VIII PERU

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Recent archÆological finds warrant some authorities in claiming Peru to have been the home of a highly civilized and cultured people 25,000 years before Christ. The race which inhabited the land then were the Chumus, the progenitors of the Incas, whom Pizarro found when his expedition arrived in Peru from Panama in 1532. The Incas had a socialistic form of government, were able engineers, good surgeons, noted agriculturists and really a wonderful people. The treatment of this docile and intellectual nation by the invading Spaniards is one of the darkest pages of history.

Francisco Pizarro founded Lima, the capital of Peru, in 1535, was appointed by the Crown governor of the newly acquired territory and was assassinated in front of his palace in 1541.

The great wealth which Peru, through her rich mines, contributed to Spain, warranted that country in making this possession a viceroyalty, the viceroy at one time governing all Spanish possessions in South America from Lima.

The movement for independence from Spanish control, started early in the last century, found many adherents in Peru and after several reverses the yoke of Spain was thrown off July 28, 1821, a congress organized in 1822, representing a republican form of government and the first president inaugurated in 1823.

In 1879, over a question of boundary lines, Peru became involved in a war with Chile, lasting five years, the result being the defeat of Peru and the invasion of its capital. As a consequence, Peru ceded one of its richest provinces, Tarapaca, outright to Chile, and the territories of Tacna and Arica conditionally for ten years, at the end of which period a vote was to be taken in these provinces, and the inhabitants were to decide under which country they preferred to remain. The Chileans, despite the repeated requests of Peru, have failed to observe this condition of the peace treaty and these territories with all their wealth still are under the control of the conquerors. The methods employed by the Germans in Alsace-Lorraine have been used here by Chile, and the chances are that this district will always remain in the hands of its present governors.

A President and two Vice-Presidents, together with a legislative body of two branches, a Senate and a House of Representatives, control the destinies of Peru.

Peru contains 687,600 square miles, and is bounded on the north by Ecuador and Colombia, on the east by Brazil and Bolivia, on the south by Chile, its western boundary being washed by the waters of the Pacific for its entire length of 1600 miles. For purposes of comparison Peru covers as much territory as Texas, Nevada, Utah, New Mexico and Arizona.

Three mountain ranges run through this country between which are found extremely fertile and productive plateaus, the scene of much of the country’s agricultural development. The land from the coast to the foothills of the Andes is as a rule barren, and were it not for the Humboldt Current which runs close to the shore and cools it, would be exceedingly tropical. On the eastern slopes of the Andes, as they stretch toward Brazil and Bolivia, there is a wealth of verdure, vegetation and virgin forests, due to the heavy rains and the tropical sun’s action. This comprises three-fourths of Peru’s territory. The table-lands are cool and enjoy a temperate climate. From June to November, the days are marked by a fine drizzling rain, particularly along the coast but for the rest of the year rain coats and umbrellas are not needed.

Peru claims a population of 4,500,000 but I seriously doubt if it will reach 3,500,000. Of this number fully half are unlettered, ignorant Indians, lacking in ambition, requiring few necessities and living most primitively. One-fourth are half-breeds, the descendants of the conquerors and the Incas. About two per cent. of the population are Chinese. Here it may be noted that many archÆologists and anthropologists believe that the early settlers of Peru came from China, across the stepping stones in line with the finger of Alaska which points toward Asia, and by degrees wandered down the western coast of America, finally establishing a government near what is now the city of Cuzco. Perhaps 15 per cent. are pure white. There are nearly 50,000 Europeans and Americans located throughout Peru. Italians and their descendants are most numerously represented, followed by Germans and English.

Peru has no navigable rivers on her west coast, the many streams which empty into the Pacific being dry or very low except during the periods of heavy rains. Properly husbanded their water power could be effectively used. To-day they serve for irrigation and near some of the larger cities, such as Lima and Callao, have been advantageously used for generating electric light and power for tram systems. On the eastern side of Peru there are about 3500 miles of navigable rivers for light-draft vessels, drawing 8 to 15 feet, all of these streams ultimately emptying into the Atlantic.

Iquitos with 20,000 inhabitants, on the Amazon, 2500 miles from the Atlantic Ocean, is the center of the rubber industry, and is more accessible from New York than from the capital of the Republic, Lima.

Peru has 1840 miles of railway, 1300 being standard and 500 narrow gauge. Nearly 3500 miles of road have been surveyed and are in various process of construction. Nominally about 1200 miles of these roads are owned by the Government but are operated and controlled by the Peruvian Corporation, Ltd., an English organization, whose presence is very much in evidence in Peru, and which also operates a line of steamers on Lake Titicaca. Under the present contract with the government this concern is to control the railways under it until 1973, a certain percentage of the profits to go to the State, and another portion to be utilized in railway extension.

The Peruvian Corporation, it should be stated, was organized by Europeans holding Peruvian bonds on which it was impossible to collect the guaranteed interest, due to the mismanagement of the government as well as the outcome of the war with Chile. This corporation took over and cancelled the indebtedness in return for certain privileges among which was the right to exploit the railways.

To Henry Meiggs, an American from San Francisco, Peru and the world is indebted for the completion of what are the most marvelous railways on the globe. By a series of twists and turns, which include 65 tunnels and 67 bridges, it climbs to the highest point in the world ever reached by a railway, 15,665 feet above sea level in a distance of 138 miles, to what is locally called “the roof of the world.” Some idea of the rapidity of the ascent may be gained when I state that in the first twenty-five miles from Lima the train ascends 2800 feet above the sea, while it reaches 5000 feet twelve miles further on its journey.

Another wonderful road runs from Mollendo through Arequipa and on to Puno, at the edge of Lake Titicaca, passing through the most magnificent scenery and ascending to an altitude of 14,665 feet. There are numerous Americans employed in the management of the Peruvian railways and practically all the rolling stock comes from the States.

The many mountains paralleling the coast make railway construction a difficult and expensive problem. It is possible that this will have much to do with the retarding of the progress of mine development, inasmuch as many of the mineral deposits are almost inaccessible due to their interior location.

Unlike Chile, Peru has many natural harbors, affording protection against storms, Mollendo, Salaverry and Eten being the only ones really dangerous to shipping and life. The ports from north to south are Tumbez, Paita, Eten, Pacasmayo, Salaverry, Chimbote, Huacho, Ancon, Callao, Pisco, Mollendo, and Ilo. The docks at Callao, the leading port, are quite modern and capable of receiving the largest vessels.

Copyright by Underwood & Underwood
Oroya Line, Peru

Peru’s products are chiefly mineral and agricultural.

Her mines have long been famous, producing gold, silver, copper, iron, coal, bismuth, lead, quicksilver, tungsten, antimony, molybdenum, vanadium and borax. Her petroleum fields are a source of much revenue. Her guano industry is being revived by protecting the birds which frequent the islands and by restricting the working of these deposits. Sugar cane, cotton, and rice are profitably raised.

The forests of the eastern section are rich in cabinet and medicinal woods.

Copper is the leading metal mined, the production in 1912 being valued at $9,625,000, while the amount of silver extracted in the same period was $5,152,412. Vanadium, used for hardening steel, exists, the deposits being larger than in any other locality. More than $500,000, or 70 per cent. of the world’s output, was exported in 1912. The bulk of these industries is controlled by American capital and many Americans are employed.

There was mined in Peru in 1912, 268,000 long tons of coal, 254,088 of which came from the mine owned by the American companies operating at Cerro de Pasco and was used chiefly in the smelters. Geologists estimate that there is a carboniferous area in this country of approximately 40,000,000 tons of coal.

Peru is fortunately rich in being the possessor of petroleum fields yielding a high-quality oil, much of which goes to the States and Europe for purifying. One local refinery has a capacity of 300,000 gallons per month. The Standard Oil Company owns some of these properties, but the largest holders are British and Italians. In 1912, 214,947 metric tons of oil were produced. The national line of steamers are oil burners.

In 1913 Peru exported over $51,000,000 worth of cotton and $7,500,000 of sugar; $2,000,000 of vicuna, alpaca, llama and sheep’s wool; $500,000 worth of cocaine and $3,000,000 worth of rubber. Much coffee, tobacco, and cocoa are grown, most of which is used for home consumption.

Peru’s crops are produced chiefly by irrigation, the watersheds on the mountain sides being of great advantage in this connection.

Cotton is manufactured into cloth in mills situated at Lima, Arequipa and Ica. There are also woolen mills but they do not come anywhere near supplying the local demand and much is imported.

Panama hats are largely produced, in 1911 the exports in this line reaching the enormous sum of $2,147,668. Some twenty-five factories in the Cuzco valley are devoted to the production of cocaine, the world’s supply largely coming from this section. The cattle and wool growing industries are capable of much greater development.

Peru is on a gold basis, the sole being the unit of value. This is a silver coin and is designated thus “$.” Ten soles ($10) equal a gold Libra or pound, worth a pound sterling or $4.8665 U. S. gold and expressed thus Lp.,” meaning Libra Peruana, or Peruvian Pound. A sole contains 100 centavos, or cents.

Peru’s exports in 1912 were $45,871,504, and her imports $25,066,354, the bulk of the business being done with the United Kingdom, the United States being second. Within the past five years the exports from and imports to the States have materially increased and are rapidly approaching those of our greatest competitor, England. This is due perhaps to the development of the mining industries, under the control of American capital. In 1910, England shipped Peru $8,134,189 worth of goods to our $4,484,214 and Germany’s $3,842,855. In 1912 the figures were as follows, England $6,800,708, United States $5,763,423 and Germany $4,557,698. Undoubtedly the figures for 1913, when available, will show a decided further gain for us.

Peru exports copper, gold, silver, mercury, vanadium, bismuth, cocaine, quinine, wool, sugar, petroleum, hides, hats and guano, and imports textiles, mining machinery, oil machinery, pipe, railway supplies, windmills, corrugated iron, tools, hardware, flour, canned goods, shoes, electric supplies, typewriters, mineral waters, wines and liquors.

The bulk of invested capital is English, but in this line the Americans are forging to the front. Germans, Italians, and French are chiefly interested as merchants throughout the country.

There are no taxes or restrictions placed on commercial travelers and samples are admitted duty free.

If you are handling mining machinery or devices for use in mines or petroleum fields, it is apparent that the localities where these industries thrive should be visited personally. Many of the mines have company stores located in their holdings that are worthy of calls, while others maintain purchasing agents in Lima for this purpose. Inquiry of local authorities will give all the information necessary, otherwise the following cities should be visited:

Population
Lima 150,000
Callao 35,000
Arequipa 35,000
Cerro de Pasco 18,000
Piura 15,000
Trujillo 12,000
Mollendo 6,000

Cuzco, with a population of 26,000, is hardly worth a visit for business purposes, but is interesting for its historical associations. It was the ancient metropolis of the Inca Empire. Mostly all of its buildings were of stone, set together as wonderfully as the Pyramids, their joints being so perfect that a knife blade cannot be inserted between them. Streets crossed each other at right angles, and were paved with naturally colored stones, forming intricate patterns and geometrical designs, which can still be seen. There was an imposing temple dedicated to the sun, whose walls were studded with gold plates. Water from the mountains ran through the city streets, while around the entire town were fortifications many of which yet remain. Its civilization was of the highest order.

Iquitos, 20,000, should only be visited from MaÑaos in Brazil. It is a good business town.

Peruvian ports can be reached via the Straits of Magellan and Smythe Channel from New York or via Colon and Panama. There are direct European steamers from England and Germany weekly, with connections for Panama, either through their own lines or via the Chilean or Peruvian National steamers, both of which make all the ports along the coast. There are also tramp and freight boats from San Francisco which carry passengers, but for personal comfort this service is not to be recommended.

To get to Iquitos, take the river boats from MaÑaos, Brazil.

                                                                                                                                                                                                                                                                                                           

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