF
their own accord. Peron's officials
began making overtures to Wash
ington as well as directly TO their
creditors and United States in
vestors. Unilaterally Buenos Aires
slashed export taxes on many
products and removed other bur-
densome restrictions. Sales Of
canned beef, wool and other prod
ucts in this country began TO in
crease. She agreed to set aside
20 per cent Of all dollar exchange,
and later 80 per cent, to pay of
her obligations to United States
exporters. These debts were de-
creased by more than q third
within the first IL months.
The various companies are now
beginning to get out some Of their
earnings. Peron's representatives
have entered into negotiations
with the State Department which
might result In a new treaty Of
friendship between the two ma
tionS. Chile and several others
are now beginning negotiatioks,
looking to similar agreements.
Much is yet to be done In ORR
A