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SA ?8 3 f, //, /^ 



Benjamin Disraeu once observed that the author 
who speaks about his own books is ahnost as bad as 
a mother who talks about her own children ; never- 
theless, I am of opinion that something may and 
shotild be said here — not 6B an advertisement, but 
as a warning — respecting the nature and the purpose 
of this voluma 

I do not wish any expectation to be aroused which 
cannot be realized ; and, therefore, let me at the outset 
indicate to my readers what they will not find within 
these pages. Firstly, they will seek in vatn for any 
lengthy reference to " Ancient Peru." Other writers, 
far more capable than I, have dealt with this fas> 
cinating subject, and the list of works upon the Land of 
the Incas is so ample that the market may be considered 
as sufficiently, if not over, supplied. Secondly, I have 
carefully refrained from indulging in political history 
for two reasons : (1) I am inclined to agree with the 
dear old pessimist, Voltaire, that " history being little 
else than a picture of human crimes and misfortunes," 
it would be out of place in a book which is pri- 
marily intended to be useful to the traveller, the 
merchant, and the financier ; (2) I consider it little 
lees than " an international impertinence," as Bismarck 
designated the Monroe Doctrine, for foreigners to 
discuss and comment upon the internal afiairs of the 
countries in which they may happen to find them 
selves, either temporarily or permanently, located. 

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I have not hesitated to comment, on the other hand, 
upoD our own politics, so far as they relate to our 
commercial relations with Peru and other South 
American countries ; because I have found that there 
are conditions confronting us as a nation which cannot, 
and should not, be passed by without some reference. 
I know neither politics nor prejudices ; but I have 
a country — a country of which I am not only very 
fond, but very proud. I want to see that country 
maintain her place in the front rank of the com- 
mercial and industrial world ; to march always as 
leader, and not as a humble follower. 

My anxiety is to awaken some interest among the 
thinkers in Great Britain, by showing to them — as 
far as my modest abilities will permit — some of the 
many diplomatic errors which our responsible rulers, 
of both political parties alike, have committed, and 
to assist in urging the demand that these errors be 
no longer perpetuated. 

For the rest, I leave my book to speak for itself. 
I trust that it may be deemed not so bad, but that 
something good may be found in it. 

The Republic of Peru to-day is upon the eve of 
a great development, in comparison with which all 
previous commercial movements in this part of the 
world will probably appear insignificant. A recently 
completed, long and interesting tour through the 
principal agricultural, mining, and manufacturing 
districts of the country convinces me that the 
Republic, now that internal and external peace is 
secured, is bound to advance to the very front rank 
among the Latin-American States as a productive and 
commercial factor. 

Not alone is it possessed of practically every kind of 
mineral, of vast agricultural territories and of immense 
natural forests, but it is endowed with a climate which 



ia, generally speaking, bo mild sind equitable in most of 
the districts that human existence is both exhilarated 
and beneBted by being passed in it. 

Of the immensity of Peru's resources in other 
directions there can be no more question, and day 
by day will doubtless offer opportunities for their 
more intelligent and systematic development. Already, 
some $35,000,000 (£7,000,000) of North American 
capital has found its way to Pern, while British capital 
nmy be put conservatively at another £20,000,000. 
Uf French and German, Italian and Spanish capital 
there exists also a considerable amount ; wiUi a 
himdred times as much to follow when the oppor- 
tunity arrives. 

The foreign commerce of any nation is usually 
accepted as a fair and convincing proof of its industrial 
progress, and in this respect Peru has offered a striking 
example of national prosperity. In the year 1897, 
for instance, the imports of the Republic were 
$8,000,000 and the exports about $14,000,000. Con- 
sidering the immense territory which is comprised in 
the Republic, even when shorn of her chief provinces, 
Tacna and Arica, now owned by Chile, its population 
and its resources, a return like this is small enough. As 
soon as foreign capital commenced to come into the 
country, which synchronised with the introduction 
of monetary reform, both the imports and exports 
advanced, until, in 1906, we find them standing at the 
much more convincing figures of $25,000,000 of im- 
ports and $28,500,000 for exports. During this period 
the United States exports increased from $1,000,000 to 
nearly $5,000,000, and the imports from $700,000 to 
nearly $2,500,000. In 1907, out of a total import 
trade amounting to £6,235,550, Great Britain secured 
£1,634,129, while the United States came an excellent 
second with £1,184,668. Germany actually showed a 

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diminution in her trading figures, those for 1907 being 
£893,434, as against £914,239 for 1906. It is thus 
clear that it is the United States that we have most 
to fear as competitors in Peru, and these statistics are 
all the more important to British manufacturers, since 
they really form the " handwriting on the wall," 
serving to show in eloquently convincing language what 
the results of this trading will be when once the 
Panama Canal is opened, and the United States are 
brought many thousands of miles nearer by direct 
transportation with the Latin-American States. 

In the following pages I have endeavoured to show 
the Republic as it is to-day — "The Twentieth Century 
Peru"; also the commercial and industrial Peru as it 
may be expected to appear a few years hence, when 
some of the many natural resources of the country have 
been developed more fiilly, and when a few of the 
numerous opportunities which the Repubhc offers to 
capitalists, merchants, and settlers have been put to 
the test. The country is proceeding slowly, but very 
surely, upon the road to progress. "To climb steep 
bills requires slow pace at first." 

In one important particular Peru has always made 
a plucky attempt to keep pace with the rest of the 
civilized world, and that is by means of its internal 
and coastal transportation. Various successive Govern- 
ments have taken up the task of railway-building with 
equal avidity, and no political question however acute, 
no financial restriction however severe, baa been per- 
mitted to interfere with the carrying-out of a prc^amme 
which has been recognized by all parties alike as the 
one and only means destined to bring Peru into line 
with its South American sister-Republics. No one 
who has failed to visit this part of the globe can form 
any accurate idea of the physical difficulties with 
which railway constructors are laced; and none but 

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ID are acoustoim^ to meet with and to over- 
come diffictilt engineering^ obetaclefl would bo luclmed 
to persevere when coiifronUKj with the ap|jareiitly 
itnponible problems of surntountitig KtupMndoua moun- 
tains, bridging; UDOontrollablu rivers, and piercing end- 
leas rocky faatoessee. The Republic claims, with good 
reason, to have been the fimt State in South Ainoriea 
to have a steam tramway. Chile would rob her of 
this claim, as she has taken from ber tbe valuable 
guano dLtpoKits and the stilt more precioas nitrate 
fiulda : but I think that the qneetion at issue can best 
be docidtid by the foUowing specific details : Pern 
built and opened for traffic the Lima-Callao steam 
iway in the year 1848, wbereas the 6rat tramway 
Cbile. ^rom Caldera to CopiapiS, was opeoed on 
ly 29, 1851. 

The 6at portion of Peru is inngnificantly aroall in J 
oomparison with the rooantainous regions ; but, never^ 
tbeleaa, the territory of the Republic is moderately | 
well supplied with railroads, built almost entirely with 
British capital loanetl to the Peruvian Government. 
I have not htwitated to devote a considerable portion 
of my Bpaoe — in fact, three entire chapters — to the 
question of transportation in Peru. It is the key tt 
futore eoooomic situation. 

total length of railway track in the Republic 
.y is about 1,560 mtlos (roughly speaking). a[)art 
'eral private lines, wbicb are the pniperty of 
diflisrant mining and industrial ooaipanies. fhe three 
prtndpal qratema, aside from tbe many private ooo- 
oems and short coast lines, to all of which ~ 

raferanee has been made in the following chapters, i 
the Suuthtnn Railway, tbe Oeiitral Railway, and ihtt| 
Gaaqui-lji Pax Hnilway. These lines are under th*i 
_ ment of t)ie Peruvian Corporation, UmitedfJ 
tisb joint-stock company which, as repr es entor! 



of m;, 
I ^ueRtic 


tlve of the holders of bonds of the former foreign 
debt of Peru, in 1 900 took over the control of 
the lines until 1956. Although the smallest of the 
three groups, the Guaqul-La Paz Railway is one of 
the most important, not alone because of its forming 
the connecting link between the Southern Railway, 
on the coast, and the Bolivian capital of La Paz, 
14,000 feet above the level of the sea, but also on 
account of its being at present one of the two lines of 
railroad which bring the Capital of the latter-named 
Republic into communication with the sea. 

Neither the Southern nor the Antofogasta-Bolivia 
Railway will be long left in possession of this monopoly, 
since the Ar(ca-La Paz Railway, now in construction, 
is destined to prove an important factor in future 

Like most of the other South American States, 
Peru has been heavily handicapped in the past by the 
absence of good roads, or, indeed, of any roads at all, 
When the Spanish Conquerors came, so history relates, 
they found a number of excellent paved highways 
running from a common centre, like the spokes of a 
wheel, to practically every part of the Inca Empire, 
and traces of them are to be found in many parts of 
the country to-day. But the Spanish, in their greedy 
search for gold and in their merciless persecution of 
the unfortunate Lidians, seem to have overlooked the 
primary duty of all pioneers, which is to open up 
and to maintain the arteries of internal communication. 
Even after Spanish rule came to an end in Latin- 
America, the newly-emancipated States were too 
closely engaged upon making war with one another 
and in settling their own numerous internal troubles 
to think of improving their highways; so that it was 
nearly forty years after the throwing-off of the Spanish 
yoke, when the Latin-American States seriously com- 


menced to coostnict roads into the interior of their 
vast domaioa 

AmoDg the most backward has been Peru, and the 
Republic is suffering from the oversight to-day. Beads 
there are, and some remarkably good ones ; but in 
comparison to the size of the country the BepuUic 
is sadly deficient in internal transportation fiuulities. 
Those which she enjoys are almost entirely the result 
of foreign enterprise and capital, but it is satisfitotoiy 
to know, at least, that the present Government is alive 
to the importance of improving both its ooast-roeds and 
its nulway communications, and that every effort is 
being made to open up the country by these means. 

Day by day shows something in this direction either 
to have been accomplished or commenced ; and ainoe, 
as Gibbon tells us, the oirilization of a country may 
be best judged by the number and condition of its 
roads, Peru will during the present century have 
earned a high place among enoh civilised States. 

P. F. M. 

OetAir, 1911. 

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PbjaiMl fMMuw— Tha cohUI Uiw— Port* tod lurfacnin— Diffaruit 
ragtoM— The ri«T»— The monU&t— Lake TilioM*— Euth- 
qnftkM— Bivan — AmuoD — Navigktion — Vidcanora — MMi — 
PoTcaU— FrodnetiTa traaa— Robber— OUve— Flora— Fakna— 
/>ue««-AbnUerfl7-hiuiMr'a|«ndiae 1—10 


8 panUi ecwqaaa* of Pani— Baaorda of ernalty and opprcMioii- Inlar- 
■MciM qDarrab- Frandaoo PUarro— War of Indapa&daDaa— 
PaaM 0(UDpaot»-Froaliar delimlUtio&a— Qtuatloiuwith Bolivia, 
Braill, and Coloiabia— Lorato dilate — BritUh otHean aa 
refaraaa— EzpadiUoiu at work on trontier dal im iUtlo M - BriUah 
aMTieea to Para— Nattra azplontton azpadidoo II— 


PnaUvl Angnato B. Lagvla— Dr. Qttaaa Lafnia y UwlfaMa— 
Dr. Enfeolo Larrabnr* j DBanoa — Dr. Jnllo Enriqaa Ego- 
Agnbra— Dr. Enriqua C. Baoadra— Hafior Don Enriqne Oymn- 
goren— Dr. Edmuulo N. da HaUeh— Don Cartoa O. Carduoo 
—Dr. Carloa Larrabora of Conaa — SeAor Edoardo Lembeke — 
FaniTian Lagatian In LoDdan— BiMah Hinbtar to Para— Unbad 
aialaa Htnlitar and CofMob— BrttUi OooaDlOanaial at Unw SS— S9 


— PopakHeo— JndieiBl admtaitotoalioa— JwMtelioa of Conrti 
— Cangma — IfhUatan* poftfoUoa — Loaal gorammaBt — Dapart- 
aartri Boarda— Natt— 8tran|th in IVll- 
1911— Franah UiUlarT HMtaa-An 
-.FoD Ughtl^ altoagtb 

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Government (oontirwei) — Suutor; orgonizatioii — MedioBl Board of 
Health— Mariae Sanitary Serriee — Lima Board — Inolation at 
ports — Telephoaee — -Telegraphs — Improvementa effected — Wire- 
leas station— Postal servioes— Increase in mail-nittttBr— Peruvian 
and Britiah methods contrasted— The carriage of newspapers and 
other pablioations — Aviation encouragement  M — 64 

Finance- Loans and their history — Period of prosperity followed by 
severe reatrietion- Extravagance of former Govenunents— 
Guano revenues — Restoration of Femviau credit — Recent 
borrowings — Arrangements with British oreditors — Peruvian 
Corporation- Municipal loans — Tax-collecting Agency— Revenue 
and expenditure — Customs receipts- Foreign oommeroe— 
Budget (or 1911-12 66—81 

Insurance — Native offices — Foreign agendes— Leading offices— Oom- 
parative enrplnses— Dividends ptUd— Blmao figures for 1910 — 
Banking — Principal banks — Bank of Peru and London — Savings 
bonk (Cfqa de Ahorras)- Coinage — Hbtory— Monetary laws- 
The National Mint - 82—93 

Education — Lima University— Number of eohools- Native schools — 
Commerce and agriculture — Arequipa University — English 
schools — Peons as pupils — Literary societies — Lima Geographical 
Society — Learned associations — Theatres — New Municipal 
Theatre — Peruvian press— Notable journals— English news- 
papers in South America—" Peru To-Day " -  98 — 106 

Lima, the Capital— Description of city— Climate— Earthquakes — 
House decoration and architecture — Public places- Avenues- 
Parks — Transportation — Charitable institutions — Hospit^ and 
asylums— Suburbs — Miraflores — Chorillos — Bella vista — Destruc- 
tion by Chilian troops— Bathing— Cmelties ol war - - 107—190 

Cost of living— Rentals-Household expenditures- Wages- Domes- 
tioB — Mary Anne's paradise— Native labourers — Japanese 
competition — Austrian emigrants — Government ouoouragement 
—Sport and amusement — Lima Jockey Club — Regatta Club- 
Football's popularity— Lima Cricket Club • - 121— ISO 

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Pablio wonhip— Freedom gnnted — Intolerance of foreign mission' 
kriw— Charity of Catholic prieita — FontioD of English Ohurob in 
Pera — Late and preeent chaplain in Lima — Breaking away from 
priesUy oontrol — Bishoprios and ooracies — Lima Cathedral 
— Valuable Church posseMtons — Publio proceesioni — Beligioos 
torrioe at Areqnipa — Reverent attitude of populace • 131 — 145 


Agriealtnre— Sugar hnabandrj— Proapeots of the indostry — Early 
enlttvation and first factory — Beaaons given for retuning 
aooient maehinery— Ty^cal mill described— Classea of rollers 
luad— Process of manufacture— Type of maoUnery necessary— 
Priadpal sngar estates on eoaat of Peru — Santa Barbara factory 
— Eztnwts obtained— Various installations described - 146—160 


Agricoltnre (eonUtMed) — Sogar-oane onltnre — Climate and soil — 
Ooano fertilization- Deposits — Ouano characteristics — Suitable 
soil— InMct pests— Coast onltivation— Time for cutting— The 
arenge yield — Experiments with nitrate manure — Uaehinery — 
Antiquated plants and equipments — Opportunities for manufae- 
turer* of sugar maehinery- Typical installation described- 
Handling the bagasse and masseouite - 161 — 170 


Agrioulture (contiruted) —Cotton — Classes cultivated — Comparison 
between PeruvlaD and South Amerioan — Statistics, 1908-1909 
— Cotton-seed oil- Wool-growing indnBtry-Hides— Coca -plant 
— Coealna— Cocoa— Bioe onltivation and imports — Tobacco — 
Wheat ooltivation — Samples tested — Barley — Maize — Rubber — 
Ignorant method of collecting — Exports tor 1902 -1909 — 
QoTemmeht enoouragement of cultivation - - 171 — 192 


Railways — Growth ol systems — Existing lines— Standard gauge- 
Narrow gauge — New construction — Southern Bailroad — Cuzoo 
divUon— Track— Bridges— Rolling - stock — Freight— Passengera 
— Workshops — Management — Central Railroad — Oroya section 
— RamaikaUe soenery—Boad-bed— Bridges — Tunnels^— Stations 
—FM^t— Handicaps— Future pro^eote • - 198—911 

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Rulwajs (eowtiniwd)— Guaqui-Lft Paz Eailroad— Important aoqui- 
HitioD— CoDtemplated developments — Lake Titioaoa Bervice — 
RoUing-atock — StatiotiH — Workshops — Paita-Piura RMlway^ 
Pftcosmayo- Guadalupe line — Tmjillo branch— Chlinbote-Tab- 
lonea link — General management — Prospects ot Peruvian 
Corporation Railways— Great mineral developmenta - 212— 225 

Railways (eontinued) — New conatructi on— Contemplated oitensiona 
— Iiiuitos-Palta Railway — Importmce ae a transcontinental line 
—Lima railwaja — Limn Light, Power, and Tramway Combina- 
tion-North -Western RaUway ot Peru— Chimbote line 225—285 

Shipping — Principal ports— PanamA Canal effect — Steamship lines — 
Improved foreign aervicee — Freight — Peruvian Steamsliip 
Company lino— Rates in force — Further new routes— Coastal 
serrices- Government anbaidies — Benefits from American railway 
connection — British ahipping — Latest statistics^ Port ot Ctillao — 
Iquitoa— Docks- RaUways— The town  - - 236—251 


Textile trade — Raw matoriala — Cotton production — Capital employed 
— Woollen factories — Matches and flour — Japanese competition — 
Striking enterprise —Lima Electrictvl Trust — Sugar machinery 
— Copper-mines machinery ^Waterworks equipment — Taxation 
ot commercial travellera — Correspondence between Birmingham 
Chamber of Commerce and Foreign Office — Irrigation enterprise 
and machinery .-.-.. 252—265 


Peruvian trade and Panami Canal— Probable effect — Preparation by 
the United States and Germany — Britiab indifference — Trade- 
marks torgeriea — Permian Government precautions — Oppor- 
tunities tor protection — British Empire League aasiatance — 
Foreign firms registered — Irrigation undertakings ^ Future 
development ...-.- 266—272 

Onano industry — Early history — Remarkable return— Nitrate com- 
petition — Unworked deposits — Salt — Ajinual production — 
Petroleum — Principal districts — Early discoveries — Lobitos 
Oil-fields — Cocaine manufacture — Various processes followed — 
Difficulties encountered . . - . - 278—282 


C0NTEN1"S xvii 


Uining— Spaoiab gTMd— Mineral diMricU— Siom region— Nnmben 
of vUixiu— Worldng eotnpftoiM knd output— Labour eoaditiocs 
— Hining code — Gold end eilver uiiaea — Copper depodta — C«na 
de FuMO— Britub indiflerence — "Ophir of the Weit"— C«rTO 
de Fmoo town— Varlou* minerftU (ound— Coftl— Uining for 
fageigoere— L'noeBBMM-y Kue^wuTiiiig from United 8(«tee of 
AmeriM 388— SW 

Cellao — Ewly hiatory — Physic^ BApeeta — Climete — Bubnrbe — 
tUnim-j. iu) pro veuienta— Choi ica — L» I*ui)t> — The voloftno of 
kfiMi— City of Arequip*- Earlj blitory- Ewibquakei — Hoe- 
pitftliiy of the iuhAbitaute— Boildinge— Banks — Trsmwaye 
— ElMUic«l e4uipuienle— life in Arequipft — Cusoo— Buioe — 
Modem ciljr bfe - - - 096-900 

Foreign eotupuiiee—The Femnen CoiporetloD— BeUtlooe with the 
Uovemment — lime Bellweye— PeiOTian Amazon Companjr — 
Palumayo eoMideU — United ijtetee' reet^nition of Fern u 
poeneeing lerritorj— Poution of the Conipenjr— LoUtoe Oil- 
delda — Ueektu end Johneon Brewery — Peruvian Cotton Uann- 
feeluilng Cooipauy— City o( Lim* t) per Cent. Boode - 807—317 

AmnsiK 81B— S8T 

Inu 888-84S 

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linw '. Btfttne of Simon de DoUvar - - FnmtitpUct 

L«ke TUiMM, the higbeat body of water in the world 

Tho Conqneror of Peru : FrondKo Ffzairo - 

H,B. iho FraaidaDt of (he Bepablis, S«&or Don Angoato B. Legnia 

Unu : Colnmbna Avenue . -  . 

The OmiMT AdtninU Orau - • . • 

Lima : School of Medicine and Health Inatitnte 

lima : Bank of London and Pern 

Near Ureoz, on the Cnxoo divudon of the Central BaHwa; 

Uiati b; HoonU^t, ihowing the Hairud Obeerratory 

lima: The BaTings Bank . . - . 

Uma Oenaial Foat-OtBee .... 

lima : La flaia ..... 

lima : Interior of Cathedral and Cemeter; - 

Old Bpaaieh Stone Bridge over Bio Tiloaflete 

lima : The Cathedral .... 

Fort of Cerro Acnl, ahowing Pier of the B.S. Co., Ltd. 

I«ke Titioaea : Steamer leaving Qnaqni, BoUvia, for Pnno, 

Oiuao TaUey, abowing Southern Railway lime 

SJBoapt, sorthem portion .... 

City of Aieqnipa and Hiati Tdloano from Charehaui 

Qlaeier oo Hoont VUeanita, Alpaeaa in foragronnd - 

l^pleal Honntain Scenery near Uonnt VUeanita 

Pneote de Chillon (Ancon-Lima Railway), 23 kilometrei 

Pnente de Ftedro (Lima) ; boilt in one year - 

Pnente de Chaufiohaea (Central Bailway), 117,600 kilometree 

Saa Tieente, Capital of the Frovinoe of Caflete 

Are^vipa : Bonlerard of City, with Hliti Volcano ia diatanoe 


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Bio Bknoo, showing BailwBj-Htatioa ua3 Smelter - 

Lalie Soracooha (18,600 feet) from rniliray, 227 kilometreB  

OltKiier oa Uount Vilcanita (16,000 feet) 

Bond-duDes at La Jo;a .... 

WavoB upon the Bock of a Sand-dune 

Forts : Callao Docka ; and IqoitoB, with Biver Steamers 

Bugai Factory, Cerro Aznl, property of B.S. Co., Ltd. 

San Uiguel Copper-mine, Morooooha 

Callao Dock Co. 6S. Ucayali, of the Pernrian SS. Co. 

San Luis, from Caaa Blanca, with Santa Barbara and E 

the distance - . . . . 

Fort of MoUendo ; Old Wharf 

Mole and Breakwater, Mollendo  - '- 

Mejla ; On the Flaza - - - - . 

Embarking Femvian Troops on the Central Bailwaj 
Cazoo : Buins of Inca Temple, ten Idlometrea from City 
Cozoo : A Street, showing Masonry and Pillar of Spanish Portal 
The City of Gnzoo (one half b only shown) - 

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Phyrieal featnrea — The ooutal line — Ports and huboora— Different 
regionB — The derra — The montaiiB — L&ke Titieooa — Earthqnakea — 
Bivers — Amazon — KavigaUon — VolcuioeB — Misti — Foresta — Pro- 
dnotive treee — Bnbber— Olive— Flora — Fauna— PisceB— A butterfly- 
hnnter'a paradise. 

It would be interesting to know what were Francisco 
Pizarro's exact thoughts as he approached the long 
coast -line of Peru upon which, after many years' eager 
ambition and deep scheming, he first cast eyes in the 
month of January of 1520. 

For long the ambitious Spaniard had determined to 
try his luck south of Panama, where he had fought 
and bled, but had gained small personal advantage ; he 
had been one of Vasco Nuflez de Balboa's followers, 
when, in 1509, that distinguished explorer discovered 
the Pacific Ocean ; he had lent his good right arm and 
his shrewd advice to the service of the Spanish King, 
but throughout he had remained personally unrecog- 
nized and unrewarded. 

Then his subtle brain conceived the plan of an 
expedition carried out upon his own account ; in con- 
junction with the very unpriestly priest — Hernando de 
Luque — and the soldier of fortune, Di^o de Almagro, 
he set out in 1524 for Peru. 

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Pizarro actually reached the ahores, but could do no 
more than look at them longingly from afar, since he 
was devoid of equipment of any kind, iU in health and 
accompanied by none but uncongenial and quarrelsome 

So the future conqueror turned back to Panama ; 
journeyed thence to Spain, and having there collected 
some more and trusty followers in the persons of 200 
Spanish soldiers, and being financed by the Spanish 
King himself, he once again turned bis ship's prow 
towards the land of the Incas — the existence and rich- 
ness of which he now knew to be no &ble. For the 
first time Pizarro landed upon its unprepossessing shores 
in September, 1530, his disembarkation taking place at 

Approaching the shores from the more tropical and 
scenically beautiful Panamanian coast, the Peruvian 
country seems to the traveller both desolate and barren 
to a degree. But it is neither one nor the other, for a 
fiiirly considerable population inhabit these regions, as 
in the early days of the Spanish Conquest, while a few 
miles inland there abound numerous fertile valleys and 
wooded ridges, which impart a wholly difierent physical 
appearance to the country. 

The exact geographical position of the Republic of 
Peru is between the Equator and the Tropic of Capri- 
corn, on the western coast of South America, between 
the parallels of latitude 1° 29' north of the equatorial 
line, and 19° 12' 30" of south; also between the 
meridians 61* 54' 45' and 81° 18' 39" of longitude, 
west of Greenwich. The superficial area of the country 
is 500,000 square miles according to some geographers, 
but the Peruvians themselves claim 1,322,000 square 
kilometres, which would be equal to 713,675 square 
miles, including various islands and lakes. To-day, the 
coast-line measures over 1,200 miles in length, but 

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«fore the war in Chile it extended to 1,300 miles. 
The physical regions of the country may be divided 
into three separate groups — the coast, the nierra (or 
mountain), and the forest {monlarla). The population 
may be conservatively put at 4,500,000, or about 
6'4 to the s(]uare mile. 

Ports and harbours in Peru are many, but there are 
few which can be classed as really good. In this respect 
the country is not very fortunate, there being but few 
protected anchorages, while the headlands are generally 
abrupt and lofty. The islands which dot the coast are 
barren and rocky ; but they afford excellent accommoda- 
tion for the myriads of sea-birds who provide the 
valuable guano deposits which are used for fertilizing. 

The coastal region may be subdivided from north to 
south into five different sections: (I) Piura ; (2) Lam- 
bayeque and Tnixillo ; (3) Santa; (4) Lima to Nasca ; 
(5) Arequipa and Tacna. 

If the country Is not blessed with many good porta, 
It Is extremely well provided with rivers, beautiful 
SCenlcally and valuable commercially. There are some 
forty-six of these in the Pacific system, apart from the 
considerable number contaiueti in the Lake Titicaca 
and the Amazon regions. Altogether, Peru can boast 
of nearly 8,500 kilometres of navigable rivers ; and 
even at low water they are open to traffic by means of 
shallow-draught steamers. The Ucayali River alone 
is navigable for 1,000 kilometres, iind the Amazon (in 
the Peruvian zone) for GHO kilometres. 

Usually speaking, the rivers flowing into the Pacific 
rifle in the -lierra between the coast and the central 
Andean ranges. The principal waterways are the 
Tumbes, the Chira, the Piura, the Santa, and the 
Rfmac, while nearly half a himdred other streams have 
important influence upon the country through which 
they course. Those rising in the part east of the 

' Q""^ 


central Cordillera, are all tributaries, more or lees 
remote, of the Amazon River. But the ultimate head 
of that magTii6cent waterway rises iu the siet-ra in 11° 
south latitude, having its source in the small lake, Lauri- 
Cocha, and flowing north-west nearly parallel with the 
Pacific Coast. It drains the western slope of the central 
range, and after a course of 4,000 miles, it reaches the 
Atlantic. The affluents of the Amazon, which is also 
called the Marafion, constitute a vast system of inland 
navigation-waterways in the forest region. There arc 
the Peren^, the UcayaH, the Huallaga, the Paucar- 
tambo and the Madera. 

Of the famous and extensive body of water Lake 
Titicaca much might be written, since it is not only 
the largest but the highest of its kind in the world- 
Its length is 120 miles, and its width 60 miles; it lies 
in a basin 300 miles long and 100 miles wide, the eleva- 
tion above sea-level being no less than 12,545 feet, 
Naturally, the temperature can be very cold at times ; 
and I have shivered on these waters as I have done 
nowhere else, although the sun has been shining 
brilliantly overhead. There is a regular service of 
steamers running under the auspices of the Peruvian 
Corporation, the embarking and disembarking points 
being Guaqui and Puno, upon the Bolivian and Peru- 
vian sides of the lake respectively. To anyone who had 
the time to spare. Lake Titicaca offei'S great temptation 
to exploration. It is so intimately associated with the 
early Inca period, and it is so steeped in fascinating 
tradition, that one might — were the spirit amenable — 
devote many days and even weeks to studying this 
unique sheet of water and its neighbourhood with both 
profit and pleasure. One day I hope that this con- 
genial and attractive task may be mine — at least in 

Nature has, to some extent, compensated Peru for 


(H UK 

I those 
^B»r tin: 



the abaenoe of any particularly fine harbour hy [»ro- 

viding ao exoeptionally pacific sea, a comparativuly 

rocklea coast, and a complete abeence of dangerous 

and sunken reefs and invisible shoals. The movement 

of the sen, if occasionally somewhat unpleasant for 

those ships which must anchor outside for any length 

time, on account of the swell which sometimes 

les pronounced, is nevertheless very regular. 

lere are no violent storms to be apprehended, 

although the wind, during certain months of the year, 

can prove very chilly and inhospitable. The ocean 

curreut comra up from the South Pole, and the waves 

have an average temperature of 7° in excess of that 

of the sea itself, and it U this, no doubt, which con- 

tributm to the cooling of the atmosphere. This 

cunvut is known by various names — "Humboldt" 

^aAer the utoinent German explorer, who is said to 

tve ideatiBed it), the " Antarctic," and " Peruvian." 

has a breadth of 150 miles and a velocity of 

lies in the twenty-four hours, running up the 

from south to north along the entire extent 

ring the summer months there generally occurs 

this wide stretch of even and very sinuous coast- 

n ooean current running in an opposite direction 

at alretuly mentioned, snd which is supposed 

bo a [irotoDgation of the v<|\iatorial currunt, which, 

the altitude of 5' south latitude, dividtw in the form 

'edge into two brmnohes — namely, the greater 

it of 1 50 miles width, and th« lener. which takes 

ion of the north-west. 

have referrul to the many large and small rocky 

its which are found along the coast. I may odd 

inhabited. The most suitable, 

guano deposits which they 

I some extent, contain, are 

Lobos de Adontro, and the 


Guafiape Islands, on the Northern Coast ; the Chincha 
Islands, consisting of three different groups — the 
North, the Central, and the South, all in the Central 
region ; San Lorenzo Island, about six miles to the 
south-west of Callao, and a few unnamed rocky islets 
scattered about up and down the long coast-line. 

Were time and money to be devoted to the close 
study of the larger Peruvian rivers, I am of opinion 
that many of them might be converted into safer and 
surer means for traDsportation ; and where steamers 
can now proceed for hundreds of kilometres only, they 
might be enabled to journey for thousanda Take, for 
instance, the Amazon — or, as it is also called, the 
Maraflon — the Putumayo, the Ucayali, the Punis, the 
Igaraparani, the Lower Ucayali, Yavari, the Madre 
de Dios, the Aquiri, the Morona, and the Napo. 
Steamer and sailing-craft traffics are conducted here for 
the greater part — say at least nine months — of the year ; 
but with continual attention to dredging and some 
engineering improvements, which, if costly, could easily 
be effected, navigation might be carried on for the 
whole of the twelve months. 

Steamers of 6 millimetres (20 feet) draught can 
proceed at high-water down the Lower Ucayali for at 
least 1,400 kilometres: down the Maranon, as far as 
the port of Limon, for 780 kilometres ; down the 
Napo, as far as Aguarico, for 900 kilometres; down 
the Puriis, from Labrea to the Catay, for 1,640 kilo- 
metres ; and down the Putumayo, up-stream from the 
Peruvian boundary, Igaraparani, for 330 kilometres. 

Even at low water traffic is carried on upon the 
Lower Ucayali, as far as Contamana, for 1,000 
kilometres; fit)m Marailon to port Limon, for 780 
kilometres ; and on the Amazon, for 680 kilometres. 
Altogether the Peruvian rivers, during the low-water 
season, will carry steamers of fivm 4 to 8 feet draugW.*^ 

.y Google 


distaDce of 2,720 kilometres, and steamers 
of from 2 to 4 feet, for 4,980 kilometres ; while the 
smaller rivers are open at most times to canoes and 
small row-boats. 

Upon practically all of these waterways the scenery 

is marvellously beautiful. Nature is seen here in her 

most entrancing garb and most bewildering colouring 

— such trees, such ferns, such flowers ; and, alas ! such 

iquitoes and other creeping, crawling, stinging 


_ ' It is in Peru that the superb Cordilleras of the 

Andes are found in their most majestic forms, three 

separate ranges, one more imposing than the other, 

^tretching their chains around and across the country 

I vast links, separating the various watercourses and 

aking up the fertile lajids into valleys of unequal 

length and width, but of uniform fairness, their own 

peaks now soaring into the skies and again sinking 

to considerably below the perpetual snow-Une, but 

always impressive and frequently awe-inspiring. 

Truly, as Ruskin has told us, " Mountains are the 

leginuing and the end of all natural scenery," and no- 

here does one realize this more fully than in the 

iruviau Andes. 

Of volcanoes the country may likewise claim a few 
well-known specimens, such as Tutupaca, which ex- 
hibits two fine peaks and one of which last erupted in 
1802 ; Ubinas and Huaynaputina, which, with the first 
named, are all in the Province of Moquegua, Then 

R« are the magnificent Misti, overlooking and even 
atening the city of Arequlpa : the Coropuna, which 
not yet been correctly measured, but which is 
ared by some geographere to be the highest of 
tho Anilean peakR ; the Hachatayhua and the 
darave. or Yacumani. All of these are in the 
iTvritern Cordilleras; while the one exception is the 

— such 
^V It 
^^Kl vas 
to c< 
^^ Of 


Apucanachuay, which is on the Eastern range, and has 
a crater rising to the stupendous height of some 4,220 
metres (about 13,000 feet). A superb view of this giant 
can be obtained by traveUers passing along the road 
near Tres Cruces, descending from the Department 
of Cuzco to the valleys of the Paucartambo. 

In a country so plentifully supplied with volcanoes, 
it is not surprising to hear of frequent earthquakes, 
with a record of some few bad ones among them. 
Indeed, these visitations seem to have been of greater 
violence in this part of the world than any other, 
if one may judge of the awful destruction occasioned, 
first at Callao and Lima in 1746, and subsequently 
at Arequipa in 1868. The latest visitation of the 
kind was experienced in May, 1877, when the whole 
of the southern part of the Republic was more or less 

The TnontaMa, or forest, region, which is abundantly 
watered by periodical rains, is very extensive, and 
here the young Bepuhlic is possessed of a totally 
untouched reserve of timber wealth, which one day 
will become a precious asset. The belt of forests — not 
merely " woods," but dense, tropical forests, full of 
magnificent trees, such as ebony, mahogany, cedar, 
hardwood, and practically every tropical tree or plant 
known in the botany of South America — stretches 
from the eastern slopes of the Cordillera as far as the 
frontiers of Bolivia and Brazil. It is estimated that 
these same forest lands constitute fully two-thirds of 
the total sur&ce of Peru. The most valuable trees 
hitherto have been found in the rubber {caslilloa 
eldslica) and the olive (olea europaea), both of which 
will undoubtedly be much more generally cultivated in 
the future. 

It may not be out of place to mention here that 
some sample olives grown in Peru were sent fronx 

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Ilo to the Paris ElxhibitioD, and were there awarded a 
gold medal. Much might be done in the direction 
of both growing the tree and using the oil for com- 
mercial purpoees. There is a continual demand for 
the article, but the Peruvians do not produce any- 
thing like enough for their own requirements, and 
it must be, therefore, many years before olive-oil can 
figure in the list of foreign exports to any extent. 

But this is only one of numeroiis mdustries which 
are in their infancy, and need but enterprise and the 
necessary capital to convert them into permanently 
proBtable undertakings. Fruit cultivation of all klndB 
should pay those who pursue it intelligently ; for while 
the Peruvians are great consumers of fruit, they put 
themselves to very little trouble to cultivate it But 
they will buy it eagerly from those who do. 

With the exception, perhaps, of Colombia and Vene- 
zuela, I know of no country in the world where a more 
varied and beautiful /ora and^una can be found than 
in Peru. The latter alone — according to the English- 
man, William Mason, who was a traveller in the Re- 
public some thirty years ago, and who is regarded 
•till as the greatest authority upon the subject — con- 
tained 40,000 different specimens, including many 
birds of passage. This is, unfortunately, not the place 
to enumerate them, even were it within my capacity to 
do so ; but I have determined some day — Deo volente — 
to return to Peru for the sole purpose of studying 
its wealth oi flora, fauna, and pi^cet. 

These latter may be found in a riot of abundance 
in practically all the rivvrs, as well as along the coast- 
line of 1,300 miles, such as the corbina, weighing 
from six to ten pounds, and having a delicious flfsh ; 
the skate, the sole, the plaice, the haddock, the cod, 
tiw flounder, the smelt, the mackerel, in addition 
to the lobster, the prawn, and the shrimp. I have 

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seen BpecimenB of the latter weighing as much as 
one pound each, not exactly the type of fish of which 
Bayard Taylor sings, " Shrimps and the delicate peri- 
winkle, such are the sea-fruits that the lasses love " ; 
but, nevertheless, toothsome and palatable enough. 

Then the butterflies, the gorgeous, glittering, and 
gem-£aahing mynads of insects, some as large as 
thrushes, which flit and flash through the air or which 
whirl in clouds of crimson, of green, or of shimmering 
yellow, over certain spots which contain the flowers of 
which they are most fond. The forests are full of 
them, as of strange beetles, bugs, and other creeping 
things — things, moreover, whichsting and bite furiously, 
and not infrequently impart death-dealing venom. 
Truly a paradise for the entomologist, the zoologist, 
the ornithologist, and all the other " iats," who make 
the works of Creation their special study and interest, 
is Peru. 

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eoaqncrt ot Parn^Reeordj of erueltjr uid oppresuon— loter- 
■M«&a quarrela— Franeiico PiuuTO — Wkr ol Indepeadeuoe — PeM» 
eomptu — Frontier delituiUilooi — Queitbna with Balivim, BncU, 
sad Colombia— Lorelo diipute — DritUb otficen &• refereM'-£xp«dJ- 
lion* M work on frontier deliiuitationa— firitiih MTvioM to Pent— 
Kitiv* eiplontloo expoditiou. 

Plan was the centre from which radiated all the 
Spanish expeditions formed to reduce South America. 
It was the one country which fought the most reso- 
lutely, but quite uselessly, against the Conquerors, and 
history teems with instances of the astonishing bravery 
of these ancient Peruvians who wrestled, entirely 
unarmed, the noblemen and chiefs combating with 
their bare hands against the weapons of their enemies. 
Naturally their losses were enormous, and the in- 
vinciUe Pizarro was enabled to do precisely what 
be pleased with them. 

We learn of no more horrible instance of Spanish greed 
and treachery than the capture and garotting of the Inca 
Atahualpo. Pizarro secured him easily enough, by 
treachery, and could have used him — as, in fact, be did 
— for the purpose of putting an end to further re- 
sistance ; but in spite of the three and a half millions 
of gold coin ransom, demanded and paid for his life, no 
•ooner had the Spaniards secured (and counted) the 
amount of gold brought in, than they put the unfortu- 
nate prince to a hideous death. The only parallel for 
this shocking crime is the burning alive, by Ileman 

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Cortez, of the luckless Guatemoc, the noble Aztec King 
of Mexico. 

Prescott tells us all about thoae aud many other 
terrible deeds done by these European barbarians iu their 
ceaseless search for gold ; and all who would know the 
details of the Spanish conquest of Peru, as well as 
that of Mexico, may read with confidence, if with 
feelings of disgust, this brilliant American historian's 
accounts. It is little less than astonishing to remember 
that during practically the whole of bis literary career 
Prescott was compelled to employ the services of a 
reader, since be was practically blind, as a consequence 
of an accident which happened to him during his college 
days at Harvard. 

Even the quarrels among the Spaniards, and the 
ultimate assassination of both Pizarro and Ahnagro, 
did little to help the Peruvian natives, for their 
earliest tyrants were succeeded by one even more 
merciless — Pedro de la Gasca — and the rest of the 
Spanish adventurers continued uninterruptedly to 
spread themselves across the face of the country, 
Gonzalo Pizarro proceeding to the East, where he lost 
fully one-half of his men in an expedition, but which 
resulted in his lieutenant, Orellana, making the first 
voyage down the Amazon which was ever undertaken 
by a white man ; Gongalo Jimenez de Quesada con- 
quering the laud of the Chilchas Indians and forming 
the kingdom of Granada ; while others went overland 
to the mouth of the River Plate in order to forestall 
the Portuguese, the Spanish King, Charles V., at the 
same time encouraging bis other subjects — the Germans 
— to occupy and exploit Venezuela. 

The land of the Incas is said by no less an authority 
than Sir Clements Markham, who has written upon 
Peru and its interests for something like half a century, 
to have been 250 miles in length by GO miles broad. 

I zee GoOgl^ 


I have no idea how Sir CTlemeiita arrives at his con- 
duMOiui, more especially as other geographers and 
bistortans assert that ancient Peru consisted of the 
whole of the vast stretch of territory now known as 
the Republic of Ecuador, Peru, Bolivia, and the lands 
situated to the north of Chile and of the Argeutiiie 
Bepublic. I thinic Sir Clements will agruu that this 
area of land meosurL'S Komething morv tluin"250 milea '. 
long by CO miles wide." While rjutetioning the 
correctness of these computations, I have no hesitation 
in recommending Sir Clemeota Markhaui's Ijook " The 
Incas of Peru " to the considoratiun of readers who 
desire to octiuaint themselves with an exhaustive and 
painstaking study of Peruvian historj-. Even when 
not quite accurate, Sir Clements is always readable. 

The Incas— the very name oonjares up romantic 
visionB and flings of profoundly melancholy int«re8t 
— were generally regarded as mainly of Quechua 
origin, with a pofisihli< Aymara admixture, but in some 
of the tnt*)rior jiarts of Peru to-day one mtwts with 
people who assun? one that the Incas came from far-olf 
lands and "arrived by sea." Of course, they know 
nothing about it. and merely repeat some of the many 
Iqjends and traditiuna, of which they possess aa in- 
exIiMustible supply, and ihoy rattle them off quite 
glibly, with only a very little Rstount of cncourage- 

It is to be much regretted that, for the meet part, 
all that we possKSS in the way of records of ancient 
Peru are a few paintings of the earlier inhabitants and 
relics uf that Bi>ction of the population — known ns the 
Yunga— of which the lt«st is known. No duubt thort' 
ny valuable and iuteresting rvcords in exist- 
I at the time of the Spauisli invadoa, but these I 

bave been destroyed by the same vandati 
1 eharacteriaed the treatment of eariy Tolt«c 



Aztec relics received at the hands of the Spaniards in 

Blood and slaughter, slaughter and blood, are the 
main incidents which strike the reader who attempts to 
follow the arrival, the conquest, the defeat, and the 
expulsion of the Spaniai-ds in Peru. Braver men never 
lived ; greater brutes never breathed. One's feelings 
are divided between admiration for the stirring, daring 
deeds of valour accomplished and simple loathing for 
the senseless butchery which followed. Treachery, 
jealousy, conspiracy, and assassination confront one 
upon every page of this astounding history, reminding 
one forcibly of the poet Burns' lament : " Man's in- 
humanity to man makes countless thousands mourn." 

Francisco Pizarro. the base-born, illegitimate son of 
a colonel of infantry, and himself as great a soldier, as 
sound a statesmen, and as keen a politician as ever 
any age produced — as we have seen in the previous 
chapter— came to Peru in 1524. He came for a second 
time in 1530; he fought practically every day there- 
after until there were no more Indians to fight — at 
least, no more who had any fight in them. He then 
waged war against his own brothers-in-arms, and there 
followed a long, cruel, and relentless civil war which 
was carried on with all the ferocity and bestiality 
of the Spaniards, Assassination followed execution, 
and execution followed hideous torture. At last 
Francisco Pizarro came into his own. Having executed 
Diego de Almagro, his former lieutenant, Diego's 
young son assassinated Pizarro as he sat at dinner in 
his house at Lima, on June 2(i, 1541 — just twenty-one 
years after he had first seen the golden shores of 
Peru, and eleven years after he had descended upon 
it like a scourge. 

The sanguinary internecine war continued for long 
after Pizarro's death, even the Viceroy, sent out by 


J Charlefl V. of Spain to restore order, being killed 
hi battle waged by the King's own subjects. Rebellion 
ran rife throughout New Spain, and the utter failure of 
the Spaniards to justify their presence iu the country 
ut all — if one except thuir own immense ennchnmnt— 
wan continued right through the Colonial period and 
up to the time of the War of ludependenoe. Did , 
matters improve at all then i Let us see. 

It is a little more than a century — to be accoraitt i 
it was in the year 1806 — since the first rumblings of a 
political upbuaval, which was destined to free the 
whole of the South and Central American Coloniea | 
from the intolerable thnUdom of Spain, were beard. 
Peni. although not tfiking the initiative, and being the 
last of the various Colonies to break away, benefited. 
One, Francisco Miraitda, organised an expedition in 
New York, which was then, as now, the nest of much 
of the turbulence and political conspiracy which have 
troubled Latin- America ; the idea originally was little 
■Bore than a filibustering escapade into Venezuela. 

It was not only to the United States, boweTer, that 
Miranda appealed, for, allured by the prospects ol 
a WOT between England and Spain, this Venesuelaa 
ruvulotionar)' camn over to lji>ndon and had several ' 
interviews with William Pitt the Younger. In the year 
I8fu his relations with the British Prime Minister 
I Twy iutinuite, in spite of the fact that some yean 
' r (Svptember, 1701) wo find Pitt writing to 
ating that " he cannot grant him the 
tasked for nor the sum of I l.OUU " ; and that 
* £500 (which prenumnhly he sent to bim) must suffice 
fiir the expenacs incurre«l during his stay in I^odon." 
It was to William Pitt that the daring adventurer 
onJblded this original plan of revolutioiiixing Spanish 
America. Pitt regarded him as a formidable weapon 
irtio might be used agaiiut Spain ; but there is very 


little reason to believe that the great Commoner cared 
anything about the independence of the Spanish 
American Republics. 

The expedition failed ; but Miranda and most of his 
American mercenaries escaped. But the match had 
been laid, and fiora that time until complete separation 
from Spain had been secured— that is to say, for some 
thirty years — one long, continual, sanguinary conflict 
was waged, in which thousands of men lost their lives, 
others their reputations, and some few among them 
forfeited both. This was the time when such giants 
and heroes as Simon de Bolivar — the brave Argentine — 
Boves, Mordles, Sucre, Paez, and San Martin fought 
with a courage and determination almost incredible, 
and conducted campaigns in a country which is about 
the most difficult, from a physical point of view, for 
carrying on a war of conquest as exists in any part of 
the world. 

The many peace compacts which were signed, first 
with Spain itself, and then when the young States com- 
menced to fly at each other's throats, were as so much 
waste-paper. So far as Spain was concerned, she 
abandoned, only with reluctance, the beautiful and 
fertile laud of the Incas; and as late as 1866 we find 
the Peruvians and the Spaniards at war, the last 
encounter of all, which took place on May 2 of that 
year, being commemorated by a handsome monument 
erected in Lima, and standing some 70 feet in height. 

Although divided into separate sovereign States, the 
question of boundaries which arose caused continual 
encounters, invasions, and outrages ; so that for nearly 
half a century these young and silly countries were 
disputing with one another, and have remained so 
more or less — and rather more than less — almost until 
to-day. It was only last year that a fresh encounter 
was threatened between Peru and Ecuador over a 




, Trail 

iiidary dUpulc which haa lastod a full century. 
Bat for tbe great good sense and admirable restraint 
manifested by Preaident Augosto B. L^uia and his 
advisers, nothing coutd have prBvent«d a clash of arms, 
which would not only have ended with the defeat 
of Ecuador — much the weaker of the two— but have 
probably dragged in Chile and perhaps Bolivia, with 
the resalt of a wboleeate South American entangle- 
ment, in which all of the States muat have suSered 
pecuniarily, financially, and morally. 

In this matter diflTurent versions of the dispute must 
inevitably oocur; but inasmuch as this oiakee do pre* 
tenee of being a fwlitical publication, the details of tbe 
oontroTersy must be sought eiaewhere than in these 
pages. To those who are interested in the matter to 
saeh an extent as to wish to study with closeness the 
merits and demerits of the Peru-Ecuador Boundary 
Question, I would suggest the [wrusal of tbe following 
Treaties and Agreements which were entered into, and 
ich Iiavii important bearings upon the mibjoct : The 
,ty of Amity lietween Columbia and Peru of 1832; 
le Agreement of the Delimitation Commission of 
1830 ; The Demarcation Trwity of 1841 ; The Boundary 
Trvaty of 1860; Tlte King of Spain's Arbttratiou 
Award of 1 887 ; Tbe new Treaty of Boundaries of 1 890 ; 
The Tripartite Treaty of 1894; The Convention of 
IU05. A lengthy list of agreeuieuts in very truth, 
ooropri»iug \-olumes of litigious history, most of which 
have been valudeaa and barren of results. 

At the time of writing, friendly — or at least diplo- 
matic — relations have been restored between Peru and 
Ecuador through the intenrention of mutual puaoa- 
makisrs— tbe Goveniments of Argentina and Brazil — 
and although Ecuador has stubbornly refused to submit 
th« boundary qtustion in Peru to the arbitration of 
tbtt Usgtte "nibaoaJ, tberv is rvoson to feel pleasure at 



Peru and Bolivia having decided to refer their differ- 
ences, also arising over boundary questions, to the 
Royal Geographical Society of London. I feel the 
greater satisfaction in this recognition of the Society 
by reason of the fact that I am, and have for some 
years past been, a Fellow. Neither is it the first 
occasion upon which the Society has been requisitioned 
to act in disputes between two foreign countries upon 
a matter of frontier delimitations. After the late 
King's Award in respect to the boundaries between 
Chile and Argentina, based upon the investigations 
and reports made to his late Majesty by Colonel Sir 
Thomas H. Holdich, K.C.M.G., K.C.I.E., C.B., a Vice- 
President of the Royal Geographical Society, and 
which Award was delivered in November, 1902, both 
Brazil and Bolivia agreed to a treaty making important 
changes on their common frontier, and providing that 
any disagreement which might arise in the demarcation 
of the new boundary, and which the two Governments 
could not themselves settle, should be decided by the 
Royal Geographical Society of London. 

The same learned body obtained for Bolivia the 
services of Major Fawcett, who was in Bolivia at the 
same time that I was there last year (1910), in order 
to define the boundaries between the neighbouring 
RepubUcs, Bolivia and Peru. Major Fawcett had 
already completed his preliminary reconnaissance, and 
upon his decision to the efiect that further modifica- 
tions would be necessary to define accurately the 
delimitations of the common frontier, the Governments 
of the two countries are acting. 

This is a great compliment to British prestige, more 
especially as the services were not volunteered. 

It may be pointed out, however, by the impartial 
critic that this boundary question differs materially 
from usual squabbles of the kind in which the " honour 



[the* flag" and the "dif^nity of the nation" play 
ninetit parts. Here there ia Involved a kHoub 
■tton of territory — valuable territory — no less than 
I d«nrable provinoe of Loreto. This large tract of 
1 oovera an exteosivo region in the very centre of 
nth America, and is divided into northern and 
inthern eeotiona. Peru claims the northern section 
1 Ecuador, and as this claim means the yielding up 
f oboat one-fifth of the entire territory, it is not dlffi< 
cult to uoderstaud Ecoador's objection to giving way. 
In rvgard to the southern Mction, Peru has claims 
Against both Bi'azU and Bolivia. Moreover, the 
Republic of Columbia would also be involved, since in 
daya gone by Ecuador ceded — for a sufficient oonsidera- 
tioa — a portion of the disputed territory to Columbia, 
and aboald Peru secure in its favour a judgment to its 
posBBSsion, this portion would naturally have to be 
giTen up also. The United States Government has 
already recognized Peru as the legitimate ownera <^ 
this territory. 

Pliny's axiom, f^'ihii enim anjue ffralum t»t adeptis, 
tptam eoneupixmtibiu, does not spply to Lands ; for the 
more oouatries have the mcve they want, and the mere 
sense of possession, even though it be valueless from 
an economic point of view, seems to afford satis&ctiou. 
As I have observed, however, this is a dispute which 
nHmna the loss, or the acquisition, of a territory un- 
usually rich in timber, rubber, and mining possibilities, 
and which any country would r^ard with feelings of 

Several British officers have been supplied to the 
Peruvian Oovemment, at the request of the Minister 
in Loodou, for the purpose of carrying out tho de- 
maroatioos of the newly accepted frontiers of Bolivia 
wad Pent. The party formed con si sted of Colonel 
J. Wuudtoffe, it£. (who bos bad previous ttx- 


perience of Ixmndary - surveying in East Africa), 
Captain H. S. Toppin, Lieutenant M. R. Naiison, and 
Lieutenant C. G. Moores. They left England early 
in January last, and they expect to be absent on 
this mission for at least three years. Both Captain 
Toppin and Lieut. Nanson are Fellows of the Royal 
Geographical Society, and hold its diplomas for sur- 
veying. Colonels Fawcett and Woodroffe joined forces 
at Juliaca (Peru) last May, and proceeded via Tira- 
pata to the Inambari and Madre de Dios Rivera, 
where the Hurvey of the boundaries conimenced. 

Not to be undone in the matter of expeditions, 
and recognizing that since " the mountain will not 
go to Mahommed, Mahommed must go to the 
mountain," some North Americans have organized a 
little undertaking to explore Peru on their own 
account. One, Professor Hiram Bingham, was to 
have left the U.S.A. on June 10 last, and to be ateent 
until December next, donig " archjeological, geographi- 
cal, and historical exploration." What the party 
expected to accomplish of a practical character in six 
short months, including the time spent upon the 
journey there and back, it is difficult to imagine. 

There have been several women travellers, writers, 
and explorers, who have exploited Peru as a happy 
hunting-ground from time to time, and some, I am 
sorry to say, have left anything but a pleasant memory 
or an enviable reputation behind them. There has 
been one notorious female, of alleged American 
nationality, who continually rode alx)ut the Republic 
in man's attire, and whose general conduct created 
no small amount of scandal wherever she bent her 
footsteps. An intolerable nuisance to her all-unwilling 
hosts and a disgrace to her own sex, this woman will 
be readily recognized from this description among 
those who had the misfortune to know her. 






On the other hand, there have been several promi- 
nent and weU-recommended ladies who have travelled 
extensively in Peru, and who have astonished the 
natives by their extraordinary powers of endurance 
and physical pluck. Mrs. Uarie Kobinaon Wright, 
who has written a considerable number of handsomely 
produced volumes upon the Latin-American States, 
will be remembered ; and her book on " Old and New 
Peru " will have made her many warm friends in that 

Another American lady who has left behind her 
many pleasant memories is Mrs. Harriet Chalmers 
Adams, the very handsome and accomplished wife of 
Mr. Franklin Adams, Chief Clerk of the Pan-American 
Union, and Editor of that excellent publication, "The 
International Union of American Republics Bvdlettn." 

Mrs. Adams, who has spent three years in the Latin- 
American Republics, and has travelled 40,000 miles 
therein, also visited Peru, and travelled it from end to 
end. She not only made the usual and often very 
fatiguing pilgrimages to Cuzco, Arequipa, Titicaca, and 
other places, but she undertook a horseback trip, in 
the oonipany of her husband, extending over 1,000 
milee across the Andes, passing the height of 17,000 
feet among the eternal snows. This intrepid young 
lady then followed the down mountain-trail into the 
savage and almost unknown montatia country, and at 
the end of the road journey passed many days and 
nights in a small and cramped canoe, and often 
trudged through the dense forests on foot. Mrs. 
Adams relates how, on these travels, she encountered 
the wild Indians known as the Chunchos, as well as 
numerous 6erce beasts, strange birds, and innumerable 
deadly insects ; certainly, for a woman delicately and 
luxuriously bred, her experiences may be deemed 
almost, if not quite, uniquei 

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In the meantime, the Peruvian Government is en- 
couraging native explorers, several reliable partiee 
having of late months started for the interior, assisted 
by the authorities. Among them is Captain Juan 
Manuel Ontaneda, Chief of the Hydrographic Office in 
Lima, who is commissioned to make a comprehenBive 
study of the geography of the Department of Loreta, 
to trace the course of its rivers, and prepare for con- 
sultation and reference the necessary maps and plans 
relating thereto. Captain Ontaneda is being assisted 
by Captain Carlos F. Garcia Kosele, and First- 
Lieutenant Manuel A. Sotil, all three of whom are 
practical experts. 

As soon as the expedition has completed its labours, 
and which are expected to occupy a considerable 
amount of time, a full and detailed report will be 
made to the Government, which will publish it for 
distribution, the idea being to assist private persons 
and public organizations who are interested in the de- 
velopment of the very fertile and promising section 
of Peru, wbo can thus avail themselves, and benefit 
indirectly the country itself, of the bountiful resources 
of this region. This is true and legitimate enterprise 
upon the part of a Government, and sets an excellent 
example to others. 


rrMlilenI Anruta B. Lenlft— Dr. Oeniuui Lagnf* ; MkrtliiM— Dr. 
EugBtilo Lvmburo j Ubuiiu — Dr. Julio Enriqna Ego-Agnlrr« — 
Dr. Enriqna G. Baaadra — SeAor Doa Enriqoa OTansuran— Dr. 
Edmando N. da Habieb — Don Carloa 0. (Vdamo— Dr. CMloa 
lArrabnra j Corraa— Safior Edoardo Lembeka — Farurlan Lagation 
io Loodon— BriUab Hinirtcr to Pam— UnlWd SUtoa Hioiater and 
Conmlj — Britiah Conml-Qananl at T.tifia. 

Ma!<y of the reigning Presidents of Latia-American 
States are capable linguists, most of them speaking 
French and some few English. The two Chief 
Magistrates who shine most conspicuously in this 
direction are the President of Peru, Seizor Don 
Augusto B. Legufa, and the President of Costa Rica. 
SeAor Dr. Ricardo Jimenez. The former might very 
well pass for an Englishman, so admirably does he 
express himself in our language and so free from accent 
is his pronunciation. 

Sei\or Don Augusto B. Legufa was bom at Lam> 
biiye<{ue in 1863, so that he is still a comparatively 
young man. His early education was conducted at 
Val{>araiBo (Chile), and upon completing this he 
came tiack to Uma, where he entered one of the 
leading native commercial establishments. Although 
obtaining speedy promotion, young Legufa resigned 
his post in order to enlist as a private soldier during 
the war bt^tween Peru and Chile ; and he then dis- 
tinguished hioiself grvatly, and especially at the 
memorable battle of Mirafloree. 

Peace being proclaimed, the young soldier devoted 
himself once again to mercantile pursuits, becoming 

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special agent, and later General Manager, of the New 
York Life Assurance Company in Peru, Ecuador, 
and Bolivia. Later, the Company withdrew from this 
part of South America, when Sefior Legula started 
the now well-known office La Sud Aradrica, which 
his great administrative ability soon established as a 
popular and prosperous institution, 

A short while afterwards there waa organized 
another important enterprise, the British Sugar Co., 
Limited, which owned an extremely large area of 
territory in the Cafiete and Nepafia valleys, estates 
which have been pronounced to rank among the most 
important and the most skilfully managed in Peru. 
Senor Leguia remained as General Manager of this 
Company up to the time that he was elected to the 
Presidential Chair in September, 1908 ; and the same 
ability which he had displayed in organizing and 
controlling these and other great industrial under- 
takings has served him in his more responsible position 
as Chief Magistrate of the Republic. 

Five years previously Sefior Legula had practically 
commenced his political career. In 1903 his gi'eat 
genius for finance had attracted the attention of 
President Candamo, and, after much persuasion, he 
served him as his Minister of Finance. How well 
founded was the President's belief in his new adviser, 
and how shrewdly he had gauged his ability was 
speedily proved ; for from the time that the new 
Minister took over the control of the finances of the 
State they commenced to improve, and they have 
consistently advanced since. In another part of this 
volume, in speaking of the financial conditions of 
the Republic, I have referred more fully to the 
prominent part which Sefior Auguato B. Legula has 
played in their reformation. 

What the famous JoaiS Yves Limantour was to 

[SBSOK Don A«..i;*to B. I.eihIa.] 


and ' 
I Gour 


From there he went to Ecuador, From his early 
youth. Dr. Leguia y Martinez has been known as 
a clever and vigorous writer, his contributions to 
didactic literature being celebrated, indeed, beyond the 
confines of his own country. He is a man of powerful 
intellect, quJet and unobtrusive disposition, possessed 
of great tact, and, in fact, he is as good an example 
of a. cultured Latin- American diplomat as one can hope 
to meet with. Dr. Leguia y Martinez's sympathetic 
attitude towards foreigners and foreign enterprises, as 
well as his courtly and dignified manner, render him a 
distinct acquisition to a Cabinet already rich in cultured 
and talented men. He is still on the sunny side of fifty. 

Dr. Eugenio Larrabure y Unanue, first Vice-Presi- 
dent of the Republic, is not only possessed of great 
literary and scientific attainments, but he has travelled 
considerably, his most recent visit to Europe having 
taken place in December of last year. Dr. Larrabure 
y Unanue represented his country as Special Ambas- 
sador at Buenoe Aires, during the Centenary Cele- 
brations of last year ; he has had many valuable oppor- 
tunities of studying different countries and peoples, 
of which he has always made the greatest use. 

Dr. Julio Enrique Ego-Aguirre, ex-Ministro de 
Fomento {Minister of Promotion), was born in 1862, 
and waa considered one of the most brilliant students 

Guadalupe College. Later on, he studied jurispru- 

ice at Sail Carlos, and in 1885 he graduated as 

lly qualified lawyer. The annals of the Peruvian 

lurts contain no more remarkable records than that 
of this clever young barrister's spirited and vigoi-oua 
defence of the famous criminal Machiavelli, an oration 
which is said to have both astonished and delighted his 
auditors, and which succeeded in establishing an imme- 
diat-e reputation for its author. Up to that time no 
one ill Peru had heaid, nor had luiagined, a defence 

IS ( 


Tweed upon the assumed irresponetbility of the accused ; 
but since then the theme haa frequently been pleaded, 
and is now cited as a common defence in all countries. 
'he theories of Lombroso had then, however, made but 
ittle stir, and certain it is that young Ego-Aguirre 
lad not these, nor indeed any other theories, in his 
mind at the time. In fact, he himself created a new 
teaching, one which has since found general endorse- 
ment and adoption. It may be added, that so powerful 
was his defence of MachiavelH, that although the 
criminal was actually convicted and condemned to 
leath, the sentence was subsequently revoked. 

For some years Dr. Ego-Aguirre resided in Oruro 
and La Paz, in both of which places he distinguished 
himself. In 1885 he went to Iquitos, where he 
remained for a considerable time, having filled several 
responsible positions in the administration of that city. 
In 1907 he was elected Senator for the Department of 
Loreto, which he continued to represent until his 
ippointment to the Ministry of Promotion. He has a 
and intimate acquaintance with the commercial 
and industrial progress of other countries — European 
and American alike ; and his broad sympathies with 
foreigners generally have made him extremely popular 
th residents in Peru. Under his directorship, the 
inistry of Fomento has encouraged and promoted 
many very valuable and useful undertakings, not the 
least of which is the comprehensive library of works 
dealing with the resources of the country and the 
numerous opportunities which exist for adding to and 
exploiting them. Dr. Julio Enrique Ego-Aguirre 
is considered one of the most distinguished and 
vanced men of his day, for whom further national 
lonours are undoubtedly in reserve. He has recently 
in paying a lengthy visit to Paris for the purpose of 
eatablisbing in that Capital an Information Bureau in 


connection with the commercial and industrial progress 
of Peru. 

Dr. Enrique C. Baaadre, ex-Minister of Government, 
was born in Tacna, in 1847. His education com- 
menced in the English school of Valparaiso, Chile, and 
waa continued at the National College of Guadaluiie, 
Lima, fi-ora which he graduated to enter the National 
College of Medicine, taking hia degree as physician and 
Burgeon in 1873. The next four years were spent in 
post-graduate work in Europe. 

Dr. Basadre ranks among the foremost physicians In 
Peru, and is known principally in connection with the 
founding, in conjunction with Drs. Ganoza and Morales, 
of the Bret institute of electrotherapy, and in relation 
to his notable army and navy hospital work. As a 

I student at the Medical College, he volunteered for 

^^Hrrice and fought with such good eflect at the battle 
^^H Dos de Mayo that he was specially mentioned 
^^H^i^P^^^^ ^y Colonel Inclan, who was in command. 
^^^B the commencement of the Pacific War he offered his 
^^^Bvicee gratuitously, and was appointed physician of 
^^tne frigate huieptiidencui. being, according to the 
record, the last man to leave her decks when she was 
destroyed at the battle of Punta Gruesa. 

Upon his return to Lima after this disaster, 

Dr. Basadre gave his serv'ices during the Callao bom- 

bai-dment. Later, he took charge of a ward at the 

Hospital of San Bartolom^, where he bad the good 

I fortune to attend Dr. Cavero, President of the 

■^tttauvian Cabiutjt, who was wounded at the battle of 

^^^■nflores. Dr. Baaadre not only saved hia com- 

P^PSbriot's life, but, in spite of contrary professional 

' opinions at the time, be refused to amputate the left 

onn which was ii^jured, and of which Dr. Cavero has 

^^A^aod excelleat u§e to this day. 

^^^HJpou tho Chtltau occupation, Dr. Basadre resigned 


from the hospital, refufltng to work under the orders of 
the enemy's surgeons. Dr. Basadre is a prominent 
member of various commercial organizations, and also 
the Government representative on the directorate of 
the National Steamship Company. He is extremely 
active in the Pro-Marine Association and in other 
patriotic movements. 

An ex-Minieter of Justice, Culture, and Education 
is Dr. Antonio Flores, whose late administration of 
this Department of Grovernment was attended with 
the happiest results. At no time in the history of 
the country has education been at a more advanced 
stage than at present, and, as will be seen in Chap- 
ter Yin., which is devoted to the consideration of 
this section of the Government's work, the progress 
effected is in every way gratifying and encouraging. 
Dr. Antonio Flores is himself a man of considerable 
attainments and of great culture, in every way quali- 
fied to control a branch which, to use the words of 
Horace Mann, in his famous " Lectures upon Educa- 
tion," alone can "conduct us to that enjoyment 
which is at once best in quality and in6nite in 

General JosA R. Pizarro, who bears a name famous 
in Spanish military history, was until recently Minister 
of War and Marine. He is a soldier of brilliant 
record, and possessing a thorough knowledge of mili- 
tary and naval matters, acquired both at home and 
abroad. Both branches of the national defence have 
of late years received careful and systematic atten- 
tion at the hands of the Government, and this &ct 
is freely explained in Chapter IV., which is devoted 
to the description of the Army and Navy of the 
Bepublic of Peru as they are found to-day. General 
Job6 R Pizarro effected much to eonsohdate the good 
work introduced by his predecessors in office. He was 

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a strict, but a kindly, disciplinarian, and he was as 
much esteemed by the rank and file as be was liked 
by his officers and appreciated by the Executive. 

Seflor Don Elnrique Oyanguren, ex - Minister of 
Finance and Commerce in the late Cabinet, brought to 
this high and important post a wide experience in affairs 
of State and commerce generally. His career may 
be said to have commenced in 1883 as amanuensis 
in the Department of Justice, where he successively 
filled various positions, eventually becoming Director- 
General While thus engaged, he had occasion to act 
in connection with many important cases. This Depart- 
ment, which has under its charge all public instruo- 
tiou, is distinguished by the ability of its several officers, 
and Se&or Oyanguren served as Visitor-General in this 
l»«nch, and prepared the first statistical treatise on 
education in Peru. In 1895, after declining the 
appointment of Consul at Panama, he was made 
Consul 'General at Valparaiso, where he remained 
until IDOl. In that year he was entrusted with more 
than one important and delicate commission in con- 
nection with the provinces of Tacna and Arica, and in 
relation to the military 8er\*ice of Peruvians resident in 
Tarapactl, in carrying out which he achieved signal 

Iteeuming his consular office in Chile, he remained 
in Vali>arai8o until 11)08, being then named Chai;g^ 
d'Affaires at Santiago. In 1909 he was appointed 
Minister I'leniiwteutiary of Peru in Ecuador, a post 
which he judged it prudent to decline, in view of the 
attitude which lie had been compelled to adopt as 
Churgi^ d'AffaireH, anil [Mirticularly his formal protest 
to SfAor Agustin Edwards, then Minister of Foreign 
adiiirs, and now the Chilian Minister at tlie Court of 
St. James's, against the attempt to "Chilenixe" the 
Peruvian Proviuoes of Tacua and Arica, and in oou- 



sideration of the open incitement of Ecuador by Chile in 
the attempt to make trouble for Peru. 

Returning to Peru after renouncing the Ecuadorian 
Mission, Seiior Oyanguren became Superintendent of 
Customs, where he has had the opportunity of display- 
ing the business abihty which had been acquired during 
his diplomatic training. In many positions of trust 
which he has held under and in the Government, 
Senor Oyanguren has been most diligent to the 
interests of Peru, and has proved himself a man of 
great discretion and a generally competent judge. 

That highly important Department known among 
the Latin-American GJovemments as " Fomento " — 
Promotion, as we should call it in our inadequate 
and inexpressive language — has, besides a Minister, a 
permanent Director. A distinguished occupant of 
this post is Dr. Edmundo N. de Habich, a young 
but very brilliant man, now in his thirtieth year. 
Dr. Habich, who was born at Lima in 1882, was 
educated at the University of San Marcos, the oldest 
educational establishment in America, and he took 
practically every learned degree which could be held, 
until in 1903 be entered upon his subsequently dis- 
tinguished diplomatic career. Like several other 
Government officials, he selected the legal profession, 
and soon, after qualifying, he was appointed Secretary 
to the Minister of Fomento, and the same year to 
the Superior Board of Health. In 1903 he was the 
chief organizer of the Section of Agriculture and 
Immigration, the year following becoming a member 
of, and Secretary to, the Commission of Weights and 
Measures, and subsequently special commissioner of 
the Depai'tment in lea, Huancayo, Jauja, and Cerro 
de Pasco. In 1907 he was promoted to be Director 
of Fomento ad interim, being confirmed subsequently 
in the post. His services here have been recognized 


^Kextremely raluaUe, aad ondoabtedly they are both 
^^^ ardaoos and rMponuble. As time goes od they 
^Bl, uo doubt, become iiioreasiagly so ; but Dr. 
^Hluch has already evuioed so much capability, and 
^■0 dvnionKtmUKl fio concliusivcly hix HUimu for the 
^^■ition which h<> holds, timt thure can be no question 
nf his bein^ enabled to grapple with and to Batisfy 
the dumands which will bo made upon him. 

The appointment of Dr. Carlos Larraburo y Correa 

to thv position of Chief of the Infurmalion Bureau in 

Parts, uatablished early this year ( 1 'J 1 1 ), lias proved 

^BJiappy Bulectioii. Ur. I.,arr&bur» y (^rrea bad been 

^Hfe Acting MiaiflttT uf Promotion ("Fotnento") at 

^Bana for some time, duriug the abseooe abroiul of 

^H*. Matto, and be is himself a mau of wealth and 

^BoeUeot &mily. He was born iu 1676. und at an 

^Briy ag(> went to Spain, wheru biii fnthvr, who is at 

^Be prespnt time First Vioe-I'rtvident of the Kepublic 

Bpr Peru, was diplomntic representative. I>r. l^Arrabure 

•tndiud at the College oftiuadAloupe. and later entered 

the UniTorsity of Lima, taking the courses of Admiuis- 

^Tjfttion, Political Science, and Jurisprudence, and ^fradu- 

^■Dg in 1899, and in Political Saenoe in 1900. He 

^HH entered tbe Government servioe in 1901 ■• 

oeoreiary of the Ministry of FomenUx serving until 

1903. AAerwards he became Chief of tbe Boundary 

IJmita Sectifxn of tbe Ministry of Foreign Aflairs, and 

Dinjctor of thi* MinisteHo of Fomento, which had I 

founded hy his father. Dr. Lanabure is Profes 

Political Kcounmy in the National School of Agnonl-l 

ture, and he is the author of a great number 

valuable publications — uotAbty a work, in eighteen'' 

volomes, upon tbe "Department of Loreto." He is 

alao a member of the IJnin f ifngraphical Society, of 

tbe Lims Atbeoeum, of tbe HisLortcul Institute uf 

Peru, and tbe Wubington Geographical Society. 



The Republic of Peru is represented in Great 
Britain by a Minister (who is resident in Paris), two 
Secretaries, an Attache, a Charge d' Affaires and Consul- 
General, a Coneul at Liverpool, and one each appointed 
to Southampton and Glasgow. 

Don Carlos y Candamo, the Minister, who is a 
member of the famQy of a former President of Peru, 
is but rarely seen in England, but he is a well- 
known and eminently popular resident of the gay 

The resident representative of the Republic in 
London is Senor Don Eduardo Lembcke, Charge 
d' Affaires and Consul-General. The Legation is at 
104, Victoria Street, S.W. Senor Don Lembcke is 
a highly cultured and accomplished man, well vereed 
in diplomatic matters, and both speaking and writing 
English with great fluency and accuracy. Senor 
Lembcke creates an immediately favourable and 
sympathetic impression with all who have business 
with the Legation, and his ability in dealing with the 
complicated questions which not infrequently arise, 
show him to be a thorough man of the world. 

The Secretaries are Senor Don R. E. Lembcke and 
Senor Don E. Leguia, the latter a younger brother of 
the President of the Republic, and both being young 
men of great charm of manner and distinction. 

Senor Don Bernardino Codesido is the Consul at 
Liverpool, Senor Carlos G. Est^enos at Southampton, 
and Sefior Don M. D. Derteano at Glasgow. 

The Legation and the Consular offices are usually 
kept well informed in regard to commercial matters, 
and since the establishment of the new Government 
Information Bureau in Paris (to organize which the 
ex-Minister of Fomento, Sefior Don Julio Enrique Ego- 
Aguirre, stayed for some months in France), it is 
possible to obtain comparatively recent statistics and 


reports ooDcerDJiig the uidustriiil and comnit^rcial pro- 
gnm of ibe couutry. This new ofHce will be of great 
bonitfit to foreign tnulent in Eun)[H< genorally, and it 
u to he hopiirl that. lat«r ou. thu Govorntnenl of thu 
Republic may be induced U* open a branch in I^ondon 
or Iaver|>ool, or even in both cities, the commercial 
reUtious between the two countries thoroughly 
warranting such an enterprise. (iSt-e Apj>cnduc.) 

The Cuited States Minister Plenipotentiary to Pern 
is Mr. Uern-y Clay Howai-d, Envoy Extraordinary. 
He BUCceetliM) Mr. I^ie Combs on April '^4, i'^\\, 
and is occupying the same building as the Legation— 
Quinta IJeeren. .American interests are rapidly 
augmenting in this Republic, and they will rvach 
cousidcntble imjmrtauce so soon as the Panatna Canal 
opens in Jiuuary, 1915. 

The British Minister is Mr. Charles liouis des Graz, 
the l>>gation being at Pasiki Colon, No. 346. He is 
al>(>ut fifty>tw<> yeiire of age, having been bom in 
March, I SCO. Educated at Uarrow, be took his B.A. J 
at Trinity College, Cambriilge. In 1884 he wul 
uominntixl Attachi}, and the same year he paoiKd a m 
oompotitivo examination, when be was sunt to Con- 1 
stautinoplo. Mr. des Gnir lias served at Athens, the n 
Hague, St. Petersburg, Teheran, Rome, Celtinj^, 
Bolivia, Ecuador, and linally Peru. He speaks 
Russian, Persian, Turkish, and Spautsh quite fluently, 
aod be is one of the most amiable and popular 
diplomats who have come to Lima — a great impnive- 

ut, indeed, upon bis prudeoeSBor, who displayed aa i 
unding propetisity for rubbing people, and especialljrfl 

kials, the wrong way. n 

On the whole, the British Government has sent 
thoroughly represnitativo men to Peru, the following 
'aviug boon Hinisten nnoe 1850: In 1652 Sir 

ward Harris, who, Uku his luaoessor, wu, uutil 

. Cfrooa 



1906, also Consul-General ; in 1853 Mr. S. H. Sullivan, 
who was aBsassinated in August, 1857 ; in 1857 Hon. 
William G. S. Jerningham, and who served until 1872 ; 
in 1874 Sir C. E. Mansfield ; in 1894 Captain H. M. 
Jones, V.C. ; in 1898 Mr. William N. Beauclerk, who 
served until March, 1908, when he died at his post. 
He was raised from Minister Resident and Consul- 
General to Envoy Extraordinary and Minister Pleni- 
potentiary, the post of Consul-General being made a 
separate appointment. 

Both the British and the United States are ex- 
ceptionally well represented in the Consular Service, a 
fact well worth recording, in view of the generally 
unsatisfactory nature of our consular representatives 
throughout Latin-America, a matter which has at- 
tracted very serious attention, and upon which I have 
commented at length during the past twenty years 
and more. 

Mr. Lucien Joseph Jerome, F.R.G.S., is the British 
Consul-General at Lima, and has had a distin - 
guished and useful career. Born in March, 1870, he 
was at first employed in the Consulate at Nice, which 
position he occupied from 1890 to 1897. He was then 
placed in charge of the Vice-Consulate at Monaco, where 
he remained but three months (July to October, 1897), 
when he was removed to a similar position at Havana, 
Cuba. He served as Acting Consul-General there from 
July 6, 1898, to March 27, 1899, and during the 
troublous times between the United States and Spain 
Mr. Jerome was placed in charge of American interests 
in Cuba, and continued to represent these during the 
whole term of the American -Spanish War. So ad- 
mirably did he perform his duties, that he was sub- 
sequently made the recipient of the warm oflBcial 
nks — conveyed in the form of an extremely graceful 
—from the United States Government. Mr, 


Jerome lefl an altogether excelleut Itnpreasion among 
ihn large Ameiicnu population at Havana. 

Pn>inot4Kl to hv Britisli Consul for the UiiittKl States 
of Mexico (the States of Vera Cniz, YucatJiu, Cam- 
peche, and Tabonoo excepted), Mr. Jerome left to reside 
iti Mexico City in February, I8d!t. He was also 
Acting CoittulUeneral of Port-au-Prioce (Haiti) from 
August, 190.S, to January, 1906. A new CommiBsion 
was issued to Mr. Jerome as Consul for the United 
States of Mexico in January, 1906. The following 
year, however (1907), he was promoted to be Consul- 
Geoeiml fur Great Britain in Peru, and he was put 
in (diarge of the Legation at Lima from March to 
November, 1908. 

Those manufacturers and trudera who would seek 
inspiration from our Consular tradi* re{>orta must 
•WDetimes aak themselves why so much divergence 
of plain and easily aacortainahle Guts ahoald occur 
in these usually meagre and IVequently misleading 
pamphlets. In connection with Peru, for instance, we 
eve the British CodsuI at Lima, in 1903, sending home 
a piece of information which is flatly contradicted by 
his sucoeasor in 1907. The extracts read as follvws : 

CoiurLAM Rktoxt or Mr. L. J. 
Jeiohi, No. 4,074, roa nti 
TiAi 1007. 
"Tba demand for bunga- 
lowi doM not miat. . . . 

" Oriaioly nowlwr* nro 
hoosai cxttutmeted of ohaaper 
matarial. . . ." 

CoxtcrLAs RsKtar bt Us. St. 

Jon, No. 8,683, Mt ras 

Yau 1905. 

"There nay be aoosMr or 

lalar aa upeoiag (or iron bun- 

galows and ottwr bnildin^ uf 

varioos dMoriptioni. . . . 

"BaUding in the chi*( 
ooaat twwiuis«zp«wrB. . . ." 

LVben these critics of foreign trade do by chance 
w, it may be asmuned that thuir " unanimity is 

WUUaai Ueory Robertson, the United States 



Consul-Greneral at Callao, Js a son of a former Con- 
federate General, and was educated in hia native 
State of Virginia and in Charleston, South Carolina. 
He entered the Consular Service when quite a young 
man, hia fii-st foreign post being Hamburg, Germany. 
After four and a half years there he was superseded 
upon a change of political parties in the United 
States, and it was not until 1900 that he found 
another post. Meanwhile, he had travelled about 
Europe and South America, and as a reward pre- 
sumably for his services, lie was appointed by the 
Republican President McKinley to a Canadian Con- 
sulate, Rather a " rolling stone," however, Mr. 
Robertson again left the Service to embark upon a 
commercial career in New York. Tiring of this, he 
entered upon an examination under the r6g[me of 
Mr. Roosevelt, and finding encouragement as soon as 
the Consular service was put upon a permanent basis, 
he was appointed to Gothenburg, Sweden, where he 
remained for one year. He was then promoted to 
Tangier, in Morocco, continuing there until transferred 
to Callao, Peru. 

The United States Government consider that Peru 
is well worth looking after from a trading point of 
view. Both in New York and in the principal ports 
of the Republic an exceptionally competent staff, con- 
sisting of a Consul and a Vice-Consul, have been em- 
ployed upon the business. 

The Peruvian Consul- General at New York is Sefior 
Don Eduardo Higginson, who was born at Callao, 
in March, 1862, and educated at the University at 
Lima. Although possessing an Anglican name, he 
is a true Peruvian, and served in the war between 
Chile and Peru from 1879 to 1881, attaining the 
rank of Lieutenant in the National Guard. Senor 
Higginson is not unknown in England, having been 



I'Oeucnil, ChaoouUor, Vioe-Cousul, iiud sub- 
iquently Consul, at LomJon, Liverjiool, and South- 
Upton. When here, he vras very saccessful In 
treating interest in, and sympathy towards, Peru, 
hftvini; oontributad many striking articles rt'lativo 
to that country. As an instanou of Sellor Htgginsou's 
Ot^rpriae, it is worthy of mention that he sent out to 
; collection uf no fewer than 20,000 different 
uniercial catalogues, iu order to stimulatti trade with 
feurope. as well as publishing, at his own expeiwe, 
dtatributiug some ten years ago, about 40,000 
ipie> of a large coIgutimI tnap of Peru, bearing on 
reverse complete iuformatioti of a practical 
«ter in English, G(>rman, Dutch, and Swedish. 
Pcniviaii Consular Offices in New York are in 
! Exchange Buildings, 25, Brood Street. 
, The Uiiitod Stated Government has so completely 
,keoed to the importanoe of i(s Consular Ser^'ioe 
mt it now de«pst«be8 ita reprtwentativtw ujron tht- ir 
way with the same amount of ceremonial 
DtioD that it bestows upon some of its fullv 
lited Minist«^ Thus, when Mr. Charles C. 
irrhardtt od« o( 6vd Consuls- at -Largo of the United 
lattis of Ainerica, visited Pi>ru in the month of 
October, I!) 10, be was brought to Callao in a U.S. 
cruiser, the y'orlioim, and his arrival was greet4Mi 
with a Biilute of ten guns. This almost re^al recoff- 
~ ijiiou of a consular appointment compare* i 
irith the furtive and secret manner in which 
ritish Consuls sneak into their poets, such, 
utce, Ml the arrival at Anttifagasta, Clitle, of 
Godfrey Hewett, the British C>>nsut. who came 
iom Pernambuco, and was sIIowimI to land mthout 
pe singlt' Eiiglishinaii or Englishwoman out of tlte 
Dtire ainHtdunible British Colony going down to 
•vt him. 

tovermnent — Departments — Provinces — Dialricta — Exocntive power — 
Population— Judicial BdminiBt ration — Jurisdiction of Courta— Con- 
grew — Minislera' portfolios — Local government — Departmental 
Boards— Navy— Strength in 1911— Army— Strength in 1911— French 
Military Mission ^ Armaments — Peruvian aoldiere — Full fighting 

The Republic of Peru is divided politically into 
twenty-two different Divisions, known as " Depart- 
ments," ea^h of which has its own local government 
and its separate capital. They are differentiated 
between by the appellations of "Department" and 
"Littoral Prnvince," and these are subdivided into 101 
minor provinces, which, yet again, are split up Into 
districts. The Departments are under the control of 
Prefects, who receive their instructions from, and 
are subservient to, the Secretary of the Interior ; 
the Provinces are controlled by Sub-Prefects and 
the Districts by Governors. 

The following are the Departments : 

Amazonas, Ancachs, Apurimac, Arequipa, Ayacucho, 
Cajaniarca, Cuzco, Callao, Huancavellca, Iluanuco, 
lea, Junin, Lanibayeque, La Libertad, Lima, Loi-eto, 
Moquegua, San Martin, Piuia, Tacna, Puno, and 

Of these the two Littoral Pmvinces are Moquegua 
and Tumbes. 

For purposes of readier reference, I give, opposite 
the names of the different capitals, the smaller 
provinces, and the districts, as well as the superficial 


, K J i . =• a| sis 1-5 fig 
I ' I a .-I -s ii =x I I sSs at 

sg" 8 5^" g" s" s'8"ss|S| I'sssss s ■"" s 
li »■* s is' S s" ass"s'=!S 3Esi*s S- s 

i lilfliijktlijlJ.^ 



area iu kilometres, with the estiraatetl population. In 
regard to these, however, it is necessary to add that 
no census has been taken in Peru since 1904, statistics 
being furnished by the Lima Geographical Society, 
and not being official. For all practical purposes, the 
total population of the Republic may to-day be taken 
at 4,600,000 — a figure which I believe to be below, 
rather than above, the mark, especially if the Japanese 
and Chinese immigrants are taken into considera- 

In 1896 (ten years after the last census had been 
taken) the Lima Geographical Society estimated the 
total population of the Republic at 4,609.999, although 
the previous census had placed it at only 2,657,853. 
Of these inhabitants, it has been estimated that 
57 per cent, are aborigines, 23 per cent, of mixed 
blood— white and Indian or negro and Indian — the 
remaining 20 per cent, being descendants of the 
Spaniards, some 6,000 or 7,000 Europeans, 15,000 
Chinese, and 900 Japanese. The Chinese are gradu- 
ally dying out, the immigi-ation being now entirely 
forbidden by the law of May 14,1909. (See Appendix.) 
Up till now no really precise account has been kept 
of the movement of population, but with the increased 
attention which is being devoted to such matters 
by the officials in Government employment, reliable 
statistics and accurate reports may be obtainable 

The administration of the law in Peru is in the 
hands of a Supreme Court, which sits in Lima, and 
nine Superior Courts, which have jurisdiction within 
certain prescribed limits. For more facile reference, 
I give the names of the various cities where these 
Courts have their headquarters as well as of the 
places within their particular jurisdictions : 




Huns The wholo of the Depulmest of Aneaolu. 

Aj«qnip« The Department of that nune, the Littonl 

Frovmce of Uoqnega*, uid the Provuieea 

of Tmm Mid TuBta. 
Aywoebo TheDeMrtmrulof that nune, that of Hatu- 

eaTelioa, the ProTiDoe of Andahnaihw in 

the Department of Aporimae. 
Cttjamarca The Department of that name, and the 

Department* of Amazona* and Loreto. 
C«iM Tha Department of that name and the 

Department of Aporimae except the Prov- 

Inee of Andahuauaa. 
LAlib«rt:>d The Department of 'that name and the 

DepMtment of Lamhaveque. 
Lima The Department of that name, the Depart- 

menta of lea and Junin, the conetitntlonal 

Province of Callao, and the Department 

of Ho&nDCO. 

Piura In the Department of that name eolelr. 

Pono In the Department of that name lolely. 

Up till tho war with Chile a Court sut at Taciia, but 
since then it haa been suspended, all judicial matters 
being transferred for decision to the Court sitting at 
Arequipa. The Provinces, with but few exceptions, 
have minor courts, where Judges of the First Instance 
sit, as well as Justices of the Peace. 

In civil cases which relate to sums of money not 
exceeding 160 nc/^ (^16) i" value, and in minor 
criminal cases, the Judges of the Primary Court have 
jurisdiction. The Supreme Court is a court of appeal 
also, and revises the decisions of the courts below, tho 
decisions in this cose being final. It also hears claims 
against the Government, and its delilffirations and 
judgments are conducted with much decorum, and are 
usually sound in law. The legal rights of foreigners 
are strictly conserved. According to thf 132nd 
Article of the Constitution, "The law of the land 
protects e4|ually all persons, and the civil rights of 
individuals are granted, invsjiective of station or 
nationality." (See A]i|>endix.) 

The Uovernment of the Itepublic is democratic and 
repruseutativo, and is carried on under the Con- 

Digitized byGOOgle 



stitution of 1860. which is the last of eight different 
Constitutions which have from time to time beea 
promulgated. The Legislative, the Executive, and the 
Judicial are the three maiu branches iuto which the 
Administration is divided, and all three are carried on 
independently of one another. Neither hereditary 
nor prescriptive rights are recognized. Congress 
alone Is privileged to impose taxes, while all public 
servants, even those occupying the highest offices 
under the Government, are amenable to the Courts. 
The Coustitutioii grants freedom of the press, 
immunity from arrest except upon direct order of 
a Judge, the inviolability of all private correspondence, 
the freedom of trade and industry, the sanctity of the 
home, the right of assembly, and the privilege of 

The Executive consists of a President, who is elected 
for a period of four years by the general vote of the 
nation ; two Vice-Presidents and six Secretaries of 
State, or Ministei-s, each having charge of the fol- 
lowing portfolios : Home Department, State Depart- 
ment, Department of War and Marine, Depart- 
ment of Finance and Commerce, Department of 
Justice, Department of Public Works, and Fomento 

This last office is one which is found in aJl the 
Latin-American States, and its equivalent is difficult 
to define, because it really does not exist in any other 
countries. Its object is to "promote" enterprise and 
to encourage undertakings likely to be of some 
advantage to the nation ; and the Government usually 
construe the definition very liberally, extending a 
helping band to, and supporting financially, many 
schemes — as often as not the ventures of foreigners — 
which may attract their approval and merit their 

' Power consists of two Houses, 
he Senate and Deputies. Tim 
f of repreeoutatives who are elected 
r the Dwpftrtmanta, each returning from one to four 
lembers, in proportion to the number of Provinces of 
hicb it ooasistA. The Deputies are composed of 
pneentatives sent up from ejich of the Provinces, 
Tor each 15.000 to .30,000 iuhabitautfi. Both 
I arf< elected for a period of six yearn. The 
erobers must, however, be Peruvian -born, and, in 
der to be eligible, must be over tweDty-tive years 
Senators must have attained thirty-6ve 

The local Government of the Republic is par* 
ticularly well distributed, being in the hands uf 
Municipal and Departmental Boards. The Municipal 
Bovda oonsist of meml^ers elected by popular vote, 
and are known as Provincial Councils and District 
Oounols. The first-named serve tbo Provinces, and 
the aecond the Districts. With the exci^ption of 
educational maticra and control of the police, these 
eils have a very free hand, and, as a general rule, 
Hj oany out their functions both intelligently and 
tly. All such ofUces are filled without remonera- 
while the revenues are derived partly from 
Butiici pat -owned property or enterprises, but [Hrin- 
Uly from local taxes, known as arhitrioa. To 
npose these, however, the sanction of the Executive 
loTerament is necessary. The Provincial Councils 
t as a kind of healthy check upon the proceedings 
of the District Councils, and possess thu right of 
rerising their decisions. And they very ol\en ito su. 

Finally, there are the Departmeotal Boards, whose 
dotiea consist in attending to pablio works, the 
enetioo of bridgw, the eooatnetioa and maintenanee 
of pablie roads, assiatiog at the oooduot of eduoatioo, 



and distributing charities. They can also revise and 
overrule the acts of the Provincial Couucils. 

During the disastrous Pacific War of 1879 to 1884, 

when peace with Chile was proclaimed, and which has 

since been kept, although sometimes with difficulty, 

I the Peruvian Navy was completely destroyed. With 

I the gradual revival of tiuaucial prosperity, the 

I Government of the country has devoted its attention 

I and as much of its revenues as could be safely spared, 

I to a reconstruction of this maritime defence, and year 

I ^y year sees introduced an addition here and a perfec- 

Ition there. The Navy proper is composed of three 

 twin-cruisers, which hear the names of some of the 

many heroes of the unfortunate war referred to, 

such as Alndrante Grau, Coronet Bolot/ncsi, etc., and 

three transports, etc., the whole number of vessels 

, amounting to about fourteen. At the end of the 

I current yeai- (1911) the Republic will have five 

I auxiliaries to her naval power in the event of war, 

I as the vessels of the Peruvian Steamship Co., all of 

I the type of the Ucmjali, are now being subsidized as 

I auxiliary ci-ulsers by the Peruvian Government, 

I In regard to equipment, the Peruvian Navy is now 

being gradually and effectively provided with all the 

latest scientific inventions of value. For instance, a 

complete wireless telegraphy outfit, devised and jier- 

fected by Seiior Don Guillermo Wiese, of Callao, has 

[ been installed on the cruiser Lima. The vessel is thus 

' enabled to communicate with others carrying wireless 

installations within a 100-mile radius. Professionals 

are on the alert as to the outcome of Seiior Wiese 's 

invention, which, according to those who have seen it 

I in operation, is perfect and reliable in every way. 

I The Government's decision to equip the Lima with 

I his system should in a great measure serve as an 

I eccouragemeut to the inventor, Seiior Wiese, who has 


S « go 

" 1 3 1-1 

I Is 


si' £= 

i» .11 


i is 





,db, Google 

■^ imssiot 
^^fe Captaii 


spent several years in studying and perfecting it. 
During the visit of the United States battleship fleet 
in 1909, the inventor, with the incomplete elements 
of which he then disposed, established a wireless 
Btatlon, and successfully communicated with several of 
the vessels. 

Historians have declared that had the ancient 
Peruvians been a more warlike race the Spaniai-ds 
would probably never have become so completely their 
conquerors. Certain it is that the Incas established 
so complete a peace throughout the land, and, by a 
mai'vellous system of true socialistic government, 
supplie^l the people with all their material wants, 
that they lost the art of war, and this benevolent 
despotism unmanned them. 

That their descendents of to-day, however, have 
regained whatever fighting propensity they may have 
lost is proved by the heroism displayed by the Peruviana 
during the last war with Chile, as well as during the 
many previous struggles with Spain and among them- 
selves. In all probability the Peruvian soldier of to- 
day is the toughest, as he is unquestionably the most 
amenable and malleable fighting, material In the New 

In the year 1896 the whole of thePeruvlan Army under- 
went complete reorganization, the Government having, 
under the newly-elected President Nicolas de Pierola, 
enjoyed the services of a number of distinguished French 
officers, known as the French Military Mission, to 
carry out the reforms. This Mission consists of: The 
Lieutenant-Colonel, who is the Head of the Mission ; 
2 Cavalry Captains ; 2 Infantry Captains ; 2 Artillery 
Captains ; 1 Engineer Corps Captain ; 1 Veterinary ; 
I Farrier; 2 Gymnastic Instructors. The Head of the 
Mission ranks in Peru as a Brigadier- General, the 
Captains racking as Lieutenant-Colonels and the 

, GoO' 

ARMY 49 

Ueutenants u Hajon, as does also the Vct«riimry. 
No spetnal nwk is nvardeU to tiw Gyntnastio In- 

Every duferenoe U |inid to the Heiul of tho Htssioti, 
his advice Wiiig solicited — aiid, what is more, prac- 
tically always CoUowed — in mattura coniit.>cted with 
instruction and thu organization of the Army. He 
is Buhject, however, to the orders of the War De- 
partnienL Ona of the Captains is in charge of 
the MUitary Hi^^h School, while another acts in a 
capttcity at thu Military- Academy at ChoriUos; the 
similar either officers act ob Inspectors of Musketry. 
The oflBoers wear French utiirorm, with the insignia 
oorrespondmg with their rank in the Peruvian 

According to the Army List of 1905, the Peruvian 
Amy consisted of the following : 

Qtntnlk oa tht Mtn Um 

The rank and file are composed of the following : 
Artiliety. — One r^uieut of mounted artillery, with 
three gTt>u|Mi of three batterico, aud 500 men with a 
detachment of n further ilH man at Lu«to. 

Infantry. — Seven hnttalions, each consisting of four 
companies ; a seetim of the line is for staff service, and 
a detachment of SO men in the mountain section of 


A uxilitry Corfu. — General Army CommisMrtat, 
Ordnance Store, Military Health Deportment, 
Snpnme Military and Naval Council 

^ Gjosle 


Armaments. — The infantry are armed with Mauser 
riSes of 78 mm. calibre ; the cavalry and the mouDtain 
artillery with the carbine of the same model; the 
artillery with field batteries of the latest type of 
Schneider- Canet make. 

The new military law of December 27, 189G, seems 
to have been a very drastic and complete ordinance, 
entirely remodelling the rules of serving and also the 
length of service. Up to that time there had been 
no conscription in Peru, the fighting force of the 
country being formed by recruiting almost entirely 
from among the aborigines. The officers were obtained 
by drawing from among the students of the old 
Military Academy. 

To-day, the standing army is formed of both 
volunteers and conscripts. These latter are recruited 
from each Department impartially, all boys of nineteen 
years being eligible. They serve four years in the 
artillery and cavalry, and three yeai's in the infantry. 
Evasion of immediate military service can he arranged 
by payment of 500 sols (£50). by securing immunity 
from drawing lots ; the successful evader then passes to 
what is known as the supernumerary list. To escape 
immunity entirely is impossible. By a payment to 
Government of 1,000 sols (£100), the young men who 
would rather not join the regular army are placed in 
the first reserve, the supernumeraries forming thus a 
tangible and useful dei-nier ressort in the event of a 
long and exhausting war. 

The first reserve consists of ex-soldiers, up to thirty 
years of age, and married men and the students from 
the Universities or Technical Schools between nineteen 
and thirty years of age. The second reserve is formed 
of men between thirty and thirty-five years of age. 
In conjunction, these two reserves are Departmentalized, 
in each political division there being a battalion of 


ARMY 61 

Bappera consisting of 448 men; in eleven of them, 
cavalry squadrona of 169 men ; while Lima musters a 
corps of each arm, the artillery being a mounted 
section consisting of 650 men. 

The National Guard is composed of men from thirty- 
five to fifty years of age. In the event of casualties 
occurring in the re^'ukr and permanent army, replace- 
ments are drawn fii-stly from the volunteers, secondly 
irom reserves, and thirdly from the conscripts. 
Although Peru has a population of over 4,000,000, 
every year provides 40,000 youths — or 10 per cent, of 
the population — of nineteen years of age and upwards. 
All these are subject to draw lots, but only about 
1,500 or 1,600 are actually drawn. 

Peni is divided into four military districts, which 
are subdivided again into eleven conscription areas, 
comprising the twenty-two pohtical Departments. The 
capitals or headquarters of these districts are : 
Northern, Piura ; Central, Lima ; Southern, Arequipa ; 
Eastern, Iquitos. 

The General Staff was further reorganized in 1904, 
and is now placed upon the same footing with, and 
analogous to, the staffs of all European Armies. The 
Head, who is the Cliief of the French Military 
Mission, has under him a Commander and an As- 
sistant Commander, whose commands are subdivided 
as follows : Organization and Instruction ; Tactical 
and Statistical Studies ; Technical Studies ; Topo- 
graphical and Geographical Studies, 

To all who have seen the Peruvian soldier on the 
march and in the field of manoeuvres, it must be 
apparent that the instruction carried out by the 
French Military Mission, under Colonel Clement and 
other distinguished French officers, had been of the 
utmost value to the country. Just as the naval 
instructors from England transformed the navy of 



Chile into an admirably efficient arm, so has the 
thorough training undertaken by the French officers 
raised Peru to the position of one of the most 
powerful fighting forces in South America. The 
average peon does not, at first, afford the idea of 
becoming a very promising addition to an organized 
army. But in actual experience he makes an excellent 
piece of fighting material. He is absolutely faithful to 
his officers ; he is docile, amenable, contented with 
little — and sometimes with nothing — to eat ; he is 
accustomed to sleeping anywhere and anyhow ; he 
can climb up mountains like a cat and slide down 
precipices like a deer ; he does not know what phy- 
sical fatigue means ; in the bivouac, on the march, or 
in battle, he is always the same — perfectly serious, 
wholly unemotional, and he fights like a man who 
knows neither fear of death nor any scruple in dealing 
it. Bravery and endurance are so conmion among the 
Peruvians that they would not understand any praise 
for possessing these virtues, nor could they compre- 
hend any lack of them among the men of other 

The first President of Peru who attempted to re- 
organize the Army and Navy was neither a military 
nor a naval man, but, on the contraiy, a stern opponent 
of military dominance in the government of the 
country. Seiior Manuel Pardo, who became Con- 
stitutional President in 1872. established as a pre- 
lirainaiy step the schools for Corporals and Sergeants, 
as well as that for Midshipmen of the Navy ; the 
School of Science and Art; the School of Engineera ; 
the Faculty of Administrative and Political Economy, 
and he reformed the Military and Naval Academies. 
Unfortunately, from the very beginning of his 
rdgirae, Pardo was confronted by the lack of money 
and the practical banki-uptcy of the country (see 

I zici.Goo^le 

Chapter VI.). President Nicolas de Pierola added 
some artillery barracks in 1897. The total mobiliza- 
tion force of the Army is certainly nothing less than 
24,000 men, quite apart from either the reserves or 
the territorials. 

The President (Don Augusto R L^ut'a), in his 
speech to Congress delivereid at Uma on July 29, 
1911, concluded as follows: 

" I intend to continue acquiring war material. 
Peru's policy will always be peaceful. Peru will 
ofiund none, l>ut will not permit anyone to offend 
her with impunity. I feel sure that my policy will 
dissipate all clouds on the horizon. I hope a year 
hence to transfer the presidency under conditions 
of peace and order which will prove that Peru bos 
advanced to full RepuUican stability." 

Digitized byGOOgle 


GoTcrnment (continued) — Samiaiy organization — Medieal Board of 
Health — Marine Sanitary Service --Iiima Board— Isolation at porta 
— Telephonea— TelegraphB — ImproTementa effected— 'Wireless station 
— Postal services — InoTease in mail-matter — Femvian and Britiah 
racthode contiaated^The carriage of newspapers and other publioa- 
tione — Aviation enoonraftement. 

With commendable good sense, the Government of 
the Republic — no doubt inspired and encjouraged by 
the excellent results which had attended the sanitary 
purification of the once pestilential Panamd — have 
devoted much time and more money to introducing a 
very comprehensive and complete sanitary organiza- 
tion throughout the country, and especially in the 
Capital. The Republic, as a whole, is free from many 
of the terrible tropical diseases which are prevalent 
in these latitudes. Yellow fever, sleeping sickness, 
and leprosy are almost unknown, and in any case 
they have seldom attained any great headway among 
the people. Other diseases are, perhaps, no worse 
in their frequency nor more disastrous in their con- 
sequences than those in any European country. 

In 1903, signs of bubonic plague were observed, and 
this was the first time that any appearance of the 
much-dreaded disease had occurred. Immediately it 
was detected a sanitary service was organized, and 
a Board of Public Health was instituted. The most 
competent and experienced among medical and scien- 
tific men were invited to join it, and did so. The 
disease was attacked promptly and scientifically, with 

Digitized byGOOgle 


lie result that not only was it preveDtcd from 
ipreading, hot was soon oompleloly baoisbed. It 
> not minoe recaired, except in one or two isolated 
imported caseB. 

AithoUKb far from attaining that completeness of 
efficiency which will, no doubt, be achieved in course 
^ time, the Medical Board of Health has proceeded 
; and, in addition, there has been formed a Superior 
lUnoil of Hygiene, composed of several celebrated 
1 of seienoe, and notal^ members of the Faculty of 
dioine and the National Academy. 
Then iheiv is the Marine Sanitary Service, which lb 
divided into three principal centres — one at Callao, the 
principal port of the Republic ; one at Paita, a 
northern port of only second importance ; and the 
third at Ila Upon arriving at any of these ports 
ships are subjected to a very careful and tliorougb 
examination, no doubt n littl» Irksome to the oiHcere 
and the piUMeng«m, but absolutely necessary under the 
drcumatanoes. Each centre hag a properly qnalifitKl 
medical staff, and only the most modem of equipment 
is used for disinfecting the vessels. Other Ptnuvian 
ports maintain medical officers, who are instructed to 
keep a watchful eye upon all incoming vessels and to 
make periodical rvports to one of the three principal 
oentns. For the regular lines of coasting-vossals 
caUing at Peruvian ports, tliere exists a special ssrvice 
of sanitary inspectors, who continually travel up and 
down the const on the ships, and maintJUn a keen 
utlook for any sign of infection on board. The 
iovemment reserves the right to detain and disinfect 
ir ship if it is found to be neosasary. 

iting to note that Peru was one of the 

I oountrios which signed the Washing- 

1 tor Intematiunal Sanitary Control, and 

the Ooveniment regulations are in acoordonce with 


I the rules and regulatious laid down by that Conven- 
[ tion. 

So far as the interior arrangements for sanitary 
control are concerned, the cities and towns have their 
own local bodies, which are composed of municipal 
oiBcials under the supervision of the local medical 
officere of each Province, who, on the other hand, 
receive direct instructions from the Lima Board of 

Isolation stations are established in Lima as well 

as in other principal towns, where patients are re- 

I ceived who may be detained upon their arrival from 

I infected ports. Lima has also constructed a special 

hospital for smallpox cases, a disease which at one 

time was very frequently met with, but now is almost 

exterminated. The National Institute for Vaccination, 

in conjunction with the Local Vaccination Board, have 

done much excellent work in the direction of eradi- 

Ciiting this horrible disease. 

b The telephone system has been installed throughout 

I Peru ; but here, as elsewhere in South America {Buenos 

Aires, Santiago de Chile, and Valparaiso excepted), 

the system leaves something to be desired. Poor as it 

is, however, in some parts of the Republic, I think 

it less hopeless than the National and Post Office 

[ systems of England — anything more aggravating or 

I more inefficient than these one could hardly find in 

I any big city the world over. 

I The telephones in Lima are iu the hands of a 
Company, which has a vast network of wires to 
neighbouring towns and hamlets to deal with, and 
numerous — mostly dissatisfied — subscribera. The main 
cities, such as Arequipa, Cuzco, Trujillo, Piura, 
Cajamarca, Cerro de Pasco, Huduuco, and lea, have 
. theii' own systems. The total distance covered by the 
■rfcelephone wires for public use in the whole Republic 


1 2, OOO kilometreB, besidee the n amentus 
ate installmtions. 

Smaller CompAaies have been from time to time 
formed — there being no pernicious monopoly in Pern 
aa there is in "free" Elngland — along the coast, and 
a fairlj complete instftllation now spreads from north 
to south. For instance, a local Company eetabliahcd 
in Los Andes has direct communication with another 
at Pacumayo, and with yet another so far as Caja- 
marca — a distance of 19G kiloint-tros. While, as 1 
have said, it is o|>en to anyone and everj-onu to install 
the telephone in Peru, the inspection and control of 
ovitrb(»d wires repoan in the hands of the Government ; 
that is to say, they are under the management of the 
Pont and Telegraph Department By general consent 
it is admitted that at no tmie within the economic 

itflf}' of the country have these two services 
bed a higher degree of efficiency than daring the 
of tlie Leguia (Jovemment. Having had much 
to avail myself of both, I fully endorse this 
expressioD of ooramendation. ThemaiiypuUie servants 
employed— both male and female — are noted for their 
extreme politeoeas and aitentivetieas. How much 
might some of our haughty and Impertinent officials 
learn from them I 

Wireless telegraphy, the apparatus for which has now 
boun fitted to the Peniviao Navy vessels, was first intro- 
duoed into Peru in oonnoction with an agreement with a 
German Company— Telefunken • Gesellacbafl — which 
erected experimental statkms at various pointa, and cn- 
oooraged by the sttcoeis achieved Id some directions, 
the Govenuneat determined to adopt the radiographic 
■errioe, to operate in the extensive sone of the Amasonio 
[>elta, a region which emboMses an area exceeding 200 
kilooetras — namely, from Puerto Bermudec, on the 
Biver Piefaii; to Mscisea, on the River Uoayali. Those 

I uni ail' 

I it is ad 





were the earliest experiments which had been made 
with radiography across a territory so completely 
covered with dense tropical vegetation. 

Ordinary telegraph wires erected in these regions 
are not only subject to deterioration and ruin by the 
damp atmosphere, which In any case has a very bad 
effect upon them, but they are not infrequently 
destroyed by falling trees or completely covered up 
in their extraordinarily rapid and vigorous growths. 

The first stations for the wireless Installations con- 
sisted of three towers, each being 45 metres in height 
(about 147 feet). The system was next extended 
to Iquitos by means of intermediary stations ; and 
subsequently to the montana. 

It is interesting to recall that some years ago BrazU 
attempted, but without success, to establish wireless 
telegraphy through the dense forest i-eglons, and 
which resulted only in a repetition of the failure 
made by the Belgians in the Congo. While I was 
in Rio de Janeiro last March (1911), the Minister of 
Posts and Telegraphs kindly explained to me the 
whole matter of installing wireless telegraphy through- 
out the Republic, and mentioned incidentally that 
SIgnor Marconi was very anxious to obtain the con- 
tract, but his prices were so " unreasonably high " that 
the Government had decided to pass by his tender, 
and probably would award it to the De Forrest Wire- 
less Telegi-aph Company Instead. 

A new installation, including the erection of an 
80-metre tower, is to be established on San Cristobal 
Hill, which rises above the city of Lima to a 
height of over 1,300 feet, and therefore admirably 
suited to a wireless service. It is the intention of the 
Government to use apparatus of sufficient power to 
enable direct communication with Iquitos, which is 
separated by a distance of 700 miles. If this should 



pfOTO impracticable, on nccount of the great height of 
the Andeau rauges, the lowest point of which is 
15,000 feet, an intermtnliate station will be equipped, 
and will doubtless prove effective. 

Peru has seldom been far behind the rest of the 
vorid, and very often in advance of it, in introducing 
new inventions for public use. As we shall see later 
00« it was tbe first of the South American countries 
to build a steam tramway, as it was the flrst to intro- 
Aaea tbe Telefunken system of wireless telegraphy. 
The Republic may also lay claim to having erected 
OOe of the earliest electric telegraph lines — iu 1864 — 
Hba-i from Lima to Callao, separated only by a distance 
of wven miles, it is true, but a fi«at in those days, 
ooDndering that the electric telegraph had only been 
niTeated and brought into use in Kurope {liondon) 
in 1837. To-day there are over 5,500 kilometres of , 
Oovemment linos — the State took over the admiuia- 
tration of the telegraphs in 1875 — while another 1,000 
kUometns remain in the hands of private parties by 
mrrangMnent with the State. In 1910 a further 696 
kUometras were built, as against but 4.V2 in 1909. 

Tbe admiuistratioii of the t^legniphs is divided up 
into fUflferent lunes, each of which is under the sur- 
Tmllaace of an Inspector, and all of whom are 
responsible to, and controlled by, the Cieneral 
Direction of the Senrioe at Lima. Altogether there 
are some twenty-tbreu central offices, "31 local offioee, 
twenty inspection districts, snd 10,288 kilometras of 
line in operation. A staff of not fewer than 350 
petBOUS is employed. The Government owns all the 
with tbe exoeptiou of the rmilway telegraphs, 
~ eae ore also available for public use. 

rates charged to the public are not by any 

I exoesiivfl, being 40 cents (about lOd.) for a 

I up to ten vrords, inoloding tbe address and 



Bignature, and 4 cents extra for every additional word. 
Special press-rates are enjoyed, newspapers being 
granted a reduction of 75 per cent, from the usual 
charges. The telegraph system of the Republic joins 
on to the lines of Ecuador and Bolivia, which, in their 
turn, are worked in connection with those of Colombia, 
the Argentine Republic, and Chile. With the rest of 
the world cable communication is maintained by means 
of the West Coast of America Telegraph Company and 
the Central and South American Telegraph Company. 

In conjunction with the other West Coast 
countries (Colombia and Chile), Peru is linked on 
to the European systems at St. Vincent, while the 
Central and South American Company has also cables 
from Noi'th America to Valparaiso, via Coldn (Panamd,), 
or Vera Cruz and Salina Cruz (both in Mexico). 

All those who have lived in Latin-American coun- 
tries, and especially in Brazil, have experienced the 
difference which a good and a bad postal service can 
mean to pleasant and profitable residence ; and 
whether he be merely a transient visitor, dependent 
perhaps upon the mails for his future guidance, or 
a permanent resident, who relies upon it to conduct 
his business transactions, the regular and dependable 
dispatch and distribution of the mails are of the 
greatest importance. 

In Peru no branch of the Peravian public service 
has been more radically reformed than this, and 
to-day the Postal Department is found to be among 
the most efficient of any in the Republic. Not only 
is correspondence faithfully and speedily delivered, 
but it is absolutely, and at all times, safe from 
pillering or suppression, which is seldom, I fear, found 
to be the case in some of the smaller States, such as 
those of Honduras, Nicaragua, and in at least one of 
the larger — namely, that of Brazil. 





I extensive a territory as that of Peru, the 
of a thoroaglily efHcient postal servioe 
i matter retjuiring mucii care, patience, and 
bat it lias be«u effected, aud the results are 
lily satisiactory. Pace has boen kupt with the 
I incn-use in the trade and population of the 
ntry, and thiH expansion au^ents day by day. 
^Although, by a special recitation of the Guvern- 
he receipts of the Post Office do not God 
1 in the General Revenue, in practice they are 
nl to meet all the ordinary expenses, while for 
the past five or ax yean they have yielded a con- 
sideraUe surplus. For some time previously the 
~ nvian OoremiiHmt had been iu debt to the Postal 
lion in regard to its oontributioD ; but so well have 
I afiaiis of the native postal arraogemeDts been 
ndled of late that every ctntavo formerly in arrears 
has long ago been deand off The steadily risiug 
inoonw derived from the sole of stamps, fees on parcels, 
extra postage upou oorrespondeoce, and commission 
upon money-ordeni, dow enables the Post Office to 
deal fiilly and without hesitation with all matters 
of expenditure coming within its department. 

From 1900 to 1^05 the total revenoe from these 
different sources increased from £32.250 to £58,276, 
ur an im[nx)vi!ment of £20,026. When we remember 
that in 1S08 the whole revenue scarcely exceeded 
£26,000, we aee that in some seven years the income 
frMu these receipts has more than doubled. The total 
increase of mail-matter carried within this period 
(dating from 1M)1 to 1905 only) was over 7.850,000 
itoms. For the past year (1910) a further substantial 
inerasae has to be recorded, and the Govenmient has 
bean abundantly rewarded by the results attending 
itwtreased authorixed outlay upon the Postal 


Since July, 1910, more attention has been devoted 
to issuing postal statistics, aod the department 
charged with this work is now both well organized 
and well maintained. 

The administrative service is divided into different 
districts, or " Prioclpal Post Officer," the most remote 
being at Pala, in the north, and close to the frontier 
of Ecuador. The most distant in the south are 
Desaguadero and Sama, upon the frontiers of Bolivia 
and Chile. In the east there is a principal post office 
situated at Iquitos. There are now twenty-four prin- 
cipal offices in all, while fifteen years ago there were 
but seven for the whole of the Republic. Foreign 
money-orders can be obtained for any of the European 
countries, the United States of America, and prac- 
tically for all of the Latin-American States. 

The Head Post Office building in Lima is a mag- 
nificent and ornamental structure of pure white stone, 
with massive bronze railings to the windows, and 
surmounted by imposing bronze statues. It is open 
to the public day and night and every day of the 
year, Sundays included. The clerks employed are 
male and female, and the public are treated with the 
utmost courtesy and consideration. 

The Parcels Post organization in Lima {the central 
office for all such Items) is particularly efficient, the 
least possible trouble being given to those who either 
Bend or receive parcels ; far different, indeed, to either 
Rio de Janeiro or Buenos Aires, where dispatchers 
or recipients of foreign parcels are regarded by the 
officials almost in the light of criminals, and are 
treated with about as much courtesy or consideration. 

A great improvement In the Peruvian service was 
effected by the establishment of the principal office 
at Iquitos. It is now possible to conduct all business 
from that office direct with foreign countriea, whereas 



fbrmerlj nvui^thiug had to pass, for the purposes of 
Custoaui examiniition, thmtigh Limn. 

The Government, with the increased revenue, has 
oonstitently reduced the rates for posta^ and has not 
sought to make the Postal Service a means of large 
profit Such has been for many yoars the policy with 
thu British Goverumunt. Another lihenJ and sensihle 
principle — uni> which it would be illusive to BDp[>ose 
our arobaio pontal authorities would ever adopt — is 
to carry all new8)Mi[)er8, whether ]>olitical, sciontitio, 
commercial, or literary, free of charge witliiii any 
purtioii of the Republic. I believe that the same 
regulations are adoptMl in Australia, Canada, nnd the 
United States, the Government thus increasing i 
utility of the press and nffbrding at the : 
a valuahle impetus to local trade. So far from carryic _ 
trade publications frve iu Great Britain, our onlight«ned« 
Goverameot actually penalizes the owners hy mskiugj 
them pay at higher rates thou those clutrged upoD 
ordinary oewspapers, and enforcing harsh and un- 
reasonable restrictions as to the exact proportions 
of readiug-nuitter uud advertising-matter, the hizm and 
number of th<t supplements, et<:. — in a word, rendering 
as difficult niid as onemus us possible the conducting 
of a trade |>uhlioition, in contrast to the ben 
and discriminating ]K>licy of Peru. 

As may well he believed, the Govemment ^ 
not allow the study of aviation to lock support, mors 
especially since the atteuttou of the wbdo worid was 
but a year ago drawn tu the heroic Jorge Chaves- 
Dortnell, the Pt.'ruvian uirmati, who was the tirst human 
being tu cross the Alps on a 6ying- machine. The 
Govummeut, ut the time of this young aviator's dnith, 
■uhsorihed Xt.OOO towards the cost uf a monument, 
which has just bueu erected at Lima, to hts memory ; 
and now it has given its patronage to a Nationol'l 


School of Aviation, the first establishment of ita kind 
in South America. 

The School has recently been opened at Lima, the 
Director being Seiior Juan Bielovucich, and his assistant 
Seizor Henri ChaiUey. The attendance is limited to 
twelve pupils, and of these the Government is paying 
the tuition of eight. The tuition-fee is X180, and the 
pupils will be held responsible for all damage done by 
them to the apparatus. The machines in use at 
present are Yoisin biplanes, imported from France, 
and equipped with Gnome motors. 

There already exists one notable airman's club, the 

' Peruvian Pro-Aviation League, which was organized 

in the month of September, 1910. The President is 

General Pedro E. Mufiiz. Societies have since been 

organized at Lima, Callao, and other cities. 



I bei 




inco — Loans and their history — Period of prosperity (oHowed by 
severe restriction— Ertravaganoe of former QovernmentB — Guano 
revenues — Restoration of Peruvian credit — Recent borrowings^ 
Arran^ments with British creditors — Peruvian Corporation — 
UunJoipal loans —Tax -collecting Agency- -~Be venue and espeDditure 
— Custoiue receipts — Foreign commerce— Budget for 1911-12. 

Peru, in regard to itH national finances, has not 
escaped the troubles and complications which have 
been coramon to all the Latin-American States — and 
most of the European — in their evolution of progress ; 
but it differs from them in this respect — viz., it has 
had to face most of its difficult economic problems as 
a consequence of the several changes of administration 
which came about during the early years of its in- 
dependence. A special voltnne might be written upon 
the development of the finances of Peru ; and it 
becomes a matter of some difficulty to compress 
ithin a single chapter anything like a comprehen- 
Ive review of the country's past financial conditions. 
The first loan raised by the young Republic was 
for the sum of XI, 200,000 at 6 per cent, 
interest. So little confidence did the English Issuing 
house have in the financial stability of the young 
country that they insisted upon deducting three 
years' interest — that is to say, the sum of ^216,000 — 
while, of the balance, less than one-half was handed 
over in cash, the remainder being in the form of 
lunitiona of wai* — quite the usual practices of the 
As may be believed, this amount did not 



last very long ; aud three 3'ear8 afterwards — namely. 
1825 — a second loan was contracted in London, also 
at G per cent, interest, and this time for the sum of 
il, 500,000 ; but it was impossible to place more than 

At this early period, then, Peru found itself in debt 
to the extent of £2,700,000, plus £1,300,000 due to 
Chile and Colombia, for the assistance they had 
rendered during the War of Independence, or, a total 
indebtedness of £4,000,000, representing considerably 
over a capital of .£1 for every man, woman, and child 
in the country. No mention is made here of the Home 
Debt, which had also accumulated to a considerable 
amount, but which was left unliquidated, and was 
eventually permitted to die out naturally. 

At this time (1825) the Government revenues con- 
sisted of various taxes, of which the principal was the 
tribute levied upon the natives, and which took the 
place of the tax which had previously been levied 
upon the Indians by Spain. Although estimated at 
$2,000,000 • (£400,000), barely more than 75 per cent, 
of this tax could bo collected, and such amount as was 
rt^nlizwl, /ihis the Custom House dues, barely reached 
the $2,000,000 hoped for. The total value of the 
country's production did not exceed $11,000,000, nor 
itfl exports much more than $8,000,000. 

Shortly afterwai'ds (1830) a reorganization of the 
country's tinances was attempted witli but poor results, 
and Peru found itself unable to attend to the service 
of its Foreign Debt, which still reached, including capital 
witli accrued interest, £2,310,767, after making allow- 
ance for the email amount which had already been 
rt'imid. The country's Home Debt at the same time 
amounted to nearly $18,000,000 (£3,600,000), so that, 
in all, the public indebtedness amounted to £5,670,767- 

• Tho Poruvifto doUw (or tol) haa been Mtimatea M worth 4s. —i.e., 
|6-£1. To-day, I eidi!m6c = 24a. w 10 eo/»=jEl. 


Wow alow was the march of improvement in the 
ontry's finances is seen from the fact thnt ten years 
*r (18U)), the total amount of the puhlic revenii 

not exceed $3,000,000, notwithstanding the i 
at those of the Custom Uotise had more thl 
luhled ; for it was from this time forward that the 
duct and thu sales of ^uauo coumieQced to fi^uni 
I a principal factor in the Government revenues, i 

1 with this phase of Peru's industry in a separt 

At about this time (1840) a new loan was coutrad 
Loitdoti for £3,736,400, which was to supen 
1 eaucel tho two loans of 1822 and 1825. Owill| 
I 6nancial improvement brought atx)Ut by the 
I of tho guano sales, the country soon oom- 
fco shake itself (me from its most pressing 
lanoial troubles. The whole internal debt was 
quidatod, l>eing consolidated in bonds bearing 3 per 
ot interest 

In 1850 wo find that the Public Debt of Peru was 
) up as follows : — 

UooM Dsbt, coiuollilktod in bonih U i p«v • 

omit. bit«t«»l ... ^. ... &,tnfiOO 

Farilttn IM>| 




Now oommencod a period of recklem extravagance 
lavish outlay, which, in spite of the industrial 
I^WBalth which the country was pn>diicing, soon plunged 
it oooe again iut^i Bnaiicial trouble. How much the 
guano sales meant to the oouutry i» seen from the 
(act that, for the tirat time in the financial history 
of any independent State in tho world, Peru was able 
_ to conduct tlie whole of its Crovenunvnt without 
arse to privato taxation. Blinded by the visions 
fuidimilod wealth ojieniDg U-fore it, the Govemmeut 



of that day failed lamentably to organize its finances 
upon a sound and definite basis, but, on the other 
hand, continued to borrow, heedless of consequences 
and at usurious rates of interest. By 1860, the 
annual expenditure exceeded $20,000,000 (^4,000,000), 
a sum which amounted to more than double that had 
been expended during the first years of independence. 
At this period the revenue outside the guano sales 
did not exceed $4,000,000 (£800,000), of which the 
sale of stamp-paper contributed $500,000 (£100,000), 
and Custom House dues $3,500,000 (.£700,000). 

At length arose a wise man in Israel, who, foreseeing 
the disaster which must inevitably occur to the country 
fiom the financial imbroglio in which it was involved, 
he — namely, Seflor Don Manuel Pardo, then Minister of 
Finance— determined, as a preliminary measure, upon 
forming upon a monetary system a conversion of the 
debased Bolivian coins (which were then circulating in 
Peru at par, although of a lower standard), and pro- 
hibiting for the future the importation of any foreign 
money which should not rank as " standard." In 
order to carry out this programme, it was necessary 
that the outstanding debt should be consolidated, 
and the old foreign debts of Peru — the Anglo- 
Peruvian, the Deferred Stocli, the so-called Urri- 
barren Debt, and the Arica and Tacna Railway 

Once again the Government came to London to 
borrow, and in 1862 contracted for a loan of 
ig5, 500,000 at 4^ per cent, interest and 8 per cent, 
annual amortization. The issue price was 93 per 
cent. The security offered was the general guarantee 
of all the Government revenues, including the product 
of the sales of guano in the United Kingdom and 
Bel^um. After the conversion of the old loans bad 
been effected, the Government found itself in pos- LOANS 


■ion of £2.400,000, of which About £l,OOD,000 
irling wu reiDittod to Lima in the form of gold- 

Although the oxchiuige of the Bolivtati money to 

that of Peru had Ikwd effected with ailvantage, and 

as a ooaaeqacDoe the finances of the country had been 

placed upon a somewhat bett«^ basis, troubles still 

^watinned ; for while the expenditure bad reached 

1,000,000 aob, the revenues only amounted to 

(.000,000 Molt, leaving a deficit of 8,000,000 soU. 

came more trouble in the form of a short 

costly war with Spain, which country had 

1 the Chincba Islands, these l>eing the principal 

guano deposits, and oonseqnently the source uf Peru's 

main financial revennea The Spanish War necvosi^ 

tattid a furtb«' loan being raisud, and fur the third 

time within a few years Peru came to London to 

borrow another £10,000,000 at 5 per cent, inttfrest 

and 5 jter cent, amortization. Tb« new loan was 

iuteoded to be a oonversion of the old fori'lgn 

debts ; but only £7,000,000 of it were actually plnced. 

this amount, after deducting all fxpenfies tind 

■prting th») al»o%'«-mentione«l debt*, am) the [>ay- 

tit of sundry urgent amounts due in Europe, there 

lained £l,.100,0i>0 for the use of Peru. 

, Political troiiblos lu the country broke out in 18^7, 

, new ci>nstitutianal n'-gimo being 

) new broom swept no cleaner than 

I continued to spend recklessly and 

sly. In IBi'.'j II further small loan fur 

placed in Ixjudou nt 7t [ler cenL, 

t at 5 per cent., fur the construction of 

I Pisoo-Ioa railway. This was followed by another 

Me in 1670, for the considerably incmased amount 

£i:!,000.000 at (i per cent., iasued at 82^ |vr cenL 

\ net amount reouired by the Ciovemmeut in this 



case was £10,500,000. Two years afterwards (in 
1872) a further loan for .€15,000,000 sterling at 
5 per cent, was raised, the country by this time 
having to find about £1,470,000 annually to pay 
the interest on these varioua foreign debts. 

Still UDsatisBed, the Government decided upon yet 
further borrowing, and attempted to place a fresh loan 
for £23,215,000. This eftbrt, however, ended in 
disaster ; for whereas it was believed that it could 
be placed at 77^ per cent., the actual price obtained 
did not exceed " 6436 per cent.," so that out of the 
whole sum of £23,215,000 relied upon, the Govern- 
ment received no more than £13,000,000. The out- 
standing foreign debt ofPeru at this time (1872) stood 
at £35,000,000, requiring an annua! interest and 
amortization of no lees than £2,700,000. This was 
the precious legacy left by the well-meaning, but 
financially disastrous, Giovernment of President Balta ; 
and it now needed something like a financial genius 
to arise and unravel the complicated muddle which 
had been left behind. 

The burden of setting right the finances of 
the country was taken up energetically by the 
new President, Senor Manuel Pardo, who found 
a terrible state of aflUirs confi-onting him. The 
annual expenditure had now reached nearly 21,875,000 
sols (of 40d. ), while the entire receipts did not 
exceed 8,677,000 wis, 6,000,000 sols of which were 
derived from the Customs Houses. Over 31,000,000 sols 
were due to the Government by Customs Houses, 
which sum had never been paid during the days 
of financial and political stress; while the Government 
was indebted to dltFerent constructors of railways and 
other public works for the sum of nearly 9,000,000 
sols. The revenue from the guano deposits had fallen 
to less tlian £2,000,000 sterling, while the service 


t different foreign loana required, as stated above, 
tjfti!,700,000 uinimlly to uiuet the iiiUtrust. 
"lent Ponlo ootumuiiced hid dmattc refonuatiou 
f outting down the Budget, and «o effectually, that 
deficit became reduced to 8.500.000 »oU He 
Conned the tariff of the import duties ; be issued 
r aa well as Home Debt bonds ; be estnbltsbed 
^ Ctovcrnment monopoly on nitrate productii>n, and be 
iQtroduc(?>d several other reforms. In spite of all these 
fxpodieiits, however, the fiuances of the country con- 
tinuwl to f^fo from bad to worse; and iti IS74 Peru 
ibuud itself practically insolvent ami unjible to keep up 
Jie Bervioo of ita fori-ign debts in Europe. Addwl to 
! fiscal complicatiotui, however, the Oovemment had 
litjunod loans at a heavy interest from some of 
i local hanks, which, according to the laws in force 
at that time, woro empowered to issue notes payable to 
bearer at sigbt for three times the amount wluob tbey 
held in actual cash in their treasory. With the diatrcas 
> Government, the banks also came to grief ; and 
wbote country was involved, more or lees, in 
iietal adverwty. Finn aller firm collapsed, and boak 
r bank closed ita doora. oidy a very few of the more 
among tlie foreign bouaea ooiitinuitig to atand 
liust tbu prenure. 

In 1 B7*i th«i new Go%'eniment, under General Prado. 
I had Buccetded SeAor Don Manuel Pardo, made 
new arrangement with the banks, by virtue of 
lich the latter granted the Govumraont a fresh loon 
I enable it to meet some of its moat pruaaiug oUiga- 
The State agreed to assume the whole reqiott- 
bility for the banks' advances, the maximam of 
was close upon 18,000,000 tuU. The Goi-em- 
kbo took over the banks' unpaid paper, >o that it 
9 converted into a Government Note. 
Just when tbo country waa at length otnergiug 



from its troubles occurred the war with Chile. As 
history has shown, Fortune declared against Peru, and 
at the end of the struggle with her revengeful neigh- 
bour, a war which lasted from 1879 to 1883 or the 
beginning of 1884, the Republic found itself despoiled 
of the principal sources of its fiscal wealth. Both its 
guano deposits and its nitrate-fields were confiscated, 
and nothing remained in the way of assets except its 
own 100,000,000 sols of paper money, which circulated 
with difficulty at 10 per cent, of the face value. 
Peru's foreign loans were quoted upon Europ?an 
markets at sensational discounts, and the finances of 
the country were now at about their lowest ebb. 

The foreign debt being the most pressing, the 
Government hit upon the expedient of cancelling the 
large sums raised abroad, and which were nearly all 
due to European bondholdei'S of the railways, by 
handing over to them the whole of the railway lines 
and other concessions, as well as making a substantial 
annual payment. To deal with this large undertaking 
a public body was formed, and It Is to-day known 
as the Peruvian Corjwration, Limited. 

By the very opportune adoption of the gold standard, 
the Government now once again attracted the influx 
of foreign capital Into the country, and from that time 
forth it has continued to flow in considerable amounts. 
From about this period (1885) also Peru baa not only 
advanced materially in financial prosperity, but has 
evinced so unmistakable a determination to regulate 
her expenditure within reasonable limits, and so faith- 
fully to maintain both her home and foreign obliga- 
tions, that her financial position once more stands on a 
par with that of any other Latin- American State. 

This fact was proved by the facility with which in 
1905 the Republic was able to raise a loan of £600,000 
at 6 per cent, intereat and at 90 per cent., iaaued 


through the Gierman Transatlantic Bank, and which 
has since been cancelled ; and still more recently — 
namely. June, 1910. when £1,200,000 at 5^ per cent, 
was floated in France, with the proceeds of which 
the Republic paid off the bank's loan of £600,000 
and the balance of another which had been receiving 
from 6 per cent, to 8 per cent interest The French 
loan will be amortized in twenty-eight and a half 
yeare from December 11, 1909. 

The foreign debt of the Republic stands to-day as 
follows : 

AnnniiiM to Uw F«niviui Corponlaon £80,000* 

Fruwh Lo*D U 14 p« erat. l.SOO.OOO 


At the end of 1909 there had been an unofficial state- 
ment current to the effect that a powerful French group 
of financiers were about to effect a new loan for Peru, 
the houses concerned being the Banque de Paris et 
dts Pays-Biis, the Soci^ttS Gcnt^rale, and the Banque 
Fnin<;ui8 pour le Commerce et ITodustrie. The first- 
muiitiooed bank acted as intermediary in the settle- 
ment of the difficulties between the Government and 
its creditors in France over what is known as the 
" Guano Affair," who claimed about 25,000,000 firanca 
(i: 1,000,000). The Deutsche Bank at first competed 
with the French banks for the loan, but drew out 
on lM;ing guaninteed a share in the transaction. This 
transaction would have had a twofold nature. In the 
liret place, the French group would proceed to issue 
a fii-st "lice of £ 1 ,200,000, bmring 5 per cent, interest, 
di'Ktincd in {>art to liberate the salt monopoly, which 
survt-d Its guarantee to the Peruvian loan of £600,000 

* It U to b« obMrv*d that thb umtul mjumbI of £80,000 lo tli* 
i'aniiian Corparslion wm WTUixed bj Um flovMniimnt of OwMfsl Cv* 
MfM. BiiJ WM to eonliaua (or ih-njr jrtwa booi INS, w that Uw paj- 
_... ■—« in 19118. 

Digitized byGOOgle 


issued by the Deutsche Bank. The balance of this 
loan still uuredeemed amounted in 1910 to £450,000, 
and there was a further debt to the Creusot 6rm 
amounting to £300,000, both of which were to be paid 
off out of the proceeds of the loan of £1,200,000. 
Then the GuaDO affair was for settlement, which was 
the principal object of the second loan. 

Such a transaction would have a decided interest 
for British holders of the Peruvian Six per Cent. Gold 
Loan issued in 1906. The Government have had the 
option of repaying this loan at par on sis months' 
notice since the time of issue, and a confirmation of 
its desire to get rid of it existed in the fact that an 
extra drawing, outside the ordinary Sinking Fund 
arrangement of 2 per cent, per annum, took place in 
1908 to the extent of £32,350. At the commence- 
ment of 1909 the amount outstanding was £524,450, 
which has now been further reduced. 

The ex-Minister of Finance and Commerce (Sefior 
Enrique Oyanguren) had submitted to his colleagues 
a very sound scheme for dealing with the Internal 
Debt of the country. This amounts to a nominal sum 
of £3,859,000, but its present market value is assessed 
at £437,640. 

There are two Internal Debt issues, authorized 
respectively by the laws of June 12, 1889, and De- 
cember 17, 1898. The first of these draws an annual 
interest of 1 per cent. There remains yet a nominal 
amount of £2,660,000, which at the present market 
rate means an actual value of £359,100. The bonds 
of the second draw no interest, but are amortized each 
year by £25,000. The nominal value of these is 
£1,190,000, which at the present market rate repre- 
sents an actual value of £78,540. 

In addition, there are the deficits of the years 1908, 
1909, and 1910, respectively £126,000, £131,000, and 

Digitized byGOOgle 



ut £50,f>00. This latt4!r arooant of £50.000 is 
leiri^ gradually paid off in accordance with thu law 
nnceniing the hcjuidatioii of budgets. As to tbu 
lelicit« of 1908 aud 1909, the Government will propose 
I CoDgraM the iiegotJatiou of u tonu, and doubtlues 
tey will he jmid in full before tlm expiraliou of the 

lent year. 
The total actual value of the ouUtanding Internal 
~)ebt of Feni is : 

Uw <d Jbm U, 1889 £ftM,I0O 

Uw a< DmmbW 17, ins ... ... 70,640 

DaSslU lMW-10 VnflOO 

The ex-Mtoister proposed to make this up to a 
nund luillton Bterting by issuing a further £362,800, 
which an interest of 7 [>er cent, would be 
The idea in, I urideratand, to adopt this as 
> temjNiraiy neasura only, following it during the 
; year with a 5 per cent Conversion loan, raised 
illy. PenirtaDcredit now stands so high upon all 
ngD markets that there will doubtless be some 
npetitioD among hankers to place this new loan. 

April (1911) the contract was sobmittod to 

) Uuoioipal Council of Lima for a new bond-tasue 

of £700,000, to be offered in £lOO 

«mat of S^ pvf cent., ]>aynbte half 

rtixniion Ijeing pro^'ided for. IwgiMuing 

[ny 1, 1916, the bonds being retired on or before 

lay I, 1950. The Bank of Feni and London would 

i token, at 8t; per cent., an amount of £590,000 for 

H>lvo8 and the London Kank of Mexico and Stmth 

while the firm of W. R Grace and Company 

ribv for £I10.(K)0 for themselves and 

r Bonk of New York. The proposal. 

i not carrii^ out ; but. as 1 write, it is 

underatood that a loan of £OUO,OUO will be at no 



distant date raised, and that it is likely to be offered 
at 90 per cent., and bear interest at i> per cent. The 
city of Lima is also to receive shortly the sum of 
£100,000 in cash, which has been offered by the 
Lima Water Company in consideration of the exten- 
sion of theii- franchise for a further term of forty years. 
It is highly probable that this offer will be accepted also. 

The City of Lima Eight per Cent. Bonds, which were 
issued to the amount of £300,000, in accordance with 
a decree of October 8, 1903, offered a particularly 
sound investment, in spite of the fact that the interest 
(which is payable quarterly at Lima or in New York) 
is subject to a Peruvian income-tax at 4 per cent. 
The bonds, which were offered at 97, yield at that 
price, after deducting income-tax and also Peruvian 
income-tax at 4 per cent., about 7^ per cent, per 
annum. The total redemption of the loan must bo 
effected in a period not exceeding fifty years from 
1903 and 1904. The security seems ample, inasmuch 
as the revenues of the city of Lima, which has a 
population of 150,000, is estimated to bring in easily 
£100,000 per annum. 

A stock company, with a capita] of £300,000, and 
known as the National Tax Collecting Company, was 
established at the most critical moment of the Republic's 
financial affairs — namely, 1895- — and when national 
bankruptcy was in the balance. The company, which is 
the Sociedad Recaudadora de Impuestos remodelled, 
has proved a most useful and beneficial means for both 
organizing and collecting tlie considerable sums accruing 
to the public exchequer, and at the same time regu- 
lating the general finances of the country. Year by 
year the functions of the institution have extended as 
its value has been better realized, and most of the 
important corporations iu Peru have hiul commercial 
relations with It. 


) tenna of the contract which was made with 
B Qovemment, the Nfttional Tax Collecting Company 
I to roceive all such revenues aa taxce u{>on apiritB 
and tobacco, stamps and regiatration fees, le^^y 
duties, tacome • tax, taxes u[>on matches, mining 
licences, and, in fact, practically all the different legal 
payments due to the Government. 

"ntis corporation has been authorized to expend a sum 
of £84,000, out of revenue which is collected annually. 
upon the administration of the dilferent biTtnches which 

Rduce the revenue, retaining for itself upon the net 
idaetion, originally, a commission of 3 per cent., 
ioh. however, diminished annually by ^ per cent. 
til the year 1900, when it fell to 1 [>or cent. This 
I been the rate of commission in furcu until the end 
the current year ( 1 'J 1 1 ), when the original contract 
..-jieB to au end, although the Government had 
reaerved to itoelf the right to cancel the agreement at 
any time afler gi-anting it, by giving six months' 
D<^ice in Mriting. So unusual a soui-ce for handling 
the revenues of a Government in a country where 
representative administration prevails, I should say, 
oould exist only tn Peru. 

The skilful manner in which the management has 
been ooadaet«d is best seen from the figures for the 
nine yeara from 1901 to 1909; which will be iband 
b forth below. 

Mn eighteen sources of i-evvnue — 1901, £418,871 ; 

102, £433.310; 1903, £49.!.08G ; 1904, £687.960; 

,£815,858: 1906, £895,479; 1907, £896,852; 

. £886,848 ; 1909 (oatinuted), £866,530. 

le respoDsible offioen of the National Tax Oc^eet- 

j Company are all men of the highest int^rity and 

^ sound financial reputation, neither party politics 

penooal influence having anything to do with 

> appointment or with their oontmL 




Apart from the revenues handed over to the Govern- 
ment by the National Tax Collecting Company, there 
are the Customs dues and some minor taxes, whicli are 
paid direct to the National Treasury. How the 
Republic's revenues have grown since 1899 is seen by 
the following figures : 

Revenues (all accounted for) In 1899— £1,370,137 
1900,£l,312,57l; 1901, £1,535,136; 1902, £1,483,305 
1903. £1,614,297; 1904, £1,990,568; 1905, £2,178,320 
190S,£2,555,463; 1907, £2,830,324; 1908, £2,861,299 
1909, £2,518,062; 1910,2,795,775. 

Naturally the expenditures of the Government 
I had increased proportionately, and for one of the last 
years mentioned {1908) the outlay amounted to : Con- 
gross, £101,732; Interior, £449,127; Foreign Affairs, 
£52,793 ; Justice and Instruction, £416,096 ; Finance, 
£406,609; War and Marine, £494,865; Fomento, 
£204,919; Extraordinary Expenditui-e. £696,914, with, 
Bay, a total of £2,823,055. 

The total revenue derived from all somces iu 1910 
amounted to £2,795,775, the principal items being; 
Customs, £1,384,158; National Tax Collecting Com- 
pany, £1,050,745 ; Peruvian Salt Company, £99,032. 

The total expenditure figures ibr the same period, 
which were estimated at £2,784,513, actually amounted 
to £2,653,335. Foreign trade amounted to £11,039,562, 
exports being £6,408,282, and imports £4,631,280. 

The annual revenue of the Republic is appraximately 
£2,800,000, and if, as some financial critics have stated, 
it seems unlikely that for some time to come this sum 
will be very much increased, it is certain that nothing 
less is likely to be realized. 

From the year 1884 to 1909 the public finances of 
Peru have bad an average annual development of 
£l00,3G8, while its imports and commerce during the 
same period shows an average annual increase of 


£255,073, and, as reganls exports, an increase of 
l'2(i8,C71. TherH has also been a subetaDtial aug- 
mentation of deposits in banking and other economic 
institutions. Based on these facts, Peru of to-day 
possesses an economic capacity 6ve times greater than 
Peru of 1884, and a financial potentiality sufficient to 
yield to the public treasury not only £3,000,000 per 
annum, but £4,000,000 if the tributary system be 
reformed without augmenting the number of imposts. 
Thu contemplated expenditure for the present year 
(1911) is as follows:* 







Wk kod Umae 


Fonwoto (l>roaiotian) ... 



Or t toul ot 

... £2,8«wn 

It may be pointed out that the " Extraordinary 
Expenses" cannot be estimated with any accuracy, 
since much depends upon the progress of legislation, 
which, again, depends upon Coogrees. The annual 
cost of If^lation has averaged £106,000. 

In 1U09 the Customs receipts were £962,000, while 
£48:^,000 was collected for the first half of 1910, or at 
the rate of £9()4,000. It must be remembered that 
the Customs revenues are always greater in the second 
half of the year than during the first, so that the 
Government authorities were looking for a revenue of a 
round £1,000,000 from these sources for the whole of 
1910. Then the taxes collected by the C(»npaflia 
Nacioual de Itecaudaciuu (National Tax Collection 
Com)Hiiiv), which amounted to £695,000 in the first 

* Tha LrfpaUlura 4iapna*d Mora dafinluly kpprorliw lb* Bndgt for 
IVll. Tb*M B(urM M« oal; eoojMtanl, baiiif bMM upco IMM for 

Digitized byGOOgle 


eleven months of 1 009, produced in the same period for 
UMO, i;77i),000. The salt revenues up to November 30, 
1910, came to £211,000 inclusive, as compaied with 
^194,000 iu the same period for 1909. 

The receipts of the principal Custom Houses of the 
Republic for the first three months in 1911 show, in 
every instance, an increase over the corresponding 
period of 1910, as below (in pounds and thousandths) : 


























The total increase in the Pacific ports enumerated 
above is, therefore, i:53,420.353. The statement from 
the Atlantic [lort of Iquitos, on the Amazon River, has 
been received only up to January, 1911, inclusive, the 
income for the month being £15,519.309 as against 
£10,431.394 in 1910, an improvement for the month of 

It is somewhat surprising to find a number of 
American and some British journals, in taking the 
Peruvian official figures, entirely misunderstand the 
meaning of the fractions which are usually expressed. 
Thus a revenue of £1.017,488.657 is given in these 
publications as " .tl, 017, 488, 657," which, for a young 
country like Peiii, with a population of but 4,000,000, 
would be simply absurd, the amount of its Customs due 
being magnified thus 1,000 times. The last three 
figures in the sum, of course, represent the fractions of 




the Peruvian £, which is made up of 1,000 centavos. 
The total revenues of Buch countries as Argentina, 
£22,466,000; Brazil, £28,917,000; Chile, £13.000.000, 
would appear in8igni6cant in comparison, while even 
France can only claim £167,423.000 and Germany 

Continued improvement ts shown by the maritime 
Customs House receipts at the various ports of the 
Itepublic. Elsewhere I have directed attention to the 
(idvunce nioile by the Port of Callao in this respect, 
the total for 1910 coming to £797,867, as much as 
£84,343 having been collected in the courBe of one 
month, namely, last June (1911). 



































10,1 15M7 


















4,081,380 ' 





Inmruioe— Native ofiBoes — Foreign ageaeies — heading offices — Com- 
paratLTfi Burplosw— DiTideods pud'^-Blmae figures for 1910 — Bank- 
mg--PriDoipal banks — Bonk of Peru and London — Savings bank 
(Caja de Ahorras)— Coinage— History— Monetai; laws— Tlie National 


The business of insurance has been developed 
considerably of late years in Peru — in fact, since 
the passage of the law of 1901, which, at one 
time, was supposed to "kill it." In the year 1895 
laws had been passed, for the first time in the Re- 
public, in connection with the carrying-on of insurance 
business. Up to that time, it had been almost 
entirely conducted by foreigners, and no native in- 
surance companies any longer existed. The old Peru- 
vian companies, known as La Lima and La Sud- 
Americdna, had liquidated their affairs at the time 
of the war between Chile and Peru. At this time, also, 
there were fifteen agencies of different foreign in- 
surance companies carrying-on business in the Capital, 
and the majority of which charged a premium of about 
100 per cent, more than what is paid by policy-holders 
at the present time. 

The new Decree passed by the Government was 
liberal, and inte}' cUia required that a deposit of £3,000 
should be made in order to enter upon the business, 
that sum being exacted as a guarantee, through the 
State, that foreign companies should carry out their 
obligations to the public. In spite of the fact that the 
agencies of these companies were making considerable 

Digitized b^Google 


profits, they decided to liquidate, which would lead 
one to the conclusion that they r^^tted having to 
tiiid a very reasonable amount of guarantee, and to 
trade without any kind of supervision. 

The withdrawal of the foreign companies, however, 
may be partly accounted for by the subsequent 
establishment of a strong native company, the Inter- 
miciona). This office commenced its operations by 
reducing by 50 per cent, the rates of premium then 
in force, a jwlicy which at once secured for it con- 
si<lc'riible support from the public. The Internacional 
waH fuIlowe<l in 189C by La Italia and the Rimac 
olKc«e ; in 1 902 by the Urbana ; in 1 903 by the Peru ; 
and in 1904 by the Popular and the Nacional, the 
capitals and surpluses of these companies being as 
follows : 


C>|>*Ul. > 



£ 1 




300,000 ) 


ItM 1 

aoo^ooo ' 


ItfnMC ... 



63. 191 

lrb«* ... 


loojno 1 






I'ofwUr ... 

IMM ' 



NariMul ... 




The muiimum paid-up capital with which any home 
or foreign company may begin business is fixed at 
£20,000. lialf of that amount to be invested in landed 
property located in IVru, and the other half in bonds 
of the I'ublic Debt, of the Municipalities and District 
(^uncils, or of private institutions which are located in 
IVni, and retained to serve as a guarantee to policy- 
bulders. This stipulation seems to me so reasonable, 
and in fact so neoessary, that it is difficult to under- 
staud the foreigu companies having taken umbrage, 

Digitized byGOOgle 


aiid prefeiriug to regard the law as an imposition. 
Probably they imagined that, by withdrawing, the law 
would be annulled ; or fondly believed that no Peru- 
vian could conduct insurance policies with success. But 
they made a very great error, for the native companies 
not only prospered, but increased in number, and the 
opportunities which the foreign companies then 
stupidly threw away have never recui-red. 

The only three foreign companies still doing business 
in Peru to-day are the Sun Life of Canada, La 
Previsora of Buenos Ayres, and La Sud- America of 
Brazil. Although nominally "foreign," they have 
become practically native companies, for they have had to 
comply with all the rules and regulations of the new law 
of 1901. The Sun Life Insurance Company of Canada 
was established in 1865, and is organized under strong 
British laws, its capital exceeding £6,300,000 sterling, 
while Its income Is over £1,550,000 per aimum from 
all som'ces, and it has a surplus of £1,000,000. The 
total business in force up to the end of last year 
exceeded £38,000,000. 

La Previsora was established in 1885, with an 
original capital of 500,000 pesos (£50,000). Its assets 
to-day ai'e estimated at upwards of £1,400,000, the 
surijlus being £1,138,000, while its insurances in force 
up to the end of last year amounted to over £4,000,000. 
La Previsora is said to be the only company in Peru 
which insures the lives of women as well as of men. 

La Sud-America, which was founded as recently aa 
1895 in Brazil, and which entered Peru in 1899, 
showed a reserve up to the end of last year of over 
£1,500,000. The insurances in force up to that period 
amounted to £8,200.000, of which £550,000 were held 
in Peru. The form of policy of which the company 
has made a speciality is based upon the amortization 
principle, 2 per cent, of the total policies in this claws 


hiHTig drawn by lot each VMir, the holders oftho winuing 
nuraborB having onthing mare to [lay froin that time, 
th? ojin{>any assuming fur Its own account the remain- 
ing premiums. 

La CompaAia Intemacional de Se^rae del Peru 
was estAbltshed in 1S95, and baa bd authorized capital 
of £500,000. the amount paid ap being £200,000, 
and the roaerva ftiDd £60,000. The company baa 
]iaid dividends amounting to aa much as 52 per cent. 

La National, ustAUished in 1904, has an authnrizeil 
capitAt of £200,000. Like the Intemacional, it has 
agtMicie* in all thu princiiuU towns thit)Ughoat the 
Itepublic; but while the first- mentioned unJertnkes 
the iusurancuB of house, furniture, and mei-chandise 
(including cargoes receiveil by steamers and sailing- 
veosels for all parts of the worhl), the Nucional insures 
against fires and maritime risks only. 

La Popular, est&blished in the same year as the 
abore <I904), has a paid-up capital of £200,000, and a 
reserve of £2011,000. It insures building and fbr- 
nitura against fire in Liiita, ChoriUiM, Harronco, 
Miraflores, and MagdeMna at ver)' moderate; premiunui 
— in fact, the lowest on tht« market, and apjiarently 
too low to faring much profit to tbe cotfei-s of the 
company. It has established stn'ontl ageticles in 
diflerent parts of Pern. 

I^ Italia. AS will be seen, ranks as n»t> of tbe oldent 
of the native insurance companies, its paid-up capital 
being £200,000, and the nnerve fund £41.101. It 
has paid dividends amounting to 30 per cent 

Ijn Urboiia is a firu unit maritime insurance COm- 
[«ny, establifthMl in l9o2, with an uutburized capital 
of £20<i,0on. a {laid-up capital of £UHt.0Oii, and a 
rwservo fund excetxling £ 1 2.000. The offiee under- 
takes insurancee of buildings and furniture, and carries 
ua general iustiratioe buaioea^ 


La Compania de Segui'os Rimac, established in 1896, 
iuaures against fire and maritime accidents ; it has a 
paid-up capital of £250,000. 

The Peru is a small but progressive office, which 
declared its fii-st dividend in 1906, amounting to 5 per 
cent. The following table will show how the different 
compiinies prospered during the five yeais of their 
existence fiom the passing of the new law of 1901 : 









La Popular ... 
La Naeional 

Per Cent. 


Per Cent. 



Per Cent 


Per Oeiit- 








From this statement it would seem that " La 
Popular" was "popular" in name only, since it had 
paid no dividend since its introduction to the busln' 
world in 1 904. Recent statistics are difficult to obtain, 
and perhaps the office may have become more worthy 
since 1906 of the title which it assumes. 

That the insurance business generally in Peru con- 
tinues to prosper is clear from the figures of other 
offices for 1910, which aie, in part, obtainable. It is 
ajiparent, for instance, that the Rfmac, which, as will 
be seen above, dates from 1902, and baa distributed 
total dividends for the first five years of its life 
amounting to 97 per cent., during the last year men- 
tioned (1910) succeeded in increasing its reserve 
fund fiom .t;62,191 to £07,205, and paid a dividend 
of 19 per cent., plus a previous dividend of 8 per cent, 
making 27 per cent, for the yejir. The Internacional 




. It ti 


also oonsideraUy iooreosed Its reaerve fund, and paid 
1 per cent In dividend. 

It took a gnat nmny years to plnce bunking upon a 
' aud jienuaneut huais in Peru, and for a country 

its Bixe iitid n*niBrkitl)lt* iiBtund wuattli the Inck of 
lient facilities must liiivu ricttid an a great hitiidicap. 
Previoiw to the oommenopinont of the mo%'enient in 
favour of the establishment of the gold standanl, and 
at tbe tJoio when pc^tical trouhio was still prevalent, 
there existed but one banking institution — the Bank 
nf Oallao. which was a branch of tho London ami 
Mexico Bank of South America. Then; was one native 
instituttoo, knoK'n as the Savings Bank, which was a 
dependency of the Lima Public Benevolent Society. 
In 1889 the Bunk of Italy was founded, and in 1897 
the ColUo branch of the London and Mexico Bonk 
of South America (a moat ciimbenioniu name) was 
merged into the Bunk of Cnllao which had come 
into existence, and from these two was born the 
pment Bunk of Peru ajid Londoiu Sub«e<iuently, _ 
the Gennau Tnuiaatlantic Bank established branches j 

tt both Oallso and Arei)ui|ia, and each of thi* three pr^ I 
ly mentioned houses opened a st-paruto mortgagal 
ion. To-day, by means of these eetabtiahmenti; T 
bunking bowoess bus grmdually extended through*! 
out the Republic, and the tnuuutioos curried on f 
day to day have uHmmad considerable dimennon 
In generul, the proBts r«rned have been deemed Mti*-^ 
foctory, although, by the Ia«-| of thf* Uepubllc whtflhJ 
their o}icmtions, these iniitltutionN are deprived 1 
id very wisely, in tins opinion of sound fiomoeiers 
the rvaouroe c^ issuing notes puyuble to beurer 
coin and at sight. Furthermore, the bunks mnsti 
oonlribuU* b per cent, of their annual nutt pro6ta I 
the coAers of the nation. The rvlatious which buTfl^ 
in times past existed between the bunks und the 

tbe U 
I utbot 

^^bo bo 
out th 
day t 

^^E»nd VI 


^^n coin 


GovemmeDt are referred to with srane particularity 
under Chapter TI. 

The principal banks of the Republic at lima showed 
the balances of their commercial accounts and deposits 
to be as folloura at the end of December 31, 1910 : 

lioadoB kod Pern Bank 

Kalian Bank 

iDtanutknutl Bank 

Popular Bank 

Oatquh TniTi latlafitiff Bulk ,** 
Saving* Bank (CAJ&de Aiiorroe) ... 
Bank of Depodta and Coniigiimeiit* 


These figures show an increase of £Pl,285,980.795 
over those of the previous twelve months (1909). 

The published profits of the different institutions 
have been declared as follows : 







London and Peni Bank 



Italian Bank 





Popular Bank 



Saving* Bank 





Tbe Bank of Peru and liOndon was founded in Lima 
in June of 1897, its original capital being £200,000. 
It is, as stated, a iiision between the Bank of Gallao 
and the Bank of London, Mexico and South America ; 
the London office is in Gracechurch Street, E.C. 
A few years after its foundation the capital of the 
bank was increased to £500,000, and the reserve fund 
amounted to £275,000. The shares of the bank have 
been quoted upon the London Stock Exchange since 
1907 ; and, commencing with that year, the institution 
liud established another bank in La Paz (Bolivia), 

Digitized byGOOgle 


aUH^ttie Bank of Bolivia- London, the capital of 
which in £1,000,000. Aa will be observed from tho 
illiutration which is given elsewbore, tho Bank of Peru 
oocupitis an extremely bautlsoDte and conunodious 
building — in fact, quite the most {Mdatial commercial 
premises. Its doily buainesB amounts to something 
like £100,000. The ofHctals, from the President down- 
wanlfi. urv both enterprising and cuurtt-oiis, es{iocially 
towards foreigners benring letters of introduction. 

Pern has so re<x'nliy emerged rroni a stat^ of 
monetary restriction that it would be liaitlly reasonable 
Ut suppose that tbu people — by which I mean tba 
working classes and labourers— even if they naturally 
werH of u saving dispoKition, would be able to put by 
anything of their earnings. Thus Savings Banks are 
institutions which have but little vogue in the Re- 
public. Nevertheless, there is one such bonk, Caja 
de AhorTM, and it has met with a fair amount of 
suooMS, if one may judge &om the fact that it has 
establisbed one or two branches. We have in Fraooe 
an example of the rapidity with which the peuaDt 
class can ooi only recover from wars and revolutions, 
bat rise superior to politicnl and economic crises. 
The BRine has undoubtedly proved to be the case 
with Peru. 

Few oountries in the Old World or tho New hare 
undergone more severe financial stress than Peru ; but 
whersu misfortunes generally attend new oountrive 
in the days of their juvenesoeuoe — tgueru, Meu, lubnca 
muribiia itlaj ! — evil times couio to Peru when it vras 
merging upon the sdull atagu ; and, therefore, perhapa 
the lietter able to withstand the shock. However, out 
of evil crmiKb good ; and the lessons which were 
leontcd in those distressAU da>i have been taken 
seriously to heart, with the result that Peru is to-day 
finoiiciully stronger than ever it had been previously. 



When the indepecdence of the Republic was pro- 
claimed in 1821, gold and silver coins were circulated 
with full value as legal tendera, and in the following 
year (1822) a new currency was coined both of gold 
and silver, with the same fineness and weight as the 
Spanish money. This coinage continued to circulate 
as legal tender until 1836, when, by reason of the 
Peru-Bolivian Confederation, Bolivian money, although 
of inferior fineness, was admitted into Peru and accepted 
as of the same value as the native currency. This 
mistake was, as we have seen, one of the prime causes 
of the subsequent heavy losses to trade and to the public 
wealth in general. 

In 1863 a further new law was passed, reforming the 
monetary system, which included the establishment of 
the decimal coinage and the double standard of gold 
and silver. The silver sol was recognized as the 
monetary unit. The coinage of the new system was 
as follows : 

Name of the Coini. 


Diameter in 


Value in 

Silver eoine : 









One-fifth .of 



One-tenth lol (<Mnero) ... 








Oulil coins : 

\ nXaein Sola. 





Half gold Ml 




Quarter of «oI 




Tenth olfoi 




Twentieth of «oi 




In 1872 yet another law was passed altering the 
gold coins, limiting the coinage to gold sols and fifths of 
gold sola ; but as the law fixed uo legal value to the 



gold coin, it became de faeto demonetized, so that 
silver remained the only monetary standard, thus 
abolishiug bimetallism and introducing monometallism 
of silver. This condition lasted until 1897, when the 
gold standard was implanted; and since then there has 
txMMi but one alteration in the monetary system of the 
country, which stands to-day as follows : 

The Peruvian pound — and which is equal in all 
reflpects to the English pound — is the monetary unit. 
It consists of a gold coin, the diameter of which is 
'I'l millimetres, with the weight of 7 grammes 988 mil- 
li^Tiimmes, and a 6nene88 of 0'916f millesimals; the 
hiilf-|>ound (equal in value and appearance to the 
hajf-soven^ign) has the same fineness. By a law issued 
in 1 906, the minting has been authorized of gold coins 
e<|uivalent to the | part of a pound. 

The old silver coins of Peru are used in the character 
of an auxiliary currency as sub-multiples of the Peru- 
vian pound — viz., the silver sol, with a weight of 25 
grammes, and equal to 100 centesimals of the 8o{ ; the 
tif\h of a 8ol, w^ith a weight of 5 grammes, equal to 
*_*0 centesimals ; the tenth of a sol, with a weight of 
'Z\ grammes, equal to 10 centesimals; and the twen- 
tieth of a itof, with a weight of 1^ grammes, equal to 5 
cent««imab The fineness of all these silver coins 
is i^o- 

Copper money, which is likewise only an auxiliary 
currency, consists ofcoins of ^ ^ and lin parts of a sol, 
and according to law is only legal tender up to the 
sum of 1*0 cents. 

The tirst piece of money coined in Peru was in 1 557. 
It was an ugly and clumsy effort, irregular in shape, 
and mnrked ujion **ach side with n cross, made 
apparently hy shar]) blows from a hammer. In 15G5 
the Hrst mint wui established on the sel&ame spot 
which is occupied by the present edifice. 

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In 1572 the coiniug of money was transferred to 
Potosi, the gi'eatest silver- producing mines in the world, 
at that time ; but when the still more wealthy Cerro de 
Pasco mines were found, Potosi was deemed unworthy 
to retain the mint, so that it was again transfen'ed to 
Lima. This structure was destroyed by the earthquake 
of 1746, and rebuilt in 1753, and to-day it forms one 
of the handsomest buildings in the Capital. 

The number of silver coina stamped Id the mint 
under the Viceroys, exceeded 400,000,000, and they 
were always accepted throughout Spanish-America on 
account of their exactness of both weight and fineness. 
The gold and silver coins still turned out aie beautiful 
specimens of the engraver's art. 

During last year (1910) the National Mint of the 
Republic coined the amount of £52,859, in units 
and fifths as follows ; £47,076 (Libras Peruanas) 
and 28,915 fifth-pounda (£5,783). 


EdneMioa— Lima CniTMvJt;— Nnmbw of Mhoob— Native idiMl* — Cotn- 
DMrM uid AsTKulture— Atequipa UnivBrailj — Eoglub lohooU — 
Pwmi aa pupu«— LiUtwrj aodatiaa — Uma GaogTapUcal Sodatj — 
Laanwd aMoeiationa— Tbeatraa— New Haaieip^ Theatre— PeraTian 
praae — Notable journal* — EogUah newipapera in South Aioeriea — 

Tas Department of Lima, from many pointa of view, 
ia by far the most important, educationally speaking, 
in the country. It has an area of nearly 35,000 
square kilometres, and a population of some 300,000 
inhabitants. Lima, the national capital, is also the 
capital of the Department, and is the seat of the 
University of Sau Marcos, the Engineering, Agri- 
cultural, Industrial, and Normal Schools, and a 
namber of coU«g«e of secondary instruction. The 
Republic has four universities in all — IJma, Cuzco, 
Arequipa, and Tnijillo. 

The Department oontains some 250 primary schools, 
which are supported and administered by the Govern- 
ment. These schools are under the supervision of 
fifly-eight district inspectors, six being provincial and 
one departmental. The primary schools of the Con- 
stitutional Province of Callao are also subject to the 
control of the departmental inspector for Lima. The 
appointment of the last- men tionetl for Lima and Callao 
is one of the most important educational posts in the 
oouotiy. This is true not only vith respect to tbe 
reqwnslbilitie* which it ioTolves, but also with respect 
to the opportunititis which it <^ers. 

Digitized byGOOgle 



The Government has of late months transferred to 
this position Mr. Joseph B. Lockey, from the Depart- 
ment of La Lihertad. Mr. Lockey hegan teaching 
when he was sixteen years of age, and has been 
engaged in educational work continuously since. He 
has occupied positions of some importance both in 
primary and in secondary school work, and he lias 
had valuable experience in educational administration 
generally. He received the degree of B.A. from the 
Peabody College, Nashville, Tennessee, U.S.A., and 
the degi-ee of M.A. from Columbia University. He 
holds also professional diplomas in education from 
the Florida State Normal College, and from the 
Teachers' College, Columbia University. 

Peru claims, and with good reason, to possess the 
oldest educational establishment In Latin- America. 
San Marcos University was founded iu 1551, that is to 
say, during the reign of Charles V. of Spain, who was 
also, it will be remembered, the Emperor of Germany, 
and the central figure in Europe during his eventful 
life of nearly sixty years. To San Marcos were con- 
ceded the same distinctive honours as those enjoyed 
by the great Spanish University of Salamanca, held in 
those days to be the most celebrated educational 
establishment in Europe. The royal grant was made 
to the priors of the Dominican Order, the original 
lecture-halls having been installed in the Monastery of 
Santo Domingo ; but some twenty years later, in the 
time of Philip 11., an order was issued for the secu- 
larization of the University and its complete separation 
from the convent. 

Law is the most important branch of study pursued 
at this University, and it leads in the promotion of 
liberal education. It is directed by a Council, consist- 
ing of a rector, a vice-rector, a secretary, and a deau, 
L and a delegate Ironi each Faculty. The present rector Is 



ded in 1905, r«p)aciiig 

i UDiveraity, a Natiooal 
CoU^B of Seoondary Instruction, a Normal Schocd for 
women, and of a numlfcr of good private achools, as 
well as of the Harvard UniverBity-Olaervatory. In 
the vholn Province of Arequipa thore are about 
•eventy-four public schools, which may Ijo considered 
I Vfry fair i)ro]Jortion, considering the entire popula- 
of the Departrnvnt amounts to no more than 
||5,00O. The city of Aroqmpa has 70,000 inhabitants. 
I The National Government has latterly npiminted 
[ young American as inspector of all these educa- 
mal establishments — )tr. Joseph P. McKnight, 
has also under his supervision the primary 
boots of the Province of Islay, of which the port of 
Mellendo is the capital. Mr. McKnight claims to 
have hod over twenty yearn' experience in txlucational 
work, and he holds a master's diploma from the 
Teuhera' College of New York. U.SJl. 

It is noteworthy that in the very strongfaold of the 
Incatt— the famous and boantlful Cusco^is established 
one of the Republic's most imjxinaiit seats of learning, 
the Cuzco Univereity. Its ancii-nt cloisters still re- 
sound with the merry Uughter of " young Peru," as it 
harries and clatters over the venerable tiles of its 
Iftved courtyards, while the surrounding houses have 
ded such notables of learning as Goralaso de la 
«, the great historian ; Espinoza, Peres, Heros, 
>o, Antonio Lorena, and, more recently, David 
and Norciso Arestegui. A month's stay in 
I to study its ruins and to visit its monuments 
brds one of the most liberal educations in Peruvian 
Itcny that one can hope to attain. 
^ The TechnJca] School of Commeroe was the first 
establishment of its kind in Pent, and dates back 



about twelve yeara Many of the mo8t prominent 
firniB and banks in Lima make a point of drawing 
their clerks and assistants from this school, the usual 
course of study being three years, after which the 
pupils receive certificates, which often prove very 
useful in their search for employment. The principal 
ia Dr. Perla, and he seems to have introduced a highly 
successful system of training the youthful mind in 
the dii"ection of commercial utility. 

The National School of Agriculture is the creation 
of a former Miuiater of Fomento — Seflor Kugenio 
LaiTabure y Unanue, who established it hi June of 
1902. He is now the Vice-President of the Kepublic, 
but continues to take the keenest interest in the 
conduct of this excellent institution. The pupils are 
otfered a sound theoietical and practical training in 
all of the various branches of agriculture and veterinary 
subjects. Fairly " stiff"" examinations are held, and 
certificates and diplomas are granted. 

The School is situated in the centre of a farm 
oovering 600 acres, near the capital of Lima, and 
the house is a fine two-storey building, capable of 
accommodating 100 pupils aud their attendants. 
There are many well-designed and efficieutly equipped 
laboratories, a library containing many Knglish 
volumes, as \\ell as several private cabinets and 
recreation rooms. The Dnector is Mr. George Van- 
dergehm, who has been in office since the foundation. 
He is supported by a very capable teaching staff, 
all classes of study — agronomical, engineering, botany, 
zoology, chemistry, entomology, political economy, 
and agriculture — having capable and expert mastera 
to conduct them. The Knglish master is Mi-. J. C. 
Frederic Blume. Much useful work is being done by 
this academy, and some very brilliant pupils have 
I been turned out by it. 


tJao raoeivQ w»ne of the pafHLi » bowdere in tbetr 
own bouse. 

There u an EInglish Commercial School Mtahliahed 
in CoIIao, which waa fouitdod four yearn ago hy the 
" Ceotro de la Juventuado Cat^SUca," of Lima. At 
one time the number of pupils reAeh«d 320, bat 
indifferent roaoageroent sufBoed to reduce the average 
considerably. Latterly, howpver, a new direotion 
aeems to have improved the oooditiona, and nnder 
the sopervifflon of the HatisU, a brotherhood of 
Christian edacatora, the pupils are increasing in 
nnmbar and also in effideocy. Most of the taaoben 
have been oonoeoted at some time or other with 
education in England, the United States, FnuMo, 
Italy, and Spain. Aboat one-half of the text-books 
used are in English, and much attention is devoted 
to teaching that Unguoge thoroughly. 

Towards the middle of lost year (Juno, 1910), the 
Government created a new educational eomminion, 
composed of the ablest men in tbe country. At that 
time DO fewer than five of the more important among 
the United States were at work upon the codification 
and preparation of new edaeational laws, and upon the 
some principle in practice was based the relbrmation 
of the Peruvian educational system. Tho existing 
Organic School Law of Pern was enacted in 1901. A 
second important decree was passed in 1 905. in 
some strildiigly dnutiorefonna were oomprised. 
provisions have, however, been dnoe fbnnd to be 
dnatio in some respects and too defidunt in others 
henoe the naoessity for a oomplete revinon of the 
•ysten in foroo. All of the meahers of the Ckm- 
are Pemvians, with tbf> exception of the 


Secretary, Dr. H. E. Bard, who is ao American, having 
beeii a student of Administrative Sciences under 
Professor Goodman, in Columbia University. 

By an Executive decree of December 17, 1909, it is 
provided that the English language shall be taught in 
all the national schools of Peru. 

That the average native is by no means as dull or 
as stupid as some people imagine, nor as dense intel- 
lectually as several writers upon Peru have audaciously 
asserted, is proved by the statement made by Dr. Harry 
E. Bard, the Director- General of Primary Education, 
who has said : " I will take a Peruvian child of six 
years of age, teach it for three years at the side of one 
from the United States — who has naturally enjoyed 
all the advantages over the former by reason of speak- 
ing the language which it is learning — and by the end 
of the time mentioned, I will have both upon the same 
ftHitliig of preparation." 

Among so cultui-ed a class aa the better-bred 
Peruvians, it seems but natural to find a strong 
literary and artistic element, and it is doubtftil whether 
any Latin -Amencan city can offer more in this 
direction than Lima. The race is a literary one ; 
in fact, BO close has been the attention paid to study 
mid cultui-e, that the Peruvians have by some his- 
torians lHM>n doHcribed as elTeminate. It is a question 
whether this characterl«tic has been derived from the 
high-born and well-educated Sjianish ancestry or the 
Queohuas" native blood ; perhaps it may be attributed 
in part to both. 

While Ihi' S]mniard8, as we know, represented all 
that was bravo but cruel, all that was artistic and 
elegant but callous of liunmn suHering, the Quechuas 
were a thoughtful, melancholy race, much given to the 
ornamtintation of their monuments and the elaboration 
[ of thoir artiatio oooupations. Their deeceudauta tonjay 


1^ Mt 


! Opportunities for indulging 

: than unclur the tyrannical 

nitioD of their Spanish cod- 

Tbe PeruTt&ns, if they have not produced many 
.bto oontributtons to Ut«rature, art- avid ruadero of 
r Spanish, French, and otUin English publications, 
t they ne%'ertht?le8s possess much ability as writers 
liowu by the often striking and powerful articles 
h appear in the daily and weekly press, while 
ivian orators, even amongst the youngest of the 
L — in fact, some who are mere bojrs — are frequently 
met with. The Spanish Ut4:aagQ lends itself 
lily to descriptions and expreanoos Tory much 
DKiro omato and extreme than can be employed in the 
Anglo-Saxon tongae; and the extravoganoo of the 
diotioo used, although it may strike the Northerner as 
somewhat absurd nt first, is, nevertheless, singularly 
agreeable when the real beauties of the Latin tongue 
become bettt^r appreciated by a closer acquaintance 
with those who ipnak it. 
Most of the daily papers published in Peru are 
ingtiiahed for the moderation of their tone, the 
lancy of their editorials, and the fulneas of tbeir 
iblo and telegraphic services. Upon ooeamona per- 
haps of extreme political excitement some of the 
more " yellow " among the papers may break away 
from the usual restraint, and emulate the tootios of 
the — for instanoe — New Vork and Radical London 
press ; but tbey never could, under any couoeivable 
oiroumatanoes, equal either in personal vituperation 
and inventive audacity. 

There ta an iromenae quantity of sdonlific literature 
iamed periodtoally in Lima, which may be oouudered 
tbe literary oentre of Peru, but much of this never 
timvels bejrond the confines of the Republic. 


Printing was first introduced into Peru in 1567, 
Rat the time of the coming of the Jesuits — that is to 
r Bay, some thirty-one years later than the first press 
introduced into Mexico — namely, in 1 536. The 
' famous University of San Marco, to which reference 

is also made as a seat of learning, had already heen 
established in 1551, ten years after the death of 
k Francisco Plzarro. The spread of education was very 

^^KbIow, being, indeed, suppressed, as was usual among 
^^Hthe Spanish priests of those days. In spite of this 
^^H fiict, libraries and scientific institutions were brought 
r into being, if but very gradually, and to-day Lima 

I boasts of many excellent institutions of this character. 

^^H^The National Public Library was founded in 1822, 
^^Hand still maintains its position as one of the most 
^^Jeelebrated in South America. Unfortunately, the 
I contents of this institution were greatly damaged 

I by the vandalic conduct of the invading Chilian 

^^^ armies in the years 1882-1884. These Goths not 
^^Konly ruthlessly destroyed many valuable and priceless 
^^Vvorks, but used the building as barracks ! 
^^^ A loyal Peruvian named Ricardo Palma endeav- 
r cured to restore the library to something Uke its 

I former position, but his efforts were only partially 

successful, since nothing could be done to replace 
the pnceless manuscripts and unique books which 
, had been torn up and burned as fuel for the Chilians' 
This was really a matter of history repeating 
pitself, for the Chilians committed the same unpardon- 
able outrage upon their Spanish cousins, and upon 
posterity, as the fanatic Archbishop Zumarraga had, 
BOme three centuries before, perpetrated upon the 
rehivea left by the interestir^ Aztec race in 
The capital possessee a Geographical Society, which 
] done some highly impoitant work in the explora- 

which M 




tion ud daaoription of the f 

of the 

rmooi temtonfls o 
Pretideot of the Society thowed 
tne a map that the Society then had in prap&r&UoD, 
and which had been some yean already in hand. 
It will doubtleas prove to be the most complete and 
authentic map that has ever been pnbUshtid of 
and the neighbouring Republics. 

is abo an UiBiorical Institute, which investi- 
and iasoea reports upon the enrly Inca and 
Lymara eivilixatimu, of which so much nbundaiit 
exists. Additionally, thvre are societius, 
ig large and rvprveunutive membersbipa, 
to medical, legal, engineering, music, mining, 
iteratnre, agriculture, and other subjects. Many of 
[tbese laanied societies have thcor own houses or rooms, 
while others meet at the rooms of one another, or 
at public halls. The Oovenunent does much to 
encourage these aaaootatioDS. and, whenever any 
fioaooial assiatapce is sought, it is bub seldom with- 
In oonnection with the mora thorough ex- 
ition of the ooontry, the Government baa been 
particulurly interested, and the several individuals 
wbo bavtt applied to it for guidance and aid have 
been aUimlaiitly satis6ed with the response madeu 
Tbe Lima AtbeniHim has exiatod unee 1877, when 
was known as the " Literary Club," changing its 
title to the broader one of " Athennum " ten years 
Ut«r. It occupies handsome and oomibrtable premises, 
and the Government oontribotes a subsidy to its 

Tbe Teohoieal Board of Valuations ta outnposed of 
a number of engineeis, architects, and laud*snrveyY)ni, 
whose nanus are incorporated in an official rvgisti^r 
of real estate. The Society has atringent rules as to 
membership, and it has been the means of several 
important estimates being made for pablio works 


, Goo J 


and valuations. The public may obtain, at reasonable 
fees, expert information upon all such matters. 

The Technical and InduBti'ial Institute of Peru was 
established by the Government in 1896. It is com- 
posed of the principal members selected from all the 
other Societies of a technical or industrial character, 
and it really constitutes a " Union " of these bodies. 
The objects of the association are to protect and 
encourage the development of the national wealth, 
to act for the Government as a consultative board, and 
to aid the public in regard to information and advice 
upon most technical and industrial, but not com- 
mercial, undertakings. The Government also makes 
a contribution annually to the funds of this Society. 

Among other associations are The Permanent 
Exposition of Machinery and Manufactures, a kind 
of Royal Agricultural Society without the " Agri- 
culture "; The Lima Chamber of Commerce, The 
Mercantile Exchange, and several smaller concerns 
of a similar chai-acter. 

A branch of the Young Men's Christian Association 
has lately been established in Peru, mainlj' upon the 
suggestion of the Peruvian Consul-General (Mr. 
Higginson) at New York. The idea was at once 
readily approved by President Leguia, the Rector 
of the Univei-sity of Lima, and the Minister of 
Fomento, as well as by a large number of other 
prominent men. A capable General Secretary hEis 
been appointed to develop the work, with Lima as 
his headquarters. 

In common with all members of the Latin-American 
race, the Peruvians dearly love the theatre and the 
opera. With their strong partiality for such forms 
of amusements, it is strange to find the Capital possess- 
ing for a great many years but one single theatre. 
This hod been erected in the reign of one of the lust 



Vioeroyt, atul waa uaturklly devoid of all CDnvsoieuces, 
and very de6cieat in aocoauaodatioo. Id the end it 
found its grave in a fierce oouflagratiou, and few oonld 
have regretted ita diaappeamnca. Then the Huni- 
cipuUty put up a ttinipornry wooden Rtractura capable 
of Beating alwut 1,600 ipectatora. To-day there are 
aoveral DotaUa places of amusemeot in Lima, and othtirs 
in different ettiM of the ItapubUe, while in practically 
all Um towns one can spend hours at the cinemato- 
graph shows which abound, and which have secured 
the same remarkable bold over the paUic of Peru aa 
thoae of the Argentine Republic, Uruguay, aod BnulL 

Among the princi{Hil pluyhouaes are the Politeama, 
which ia now the largest in Peru, holding over 2,000 
people : El Olimpo, which, of smaller dimensions, seats 
about 1,400; a Chinese theatre, where the children 
of the Gnleatial Empire give their wetrd and frivolous 
performaooea ; and a bull-ring holding eonly B.OOO 
qiectatoTi. A oook-fightlng arena— or. as it ia called, 
a AWw^tim— is very well patronised by the lower 
classes, who always seem to find money enough to loM 
in betting upon their bvourite birds. The Jockey 
Club have built a bandaooie Hippodnxne upon a 
pieoe of ground beloo^og to the School of Agncul- 
tore, and here are held aoroe interesting meetings, 
remuuaoeut of Hutiingham and Banelagfa. 

The new Municipal ThoAtre, whit^ aooonunodatea 
S,000 ^wotatoci, should be a great attraction, since 
OHMt of the tnToIUng oompaniefl, dramatic and 
operatie, which now make South America a part of 
their r^nlar touring itinerary, shoukl visit Lima 
daring nae ptirt of the year. No company oould 
wi^ lor Bore discriminating or appreciative audieoceA. 

No pnaa of South America baa been aooonled 
greater or mora deaerved praiae than that of Pern. 
Evan oriUca who totally disagree with thor political 


Pern. Jl 

litical H 


opiDioQS — which is but natural in a country where free 
expressions of thought are not only permitted, but 
encouraged — agree, that for dignity of expression and 
purity of motive the Peruvian newspapers are almost 
unique in Latin-America. 

I suppose that there must be something in the 
gentle Elia's lament that " newspapers always excite 
curiosity, and that no one ever lays one down without 
a feeling of disappointment " ; but in regard to the 
majority of the Peruvian news-sheets one certaiiJy 
gets fiill value for the small coin which has to be 
expended for their possession, if oiJy in regard to the 
admirable cable service and the full and inland tele- 
graphic news which they contain. The illustrated 
papers, weekly and monthly, will compare most favour- 
ably with the best of the English periodicals ; and in 
most cases their literary contributions stand upon a 
decidedly higher level of merit. 

The oldest of the daily papers is El Comercio, which 
was founded in the year 1839. It was this journal 
which strongly advocated the abolition of slavery 
in 1850-1855, and it required a great deal of moral 
pluck to preach such a mission in Peru — or, indeed, 
anywhere in South America — in those days. La Prensa 
is another very powerful paper, both morning and 
evening editions being issued. El Bieii Social is a 
clerical organ, and very carefully edited. El Liberal, 
whose opinions are expressed by its name, and Diuiio 
Judicial, are both regarded as higb-cla-ss publications. 
Of weekly papers there are a great variety, among the 
best being Pnsma and Aclualidades. The foreign 
colonies are partly represented by different weekly 
editions ; but, as yet, no English weekly paper has 
succeeded in maintaining any but a precarious exist- 
ence. Of monthly organs there is also an immense 
selection, practically every social institute having its 


own particular exponent. Thus, we have La Revisia 
Pitn-Americana, El Bolctin y Registro Ofidal de 
Fomento (a Government publication of great value 
to those who would follow the commercial progress 
of the Republic as officially portrayed) ; El Boletin 
de la Sociedad Geogrdfica de Lima ; El Boletin del 
Tnstituto Histdrica del Peru ; del Sociedad Nacional 
de Mincrla ; del Sociedad de Agricultura ; del Sociedad 
de la Indtistria ; del Academia Nacional de Medncina ; 
La Cronica Midlca ; El Monitro Medico ; La Gazeta 
Cientifica ; El Boletin Escolar ; La Gaceta Comercial ; 
Bdetin de Minas ; La Reoista de Ciencias ; Boletin del 
Cuerpo Ticnico de Trasadones, and numerous others. 

El Callao is a dally of much Importauce cii'culating 
in the Port of that name ; while in the Provinces the 
following may be accepted as the leading organs of 
their respective communities : 

Cuzco, El Comercio (daily) and El Ouzco (weekly) ; 
Huanuco, La Paz (weekly), Molkndo and El Puerto 
(dailies) ; Arequipa, La Deber (daily) ; Huacho, El Eco 
(weekly); Huaraz, £^ CoiTeode Ancacks, LaFedei-acidn, 
and La Jmticia (all weeklies) ; Piura, La Nuera Era, La 
Revista del Norte, La Iiidusti-ia and El Comercio (all 
weeklies) ; Iquitos, Loj-eto Comercial (daily). 

I have often asked which was the fii'st English 
newspaper to be established in Latin-America, but 
1 have never been able to find out with certainty, I 
believe, however, that it would be correct to award the 
palm — if, indeed, it is a " palm," and not a piUory, 
which should be awarded to some of the discreditable 
sheets which pass as " British newspapers " in Latin- 
America — to a paper called The Cosmopolite, started 
in Buenos Aires in 1825 by an American named 
Hallett. Then, the following year came The British 
Packet, a, much better name and an infinitely better 
paper. The Commercial Times appeared in 1862. All 

I Packet, e. i 

paper. Ti 




of these were Buenos Aires ventures. lu Panama, the 
Star was issued in 1849. These sheets seem to have 
l)een the earhest English publications ; at least, they 
are the only ones which I have been enabled to trace. 

Peru has been fortunate in late years in having 
an eminently sound and literary newspaper — or rather 
magazine — one which is as skilfully edited as it is 
handsomely illustrated. Peru To-Day has now attained 
an influential circulation, reaching far beyond the 
condnes of the Republic. The editor is a cultured and 
talented American, Mr. John Vavasour Noel, who has 
been trained in a thoroughly practical school — a school 
which " observes and thinks." The assistant-editor is 
Mr. F. E. Ross, an equally capable and clever journalist. 
There can be uo question that Pe>-u To-Day, which 
is issued monthly in Lima, affords a reliable mirror of 
the commercial and industrial progress of this Republic 
from month to month ; and a file of this neat and 
admirably printed publication — which misses nothing, 
and neglects nothing which can be regarded as coming 
within its particular scope — will be the best index that 
could be found for future historians of Peru. 


LitDft, the Cs|dUl— DMeripdoo of dty— CUiiwIo— EwlhqwkM— Hoom 
dacorktion uid arehiuetara — PuUie pUe«« — AveniiM — pMita — 
TmupoTUlioo— Clwritehle iiwUtnlioin  HoroiUl* uid ujlunw— 
Saburb*— Mlraflon*— ChorUIoa— BellftvUt^— DaUrnetion by CbilUa 
Iroopa—Buhing— CmalliM of wmr. 

TiiBKB art) in South America three cities ia particular 
where one can live, and live with every comfort and 
convenience. These are Buenoe Aires, in Argentina ; 
Santia^, in ChUi ; and Lima, in Peru. I think, were 
I to be compelled to make my choice, I would select 
tht? liwt-uamed, since it is, to roy mind at leaat, the most 
restful and the best regulated, from a police and 
municipal {>oint of view, of any city south of Panama. 
It is, moreover, a remarkably beautiful city, on account 
of the many old Moorish relics and well-preserved 
buildings of the Spanish times. The number of its 
official buildings and public parks to-day is excep- 
tionally lai^>, and they must have been almost unique 
in point of elegance in the olden days. 

The oonBguration of the city of Lima, which dates 
from January, 1 535, when it bora the name of " Ciudad 
do 1(18 lieges " (the City of Kings), is very irregular, 
and somewhat in the shape of a triangle ; the base 
rests on the river, which divides it into two parts. The 
origituU extent of Lima was 22 cuadra$ or squares, 
fnim east to west, and 14 from north to south. 
Its present area exceeds 15,000,000 siiuare Castilian 
rrtra«,* and its aspect is somewhat changed from, say, 

• r«r«-» na, Of pob-ft|7M4ii, or »|fMt. 

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fifty years ago, when it was surrounded by strong 
walls, which had been first erected in 1683, during the 
Viceroyalty of the Duke de la Palata. The wall was 
only demolished in 1870. 

Although exposed to the winds from the south and 
west, the city is well sheltered by the mountains on 
the north and east. These latter are spurs of the 
great chain of the Andes, which run nearly north and 
south for twenty leagues to the east of the Capital. 
Westward the city commands a view of the Pacific 
Ocean ; to the south-west one can see the island of San 
Lorenzo ; and to the south aje visible the Morro Solar 
or Morro of Chorillos. 

There are only two seasons recognized in Lima, and 
these are clearly defined — the summer and the winter. 
There blow here many, and sometimes very aggra- 
vating, winds ; but it is a mistake to say, as some 
chroniclers have done, that it "never rains" in the 

I believe it would be more correct to assert that 
continuous rains are unknown, bub towards the end of 
April or the beginning of May the garuas — a very fine 
rain, resembling our Scotch mist — sets in, and con- 
tinues until November, with more or less intermission. 
It Is very disagreeable, and not sufficient to necessitate 
the use of an umbrella, but quite capable of producing 
a moist and sticky feeling about the face and hands. 
During the rest of the year these precipitations occur 
only at the changes of the moon. In summer real 
rain falls, but in heavy showers of very brief duration. 
It can be intensely hot and as intensely cold at times. 

The visitor to Lima must he prepared for earth- 
quakes. The statement looks alarming, but, as a 
matter of feet, it has been many years since any serious 
seismic disturbance took place — a fact which does not, 
of course, render a repetition any the more improbable. 

1(tS0, 1(187, ^Ur^, 180<t, and 1S48. Upon as 

vrage there are eight "quakes" — mild visitatioDS of 

little moment — in the year. The abocks usually 

poas from Bouth to north, following the direction of the 

chain of muuntaioa. 

PerhapB one of the most charming aspect* of lama 
is that which is afibrdecl by the exqnintely carved 
Moori^ faaloonies, many of which still remain, and ar« 
cweftilly maintained, even the poorest tborougfafiirea 
powaaing their shans. One also seea many modem 
houses with their old-time " bird-cage " windovrs ; but, 
gntierally qwakbg, these have been replaoed by 
modern glaxad windows. While the streets do not 
run in the direction of the four oardinal points, tbey 
mostly intersect each other at right angks, framing 
quant blocks of houses, called mantanait. As in most 
fRtln- American cities, the rows of buildings are almost 
1 as regards the number of houses which they coa- 
n, there bcdog from thirty to fifty doorways upon 
her side of the street Were it not for the many ' 
roob — the small amount of ruinfull rendering 
peaked roofs unneoeasary — the city wouM present a 
very handsome appearance from an elevatetl |>oiat!on, 
^ith its numeroos brightly-Uled church roofs and 
wples, its many magnificent GoTemment edifices, 
the several semi-tropical parks and open spaces 
bich exist. A goodly proportion of the private 
I aim have tlieir well-kept and bo-treed pation, 
Uh inner gardens, which lend additional colour to 

or modem, as of old, public buildings lima pos- 
leases many beautiful specimens. The first edifices 
which were eivoted by Pisarro consisted of the 



Cathedral, the Government Palace, the Archbishop's 
Palace, and the City Hall. The handsome church, 
much modified, still stands upon the same spot, and 
contains the embalmed body of ita pious, but piratical, 
founder. The Government building, modernized in 
every particular, stands as an official edifice, and has 
been occupied continuously from the year 1535. The 
first tenant was the great conqueror Francisco 
Pizarro himself, some forty-three Viceroys following 
him, of whom the last was Don Jos(5 de Lacerna, who 
capitulated in 1824 to the Republican Army after its 
victory at Ayacucho. 

The chronicler is tempted to tarry lovingly in 
describing this, perhaps the most interesting of all the 
South American capitals ; but, unfortunately, the 
insistent limitations of space and more prosaic require- 
ments of to-day forbid. One is inclined to commit the 
error against which Tacitus warns us, Vetera e.TtoUimus 
recvntium incurio'd. Let me, therefore, proceed — 
though xinwUlingly, I admit — to speak of Lima as it is. 

Peru's modern Capital boasts of a population ex- 
ceeding 150,000 souls. Among the residents wdl be 
found some of the handsomest and straigh test-built 
men, and undoubtedly some of the most beautiful 
women, to be found in South America. It is quite an 
exception to meet a really plain Peruvian, and almost 
as seldom does the traveller encounter a poor one. 

The city is divided into five quarters, comprising 
ten districts, which, again, are subdivided into forty- 
sis barrios. Of these different districts, some four are 
merely suburbs or outlying parishes, the principal 
divisions of the city being sb follows ; San Sebastian, 
San Mai-celo, El Sagi-ario, Los Huerfanos, Santa Ana, 
and San Lazaro. 

The streets of Lima are what we Europeans should 
consider rather narrow, measuring some 30 to 35 feet 


, bat they afford pleasant shado from the hot 
san, which was the une thlnf; which jirvnipted th« 
Spaniards to tlios construct tbutn. Formerly, a 
■urfiMse-draiuagu and aewerage rendered Lima any- 
thing but pleasantly odoTDtta; but to^y there haa 
been a ver}' good underground amrerage aystom intro- 
duced, and with which all of the bouses within the 
eaty boundaries are connected. 

Id do South or Central American city will you Bnd 
a haodsonier open qtaoe than the Fluza Mayor, which 
oooupies the very centre of Lima. Flanking this 
Hirge BquarH is the im[>06ing C-athodral. and which 
Hboupied ninety years in the building. On the west 
^Ue is the Municipal FaUoe, and on the north side 
stand the ejtt«asiT<e range of buildings known an the 
Oovemment— once the Vkeroy'ii — Pubicu. The fourth 
side of the square is oocupltKl by private residences, 
shops, and a buge club building, lUl of which are in 
keeping with the main structures, and have in oolour 
been mellowed by time into ono bomogeneous whole. 
Magnifioeutly kept gardens, with a wealth of tn^ical 
tiees and flowering-shrubs, occupy the centre of the 
Plasa, and here, as in all I^tin-Americnn cities, fore- 
gather, of an aflt-moon and evening, the " rank, 
fuahion, and beauty " of tho Cajiital — in the case of 
Lima ull three being adniinilily rfpreaented. 

The space which was funuvrly occupied by the wide 
and olmnsy-looking tuLtbt wall, built, as already 
observed, in 1689, and demolished in 1870, is now 
being utilised for some ha n dsome boulevards, which 
will soon entirely surround the dty, and provide 
tborough&rss for the use of riden, drivers^ and 
pedestrians. Already some of these arteries have been 
oomplet«d and opened to public traflio. tbe Bologpesi, 
the Oraa. and othefs^ fonnbg a oootinaous pfuAt, 
stretehing from tbe river and passing around the city. 



Yet another delightful driveway is the Avenida, 
leading from the town of Magdalena to the city of 
Lima, about three and a half miles in length. This 
thoroughfare measures 125 feet across, and is shaded 
by a quadruple row of palm-trees. Mention may be 
made also of Avenida de los Descalzos {Barefooted 
Friai's) which skirts the banks of the river and forms 
a wide public walk ; this is adorned at intervals with 
handsome statuary rei)resenting the twelve signs of 
the Zodiac, the intermediate spaces being occupied by 
graceful urns, marble benchea, well-kept flower-beds, 
and brilliant green grass-plots. In length the avenue 
is two-thirds of a mile, and it commences at the foot 
of San Cristobal hill — altogether a very charming, 
reposeful promenade at all times of the year. 

Avenida Arco is a favourite " short-cut " leading 
from the outlying districts to the city ; it extends 
from the old stone bridge crossing the river to 
the modern Balta bridge. The recently completed 
Columbus Avenue is about one-third of a mile long, 
125 feet wide, and it connects the Exhibition Square 
with the Bolognesi Square, being built in the form of 
the arc of a circle, and traversing the modern quarter 
of Lima. 

There are altogether some five-and-thirty public 
squares to be found in Lima, which compare with the 
sixty-seven churches. Of notable monuments there 
are likewise a considerable nimiber, the most con- 
spicuous being five which . are known throughout 
South America, and have formed the subjects of 
postal-cards which have probably been sent to every 
quarter of the globe. I refer to the mighty Columbus 
monument, built of pure marble, which represents the 
Genoese discoverer raising from the ground a poor 
Indian woman, one of the many, probably, that he 
ruthlessly sold into slavei-y ; to the bronze and marble 


>, the groat Lilicmtor; 
[ay ") moimmtint, oom- 
7 tho brave Peruviana 
■gainit the Spani'anls fn 1 B66 ; the Bolognrai monu- 
nxint, dedicated to the memory of Colonel Francisco 
BologiMiei. who lost hb life id 1880 in the defeooe of 
Arioa Motto against the Chilian forcea ; and, pwbapa 
the moat beautiful of all, the San Martin statue, whidi 
Awnn that great man proclaiming the independence of 
PertL There are seTeral other moomneots, but there 
an none more inspiring than thesa 

Under a auparate chapter I have referred to the 
ttansportation arrangementB in Lima, so far as the 
tramways are conceniMl. There are likewise a great 
number of well-«quip|>ed cabs and eaninguL The 
fonner are not only plentiful, and obtainable at all 
hotira of the day and at rooet houn of the night, hut 
the &res are extremely reasoiuible, and the Jehus 
generally are a poUte and an amiable class of public 

For inatanoe, one may traTel all nxmd the dty, and 
within its limit*, for 30 cents for either one or two 
paaengers ; three may travel for 40 oenta, and tour 
for SO eenta. or, aay, for a tout uf la Children undw 
seven yeara of age travelling with an ndult are carnecl 
free, other children being ctiarg»l for at lU centa, or, 
aay. 3^. eaob. By the hour the charge is 1 mU (2& ), and 
SO oenta for every additional quarter of an hour. After 
1 1 p.m. the fares are raised SO per cent 

The many beautiful public parks and gardens of 
which Lima is poasMHd may be seen to be tenanted 
at most hours of the day. Beakles the tropical trees 
and Aowiring beds of the Plaxa Mayor, where military 
bands oocne to play admir&bly at oartaiu bouts and 
Qpoo nasi days of the week, tboe are the Zoological 
Oaideus. where, in addition to a great variety of wild 


animals and birds, are found some magnificently kept 
gardens ; the Botanical Gardens, containing specimens 
of every tree, plant, and shrub known in Peru ; the 
Parque Col6n, fronting the Avenida, and a fashionable 
drive known as Paseo Col6n, and also as the "Avenida 
9 de DIciembre," which leads from the Bolognesi 
Circle or Exposition Park, and thus forms a link in 
the system of wide boulevards encircling the city. 

The Parque de la InquisicicSn, which, bearing as it 
does a somewhat sinister name reminiscent of Spanish 
religious brutality and senseless persecution, forms 
nevertheless a beautiful rendezvous ; the Alameda de 
los Descalzos, noted for its exceptionally fine monu- 
ments and statuary ; the Alameda de Acho, the tree- 
lined drive constructed by the Spaniards, and leading 
to the famous Cerro de San CristtSbal. 

While very carefully tended and as carefully policed, 
all of these places, being dedicated as they are to the 
use of the public, are accessible at all times ; and no 
officious interference is observable upon the part of the 
custodians, such as one meets with from the same 
overbearing class of menial in England and the United 
States. 1 have upon no occasion observed any ten- 
dency upon the part of the public, on the other hand, 
to abuse their privileges, and for the most of the 
people it may be said that they seem to be as zealous 
in preserving orderliness and maintaining spic-and- 
span the appearance of their recreation-grounds as are 
the Grovernment or the municipalities which control 
them. There is less litter from discarded paper, 
broken bottles, and empty raeat-tins than can be found 
in any London or provincial pleasure-ground. 

The Spanish -Americans are naturally a very hospit- 
able and warm-hearted people, and they seldom decliDe 
to support their charitable institutions, or to dispense 
" trge.ise among their less fortunate brethren. In years 

L r.r .GoOtj 


t of this public ctiarity was oooductvd througii 
meiiUility of th» Church : and It is eveo so 
^to n limited extent. But there exist many 
btct'lloiit iiiatitutions which are entirely detached from 
rutigioufl frattimity, and these are very well 
MpportMl by both the Government and by private 

' In severml of the cities and towns there are found 
ititutions which are conducted and entirely sup- 
by private charity, and the«e under ordinary 
'i^umstAOces, and in most countries, would be r>und 
eititer under Govumroont or municipal management 
There are, again, curtain charitable foundations whicli 
are aasisted financially by the authonticfl, who also con- 
trol — by means of an official representative — all the 
recapta and tlie expenditurea. 

The Uma Benevolent Society is an institution which 
has effected wime great amount of good, and which 
oompares most favourably with any other similar body 
of philanthropiata in either hemisphere. The revenues 
exoeed 9li'>(>')i<^0<) annually, and out of these the 
Boeiety entirely supports the Seoood of May Hospital, 
a modem institution which aeeomnwdatM 1 ,000 patients 
r both sexes. 1 1 alao partially mMntains the Santa 
I Hospital for Women, which was founded in 1549 
I ^t Bishop of Lima, MonsigDW J. Geronimo 
i Loaixa, while it ajaista with finances and coutmls 
miutageawmt of the Mntemity Hospital, the 
of Midwifery, and the Military Hospital of 
San Bortolom^. The same society is resixinsiUe for 
the managvmout of th» Insane Asylum, ns well as 
I Oqihan Asylums— one fur fouiwUingn and thu 
' i>r|>han Imys — who are given a mund oim- 
and industrial education or put to some 
I trade. 
The tastitut« SeviUa, foimded from the funds derived 



from tho legacy bequeathed by Sefior Jos6 SevIIla, 
educiites and clothes 100 girls, aud teaches them occu- 
pations likely to be found useful in after-life. The 
School of Medicine, which Is mentioned more fully 
in another part of this volume (see Chapter VIII.), 
is another excellent institution which effects much 
real benefit to the community. 

Nowhere in Lima — and I am almost tempted to go 
so far as to say, nowhere in the Republic of Peru — will 
one come across the same kind of abject poverty and 
the hopeless human misery that continually con- 
I'ronts one In the streets of London or New York, 
or, indeed, in any of the large commercial centres 
of England and the United States. 

The noble human emotion of chai'ity seems to be not 
alone more common in this country, but its definition 
to be more libei-ally construed. The philosopher may 
tell you that indiscriminate alms-giving is the cause of 
much mischief; that it directly encourages vagrancy, 
deceit, and voluntary degradation ; that it weakens 
self-reliance, and, by thus demoralizing, keeps the 
recipient on the downward course of professional 
poverty resulting in absolute pauperism. To address 
such an argument to a warm-hearted Latin-American 
would be fruitless — he or she would fail entirely to 
comprehend such casuistry ; and in all probability 
would reply that full inquiries in every case of appeal 
are impossible, and that in giving alms to their poorer 
brethren they consider that tbey cannot be held 
responsible for ultimate economic effects, which, at the 
best, are purely speculative aud the subject of widely 
different views. You will never dissuade a Southerner 
from seeking to help the poor ; and the Peruvians are 
open-handed and warm-hearted to an unusual degi'ee. 

Lima is particularly fortunate in the situation aud 
chai-acter of its environs — possessing as It does a 






likewEge ito satollite. La Panta. Bat there are Mira- 
flom — meaning " behold the flowers" — Borraoco, and 
Cborilloa. The finit-iuuned ia n picturesque little place, 
nttiat«d ia tbo centre of a Urge oove or iolet of the 
ooaatt and reoeiving the AiU beneBt of the agreeable 
breeaea which blow here for the greater part of the 
year from the aea. The witula are from the south- 
went, and, as a rule, they are far from vic^ot On 
aome oocaatcms they beoomu tempwtuous. 

ChoriUoa is the Brighton of Peru, and, like our own 
"Qaeen of Watering- Plaoes," it rose from a homble 
fishiitg village to the dignity of a &ahi(mable watering- 
place. Its former bumble inhabitants — Indians — have 
migrated from its now sacred preciucta, and congregate 
in a small and struggling village, aome distance up the 
mountain>side, and called " Alto *— or " B igh Pern." 

The town of Cborilkw baa now about 1,200 or 1,300 
readenta. Befiire the war with Chile it was oven 
hotter patronized than it is to-day, some of the 
hooaes, according to photos that I have aeen, being well 
appointed and roost artistically built. But the Qiiliana 
came as oooqaerors. and the same savage spirit which 
prompted them to ruthlessly destroy the prioele« 
HS3. in the National Library at Lima induced them 
to bum and d«ittn>y Cborillos, no that not a single 
bouse es ca p e d deetructton or mutilation. 

The town of Barranoo straggles along the edge of 
an unoven cliff, about 100 feet above ■e^level, and 
a covered deoline leads down to the seo-beadi where 

lightlnl aea-bathing can be had. Frcon the terrace, 
(ch has been formed on the side of the cliff, 

dear outlook to loa, and occasionally some beautifVil 
suiuct f ffeota, can be enjoyed. There is also an h)-draulio 


elevator, not unlike the Lynton and Lyumouth lift in 
North Devon. Chorillos, however, is by no means a 
cheap place to live in. 

Anc6n is another agreeable small suburb, but 
situated farther away from the Capital, being distant 
Bome 38 kilometres. It is a bathing- place, and pos- 
sesses some very smooth and even sands which stretch 
away for several miles. The town itself is ugly and 
straggling, and the surrounding country extremely 
bare of vegetation. But the climate is health-giving, 
and many individuals who suffer from pulmonary 
complaints can live in Anc6n when they cannot do so 
in Lima. It is infinitely better than La Punta in this 
respect, the atmosphere in that place being found 
somewhat damp and humid. 

Bellavista is situated some 2 kilometres east of 
Callao, and was founded as a kind of temporary place 
of residence after Callao and Lima had been com- 
^_ pletely destroyed by the earthquake in 174G. It was 
^^H mainly occupied by shipping people ; and here also 
^^H were deposited the great stores of wheat which were 
^^H purchased from Chile to feed the starving people. The 
^^H original buildings no longer exist ; but others of a 
^^H more substantial character have been erected on the 
W site, and are connected with Callao and Lima by a 

I short branch of the railway belonging to private 

^^H owners. 

^^H Once there was a handsome and commodious Govern- 

^^™ ment factory at Bellavista, but the Chilians destroyed 
r this, as they destroyed so many other things belonging 

\ to the Peruvians — acts of archaic savagery which 

^^^ nothing could, or ever can, excuse. 
^^^L The Chilians, in waging their horrible wars, seem to 
^^^B cany out to the letter the inhuman doctrine of that 
^^^f other American — but " North " this time — General 
^^^^ Sheridan, who declaimed that " the maiu thing in true 



will long for peaoe, and pnm their Gorernmeot to 
make it. Nothing should be left to the people but 
eyea to lament the wnr." Such n leisoa was that of 
uiifortunnt^ Peru in 18BI-I884. 

Municipal nfioira in Lima appear to be singularly 
well-managed. The Mayor poaseiMoa a tjrpically 
EngUih name, " William Billin^arBt,* and be b both 
Tery popular and very enterprising in his offidal 
capacity. He has been in office nnoe January, 1909, 
and at the time c^ liis election he found the munici- 
pality in debt to the extent of £410,103. By the 
month of February !n the following year he bad 
reduced this amount to £367,41-2, and this year (191 1) 
it will be still further diminished. 

NerertbdeiB, Mr. Billinghurst has been unable to 
the overwhelming and i rrop ren s ible deatre u|x>n 
part of all lAtin- Americans to build a " National 
.tre," and some considerable amount of money ts 
iw to be expended upon this object. The new place 
amusement is to be erected upon the Plasa San 
^uan de Dios, near to the terminus of the Lima-Callao 
e l ec tt ie railway. The sum expended to acquire pro- 
pertaea which are found to stand in the way of the 
naw structure alone amounts to £30,000. 

The rerenaes of Lima Municipality are approxi- 
mately between £100,000 and £105,000 per annum, 
and the expenses amount to about the Hune. 

Mr. KUingburst's father was an Englishman, and be 
himself was bom In Arica in July, IH5I. He w«« 
ited a Deputy in I B7H to repr«epnt Iquiquo. In 1 880 
was appointed Comnussiooor of Defence, to study 
River DeMguadero and the Andine plateaux. He 
ighl in tbe battles of 1881-1885, and when peace 



came he was appointed Consul-Qeneral of Peru at 
Iquique (now Chilian). In 1895 he became Yice- 
Fresident of the Republic and a Senator. He is a 
distinguished author of scientific works, some of his 
publications having achieved European fame. He 
makes a most excellent Mayor. 

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Cost of living — ReoUlH — Hoasohold eipenditures — WageB — Domestics — 
Mary Anne's paradiee — Native labourers— Japan eeo competition- 
AtuD^an emigr&nla— Qovernment encoiinseiiient — Sport and amu>ie- 
ment— Lima Jockey Clab— Regatta Club— lootbairB popularity — 
Linw Cricket Club. 

I The cost of living in Peru, compared with prices pre- 

I vailing in Europe, is found to be decidedly expensive, 

I unless one knows one's "way about"; for here, as 

elsewhere in the world, the stranger is frequently 

exploited by the native or foreign shopkeeper, and the 

still more enterprising landlord. Today the neces- 

Baries of life have advanced to a very high standard, 

[ and the tendency is, if anything, to increase rather 

^an decrease. In Lima itself, hotel rates are from 

fiO to 30 per cent, in excess of what one would pay for 

fce same value of board and lodging in England or in 

any European town — Paris and St. Petersburg, perhaps, 


Had any traveller come to Peru in 1908, and had he 

up housekeeping on his own account, he would 

liave found a condition of things in existence rather 

encouraging, in spite of the fact that even then prices 

I were some 15 to 20 percent, higher than they had 

rlieen. At that time many of the shops were selling 

oda at very low prices, since most of them 

I'TPere overstocked, the wholesale warehouses being 

Kkewise choked and congested with European and 

)rth American merchandise of practically every 




kind. House-rents, however, remained high, in spite of 
many new buildings going up in different directions. 

Then followed a commercial and financial collapse ; 
trade suffered a general set-back. Imports, as a con- 
sequence, were much restricted, and retail prices com- 
menced to again mount as these fell off. 

To-day residents and visitors alike are suffering 
from the action and reaction, and the cost of living is 
found exceedingly heavy. The prices of some few 
articles which prevail in the towns and coastal stations 
alike are as follows : Sugar, which is grown in the 
I country, costs 24s. per quintal of 100 pounds, or, say, 
I 2fd. a pound ; while In Liverpool the same article is 
sold at 9s. per quintal, or, say, at a little more than 
id. per pound. Fresh meat ia so expensive that only the 
well-to-do can afford to buy it more than once a 
day ; fresh fish is hardly less so. Even rice, potatoes, 
beans, maize, etc., grown in the country, are high; but 
these form the ordinary food of the peon-clsiaB, and 
must be purchased. As I have shown elsewhere, wheat 
has to be imported, and this commodity, due to heavy 
shipping freights and railway transport to the interior, 
is put up in price by the retailer by some 50 per cent. 
Rentals are nearly 40 per cent, higher thisyear than they 
were, in spite of many new residences having been built 
and the cheaper transportation rates to the subm-bs. In 
Lima a small apartment, consisting of two or three 
rooms in a quiet and not too fashionable quarter, costs 
£4 per month ; while a small separate house, containing 
five rooms, a kitchen, and the usual domestic offices 
(often without a bath-room), costs from £7 to £8 a 
month. For anything more pretentious — say, a house 
with from eight to ten rooms, a small garden, and the 
usual modern conveniences — anything between £10 
and £l2 per month must be paid. Property-owners 
calculate upon a rental of 10 sols (20a) for each room, 


i of water rate, municipal rates, police rates, 
pablic lighting, or eltictrtc light. 

The following comparative table. Bhowing the 
advance in living rates in Lima and most of the other 
towna in the course of some nine years (the difference 
is very slight between the one and the other), may be 
finuid of iDterest : 


In IMS. 

In ini. 

HoBlUy tmult (taa kbm) ... 

W>tn lu (per m«iill)) 

OmI (pw Mokol ISO Um.) 

j-j-^*.,^,.. ... 


SSWr-^'::: ::: 









Other artict(«, such as bam, beer, win««, salt, coffra, 
tea, lard, beans, butter, matches, chiclcptmi, lentils, 
rioe, and oondimeotA, have advanoed proportionately 
between 40 and 100 per cent. On an amrage of nioe 
yoora, the merease ibowa an average of between 65 
and 95 per cent. 

Employment is oomporatively easy to obtain 
Ihronghout Pern, and in Lima, Areqnipa, Cerro de 
Pasco, and other towns where Earopeons or Ameriauui 
ore found in any namber, domestic servants are nsoally 
at a pnunium. In fact, Pern may be tenned "Hory 
Ann's Paradioe," and sbe knows it too. Clean, 
dooMstioated, and fiuthfol female aervonts are obtain- 

KoU the some, for the j*eon-e]ium, from whom th4*y 
partly recruited, are very susceptible to Itimlly 
tment, and am usually as willing to enter the 
aarvioe of a fon^nsr as that of a native. Having 


already given the wages of this character of service, I 
add the remuneration paid to other wage-earners. 
Clerks and governesses, unless they are engaged upon 
contracts in the Old Country, and have these contracts 
duly vised by the British Consul immediately upon 
arrival, are strongly cautioned to proceed with their 
engagements very carefully. They stand but little 
chance of finding casual employment, and even if they 
do so, they cannot always feel certain of being 
regularly paid. 

The rates for clerks range irom £250 to £350 per 
annum, but, in view of the excessively high cost of 
living, even the larger amount seems to be small. 
Governesses of European birth are poorly paid, and 
generally find that after providing for their personal 
expenses they have but little left over from their 
meagre salaries. Some German governesses, however, 
whom I have met have expressed themselves as satis- 
fied with their experiences. These ladies manage to 
live, and even to save, when women of no other 
nationality could do either, and they appear for the 
most part to be quite contented anywhere, provided it 
is not in their own country. The German — male or 
female — but seldom expresses any sentimental legreta 
in leaving the Fatherland. 

Carpenters make from 4b. 6d. to IDs. per diem ; 
masons, from 68. to 12s. ; blacksmiths, from 98. to 20s. ; 
mechanics, from 9s. to 12s,; paintei-s and decorators, 
from 8s. to 15s.; coachmen and grooms, from 20s. to 
35s. per month ; gardeners, from 258. to 50s. per month 
(in both these latter cases board and lodging must be 
found, or the value added to the wages) ; electric-car 
drivers earn 68. per diem ; hotel porters, 5s. per diem 
and their full board ; male servants in hotels or private 
houses, fi-om SOs. to 50s. per month. 

While the Japanese are gradually making their 


indaeoee felt oommercialljr w moat parte of the world, 
ibey aoem to h&ve had ft particular partiality for Peru ; 
and these enterprising people have succeedul in estab- 
lishing a sound trading connection with the Rupublic. 
There is a Consul- General — Mr. Tsuneji Aibo— who 
speaks Sjianish as fluently as he does English, which 
is equivolimt to saying like his mothcr-toogue. Mr. 
Aiba asserts that tliere ore over 7,000 of hts couutr}'- 
men in Peru, nnd that every year the number shows 
an appreciable increase. 

It is only since 1899 that the influx commenced^ 
the great [voportlou — luUy 80 per cent. — being men. 
The nkojority of the Japanese labourers find employ- 
ment on the sugar estates, and I have seen many 
of tbem at work in thmr plodding, serious way. 
modentely reliable in regard to ponctuaUty and 
attention to their duties, but nnopproaobablc and 
forbidding from a social point of view. Few of tbem 
will consent to undergo the privations and danger* 
attendant upon the occupation (^ rubber-ooHooting or 
cultivation ; but some few ore to be found working 
upon the ootton-flelds. 

The avenge rate of pay amounts to 1 sol (worth 
28.), about I yen of their own money per diem, and out 
of this meagre wage they manage, fay extreme frugality, 
to save a soffioiant sum to take tbam back to JajNin in 
a few years. If tbey would oonseot to work in the 
mbbo' IbuBts tbey would reouve 5a. per diem. But 
there many wookl die off very speedily. In Japan any 
utdinary Ubounu- can earn his Is. 6d. per diem, and 
the eost of living is intinitely cheaper; so that it is 
rather diflicutt to undentatul why theae emigrants 
should oome awny so lar from home. 

Upon investigation, I laamed that the Japanese who 
hod been imported into Pern were found vety intel- 
Ugeiit workmsn, and there m aume competition among 


employers upon sugar estates, farms, and rubber-lands 
for their services. Japanese ai'e also employed as 
domestic servants, restaurant waitei-s, carpenters, plas- 
terers, masons (but they cannot compare in these 
capacities with the Italians), road- repairers, boat- 
men, gardeners, fishermen, dairymen, and laundry- 

In Lima there are over 800 Japanese so engaged, 
and in Callao there are about 150. In these two 
cities the general employment which is followed is that 
of barbers, the Capital possessing some 160 men and 7 
or 8 women, and Callao 42 men and 2 women, all 
of whom are hair-cuttera and shavers. The Japanese 
Consul-General gives me the following further parti- 
culai-s of the different occupations followed by the 
Japanese in Peru : Small traders, 77 ; restaurant 
keepers, 68 ; grocers, 45 ; carpenters, 54 ; and coal- 
vendors, 19. Of factory hands there are between 
30 and 40. 

While, as I have observed, there are many em- 
ployers of labour who would not only like to see more 
Japanese employed in Peru, but who have made every 
effort to procure the necessary number of men from 
the Land of the Chysanthemum, it appears that the 
Japanese themselves are not as keen as they used to 
be to sell their labour to Peruvian employers. 

Many rubber-pickers have been biought from Japan ; 
but the Government of that country have latterly 
introduced so many restrictions and insist upon such 
onerous contracts being entered into, that the em- 
ployers are unable to continue the introduction of this 
kind of labour with any profit to themselves. Addi- 
tionally, they declare that the class of workers now 
sent over are utterly without morality or rectitude, 
I that they are bad pickers, that they desert rapidly, 
lleaving the contractor with the cost of the importation 



and tery little luorativu work to show as a aet'O 
■gainak bis heavy outlay. 

Upon ioquiriug the roaaoa — if this rt-ally be the c 
— why Boy uffbrt at all should tie tntule to lutrodace 
Japoiicw UilKiur ta thu rubl)tfr foresta, I wtu iufurmed 
that this casual laiwur was found even worst*, and the 
Indian peims more dithcult to deal with, being " ner- 
vous, suspicious, aad uowilling to travel far from their 
own native villages." 

With the oxperieoco of the harah and eniel treab- j 
ment which sooiu of thtsae nnlbrtunat« beings have met 1 
with at thu hands ol'ovrtain European employers, it ifj 
scaroely surprising to hear of their *' Dervousness " and I 
" suspicion." No doubt the labour question iu Pern 
will be sc'ttltxl in course of timv, as it has been iu 
South Africa, in the West IndieH, in the Malay Penin- 
sula, and in Ceylon. If the employors uodonitood 
and praotiaed the virtue of kindness a Utile more than 
they do, much of the pment trouble would not have 

In Pent, as dsewhere thronghout the Christian 
world, the coming of the Japanese has not buea r^ J 
ganled with much gratificaUon ; and there is reason to I 
bdieve that a strong popular movement would arise if' 1 
the immigration became very much more prooounoed. 
Further introduction into Peru of the Chinaman — who 
is ever a more tractable and a leas assertive individual 
than the Jap. and wboae bare word is more to \x^ trusted 
than the Jap'n l>ond — has bee-n already tabooed {see Ap- 
pendix). Latin-Americans, who are not, perhaps, the 
BMt energetic worktirs on the boe of the earth, 
fcar more active oompotitioo upon the part of the 
yellow nian,androsL-Dt his intruniou acconlingly. Some 
patriots of Peru — and asp««ially those who cordially 
dislike to work at alt, and who never peHbnn any kind 
of labuor if they can powUy avoid it — have already j 


raised the parrot cry, " Peru for the Peruvians \" and 
" Down with cheap Chinese labour !" Among the 
excitable and free-thinking populace, a battle-cry like 
this would be certain to secure a certain number of 
adherents ; and thus some trouble — not necessarily of 
any great importance — might have ensued had Oriental 
labour made any great advance, as it threatened to do 
as soon as business became more pronounced with 
the opening of the Panama Canal. But the wise 
Executive Decree of May 14, 1909, prohibiting further 
introduction of Chinese labour, effectually prevents 
this from occurring. 

A very much more desirable class of emigi-ants are 
the Austrians. A citizen of that country, Herr Ritter 
Othmar von Hauck, holds a concession from the Peru- 
vian Government to colonize a large area of ground, 
extending to over 6,000 hectares of forest-land, and 
which he has bound himself to distribute among 300 
Austrian families, allotting to each of them about 
20 hectares. The Government pays the third-class 
passage of these people from a port in Europe to 
Yuriman, situated on the Huallaga, an affluent of 
the Amazi'mas, or Maranon. The travelling expenses 
incurred on behalf of the emigrants from the port to the 
settlement are borne by the concessionaire ; but these 
are of little moment, since the distance traversed is 
very slight. The concessionaire, ou the other hand, 
receives an advance of £20 for each family of at 
least three persons, and he is bound to maintain, 
during five years, the same number of families for 
which he has received advances. 

What the Government has done for this enterprising 
Austrian, I feel Jt would be willing to do for any other 
individual of any other nationality who presented an 
equally acceptable proposition. The advantages of 
such a concession ai-e obvious, for in return for a trivial 



c*x|)endituro upou his part, an outlay which is covered 
over and over agaio by the contributioa received from 
the GovernmcDt, he becomes the virtual owner of a 
amall principality, situated in a hecdthy aiid ex- 
tremely fertile r^on, and capable of almost unlimited 

Where so many English people reside, there ia 
certain to he some attention devoted to sport; and 
I liHvu found throughout Latin-America that it needs 
only the slightest impetus to instil into the people a 
sincere liking for manly sport, and that they pursue 
it for sjiort's sake. 

In Limii many kinds of open-air pastimes are 
indulginl in. The winter racing season is from July 
to I>ecemlN.T, and many programmes are carried 
through. The Jockey Club of Lima, which may be 
a>m|>ared for im{x>rtance or atHuence with the Jockey 
Club uf Buenus Airtis, is a well-organized and well- 
conducted institution* supported by the leading reu- 
dents, both native and foreign, the meetings being 
Considered as great social events. The President and 
many of the Cabinet Ministers usually attend, while 
several of the members maintain stables and enter 
horses for the princijml events. 

The oblong track, situatvd near the Past.V> C0I60, 
mittsurus 1,600 metres (about 4,900 feet), and the 
gnmd stand, which is a modern erection, will aocom- 
mudate several thousands of s[H<ctatorB. Belong is 
carrii>d on ujH>n the I'ari-Mutuel system. 

Thfre is likt^wise the Union Hegatta Club, which ia 
nmkiiig mmw prognvs in |K>pulanty. 

I was c«>nsidfrably amused to read, in connectioD 
with this L'nion. » re)M>rt of the meeting which took 
place in the month of June. Iil09, from the gifted pen 
of a local critic — one W. Scott Lorrie, contributed to 
an English pubUcation — which, «tber innocently or 

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deliberately, printed the ticcount "a8 she wae wrote." 
Here is a portion of Mr. W. Scott Lorrie's beautlfid 
contribution : 

"Want of space prevents a more detailed description of this 
regatta, the likes ot which ought to he encouraged, not only 
among the Peruvians themselves, but also among we foreign 
residents who are such enthuaiaatical sportsmen," 

What a pity that "space prevented a more detailed 
description " ! Conceive how amusing it might have 
proved ! 

Football seems to have an altogether extraordinary 
fascination for Latin-Americans, although it was a 
game entirely unknown to them before it was intro- 
duced from England. Lima and Callao are very 
severely " bitten " with the mania for furious footbaU, 
and during the months of October-May it is played 
perpetually. Most enthusiastic are the players ; and, 
moreover, they play extremely well. The Callao team 
have a very competent captain in Mr. Joseph Dodds. 

The Lima Cricket and FootbaU Club is another 
well-patronized coterie of sport-loving men, and their 
games are watched by considerable crowds of inter- 
ested spectators composed of Ijoth sexes. Peru has 
not yet witnessed the degrading spectacle of women- 
footballers orwomen-cricketers; andwith the knowledge 
cue has of the true femineity of Peruvian ladies, there 
is no probability of their emulating the hoydens who 
exhibit themselves to satisfy their own vanity and the 
vulgar tastes of the ragamuffin class In England. 


PoUk wortliip— Fnadom fnntad — tnlolanuM* ol bnlgn nuMionarM 
— Cluriu of CatboUo priaaU— FtMitloo ot Engliih Cburah in Para— 
Lau tad praMDt fhmplain in Uuw— BrMklog >w«t from nrlartljr 
control — DbhopriM tod curaeiM — UmA CkUMdnl — VMwibU 
Churcb pPMewloiM — TabUe procMiloM — lUligloiu MntlM at 
Arcqolpk— lUvarant >U)Uid« of populaoe. 

In Bpitc of the fact that a clause (Article 4) io the 
Constitution of the Republic maiotains that " The 
nation profeasi* the Apoetolic Roman CathoUo religion ; 
the State protects it, and does not permit the public 
worship of Any other," under no lAtin>American 
Government is there greater freedom for, and licence 
accorded to, alien religions than in Peru. This is all 
the more remarkable in view of the fact that the 
Peruvians still maintain the most complete adheuon 
to Rome, and in spite of the wholly aggressive and 
objectionable manner in which certain Protestant 
missionaries have come to the country to stir up 
revolt and rebellion among the poor and ignorant 
Indians against the teaching and the influence of the 

The attitude of scMne of these doubtless well-meaning, 
Init quite tactless, people has been little less than 
scandalous, and it speaks volumes for the good-natured 
tolerance of the Peruvians generally, and of the eccle- 
siastical authorities in particular, that persistent and 
fanatical busybodies should have been left almost 
entirely unmolested. When the Hormoni came to 
England lately they were roundly denounced by the 

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halfpenny London Press, and practically hounded out 
of the country. This was done in the name of 
" religion," nearly all of the most bitter opponents 
being found among members of the clergy, certain 
notoriety-loving Bishops and minor Church dignitaries 
(who hope one day to become Bishops) joining in the 
hue-and-cry, and forgetting all about their " Christian 
charity" in the very human love of the pursuit of 
rivals who seemed destined to become too successful. 

What if the Peruvians had behaved similarly, and 
had chased out of their country the noisy and meddle- 
some male and female missionaries who, not content 
with invading Peruvian religious territory and violating 
the conditions under which they, as foreignera, were 
permitted to reside in the country, resorted to anathe- 
matizing and vilifying the Catholic priesthood in 
special illustrated volumes and countless newspaper 
articles, women, as usual, taking the lead in this 
unworthy crusade. 

How few of these fanatics, I wonder, ever remember 
— how many of them ever knew of — Carlyle's words 
upon the question of religion ? " It is unworthy of a 
religious man to view an irreligious one either with 
alarm or aversion, or with any other feeling than 
regret and hope and brotherly commiseration." The 
Protestant missionaries in Peru cannot even plead the 
excuse of dealing with iiTeligious individuals, for the 
poor Indians of that country are, of all people, the 
most blindly devotetl to their faith, which forms, 
indeed, the only sheet-anchor to which they can cUng 
during their usually dull, featureless, and exceedingly 
hard lives. And yet it is this consoling faith, this one 
tangible, throbbing hope, of which the Protestant 
missionaries would forcibly deprive them, offering 
them in substitution nothing but a rhetorical confusion 
of thought, a paralyzing doubt as to their ultimate 

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Bitlvatiun, and a veiled dtstnut of tbeir bust, their 
only, friends — the jirleetB. 

I ain nut a Catholic in belief, and have no religious 
|in'judipcs whiitfviT. but I have Seen so much n-al good 
WlV-clcd by (!iitholic prltiits among thi* very |>oor and 
ignorant of tht! Indian races, and I have witnifwd so 
nmiiyrrassfuilun-s among their rivals in the "Bjiiritual 
tiUHintf»" to improve uiK>n their methods or to emulate 
their di.siiiten-ste<) charity, that I cannot but regard 
the iittempt to convert the Peruvian Indians from 
(*iitholicism to PriiteHtantisni us an act of unmistakable 
|m«uni|)ti(]n and stupidity. These self-apiHtinted 
guanlians of other [uttple's souls u'ould eiideavuur to 
inflict u|M>n their innocent pupils beliefs which they 
citnnot understand, let alone accept ; we see the 
same bigoted class of individuals expending other 
|>eople's money u[x>i) the conversion of one Jew, who 
is piiiljably starviug or demented by trouble, from the 
fuith which his ancestors professed and practised 
thduwinda of years ago, and which is the very founda- 
tion of their i>wn omvictions. Well might Lucretius 
excliiim ill bis "IK* Iterum Nutura" — TuHtum reliifio 
fvluit nuiutert nuilorum. 

Tliere can be no question that the English C'hurcb 
ill Stuth Ainerioa la in a wry |iarlouH condition, and 
Ro s<-ri<>iiH is itH state of ineHiciency and so pronounce<l 
the lark i>f tunds that the BiHbop of the Falkland 
Inhiiids, the [{igbt Itevtn-nd Dr. V. I>. Blair, in wh(«u 
vast diocese in included Peiii, hits during the jiast few 
months b«fn in England on a canviuising tour fiir the 
pur|HiBe of exciting public intei-est— ami incidentally 
c<ill*-cting funils — ftir his Mission. Tlie English schools 
under his lonlship's widetipreitd jnriiwliction have long 
tM-eii c|i«e«l for luck of fumlK to Aup|Mtrt them, and 
llr. Blair thinks that for the puriNise of putting the 
Church u|>un u thoroughly sound Hnunclal basis at least 

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£100,000 is necessary. The Bishop has, at least, 
backed his opinion by a notable contribution out of 
his own by no means too large salary, heading the list 

[ of donatious with a sum of £500, in the form of a 
personal guarantee for the immediate discharge of the 
most pressing debts. Having thus evinced his deter- 
mination to carry out uigently the much-needed 
reforms, it is sincerely to be hoped that British resi- 
dents throughout the length and breadth of South 
America will come to his aid, and show, in a similarly 
practical form, their readiness to promote the welfare 
of the English Church in South America. Nothing 
which I have said regarding the methods of certain 
missionaries carrying on propaganda in Peru bears 
reference to the work performed by the English 
Church in South America — work which has been the 
means of spreading much moral and intellectual en- 
lightenment without violating the laws of decency and 

For some three years the Rev. A. Miles Moss acted 
as Chaplain to the Anglo-American Church at Lima, 
and although not ranking els an eloquent preacher, he 
succeeded in thoroughly endearing himself to the 
mixed congregation of British and Americans, who 
were unfeignedly sorry to lose his services. Mr. Moss 
was successfnl also as a photogi-apher, author, and 
conversationalist, and he was generally esteemed as a 
very pleasant companion. 

' As a naturalist Mr. Miles Moss has discovered many 
rare species of butterflies, and has, through some 
readable articles, made known some hitherto unsus- 
pected regions for travellers and entomologists. 

Upon his departure from Lima in the early pai't of 
last year (1910) his place was filled by the Rev. W. 
Duncan Standfast, B.A. Oxou. {Jesus College), who is 
the Resident Chaplain. 



(ServicM atv held in tlw wull-built ami conifurtAble 
tie cliui-ch, Bituated in the CtiUe Fuciii', Lima, on 
«r}- Sundiiy at 10 On the first niid third 
SondayR in tliu month Holy Comniuniun is hdil aflur 
Hatinn, on other Sundayi at 9.1^, and on SaJntA* 
dayi and Httly tlayi at 8.30 a.m. Erenaong and 
Sermon days are chosen on the second Sunday in the 
month, and choral Evenaong, without sermon, on the 
last Sunday ; while children's scrriooe take place orury 
Sunday at twu in the atlemooo. Id Callao aervioes ore 
' 1 under the audioes of the same incumbent every 
inday. Holy Communion being at B ojn. and Even- 
ng, with scnnou, at 8.15 [>.m. 
The po«tion of the English Church in Peru is 
peculiar. It ia t^Jorated, but not encourag«l, and 
there seema ksa neceouty for any special attention 
npoQ the port of the authorities on account of the 
apathy shown by the English-speaking community 
' 1 attendance at public worship or in support of the 
Iturch's maintenance. 

\ While the Church of Rome ooDtboes to hold the 
fority of Peruvian women seeor^y within its folds, 
while the attendance of such devotees at early 
 and both day and evening servioes is remarkably 
eooonrtging to the priesthood, the men on the whole 
have broken away from the control onoo exeroised over 
them, and are inclined to argue upon the tenets of 
Cbnstianity. even denying its Divine influence. 

Some of tbem will t«ll you that it is quite easy to 
ocoouut for Christ's appearance and eSiiCt upon the 
mat of the world upon purely natural grounds ; that 
He come at a time when the okler oiviluution of the 
olosnool world was disintegrating ; when Rome, having 
beoome the mistreM of Empires, was bang gradually 
nined by her luxury ; when her Ave institutions, 
Ispted to a city, bad proved inoompatiUi! with thu 


demands of a military empire, and her religion had 
melted before the wider couception of the brotherhood 
of man as taught by the Stoic philosophy, when 
philosophy itself was being lost in mysticism, and the 
world was anxiously looking for some new religion. 

All this, and much more, we have heard before, but 
not from the lips of people still professing and practis- 
ing the Roman Catholic faith. Thus one is struck by 
the general feeling which seems to have spread among 
the male population in South America generally, and 
where attendance at Church celebrations, except upon 
extraordinary occasions, is very meagre. Moreover, 
the Peruvians have witnessed the many abuses which 
their Church has committed in times gone by, and 
with the growing education of the upper and middle 
classes and the broadening of the mind by occJiSioaal 
travel abroad, the Peruvians are commencing to think 
for themaelvea, and to refuse to submit any longer to 
the dictation of men in matters of conscientious belief. 

But it is not only among the Catholic churches that 
the attendance at Divine worship is falling off. In 
practically all of the Latin-American States which I 
have visited I have been informed by the Protestant 
Chaplains (where there had been any) that it seemed 
useless and hopeless to endeavour to inspire the 
British residents with religious fervour or to induce 
them to support their Church more generously, or if 
they could not afford to contribute towards its main- 
tenance, at least to encourage the priest in charge by 
attending the services. 

Except when there is the attraction of a travelling 
Bishop or a memorial service, the attendance does not 
usually exceed a score of worshippers, of whom more 
than one-half are always composed of women. No 
amount of argument or persuasion apparently influences 
the absentees, You may tell them that attendance at 



Bome plnce of worship ia the only means, moral and 
iDtellectual, of enlightenment, and by absenting them- 
selves they influence others to do the same thing. 
One Englishman to whom this argument was addressed 
in my hearing replied that in his opinion " honesty 
ought to be the first principle in every man's life " ; and 
OS " he did not believe in the Christian religion, and 
as liis wife was a Roman Catholic, he preferred to 
remain away," more especially, he added, "since he 
was always occupied during the week, and found 
Sundays the only days upon which he cuuld obtain a 
game of golf." 

The South American Missionary Society, which has 
an annual income of over £36,000, should be able to 
do sumetliing in Peru without creating a hostile 
feeling, and, in fact, it has effected a certain amount of 
good ; but much remains to be accomplished, and 
much that might bo avoided, especially in the way of 
making fewer enemies among the Catholic priests, 
which bad policy has resulted in so much bitter feeling 
and opposition against Protestant missionaries. 

Tim Ilepublic of Peru for religious purposes is 
divided into nine Dioceses or Bishoprics : Lima, which 
is the seat of an Archbishop ; C'hachapoyos ; Trujillo ; 
Huaraz; IIuiinuc4>; Ayacucho ; Cukco ; Puno; and 
ArtHiuifML The Bishoprics are again divided into 
curacies, which are in charge of curate- vicars, the 
t^ital number being Cl:i, distributed as follows : 

Uioran. I'ancfaw. 

Uma lAnbbbbowfe) flS 

Cntco I Buboprk) ... 

AfMiilp* (Bbbonrie) 
TrojlUolBW -^  

. ^iBIItbopri 
llu&nueo iBUwpciel 

TrajUlatBUMwk) ... 
Aneuebo (Bbhoprk) 
C'tMrtupojoa (Bkbopric) 

ISino (Htabowie) 
Uiwu (BMhoiirw) . 

Digitized byGOOgle 



With regard to the number of places of worahip 
which are to be found in Peru, I have never been able to 
meet with anyone who could tell me exactly or, indeed, 
who had any very definite idea upon the subject. Pre- 
sumably the ecclesiastical authorities could satisfy one's 
curiosity ; but, as a rule, these gentlemen prefer to 
" lie low," like Brer Rabbit, and to say as Httle about 
the Church and its possessions as possible. They have 

in or heard of results of the struggle between the 

Ihurch and State in Mexico, in Chile, in France, and 

Portugal ; and they have no desire to attract any 

idue amount of attention, for fear that almost its 

it stronghold in Latin-America — which is Peru — 
lay be assailed and perhaps taken. 

When one comes to remember that in Lima alone 
ihere exist sixty-seven different churches, and that 
each one of the many towns and villages possesses from 
ten to twenty places of worship, it should not be a 
difficult matter to Ibrm some estimate of the total 
number of churches, and which may be put, conserva- 
tively, at 1 ,700 — a sufficient supply, one would say, for 
& jjopulation of a little more than 4,000,000 ! 

I have been privileged to view most of the famous 
churches of the world, to study especially the histories 
and constructional features of those of Spain, of 
Portugal, of France, and of most of the Latin-American 
States. It is a difficult task to decide which among 
them all appeared to be most impressive or most 
beautiful. Certainly, the Cathedral of Lima, hand- 
some as it is, cannot be given the preference, since, 
whatever may have been its architectural attractions 

(before the great earthquake of 1746, its present aspect 
fa somewhat prosaic, and even commonplace, compared 
irith some of the noble religious edifices of the Old 
World. Descriptions exist of the church as it 
Dpeared in 1625, shortly afler it had been consecrated, 




r yeats bAvtng Uhui taken tu oooatruct it. No 
loubt it was tbcn a Btrikiii^ and oMtly udiHou ; but 
bctieally Dothuig was left of it after the awful 
leUmic TiflitAtioD of 1746. 

Till? church wna rebuilt on exactly the Bame Rito, 
|ii*l wai unoe again aolemnly dtxlioated in 1758. It 
now three navea, eaofa one ooosistiDg of nine 
xhn, or raulta, the two aisles being f<Hined of ten 
cupels, in one of which — close to the main ctitraiico 
— arc exposed the mummied remains of FraiiciiKxi 
PiEarro, its fuundur. The only really remarkable 
Wdod-carving is that of the choir and stalls, made of 
ctxhu- and mahogany ; bat there are, on the other 
hand, several yery valuable paintings, ocm being by 
If iniBob depleting La Veronica ; then is also a Bem- 

Tlie impreanon which is gatiwd after repeated 
visits to the Cathedral is one of its great vastness — 
emptineas ; for upon rare oecasioDa only have I seen 
its huge ^Nioe completely occupied by worshippem. 
The Corinthian stylo has predominat<^, aiid it may be 
oliot<d in the many fluted columns with their capitals, 
hitraves, and friezes deoorated with sculptures in 
ni-rvlief ; in the second story, which is composed of 
1 pilasten, and in the second and third parta of 
wndiGBW main portals, the lower port being 
Among the relics are "a piece of thu Tnie 
Cross." sent by Pope Urban VIII., and of St Julian, 
St. Sebastian. St Adrian, St Manna, St Satumines, 
. Faostos, and of oumerous other martyrs. 
Other Lima churches of note are the Segrario and 
iap(d-of-Ease of the Orphans ; the pairiah choreh, eon- 
taining elevvn altars and one Sue eluipcl-ofeoae : Sauta 
Ana, fouuded iu 1572, with eleven altars and one in 
the obapel-of-«aae ; San Sebastian, built in 1561 with 
thirteen altan ; San Marcelo, alao with Uurtonn ; San 


Lizaro, founded in 1563, with a hoepital attached; 
San Pedro, the Jesuits' Church, with some notable 
wood-carvings ; San Francisco ; Santo Domingo ; San 
Agustin ; and the church of the monks known as 
Descalzos, or barefooted friars. I have insui£cient 
space at my disposal to record even the names of the 
many convents and monasteries which flourish, and 
which are saJd to contain enormous wealth in the form 
of gold and silver plate, bejewelled altars and costly 
vestments. As a specimen of the riches which are 
hidden away in some of these dark and little-visited 
convents, I attach the inventory of but one — that of 
the Sisterhood known as Nuestra Senora del Bosario 
(Our Lady of the Rosary) — which information was 
placed at my disposal by an obliging priest : 



Barrow far carrTiog relioa of aunts ... 

. 1,002 

Twelve lampi 


Front olftlt&r 


Virgin's throne 


Colomns mtd fitting of tabernacle 




Doow of Virgin's niche 


Four high taper stands 
Six smoUer taper-stands 


. 150 

Arches of the niohe 


Twenty taper-huidles 

. 202 

Or, a total of 

. 3.960 



. 89,600 ounces troy 

But this was not the whole value of the precious 
ornaments concealed in this one convent, for the 
RemonstraDce contained : 












* The marcQ of otuot— 10 oimoes troy. 

>d by Google 


wliUe the Virgin's crown, which was only placed upon 
the head of the figure at high festivals, contained, I 
wns assured by the same informant : 

itoblM 103 

EmanMa ISO 

Dwdanu in briUiMita 8 

Biogi in brUliuiU 39 

Bin>iLll brilliuiU 4 

The Lima churehvs celebrate annually 459 festivals, 
while .19,607 Masses are said, of which 19,506 are paid 
fttr by the ditlerent brotherhoods. The total number 
uf |)ersons emjiloyed in religious services, or in taking 
cire of the churches, is 1,836, including both monks 
and nuiiB. 

Public processions and other nationiil functions ID 
South Ameriai vary but little from such ceremonials 
which take place in most other countries, except that 
they nearly always partake of a religious or semi- 
rt-ligiuus character. No procession is cousidered com- 
plete without some visible symbol of the Clu'istian 
faith, borne aloft in the form of a highly-gilded figure 
uf the Saviour or of some saint, or a simple crucifix 
caiTi(.-«l with all the solemnity of a High-Church festival 
iukI to accom[Minying slow music. The Latin people 
l<ivu to witni^s, even if they do nut all firmly believe 
in the sanctity of, a ffligiuiis procession ; and the fact 
thul all the display of |>unip antl circumstance costs 
nothing to see is, as with mot>t iiationalititv, a dt«ided 
iiltractiou. Peru is still the home — one might say the 
Ktronghohl -of the Catholic (.'hurch, and the priests 
maintain the |)upulur interest in its proceeilings by 
iirgMnizing fretjuent n-ligious proceasions and n-niiuding 
th«^ |M>puluce of the existence of their places of worship 
Ity the continual ringiug and clanging of the church- 
liflls day and night, es[>ecially at night. 

An njten-air function of this kind ia usually blessed 
with the two iudispeuaable agents of spectacular 

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Buccess— a brilliant sunlight and a cloudless sky. 
Let me describe one such scene. In Arequipa, the 
second largest town in Peru, on a certain Sunday in 
June, a contingent of troops is about to depart for the 
frontier, there to defend, if may be, the encroachment 
of the belligerent Ecuadorians. To-day they are to be 
blessed by the Bishop outside the Cathedral, after the 
celebration of an open-air Mass. There is, however, to 
be observed but little " enthusiasm " as we Northerners 
understand the term ; no tightening of the heartstrings 
and contraction of the facial muscles as the military 
companies come swinging by in — it must be admitted 
— excellent order and in perfect step ; no nervous lump 
arises in the throat from restrained emotion as the 
solemn strains of martial music herald their approach ; 
no feeling of sorrowful exultation as the flower of the 
Republic's young manhood tramp stolidly along on the 
probable road to death. The Peruvians, nevertheless, 
are far from being an unemotional people ; only their 
emotions do not show themselves as they do with us, 
and they are not excited by similar causes. 

The Arequipa PlAza is looking its loveliest in its 
Spring garb of green grass and greener trees ; its flower- 
beds are filled with brilliant-coloured semi-tropical 
blossoms, its many stone statues and garden paths are 
neatly trimmed and flagged with multi-coloured tiles. 
Even the surrounding buildings, many still in the 
state of semi-ruin in which they were left by the dis- 
astrous earthquake of August, 1868, look less dilapi- 
dated and forlorn in the scintillating sunshine ; and 
with the decorations of red and white pennons and an 
abundant display of the national flag, as well as with 
the roofs loaded with groups of brightly- dressed women 
and well-attired men watching the proceedings from 
;this vantage ground, the scene is gay and attractive 



Ewry poaublu iklaoe, indeed, » occii)>icd by aiglitsevrs, 
but not a aound ia beard, and only the faiiiteat of 
patriotic eothusiasm is to be obeervoiL Within th« 
^)atbedral gates a great tbrong ban atrendy assembled. 
BLn opoa-air altar has been erected, where snlemn Mass 
Brill be said ; the back of the altar is draped with a 
BbrofusioD of coloured |>aper Qoweniaiid gaudy streamere, 
Brbile the front ts occupied by a iifo-sixe figure of the 
^rgiu Mary carrying the Infant Saviour, the former 
being dedced out lu sky-blue velvet, much Iacc, and a 
crown with luany jewels upon her brow, while the 
Utter is attired in orange aud green satin. Tlie whole 
is surmounted by a caitopy of crimson velvet and gold 
f embroideries, the altar table being, however, of ordinary 
■^ik calico with a lace oovering used as tabledotb. 
FThe tiled steps in front of the Cathedral have been 
fumisbed with a carpet and many orimMia velvet chairs, 
which are oooupiod by the adraooe-guard of tbe officia- 
ting clergy, tbe contingent of white-habited Fathers, 
and a number of white and red suqiUoed choIrbo}-8. 

The mihtary staff now arrive to a sound of iusi>irtt- 
iog martial strains, but they are lefl to find their 
places H best tbey can upon ordinar}* cao»-bottonR>d 
chairs. Tbey are followed by a procession of young 
girb from eight to fifteen years of age attired in white 
muslin frocks and with long, floating whit« tulle veils, 
their eldur sisters being oostumod in Uaek, with black 
iniintillas, liice mittens or kid gkive*. Each little girl 
goes down on her knees, and remains there presumably 
in prayer, but ra&lly busUy occupied in viewing her 
novel Burrouodioga. Many top-hstted and fmck-ooated 
geotlamen, and many more who are attii^l in tbe 
ordinary lounge suit, crowd in until the whole of tbe 
ooouponts of the railed-off portion of tbe Cathedral 
approsoh are psoked ss clossly as are sardioaa in a box. 
All are wwting lor "Boiw^iody,'' and the Somebody 



tarries aggravatingly. Nine, half-past nine, ten and a 
quarter-past ten are struck by the Cathedral clock, 
and many intermittent outbursts of the jangling bells 
and military calls from the massed bands lead to 
expectation as to a commencement at length — only, 
however, to end in further disappointment. 

In the meantime, the PUza approaches and broad 
roadways surrounding it have become more closely 
packed with troops, the public being hemmed in more 
and more towards the pavements, and forced into the 
doorways of the shops and houses surrounding the 
square. Finally, at 10.30, the strains of a solemn chant 
are heard ai'ising from the military band and the choir- 
boys, and then, all present uncovering, Monsignor, 
habited in full episcopal raiment, jewelled mitre on 
head and silver crozier in hand, emerges slowly from 
the interior of the Cathedral, and the Blessing of the 
troops and the coloura commences. The Mass itself Is 
colourless, and only those in immediate proximity to 
the Bishop can hear a single word of the service. To 
all others the continual bobbing, bowing, and genuflec- 
tions of the heavily-clad celebrant appear almost 
pantomimic ; nevertheless, all are perfectly reverent, 
and as one casts one's glance over that great silent 
multitude of men and women worshippere, with un- 
covered heads and on bended knees in the roadway, 
prostrate on the hard flags of the PUza paths, on the 
housetops and before the Cathedral itself, the scene 
appeal's unquestionably impressive. The troo[)8 alone 
remain standing and covered, their arms gleaming and 
scintillating in the sunshine, their brown and bearded 
faces all attention and of solemn expression. 

The Mass at length is over ; the Benediction is due. 
The whole congregation is once more on its knees, with 
bowed heads in the bright, hot sunshine ; the silence is 
intense. The episcopal voice is now almost resonant, 



and with bia face to the expectant maltitude the 
Bishop's words sound loud and carry far. With one 
hand grasping the croEier and the other uplifted with 
the fingers separated, the Blessing is pontifieaUy be* 
stowed ; the worshippers remain for one brief moment 
in silent prayer, and then the ceremony is over. 
Hunsignor turns his embroidered and bejewelled back, 
awl departs with his clerical train ; the big Cathedral 
doors engulf them speedily fztxn view. The crowd 
u]K>n the Cathedral steps b^ns to thin and to melt 
liway ; the military aasistauta at the choral effects 
miirch off to a spirited air ; the sound of trumpet-calls 
and the roll of drums proclaim the fomung of the 
troo|i8 into companies, and these, too, swing off with 
their officers, seated upon their prancing steeds, at 
their head ; and preeently the Pliza is almost deserted. 
The housetops are once more given up to the undis- 
puted possession of the refuse-eating turkey-buzzard ; 
the bells cease to deafen the air with their oUmoroos 
tonguM, and the usual calm of Sunday — the same all 
the world over, in the thronged city as in the kmdy 
desert, unmistakable, inexplicable — reigns again on- 

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AgncultQre — Snaar huebandrj — Frospects of the industry —Earl; onl' 
UvatioD and Grst factory — Beasona given (or retaining ancient 
moohinerj — Typical mill described — ClasseB of rollers DBed^Procesa 
of maQutaotore— Type of machinery DecesEary — Principal Bugor 
estates on coast of Peru — Santa Barbara factory —Extracts obtained — 
VoriouB inatallalions deaoribed. 

Little or nothing is known in England coDcerniog 
the immense sugai' industry of this RepubHc — a fact 
which ia not sui-priaing when, even in Peru itself, there 
seems to be a paucity of information to be obtained 
concerning either the extent of the sugar cultivation 
or details as to its manufacture. It is necessary to 
proceed fixim estate to estate and from individual to 
individual in order to secure any reliable data, a 
singular ignorance prevailing on the part of one pro- 
prietor or manager concerning the doings of his nearest 
neighbour or rival ; and yet it may be said that the 
sugar industry is already one of the greatest supjrorts 
of industrial Peni, and is destined to become a more 
important factor still in its welfare, and this in the 
immediate future. 

It is interesting to note that while sugar-cane was 
not known in Peni at the time of the conquest by the 
Spaniards, the fii-st plantation was laid out in the year 
1570, the cane used for the purpose being brought to 
Lima from Mexico. It was in the beautifiil and fertile 
valley of Hudnuco that the fii-st factory was estab- 
lished, and it is told by the historian and man of 
letters, Don Ricardo Palma, in his " Tradici^nes 



innas," that, finding his sognr ooukl not oompeteJ 
1 that <>r Mi-xiai, the owner of the Iluiltiuoo fac 
irU<(l lu a cIl-vlt stratagem, which was to send to^ 
n shi]t loaded with Huinuco Bogar. The 
producers swallowud the bait, for they sup- 
i'tfaat to Bend their HUgar to Peru whs lut much mi 
1 " H^Murtia to BerlM-'ria," fur the {iroiluction 
iabumlant then- and thu price Very low. FnMn 
that day forward the Mexicans cwumI to send sugarJ 
from Acnptilco, and t he sugar industry began 
" "i iu Peru. 

1 all prahability, the 6rflt oane that was brought 

I Peru was from Jamaica, or some other of the West 

lalands, aa the class chiefly grown at llw 

lot time » known by the name of " Jamaica Cane." 

oug the earliest relics uf the industry are two 

r defeeatom, which were dog up ou a sugar estate 

bw yeara ago, birring the dati* of " 1760." Cloao 

I the Oipital of IJma there is a amall C()m{>act 

ate, which has uninterruptedly produced cane 

the }i«8t 170 years, and it is still oonmdered 

) have the heat soil of any of the estates in that 


 The Itepubtio exporta its sugar to a number of 

irkutA, UvLTpool taking about GO.OOO tons and Chile 

nut lO.oOO t«iiia. whik' the nmi of the production is 

xitiuted Ix'twfeii New York, San Francisoo, Japan, 

Australia. Sugar is generally aold aboard 
uvian (MM-la, and the pricca are ngnlated by Livai 
Mtiona. Some marketa purcluuw on ] ' ' 
\ g^'nenUly puTchiutera denuuul the rendin 
vian planter in well protected by his Gorem-' 
Dt, which imposes a heavy tax on fw^ign sugar. 
Bile agricultural machinery is permitted to enter frw 
^ duly. On the other hand, the plantur dues nofc .■ 
escape taxation soot-froe, ainoe tbero is a heavy I 


imposed upon white sugar, which is made and consumed 
in the country. 

In all probability, the West Coast of Peru, which at 
present produces an annual output of 150,000 tons, 
could, with proper management, raise this to at least 
300,000 tons and aecondary outputs. In order to effect 
this, however, It would be necessary to have a complete 
rearrangement of the factories, the introduction of 
modern crushing-plant and labour-saving devices, 
tietter protection of the guano birds and animals, 
increase in the water-supply in some sections, and the 
further cultivation of lands by extensive irrigation. I 
have but little doubt that most, or all, of these features 
will be inti-oduced eventually, since the prevailing 
spirit throughout the country is one of progress 
tempered with caution, for the modern Peruvian, like 
the ancient Greek, says : " Lltus ama : . . . altum alii 

The Government has done, and is doing, much to 
foster the growth of the sugar industry, and among 
excellent provisions has established an Experimental 
Station at Santo Beatriz. where it occupies an area of 
some 3 hectares = 7^ acres. Its primary object was 
the study of the different valleys of the Republic, and 
the conditions afforded by these for sugar-cane cultiva- 
tion ; the diseases ; organizing experimental fields ; and 
generally to do all and everything to improve the 
industry and its commercial exploitation. The station 
has some twenty-two varieties of foreign cane under 
cultivation, and the present Director, Sefior Cesar 
Bruggi, who took charge in 1909, is well satisfied with 
the amount of progress made. The station is now five 
yeai-8 old, having l)een established under the auspices 
of Mr. Thomas F. Sedgwick, Its director, and SefSor Don 
Josti Balttt, tho then Minister of Agi'iculture, in 1906. 

Inquiiy among the various estate-owners why they 



nted for 80 many years to introduce modem 
y and equipment elicits the rt^ply : the indiiHtry 
' cultivation and manufacture bos proved so 
proGtable with tbu use of the old and tried appliaucee, 
thnt they have not deemed it necessary to make any 
outlay upon luldittonal equipment. Upon further 
interroigation, I was informed thnt the fnctorien are 
reooTering 75 per cent, of the juice of the cane as 
ogunit over 90 par cent., which ta recovered in Cuba, 
Brazil, Hawaii, Java, aod Louistaoa. Thus 25 per 
oent of the produce has been wasted or burnt through 
sheer ignorance or iDOompeteoce upon the port of the 
management; and when it is remembered that some 
£100,000 per annum baa been thrown away in tliis 
manner, and that the necessary new equipment for the 
whole of the mills would probably not have exceeded 
£200,000, it can be appreciated how short-wghted bas 
been the policy of the Peruvian maoa&cturera. 

It is gratifying to know, however, that a gradual 
change is coming over prosent ideas and nwthods, and 
I can only repeat what I have said prevknuly, but with 
additional empbasie — namely, that ao excellent oppor- 
tunity exists in Peru at the present time for Britisfa 
roann&ctoren of sugar machinery to extend their eoo- 
neoUoQS to this field, unoe in oil probability, between 
now and tbe end of the next five years, there will be 
something like twenty to thirty new mills erected 
u|K>n Peruvian plantations. If we omit the jrear 1905, 
which proved altogether an exceptional one, tbe prioe 
of sugar huH not ))f4>n lui hi^irh in Peru as it is Ut-dnv 
for a long time, &nd it shtjulil be borne in mind that 
tltis incrtosu in the stJliug figure — which, aa I write, 
stands at £ 1 5 per ton —is not tl»e outcome of any 
unusual or abnonnal conditions, but the result of the 
I de m and, wliioh, moreover, is more likely to 
•ugmeot thno to c" 


Before proceeding to point out the class of machinery 
which is best suitable to the factories to be found in 
Peru, it may be as well to give an outline of the plant 
which is now to be found commonly in use ; and for this 
purpose three or four different factories may be selected 
at random. The first of these contains one three- 
roller mill, with cylinders of the 32 x 66 type, which 
type, as well as those of 32 x 78 and 34 x 84, are found 
installed indiscriminately. The speed of the mills is 16 
to 18 feet per minute, and there is no hydraulic process 
employed. The extract of juice over the weight of 
cane amounts to from 58 to 60, twelve men being 
employed to unload the cane at the conductor. Upon 
one other mill (the Santa Barbara) as many as twenty- 
one men are continually thus employed, and a daily 
wage of $1 (2s.) per diem each. A handsome com- 
petence awaits the man who invents a practical 
automatic cane-feeder to the crushing mill. The mill 
grinds from 350 to 420 tons of cane per day, the mill- 
men working from fifteen to twenty hours. The boilers 
are fed upon this particular estate with dry bagasse by 
hand, there being seven boilers, of which five are in use, 
but some mills — such as the Santa Barbara — have 
partly automatic bagasse feeders, necessitating only 
three men in all to feed eight boilers (in pairs). 

Only one tubular boiler exists upon another mill, but 
it turns out from 35 to 40 tons of sugar per day. Yet 
a fourth factory is fitted with a three-roller mill with 
cylinders 34 x 84, the speed of the mill being 15 feet 
per minute, and the motive power supplied by an 
engine of the walking-beam type. This particular 
mills grinds from 350 to 375 tons of cane per day, and 
the extract of juice over the weight of cane amounts 
to fi-om 57 to 60. Double-bottom copper defecators are 
used, the capacity being 375 imperial gallons ; there 
are two vacuum-pans — one copper and one iron — the 

Digitized byGOOgle 



capacity of the larger pan being 18 tona, of aeoood 
•Qgar grained in pan, third boOed to atringB. There 
are two batteriea of nrntrifiigaU rrnn being an ovei^ 
head pulley bottom -discharge 30-inch type; the other, 
bottom pulley 40-iitch type. The revolutiotia of OL'ntn- 
ftigalsnre 1,000 to 1,100 per minute In this factory 
the ateani plant haa both the old type and tubulnr 

In rpgord to Another factory there is found one dry 
douhli>>cnuthin); plant, with thnt' three-nJIer milla, 
cylindvrB 3li x 7H, eoch mill U'ing pro[M'lU'd by a 
aeparate engine of the walking-beam tyjie. The mtUa 
are fitted with hydmulto preesan' iippaiatua, and a 
r^iatoring balance ia used. About 500 tooa of cwie 
are ground daily, SS tons |ier hour betng the average, 
and the extraction amounts to 68. 

It will be aeeu from the doaoription given abore that 
the equipment* are nngolarly mixed aa to typea 
and age, and many are defectire in completeooia 
Thus there exista an abundant opportunity for im- 
proviog the equipment, and so add at leaat 20 per 
oent. to the output of the miUa. It would not 
need a vury L-1oqui>nt aalearoap to impreas thia fiuit 
upon the minds of the principal eatate owners and 
manufncturt'rs in Peru ; moreover, oa they are at the 
preaeut time in a very receptive and oomplaeeot mood, 
having cnjuyvd an abundant harvvat in the laat six 
moiithi, with the probability of an oven better six 
months t<t fuUow. 

In r^ard to the prevailing nyatem of mannfaoturo, 
BTtiiiething may nlao be aaid ; but it is natutally difficult 
til afford anything like a oomprehennve deaoription of 
th*> general methods in vogue, owing to the variety of 
ty|>ea ofmaohinery employed and the many deficieucioi 
to which rereronoiia have been made. The i ' ' 
deaoriptMD of a typical mill may, however. 


manufacturers of machinery at home some guidance as 
to the kind of installation which will shortly be called 
for, and it may well be worth the while of those among 
the more enterprising of the sugar-machinery manu- 
facturers to communicate with proprietors of the 
estates, the addresses of some of whom will be found 
at the end of this chapter, ofi'ering them such type 
of installation as they may think most advisable. 

I know that in suggesting to British manufacturers 
that they take this step, they will probably hesitate, 
doubting whether it is likely to be worth while to put 
themselves to so much trouble and expense, when, in 
some likelihood, no order may reward their enterprise. 
It is this very hesitation which has spelled so heavy a 
decline in the connection of the British manufacturer, 
not only in South and Central America, l)ut throughout 
the world, a condition which is gradually resulting 
in his once-magnificent popularity among users of 
machinery of practically all types and descriptions 
falling away from him. 

Manufacturers in other countries — such, for instance, 
as the United States — do not for a moment pause 
to consider the trumpery initial cost ; nor do they 
fear the expense attendant of a few hours' trouble 
in the production of blue prints and drawings, or upon 
cablegrams when or wherever a good order is in 

Considering that each installation of a new mill and 
its attendant equipment means the outlay by the 
purchaser ofbetween 10,000 and 15,000 pounds sterling, 
it is surely worth the expenditure of a few pounds to 
participate in the mere chance of taking such an 
order ? Certain it is that the British manufacturers 
will not have this promising field to themselves for 
very long, since already representatives of American 
and French makers of sugar machinery are on the 


tbo teiideucy of tlie Peruviarw u 

wery iKjesiblc way coitimercinl rt'latiuuB 

^^^^^^^^^^Bftin, tho fui^iDj^butwi^tm thetwo uatiotiB 
being of the most friendly nnture, it b unnwionablH to 
Muppoen thnt hard-heiul«l businesti men would fail to 
graap at the first favourable offer which is made to 
tham, no matter whonoe it omanattie: while it can 
ruadiiy iw andoretood that the man on tbo ^mt is 
likuly to take the order away from the applicant who 
ini-rtity canvanei in the ftum of correspondraioe. 

Upon a moderately well-eqaipped plant, the oane, 
atler Iieing weighed, is run in the cars alongside of the 
ctmduotor, and there it is fed to it by hand. It then 
passes up to B dry double orushing-plout of two three- 
rolter mills fittvd with hydrmullc preasura The 
cyliudem may bu of the 32 x GG, or 32 x 76, or 34 x 64 
type. Two nit>n at the end of tlie coaduotor regulate 
the feed. The cane, after pastJDg through the Srat set 
of three nilU, is run up to the second, passed through, 
and the bagasse carried off in a bagasse conductor. 
At the dischai^je of tlw second mill two labourers 
{nek out the badly onisbed pieces of cane, azkd throw 
them in to be rL-cnuihed. Tlie juice from the fifst 
and second mills is then strained through a copper 
netting. The bagasse that does not pass the mtsh is 
collected and passed through the mill again. The 
juices from the two mills are now led through pipes or 
cement gutters to a tank, or vat, whore they mix. 

The mills are propelled by separate eoginoa. In 
stime eamM, as stated, these are still found of the 
walking-beam type, wliervas a mod^TU iH|U)pinent 
should have one engine to three mills iind a crusher, 
the qMcial and most desimble fixture being tbo 
strength of the gudgeons for the rollers. The speed 
of the mills is about ^2 feet per minute for the first 
mill, and 1 1 feet for the seoond. 


The bagasse is run out from the conductor, when 
it ia dumped into carts and taken out to dry, or is 
carried to the furnaces direct. The furnaces, fitted 
with step-ladder gi-ating, are usually placed below the 
ground surface, and are fed by hand. Carts and 
wheelbarrows take the ashes to the dump, where they 
are left, or they are conveyed to the fields for use as 
a fertilizer. Both the old type and multitubular 
boilera are being used. The large factories have from 
eight to twelve boilei-s. 

The juice from the wells is pumped up to the double- 
bottom copper defecators, of a capacity of 400 to 500 
gallons (in some factories it is first run through a 
juice-heater). There it ia limed to the neutral or 
slightly alkaline point, tempered dry lime— and not 
lime milk — being used by some managements. The 
amount of lime used for such defecators is from 8 to 10 
pounds. After defecation, which requires from three- 
quarters of an hour to an hour and a quarter, the juice 
is drawn oflT, clarified, filtered, and run to the tank 
feeding the upright triple efiect. (Some Peruvian 
factories do not clarify after defecation, while others 
do not filter the juices. No sand filters have been 
noticed.) The deposits are delivered to the filter- 
presses, and this filtered juice also goes to the triple- 
effect tank. The press-cake is removed from the press 
and thrown into the dump, where, upon some of the 
estates, it is used as a combustible. In most other coun- 
tries which I have visited it is used only as a manure. 

The clarified juices are pumped up to the upright 
triple-efiect tank, and, after evaporation, are dis- 
charged at 24 to 30 BeauraiS into the eliminatore, 
which are fitted -with copper serpentine coils. They 
are there worked up, skimmed, allowed to settle, and 
finally are drawn off to the tanks for feeding the 



' The Tncuum-paiiB. o(iKn of copper, have a capacity 
r from ten t« tifl^Mi tons. Tln' syntp is drawn into 
he pans, the grmins aro ■tart«d, Aud the itrike is 
■Ixitled off, requiring from four to eight hours. The 
uito ta discharged from the [>an at about 
I BrU. 

Tbo nuMoeuite is dischar)^! into nuuwcuitft-cars, 
'ding aometbing over a ton. The cars are run out 
I mils, and aro aJhtn-t-d lo coni from ton to twenty- 
hours; they are tbun wvighi-d, hoisted by an 
lex'stor to the floor above, run up over the mixer, 
ad there duni|ied by a hand -dumper. The massecuite 
through a grating into the reservoir, from 
I it in fed to the ceutrifuguls. In the rentrifugnls 
wrhead pulley of about ao-lnch tyjie) the 
lite is ceutrifugalled from four to ten mioutes 
i about 1 ,000 revolutions a minute. 
The sugar is dischargiKl from lielow on to an apron 
r suitable CMmduotor, on which it is mrried to a onp* 
levator, whaoh takes it to the drying-room. Tba 
ying proecas ootMlsta in allowing tliv sugar to romain 
the floor for a number of days, with occasiooal 
It is then shovelled into a shoot over the 
;png-room. Bags are iille<l from bflow, weighed, 
Kwi'd up, and loaded into cars fur shiptnent, or aiv 
1noeJ in the storing-room. 

Tlie molas0t« from the first sugar are coIlect«tl (Vom 
lie centrifugals iu a guttvr Uick of the ceiitiifugala 
prhicb Ittids to a molnHSL-s.wvlt, fn>m where it la 
uiniMtt to tanks filt***! with Nteani-pipt*. llte-re it is 
>nfu-<l, and then run U* thr t^liiriinivtuni. 
The Sniita Harbarn Knotorv, which is situated in the 
InAete Volley, formerly IwluiigMl to Mr. Henry 
m-ayue, and probably dates back to the early sixties. 
Vben aeqaind by the British Bugar Oampany, 
utted, aoow tea yean ago, mora modem method* 


were at once introduced, and the mill now turns out 
some 16,000 tons of sugar per annum. Always liberal 
in the matter of improving the plant, the company 
will soon probably own the most modern milling 
machinery in Peru, since, within the next few months, 
a new mill by Messrs. John McNeil and Company, 
Limited, of Govan, Scotland, will have been in- 

One of the features of primai-y importance in con- 
nection with the sugar industry of Peru is the very 
high percentage of sucrose contained in the canes, and 
the very large proportion of which finds its way to 
the furnaces. Concerns in other parts of the world 
having canes with sucrose contents of about 13 per 
cent., and working only four months a year, have been 
forced, in the struggle which is continually going on 
for existence, to adopt eleven and foui'teen-roUer 
plants ; but Peru, more fortunately situated, has con- 
tinued to burn tbousands of pounds' worth of sugar 
which might have been saved, and has still made a 

The average extraction of the total sucrose in the 
cane probably does not exceed, in Peru, 73 per cent, of 
the sucrose contained in the cane, and, in fact, in the 
more poorly equipped factories, it is doubtfiil if even 
this figure is reached. With a modern crushing-plant, 
having a crusher in front and a nine-roller mill, the 
extraction, as above pointed out, should certainly ex- 
ceed 90 per cent, of sucrose in the cane. There is evi- 
dently a wide field for sugar machinery manufacturers 
in Peru. 

The canes of Peru are exceptionally rich in sucrose, 
as, owing to the absence of rainfall, the planter is able 
to regulate the growth and richness of his canes almost 
to a nicety. Fifteen per cent, of sucrose in canes is 
given by some authorities as the average figure, but 


TS per cent, aiid 17 per oeut. are not unkuowu. The 
cliuiatic conditions of Puru also enablu a far larger 
crop to be r^^a[xxl with quite a email factoiy, since 
reaping can be carried on throughout the twelve 
mouths, whereas in other countries the reaping season 
cannot be depended upon for more than three or four 
tnoDtha in the year. This mvsiis much less capital 
hai to be invceted in sugar machinery, and that there 
u a oonseqaent reduction of statT and in the amount 
apoo fixed expenditure. Yields of forty, fifly, and 
Bix^ tons of cane per acre are not iu&equent, and 
many (oetonue claim that they can put sugar free on 
board under £6 per ton. 

The sugar crop for 1910 was the largeet over har- 
vested in the Republic. Some fifty different planta- 
tioos produced a total of 1 72,000 tons, or an iucreuse of 
15,000 tons compared with 1909, when the figures 
were 157,759 tons. The ex[iorta during thu past five 
yeare have been : 1905, 134,234 tons ; I90<i, 136,729 ; 
1907, 110,615; 1908. 124,891; 1909, 125.351. For 
the first six months of 1910 the exports amounted to 

r,000, or at the rate of 114,000, but the " fiitter" 
' of the year bad yet to oome. In octua) value 
exported sugar in 1907 worth £827,298. for 
ElO,615 tons; and in 1909. £1.159,972, for 125.351 

^ The home oonstunption may be pat as follow* : 1905, 
7,506 tons; 1906. 32.659; 1907, 30,578; 1008, 
1,402: 1909.32.408; 1910. 30.000. 
[^ The following is a list of proauoant ragar estates 
lated aloog the coast of Peru : 

TaoMa, Oi^aHl, PenalM, TWi^e, Tokp*. 

[ TtmAS.— Good donble-eruihtng mai^iiMry ; mill 
I 34 iocbea diamoter ; modern evaporating plant 


and vacuum-pan ; battery of Babcock and Wilcox 
bfiilera ; centrifugal capacity somewhat short. This 
estate belongs to the family of Senor Paido, the late 

I President of Peru. 

I Cayalti. — This factory at present has only a single 

P crushing-plant, and the owners do not extract more 
than 60 per cent, of juice on weight of cane ; they liave 
also to spread the bagasse to dry before burning in 
furnaces of boilers. The mill is by Fawcett, Preston 
and Co., Limited, of Liverpool. A new set of Babcock 
and Wilcox boilers is in course of erection, and It is 
proposed to put down a treble crushing- plant in the 

1 near future. There is a distillery for utilizing the 

I exhausted molasses. 

f PoMALCA. — Has a double-crushing plant, with an 

old mill by Manlove, Alliott and Co., and a modern 
three-roller mill, about 34 inches diameter rollers, by 
John McNeil and Co., N.B. A new battery of Bab- 
cock and Wilcox boilers has been iostalled, and tho 
factory is otherwise well supplied with machinery. 

Patapo. — Here a new modern crushing- plant has 
been put in recently. Three mills, the two last 
by John McNeil and Co., driven by one engine. 
Ihe factory is otherwise fairly well supplied with 
machinery. Triple- effect evaporator by McCune, 
Hai'vey and Co. ; two small vacuum-pans. There is 
a distdlery in connection with the factory, which it 
is proposed to enlarge shortly. This estate belongs to 
a company having its headquarters in Chile, and is 
managed by an Eiiglishraan— Mr. Biggs. 

PucALA, — This estate is, at present, putting in an 
eight-roller mill and sundry new machinery. 

Shipping Fori. Factoriea &iid Efit&tes. 

Salaverry Horns, Caan Grande, SansaJ, Han Antinio, 

I Chicamita, Laredo, Cortavia, Nopea, 

L PampuB, La Vinita, Chicquitoi, Chiclin. 

^H 'bel 

Chicquitoi, Cuiclin, and Roma. — These estates 
"belong practically to one company, under a principal 
proprietor, Senor Largo. Together they form, I believe, 
'lie largest area under one interest in Peru. A railway 




1 the wUUa aud the port of Hanchaca, wbera 
tbf sii^r IK Kliipped. 

CiiKXji'iToi. — The factory is (airly well equippMl, I 
lun told I did not bare time to go through it 

CHit'LiN. — This estate hnn no factory, luid th« cane 
is cniahvd at ChicquitoL 

ItoHA. — The machirii^ry hen? is worn and oat of datt*. 
It cjoiisistsof aBinglccrtuiliiiig thri-v-rollur intll. :t--iiich 
<lianiot«*r roUert, crfpw-r trijiIe-efTect evaporator, and 
vacuiini-pon ; nnder-arlviin oentrifui^als. The whole 
driven by an old battery of LancaBhir« Itotlt-ni. Moab \ 
of the maohinenr ii Kreiicb, or by Manlove, Alliott and ] 
€^, Limited. 1 anderatarxl tliat the aljove estates am I 
at pruwnt endeavouring to mina capital in order taJ 
equip the factories with modem ntachinery. The 
liaiMingB and offices are very imposing. Cultivation 
apjHNirs ftiir. 

Cma Graxpk. — This estate lioa a wu11-w|uinped 
factury. It has thn<u milb, 3i:-iuch diameter rollers. 
The hrat mill is new, by John McNeil aud Co. The 
triple-effect eva|ioratur and vneuum-pau are of coptier 
and are old; made by Fawcctt, Preston ami Ca. 
limited. Six centrifugals, Wuston's typi< {American). 
The boilem are Lancaaliire, and mecbauieally fed with 
bagasM, dried by hot air. It is claimed that the 
bouera only require 5u per cent of bagaae, and that 
the mills cnun fifty tons of cane per hour. It is 
intended to install a tmttery of Babcook and Wiloox 
boileiB Portly. llitTv is a distillery lu connijction 
with this factory. 

Caktaviu. — 1 w&K unable to visit this estate, as the 
bridges werv down, owing to floods. I have heard, 
however, that this factory is well e<]uipped. It 
managed by two Scotsmen fVom Demerara. 

Sauhal. — U aitnated at the head of the ralley. At | 
present the fiutory is poorly supplied with maoainery.j 
One turbine-driven Inn-e-roUer mill, 3^ inches fagp i 
7'2 inclK«{FawcQtt and Preston, 1671). Tnple^eflfi»a|.J 
evaporators, Mc(_-i)n«-, Harvey and Co., and vacuiliB' 
pan ; l^ncsshirc boilen. Bsgaasw has to be ^rvad to 


dry. It is at present proposed to increase plant to 
treblb crushing capacity and install new evaporator. 
Ttiia factory is kept in jjeifect and clean condition, and 
appears to be very well organized. 

Laredo. — This is a well-equipped factory. The 
cane is fed to conductor by means of a crane, which 
lifts the cane from cars and places it on an inclined 
plate at side of conductor, whence it is fed to conductor 
by, say, four or five men. There are two three-roller 
mills, 30-inch diameter rollers, triple-eftect evaporators, 
and large modern vacuum-pan by John McNeil and 
Co. It is proposed to install a new treble crushing- 
 plant mill, 36 mches by 78 inches. Cultivation seems 

In the Chicama Valley the supply of water for 
irrigation is somewhat short at certain seasons, and 
causes friction between the estates. The Government 
has had an American expert investigating the sources 
of supply for two years, with a view to increasing 

All of the above estates seem to be fairly well 
equipped with railways and rolling-stock, and in all 
cases have railway communication from factory to 
coast. In cultivation, the use of stcara-plougha is 
fairly general. 

Other sugar estates of some consequence are : 

Shlpjimg Port. 

... Lurifico. 


... Tombo Re&l, VimoH. and Snchiman. 


... San Jacinto, San JobS. 


... Huayto Paramgnga, San NiooUs.and Car- 
re Wria. 



... Falpa aod En&ndo. 


... Caadivilla. Cbuquitanta, Inf&ntoa, Bnv 

chipa, NerTeriB,Naraiij&l,Chaora-Oerro, 

and ChacTft-Grande. 


. . Aranii. 

... Monte Rico, La Molina, La Estrella, Cara- 

pongs. Ban Ju^, La Villa. 

Tunbo de Mora ... 

... San J mi de Chincha, Uran. 


... Caucnt6. 



... TomaBiri- 


altnra (oonffnucii)— Gimate and boU— Sugar- cone culture — Guano 
fartUization— Deposit*— Uuaao characterJBtics — Suitable eoil— Ineeot 
pasts — Coast oallivatiou — Time for cutting — The aiveragu jield^Ei- 
periments with nitrate manure — Mafhiuery — Antiquated plants and 
equipments — Opportunities for mannfaoturers o( sugar maohiuery — 
Topical inataltatioa described^Hondliog the bEigasee uid mosseeuite. 

The whole coast of Peru is remarkable for the small- 
ness of the rainfall. In some few sections there are 
occasionally copious periodic rains ; the principal sugar- 
piiiie-producing valleys, however, depend entirely upou 
irrigation for their water-supply. Considering the ex- 
tremely small amount ol' rainfall, one would naturally 
expect to find a low relative humidity, but, as a 
matter of fact, along the immediate coast it registers 
moderately high — from 72" to 84°. Nevertheless, the 
Peruvians consider that they possess a "dry climate." 
The etfect cei-taiuly is not that of a humid atmosphere, 
neither is it of a steamy or an enervating nature. 
The dull grey skies, which last for weeks together 
at Lima and its immediate neighlx>urhood, are very 
depressing to the new-comer ; but they are scarcely 
regarded by the inhabitants. It is decidedly interest- 
ing to note in connection with this atmosphere that 
one encounters, aud especially on the coast, the remaiua 
of uuraerous early inhabitants naturally mummified, 
the cloth in which their bodies were buried being 
found still Iq a sUite of excellent preservation. 

Irrigation is carried on in Peru under very 
htvourable circumstances, especially iu connection 
161 II 



with the cane-fields, since there is an abundance 
of water to be obtained, and nothing has to be paid 
for it ; while the first cost of irrigating ditches is 
very small, and the maintenance equally bo. The . 
underground drainage in most of the valleys, where 
sugar is grown, is excellent and complete ; in some 
places, firom the cliffs bordering the sea, little rivulets 
may be seen emptying their waters into the ocean — 
seepage-waters from the valleys above. These vallej^ 
slope geutly toward the sea, and appear almost like a 
level plain. They also slope eUghtly toward the 
river-bed. The underground drainage strata varies in 
depth ; in some of the lower lands seepage-water is 
found within a few feet of the surface. 

Flooding and drainage form the one thorough and ' 
permanent method of reclamation, if properly carried 
out. As nearly all the coast-line of Peru consists of I 
lands deeply impregnated with salts and alkali, irriga- 
tion and flooding form the best possible treatment 
for them. The process adopted is firet to reclaim and 
then to irrigate, according to the usual methods ; but 
it often happens that there is not a sufficient amount 
of water for thorough washing, or that the young 
cane already growing would not bear the addition of I 
80 much water. The process of irrigation upon soma ' 
of the estates which 1 visited showed that the water 
was run around and across the fields in ditches placed 
at mathematical distances, and only very occasionally 
over them. On other fields, however, it was found 
that these were entirely flooded and allowed to absorb 
the matter gradually. One expert stated to me that 
if irrigation water has passed over a field badly in- 
fected with alkali, the same water should not be used 
for other fields ; and he suggested the throwing of a 
layer of fine dirt over the in'igated furrow before the 
water has completely evaporated. This hinders evapora- J 

iBaii]r distncts of Pen, owtn||[ to the uufge funoiist of 
Ikbour which it would require ; white, od the other 
hand, the same efioct woiUd be pzodooed when the cane 
was high enoagh for the leaves to thode the groood. 
The Bocoeaa of inigatioD in Fbru, as in Egypt, has been 
undoubted ; and, mdeed, but for that, cane-growing 
there would never have attained the dimensions of 
prosperity which it possesses to-day. 

Both the soil and the cliniat« of Peru demaml a 
considerable amount ol fertilization for the cane, by 
artificial means; and, fortunately for the country, the 
reaooroes an found immediately at hand. In soma 
sections of the Republic the growth of cane is gradual, 
requ irin g nther a longer time to mature than in other 
ootmtries, although there are three or four months in 
the year when the cane grows vigoroosly, quite out of 
proportion, ixMJeod, to the gradual growth of the other 
months. Provided the cane can be kept growing 
gradually after this period, and that the change from 
the rank of the gradual growth be not too sudden, this 
vigoPDtts advance is found advantageous. It is supposed 
that this change is not occasioned so much by any 
marked lowering of temperature as by the shorter 
days with oonsequently less sun, together with the 
damp mists, which spread, like a chilling blanket, over 
the lower portion o! the valleys, rolling in direct from 
the sea. Inasmuch as thv soils are usually deep, con- 
taining a large amount of lime-water and sodium salts, 
fcrtiliaers an easily decomposed, and slow-acting 
fcrtilixen undergo a more rapid dccompoeition ui three 
soils than in many others. 
The immense guano deposits which are found along 
ft Peruvian coast fonu the beat kmd of fertiUiar that 

^^^ The imm 



can be used. Some of the nitrogen contained in these 
guanos is in the fonn of free ammonia and other easily- 
decomposable compounds. This ammonia is so strong 
at times, that the fiunes given off from guano, stowed 
in the holds of a ship, are almost insufferable. The 
preservation of so much of the nitrogen is due to the 
absence of rains, that would otherwise leach it out. 
The dry, sheltered spots where the guano is found have 
afforded almost perfect storehouses, where decompoBi- 
tion can proceed and convert the fertilizing elements 
in a reasonably available form, and yet conserve them. 

After using guano with considerable advantage upon 
its own cane-fields, Peru commenced to export it in the 
year 1845, both Europe and the United States becoming 
prompt and keen customers. Owing to the unfortunate 
loss of its principal guano deposits as one out of the 
many serious results of its war with Chile, between 
1879 and 1884, Peru had been shorn of one of its most 
prolific sources of natural fertilization ; but it still 
possesses a number of islands, large and small, in the 
sheltered coves and nooks of which sea-birds and seals 
make their homes. At one time these nervous and 
easily scared denizens took flight, and practically 
deserted the Peruvian coast ; but, quite unexpectedly, 
they came back one happy day, and have remained 
constant to their habitations since. The Government 
have now issued new regulations for preventing dis- 
turbance of the birds during the breeding season, and 
inspectors have been distributed along the coast to 
see that these regulations are observed. The close 
season is from October to March inclusive. 

The guanos of Peru consist of three different classes : 
those containing a higli percentage of phosphoric acid 
and comparatively low nitrogen ; those containing a 
fair percentage of phosphoric acid and high nitrogen ; 
and those containing a fair amount of each. It is the 


nhmgen, maoh of the Pcni\'iaD soil being already well 

ImppUed wiUi available pho^horio acid. 
The Peruvian Corporation derived a net iooome of 
£103,010 for the jrear 1909-10 from guano sales, as against 
£140.850 for the prevkms twelve montiu. There were 
23,000 tons shipped lew, but the average qualitjr of 
the guano of the sale prices was mamtaiued. Freightn 
ruled about 1 8. 9d. per too over those of tho Tear 1 908-09. 
It is believed that the present year will be a very good 
one for the tmde. 

The goano which is exported is sold in acoordanoe 
with an analysis, which takes into eoosideiatJon the 
moistare, the sand, the silioa, the nitrogen, and the 
phoqihorio acid. Several labomtoriee have been estab- 
Uabed npoD the principal guano tsk&ds, and hero the 
stufT a carehUly analysed. If qwoimens are not up 
\ li} ihc standard, the qoantities are rejected, and are then 

uiml lu redaoers for guano of ezttemely high grade. 
While a good d<>al of the exported guano u not nnld 
undft any ngcvoiiii-nt as to ^lecial quality, aomi- of the 

I estates which posseai laboiatoriea insist upon a guano 

of a more or less oertain analysis. The industry of 
guano-oolleoting haa hem so long estabUsbed. and the 
ooUaotors arc usually so experienced in the different 
I nIsBWS and rharaoters of the composition, that they are 

leadily enabled to distinguish the different quiUitioa 
without the neoesuty of conducting a chemical analysis. 
L Small ybshbIs piDoeed from island to idand gathering 

I guano here and there, until the cargo is deemed solB- 
I oicntly Urge. Some estate* collect and use as much 
I as 2,600 tons per annum. 
I During last year (1910) Peruvian agnculturalista 



used nearly 25,000 tons of guano for their various 
cultivations. As has already been shown, the Peruvian 
cane-fields are singularly fortunate in possessing natur- 
ally rich and adaptable soils, as well as an abundance of 
water supplied by irrigation, a congenial climate, and 
a present sufficiency of labour. The only possible 
drawback to Success which could be encountered, and 
which has not been referred to, is the existence of pests, 
and here, it may be said, the country is equally happily 
situated. Where they are found they are easily ex- 
tenninated, and experience shows that a cane-field 
once cleared of an insect pest is seldom again visited. 
An insect, known as the borer, is occasionally found, 
while the canes are sometimes attacked by other insects. 
In rare instances a species of fungus has been discovered 
upon some of the canes that were grown on wet soil, and 
had fallen. As a general rule, the natural conditions 
of the country are not favourable to the increase of pests, 
and a very small amount of care and attention will 
suffice to keep the fields entirely free from any dangers 
of this kind. 

Many of the sugar estates in Peru are of large dimen- 
sions, extending to as much as fifteen or twenty miles 
square, and producing between 15,000 and 25,000 tons 
of sugar each. The cane seems to grow in this country 
with altogether unexampled facihty, and anything from 
50 to 60 tons per acre fields of cane is a result which is 
regarded as by no means unusually high. 

The cultivation of sugar-cane has extended along 
the entire coast of Peru. In the Andean regions the 
cane is cultivated in the deep valleys which cross the 
tablelands, and there are many sugar plantations to 
be found in the region of the mordana ; but it is on the 
coast, where I spent most of my time visiting the 
estates, that they have reached their greatest develop- 



In ftll o£ this sone the cane ts cut and ground from 
eighteen to twenty-two montlis after being planted, 
and it usually produces from two to three crops from 
one planting. To-day, however, the fields may bo aeca i 
littered hero and there with hundreds of bags of guano, I 
which arc brought from the adjacent Guano Islands ; 
while in March, 1910, there arrived the first shipment 
of Chilian nittate, which ia hereafter to be employed as 
a manoring agent. The real value of the experiment 
will be awaited with considerable interest, and in all 
probability, aa a result there will be an increased tonnage 
per acre, and the growth oonudcrably accelerated for 
the present year (1911-12). 

The cane, when cultivated, contains more than 
14 per cent, of sugar, and yields an average of from 
7,000 to 9,000 kilogrammes of sugar to each hectare, 
and 16 per cent, and 17 per cent, of sucrose, as already 
stated, 18 by no means exceptional. It is undeniable 
that such retunui have never been surpaaaed by any 
other sugai^prodncing country in the world ; but lBi;g8 -i 
as it is, it can be increased by an improved systaa at | 
ooltzratioQ of the cane, and by the employment of more I 
powerful and perfected machinery. I 

In oottveisation with one of the most experienced and 
erpert sugar manufacturera, who, by-tli<vbye, gained 
his experience in the sugar-producing districts of the 
Island of Trinidad, he said that " Never, in all his Ufe, 
had he come across such a wonderfully adaptable and j 
productive soil for cane as exiita in Peru, and ospeciatly I 
on the ooast." Although a canttooa and oanny Soot^ 
he permitted himself to wax enthosiastM upon the fntnre 
of the partioolar district where is situated the estate of 
which he is the manager, and this estate hitherto has J 
fXHisidered itself very fortunate by being able to aeoon I 

^^6 Id 80 per cent, of soorose over wugbt of oane. Mj . 

^^■farmant, however, stated that this year, and in all 

m^ ■.--- -i^' 


future years, so far as human judgment and effort can 
be depended upon, the return will not be less than 
90 per cent., while the working expenses will be reduced 
still further, so as to make the net proceeds more 

As a preliminary, a new mill equipment had been 
ordered, to cost £12,000, and the entire cost of this will 
be in all probability saved and paid for by the increase 
in the first year's output. The estate is now fitted 
with twenty-two miles of tramway line and equipment, 
and this length is to be further extended to over thirty 
miles, and a much heavier track introduced. There 
can be no question that as soon as the neighbouring 
estate-owners become aware of the economy in working 
which will be effected by the introduction of new 
machinery and improvements in the transportation 
facilities, they will follow suit ; so that a new era of 
prosperity, both for the sugar manufacturer and the 
makers of modem machinery, is opening up in Peru — 
a prosperity in which the British manufacturer might 
easily participate if he displayed some little enterprise 
and energy. 

Naturally the ability of cane-mills to express juice 
depends to a great extent upon the class of cane being 
dealt with, and this in Peru, as in other countries, 
varies considerably not only in size, but in quality, from 
time to time upon the same estate. It is therefore 
necessary to make careful inquiries and even tests 
before being able to gauge the nature of the machinery 
best adapted to the requirements of any particular 
estate. Experience shows that rollers of small diameter 
usually break up and disintegrate the cane to a much 
greater extent than wider rollers, and yet the actual 
squeeze administered and its effects are not always 
productive of the best results. 

Broadly speaking, the fast-ruuning mills afford the 



RniXERS \m 

, olthoo^ the appearance of the bagasso 
periups, lead to thin conclusion ; but, all 
I being equal, rollers of large diameter necm 
to gtre improTed results on aocoont of their great mrface 

Of the many important sugar estates which exist— 
and there are between forty and fifty of t^ese — it is safe 
to say tliat not one poflBcasee a complete and modem 
milL Prom time to time new additions to the existing 
maduDery are introdoocd— here a new defecator, there 
MKue new pans ; now and again the type of boiler is 
changed from the old to the tubular, no that many of 
the mills present an accumulation of typen of various 
~ fKis of rqui|>ment. Altvady one of the more go-ahead 
ictorios has iiwtalletl dry daublft-cninhera, and although 
lie milbi are, as previously stated, usually three-rollers 
[ about the 32 x 66, 32 x 78, or 34 x M type, a new 
I of mill has recently been introduced, such, for 
tsUuice, as that ordered for the British Sugar Company's 

cry, which is one of the eleven-roller type. 

The bagasse is still, with very few exceptions, carried 

> the furnaces in carts and fed to them by hand. A 

' multi-tubular tmilera have been introduced, while 

lie juice from the mills is more often run up dinwtly 

1 the defecator. The upright triple effect Kecnm to b« 

HMst suitable. There are a number of copper 

 still in use, and doing cxi-ellent work. 

Ml— ecuite ts handled in diflervnt wa\ii in Ptrn. and 

> as I ha\'fl witnessed in India, Egypt, Trinidml, 

^ and Bartwdoes, for instance, where it is run into large 

tanks and allowed in lonifl factories to cryataUiie, 

afterwards being abovelled into boxes by band, and 

Itmpticd into the oentrifoffUs ; while, in other factories, 

'i is run into mssseonitB oais, an<t. alter l>eing allowed 

ilo cool, ill dumped into a nservoir from which the oentri- 

fu^ls an duu^ed. 


The advance in the augar export industiy can best be 
understood by a glance at the accompanying figuiea : 
For the year 1907, an amount of 110,615 tons= 
£P827,298; for 1908, 124,891 ton8=£Pl,048,231 ; 1909, 
125,350 tons=£Pl,159,897, including all classes— crys- 
tallized, granulated, " mascabada " (inferior quality), 
and crude. In 1910, the total amount reached 130,000 
tons, in addition to Uie 30,000 consumed locally. 

Digitized byGOOgle 

[rioulture {eonliTmril) — Cotton — CIovmb cultivated — Corapar 
between Peruvian and South American— Statistics, 1903  1909— 
t!olton-secd oil — Wool-growing indnalrj — Hides — Cocft-pln'il — 
Cooaina — Cocoa — Rice cultivation and importa^Tobaooo — Wheal 
oaitivation — Samples loaleJ — Rarloy — Maize — Bubher — Ignorant 
method of coUectliig — Eiports for 1902 - 1909 — OovemmenI 
encouragement of cultivation. 

Nest to sugar, cotton undoubtedly occupies the second 
place in importance in Peru's agricultural exports. 
Its cultivation dates from time immemorial, as is proved 
by the many specimens of cotton cloths which have 
been, and are still being, found in the tombs of the 
earlier inhabitants of the country. In common with 
sugar, cotton possesses many natural facilities and 
advantages in Peru which are unknown in other countries, 
not excepting Egypt, West Africa, and the United States. 
Tlie classes cultivated are various, and may be enu- 
merated as follows : 

^^^L Peruvian cotton {Gossypium Peruvianum). 

^^^1 Upland cotton (G. herbaceum). 

^^^1 Sea Island and Mitafifi cotton {G. Barbadense), 

^^^H Chanchamayo. 

^^^" Pemvian cotton, or 0. Peruvianum, is grown on an 
extensive scale, being found chiefly in the valleys of 
Piura. The plant grows to a considerable height — 
namely, from 9 to 15 feet — and its life is about sis 
years, after which period the crops begin to diminish, and 
the capsule, or boll, to contain more seed than cotton. 
Vlthough the cotton-fields in Peru are irrigated in a 



similar manner to the cane-fields, the G. Peruvianum 
can dispense with water to a very great extent, and 
upon many of the good lands one watering is sufficient 
to insure a heavy crop. 

The Upland, or Egyptian, cotton, on the other hand, 
gives a better result if frequently watered ; the same 
may be said with regard to the Chanchamayo class. 
As already stated, the department of Piura is the 
principal centre of the cultivation of these classes of 
cotton, the districts of Catacaos, Sechura, and La Chira 
being those in which the best kinds are produced. Most 
of these lands have been formed apparently by the 
deposits from the rivers, and undoubtedly at one time 
they were covered with forests of the Algarrobas, or 
homey-mesquite, trees {Prosopis diilcis). The cotton- 
plant is sown in small holes dug from 15 to 21 feet apart. 
The ground is seldom touched by a plough, and is watered 
by ditches upon the usual irrigation principle. I have 
observed that those fields which belong to the native 
peasantry— and a great number of such small holdings 
exist^are allowed to fall into a veiy dirty and weedy 
condition ; whereas those which are owned by foreign 
corporations or the wealthier class of Peruvians are 
usually kept well cleaned and carefidly trimmed. In 
some cases the spaces which are left tree between the 
cotton-plants are used for the growing of various 
vegetables. The first crop, generally a small one, is 
obtained after the first eighteen months ; but year by 
year thereafter they increase until the sixth is attained, 
when the production commences to fall off. 

The fibre of Peruvian cotton is long, and frequently 
exceeds 35 millimetres, but it is rough in texture, being 
known upon the London and Liverpool markets aa 
Full Rough Peruvian. The average annual amount 
of this class, as well as of the Moderate Rough, is 
between 1,700 and 1,750 tons of ginned and cleaned 




It obtains a far higher price than Uie Elgyptian 
Icottoii, on otTOtiionH ait much an 30 per cent, more for 
he Full Rougli, and 15 per cent, for the Moderate 
Bough. Great Dritab and the United States are the 
rincipal purchaw-n. 

The Sea laland and Hitafifi cottons come next in 

value, but they are not grown so largely as the firet- 

namod on account of their requiring special and rather 

expensive machinciy for their ^uniug. The cultivation 

is therefore limited to certain valleys, which are those 

of Fativilca, Supc, and Hnacho. The Upland, or 

Egyptian cotton, has become quite acclimatued in all 

the valleys along the coast of Peru. It rarely reaches 

in height more than 4} feet, and its life may be given 

as of two yeazB. although in some districts it is prolonged 

to three. The Cfaanchamayo variety is a spontaneous 

~ it of tiw MonfaKa, or highland^ regianB, bat its 

r IB not very high, and the eiqiorts an of au in- 

wmally small ohatBcter. 

One of the most convincing e\idencce of the progrcas 

[ the cotton factories is afforded by the rapid growth 

the home consumption, which has multiplied ten 

Imeii while the exportation was tiebling. Tha vahie 

T the 1909 crop of the Canete Valley was £76,332 ; oc_ 

[ the by-producta be included, such as the ootton-s 

etc, the total poased £90,000. If the avi ~ 

ind now uitdei irrigation in this valley which is a 

the purpose were also devoted to cotton -growing, 

> production wouki probably amount to three times 

I much as m the last year, lor which flgares have been 

jKthcred, while a wider use ol conoentnit«d fertttiuES, 

1 M 1 have indicated, and more parttculariy thoae 

' 'i content, wnakl not only inctvase the pro- 

r hectare, but further improve the quality of 

The demand (or Peruvian cotton always 

> the supply, causing the very satisfactory sitoa- 




tion which exists in respect to prices. Certain varieties 
cannot be obtained from other sources, notably those 
which so closely resemble wool as to be detected only 
by chemical analysis. Some interesting data are avail- 
able in regard to the production of Canete, from which 
the following table is condensed, the amounts being 
given in kilogrammes : 


t3oDaumed. ToUls. 









111,179 621,360 
408.885 1 1,207,988 
466,627 1 1,577.469 
1,046,900 2,544,482 

For 1909, the figures representing cotton exported 
were 21,305 ton8= £P1,206,988. 

The exceptionally favourable conditions which pre- 
vailed last year (1910) have led to the very reasonable 
conclusion that the figures for 1911 will reach, and 
may even exceed, 25,000 metric tons of cotton exported 
from the Republic. 

As will have been seen, the total amount of cotton 
exported (exclusive of by-products) from Peru for 1909 
was 21,305 tons, representmg a value of £P1,206,988. 
This consisted of Upland, 13,715 tons = £P790,592 ; 
Sea Island, 535 tons = £P36,452 ; and Native, 7,055 
tons=£P399,644. The Republic's best customer was 
England, which took 5,116 tons of native cotton, against 
1,093 by the United States, 415 by Chile, 184 by France, 
129 by Germany, and 102 by Panamd. England also 
took 10,498 tons of Upland and 500 tons of Sea Island. 
The quantities taken by other countries were very small 

Much of the prosperity of the cotton industry is 
due to the enterprbe of the Government, under the 
auspices of the Department of Fomento. In 1909 the 

otal Station wu cstabliabed, and it now 
occupies a portion of the groonds of the Government 
School of Agricultuie, at Santa Beatiiz, situated near 
Lima, where 16 acres of its extensive area are devoted 
exclusively to the cultivation of varieties of plants, claosi- 
fication and selection of seeds, improvements of ^Mciesi 
and to trials of ootton-machineiy. 

With a view to experimenting upon yet a larger scale 
in different mawm*!-* and methodj of cultivation, the 
Experimental Station for cotton has established, at 
Chaocay, some 90 aoies of experimental fields in which 
the cotton-growers of that uei^bouiliood an partioi- 
pating. The station is under the direction of SeBor 
Don Qerordo Eiinge, who has made a long and careful 
atwly in Peru of the whole industry, while he has also 
travelled oonndeiably m other cotton-producing States — 
in fact, as he mentioned to me, in most of the countries 
of the world. Seuor Klinge entertained very optimiatia 
iileas of the future of the cotton industry iu Peru, and 
I am of opinion that such optimism is justified. 

The cost o! producing the native cotton is estimated 
at but 90-5^ per kilometre, while from 760 to 
770 kUometres of cottoo per hectare ( - 2*4711 acres) 
with a yield fA 35 per cent, of lint may be depended 

The numofaotore of ootton-secd oil has lately attained 
BonM dimeoriona, which is the natural result of the 
increased area iu cotton cultivation. Some six or ei^t 
plonta abeady exist for the treatment o< cotton-seod, 
and othen arc in contemplation. Several of these 
UeUmm arc to be found in the neighbooriiood of Lima, 
while a modem central factory, known as the Esquivet, 
citnated in the Valley of Chancay, is probably the Urgeet 
and most peifoctly equipped. Another factory which 
is worthy of mention is that located at Oerro Axul. 
and belonging to the Prcsklout of the Republic, Don 





Auguato B. Legi'iia. It is fitted with both British ! 
American machinery. Messrs. Rose, Downs, and 
Tliompson, Limited, of Hull, have supplied the oil- 
presses, and the Brown Cotton Gin Company, of New 
London, Connecticut, U.8.A., are responsible for 
the ginning-plant. At this factory, also a common 
quahty of soap, known as " Starita," is turned out ; 
but for what purposes it is used I am unable to say. 
The oil extracted from the cotton-seed is used chiefly 
for lighting purposes in the mining districts, the lees 
being employed for the manufacture of soap, while from 
the residue, pressed into the form of an oily mass, the 
oil-cakes, which are chiefly exported to the United 
Kingdom, are made. 

Cotton-seed was exported to the amount of 7,999 tons, 
England again taking 80 per cent, of the amount — 
namely, 6,107 tons. 

The advance of the cotton industry can be traced 
from the subjoined figures : Amount exported (including 
both the product and by-product) in 1907 = 24,526 tons, 
of a value of £P516,256 ; 1908 = 31,163 tons, of a value 
of £P844,369; 1909 = 33,707 tons, of a value of 

The Government has secured from the United States 
the services of Mr. C. H. E. Townsend, a specialist in 
plant diseases, to combat the lice, which do much damage 
to cotton in the department of Piura. He is experi- 
menting with cultures of an insect from Italy, which 
he used there successfully in similar cases. 

The total exportation of cotton in 1909 was, as stated, 
21,305 tons, and represented a value of £1,206,988. 
The annual consumption of the several existing factories 
turning out cotton goods may be calculated at 2,500,000 
kilogrammes of ginned cotton fibre. The total produc- 
tion, therefore, would stand at 23,870,256 kilogrammes 
of fibre for the year. I would draw attention to the 



j oompAntive figuns in oider to demoostnto J 
the oonddemble advanoe which has been made in i' 
onltivation of cotton and the sale of by-produots ; 




van Bnuli aid 



Taking as a safe avenge of yield B88ifl poonds per 
hootaie { - 2-471 acres) for the Rou^ Pemvian, 1,038 
pounds of fibre per beotan for Sea Island, and 1^11 
pounds of Upland cotton, the result of 56,313 heotarest 
or 140,782 acres, is obtained for the area planted.! 
The preparation of this vast extent of territory, thai 
cultivation and harvesting, afford occupation to •om*l 
30,000 labooiers, who live exduuvely upon lliis indttstiy«r 
On the coast of Fexu, I found that the daily wage of tha 1 
labourer varies from 30 cents to 60 orata (say from 
Is. 3d. to 2s. Gd.). In the United Butcs, if I remember 
correctly, the rates amount to $1.26 to Sl^ (say from i 
5s. to 6s.). The harvesting expenses are more or teafl 
the same. In the United Statea the worirer can, and! 
nsually does, earn from 40 cents, to $1.00 (say froal 
Is. Od. to 4s.) per 100 pounds, the usual rate paid betngl 
about SO cents (2s.), and this sum abo is earned uponi 
many of the coastal cotton-fields in Peru. In both | 
countries the irteiest upon capital is about the i 
being oonaidend as eqnal to 6 per oeot. Pent, as a 1 
fact, gires a yield oonsiderably greater than any othecj 
eotfcon'growing conntiy and thia k eipanding appreciably j 
yearby ye&r. 

Althon^ sheep-rearing had long been an industiy I 
ptuBood with more or less thoron^ueas f 
A»n*n'<*, especially in the Chilian sootioa known 



Magallanea, for many years, it was only some years 
later that the first serious attempt at sheep-raising was 
made in Peru. 

In the year 1876 a few sheep were taken to Chile 
from the Falkland Islands, by Senor Don Diego Duble 
Almida, and these having proved far more profitable 
than was anticipated, repeated consignments from tile 
same place continued to be received in the Republic. 
To-day, while sheep-raising has an undoubted future 
in South America, it can be followed only to a limited 
extent in Peru ; since there are many obstacles which 
have to be encountered, some of whicli cannot be easily 
overcome, such, for instance, as combating with the 
various diseases to which sheep are subject in a country 
of many physical peculiarities. 

The principal districts in which sheep-farming is 
carried on are : Cajamarca, Junin, Ayacucho, Canas, 
La Libertad, Arequipa, Puno, Acomaya, and Cuzco. 
Upon the extensive grassy meads to be met with in 
these parts, large herds of cattle and sheep are seen 
grazing the pasture of various wild grasses, including the 
bromoSy grana, lafa, ickin, these being found especially 
suitable to the particular breeds which are raised. 
Sheep in Peru are bred principally for their wool, and 
are divided into two classes — the native and the cross- 
breed. The former are of small stature, somewhat 
irregular in form, and long-legged, such as one would 
expect to find in animals which have to travel long 
distances. The fleece is rough and scanty, but it could, 
no doubt, by the adoption of careful methods, be im- 
proved. The half-breed are of a medium height, and 
give a greater supply of wool than the native. These 
animals are the result of the crossing of the Puna or 
Hill sheep with the imported Merino. 

Shearing takes place once a year, and produces an 
average of from 2 to 3 pounds of wool per head, accord- 


i of the aninul and the chanotn of the 
pasture npon which it has been fed. Upon one estate 
in Atocsayco the yield waa from 2 to 6| pounds per 
head ; but upon some other estates the average pro- 
durtion was only (roro 2 to 3 pounds per head. At the 
first^Damed place the sheep are dipped reguUriy aa a 
protection against acab, and to eliminate the numeroas 
peata to which the onimala are mibject ; bat I believe 
that thu is the only ranch in Peru where dipping ia 
K^iularly practised. Shearing takes place m the inontha 
of November and December, lambing occurring in the 
prerions September and October. 

The wool industry has maintained a somewhat on- 
eveo oondition during the past thme yeara, aa may be 
•een from the foUowing oompatmtive figorea : 1907, 
S,806tocis.£P428.013; 1908, 3,058 tons - £P297,277 ; 
1909, 3,798 tons-£P394,346. The cUases included 
are, alpaca, llama, washed lamb's wool, unwashed hunb's 
wool, and vicuSa. 

New enei^ u being du^layed in connection with the 
wool industry, and the country, where suitable for 
Bhe>ep-breeding, undoubtedly could be made trebly aa 
profitable an it is. At the present time the wool product 
does not represent a more extenaivo annual value than 
£600,000, or, in qaantity, a larger amount than from 
400,000 to 600,000 tons. The wool-bearing animals of 
Peru are sheep, alpacas, llamas and vicofiaa, while within 
the post year or so Fatagonian sheep have been intro- 
duced for croes-brveding, the eatapiiaoj I am told, 
being in the hands of a British Syndicate which owns 
a shoep-ranoh extending to over 130 square milea. It 
is, perfaape. too early to speak with any definhe aasrtiance 
as to the racoeas of this enterprise, since it is necessary 
for the imported sheep to live (or several years in Uieir 
new Bonaandiugi before it can be said that they an 
aoclimattied ; bat 1 am aamred that ao far the tunova- 

tit 1* 



A «C tk eijratt tnfc 
■iT»Hi, M. tk rtwi Aaw, Eke Uiok of tlie 
JDtmhf), a » « W MMg l«nitt» ey . Far 1907, inclnd- 
ufjwrtured, there were ex- 
176; for 1908, 2,414 tons- 
'. 2.508 tons - £P131,497. 
it from CftlUo, which port 
ill tiriheeiqwrfa. France 
! tji« different con- 

>n(«d ftt fkn umiu] 
'^-hich, of ooone, is 




very trivial considering the possibilities of the country ; 
moreover, they show a declining tendency, having, for 
instance, fallen from £157,987 in 1906 to £124,676 in 
1907. Between the years 1902-1905, the average was 
£154,596. For 1909, the exports amounted, as shown 
on previous page, to £131,497, for 2,508 tons. The 
United Kingdom and the United States are Peru's main 
customers for hides and manufactures made from them. 

There are five well-known woollen factories in the 
Republic which give employment to a large number 
of workmen and workwomen, something over 600,000 
kilogrammes of manufactured wool being put upon the 
local market annually. This output is, however, wholly 
insufficient to meet the demand, and as a consequence 
htbere is a large import trade carried on. Woollen goods 

the value of £230,077 were imported in 1906, while 
for the following year the figures swelled to £259,317. 
The average for the three years 1902-1905 was £213,445. 
The United Kingdom, Germany, and France, contributed 
to the supply of such goods, but the United Kingdom 
was far ahead (see Appendix). 

A product which has also made remarkable headway 
during the past few years is the coca-plant, which is a 
native of the warm valleys of Peru and Bolivia, and the 
leaves of which have been used by the Indians from time 
immemorial, in a dried form, for chewing. In Peru the 
plant is found growing in the form of a shrub, which 
seldom exceeds 6 feet in height. It is largely cultivated 
in the districts of Otuzco, Cuzco, Huanta, Tacna, 
Huilnuco, and Huanachuco. The plant grows much 
better in the valleys lying at a height of from 1,000 to 
2,000 metres above the level of the sea, and where the 
temperature does not fall below 18° nor rise above 
30° Centigrade. Great care has to be taken in collecting 
fud treatmg the leaves, but, unfortunately, 1 have not 

''Lcient space to describe, as I should like to do, the 





whole process of planting, garnering, and preparing for 
the market the leaves of this plant. That the industry 
is a highly-important one can be gathered from the fact 
that, after supplying local consumption, the exports 
in 1905 amounted to 341,000 kilogrammes in the form 
of leaves, and 6,800 kilogrammes in cocaina, represent- 
ing a total value of £200,000. In 1907 cocaine was 
manufactured by twenty-four small factories, which 
produced 5,914 kilogrammes worth £66,636. The 
exports to Europe and the United States are made in 
two forms, that in cocaina and that in dried leaves, not 
only for the extraction of the alkaloid, but for the making 
of wines, tonics, elixir, and other medicinal syrups. 

There were 5,265 kilogrammes of cocaina exported in 
1909, worth £60,287. 

Readers must not confuse coca with " cocoa," which 
latter product ia as yet but sparsely cultivated, although 
both climate and soil are eminently favourable for its 
production. I have seen vast tracts of low-lying land 
in the Province of Ja6n, and in the Departments of 
Amazona and San Martin, especially suited for the 
development and growth of the cocoa-tree. It is in the 
exuberant and extensive forests of the monlaha region 
that the cocoa-tree grows spontaneously, that it is 
principally cultivated. Outside of Peru the exquisite 
taste and aroma of this particular cocoa is entirely un- 
known ; the whole of the amount produced is not 
consumed in the country, since exports are made to 
Bolivia and Chile. I look for a further and fuller ex- 
tension of the industry of cocoa-planting in the Tnonfaiia 
zone, since it yields a considerable profit, and offers but 
very little difficulty in handling. 
Rice has been grown in Peru since the Colonial period, 
" during the last few years much more land has come 
ider cultivation, owing, no doubt, to the heavy 
irotective import duties which have been introduced. 





The northern coast districts, which are warm and other- 
wise favourable, are the particular localities beat suited, 
and experts assure me that in regard to the quality of 
the rice raised, it ia equal to the best kinds, which are 
produced in any other part of the world. The two 
varieties cultivated are the " Carolina " and the 
*' Jamaica." In the Department of Lambayeque, in 
the Province of Pacasmayo, the best classes of rice are 
obtained, and it is here also that they are found in the 
greatest abundance. Unfortunately, it is impossible 
to depend from year to year upon any regular crops, 
the amounts of yield being entirely reliant upon the 
abundance or the scarcity of water, a matter which is 
not under the control of the agriculturist, but subject 
entirely to the advance or delay in the waterflow of 
the rivers. Thus the results of the crops must remain 
uncertain until some scheme is introduced, as has been 
effected in India, for instance, to regulate the supply of 
the necessarj' irrigating waters. 

The average amount of the annual rice-crop in Peru 
may be put at 3,000 tons, with a corresponding value of 
£450,000. In the year 1905 it reached but 2,641 tons. 
Some of the more important estates have erected]|nxill3 
for treating the rice, and for the general use of all tliose 
who devote their attention to the cultivation of this 
grain there are several central mills erected in the towns 
situated round about the principal rice-producing valleys, 
of which the most important are : Ferrenafe, Chiclayo, 
Pacasmayo, and Eten, Practically all these mills are 
fitted up with the latest type of machinery and plant, 
but there are still others in process of erection, or 
contemplated, which offer opportunities to manufac- 
turers of this class of installation. 

In spite of the native production referred to, Peru 

imports a considerable amount of rice, the average value 

■behig £60,000 ; but both in 1906 and 1907 this avenge 



was far exceeded, the value being, for 1906, £107,222, 
and for 1907, £205,904. The prmcipal imports of rice 
came from China and Siam. On the other hand, the 
Republic over the same period exported rice to the value 
of £61,537 in 1906, and £18,737 in 1907, its cuBtomers 
being found among the neighbouring Republica. In 
1909 there were exported 651 ,000 kilogrammes = £59,908 ; 
and imported to the value of £84,015. 

In regard to tobacco, the manufacture of which has 
been a Government monopoly since 1909, although in 
Peru there are lands which are suitable, and a climate 
which is favourable for the cultivation of the narcotic 
leaf, its production has not increased to any appreciable 
extent. The plant is grown in Jaen, Tumbes, Jeveros, 
and Huancabamba. Personally I am no judge of 
tobacco, since I am a non-smoker ; but I have been 
informed by connoisseurs that while the leaf grown in 
Peru is undoubtedly of superior quahty, and is much 
preferred by the Peruvians themselves to any of the 
imported tobaccos, it is of somewhat too strong and too 
coarse a character ever to become very popular abroad. 
This statement seems to be borne out by the fact that 
some of the Peruvian tobacco is used for the purpose of 
mixing with other milder tobaccos in the manufacture 
of cigars and cigarettes ; but these are sold under 
difierent marks and brands, and are consumed in the 

The Government has done something in the way of 
experiment in tobacco-cultivation, but in many districts 
the industry has been abandoned entirely, notably in 
the District of Chanchamayo, in the Province of Con- 
venci6n, and in the Department of Cuzco ; in all these 
places it has been regarded as a failure. Probably, 
were cultivation to have been pursued with more scien- 
skill, and had the tobacco-planters been instructed 
to prepare and how to fix up the leaf, the results 


might liave been more encouraging. The total produc- 
tion of the leaf at present does not exceed 950,000 to 
1,000,000 kilogrammes, of which about one-fifth is 
exported to the neighbouring Republics of Bolivia, 
Chile, and Brazil. It is to be observed with regard to 
the laatrnamed Republic, that preference is given to the 

bacco from Loreto, while Bolivia prefers that of 
'Jaen, Peru imports its tobacco, snuff, cigars, and 
cigarettes from France, Germany, and Spain, the 
average aimual value of such imports being between 
£15,000 and £20,000. For 1909 the figures were £15,270. 

By a Government decree of March, 1910, the price 
if cigarettes is fixed at 1 cent each throughout tlie 

public, and a company, locally financed, exists 

,which exploits the tobacco industry under the super- 

ision of the National Tax-Collecting Company. This 

latter owns, by purchase, the cigarette factories located 

at Lima and in other parts of the country. 

Among the other industries which the Spaniards 
introduced was the cultivation of wheat, but whereas, 
up till 1687, it was grown exclusively on the coast, 
repeated earthquakes and other climatic reasons induced 
the cultivators to go farther inland ; so that to-day 
practically all the important wheat-fields of the Republic 
are found situated on the tableland area. Travelling 
through the Andean region, one comes across many 
isolated little patches of vigorous-looking, broad-eared 
at, especially in the north of Peru ; but the industry 
not by any means established itself firmly, and there 

abundant opportunity for both improvement in 

.ethod of cultivation and of area extension. 

One of the reasons afforded for the small amount of 
attention given to wheat-growing is the lack of the 
necessary transport, a defect which will be overcome 
gradually as the iron-rail makes its way, as it is finding 
it gradually through the length and breadth of the 



Republic. Land and laboui are both available, and 
with the placing of cheap transport at the disposal of the 
cultivators, Peru ought easily to develop this agricul- 
tural industry, and then the grain produced would find 
markets in spite of ita several peculiar features. 

With regard to these I may refer to certain samples 
of wheat which were tested by one of my informants, 
who pronounced them similar in appearance and 
character — except that they contained more moisture — 
to the Egyptian wheat, which has been imported into 
various American countries, including the United States, 
since the early seventies. Some of my readers may be 
acquainted with the character of Egyptian wheat, and 
in this event they will remember that the grain from the 
Nile Valley is narrow and long in the berry, of a dirty- 
white colour, and very dry and ricey. The Egyptian 
wheat ia of a very poor quality, the gluten especially 
being weak and valueless. The Peruvian wheats are 
somewhat cleaner and broader in the berry, and contain 
a little more moisture and flour than the Egyptian grain. 
Of the four samples to which I have referred, the per- 
centage of moisture in the dry wheats was rather high, 
being aa follows : 

Pur Cent 

1. Siete Esbigfts (seven ears) 14-6 

2. Chaiuora 16-2 

8. Uarba Colorada (red beard) 14*4 

4. Itodondoiround) 14-3 

Wheat is usually sown in Peru from March to May, 
and in the valleys it is irrigated occasionally, two crops 
often being obtained during the year. On the lofty 
plateaux the rains provide sufficient moisture without 
irrigation being found necessary. The average pro- 
duction per unit of area is ten times the quantity of 
seed sown, although the yield is less bountiful where 
the soil is not cultivated. The Peruvian millers mainly 
use imported wheats for the production of flour, milling 








' 1 

1 Dc 

only a very small portion of native-grown grain. At 
the present time the mills in Peru grind Australian 
wheats, but Chile and the Pacific Coast ports of North 
America sometimes supply a portion of the requirements. 
The importations of wheat from California and Australia 
exceed 400,000 tons annually. In 1906 the value of 
";e imports was £266,517, and in 1907 £240,714, the 

■erage between 1902-1905 being £206,827. In 1909, 
wheat was imported to the amount of £269,067. 

Barley is cultivated upon the lands where wheat is 
grown, its principal use being food for horses and pack- 
mules, the localities where it is mostly grown being the 
Departments of Ancachs and Arequipa. 

Maize, the cultivation of which cereal has made great 

.vance during the past few years, can be found flourish- 
■ing throughout the whole national territory, the only 
part of the country in which it is not sown being the 
cold and cheerless region of the upper plateau. Per- 
haps the best quality is that which is produced iu the 
Cuzco district, and some connoisseurs have pronounced 
the grain which is produced here to have been the choicest 
and most largely-yielding that they have seen. The well- 
kno\^•n French agriculturist, M. Vilmorin, for instance, 
has said that of all the known kinds of maize, that of 
Cuzco is " the choicest and most vigorous grain, of the 
size of a bean, with a very thin pellicle, and very 
farinaceous." It is worthy of mention that at the 
St. Louis Exposition (U.S.A.) the Peruvian ears of 
maize, which were exhibited, obtained a gold medal, 
formed a subject of lively discussion between the 
iculturiets present, who desired to use them for seed, 
poor people live almost entirely upon maize, 

ilh rice, and I have seen them consuming both greedily, 

rdly cooked, and before either was thoroughly ripe, 
far the export of the grain is still in the incipient 

Lge, bat recently some small lots were shipped to 



Central America. With the advent of the Panama 
Canal and the improvement m shipping facilities, which 
will then be forthcoming, we may reasonably expect a 
development of Peruvian maize export, the existing 
figures being of little or no importance. In 1906 the 
whole value amounted merely to £812, while for 1907 
the figures dwindled to £680, the sole foreign customer 
being Bolivia. 

Although the existence of the rubber-tree has been 
known in Peru for considerably over a century, the 
industry of extracting the gum for commercial purposes 
can only be said to have commenced in 1882, and the 
systematic exploitation of the industry from 1885. 
Throughout the extensive and beautiful timber regions, 
teeming with the exuberance of perpetual spring, with 
all its varied fertility and exquisite colouring, the rubber- 
tree, producing the veritable CasiiUoa eldstica, is found 
flourishing as in few parts of the world. Upon the banks 
of all the rivers and rivulets which directly or indirectly 
empty themselves into the Amazon, this handsome tree 
is found yielding the precious caucko in abundance, and 
of a quality as fine as any to be met with in Brazil or 
the Far East. 

Previous to 1886 the gum was obtained from the toresta 
on the banks of the principal tributaries of the Maranon 
River, chiefly the Tigre, the Morona, and the Pastaza. 
From 1885 to 1897 the cauckeros (rubber-gatherers) 
commenced to work, but in a very superficial manner, 
the Valley of the Ucayali ; but here, as elsewhere, their 
ignorance prompted them to cut down the trees instead 
of " milking " them, their process being to fell the tree 
close to a hole which they had previously made in the 
ground in order to receive the milk, which then under- 
went a rough process of coagulation by means of a 
solution of soap and the juice of a native plant known 
as velilia. 



\y thia method (still considerably in vogue) each tree 
furnishes upon an average of 20 kilogrammes of rubber, 
which ia exported in the form of planks or cakes, 

xh one of which weighs from 40 to 50 kilogrammes. 
[t is needless to say that even with the immense supply 
of rubber-trees of which Northern Peru is possessed, 
if this clumsy and thriftless method of gathering the 
caucho is persevered with, it is only a question of time 
when the forests will be completely exhausted. 

I have seen many varieties of rubber-producing trees 
and plants in Peru, some of which are not even known 
to botanists ; but the most common kind belongs to the 
family etiforbacias, species fievea brasiliensis, from which 
j'cie, the highest grade of Pari rubber, is obtamed. Thia 
latter tree is found at its best in the humid river-lands 
situated below the 300- feet level, and where it grows 
to a height of from 60 to 75 feet. The casliUoa, belong- 
ing to the family nlmaceas, and which is the rubber-tree 
far excellence of both Central America and Mexico, ia 
also found in Peru, usuahy in the drier lands, which are 
situated higher up in the montafia. 

If only the natives could be induced to adopt the 
tapping process instead of felling the entire tree, infinitely 
more lasting — if not such heavy first — results could be 
lObtained. By periodically tapping, besides saving the 
a prodnction of rubber of 10 kilogrammes per 
urn, as against an immediate production of 20 to 

kilogrammes by felling the tree, could be obtained ; 

id since a rubber-tree, if not ill-used, will live for many 
years, the practical advantages gained are obvious. 

The last-named process I have seen pursued in the 
Malay Peninsula, Ceylon, and Java, as well as in other 
coimtries ; by its adoption the owners of the rubber- 
estates enjoy a regular harvest which may be as firmly 
depended upon as any ordinary crops of fruit or vege- 


Upon an average, three peons can work in a day a 
square consisting of from 100 to 150 rubber-trees, which 
will probably be found scattered indiscriminately over 
an area of about 100 acres. The labourers engaged, 
whether in felling or in tappiog the trees, receive no fixed 
wages, their remuneration depending upon the quantity 
of the crude latex which they can bring in. As a rule, 
the labourer is paid something like 75 sols ( = £7 IDs.) 
per guiiUa} (hundredweight), of jebe, and 40 sols ( = £4) 
for sernamby, which is the residue or lower grade remain- 
ing after the preparation of jebe. 

Ahnost all of the rubber gathered m the Peruvian 
Orient, comprising the larger portion of the country's 
production, is exported from the Amazon port of 
Iquitos, making its way thence down to Man&os, and, 
later on, to Paid, both of which ports are in Brazil, 
and thus it passes for " Best Para Rubber." Iquitos 
lies some 2,653 miles up the river from the Atlantic 
Ocean, but, nevertheless, it is a regular port of call for 
lines of ocean steamers from New York, Liverpool, and 
Hamburg. Practically all the rubber which is shipped 
via the Pacific Ocean goes over the lines of the Southern 
Railway from Madre de Dios, Inambari, and the liower 
Urubamba country, and is exported from the port of 
Mollendo. The export duty is 24 centavos per net 
kilogramme, or £24 per metric ton. At the present time 
there is a proposition before the Peruvian National 
Congress to change this duty to one of 10 per cent, on 
the London Market value, but it is doubtful whether fiiia 
will be accepted, the Chamber of Deputies having 
recommended the lower figure of 8 per cent.* I attach, 
herewith, a table showing the amoimt of production of 
rubber in Peru for the last eight years. 

The Government sells tracks of virgin woodlands 

* Since writing Ihe above, the tai bos been (May 10, 1911] deUnitely 
fined 8 per cent., and eame into force July 1, 1911 (see Appeoduc). 


,1 s i s 

k s s- |- 1 



s s s g 

II i i i 1 




ll III' 



i| 1 1 1 1 



il 1 1 1 1 


l| 1 i" 1 ' 




to A ri ao 

iS 1 S S 1 
as i - s ' 



r 1 1 s 1 



,1 1 s 1 1 
Is s s 1 s 






suitable for rubber exploitation, and situated in the 
country " tcrrenos de montaSa," at the rate of 5 sols 
(10s.) per hectare (equal to 2J acres), and also grants 
concessions for the exploitation of the natural rubber- 
lands under very liberal conditions — that is to say, either 
by granting a rental of a specified number of hectares, 
or by leasing groups which, in Peru, are called estradas, 
of 150 trees each, on the condition that 2 sols (or 4s.) 
be paid to the Government for every 46 kilogrammes of 
rubber extracted. In either case the lessee or concession- 
aire undertakes not to destroy the trees.* How reason- 
able are the taxes demanded by the Peruvian Govern- 
ment can be seen by comparing them with those prevailing 
in Brazil, where the exportation of rubber is taxed with 
the duty of 24 per cent, ad valorem, which represents 
nearly 40 centavos per kilogramme, as against 8 cerUavos 
in Peru upon jebe. In Bolivia the duty is as high as 
16 centavos. 

' See Appendix. 

dlways — Qrowth of systems— Eiisting Uocb— Standard gauge-^NBrrow 
gauge — New cod steaoti on— Southern Railrood— Cuico division — i 
Track — Bridges— BoU in g-H toe k^ Freight— Paasengers—W otkahopa — 
Miuuigement— Central Railroad — Oroya Bettion— Remarkable scenery ' 
— Road — Bridgea — Tunnels — Stations — Freight — Handicaps 
— Fature prospects. 

Tee comparatively small amount of iron-rail to be fomid 
in Peru to-day occasions some surprise when one comes 
to remember that it was in this country that the aecoud, 
if, indeed, not the first, railway in South America, waa 
built. I refer to the short line of 13'7 kilometres, 
which connects the port of Callao with the capital of 
Lima. During the last sixty years the !engt,h of line 
constructed in national territory has not exceeded 
3,000 kilometres (less than 2,000 miles). The gauges 
are by no means uniform, ranging as they do from 0-60 
to the extreme width of 1*45 millimetres. 

Considering also the immense amount of revenue 
which the Republic has enjoyed in years gone by from 
its guano and nitrate deposits, as well as from other 
sources, one might reasonably have expected Peru to 
be possessed of the finest railway system of any South 
American Republic. Different admmistrations of dif- 
ferent periods have made spasmodic efforts to move in 
this direction, but it would seem that when confronted 
with the estimates of cost, and faced with the topo- 
graphical difficulties with which the country literally 
bristles, the programme was usually modified, and but 
little of what was mtended actually done. 

193 13 





It is to be admitted that Peru does not offer a temptai 
field for railway construction, owing principally to the 
immense distances which separate its different centres, 
its modest population, and the many stupendous physical 
obBtractions which have to be overcome. It is all the 
more noteworthy perhaps to find this Republic possessed 
» of a railway which, for sheer audacity of conception 
land ingenuity in construction cannot be matched by 
*' any country in the world. I refer to the famous Oroya 
Railway section of the Central Railway of Peru, and 
familiarly called the " Railway in the Clouds," which 
cost the simi of nearly £5,000,000, on the greater portion 
of which dividends never have been, and can never 
possibly be earned. 

The most earnest step taken by any President in 
regard to transportation matters in Peru was that of 
the late Senor Candamo, who, in 1904, promulgated 
a new law regarding railways, by which the annual 
amoimt of £200,000 was to be devoted to their con- 
struction, such amount being the entire proceeds of the 
tas on tobacco, and which is now a Government mono- 
poly. Every Presidential programme since then has 
contained eloquent promises with regard to the con- 
struction of railways, while numerous and important 
concessions are continually being granted by the Govern- 
ment of Peru for the extension of existing and for the 
construction of additional tracks, North American 
capitalists being the most energetic to obtain these 
concessions, and the most dilatory in carrying them 
into execution. Several banking establishments in 
Europe are at the present time negotiating with the 
Grovemment, as they have at times past negotiated with 

I its predecessors, to advance money for the construction 
bf new railways ; and one important scheme, known as 
Hie Amazon and Pacific Railway, has recently 
lefore the attention of Congress, whose final deci 

;ra as 


to it and certain important modifications 
demanded, is favourable to the project. 

The national railway transportation of Peru is to-day 
under the management of a British concern, known as 
the Peruvian Corporation, Limited, with a total debenture 
and share capital of £21,610,121, and which, some 
twenty-one years ago, took over from the Government 
all the railways with their lands, as well as other posses- 
sions, as representative of the foreign bondholders 
whose money for the most part had paid for them, and 
in consideration of which the whole of the Foreign 
Debt of the Republic of Peru was to be regarded as 
cancelled. This Corporation manages altogether seven 
railways, one line of lake-steamers, a large cotton-mill, 
and a land colony. The railways are as follows : the 
Southern, the Central, the Guaqui (Bolivia), the Trujillo- 
Salaverry, the Pacasmayo-Guadahipe, the Paita-Piura, 
the Chimbote-Tablones, and the Pisco to lea Railway. 
The steamers are conducted in connection with " the 
Lake Titicaca Service." The cotton-mill is that of the 
Peruvian Cotton Manufacturing Company, Limited, 
and the land colony is known as the Parent Colony, 
and this is about the only present imremunerative asset 
which the Corporation posses-ses. 

While Mexico as well as Chile lay claim to having built 
the " first railway-line in Spanish- America," Peru avers 
that the first track to be laid upon the Southern Con- 
tinent was that small section of line, already mentioned 
above, running from the port of Callao to the capital 
of Lima, in the year 1848, the length being precisely 
13"7 kilometres (about 7 miles). To-day the system 
has grown to nearly 3,000 kilometres ( = 1,825 miles), 
which is still inconsiderable when compared to such 
Jjatin-American States as Mexico, Argentina, Brazil, 
1 Chile. The Peruvian railway systems arc made up 


Stamdakd Oauob Limxb. 
Northern Seetion : 

PbIu to PiOTA 

EleD to FerrenAfe 

ChicUjo to P6tepo 

pMBmna^o to Gnadalape y Tooin 
Central Section : 

Limft to ChorilloB 

Linw to Hwdftleiut del Mar 

Lima to CaUM 

Callao to La PonU ... 

CalUo to BellaTiria ... 

Lima to Anedn 

Callao to Oroya 

Tielio to Morococha ... 

Oroya to Cerro do Paeoo 

Cerro de Faaoo to Qollarisqii 

Oroya to Hnari 
Southern Section : 

Piaoo to lea 

MaU«ndo to Areqoipa 

Areqnipa to Pimo 

Joliaca to SkuanS 

Sicuani to Checcocupe 

Electric Section 

Uma to Callao y La Panta 

Limn to ChorilloB 

Lima to " La Herradora " 


Nakkow Oauok L 

Nortltem Section : 

Pinra to CataoaoB 

Bayovar to BflTentaz6ii 

Pimentel to Chidayo 

Eten to CayalLl 

SnlttvcrcvtoTmjiUa y Awope 
HuBucfaaco to Trea P&iloa 
Trujilloto Laredo y UentMmcho 

ChicBJuato Pampas 

Ctiinibate to TabloneB 

Central Section 

Snpr« (o Baxranoa y PatiTiloa 

Sapre to Ban NIooUb 

Bio PativilcA to Paramonga ... 
Playa Chica to SaJinaB do Hoacbo 
Chancay Co Palpa 
Caaapatca b) El Cirmen 

Southern Section : 

Cerro Asnl to Caaete 

Tambo de Mora to Chinoha Alta 
Ejuenada to Pampa Blanoa ... 













17 000 

86 873 




Or an avaragB of 1,684 milea, axolnsive of lome hnndreda of kilometr«g 
whiou have Binoe boen aoqoired by parchaae. 

Digitized byGOOgle 



Tt ia to be obsereed that since thU list was compiled 
several small and scattered sections have been com- 
pleted, and are now in working, thus bringing up the 
total mileage of P.C. lines to close upon 1,850 milea. 
Additionally, I may mention that many of the above 
enumerated lines, although of importance in a great or 
less degree, are small, the number of stations varying 
from twenty-two, as in the case of the Callao to Oroya 
section, to only two, as on each of some sixteen sub- 
branches or connections. 

The amount of capital actually expended upon the 
whole of the constructed lines and those under construc- 
tion has exceeded to date £35,000,000. An immense 
amoimt of rolling-stock of all descriptions has been pro- 
vided, some of it, however, being antiquated and in- 
efficient, while the condition of the tracks varies accord- 
ing to the particular management in control. All the 
State railways are under the control and manage- 
ment of the Peruvian Corporation, and are well main- 
tained, generally speaking. The other lines are the 
respective properties of sugar-estate owners, min ing 
companies, and private concerns, and these call for little 
further comment. 

The exact amount already expcndetl, the sums now 
being laid out upon new construction, and the amount 
in contemplation relating to an important new northern 
line, will be found of service in the following table, 
which is believed to be up-to-date : 



AddilbniU sections ksoponeiliiiiil in working. abont 018,864 

Lines now under conHtracUon boloaging to the 

Slats 1,866,088 

IS for vhieh ooDMoioiia have btta granted ... 2,000,000 



In speaking of the Peruvian railways, it will be de- 
sirable to refer to them in their respective groups or 
systems, the most important of which are the Southern 
and the Central. 

The length of the Southern Railroad is 594'19 miles, 
made up as follows : MoUendo to Puno, 325'1 miles ; 
Guaqui to El Alto, 55*3 miles ; El Alto to La Paz, 
5*6 miles ; Juliaca to Cuzco (branch), 209'9 miles. It 
will be observed that I have included in this total of 
594"19 miles the section from Guaqui to La Paz, which, 
however, will be described in full in a later part of this 
volume, my reason for so doing being that this section 
now belongs entirely to the Southern system, and is an 
integral part of its system. It may be remembered that 
there is also a service of lake-steamers worked in con- 
junction with this railway, the boats running from Puno, 
on the Peruvian side of Lake Titicaca, to Guaqui, on 
the Bolivian side, the distance across being 128 miles. 
The total track of transportation, therefore, which is 
managed by the Southern Railway of Pom, amounts to 
722-9 miles. 

There are two gauges found upon this system — that 
between Molleudo and Puno, as well as that between 
Juliaca and Cuzco, being 4 feet 8J inches ; while the 
Guaqui to La Paz section is 3 feet 3| inches (metre 
gauge). The road-bed of the MoUendo-Puno section is 
16 feet on embankment, 18 feet in rock excavation, 
and 20 feet in earth excavation, as a general rule. The 
ballast used is river-shingle, gravel, sand, and broken 
rock. On this division (MoUendo-Puno) the rails are 
60 pounds laid on Oregon-pine sleepers, 6x6x8, the 
same weight of rail being used upon the Puno-Cuzco 
section ; while from Guaqui to El Alto the weight is 
40 pounds, and from El Alto to La Paz 60 poimds. 

Upon the " Mollendo division " — that is to say, from 
Mollendo to Arequipa— there are a considerable number 


of stations, the firat-named place being the terminal and 
at the same time the port of entry for all through-goods 
and passengers carried by the Southern Railway. Un- 
fortunately, MoUendo is anything but a good port, and 
although the Peruvian Corporation have, in conjunction 
with or upon behalf of the Government, expended a 
large sum of money in building a breakwater and mole, 
the actual position is but shghtly improved, and it is to 
be feared that Mollendo will for long fail to merit the 
distinction of providing even a moderately safe entrance. 

The Southern Railway Company has erected a well- 
designed station at MoUendo, and goods-sheda of ample 
dimensions, the construction being carried out in cast- 
iron, masonry, wood, and corrugated iron. 

Arequipa Station is built of cast-iron, with wooden 
sheathing and corrugated-iron roof, the administration 
buildings, which are practically new, being constructed 
of masonry with wooden floors. There are fifteen other 
► etations on this division, all being built of masonry or 
Iffood with corrugat«d-iron roofs. 

The " Puno division " (from Arequipa to Puno) has 
sixteen stations, exclusive of Puno terminal. Six of 
these stations are of wood and corrugated iron, eight 
are of masonry, and one ia of brick. At Puno both the 
passenger and freight sheds are of masonry with comi- 
gated-iron roofs. These structures are substantial and 
neat, while there is an abundance of yard-room avail- 
able both at Puno and at the mole. 

The " Cuzco division " (from JuUaca to Cuzco) has 
twenty-three stations, eight being of masonry, nine of 
adobe (or sun-dried bricks), and six of wood, all alike 
having corrugated-iron roofs. It is unfortunate that 
this last section upon the railroad, which is the most 
recent to have been opened, has hitherto proved some- 
rwhat unsatisfactory from a freight and passenger 
•frying point of view. The former has not come up to 



expectations, but there seems some chance of its pros- 
pects brightening. With regard to the passenger- 
service, hitherto but an iinsatisfactory state of aSaira 
has been met with. Upon occasions an entire train, 
which is made up of passenger and freight cars, will fail 
to carry more than four or five passengers ; and I under- 
stand that the inhabitants have shown themselves abso- 
lutely indifferent to the advantages which the railway 
offers as a cheap and expeditious means of transporta- 
tion. The Indians cling slavishly to their primitive 
method of animal-traction (llamas and burros — i.e., 
donkeys), while even among the more wealthy Peruvians 
the existence of the railway is persistently ignored. 
Such experience is certainly not encouraging either to 
the Government, who built the line, nor to the Company 
which runs it ; and but for the tourist traffic, which is 
carried at a certain time of the year, it is doubtful 
whether the line to Cuzco would be able to justify itself. 

In regard to the gradients on the main line between 
MoUendo and Sumbay, the maxinium is 4 per cent. ; 
from Sumbay to Santa Lucia, 3J per cent. ; and from 
Santa Lucia to Puno it is but 1 per cent. On the Cuzco 
branch, from Juliaca to Santa Rosa, the grade is 2 per 
cent. ; from Santa Rosa to Araranca, 3 per cent. ; from 
Araranca to Sicuani, 4 per cent. ; and from Sicuani to 
Cuzco, If per cent. From Guaqui to El Alto the grade 
is 2 per cent., and from El Alto to La Paz, 6 per cent. 

There are several interesting bridges on the Southern 
Railway, which may be described briefly as follows : 
" Mollendo division," one deck-plate girder iron bridge, 
100 feet span, crossing the Tingo Grande River ; " Puno 
division," a new steel deck-plate girder bridge, consist- 
ing of two spans of 65 feet, crossing the Chili River, 
made by the American Bridge Company, and erected 
in 1908. The same manufacturers are also responsible 
for the bridge crossing the Sumbay River, which^waa 

I sp. 




^^ wit 


finished as late as January of last year. It consists of 
two spans of 65 feet, two spans of 41 feet, tower-apan 
of 30 feet, and a central steel tower 130 feet in height, 
upon concrete pillars. There are no other bridges upon 
this section exceeding spans of 25 feet. 

On the " Cuzco division " (Juliaca to Cuzco) there are 
also a considerable number of bridges, of which the 
following are the brief details : Rio Maravillas, cast-iron 
bents on screw piles 450 feet in length, eighteen spans of 
25 feet ; Rio Calapuja, same as the Rio Maravillas bridge, 
twenty-four spans of 25 feet, 600 feet in length ; Tira- 
pAta, single span of 180 feet, deck Fink truss ; kilo- 
metre 80, cast-iron bents on screw piles, six spans of 
20 feet, 120 feet in length ; kilometre 93, same as 
kilometre 80, eight spans of 20 feet, 160 feet in length ; 
Pulpera, single through Howe truss of 100 feet ; Rio 
Vilcaneta, trestle 600 feet in length, constructed entirely 
of old iron rails, thirty spans of 20 feet ; Rio Vilcaneta, 
kilometre 216, cast-iron bents on screw piles, six spans 
feet, 120 feet in length {erected 1907) ; Rio Cilca- 
i4ta, kilometre 235, same as kilometre 216, fourteen 
spans of 15 feet, 210 feet in length (also erected 1907) ; 
Rio Vilcaneta, kilometre 239, two spans of 65 feet, 
deck lattice-girder, and erected in 1909 by the American 
Bridge Company ; Rio Huatanay, kilometre 306, single 
span 50 feet, steel deck-plate ^rder, also erected the 
same year by the Company. 

The culverts, generally speaking, are of masonry, 
with iron girders, but there are a number of atonc-arched 

Iverta on the main line of the Cuzco branch, with 

lans up to 13 feet. There is only one tunnel upon this 
railway, and that occurs on the Puno division at Kilo- 
metre 55, a little north of Arequipa ; it is 700 feet in length. 

The remaining gradients are as follows ; " MoUendo 
division" — Mollendo to Ensenada, level ; Tambo to 
Pcsco, 3 per cent. ; Cahuintala, level ; Cachonde, J per 


cent. ; Huagri, level ; La Joya, ^ per cent. ; San Jose 
to Ramdl, level ; Viter, 3 per cent. ; Quishuarani to 
Granite, level ; Tingo, 1 per cent. ; Desvie to Arequipa, 
3 per cent. " Puno division " — Cantera, 3 per cent. ; 
Yura to Uyuparapa, level ; Quisces, 3J per cent. ; 
Ayrampal, 1 per cent. ; Pampa lie Arrierea, 3 per cent. ; 
Abra, 2 per cent. ; Canaguas, 3 per cent. ; Sumbay, 
level ; Puccacancha, 1 per cent. ; Vincecaya to Craoere 
Alto, level ; Pariguanas, 2 per cent. ; Lagunlllas, level ; 
Saracecha, 21 per cent. ; Santa Lucia, H per cent. ; 
Maravillas to Piino, level. " Cuzco branch " — Cala- 
piija to Chuquibambilla, level ; Santa Rosa, 1 per cent. ; 
Araranca, 3 per cent. ; La Raya to Marangani, level ; 
Sicuani, 1 percent. ; San Pablo to Chuquicahuana, level; 
Cusipata, 1 per cent. ; Quiquijanas to San Jeronimo, 
^ per cent. ; and to Cuzco, 2 per cent. 

The rolling-stock on the Southern Railway is, owing 
to the length and importance of the line as a freight- 
carrier, both diversified in character and considerable 
in amount. There are some fifty cars, including various 
types, and made up as follows : Three sleeping-cars, one 
saloon car, thirteen first-class coaches, two combination 
coaches (first and second class), fourteen second-class 
coaches, three combination cars (second-class and 
baggage), thirteen baggage cars, and one first-class car. 

In regard to freight-cars, the equipment at present 
consists of 387 waggons, varying in carrying capacity 
from 18,400 to 35,000 kilogrammes ; in length, from 25 
to 35 feet ; in width, from 8 feet 4 inches to 9 feet ; and 
height, from 4 to 7 feet. The types are mainly bos- 
cars, of which there are 190, while there are 133 flat- 
cars, 38 coal-cars, and 10 cattle-cars. 

Considering its length of track, I know of few railways 
which are better equipped with locomotives than the 
Southern Railway of Peru. From first to last, there 


are ei^ty-eight engines, the oldest of which dates back 
to 1871, and the most recent to 1907. Various makes 
are represented, including Rogers, Danforth, and Bald- 
win. The newest type (1907), which are al! of Rogers's 
make, have cylinders 20 x 28 ; driving-wheels, 52 inches ; 
boiler pressure, 180 ; the weight of engine being 73 tons, 
t«nder 36 tons, or a total of 109 tons. Another type, 
by the same manufacturers, has 58-inch driving-wheels, 

boiler-pressure of 200 pounds, and a weight of engine 

tons, tender 45 tons, or a total of 115 tons. There 

eight locomotives of this latter type, and I am in- 

!ormed that they have proved exceedingly good and 

!r\'iceable engines. 

The character of freight handled by the Southern 
Railway of Peru Is principally foodstuffs, including flour 
and sugar, alcohol, lumber, coal, and general goods for 
Bolivia ; as well as flour and sugar, wines and spirits, 
lumber and general supplies for Arequipa and the larger 
districts which are ser\'ed by the line. There are also 
considerable consignments of wool, minerals, borax, 
rubber, hides, and cocoa carried by this Company, 
while during the last two years a large quantity of con- 
struction material for the new Arica-La Paz Railway 
has been transported. These latter freights have been 
naturally only of a temporary nature, and upon the 
completion of the new railroad they will have ceased. 
The contractors of the Arica-La Paz Railway now bring 
in at least some of their own material and rolling-stock 
through the port of Arica. While it lasted, however, 
the increase of freights proved very profitable to the 
Southern Railway — a fact which has been reflected in 
the last annual report presented by the directors. 

The workshops, which are established at Arequipa, 
although somewhat small in dimensions, have been so 
Well arranged and are so well managed that they arc 
vcapable of doing all the repair and construction work 

^^^1 Veil arrai 
^^^■vCapable c 



which the railway calls for. Mr. W. Cockfield is in 
charge of these shops, and surprising ia the amount of 
excellent work which ia turned out under his super- 
intendence. Since Mr. Cockfield came, the strictest 
economy has been exercised, but the efficiency of these 
Bhops has been practically doubled, and I am informed 
that the Indians who are engaged in its various depart- 
ments, such as the boiler-shops, carpenter-shops, 
machine-shops, engine-shed, and foundry, are proving 
themselves very capable and malleable. 

The Southern RaUway of Peru affords another in- 
stance of what capable management can effect in regard 
to a line which, for years, had proved troublesome, and 
even unprofitable. Under the management of Mr. H. A. 
McCulloch, the line has made steady and consistent 
progress, with the result that it is to-day in a strong 
financial position ; and even if this position be somewhat 
threatened, as those most concerned fear it is, by the 
approaching completion of a new and powerful com- 
petitor in the Arica-La Paz Railway, there is reason to 
believe that the directors of the Southern Railway, 
who have had plenty of opportunity for arranging its 
business and preparing for the inevitable, will rise to 
the occasion, and know both how to meet and compete 
with the rivalry when it becomes an accomplished fact. 

One of the features of the railway management under 
the control of the Peruvian Corporation has been the 
excellent relations which exist, and have for some years 
existed, between the management and the public. In 
connection with the local control and supervision of 
the Southern Railway, it would be diificult to find a 
more competent manager than Mr. H. A. McCulloch, 
who is extremely popular in Arequipa (the headquarters 
of the Southern Company) and throughout the entire 
district through which the railway operates. It is only 
those who have lived in Latin-America, and who(^know^,i 



tiie people and the difficulties of handling them, who 
can realize what a " popular manager " of a railway 
with a long track to handle means in the operation of 
the line. Mr. McCuUoch, who was with Mr. W. L. 
Morkill in Mexico, is one of his most able and valued 
assistants in Peru. 

The Southern Railway, the second moat important 
of the Corporation's transportation systems, comprises, 
as we have seen, five lines in all, of which three are 
mountain and two coastal railways. The three prin- 
cipal sections are those from MoUendo to Arequipa — 
172 kilometres ; Arequipa to Pimo — 351 kilometres ; and 
Juliaca to Sicuani — 197 kilometres. The most recent 
addition to the Corporation's railways is the extension 
from Juliaca to Cuzco, and which, although up to the 
present, as indicated above, this has proved disappoint- 
ing in the amount of freight carried, gives promise of 
developing in due time into an important and profit- 
earning branch of the Southern System. It is proposed 
to continue the railway from Cuzco to Santa Ana, and 
in the event of this extension being built, it can hardly 
fail to prove a valuable feeder to the system. A survey 
for such a railway has already been made by the Peruvian 
Corporation for account of the Peruvian Government. 

While the gross receipts of the Southern Railway 
actually declined in the year 1909-10, the working 
expenses were so much reduced that the net receipts 
resulted as follows : 

iNCLUQiKa THE Cdzco Dinstoit. 





Qrou receipts ... 
WorkiDg eipeDses 

e. «. d. 

868,766 4 6 
221366 10 

ii«,aio 8 1 

816.648 13 8 

£ ■. d. 
60,443 18 7 

9G.283 11 10 




137.400 3 8 

102,560 10 5 

+S4,8S9 18 8 




The Peruvian Central Railway, better known as the 
" Oroya Huancayo Railroad," has been, not undeserv- 
ingly, described as the most remarkable railway in the 
world. Remarkable it is, firat, for the audacity of ita 
conception ; secondly, for the extravagant manner in 
which it has been constructed ; and thirdly, on account 
of the unfortunate financial results with which it had 

Like the majority of the Peruvian railways, the 
Central starts from the coast of the Pacific Ocean, at 
Callao, and, after running for some kilometres through 
wheat, cotton, and sugar estates, it reaches its first 
narrow opening in the slopes of the Cordillera Moun- 
tains, an opening which has been caused by the erosion 
in the rocks effected by the furiously-running waters 
making their way to the ocean. 

Already, at a distance of 50 kilometres, the line has 
ascended 1,000 metres above sea-level, and thereafter 
it continues to creep higher and higher, through deep 
cuts, across daring viaducts, through a multiplication 
of tmmels, and round and about prodigious 2ig7ag8. 
An ultimate height of nearly 16,000 feet is reached, the 
track passing thence for hundreds of kilometres through 
an absolutely desolate and barren snow-bound region, 
devoid of every vestige of vegetation, and of so wild a 
nature as to cause the traveller to marvel that a railway 
in such a region should have ever been constructed. 

The total length of the main line is as follows : Callao 
to Huancayo, 208'44 miles ; Lima to Anc6n, 23' 56 miles ; 
and Ticlio to Morococha, 8*49 miles, or a total of 240'49 

In regard to any new construction, there is nothing at 
the present time being attempted here, or contemplated, 
so far as the Peruvian Corporation is concerned ; but 
the Government is constructing an esteusion of the 
main line from Huancayo to Ayacucho — a distance of 



240 IdlometrM. At the time of my viat to this imihray  
Bome 20 kilometres of road-bed wen mdy to reoeiwa 
the track, bnt woik then was, and still is, 1 beUenbfl 
SQspeaded. (See Map). I 

The road-bed of the main line, from the ooast to Saftfl 
Bartok>m£, is fonned mostly of gravel, which in Hmm 
part of the country is called eatcajo. The gravel is oCl 
a veiy coane nature, but it makes a very BoUd fonttd»>l 
tioo, and one which is easily kept dry. Prom Son Ba> 
tolomi, which is at kilometre 76, the road-bed is alniriet 
solid in some pbu»^ since the tmvk is built upon the 
rocky itide-hills, up which it climbs and creeps, cutting , 
oR poinln by many bridges and tunnels. This class olfl 
road-bed is met with as far aa Casap&Ica, at kilometxu 
154. From Casap&Ica onwards to Tanque Viacas, an 
kilometre 160, it is not of bo good a quality ; and beiM 
a clay soil is struck which is rather hard to dtain. CoBfi 
ddering all things, however, the rood-bed keeps in birly 
good condition, with the careful supervision and con- 
tinual attention which it rsceivea. 

From Tanque Viacas to Hoancayo, a auoajo forma- 
tion is again encountered, and, as a oonseqnence, pro- 
vides first-class road-bed. The mcnn width is 4*20 
metres. The nature of the ballast used changes Cram 
section to section over the whole lino. In most cases 
it is tbrovm up from the side of the tracks, and in the 
caacajo section it is very fair. On some sections then 
u natural bruken-stooe ballast uard, which servea 
the puipoee excellently. Upon the Aucon branch the 
ballast is sand. The sleepers are of California red- 
wood, 6x8x8, and the weight of tbc roils is 70 pounds 
per yard. The gauge of the innin line is standard 
( - 4 feet 8| inofaas). The gradients are as follows : 
Ckllao-Lima, 1 '5 per cent. ; Lima-Cboslca, 2-Q per cent. ; 
Choslca-Ticlio (summit), 4 per cent. ; Ticlio-Ororo. 4 per 
Oroyo-HuoncAyo, 1*5 per cent. ; Ticlio-Moro- 



c6cha, 4 per cent. ; and Lima-Anc6n, 2"75 per cent. As 
will be noticed, the maximum grade is 4 per cent. 

Considering the length of the line, the number of 
stations is very small — a fact, however, which is quite 
comprehensible after a journey between terminus and 
terminus, and the opportunity afiorded of seeing the 
paucity of population and the generally abandoned 
character of the country through which much of the line 
passes. Altogether, there are seven first-class, eighteen 
second-class, and twelve third-class stations, the ter- 
minals being — Callao, Montserr4te, Chosica, Oroya, 
Huancd.yo, Ancon, and Moroc6cha. 

Naturally, upon a line of such character as this, which 
climbs from sea-level to nearly 16,000 feet above, there 
are found a considerable number of bridges, many of 
which are of great engineering importance, such, for 
mstance, as that known as the Challipa, and that other 
known as the Verrugas, both which are of world-wide 

The following is a list of the bridges, the greater part 
of which were built in the United States of America : 
Anc6n branch — Chillon and La Palma, built in 1908 and 
1891 respectively ; main line — Purhuay, kilometre 65 
(1908), 71 feet ; Corcona, kilometre 66 (1872), 124 feet 
4 inches; Veraguas, kilometre 84 (1890), 575 feet; 
Puchuchana, kilometre 88 (1892), 70 feet ; Ucuta, kilo- 
metre 93 (1908), 172 feet 10 inches ; San Juan, kilo- 
metre 94 (1908), 88 feet 9 inches ; Challape, kilometre 99 
(1908), 356 feet ; No Name, kilometre 109 (1874), 53 feet ; 
Viso, kilometre 110 (1902) ; Chaupichaca, kilometre 117 
(1908), 426 feet; Infiemillo, kilometre 130 (1908), 
204 feet; Anche (1), kilometre 133 (1908), 300 feet 
2 inches ; Rio Blanco (1), kilometre 134 (1908), 104 feet ; 
Rio Blanco (3), kilometre 135 (1876), 75 feet; Rio 
Blanco (4), kilometre 1357 (1903), 85 feet ; Copa, kilo- 
metre 136 (1908), 275 feet ; Corcomado, kilometre 148 




Oi feet; Van Bockljm, kilomelre 
166 feet 4 inchcB ; Vucu, kilometre 174 (IB 
3'0 incheH ; RamiohAco, Idlometn 188 (18 
8 inches; pAohaduca, kilometre 203 (1893), 64 feet; ] 
Huanciyo ezteoaiou, Pacbacayo, kilometre 40 (1908), I 
97 feet ; HanUro, kiiouetrc 62 (1908), 230 feet ; Ataurt, J 
kilometre 82 (1908), 130 feet ; San LormM, kik>aiotr« j 
; (1908), 70 feet ; Matabuasi, kilometie 96 (1908), \ 
foet; and Coocepoite, kOometn 99 (1908), 
I feet 

addition to the above, there am a number nf 
Her bridgea, which, mduding thoee in the Uuancaj 
number about sixty-seven. Prom first i 
i there are something like ei^ty tunnels, several < 
which an enoonnteied ooe after the other, the train 
passing from one, across a bridge, into the next in a 
manner enooontared on no other railway in the woiid i 
with which I am acquainted. Such a feataro is < 
countered at the InBemlllo bridge, and the eOeot upott] 
the ordinary traveller, who sees it for the fint and! 
eroi for the second and third time, is remarkabljr i 

The ohaiaoter of the up-freight carried by the Central 
Bailway is mostly lumber and machinery, together with 
geneiml merchandise for the mines ; while the down- 
fieigbt consists of ore, copper bars, and various forms ofl 
treated ores. 

The General Blanagor in Lima is Mr. J. U. Feehan^l 
an extremely capable and experienced railway man,! 
who has manifeirted cocu^icootts sldU in hawlling i' 
somewhat complicated system undar his control 
Mr. Page, the Traffic Msnager, the Conqtany [ 
an official of equal ability, and coe who has helped I 
populanse the line considerably among all rlsuwis 

The Oentral Railway has really never had a goodH 
chance yet of showing what it can earn. Handicapped 





at the outset with a gigantic capital, it has been, until 
comparatively recently, but indifferently managed, 
while several unfortunate accidents have transpired 
which has thrown it back on the road of progress. The 
most disastrous of all these occurrences was the tragedy 
which occurred in February, 1909, at Chaupicbaca, 
when a new bridge under reconstruction was partly 
wrecked, and eleven employes were killed by a runaway 
engine, which, being insufficiently protected by the 
attendant waggon, which should have been, but was not, 
attached, started down a steep curve, and, passing 
entirely beyond the control of the driver, dashed into 
a group of working men, and then hurled itself, together 
with part of the bridge, into the foaming torrents 

This accident cost the Company no less than 
£6,500, to say nothing of the losses incurred by a 
complete suspension of through traffic for nearly three 

Another contretemps was the destruction by fire, in 
the month of January following, of the station and 
administration offices in Lima, known as Desam- 
parados. The building was insured with the Peruvian 
Corporation for the sum of 50,000 sols (£5,000), against 
which had to be charged the cost of replacing furniture, 
etc., and clearing the site, leaving the Company with 
nearly 26,000 sols (£2,500) towards the cost of erecting a 
new building, which is now in hand and almost com- 

The financial operations of the Central Railway, like 
those of the Southern Railway, resulted for the last 
year (1909-10) in an increase in the net receipts, in 
spite of the fact that the gross receipts were smaller in 
value. But the working expenses were also reduced in 
even a greater degree, so that the results, so far as the 
proprietors were concerned, proved eminently satis- 




factory. The statement for the working of the Central 
Railway for the period mentioned is as follows : 

IWM-IO. IMS ft. i DilTNMM. 


1 £ L d' < a. d. £ •. d.»rN«ipto ... «WI,Mai7 88W.MS IS 3 - iH&sa 17 11 

Workiuft etpwiM |2M,«W 6 4300,011 IS 3 -M.MA 7 10 

-- i6ia 

NctrMwpu ... 1M;2H7 11 U 98.4M U +80,708 Oil 

+ 82 Wl 



BaJIw&yi (eoatiniud} — Guaqoi-lA Tat Bailroad — Important ftcqiuZi 
— CoDtempUtEil developments— I^ake Tilicaca serriee - BoUing-slock 
— Stations — Workshops — Puta-Pinra Railwa^r — PacasiiiBjo-GaSid&- 
lupe Use — Trujillo braiich — Cbimbote-TsblotiM link — Geaer«l 
management — Prospects of Peruvian Corporation Batlwajn — Or«M 
mineral developmenls. 

The Guaqui and La Paz road has a length of 98 kilo- 
metres of main line, 3 kilometres of branches, or a total 
of 101 kilometres. Construction by the Bolivian Govern- 
ment commenced in 1902. The road-bed is ballasted 
with gravel, the rails being laid upon sleepers of red 
Oregon pine 6x6 and 8x6. From Guaqui, which is 
the port of Lake Titicaca, upon the Bohvian side, to 
the station known as Alto de La Paz, or a distance of 
88 kilometres, the rails are 40 pounds. From the Alto 
to the city of La Paz, which is an electric-traction line, 
9"4 kilometres in length, the rails are 60 pomids. There 
are seven stations in the 97"4 kilometres, two of which, 
are terminals. One of these, the La Paz station, con- 
sists of a number of substantial modem buildmgs, and 
contains the general offices of the railway. There are 
two cargo-sheda of similar construction. The Alto 
station is the connecting-point of the steam and electric 
sections, and contains a station building of calamini and 
stone construction. Here are, in addition to the station- 
master's house, located drivers' houses, cargo-sheds, 
and a running-shed, At this station there is a cross- 
over Y. 
The next most important station is that at Viocha, 



vliich, hereafter, ts likely to berotnp a very busy oMitrc, 
inaimucb as it wilt be tlie nice ting- [Miint uf three diffenoit 
lines of railway, an<l perbaps of even four. Vtacbn in 
the tenninul jwint of the Oruro-Viacbu section o( the 
Aiitofogasta and Bolivia Kailway, ami the prvsent 
tenuinal of the Arica-La Paz Railway. It conaistA of • 
station -building, with Htation-maHter's hou5e of calamioii 
and wood coniitniction, water-tank, »hed, etc. Capiri wi 
a small atation containing a carctaker'H houae, and itl 
has Btooe platfomiB ; Querqueta station oonaiita all 
atation-bailding of stone and wood; Tiaguanaco ts al 
station- building of atone, adobe, and calamini, including 
Htation-nuiat«r's bouse and abed for ttxga. Ouaqot, 
which has already been muitioned as the temunal point j 
or port OD Lake Titicoca, includes the administntioa I 
house and offices of the superintendent of stcamen, ^ 
These btiitdings are constructed of stone, adobe, and 
calamini. Then arc four very commodious and well- 
built oaqD-abeda, which are the property of the tailway, 
but they are used by the railway and Custocn Houae 

Tht gauge of the main line ia 1 metre {3 feet 3 j mcbea). 

The tmck i» divided into a steam aeotion, from kih>- 

netre 1 to kiktmetxo B6, and an eleotxic secUon, from 

kiknuctre 68 to Idlometie 98. The marimum grade on J 

the «t«am section ia 1*8 per cent., and om the brantuj 

4*5 per cent. On the electric ■ection the grade it 1 

6'2S per cent. 

The number of bridges on the firat-named aection are 

mmioiknn : One Fink tnisa, at kilometre 64, conwaHng j 

^Bne qtan 13 metiea ; and twenty-nine bridge* foimaal 

^^X beanw 16 inohce in depth, varying from 3 to lO' 

Mstxea. Then an Bevent3--foDr culverts, fonned of iron 

piping, varying from 3 feet to 10 inclicn in diami^irr. 

On the etecttk section then k one bridge, conatHting of 

three qiaos vf 10 metKs ; one q>an is (orutod o( 31-inch 


differdange I beams, supported upon abutments, and 
two pillars fomied of iron rails. There is one bridge of 
8 metres span, formed of 15-inch I beams, supported 
on stone abutments ; and one biidge 10 metres span, 
formed of 21-ineh differdange I beams, on stone abut- 
ments. There are five culverts built of masonry, and 
seven of iron tubes, 21 inches in diameter. There are 
no tunnels. In regard to switches, apart from those for 
sidings at stations, there is a crossing-siding at kilo- 
metre 44, 250 metres in length; a second at Idlomette 87, 
100 metres in length ; and a third on the electric section 
at kilometre 5, 50 kilometres in length. 

The rolling-stock on the Guaqui railway was, at the 
time of my seeing it, far from being in its pristine per- 
fection, and no doubt it has been necessary to renew 
the greater part of it. This rolling-stock consisted o£ 
four freight and passenger locomotives, and one switch' 
ing engine. Numbers 1, 2, and 3 were made by tha 
Baldwin Locomotive Works, of Philadelphia, U.S.A., 
and weighed from 28 to 32 tons ; Number 1 had cylinders 
18 X 13, with 38-inch wheels ; Numbers 2 and 3 had 
cylinders 14 x 18, with 38-inch wheels ; Number 4 o£ 
Rogers's make ; while Number 5 (switching engine) waa 
out of the shops of Peckett, of Bristol. 

I am informed that seldom has a more satisfactory 
piece of rolling-stock than this shunting engine been met 
with in this pari; of the world, both the management 
and engine-drivers speaking of it almost with affection, 
crediting the engine with the best of all virtues on the 
part of a locomotive — " reliability and perfection of 

On the other hand, I understand that British loco- 
motives, as a rule, are not found the best for these rail- 
roads, on account of the manufacturers overlooking the 
important fact that engines should not be too rigid in 
their build for mountain railways. It seems tkat in 

ApBit from tliis, the absence of standardization in 
regatd to the puts is a Berious drawback, and compares 
unfavoarably with the advantages possessed by the 
American locomotives, especially those of Baldwin make, 
all duplicate parta for which are easily obtained. 

Weze British manufacturers to make a careful note of 
theie facts, and adapt their engines more closely to the 
requimnents of the particular country to which tbey are 
to be despatched, there is no reason whatever why 
British locomotives should not compete succeaafully with 
thoee of the United States or any other country, and it 
is equally ccrtab that they could bo imported just as 

nieie are three fiist-class paaaenger ooaohMf mnd ona 
mixed (first and woond) ; thxM seoond-olMB paasengar 
coaches ; and one baggage-oar. On the electno saotioo, 
there are three electric locomotives, weighing 15} tons 
each, with 4'56 horse-power G.E. motors to each loco- 
motive : and two firat and two seoond-clasa pasaenger 
coaches, with 2*55 hone-power Q.E. moton on woh car. 
All the rolling-stock ia fitted with Wettinghooae air- 
brakea of an extn heavy design, adapted to bring the 
cats down with safety on the 6 pei cent, grade of the 
electric division. The freight rolling-etock is aimiUi4y 
fitted, and oonsiBts of forty-two cars, with a capacity of 
15 tona each, divided between box and flat cars. 

I diaraoter of the frel^t handled ia of gmenl 
handise, imported into Bolivia throu|^ Fera, bmn 
xtpe, and from the United Statea, and Peravtan pro- 
wls, snob as auj^ and kerosene. For export, the line 
I caines copper and tin orea, hidea, ooooa, and the 
fttoxal products of the oonntiy. 
The woxkabc^ of the taOway an litaated in Qnaqni, 



and contain most of the asual machinery for running a 
line of this character. Both British, French, and Ameri- 
can machinery is to be foimd, the former including two 
Premier gas-engines, made at Sandiacre, near Notting- 
ham, and which are pronounced excellent specimens 
of their kind, having yielded very good work from the 
very first day they were started — that is to say, six 
years ago. These engines are 400 developed horse- 
power, 380 maximum. In the power-house the accumu- 
lators, supplied by a London firm, cannot be declared 
very satisfactory, however, and I am informed that they 
have proved unsuitable and troublesome in the extreme. 
The accumulator cells, 780 in number, have been sup- 
plied three in parallel, making 260 complete cells, 
whereas they should have been supplied in but one. 
The cells are of a capacity of 450 ampere hour. The 
dynamo is supplied by the Lancashire Dynamo Com- 
pany, of Trafford Park, Manchester ; while the General 
Electric Company, of the United States, is responsible 
for the remainder of the equipment. 

The electric cars which are used upon the short 
section between the Alto and La Paz are made by Brills, 
of Philadelphia, U.S.A., who are responsible for most of 
the electric traction and horse-drawn tramcars all over 
South and Central America, having practically no com- 
petitors, the electric equipment being supplied by the 
General Electric Company. So powerful is the electric 
locomotive, which weighs 15i tons, that it possesses a 
pushing capacity of 35 tons gross weight up a grade of 
6J per cent., this weight being made up of three pas- 
senger coaches, each weighing 10 tons, with passengers 
and baggage weighing an additional T) tons. Many 
engineers might be inclined to doubt whether a loco- 
motive of this capacity could perform such work ; but 
I am prepared to say that it can, for I have seen it done 
under my own eyes. 



I That the bumneas of the Quaqui-La Paz Raihraj ifl 
ladily inoreasing. ospecially under tiie present manage- 
nt, (-an readily be obBer\'iHl frnni the (oUowing ata- 
itirs, for wbich I am indebted lo ihe General Manager 
[r. Pierce Ho|>e). The traffic returns from January 1, 
07, to Decembci 31, 1909, were as follows : 





imnary I, l«n,u>3vM 90. ivn ... 

JuiaiTl. ... 
J^ 1, IMS, IB D«raib« n, 19oa ... 
Janmrrl, l«(»,loJauMI,lfl09 ... 
J.I7 1, itn, to PmiiiUi SI. IBW ... 



M.Mft .. 
W.1U „ 
KKT „ 
AM , 
«,l» - 

The Peruvian Corporation formerly held this railway 
>r lease from the Bolivian Government, and by way 
rental 90 per cent of the gross traffic receipta was 
lyable to that Oovemment imtil June 30, 1911, after 
the rental was to be increased to 40 per cent, of 
the gnus reoeipta. 

The same steady progress was shown tlirougbout the 
full twelve months and was continued during the 
following year, the figures for 1910 l>eing as follows : 



wfc—. su 

< .. 4. 

ttfm • t 

< . 4. 

aa.<N 11 • 

- ■I)MU ij-lt* 

MmUf. .. 

mim 1 1 

Hmu 1 

+lo,uo 10 o'+aror 

The gtrat que«tii)n which wan being diacosicd while 

I was in Bolivia, nut alone in that Republic, but by 

who ore interesited in the Peruvian Corponi- 

aud its boldingM in Peru, was the future uf the 

i ami Ijk Vat Railway. Tixler oidinar}- ciirum- 

, the lease granted to Uie Peruvian Corporation 



expires in 1914; but, inasmuch as the Government ot 
Bolivia was indebted to the Corporation for the amoant 
of £220,000, representing money advanced by the bond- 
holders for the construction of this line, it was considered 
more than probable that the Government would consent 
— as indeed it did — to cancel the indebtedness by selling 
the railway out-and-out to the Corporation. With 
regard to the question of the purchase price to be paid, 
the Government proposed to ask the sum of £400,000, 
and offered to transfer the railway for a sum in cash 
and a cancellation of its indebtedness to the Corpora- 
tion of the aforesaid sum of £220,000. Intrinsically, 
perhaps, the Guaqui and La Paz Railroad might have 
been at that time worth £400,000 ; but it was doubtful 
whether the Corporation would be inclined to pay that 
sum. That it would be prepared to ofier an amount not 
very much less was, however, possible ; and, as a matter 
of fact, it obtained it for the sum of £374,912 7s. 9d., 
and took over entire possession of the property on 
July 15, 1910. The Corporation was in a very strong 
position, since the Government of Bolivia could not, 
and probably would not, try to manage the railway on 
its own account, bearing, in fact, the view that native 
attempts to both construct and manage railways have 
hitherto proved expensive failures. 

It was somewhat unfortunate that the relations be- 
tween the Government and the Guaqui and La Paz 
Railway management were not of the most friendly 
nature, and, eliminating from consideration the purely 
personal element, the Railway Company had had but 
little reason to feel thankful to the Government for the 
attitude which it had for long assumed towards them. 
The hope is more in the future, however, and in the 
person of the new President, who will come into office 
in a very short while. Colonel Montes, who has already 
served as President for one term, is likely to be 


^IfKt, and he is well known to eotertam etrong pre- 
dilection!, not alone in favour of foreign niilivay enter 
priM> in general, but towanlti th^ pcrsonnfl of the Guaqui 
and Ui Pax Kajlwny nmnagemcnt in particntar. 

There in one additional and no teas important fact to 
remember, and that in : should the Penivian Corpora- 
tion have failed to become possesaed of the Guaqui and 
I^ Paz Railroad, it would of a certainty have been par- 
chased by the Antofogaata and Bolivia Railway Com- 
pany, which ia already a powerful factor in the trans- 
portation anangements of this part of the world, while 
it is likewise poawssed of an energy and capability in 
regard to ite management wcond to none on the part of 
•ny roilioad enteiprise in the workl. 

The Pexuvion Gorpocation had all along been alive 

the pOMibilities which would attend upon the 

guiaition of the (juaqui and La Pax Railway, and now 

lat the rorp<»ration hai proved to be the puicliaaer of 

le line, a long-rontemplated era of new construction 

ill commence. Not otJy will the line be relaid and re- 

[uipped for a greater part of ita length, and, in all 

ibability, the electxie-traotion section abolished in 

fa\'our of steam traction, bat a new throufdi line will be 

built around Lake Titicaca, which will (hen give this 

railway an unintcmipted run from the port of UoUcndo 

to the city of La Paz, without the nccesaity of any tiana- 

yhipment such as has to be carried oat at present. The 

' line for the oontempkted Like Titicaca sectioa 

220 kilometres, and it is estimated that it 

built for £5,000 per kilometre. No hopes an 

in that this new section of the railway will 

icdiately tcmuncrativo from a frvi^t point of 

its value as a throu^ connecting-link has 

already been demoostiated. 

Under these oinnunitaiKiea, It will be possible for the 
[Ui and Im Pitz Railway to btrodoce a schedule of 

1^^^ Under 
^^HBiuu)ui ai 


freight rates which would compare favourably with any 
which could be offered by either the Antofogasta and 
Bolivia Railway, or the now being constructed Arica-La 
Paz Railway. Should the latter line stop at Viacha, 
and not go straight into La Paz, aa the contract calls 
for (which is very improbable), the Guaqui and La Paz 
Railroad would benefit materially, since it would carry, 
although only over a short haul of 22 kilometres, all the 
traffic of the new line from Viacha into the Bolivian 
Capital. Such an arrangement would serve a double 
purpose, inasmuch as while it would bring fresh grist to 
the mill of the Guaqui and La Paz Railway, it would also 
obviate the duplication of the hue from Viacha into the 
Capital of Bolivia by the Arica-La Paz Railway. To effect 
this, however, it would be necessary to obtain the mutual 
consent of both the Bolivian and Chilian Governments. 
Another of the Corporation's railways is that of 
Paita-Piura. The previous year's business on this railway 
was encouraging, showing an increase of almost 6 pet 
cent, in passengers and 2 per cent, in goods carried. 
With the settlement of the question between Peru and 
Ecuador, the Corporation may reasonably look forward 
to more traffic pouring over this line, the product of 
most importance being cotton. While it is always diffi- 
cult to forecast a crop of either cotton, sugar, maize, or 
rice, so much — nay, everything — depending upon the 
weather, judging from the new areas under cultivation, 
there is good reason for indulging in the belief of a good 
year. The following are the returns upon this railway 
for the last year's trading : 







Oroaa receipts . . . 
Working eipeoBea 

i B, d 
81,881 10 B 
17,S»1 S 2 

£ 9. d 

80.668 4 5 
17,617 10 8 

£ ». d. 
+ 1,-22S 6 10 
- 226 7 4 

+ 4-01 
- IIM 

Net receipts 

14,490 7 1 

ia.o;i5 18 11 

+ I,4i54 18 2 


( n(1( 



There are three small linea managed fay the Corpoia- 
I tkw — namely, Faita to Piara, 97 lulomutrai in lei^th ; 
Balaverry to TrujiUo, 76 kilometres; and Facaamayo 
to Guadalupe, 96 kilometres. Each of these Unee is 
profit-eamiog, and each shows an increase in ita net 
receipta over the figures of the premus year. 

Faita posseeaeB special importance, in view of (he 
oootemplated ooostiuotion of a third Trana-Andine Rail- 
way, which is projected, to cross the northern region at 
6" south latitude. According to this plan, this railway 
would unite the port of Faita with a port on the River 
Uarafion, thus placing the Facifio Ooean in direct com- 
municalioo with the finest and most navigable river in 
the world— the Amason— and at a pout from which 
there is free and esiy navigation throughout the entire 
year. In order to deal more expeditiously and mora 
ecooomically with the shipment and discharge of freight 
at Faita, the Corporation has now procured a motor tow- 
boat, which has proved a very great success. The Cor- 
omtion has also constructed a large irrigating canal in 
~ e Cinn Valley on behalf of the Feruvian Government, 
I is destined to have an important bearing upon 
[tike whok of the teiritory round about, and which is 
faerved by this railway. A high tribute has been paid 
r the Peru>-ian Govenunent to the admirable manner 
1 which the P«ruviao Corporatioa has admlnistored the 
i-Fiura Railway, the regularity <^ service being one 
of its main features. 
Facasmayo is another port of the R^ublio which is 
idergomg a groat tnnsformation in n^rd to develop* 
: of the suiTonnding oountzy, and already an im- 
ut extonsian of the Pacaamayo to Guadalupe 
lailway has been cwried out — namely, that known as 
B Chileto extension, which was only opened for txmtfio 
rtowards the end of 1909. The cost was close on (o 
£160.000. The new worii is justifying itself day by day. 




a greatly increased amount of business accruing to the 
railway in consequence of the extension. It is interest- 
ing to note that in the month of February, 1909, the 
Peruvian Government granted to the Corporation a new 
I lease of the Pacasmayo mole for a term of twenty-five 
L years, at a rental for the first five years of 20 per cent. 
of the gross receipts, the rental increasing in subsequent 
I periods of five years to 23, 26, 29, and 32 per cent, re- 
spectively, the Corporation undertaking, within the first 
two and a half years of the term, to execute all necessary 
repairs and alterations to the mole in accordance with 
approved surveys. In return for this, the Corporation 
is entitled to amortise the expense by the appropriation 
quarterly of 1 per cent, of the Government's share of 
the gross receipts, together with an interest at the rate 
of 5 per cent, per annum. 

A notable improvement, exceeding 100 per cent., was 
recorded in connection with the working of the Pacas- 
mayo and Guadalupe Railway. This is due to the longer 
haul now possible to Chilete, the extension to which 
point was an obligation imposed upon it by the Govern- 
ment in the settlement of 1907. The most important 
traflic over this system ia rice, of which the harvest was 
last season more than ordinarily abundant. Other 
freight which indicated an increase was composed of fire- 
wood, sugar-cane, hay, and live-stock. The following 
B figures show the movements effected : 
The Trajillo Bailway is a sugar-carrying line, the last 
two years proving particularly good ones from a Bugar- 


1808-8. Diffewnoe. 


(JroM receipt* ... 
Working esp«n^0B 

£ .. d. 
10.235 9 5 
12,044 1 2 

£ 8. dJ £ s. d. 
17,501 9 8|4-1,648 19 9 
14,157 3 2 -2,113 2 

+ 934 
- 14-93 

Net recaipti 

7,191 8 3 

8,434 6 6 +3,767 1 fl 



I point of view, the railway obowing an appnciable 
9 in ita net inoome. lie pnuot year being an 
iqually, if not indeed a more ptomiaing ono for the 
sugar indiutiy, the railway's ptofita an expeot«d to Im 
even better. The net reoeipla for the year 190&-10 were 
£19,362 &a. 7d., an improvement amoonting to 
£1.402 13a. 6d., or an incieaae of 7'80 per oeat. 

The diimbote to Tablones Railway is a Une of 57 kilo- 
metres in length, which had hitherto been worked at 
a lofls; it is decidedly improving, oven ii atowly. A 
London Syndicate holds a oooceesion from the Peruvian 
Uovemment for the oonstntctaon of a milway bom Uiis 
port (Chimbote) to Cans and Becuay, whJoh, if canied 
into o0ect, will remit in inoreaaed boaineaB for the Oor- 
poratton's line (see p. 196). 

Although not quite so prosperous as the Pacasmayo* 
Guadalupe line, the Chimbote Railway still showed a 
very eaioouraging amount of progreas for 1909-10. This 
result was achieved in the face of both goods and pas- 
■ennr tiaffia falling ofi to a oonsideiabla extent. The 
nbjomed figuea show the poaitioa of the line : 





WoUvof— ^ 

< .. 4. 

B^Tfl S 
4,ll« U » 

1 . d. 
*m < > 

- 11 10 « 

- Ml 

XMIMrffl. _ 1 fM V 9 

<n u > 

*itm 1 'tnm\ 

While all the mihrays under the muagemant of the 
Corpontion are being maintained in an ooelleot state 
of repair and eflicienoy, the very strioteat watch over 
expenditure ia being exercised, with Uie result that there 
is now no leakage and no extjavaganoe, every depart- 
mtat being made reqioiisible, and the whole being under 
the difwt sopervisioo ol Mr. W. U HoriuU b Pern, 
and the directors in Loodon. U the figuies which 



have latterly been presented to the shareholders are not 
particularly encouraging, considering the immense in- 
terests which the Corporation holds, there is every pro- 
mise of improvement for this year {1911) ; and, pro- 
vided peace in the country be maintained, for many 
subsequent years. The amount of cotton and sugar 
grown in the Republic is increasing steadily, if not sen- 
sationally, and the revenue which is derived from these 
sources shows a steady increase. Such traffic conduces 
materially to the prosperity of these railways, but 
another most important asset is the transportation of 
minerals. By far the largest proportion of the businesa 
done by the Central Railway is that of carrying the 
copper ore from the Cerro de Pasco Mines on a long haul 
of 220 kilometres. The output from these remarkable 
mines is increasing annually, and it will probably not 
be long before the Central Railway finds its resources 
taxed to provide for the many mineral trains which it 
has to run. 

Although the price of copper is low at the present time, 
so rich are the mines that they can afford to increase 
their output, even at lower selling prices than those at 
present in force. One thing, however, must be con- 
sidered, and that is that as the Cerro de Pasco Company 
is increasing its smelter plant, there will be less mineral 
ore, if more copper bars, for the Central Railway to 
carry ; but it will be a long time before any question can 
arise of a cessation of copper ore being shipped, and the 
railway is at present enjoying the fruits of a good con- 
tract of 10,000 tons per month. 

A satisfactory feature in connection with the Central 
Railway is the reopening of the smelter at Rio Blanco 
in combination with the development of some property 
at Casalpaco and at Morococho. This smelter, which 
has hardly been worked for more than two or three 
I weeks since it was erected, has ao far been a dead and 


costly failure, a result which has proved as disappoint- 
ing to its proprietors as to the Central Raihraj, which 
at one time had hoped much from its construction. The 
whole of the district round about is likely to undergo 
<levelopment, for it is known to be rich in minerals, and 
only needs the assistance of capital to develop them. 
Tbis capital will surely be forthcoming when the invest- 
ing public appreciate tho importance of Peru as a pro- 
<lucing country, and when they have learned something 
of the favourable opportunities which it offers. 

The best piece of news which the shareholdeni in the 
Ponivian Corporation will learn from the forthcoming 
Annual Report, to be issued in December, is that Mr. 
W. L. Morkill has entered into a further contract to 
serve for five years as Representative in Peru. This 
may be regarded as a most valuable asset, since Hr. 
Morkill is not alone a highly SQCoeoaful manager, but 
enjoys the esteem of everyone in Peru, from the Prendoit 

Digitized byGOOgle 

Ta new nuhray omgtaiction progEamme at pasent id 
hand IB a fairly conadeiable one, a&d, E^konld it be 
bmogjit to fniition in its entiretr, will pve Peni 
betveeo 2,000 and 2,500 miles of i&iiwsy hy the end of 
the preaoit year (1911). Brajicfa tines already nin from 
Lima to A110611, and from Oroya to Hnancuyo : and an 
extenakm is almost completed to Ayacacho. From here 
ooiraidB it is intended to extend to Cozco, thus linking 
up the connection with the Southern Railway. The 
whole of this part of the line runs high up in the elevated 
valleyB of the Andes, several thousand feet above the 
levd of the Bea ; and it will open up some well-known 
ininetal districts, such as Hnancavelica, where some 
vahiable cinnabar deposits have been located. This 
portion of the line has necessitated very heavy rock- 
worii and a large number of bridges being thrown across 
deep gorges and low-running rivers. The rolling-stock 
IK particulariy interesting on ac<iount of the fact that ojl- 
buming locomotives, constructed upon American prin- 
ciples, bull turned out from British shops, are employed. 
Another railway enterprise is a link to the Ceno 
de PaBc« line — which belongs to the mining com- 
pany of that name — which will connect up the capital 
witii the rich prm-inces of the Ancaza valleys, where are 
the vast and practically untouched rabbet 


d rabbet ^B 


of Iquitos. Tet another project, which might 

in b« deacribcd as an alternative one, is an exten^^inn 

the Peruvian Central Railway from Oroya to Tarnia, 

thence to the Ucayali Rivet. Should such a line 

con«tructed — and it would undoubtedly prove a very 

icult and expensive one — it would give access to the 

of the montaiia — in extent ahuost unlunit«d — 

loe a supply of magnificent timber could be drawn 

ir use in the mines, where, owing to the formation of 

the country rock, an ininien^ amount of timbering has 

to be carried out. At present all the timber for the 

purpose is brought from Oregon, in the United Htatcs, 

and, as may be believed, this proves of a very costly 

nature by the time it is delivered at the mines. 

Additional new railway construction proceeding in 
Peru at the time of writing is the Uuacho extension to 
Lima, and which is making so much progress that the 
ooDteactors promise that it shall be ready for opening in 
Janoaiy next (1912). The completion of this lino will 
mean much for the surrounding districts and the pro* 
ductive \-aUey8 of Sup^, Huara, Chancay, and Cam- 
bylio, since it will bring them into connection with I 
Metropolis and all tJie commensial centres of the counti 
The Pemvian Corporation propose a line from Un 
one of their stations on the Southern Railway near 
Cazco, to the head of unobstructed navigation on the 
Hadic de Dios River, which is one of the priiioijKil tribu- 
taries of the Amajcon. The country through which I ' 
line woukl pawt ut believed to be extremely rich J 
leraU, forests, and agrieultuml wealth ; mon 
kf great rubber-producing zone would be brou^t inl 
ich-ncodcd railway conununication. The Corpoiatid 
hold the choice of oonstnioting this railway at any t' 
within thxM ytm after th« oompletioa of th« i 
and tin mtrvy haa not been made yet. bigineen i 
however, now m route to undeitake it, and II 


that the Corporation will have the Ime built and in 
running order before very long. 

A railway is aho projected in connection with the 
navigable waters of the Amazon Eiver, a preliminary 
contract for which has been entered into with a German 
syndicate, of which the well-known firm of Arthur 
Koppel, Berlin, is the head. This construction may 
BeiTe to regenerate the port of Paita, and would open 
up the immense northern territory of Peru, which at 
present is practically a desert, so far as population is 

The port of Paita (see previous Chapter) is the safest 
of the Republic's ports on the West Coast. By connect- 
ing it with the navigable River Maranon (otherwise the 
Amazon), direct communication will be obtained with 
Europe via Pari. The distance of the route from Paita 
to Maranon will be about 700 kilometres. The sum of 
£3,000,000 is mentioned as that which will be expended 
upon the construction ; but I fancy that this will be 
insufficient, and it may have to be augmented by 
another 10 per cent. 

The advantages arising to the trade of the Republic 
from such a railway would include an additional outlet 
for its European commerce, the easy transport of supplies 
to Iquitos from the coast, and a journey to Liverpool 
via Para of eighteen days' duration, instead of fifty 
days ! Naturally, the Government is very desirous 
of seeing such a rout« opened ; and the President, in 
discussing the project with me upon more than one 
occasion, evmced the liveliest interest in its completion, 
which, if it merely depends upon His Excellency's wishes 
and efforts, will undoubtedly be consummated. 

In anticipation of the completion of the Panama 
Canal in 1915, this railway, to be built from Iquitos, on V 

I the Upper Amazon, to the northern Peruvian port of J 

paita, has already been compared in importance to the I 


Cape to Cairo RAitway, for it will andoabtcdly pnt the 
rich nibber-growmg region of equatomJ South America 
witbiu twelve days, via Panama, of Xcw York. Beodei 
tbia, a vaat district u Upper Pern, a country destinfd to 
be one great wbeat-field, will be opened up. 

The Oovemment of the Bepubtio baa granted the 
conceanoa, and guarantees interest at the rate <rf 6 per 
cent annually on the capital invested, bestdea giving the 
cooceeaionairea more than 3,000,000 acres of fertilo bud 
on cither aide of the liiie. And a significant pobt is 
that the new railway is to be built with Qennan capital, 
the concessionaires being, as mentioned, of that nation- 
ality. The entianoe of German capital into the field ol 
railway inv e s ttnent m South America is an evidence of 
a new policy, of a wider oulieaching. on the part of 
Oermana, and doubtless they will continue to push 
forward in various ways, bo^es trading, in the vast 
southern continent. 

When Ur. Henry Meiggs, the well-known American 
railway engineer, buitt hu great and famous railway into 
Andean Peru, his engincem performed some remarkable 
worit, and took the line over an elevation of 16,000 feet. 
The new railway will not have to go so bi{^, for it will 
avail itaelt of a great depresuon in the Andes where the 
highest point is about 7,000 feet ; and, if a tunnel 
through the mountains is made, as is contemplated, the 
elevation will be reduced to 0,000 feet. 

The Department of Fomento have ivcently aottiorised 
a Bun-cy of a new railway frotn the City of Ics, in the 
Department of the same name, to the village of El 

The railway development of South America, consider- 
able aa it ia in some regiwis, is really in its infancy, and 
there remaina to be accomplished work that will keep 
cngineeni and rapilalists busy for more than a omturh*. 
The reward will be great, for a continent that will easily 



support 800,000,000 people, a continent of surpai 
natural wealth, is to be exploited in the interest of pro- 
gressive civilization. Railways in South America will, 
moreover, make for political stability, which is always 
an important consideration. 

The Lima railways are among the oldeat-eatabliahed 
foreign enterprises in Peru, the original Company 
owning tJiem having been in existence for nearly fifty 
years. The Company was registered in 1865 to acquire 
and work two railways of about nine miles each, held 
imder concessions from the Peruvian Government, the 
term of the concession for one line being for ninety- 
nine years, from 1851, after which it reverts to the 
Government ; while for the other line it is held in per- 
petuity, and there being no monetary guarantee at- 
tached to either concession. Latterly the Company has 
been realizing some portion of its possessions, having 
disposed of its Encamacion property for the sum of 
£30,730, of which £2,250 has been applied in purchasing 
the redemption of debenture stock, leaving a balance of 
£28,480 under the conditions of the trust deed for a 
further redemption of stock. This redemption relieves 
the net revenue account from the corresponding charge 
of interest, and increases the amount available for 
distribution on the shares. 

I may point out that this Encamacion sale was only 
ariived at after considerable difficulty, and its consum- 
mation was at one time imperilled, owing to the unsettled 
conditions prevailing in Peru, and the negotiations had 
to be temporarily abandoned. The Company is still left 
with the two sections of the railway which are leased 
to the Associated Electrical Companies (Lima Light, 
Power, and Tramways Company), under which arrange- 
ment a sum of £15,000 is received per annum. The 
Lima Railways Company has also been fortunate in 
getting rid of a serious competitor upon the Chorillos 

b the purchase of this competiag 
1 Electrical Companies {its own 

The gnm teceipta for the year ending June 6 last 
were £15,900, while the expenses came to £2,077 in 
Lima, and to £1,489 in Ixmdon. When all charges had 
beendeduct«d, thu net profit amounted to £5,811 l8.6d., 
which, added to the fonner balance of £1,872 9s. id., 
left a nun avBtlable for dividend of £7,683 lOs. Alto- 
gether, 3s. 6d. per sharp, Wing equivalent to 1 ] per cent. , 
was paid to the proprietors fntc of income tax, ami the 
small sum of £683 1^. ban been carried forward. There 
18 every chance of the present year proving sufSricntly 
SDcoeiihil to enable the directors hereafter to derlaro 
 dmdend of 3 per cent— an earnest of better thingit to 
come— all of which may be regarded as proof of an im- 
proved condition of things. It may be accepted that 
the prospects ol the Lima Railways are puticuUrly 
bright at the present time. 

The Lima IJg^t, Power, and Tramways Company 
(Emprisaa Electricaa Asodidas) is a Company formed 
tmder the laws of Peru, and it wnrlcs the following 
group of lines : Ferrocarril Urb4no de Lima, which is 
an electric tramway of about 33 kUometres of single 
track, running through the principal streets of Lima— 
the number of passengers cairied last year exceeding 
_]7,000,000-and the Tnnvia Blectrica de Lima y 
liorilloa, a light electric railway, about 25 Inlo- 

^res of siuglo track, ninning in conjunction with the 
Urban tmmway, and connecting the 
nrbs, Miraflores and Bacimnca, with the 
|ii( Chorilloa. Lost year it cArried over 
8^0n,Oln pMsruttBni. The Feimcarnl Klectrico de 
Lima y Callao, which Ia a light elcrtrii- niilwav of about 
3 kilooietns of .linglu track ronnectmg Lima with 
Callao, the principal port of the country, and nerving 


also the town of Callao and its small suburb La Punta 
(the passengers carried last year exceeding 3,300,000), 
is likewise comprised within the group ; as are also La 
Conapaiiia Nueva Tranvia Electrica, which is a tramway 
built to compete with the Tranvia Electrica de Lima y 
Chorillos, but which, as stated above, was bought out 
by the Empresas Electricas AsociMas — the number of 
passengers carried last year exceeding 800,000 ; the Lima 
Railway Company, Ltd., an English concern, which has 
leased its business to the Lima Light, Power, and 
Tramways Company, and which nms a line from Lima 
to Chorillos ; and, finally, La Empresa Electrica de 
Santa Rosa (Electric Light Company of Santa Rosa), 
which owns the power-stations, supplying electric 
current required for the tramways, railways, lighting, 
etc., of Lima, Callao, and Chorillos, and their suburbs. 

It will thus be seen that this Company has a solid and 
valuable property, and, if I except the Lima Gas Com- 
pany, it has no competitors. As a matter of fact, even 
this latter concern cannot be recorded as a competitor, 
since the greater part of the share capital is held by the 
Lima Light, Power, and Tramways Company, who thus 
control the charges made. In regard to the financial 
condition of the enterprise, it may be said that the share- 
capital outstanding amounts to £1,350,003, together 
with an issue of £1,200,000 of 5J per cent, first mortgage 
debenture stock. 

The North- Western Railway of Peru holds a conces- 
sion, dated December 12, 1906, for the construction of 
a railway from Lima to Savan via Huacho, with branch 
lines to the ports of Huacho and Chancay, both of 
which are situated upon the Pacific Coast of Peru, in 
the Province of Lima. There can be no doubt about the 
ultimate value of such a railway, for the main line will 
run from the capital to a rich and hitherto undeveloped 
district. The total length of the main line, which is 

tite main Kne br short branch Knes, tite length of tiist 
to Cbancay being 12| kilometres, and that to Hu&cho 
120 kilometns. At both those ports suitable statkto 
acoonunodatMO ia to be provided (or the efficient 
handling of the tzafiic Ooiurtiuction wotk was com- 
menced towanU the end «f 1909, and by September 30, 
1910. some 71 kiloiuutnti of tntthworks had been com- 
pleted, including tbree-fifthB of the surface work of the 
whole lino. 8ince then further conaidemble piogreas 
has been made, while the bridge over the River Huacho 
has been erected, as well as the bridge over the River 
Chancaj. This hitter caostnictjon has eight wpuu of 
16 metre* each, and is altogether an excellent piece of 

The capital of the Company is £600,000, divided mto 
ordinary shares of £1 each, and there u a first mortgage 
dobeotare issue amounting to £996,600. The Company 
is in the enjoyment of an annual guarantee from the 
Penirian Government for thirty yean of £49,830. The 
Government has nut only cotiBrnted to pay this, and 
which amount covers entirely the interest on the deben- 
tutes, but has undertaken to make good losses incurred 
during the thirty yvnn referred to in the working of the 
nilway. I think this act may be regarded as a proof 
of the abundant goodwill entertained by the Peru- 
vian Government to foreign enterprises of a reputable 

The Cerro de Pasco Railway is a line constructed 
primarily for the purposes of the important mining 
company bearing the same name. It has a length of 
8S miles, and croosea the famous Juan Pampa, or plain, 
one of the most intereating spots in Soath America, 
and, moiaover, of historic*! interest, inasmodi as it was 


the battleground of Simon de Bolivar, where he and 
army and the allied anny, composed of Peruvians and 
all the various neighbouring coimtries, defeated the 
Spaniards on August 6, 1824. A description of th«' 
town of Cerro de Pasco will be found m Chapter XXIL 

A railway from the Pacific Coast to the Ferrobamba* 
mines may be constructed in the near future. The 
London Company owning the mines, which are situated 
in the Province of Cotobambas, Department of Apuii- 
mac, came to loggerheads with the Southern Railwai 
management, which has the only line running anywhi 
near the mines, because they could not agree upon 
terms under which the extension from the Cuzco 
terminus and the mines at Ferrobamba should be built, 
and the rates to be charged for carrying down the ore 
to the coast (at MoUendo). Thus the Company, if it re- 
mains in English hands, will build the line on it,s own 
account. It is suggested that the starting-point shall 
be at the port of Lomas, and that the Ime shall then 
traverse the wild and desolate pampa of that name — 
and where absolutely uothuig in the way of trafHc can 
be expected^ — following along the left bank of the Acari 
River to the Amato ranch, cross the river, and continue 
to San Pedro, in the Province of Lucanas. Thence it 
will pass through the Quilcota pampa. and proceed to 
the town of Pampachirri, Province of Andahuaiias, 
descending the canyon at that point, and touching at 
Talavera on the Apurlmac River, again crossing the 
river and reaching Ferrobamba. The entire distance 
from Port Lomas to the mines would be about 10(^ 
leagues {300 miles), and the maximum grades 
estimated at from 3 to 3J per cent. 

Although, as indicated, passing through improducti 
territory for a portion — the greater portion — of tl 
route, the railway would, on the other hand, tom 
near the coal deposits of San Pedro, San Juan, Chilques, 



le ' 


the I 

And flan Cristobal, all in the Province of Lncanaa. 
Likewise it would pass through the gold, silver, and 
copper mines of Qucrobamba. The estimated cost of , 
the railway is S6,000,000, say £600,000. 

Should the strong American syndicate, which alreadj' 
holds practical control of the Fermbamba mines, acquire 
them eventually, the line will still be constructed. 

An important new undertaking is the Peruvian 
Pacific, or, as it is known locally, the Chimbote-Kectuiy 
Railway, a length of about 168 niilea in connection with 
an English Company — the Chimbote Coal and Harbour 
Syndicate, Limited (see p. 223). The first section of the 
line was to have been completed and opened by July, 
1909, but for some reasons the work was stopped, and 
the line is still incomplete. In this matter the Govom-'i 
ment behaved uncommonly well, and much mocel 
Ubenlfy than many — I mi^t even say, most — LatiA] 
Oovemmentfl would have done under the same ctrciiin>| 
•tuMM. As the t«nus of the contract were by no 
means complied with, the ccnoeaaon ip$o facto bwame 
null and void ; bat so far frmn acting apoa this advan- 
tage, the Government not only continaed the < 
■ion and renewed it from time to time, but tetamed I 
the ccnceaBionaire, Mr. F. J. Shafer or his suooeiM 
cctuddcrable portion of the amount which had 
deposited as caution money. No doubt the line will I 
finished by someone at some time, dnce its completioi 
means openmg up some veiy rich ooalftelds, as well as aal 
entirely new agricultaral and wheat-growing area of li 

The three exteniioiis which the Pemvian Curporatia 
have now in hand — via., the Sicunnl-Cutco. the Oroy 
Huancayo, and the Yoaan>Chilete, to all of which i 
have ahready made some refencwe— will be built, 1 
understand, well within the estimated prices, which 
lunted for the three andert&ldngs to something over 
7,000. The estimated price was U,1.10.00O. 



Shipping— Principal ports — PnDama Canal efTert — Sleamsbip tiaes^ 
Improved foreign services — Freight— Peruvian Steomahip Cocopwiy 
lice — EatcB in force — Further new routes — Coftstol sarvicw — 
OoTemmeDt Hubaidiea —Benefits front Ainerioitn railway conneeUon 
— British shipping — Latest Btalistios— Port of C alloc — Iquitos — 
Docks— Bail ways — The town. 

In spite of its immense coastline, extending over 1,200 
miles, the Republic of Peru cannot be said to be possessed 
of more than three good ports, and these are rather 
in the nature of open roadsteads — namely, Paita, Callao, 
and Pisco. There are also the ports of Pacasmayo, 
Tnijillo, Salaverry, and Eten, and a number of small 
inlets at which vessels of a certain tonnage are in the 
habit of calling at regular intervals. 

The principal Pacific porta for the collection of cus- 
toms dues are as follows : Paita, Eten, Pacasmayo, 
Salaverry, Callao, Pisco, MoUendo, and Ilo. 

The northern shores are mainly long and melancholy- 
looking stretches of rocks and sand, while, in the 
southern part, one sees high promontories rising ab- 
ruptly from the shore, the waters of the numerous inlets 
having an average depth of 100 to 120 metres. Owing 
to the absence of good harbours, the large ocean-going 
boats must lie outside, where tliere is an almost con- 
tinual and sometimes aggravating swell, becoming upon 
occasions so violent as to prevent the lighters and small 
boats from approaching the vessels. Thus, it is most 
desirable that there should be some substantial amount 
of capital found for the construction of good harbours, 
and I am glad to say that something practical is being 


, and Iiy a British poncem, to improve tbf lutding 
«rul loading farilitics at the important port of MoUendo. 
Of thin enterprise 1 npeak more fully when I talk of the 
undertakings connected with the Penivian Corporation 
(eee p. 199). 

There can be no question that, with the completion 
of the Panama Canal, which event may reasonably be 
looked for by the Alipulat«d lime — namely, January of 
1910 — there will be an inimeiue inrrease in the South 
American West Coast trade. All the ports from Panama 
downwards will participate in this rcm'al of coastwise 

tivity, and it is satisfactory to obser^-e that the more 

Iclligent portion of the trading and shipping com- 

r in Europe is fully alive to the possibilities which 

1 up before them, with the result that arrange- 

vwe being made to increase the number of vessels 

f , as well as to improve the servioos generally. 

Comparod to the existing Pacific services between 
San Francisco and Panama, mainly tn the hands frf the 
Pacific Hail Steamship Company, one of the most 
autocratically managed and most deservedly unpopokir 
lines to be found in the Southern Hemisphere, the lines 
south of Panama are no doubt regarded as exceptionally 
good. But if they be judged by any other standard of 
merit 1 am afraid that some would be fotmd lamentably 
wanting, both in regard to efficiency, punctoalily, and 
the charges which the practical absenoe of competition 
enables them to levy upon shippers and passenfsn 
sUke. A change is now coming amt the situatioat 
however, for wbiofa. as 1 have said, the impending open- 
ing of tlie Isthmian Canal is directly rei^onsible. 

The principal business men of Peru have also been 
active in the matter of providing additional Ateamship 
servioe, and of recent years a number of the most 
prominent and wealthy among them formed a local 
company known as the " Compa&ia Pem&na de Vapores 


y Dique del Callao." The subscribed capital is £300,000, 
but the Company had authority from the Supreme 
Goveminent to issue bonds up to an additional £350,000, 
all of which has been or will be expended upon building 
a fleet of thoroughly up-to-date vessels, which will be 
capable of meeting the present and prospective demand 
of the coastwise traffic, and yet yielding a fair commercial 
profit to its incorporators. 

The Company are no longer working upon the basis 
of the published tariffs of existing linos as a maximum 
charge for passengers and freights, but are making their 
own rates both for passengers and freight. No sooner 
was the new Company formed than it met with the 
cordial support of nearly all the commercial community, 
as well as that large class of passengers who are con- 
tinually passing up and down the coast, and most of whom 
have at some time or other suffered from the rapacity 
and incapacity of some of the existing steamship lines. 

Early in August of this year (1911) the Company 
proposed to establish a fortnightly fast service between 
Panama and Valparaiso that will make the vo} 
between Callao and Panama hi ten days, under the six- 
day quarantine regulations now in force, and when a 
four-day limit can be given them the Company propose 
to reduce the time to eight days. About the be- 
ginning of next year the Company hope to give a weekly 
fast service. This will reduce the time between Val- 
paraiso and New York to thirteen to fourteen days 
either way. The new service will so reduce the time 
between New York and Buenos Aires, via Valparaiso 
and the Trausandine Railway, that all the mails for 
Argentina will be forwarded via the Isthmus, Valparaiso, 
etc., in sixteen to eighteen days, whereas at present the 
quickest route, by the new " Highland Line," is one of 
twenty-three days. 

One of the first actions of the newly-formed Company 



^^^H SHIPPING 330 

P^^o order a floating iwtf-dnckinK dock, and, afa-r a 

nood deal of competition between rontractnni iii Europe 

^nd the United States for the eonstniction of it, thui 

dock waa built by Meaars. Swan, Hunter. Wigbam, 

RicbardaoD and Company, Limit«d, of Walbend-on- 

^yne, England. The atormy voyage to South American 

Bhtera baa gone down into history as ooe of the most 

Hoiarkable on record, and it needs do further oomment 

m teethnony to the solidity of the dock's construction. 

The passage throu^ the Straits of Blagellao and its 

evoitiial arrival at Callao on &Urch 2, 1909, would form 

a subject for an interesting and exciting Clark Russell 

romance. The dock is a conspicuous sucoew, and is 

capable of lifting a abip weighing 7,000 tons in two hours. 

The charges made for the sernces o( the floating dock 

are as follows : 

Steamers of 400 tons or over : fint day, 45 cents per 
gross ton : for each of the following (our days, 33) cents 
per ton ; for each subsequent day, 22) cents. 

Sailing vessels of 400 tons and over : first day on dock, 
27 cents per gross ton ; each ol the four (olknring days, 
13| cents per ton ; and each subsequent day, 11 cents 
per ton. 

Tonnage m alt cases is grosa n^istend tonnage, and 
is charged (or in accordance with " Lk>yd's Rcigist«r." 
^•ectal rates ore in force (or docking wafvsssls, 
steamers and sailers under 400 tons gross register. 

The steamers built (or this Company, which enjoys 
an annual subsidy from tli*^ Pemvian Government of 
JC30.000 (or twenty-one yojirs (rom 1910, are adminbty 
ituit4«d to the WcAt CViast trade. Thry weiv ori|pnaUy 
mleuded to mak» the voyage from CoUao to Pananu 
and vice ntrta under four days, but a quicker passage 
is actually on record. At present there an sovesal 
steamers, each 400 feet long over all, 46 (eet beam, and 
23 (eet 9 indtes depth of hold, with gross toonags ol 



3,800. The boilers have been constructed to bum oil 
fuel, but these have not proved as satisfactory as was 
hoped, and experiments with them are still being carried 
on. The vessels are fitted with turbine engines of 
sufficient power to give an average speed of 18 knots 
at sea with loaded ship, and to carry 120 first-class and 
100 second-class, together with the usual number of 
deck passengers. I understand that as high a speed 
as 21 knots has actually been attained, but the commer- 
cial speed at which they will be run is 16 knots. The 
biulders of these vessels are Messrs. Cammell, Laird and 
Company, Limited, of Birkenhead. 

This Company now possess the five fastest boats on 
the West Coast of South America, the fleet bemg as 
follows : Mantaro (put on the route in February, 1911), 
Uriibaniba (put on in March), Pachilea {about June), 
and the new Huallaga (in place of the vessel bearing the 
same name, which was burnt in July, 1910), which is 
expected to be on the line about the month of October 
of this year. A fifth vessel belonghig to the same 
Company is the Ucayali, which was one of the first to 
be constructed. I may mention that the insurance 
upon the Huallaga which was lost, and which was 
covered for £105,000, was paid in full. 

According to the latest agreement made by the 
Government, a subsidy is to be paid annually to the 
Peruvian Steamship Company for the use of the five 
new boats which have been constructed, and which are 
to be converted, as it may become necessary, into five 
auxiliary cruisers, thus greatly increasing Peru's naval 
power in the event of war. 

The other principal steamship companies which are 
doing business on the West Coast are the Pacific Steam 
Navigation Company, Limited, of Liverpool (now 
amalgamated with the Royal Mail Steam Packet Com- 
pany), and the Compania Sud-America de Vapores, ol 



The«e concerns have long worked hand-iu- 
band, ananging their sailings in mch a way as to nuka 
alternative calls at uU the ports between Panama and 
Caliao, and between Catlao and Vulpamiiio; wbilo the 
vessels of the fint-nnniod Company pr(*ceed lo Europe 

-augh the Strattii of Mag^-llan. 

Anotlipr Wost Coaift lino is the Knunos Company, a 
lemian cuDccm, but one which has for yrant pattt bnilt 
(or itself a reputation for unpuncluality, which is 
I than discreditable, the sailing tlutcn being a 

ibjeot jnvr fire owing to frequent and vrratic changes. 
Iters baa been practically no dependence to be pis 

lOD the departure or arrival dates ol Kosmos boatu, i 
^ lunch inconvenieDoe as w«U as oocaaiaiial | 
kisses have been suffered bjr those who have had fmOe 
de mieitx to nae them. 

The amount of competition for frei^ts on the West 
Coast was very keen before the advent of the Compa&ia 
Pemina, and in the prew-nt Htat« of affairs there is 
scarcely sufficient freight to go around. The frei^t 
charges also nre still sufficiently hi^ to keep shippeni 
from booking fipaco very much in advance, the hope 
ahrays existing that rebates or rato-cntting of some kind 
or other will be offered by one Company in order to 
filch away the carrying buamoss frmn another. The 
sanui kind of cut-throat oompethiou has been obsarred 
in regard to the Central American porta, where the 
Pacific Hail Steamship Company, the Hamburg-Ameri- 
can Steamship Company, and the Kosmos Line are, and 
for some jrears post have been, in keen oompetilioti. 

There b yet another line of Oennan stoamshtps, 
known ss the Rohukd, which, like those ol the Kosmos, 
make monthly voyagM to Bmopaan poxts (Havre. 
Antwerp, Hambaig, and Bnmsn), as well as to the 
Straits of HageUan. These stoamecs make nans, more 
or leM punctually, along the whole western coast u( the 


Pacific OceaD, proceeding northwards as far as San 
Francisco, calling at Panama and the principal Central 
American and Mexican ports. The steamers of the 
Merchants' Liue also serve the Peruvian coast trade as 
far as the eastern ports of the United States. The two 
British Companies, the Booth Line and the Red Cross 
Steamship Company, carry a good deal of the inter- 
national trade for the Peruvian region of the Amazon 
River, despatching one of their steamers monthly from 
Liverpool and another from New York to the Peruvian 
port of Iquitos. The Japanese Steamship Company, 
" Toyo Kison Kaisha," and a Chinese Company conduct 
the service from Callao direct to the principal ports of 
Japan and China, carrying the nmils for the East. 
There are several companies of minor importance 
which carry on a more or less regular service with small 
steamers up and down the coast of Peru. 

The Lamport and Holt and Gulf Line steamers call 
regularly at Callao from Liverpool and Cardiff, pro- 
ceeding with cargo to Guayaquil, in Ecuador. The 
Merchants' Line (or New York and Pacific Steamship 
Company), owned by Messrs. Grace Brothers of London, 
New York, Valparaiso, and Lima, as well as the Barber 
Line, have a regular service from Chilian and Peruvian 
ports to New York. Saihng vessels which arrive at 
Callao generally bring grain or coal from Australia, 
grain and lumber from Puget's Sound, and general cargo 
from Europe ; but this class of craft is gradually diminish- 
ing, and Callao is ceasing to be a sailing-ship port. 

It is not without interest that shippers on the West 
Coast of South America have heard of the proposed 
new route with its connection at Buenos Aires and 
overland to the Pacific, to be undertaken by the Pacific 
Steam Navigation Company, which has determined 
upon taking this bold step after about ten years' 




u yvtua ^H 

in Ft 
I •"■■■' 

iThen an those iu Peru who remember oleartjr the 
ion the east and west coasts of the South Ameri- 
tinenta were Uterally " teas asunder," and while 
•ome of these have not ri«t«d Europe from the day tl 
arrived m Peru, some thirty and forty ^'cars ago, t 
are none the leas interested in the promised evolution 
of shipping arrangements in which they aiti likely to 
participate to the fullest extcot, Tonlay the drills and 
picks of the engineer have pieroed the Cordillena in 
one direction, and are rapidly proceeding to pierce tfc in 
another ; while, as I write, a scheme is being discussed 
for the construction of a railway to mn from Iquttos, 
in Peru, to the l*aci6c Coast by way of a tunnel throu^ 
Northern Andes. 

uitoa is a Peruvian port nituuted some 2,600 miles 
the River Amazon from the coast, but in the most 
irtherly portion of this Republic. It has a popula- 
tion of about 12,000, and its chiet eiq>ort is rubber. 
Steamers, drawing up to 23 fe«t, make monthly tripe to 
Iquitos from the Pari end, occupying nearly thirty days 
between Par& and that port, most of the boats belonging 
to the lately disbanded British concern known as the 
A mason Steam Navigation Company, Limited. 

In July last a new oaocem, called the Amason River 
Steam Navigation Company, was registared, with a 
capiul of £300,000, and which porehaaed from the oU 
company a gnat part of its flotilla. None of tiie names 
of direotors upon the old Board are found upon that of 
the new ; consequently, one may assume that the butt- 
mcntioaed enterprise is an entirely independent one. 
The head office, instead of being in Londoo, will be in 
PaiA, with a braneh office at Iquitos. 

Iquitos then is a Boating mola, alooggnde which 
shallow- bottom stem-wheel steamen pfying on the 
r Amason can moor ; and it is now suggested that 
t«rminus of the railway should be pboed hen and 


the other at Guayaquil, the only sea-port of Ecuador. 
If ever this scheme cornea to maturity — and, in view of 
the now improved political relations existing between 
Peru and Ecuador, it seems probable — the combined 
rail and steamship service would shorten very consider- 
ably the journey to Europe from Guayaquil and the 
adjacent Pacific Coast territory. 

Iquitos is by far the most important port north of 
Callao which the Republic possesses, and of late years it 
has developed amazingly. Its population can now be 
barely less than 30,000, and although I have not lived 
there for any length of time myself, I understand from, 
those who have passed as many as from twenty to 
thirty years at the port that existence la not only quite 
" endurable," but, when the hot winds do not prevail, 
" extremely pleasant." 

The town, which is fully tropical, overlooks a broad 
expanse of turquoise-blue water, often of an exquisite 
topaz hue when seen in the brilliant sunlight, and pre- 
senting the appearance of a small land-locked sea. 
But it is merely the mouth of a river, although three 
miles in breadth, and it possesses a charming little 
island of its own. So deep is the water that ocean 
steamers can come up and anchor at the port, the 
depth available being 25 feet at low water, and twice 
that amount in the summer (that is, the rainy) season. 

Iquitos is the recognized centre — might one not say 
the clearing-house ? — for all the rubber which finds ita 
way down from the Peruvian forests to the European 
and American markets ; while it is also the northern 
Customs port for the Republic ; and hundreds oi 
thousands of pounds' worth of valuable merchandise 
pass annually through its Customs House. For last 
January (1911) the receipts amounted to £15,519, as 
against £10,431 for the same month in the previous 
year. The whole of the commerce of the important 


at of Loreto pasBee throng tiie Iqaitoa 
Ciutonu, while a thriving trade is carried on between 
the small river steamers bringing up consignmentfl of 
rubber from, and taking back supplies to, ports as far 
away as Pari in Brazil {a distance of nearly 2,650 miles). 
Among the British lines of ateamiihips which travel here 
aw the Booth Line, of Ltvprpool, bimonthly trips being 
made between England and Peni ; the Iquitos St«amsliip 
Company, Limited, of Liverpool ; the Red Cross Line, 
which runs monthly steamers ; and some Now York 
" tramps." All seem to do a flourishing trade. 

The total tonnage of British shipping during 1909 
amounted to 15,101 registered tons, as compared with 
11,927 tons daring \9Q8. There were twelve steamers 
of 13,668 tons for Liverpool and other European porta j 
and two steamers of 1,236 tons for New York. The 
exports from Iquitos consist of hides, vegetable ivory, 
tobacco, Panama hats, and par exe^enoe robber. AIuh 
gether for the year mentioned (the last figures offioiallj 
certified as accurate) the export trade amounted to I 
2,652,066 kilogrammes, as against 2,385,152 kilogrammes \ 
in 1906. The importance of Iquitoe as a Customs collect* 
ing^tation may be seen from the foUowing figoies for 1909 : 







When the railway — aln-s^ty conimrnred — to c^mnect 
Uie Pacific CoAAt with the I'pper IVaj-nli River is ttnn- 
pletcd, (he importance and prosperity of Iquiton will bo 
doubled. Tlui line starts from Crrm de Pasco, to which 
point a line already exists {see p. 226), and reaches the 
river at Puoalpa, about (our days' journey above Iquitwt 
by steamer. Vessels of about 200 to 300 tons, but of 




light draught, can reach here at any time of the year. 
The line should be open for traffic next year (1912). 

As for public buildings, Iquitos has its unambitious 
share. There are a capital public hospital, a college, 
and a small but very comfortable little theatre, con- 
structed of corrugated-iron sheets, and which will accom- 
modate 1,000 people. I cannot, however, compliment 
the Municipality upon the general condition of the 
streets, which are always uneven and badly paved, and 
frequently anything but clean. But with the growing 
prosperity of the town these drawbacks will no doubt 
disappear. Anyone who remembers Panama five years 
ago, and who sees it now, will recognize what can be 
done with a tropical town when the authorities are 
willing and capable. 

Another matter of importance in connection with the 
Peruvian coastal service is a new weekly express itine- 
rary, which has been established on the Southern Railway 
between Mollendo and La Paz, which will eventually con- 
nect with the steamships calling at Mollendo, and greatly 
facilitate the arrival and departure of Atlantic-bound 
vessels — an innovation which will work advantageously 
for those firms having headquarters at Callao and Lima. 
These, however, are not the only notable addi- 
tions made or contemplated in connection with South 
American transportation. The opening of the Panamd 
Canal, and the termination of construction of the railway- 
line down from New York along the East American 
coast to Buenos Aires, are to have a rival in the Old 
World itself in the contemplated line of railway down 
the West Coast of North Africa, the completion of 
which will be of incalculable advantage to South America, 
bringing it within three days' journey of the Old World. 
The new project, it is proposed, will have its origin 
Gibraltar, where the European railway systems will, 
 means of a lO-mile car ferry, cross the Straits ol 






I nfttio 


Qibtftltar and connect with new railnwd about to he 
built, starting at that point in North Africa, and ex- 
tending down along the coaat to either Bathuist or 
Dakir, both of which porta would make a iiuitabl« ter- 
minuii for the railway. The distance fmm Gibraltar to 
Bathurst is less than 1,900 milee, and from Bathunt to 
Sooth America acron the Atlantic is a further 1,500, 
making a total o( 3,400 miles ; and the entire journey 
wonld occupy from five to six days. The scheme is 
being planned by a Spaniah company, and, on account 
of national rivalry and jealousy, usual in undertakings o! 
this description, it has be«n decided to give it an inter- 
national aspect. The estimated cost to carry out the 
tcmplated scheme will reach £27,000,000. 

Owing to the deterrent facton which have already 
referred to, the maritimo traffic carried on by Peru 

r the last few yean has been decidedly unsatisfactor}* ; 
and while, perhaps, showing a limited advance upon 
that of the previous years, it falls far short of what oae 
might expect of a country occupying so fine a coastal 
position and with such magnificent prodnctiTe reaouroes. 
There can be little questioii that in a few years' time the 
arrivals and sailings from the port of Callao, which is 
bound to feel the beneficial effecta of the Panama 
Canal more than any other port in South America, 
will mark a decided advance, and will ser\-e to probably 
double the commercial and shipping figures of to^y. 

Glancing at the statistics which were pro\-ided for 
1905 and 1IK>6, it seems that Great Bnuin was at that 
time far ahead of all other countries in reganl to the 
toonage of the iteamers coming to Callao. In the latter 
yft — namdy, 1906 — the arrivals showed for Great 
Briuin 607,309 tona, and the sailings 502,876 tons, her 
nearest competitor being Germany, with 173,063 tons 
uri\-ab, and 182,606 tons sailings. Chile came third, 
1^,273 tons arrivals, and 170.070 tons aailinp. 

,, Aioo^^lc 


Both France and Norway showed considerably higher 
results than the United States, which, indeed, marked a 
most astonishing falling ofi in both arrivals and sailinj^. 
In 1905 the United States recorded 9,450 tons arrivals, 
and 8,708 tons sailings ; while in 1906 these fell away to 
3,420 tons, and the sailings to 2,678 tons. 

It is interesting to Britishers to know that the United 
Kingdom still occupies the principal position in shipping, 
the British vessels touching at the port of Callao amount- 
ing to more than double those of any other country. 
Of late years Germany has entered into keen competi- 
tion with the coasting service of this port, Teutonic 
boats making a fortnightly call from Valparaiso and 
intermediate ports to Callao, and vice versa, and having 
introduced a through service, with an inamediate cut of 
50 per cent, on the old rates. The following figures will 
give an idea of the shipping at Callao for the years 1908-09, 
which, unfortunately, are the latest figures available. 



















ChUliin : 






















Frenoh, steam 





Dutch, steam 



Norwegiaa : 









Dnited States, •ailing... 





Japanese, steam 





Peru viui, coasting ... 













For the year 1909 the Britiflh steam-vessels which 
entered and cleared in the foreign trade of the port of 
Callao were as follows : 

Stkah Vkmkls Enterzd. 

United Kingdoiii 

I ArK'nlin* 

I Chila 

j i'hina 

I Coloinlti* 
I Kruador 
I M«iloo 

I PuiHU* 

I L'niicd Sum ... 
> Tol*l 












































31 34,198 345 US.IW 


Those vessels which cleared during the same period 
amounted to an aggregate of 209, representing 583,774 
tons of ca^, of which the Unit«d Kingdom claimed 
thirty vessels, with a tonnage of 121,699. Of the 
vessels in ballast, and which amounted to an aggr^te 
of thirty-six, with a tonnage of 59,153, there were no 
British bottoms. Of the twenty-Sve sailing-veaseb 
which entered, nine were of the United Kingdom, with 
a tonnage of 14,287 ; and eleven were Australian, with 
a tonnage of 15,319. Of sailing-vessels clearing with 
cargo there was only one, and that belonged to native 

I.xx>king at the comparative list of the sliipping of all 
nationalities which entered and cleared in the foreign 
trade of the [>ort of Callao, for the period mentioned 
(1900). there were 224 British vessels out of a total of 
4%, which repn>flented an aggregate of 618,953 out of 
the total tonnage of 1,161.732. 

Digitized byGOOgle 


The port of Callao, which is one of the most important 
on the West Coast of South America, receives, on an 
average, some 400 steamers and 1,020 sailing-ships in 
the course of each year, in addition to an immense 
number of native-owned smaller craft devoted to the 
coasting trade. On balance, there are always anchored 
in the port some twenty steamers and forty sailing- 
vessels. The port is provided with a fine dock, which 
at the same time serves as a wharf, and bears the name 
of Muelle D4rsena. The inside measurements of this 
wharf are 250 metres in length by 250 metres in width, 
coveting a surface of more than 50,000 square metres. 
One of its side-walls is projected a further 180 metres 
in length, and provides an additional dock, while the 
whole is connected with the shore by means of a bridge 
constnicted upon iron rails, and extending 900 metres in 
length. Previous to the arrival of the self-docking dock, 
which I have described already, there had been in use a 
floating dock, which admitted vessels of 25 feet draught 
and 500 tons displacement, as against the new dock, 
which will lift a vessel weighing 7,000 tons in two hours. 

Next to Callao, the most important port for Briti^ 
vessels is Mollendo, and here, out of a total of 460 steam- 
vessels, representing a tonnage of 275,339, the British 
claimed 74,547 tons. In regard to sailing-vessels with 
cargo, the British and the United States stood on a par 
so far as the number of vessels was concerned ; but the 
former represented a total tonnage of 10,549, as against 
4,137 of the United States. The sailing-vessels clearing 
fi-om this port were very few, numbering only four with 
cargo, and twenty-two in ballast ; and out of these the 
British claimed eight, with a tonnage of 15,481, and the 
United States six, with a tonnage of 4,137. 

The Customs receipts at this port in 1910 amoimted 
to £797,867, the largest sums collected in one month 
being £84,343 in June. 



It ill from Mollcmln that pnirticaily all of the Peru- 
vian rubber is shipped from the Pacific sidf, anrt the 
commerce carried on is of great importance. For iht^ 
past jrear (1910) the shipments in this product alone 
were as followa : Pemvian rubber, fine, 1,680 quiniaU 
(1 qmntal - 100 pounds), or. say, about 84 tons ; Concho. 
4,164 qvintaU, or about 208 totu; Bolivian rubber, of 
all claues, 280 tAUs. The export trade fmm Molleudo, 
which has been worked up with some energy in oppooi- 
tion to the sfaipmraits via Iquitos and Pari to Europfl^J 
is not likely to be benefited by the impoKitJon of the 
import duty of 8 per cent, ad vaiorem which came into 
force OQ July I last (1911) {see Appendix). Attempts 
were made to induce the Government to mitdify this 
tax, but unavailingly. No tax, however necessary, has 
been imposed by any Government upon any single 
arti«-le, but petitioners have been found to demand its^ 
witbdrawnl. Sydney Smith, the great wit and essoyisttf 
was right when he declared that there are men " who 
preferanyload of infamy, however gnat, to any prcssuns 
of taxation, however light." 

Tmprovcd shipping facilities at the coastal ports of 
Peru comprise the construction of a new port in the 
Mst&rami Bay, north of Islay, and a railroad connecting 
it up with Hollendo, and thus with the UoUendo-Are- 
quipa Railway branch of the Southern Railway. The 
~~ avian Corporation have this matter in hand, and a 
1 of thne years in which to carry it out. The port 
iqnitoa is already experiencing much advantage from 
■ently opened line fnini that port to Motonacochft, 

kidentAlty. it niay be mcutionifd that thu line is c 
I the most picturesque, and the Bt«tiun to which ift' 
B of the moat popular in the vicinity of Iquitoa. 


Teitile trade—Raw materiali — Cotton prodnction — Capital employed — 
Woollen tftctories — Matches and flour — Japaneae competition — 
Striking enterprise — Lima Electrical Truat— Sugar maciUDerf— 
Copper-mincB machinery ^ Waterworks equipment — Taiation at 
commercial travellers — Correspondence between Birmingham 
Chamber of Commerce and Foreign Office — Irrigation enterprise and 

Although Peru has of late years undoubtedly made a 
decided advance as a manufacturing country, it is 
hardly likely for some years to do much more than use 
up ita own raw materials ; but these it should be enabled 
to turn out in fairly large quantities. I cannot see that 
the Republic can ever become practically independent 
of foreign manufactures, as, for instance, Mexico 
becoming. The textile industry is, however, one of the 
few exceptions, and already a considerable difference 
in the amount of imports from Great Britain, Germany, 
and the United States of America in regard to cotton, 
linen, and woollen goods, is to be noticed. The raw 
material is produced locally, both cotton and wool, and 
the qualities are in moat cases quite equal to the best 
American or Egyptian that I have seen. For some 
hundreds of years wool and cotton stufEs of primitive 
manufacture have been woven in the country, but the 
introduction of modem looms has resulted, as it has 
done in India, Mexico, and elsewhere, in the establish- 
ment of a number of factories, most of which are doing 
uncommonly well. 

I believe that the first loom erected in Peru for the 

weaving of cotton goods was in 1874, a woollen factoty, 


, Gooy 


however, having preceded it by aome seven years. 
To-day there are seven or eight manofactories of cotton 
gDoda, five out of which arc CRtabliahed upon the out- 
skirts of the capital, and the others at Arequipa. The 
largest eatabliBbment la known aa the Foi^, and at the 
pretient time it is making all classes of grey goods. The 
same sort of stuff ia being produced by the Halatesta 
Mill at lea, where there are 100 looms ; by the Pro- 
gr^, with 200 looms ; the San Jacinto, with 100 looms ; 
tlio Victoria, with thirty-thren looms ; the Vitartv, with 
359 looms ; while the Inca Cotton Hill turns out, with 
itA 4fiO looms, all kinds of bleached goods. There are 
no printed cotton goods produced in the country, 
owing to the expense of introducing the costly pattern- 
rollers and the limitnl market for such classes of manu- 
factures. The principal mippUcs of theae goods still 
oomo from Manchester, which stands a long way up on 
the Imports List. The United Statea, however, have 
come forward in a remarkable manner as a producer «( 
cheap and attractive-looking prints, the nativee of all 
these I^tin-American countries preferring such articles 
on account of their brilliant colourings and generally 
prettier designs to those of any other country. 

How greatly the cotton industry baa pro g r es sed in 
Peru may be judged from the fact that but five yaan 
ago the total trade amounted to between £250,000 and 
£300,000, whereas for the past eighteen mootiui it has 
reached £1,300,000 exportod. 

From the figures which have been supplied to me, 
but for the accuracy of which I do not vouch, there are 
being produced m Peru to-day some 3S.00O,O00 yaida 
of stoJl from the native looms, principally of grey 
donieetics, which are in good denuutd, not ooly in the 
roariteta of Peru, but also in those ol Bolivia, mainly 
I aoooont of the raw material of whidi these goods are 

de being of a much higher quality than that osoally 


employed. The factories are also turning out in greatly 
increased quantities ravens-duck, drills, cashmeres, 
towelling, etc., but up till now there has been no attempt 
to make madapoUams. As a consequence of this acti- 
vity in native manufacturing circles, the importation 
of grey domestics from Great Britain, Germany, and 
the United States are diminishing proportionately. In 
1909, cotton te.^iles were imported to the value of 
£493,885, and woollen goods to the value of £201,624. 

The total capital, much of which is foreign, invested 
in these establishments may be placed conservatively at 
£500,000. In all probability, thk sum will be materially 
added to during the present coming years, since there 
are several factories about to be erected in different 
parts of the country. The machinery employed is 
almost exclusively British, since it is recognized that 
the cotton and woollen machinery from Manchester 
and the neighbourhood is the best and most efficient 
to be met with anywhere. Such firms as Brooks and 
Doxey, Limited ; Hetheringtons ; Josiah Angove ; Bar- 
low; and Piatt Brothers cannot be excelled. Their 
looms and spindles may be seen installed in every part 
of the world, from India to Japan, and from China to 

There are only four woollen factories at present in 
the latter country, the most modem being the Santa 
Catalina, in the Marangani District of Cuzco. Here are 
also produced blankets and counterpanes of plain 
colours, while plant and machinery exist for the turning 
out of woollen shirtings, underclothing, etc. Some 800 
employes find occupation here all the year round. 

There is but one paper-making plant, and this limits 
its production to brown paper and ordinary kinds. An 
immense amount of such material is used here, especially 
in the Government printing offices, which are continually 
engaged upon official publications. I know of no Re- 



DUcan State which turns oat such an amount of 
URoiul oflicial literature as Peru ; and the existence of 
an extraordinary number of ucwspapen, daily, weekly, 
and monthly, causca the supply of paper often to run 
very short. Paper ntanufacturen may take a note of 
this fact, and, by avaihng ihcjnaelvea of this intimation, 
form a new and important buaiaeas connection with Peru 
for their manufacturee. The vahio of imported paper 
in its different forms amounted in 1909 to £116,319. 

There are two match factories, but the quality of the 
matchoi produced is poor. The importations into the 
country ihow very little diminution since the bietories 
were established, the principal sufferer being the Blatch 
Goapany of Chicago, under whose auspices the Lima 
eatablialunent was founded. Vanoos soap and candle 
factories exist in different ports of the country, the 
demand for the hutrnamed articles being extremely 
large, as in most Catholic countries. The candle in- 
dustry is heavily protected. Perfumery is not made to 
any extent, althou^ very generally used by both sexes, 
the increase in imports under this head from the United 
States. Germany, and France, with a small amount from 
Oreat Britain, Moving up strongly. The value of tb» 
perfumery imported in 1909 was £30.406, and nf ordinary 
soaps £34,931. 

Under the protectitm of differential duties, there have 
been established in Peru several flour-mills, most of the 
equipment coming from the United States, and some 
from Heasra, Simons and Sons, of Manchester. Much 
exosUsnt wheat is grown, and of late shipmenta of Pam- 
vian wheat have been sent down the coast to Cliila. 
But a oonaideiable importation is also beinf carried oa 
— namely, from California and Australia. The Sanu 
Rosa Hilb are about the best equipped in tliv country, 
and ban are turned mt large quantities of flour of a 
high class ; while the factory of Arthur Field and Com- 


pany, another American enterprise, produces biscuits. 
There are also lard manufactories, the annual consump- 
tion amounting to some 5,000 tons, much coming from 
the United States. All the same, over 30,000 fat hogs 
are sacrificed annually towards this total consumption 
of lard. Numerous tanneries are established, but the 
processes employed are old and inefEective. There is 
room for a thoroughly up-to-date establishment of this 
kind. Of breweries there are also several, the principal 
one being that of the Backus and Johnston Company, 
which, originally started in 1879 by two enterprising 
Americans, is now the property of an English Company. 
The enterprise has been the scene of a wholesale, and 
no doubt wholesome, clearing-out process, the entire 
staff being given some few years ago the " order of the 
boot," and a completely new one installed. The resiUta 
have been eminently satisfactory, for, instead of losing 
money, as was formerly the case, the brewery is now 
coining it. The installation is practically all American, 
but some modem boiling-vats and other machinery — 
notably, the ice-making plant — are German. 

In this Republic, as elsewhere in South America, old- 
established houses are meeting with serious competition 
from the enterprising and ubiquitous Japanese. A 
notable instance of this is to be recorded in relation to 
the Backus and Johnston Brewery above referred to. 
Almost from the conmaencement of the Company's 
career it had obtained its bottles from Germany, it being 
impossible to manufacture glass in Peru owing to the 
absence of the necessary sand and other ingredients. 
Some two years ago the Company received an offer from 
a Japanese factory to make any kind and number of 
glass bottles suitable for the beer brewed by the firm, 
and at a price which would " defy competition." The 
Company somewhat sceptically invited the Japanese 
submit samples and prices, and in the course of a 

ae to^ 


r weeks theae latter arrived. They proved to be oot 
only adminibly made, bat of such a novel dengn as to 
ooable the bottlee U> be packed as cloMly as earduiM, 
and in the Baniv manner- " head to tail." Tfaiu, break- 
ages ore almost unknu«-D, ihe percentage, 1 unde^retand, 
being 1«sa than one-quarter of 1 per L>eot. The glaw in 
remarkably clear, tough, and smooth on the exterior. 
The price works out, inclusive of all packing in stroog 
wooden caaes, and as neatly made as the bottles them- 
sehres, with freight from Yokohama to Lima, at just 
20 per cent, lew than the German price, loaomuch as the 
brewery is using, even in its stock saaaon, some 100,000 
bottles a montJi, and in the ofHirse of the year uses over 
2,000,000 bottles, the immense saving effected is clear. 
The Japanese taotoiy has now received the entire bottle 
custom of the Backus and Johnston Brewery Company, 
notwithstanding the fact that the manager of the ooo- 
cem is a Qerman, with the natural prejudice of all 
Teutons in favour of his own coontrymou's manufac- 
Perhaps one o{ the greatest fields of industry opening 
> in Peru to-day b that in oonnectioo with electrici 
1 here I foresee an immense opportunity for mai 
nrers of electrical plant and equipment. Some t 
or tlixee supply companies already exist, but they i 
only be raided «s the pioneers of a commerotal i 
industrial movement at present in it« infancy, 
initial ODterpriae established here was the Santa E 
with a well-equipped plant at about twenty-three e 
from Lima, which city it supplies with li^t and po 
The plant is capable of producing 10,000 kilowatta^J 
which is equivalent to ll},500 horse-power, but not mud 
mors than one ball of this amount is beiug supplied i 
the time of writing. Practically the cntin plant I 
been provided by the Oeneiol Electric Company, 
Bcfaeneotody, New York. Th« some firm an respoostble 



for tlie equipment at the Cerro de Pasco Mines- 
American enterprise — and I am given to understand 
that several other important contracts are in contempla- 
tion with the same Corporation. 

The recent — or comparatively recent — formation of 
the Electrical Trust in Lima spells a specially active 
campaign in all matters of electrical traction and motive 
power for factories, etc. The Trust is the outcome of a 
combination — the Santa Rosa Company, the English 
Railways Company, and the Lima Tramways Company 
— all of which are now working under one central 
management, instead of, as before, cuttmg one another's 
throats in frantic competition. The total capital of this 
concern is $21,000,000,* or, in English equivalent, 
£2,100,000. It is to be hoped that the Trust, being 
formed upon the same basis as the other United States 
combinations, will carefully eschew all the bad, and 
retain only the good, points of those unpopular institu- 
tions. There is one thing certain, and that is the South 
American public is not at all likely to submit tamely to 
extortion or tyranny of any kind. It has a sharp but 
effective way of dealing with impositions, whether they 
emanate from their own rulers or from foreign capitalists. 
The result of attempting any kind of bullying or arro- 
gance upon the part of a public Company, as was wit- 
nessed in Bogota, Colombia, when the United States- 
owned tramway Company sought to play the tjTant, 
is usually a " bad break " for that particular Company. 
The Latin -Americans are not quite so tame in these 
matters as are their northern brethren. 

Manufacturers of sugar machinery, of mining equip- 
ment, and of railway supplies, should keep a careful eye 
upon the industrial development of Peru, which is 
likely soon to be m the market for large quantities of 
these as well as other supplies. The RepubUc is prac- 

* 1 iol='2a., or 50 cents. (U.S.A.). 





ly ina from debt ; it« immoue Datai&l riches are 
iting the attention of capitalists in both Europe 
the United States, and the spirit of enterprise 
among the people tbemseK-ee is awakening to an alto- 
gether remarkable extent. 

With regard to sugar machinery, I may reppat that 
nut of the forty or fifty different coatttal pUntationa 
which cxiat, and the majority of which arc doing ex- 
tremely well, not one han an yet installed a t-omplete and 
up-to-date mill. The largeat of these factorirs utill 
retains machinery which bears the stamp of over Ihirty 
yean ago, but the e>econd largest mill has of late sent 
an order to Ohisgow (Messrs. J. McNeill anil Sons, 
Limited) for a complete eleven-roller mill It is not too 
mnch to say that at Inst oao-third of tlie remaimng 
factories would be open to introduce moilem machinery 
and plant if proper representations were mode on Un^ 
part of manufacturers, and if drawings, specifioationti | 
prices for plants, delivered erected on the ground, 
Bubmitt«tl. Peru, indeed, offers almost a virgin 
for manufacturers of sugar machinery, and tho 
ind for installations is growing as steadily as the 
industry itaeU, which tthday is probably more pmqietoaft I 
and iaor« stable tiiaa at any time of ita existcooe (see 
pp. U9-irj6). 
As 1 L«ve attempted to show in these pages, there am 
^^Jar countries in the vorld more naturally adapted to 
^^^kjar culture ihun I'eru, and the rircumstoncot of ita 
^^^^Bufacture upon the scene of itA growth are naturally 
^^^■th in ita favour. All the irrigation is artificial, which 
^^^■ikewiao to some extent an advantage, cince, while 
^^^KUtiooal labour and expense are involved, tho plants 
' being watered or left dry as occasion and discteti 
may diitate, it dov« away with all losses from an c 
or otherwise of rain. For tliia muoa the cutting of tlw ' 
cane takes place in the ralleya on the coast without in- 

part ol 


>f th^ 


terniption during the whole twelve months of the year. 
Thus, the mills are continually ninuing, and, unlike the 
case of Brazil, for instance, where the machiDery is 
lying idle for nine out of the twelve months, there is 
work all the year round. All classes of sugar are made 
— molasses, brown, granulated, and white — the qualities 
being, in my judgment, as fine as are to be found any- 
where in the world. That the output has grown steadily 
during the past few years can be seen from the fij 
which are given on p. 157. 

According to Mr. Caesar Broggi, the Director of 
Governmental Experimental Station, the total produc- 
tion for 1910-11 can be estimated at 165,000 tons 

It will be observed that serious and successful efEorts 
are being made to increase the cultivation of sugar in 
Peru, and there should be, therefore, an excellent oppor- 
timity for those firms which make a speciality of sugar 
machinery to extend the range of their business here. 
Of the existing plants, many — indeed, I may say most — 
are of an antiquated type, and a really animated and 
energetic representative might succeed in inducing many 
of the mill-owners to introduce more modem and effec- 
tive machinery. Such firms as John Gordon, of London, 
and John Mason, of New York, both of whose manw 
factures are to be met with in all parts of Central Amerii 
and in Brazil, are very little known out here, the bes1 
patronized manufacturers seeming to be the Liverpi 
firm of Fawcett, Preston, and Company, Limited, sonu 
of whose sugar machinery I have seen working, after 
being in constant use for between forty and fifty years. 

But equally favourable opportunities exist in Peru In 
connection with other industries. For uistauce, 
Ferrobamba Copper Company, Limited, which owj 
some remarkably rich copper deposits in the Province 
Cotabambas, will in a short while be requiring a plai 








Docnt vatued at £360.000, ami which will in- 

nplete smcltitig plant, a powerful sU'am shovel, 

i tnoHoQ, aDcl transportation eqaipment aad 

material for a contemplated coostroction of soma 

250 miles of nilroad from the mines to the coast. The 

Gompanj ta, at the time of writing, a RritUh one. and 

would, flo long aa it remained under entitv Bntlth control, 

give preference, aa I undentand, to Brituih manufacturers 

of all Icindfl of nupplie* and equipment. But it in poa- 

nble that American control may come about hprcaft^r, 

i which event, very naturally, all neceaaary equipment 

', material would bo parchased in the United 8tfttaa I 

. p. 2SI). 

Another Peruvian undertaking which will shortly ba | 
in the market for equipment and rappliefl will be tbo j 
Arequipa Eleotrio Tramways Company, an entcrpriM 
which ia about to be floated on a nifficient btit modest 
capital (probably in Paris), to bring about the organiza- 
tion and amalgamation of the present hone tramways, 
electric- lighting plant, and telephones for the whole city 
(the second Uirgest and nioHt important in the Republic) 
and neighbourhood. It is intemlctl to equip the Bvstem 
with the most modem type of caM. and to buy such in 
^^^^ moat favourable markets. British manufacturers 
^^BO have thus an opportimity of competing for a ooa- 
^^Bct valued at some £380,000. 

^^^Bet a further enterprise offering opportimtties for 
^^^Btracloni and manu^cturem is the construction o( 
^^Hfeerworks for tbe city of iVrequipa, as well as a com- 
^^HIb system of diminage lor the town. For this, Britiah 
^^^ptiactofB wonid be doubtfeas preferred to any othea* 
^^Bm the principal South American Republics genenUy 
I hava adopted British waterworks instalUtions, and in 
all aoeh cases with complete success. Contractors may 
latrongly urged to oommnnicate at once with Sei\or 
nconi, of the Banco Italiono, Arequipa, Pcra, who 


is one of the principals concerned in all of the above- 
mentioned Arequipa undeitakuigs, and who is personally 
strongly in favour of employing British co-operation in 
carrying out their development. 

I may say also that there is an opening for light rail- 
ways upon some of the existing sugar estates, of the 
Decauville and Kerr-Stuart type. As more estates are 
opened up and the planting area extended, as it is being 
day by day, there will be a great deal of this light- 
railway plant and equipment required. 

Another branch of industrial progress which is to be 
noted in Peru is the irrigation of the country, and here 
there is a good chance of meeting with orders from the 
Peruvian Goveniment and private corporations alike. 
Wliile the country is possessed of a magnificent river 
system, including as it does the incomparable Amazon, 
Apurimac, the Urubamba, the Mantaro, the Maranon, 
the Huallaga, the Madre de Dios, the Morona, the 
Pastaza, and an extensive list of others, they are only 
partly navigable and are of a torrential character, 
nmning too swiftly and too deep down in their beds to 
be of present use agriculturally. Thus, irrigation upon 
an enormous scale is and will be hereafter resorted to. 
Already I hear of a vast Government enterprise of this 
nature, and which, if carried into effect, will necessitate 
a considerable outlay upon pumping and distributing 
machinery. The Government authorities are always open 
to consider any scheme or suggestion dealing with such 
matters, and manufacturers may take careful note of this. 

Apart therefore from the opportunities to which I 
have referred as existing with regard to the introduction 
of modem machinery and equipment in sugar mills, 
there is a imique chance to-day for manufacturers of 
irrigation machinery and light railways, with their rolling- 
stock equipment, suitable for various estates. There is a 
pronounced demand for ploughs worked by a traction 





cial travellers visiting that country, and a strong prol 
was at once made by the Birmingham Chamber of Com- 
merce, and which drew the attention of the Foreign 
Office to the proposal, at the same time requesting that 
an objection should be lodged by the British Govern- 

Sir Edward Gfrey replied that the proposal, " as he 
imderstood it," was to impose a special contribution ol 
£50 (and not £100, as his correspondent put it) for six 
months upon travellers representing firms not already 
established in Peru ; and, he added : " The question of 
addressing representations on the subject was under the 
consideration of the British Government." 

It is scarcely necessary, perhaps, to add that the 
question never went beyond the unsatisfactory stage of 
" consideration " ; and, as a matter of fact, it was never 
raised diplomatically between the British Government 
and the Government of Peru. A sequel may be found 
in the following letter, which the Foreign Secretary 
courteously addressed to me on July 1 last in reply 
my inquiries on the subject : 


With reference to your lettev of the 24th ultimo, 
asking for information as to the tax which it was proposed 
last j'ear should be levied on foreign commercial travellers in 
Peru, I am directed by Secretary Sir E. Grey to say that jour 
Etatemeiit, "that he informed the Birmingham Chamber of 
Commerce in November last that he was in communication 
mth the Peruvian Government on the question," appears to 
be based on a misapprehension , The only letter on the sub- 
ject from thia office to the Birmingham Chamber of Commerce 
waa dated May 14, 1610, and stated that, according to the 
information in Sir E. Grey's possession, the tax had not been 
imposed; though a Bill then before the Peruvian Congress 
provided for the levying of a " special contribution "of 
pounda for a period of alx months on commercial 

om- 1 






Tbe reeulto of the several trinU which have 
made already in this direction have, I understand, 
'cd disappointing. The ditch-diggers which have 
been introduced have also shown various ivsulta mote 
or leM Mtislactory. Some of the planters ar« tismg 
discs on their ploughs instead of rtheani, and ninny of 
tlieni cUini to have iirhiovvd fnirlv gooil rcHuhH. Otheni 
employ markers on the double-mould hoard plough, 
which hiyit ofl the furrows, thus dtspensng with a man 
and a team of oxen. What is also required very urgcnttv 
upon Peruvian sugar estates is a successful weodcr, the 
tvpo DOW employed being found very unsatisfactory. 
Indeed, upon tbo majority of plantations there is needed 
a completely new and np-to^te installation of agricul- 
tunl implementa, such as may be found in other 
countries for other crops. Oenenlly ^Maldag, however, 
those sugarostatc eqoipmenta, when found, show a 
preponderance m favour of Scottish mill niarhtnery. 
'rican looomotivea and cane WRggon-i, with Britiiih 
iigbs and wceders. The snuiller agricultural tmple- 
ts, for the most part, come from the United States ; 
and there are scveml prominent firms established in 
Lima which act as agents for the American manufao- 
Inren — such, for instance, an the houses of Duncan, Fox 
and Company ; W. R. Grace and Company ; and B. Hum- 
phreys and Company. 

Although Pern must be regarded as a coontiy where 
exceptional taxation is in force, on account of fintnritl 
I, it will, upon comparison, be found leai seri- 
liandiuipp«.<d in this respect than certain European 
Italy, for instance. The economic oondi- 
of the Kupuhlic demand imposts of some land, 
leiever possible, these have bem made as little onei^ 
ty would permit, 
the month of May last year (1910) the Gov 
Peru proposed to Impoae a tax of tliO upon 




Feravi&n Tnde and Panama Canal— Probable effeot— Preparation bj the 
United Btalea and Germanj — British indiSerenc« — Trade tnarlu 
forgeries — Peruvian QoTsmment precautions —' Opportunitiea for 
protection —• British Empire League aesistanoe — Foreign fiime 
registered^ Irrigation nndertakinga— Fatore development. 

What effect will the completion and opening of the 
Panama Canal have upon Peni and the five Central 
American countries ? I have frequently been asked 
this question, and perhaps this is as good a place as any 
in which to answer it. That capital from North America 
will flow more abundantly into Peru after the com- 
pletion of the great oceanic waterway is a practical 
certainty ; but I do not consider that there will be any 
such augmentation of new industries, or that the differ- 
ence in investments will be so prodigious in regard to 
results, as some enthusiastic critics imagine. For many 
years to come the United States, with ita great area and 
its many undeveloped resources, will need more capital — 
much more, indeed, than it can conveniently find from 
among its own people ; that is to say, it will have to 
borrow from Europe in addition to saving all that it can 
on its own account. The old world has nowadays 
fewer opportunities for industrial and commercial ex- 
pansion ; money is comparatively cheap ; and all new- 
countries on the other side of the Atlantic offer the 
inducement of higher interest. 

How much of this investment will be made with 
purely American money ? The Yankees are certainly- 
becoming more and more enthusiastic, and at the same 

Digitized byGOOgle 



time more and more reckI«8K, in their forvign invMt- 
nipntA, and ospocially in re^rd to Latin-AtiKTican 
couiilrica. Nevertheless, they have a long way to gu 
before in actual figures tbcy can in any way approach 
Briiiah forf'ign invutmenta. In regard to the retumi 
which their investmenta bring them alao, they have 
on the whole proved (ar leas (ortunat«. In all prolMi- 
bilit>' BriUah (oreigo holdiop in South and Central 
America to-day are well near the mm of £500.000,000 
($2,500,000,000). and upon this gigantic amount o( 
capital they earn a (air average of 5| per cent per 
annum, allowing for the higher and the lower rmtea of 
intereat i>aid (and amounting to anything between the 
2S and 36 per cent, on aome Und-aharea), down to the 
modeat i\ and 4| per oeot. upon Railway Debenturee, 
and reckoning alio the oaaes where no return is made 
upon iuveetmenta. 

I ahonld aay, on the other hand, that American foreign 
investmenta do not amount in the aggiogat« to more 
than £200.000,000 ($1,000,000,000), and of this at least 
aeven-lentha are invested in the Bepubbc of Mexico 
and two-tenths probably in Canada. American foreign 
mvcatmenta are in a large measure tributary to those 
great conoems located in the United States, whkh 
maintain their agents in foreign coontries engaged upon 
looking after their intcreata. From this conjddenble 
nt it would be impoaaible to estimate a hi^er 
I than between 2} and 3 per cent., (or while many 
I the invaatmenta — anch as the Stondanl Oil mtenwts 
: Mexico and the many banlung ooncema in Oiba, 
nania, and other countrica — yield a aenaatkmol 
ount of profit, ao much original capital baa been lost 
nugh rank apeculation, and even more through dia- 
ncat management, while so little judgment boa been 
played in the matter of sound selixtion, that a con- 
lerable portion of original capital luui been irretrievably 


lost. This has been the case in the Sonora district of 
Mexico (especially in the Cananea Copper Mines) ; in 
the gold and silver mines of Guanajuato, and in con- 
nection with the railways of Costa Rica, Guatemala, and 
EcuadoT) so that what has been made on the one hand 
has, to an appreciable extent, been ahnost entirely lost 
on the other. 

Thus I do not anticipate any very pronounced " rush " 
of American capital into Peru or the neighbouring 
Republics merely because the Panama Canal will have 
become wn/ot( accompli. On the other hand, the United 
States trade and commerce must derive an immediate and 
lasting benefit from the speedier means of transport. 
Already the United States control 30 per cent, in 
Peruvian imports, 60'8 per cent, of the importations 
into Mexico, and 89 per cent, into Panama ; something 
over 70 per cent, into Costa Rica, and about 60 per cent, 
(increasing year by year) into Guatemala. With the 
active assistance of the Washington Government, in 
conjunction with the compulsory financial " assistance " 
forced upon them by the Morgan Syndicate, Honduras 
will also shortly be receiving about 80 per cent, of United 
States goods, as well as much United States capital. 

It is, however, the Republics of Peru, Ecuador, 
Bobvia, and Chile which will become better markets 
for the United States through the medium of the Panama 
Canal ; and while I was travelling recently upon the 
West Coast of South America I observed the arrange- 
ments which were being made to handle this anticipated 
increase of trade with all efficiency and despatch. 
North American agents were busy opening up new 
branches or appointing local agents to handle the goods 
intended to be consigned in increased quantities. 
German houses, already established, were also rearranging 
their branches and remodelling their order-books to 
deal with the expected increase in North American 


■■, tH of wbich proved that a veiy substantial beU«( 
I in the approacJuDg tiade " boom " consequeni 
) the opening in 1916 of the Panama Canal 
hat attention were or are British manufacturers 
i British agents paying to this all-important question i 
t questioQ is veiy easily answered — none / 

) of the greatest difficulties which British manu- 
arers have had to face in South and Cenlcal America 
1 the wholesale fotgeiy of trade-marks, a piactice 
1 has been going on for many years almost, if not 
F«iitirely, unchecked. Upon several occasions and from 
different partj) of Latin-America 1 have called the 
attention of manufacturers, throu^ the medium of the 
daily and weekly press, to the existing state of oflairs ; 
but, beyond eiqwasaing a mild kind of indignation at 
such prooeedlngs, thoee individuals most oonccntcd 
seemed to have taken no steps whatever to prevent this 
fraudulent practice. 

Kot only are manufacturers seriously affected, but the 
ptucbasing public are abo deceived and cheated by a 
tiaage which has become as general as it has long b«en 

It was latiafactoxy, however, to find recently that at 
length some efiort promised to put an end to this 
long - existing abuse. It was gratifying to South 
Ajuerican importers of British manufactures to learn of 
the meeting which was held in London oo March 16 
two yean ago to take steps to register a British Kmpire 
tiade-mark. If the decision arrived at does not die 
ip^nityH* (and 1 have not heard of any striking 
a havmg attended the project), as is not improbable 
r without pnsoedent for eOorta of this land, the st«pa 
|oposed shoukl prove of great benefit to British tade, 
' ' in South Americs, where many of the beat- 
1 British-made artioiaa are continually being copied 
and the best esUemad toda-marks forged. 


It speaks well for the Republic of Peru that as long 
ago as two years, without any BUggestioa emanating 
from outside sources, the Government of this Republic 
took st^ps to protect both the selling and purchasing 
public from the frequent imitation and falsification of 
foreign brands and trade-marks. In a special message 
the Supreme Government authorized all the Consulates 
having offices in the capital to accept directly from the 
owners of trade-marks applications for protection by 

The importance of this movement principally appealed 
to those firms who are without any direct representative 
in Peru. The passing of the new decree enables them 
to register their trade-marks without the intermediation 
of any third party, and with but very little expense 
and even less trouble. It may be mentioned that the 
Ollice of Industries, which is a sub-department of the 
Minister of Public Works, takes entire charge of the 
matter of registration, and sees that the necessary 
certificate, properly made out, can be handed over to 
the applicant. There is but one other stipulation to be 
observed, and that is that oppficants for registration 
of trade-marks must make their requests written in 
Spanish. Those manufacturers who are unacquainted 
with the language can readily obtain from any transla- 
tion agency a sufliciently accurate translation of their 
application, and this need only be forwarded through 
their Consulate Office to the Minister of Public Works 
at Lima. The fees for the registration are moderate 
enough, being as follows : 

£ e. a. 

For rcgia trail on, muluding certilivat« 2 10 

For otlidiiJ publiculion in uewspapi^rs U 8 U 

For noMisanry stamp paper U 1 7 

or a total of a little less than £3. The various Consa- 
lates are instructed to receive and to attend to all 
claims and complaints arising from the imitation ot 


^^^^H TR.\I>£-M^VRKS 271 

falsification of registered trade-marks. The Peruvian 
Government undertakes to prosecute, and in the event 
of a conviction being obtained, to punish all violators of 
registered trade-marks and patents entirely at its own 
cost, without calling upon the owners of such trade- 
marks or patents for any contribution (see Appendix). 

It would seem that the Executive Council of the 
British Empire League, which was responsible for the 
meeting above referred to held in London, had merely 
in mind the protection of manufacturers within the 
British Empire, and appeared to have left out of its 
consideration the many hundreds of manufacturers 
with houses in the Central and South American States, 
or shippers who carry on an important export business 
with these countries. If, as it was stated, it be eminently 
desirable that " a working basis should be found on 
which the Colonial manufacturers should share the 
benefits of a British mark," is it not equally desirable 
that foreign purchasers of goods, presumably British 
made, should not be deceived and defrauded, as has been 
the case for many years past ? It would surely be 
within the province of the officers of the Register of 
British Manufacturers to take under the wing of their 
protection importers of British goods in the Latin- 
Americas. That such a movement would meet with 
the support and co-operation of all business men in 
those countries I have not the slightest doubt ; and I 
would further suggest that the heads of foreign houses 
in these States be invited to co-operate, and some of 
them might even be requested to join the General 
Advisory Council, or act as corresponding members. 

In any case, Peru is entitled to consideration and 
recognition for having been the first among the South 
American Republics to move in the direction of pro- 
tection to foreign manufacturers doing business in this 
State. Already a large number of foreign firms have 



availed themselves ol the Government's suggestion, and 
each monthly issue of the official Boletm de la Direccion 
de Fotnenlo contains several pages of illustrated de- 
scriptions, and applications for registration, of trade- 
marks, together with some admirably printed photo- 
graphic reproductions of firms' labels. These are 
inserted entirely without charge to the owners. Amcmg 
foreign firms who have availed themselves of this 
protection are many American houses, a large number 
of German firms, and several British houses. Among 
the latest establishments which have taken out patent 
registrations are the following : W. R. Grace and Co., of 
Lima ; V. Rigaud, of Paris ; Cavallero Hermanos, of 
Arequipa ; Campodonico and Ventura, of Lima ; L. L J. 
Dittesheini, of Switzerland ; El Progreso, of Lima ; 
Debemardi Hermanos, of Lima ; Manuel G. Masias, of 
Lima ; Romeo Marchand and Co., of Lima ; Compania 
Shinola, of New York ; Santos Cabrerizo, of Lima ; Juan 
Silva y Denegri, of Lima ; The Cook and Berheimer Co., 
of New York ; Eley Brothers, Ltd., of Middleaei ; 
American Gramophone Company, of Bridgeport ; Reckitt 
and Son, Ltd., of London ; A. Dammert and Co., of Lima ; 
A. W. Wills and Son, of Birmingham; Borden's Con- 
densed Milk Co., of New York. 



Guano ImJurtry^Early hiBtorj — ItemarkEible return — Nitrate competi- 
tion — Un worked deposits— Salt — Annual production— Petroleum — 
PriDcipal distriotB — Early diaooveriea — Lobitos Oil-fielda — Cocaine 

manufacture — Various processes followed— Dilficulties encoimtered. 

The history of the guano industry is interesting from 
at least two pointsof view — one so faras it relates to its 
influence upon the former opulence of Peru {before the 
war of 1884 with Chile), and the other from the preaent 
position of the trade which is carried on in it. Where 
does the guano come from, and what does the name 
mean ? " Guano," which is the Spanish rendering of 
the Quechua word " huanu/' meaning excrement, is 
collected from a group of small islands known as the 
Chinchas, and which are located close to the coast of 
Peru. They appear to have been first exploited about 
1840 by a firm of Peruvian merchants, who, having tested 
the substance as a fertilizer, sent a large consignment 
of it to England. Two years later the new agricultural 
assistant " caught on," and an immense trade soon 
sprang up. The interest of the Government was then 
aroused, and a special Commission was despatched to 
examine the islands and find out how much of the 
precious deposit existed. 

I am informed by one who was — and still is — con- 
siderably interested in the Peruvian guano trade, that 
some of the islands which had apparently been inhabited 
by penguins, divers, cormorants, cranes, gannets, flamin- 
goes, and nimierous other seabirds, were at that time 
over 200 feet deep in this material. The estimate 
273 18 


formed of their possible jield was 12,376,100 effe( 
tons. For sixty years they had continued to produce 
ever - increasing supplies, and taking the Chincha 
group in conjunction with other small detached groups, 
several millions of tons of the stufi have been shipped to 
Europe alone. 

By 1877 it was estimated that fully 10.000,000 out of 
the original 12,376,100 tons had been taken away, and 
to-day the whole amount which Peru can collect and 
export annually does not exceed 60,000 tons, while 
perhaps half as much — 30,000 tons — are used locally 
as manure. When first sent to Europe the guano 
fertilizer was disposed of at a fixed price ; but later 
on buyers demanded a certified analysis, and prices 
depended upon the nature of this. The prevailing price 
which it fetches may be put at 19s. each unit per cent, 
per ton for the nitrogen, and 23. 4d. on the same basis 
for the phosphoric acid. Some cargoes from Peru yield 
up to II per cent, nitrogen. 

The deposits are only worked for one-half of the year, 
so as to leave the birds who provide it imdisturbed to 
breed. The Government grants licences to work the 
deposits from April to October inclusive, but the 
exclusive right to export up to 2,000,000 tons has been 
granted to the Peruvian Corporation, Limited, who 
have enjoyed the privilege since the year 1890. During 
the several years that the Corporation have been 
working the islands they have exported about 1,100,000 
tons of guano, each year showing a decline upon its 
predecessor. Last year (1910) the Corporation sold 
abroad 61,000 tons, which was less than the preyioos 
year by 23,000 tons. 

About two years ago a native Company was formed, 
called La Compafiia Administradora del Guano, and 
managed to secure permits from the Government to 
work the deposits for the purpose of supplying local 


feqnmments ; but it soon came to loggeriieads witli the 
Fenivian Corpontioo, and the Ooveminent was tben 
forced to intervene, deciding, with Solomonic aagacify, 
that the Corporation ahoukl be pririleged to woric allri 
deposits north of Callao, and the Company aU deposits ^ 
■oiitb of that port, with the exception of the Balleetas. 

Tbe Government, in order to encourage the consomp- 
tion uf guano in the country's agricultural industry, and 
to facilitate the delivery of the fertilizer to coiuramera 
direct, and without the iiitervcntioti of middlemen, 
authorixed the smtill local Comiuiny referred to. 

The return! from the guano depooita commence to 
figure in the Government'it revenue accounta from about 
the year 1B40. In the first seven yean only about 
289,000 tonB wan exported, the direct sale oi which 
produced some 12,700,000. The resulta wen conwlered 
tuuatiafaotoiy, so an arrangement was arrived at with 
Heasn. Antony Oibba and Co., of London, ui January of 
1847, to undertake the ule of the oonsigtunenta tax 
•eooimt of the Government. Several other Euiopaaa I 
oipttalitita came into the deal, and altogether the mle 
wen soon run up to 250,000 tons. Year by year thai 
quantity increased, and indirectly brought Peru into J 
flp^twiial relations with some of the most prominent , 
ea|tttaliBt groups, who afterwards took a practical 
interest b the country's monetary condition. 

Between the yean 1B51 and 1864 the amount of , 
gnano exported amounted to 1.624,252 tons, which I 
yielded the Government the sum of |I6,838,600. TlM'] 
annual sales now totalled 300,000 tons, thus U*ri 
the revenue with sereial miUiona of doUan " to play J 
with." by 1867 over 7.000,000 tons of guano had be«tt J 
taken away, awl the Treomry was orer $230,000,000 j 
in pocket All these millions, however, disappeared i 
ncklesa extravagance, and not a little through dishonest ^ 
nt ; and even when tbe annual sales went up, 


as they did in 1868, to 400,000 tooB, the country was 
still plunged hopelessly in debt. Later on, as mentioned 
above, the Giovemment, acting under legislative 
sanction, sold a definitive block of 3,000,000 tons of 
guano, granting to the purchasers (the Peruvian Coi^ 
poration) the exclusive privilege of selling the article. 

In course of time came the discovery of the c»qaally 
beneficial agricultural manure of nitrate, which proved 
a formidable rival of the guano, the sales of which com- 
menced to go steadily down. But more zoisfortoiu 
remained, and it seemed as if Peru's lucky star had 
indeed set. The war with Chile resulted in the loss d 
both her nitrate and some of her most valuable guano 
deposits. Since then other guano islands have been 
exploited, and the country still finds the returns £rom 
the exports of the manure acceptable ; but the cream 
has gone, and only skimmed milk remains. Fortunately 
for Peru, which perhaps does not know even yet what 
extraordinary riches the territory contains, the Tninipg 
wealth of the country is destined to prove an excellent 
substitute for the vanislung guano revenues, and no 
despoiler can come and rob her of that. The total value 
of the guano exported in 1909, as recorded at the 
Customs HouBCB, was £156,224. 

The mining of salt is a monopoly, the business being 
carried on by the National Salt Company. During the 
last year (1910) this undertaking sold no less than 
8,923,336 kilogrammes of salt, 1 kilogranmie being equal, 
it may be remembered, to 2*204622 pounds. At present 
the Company works about 100 different deposits 
scattered about the country, the total value of the 
output averaging between £90,000 and £95,000. The 
following statistics will serve to show how the industry 
has prospered during the past ten years : In 1903 the 
value sold amounted to £38,044 ; in 1904, £53,462 ; in 
1905, £61,294; in 1906, £64,726; m 1907, £81,223; 

Digitized byGOOgle 

in 1908, £86.694 ; in 1909, £87,294 ; and in 1910, £93,238. 
For the first six months of the current year (1911) a 
further considerable increase has taken place. 

The exploitation of the whole of the salt-mines of Peru 
meant, on the other hand, to the Government a revenue 
of nearly £220,000 for the year 1910. 

Among all the excitement which prevailed in London 
about two years ago in connection with the " oil boom," 
few of tlie " boomers " seemed to be aware that in Peru 
is found not only the finest quality, but probably what 
will turn out to be one of the largest quantities of oil in 
the world. The mineral is found in the three northern 
districts of Tumbes, Piura, and Lambayeque, In nearly 
all cases the discoveries have been made on or near the 
sea-coast. The knowledge that the oil exists is certamly 
not of recent date, for as far back as 1692 we read of the 
Spanish Crown ceding the entire rights of working 
certain petroleum deposits to one Grandino, a Captain 
in His Catholic Majesty's Army. Apparently it was 
worked with some excellent profit, for it seems to have 
been handed down as an extremely valuable asset from 
generation to generation until it reached the hands of 
Senor Diego de Lama, who foimd it so profitable that 
he eventually divided the property into thirteen different 
parts among his children. One of these portions, cover- 
ing the estates of Parinas and La Brea, became the 
property of Mr. Herbert Tweddle in 1888, from whom it 
was purchased by the London and Pacific Petroleum 

The Nepitas, or Talara, Oil-fields were discovered 
several years ago. They are situated about forty miles 
from the coast, in the direction of Paita — considered to 
be the best port on the West Coast — and they are now 
the centre of some active operations, Talara has a 
well-sheltered little harbour of its own, and is connected 
therewith by a sixteen-mile narrow-gauge railway. Some 


twenty-five miles inland is another very promising 
mation, consisting of a black and extremely adhesive 
material of an asphaltum nature. Very little has been 
done with this as yet. The Zorritos field lies about 
twenty-four miles to the south of Tumbes, and was dis- 
covered by De Lama in 1862. For many years it proved 
a costly failure, but the present owners seem to have 
been more fortunate, or are more intelligent, in workbg 
the deep sand, no fewer than fifty producing wells bemg 
foimd there. 

The production of crude oil amounts to 11,000 tons 
annually ; 600,000 gallons of kerosene and 100,000 gallons 
of gasoline were refined in 1910. This year, I nnderatand, 
the owners expect to add at least 10 per cent, to their 
output. The territory owned by the Company is an 
extensive one, amounting to the original 750 acres at 
Zorritos, and an additional 2,700 acres at Cabo Blanco, 
just north of the property belonging to the Lobitos 

The latter field was discovered in 1901 by the surveyors 
sent out by the Peruvian Corporation, but it was only 
some four years later that the property was found to be 
payable. The Corporation sold out its interests to the 
present owners, the Lobitos Oil-fields, Limited, who have 
152 wells, including forty-two which were drilled at the 
time that the transfer of the property took place. Of 
these, ninety-two were producing oil at the end of last 
year (1910). The total depth drilled over the same 
period was 44,055 feet, giving an average of approxi- 
mately I7i feet drilled per string per working day. The 
year certainly was not a fortunate one for the Company, 
the net results being 3,882 tons less than for the pre- 
ceding year. Nevertheless, the net increase seems to 
have been higher at 24s. lid. per ton, as against 203. 8d. 
The net profits for the year amounted to £4,778. 
Further and fuller reference to the Lobitos Oil-fiel* 



der the httdm;: : 1 
t XXIV.). 

' remnnerath'p man if i^ 
carried on in the Republic, and the plant 
is decocted is found in the environs of Cu 
1 the Bton^ summit of Ceno de San Crist6baL 
It is also cultivated extensively in the wild but 
nwiBt climate of the Feravian Andes, at from 2,000 to j 
5,000 feot above tlis sea. 

The extraction of cocaine from the leaves of the tsoo^^ 
plant Bs carried out up-country in not by any meana 
an up-to-date procetw. It in, however, the only method 
available to the farmcm at the present time, as, owing 
to the distance from any seaport or raihray-station, Huy 
find it much the cheaper way to extract the ooctune at 1 
the point at which it is gnnrn than to export the leavea j 
in bulk. The only means of communication betweoa f 
the various ports and raflwaya is by the paclc-mule, a 
however crude the arrangement may seem, it is no doobft 4 
the best way out of the difBruIty. When the means ot J 
coouuunicalioD are improved, the method of the extno* | 
will improve also. At the present ttmo to i 
ire 1 kilogramme of cocaine, 300 kilogiaaunea i 
leaves are requirvd. The extraction is carried c 
in three operations : (1) Maceration, (2) intermediate 
precipitation, and (3) final precipitation. The three 
are carried out in the three parts of it, num- 
I., H., ond in. respectively, 
'ndor compartment No. I. there are {our tanks 
ed. In thfM! the roca-teaves are placed. The pi 
aciduUtorn in which water and snlpburio acid i 
I in the proportion of 1 ,000 grammes to 6 gnunmsi, ' 
mixture is ran oH into one tank, sufficient of the 
lion being admitted at a lime to crivrr the top of the 
Here it is allowed to remain for twenty-four 
hours, at the end of which time the liquid is run o^ into 

.. coma 
in It 


another tank, and another supply of acidulated mixture 
is admitted into the first tank. The mixture is again 
allowed to remain for another twenty-four hours, when 
this is again drawn ofE into a third tank, the contents of 
the first being drawn ofi anew into the second one, and 
again a fresh supply of acidulated mixture being ad- 
mitted into the first tank. This process is repeated until 
the first tincture at the end of four days is drawn ofi, 
the first tank then being charged with a fresh quantity 
of leaves ; the others each in turn. After the end of four 
days the initial charge is ready, and every twenty-foux 
hours thereafter whilst the plant is in operation the same 
quantity will be available. After leaving the last tank, 
the tincture is conveyed to a strainer, which takes away 
all particles of dust, etc. From this strainer the 
tincture is run ofi into cylinders. This ends the macera- 
tion process. The tincture is now ready for the inter- 
mediate precipitation. 

This is carried out in another compartment. No. II. The 
boilers contain a solution of carbonate of soda (salino- 
meter, 60°), and are connected by a line of pipes con- 
trolled by valves to the cylinders. The tinctiire now 
being in the cylinders, the valves are opened and the 
precipitation comniences. Tests are continually made 
of this process. A small quantity of the mixture is 
taken out and strained through a funnel, in which is 
placed some filter-paper. The tincture filters through 
and passes down into a receiver, leaving the cocaine on 
the top of the paper. The liquid is then tested by the 
addition of ammonia, which indicates if the slightest 
trace of cocaine remains. If no cocaine is precipitated 
it shows that the quantity of the carbonate is correct ; 
but if there is, the proportion of carbonate is altered till 
the desired result is obtained. 

The precipitating operation completed, the next step 
in the process is the addition of a certain quantity of 



petrolenm. Aft«r this is added, the whole u slowly 
stirred with a funoel-abspod beater having a per- 
forated bottom. Great care has to be token that the 
beater doea not rise above the oil. The stirring is 
continued (or a period of from three to four hoars, ami 
at a very rIow rate, ito that no bubbles are produced, th« 
production of which would ranae a great deal of wasta. 
The oil which now contains the cocaine is ran off into 
the waaher, and is there washed with clean water— ab«o> 
lately free from acids. This having been done satia- 
hetatily the water is poured off, and a fixed peicentaga 
of the oil is taken for test. To this is added varying 
quantities of acidulated water b the proportion of 
3 granunes of add to 1,000 grammea ol water. The 
proportion which is found to pve the beat precipitation 
is applied in the same prc^iortioa to the balk of the oil 
in the washer. The oil and nciduUted water are Han 
•tiiTed vigorously for fn^ni thirty to forty minutes, and 
the mixture is then allowed to rest fifteen minntea. 
The acidulated water, or liquid cocaine, is then drawn 
off and poured into the TesseU. 

In rompnrtment Ko. III. the final precipitation ia 
rftocted. A lest is agam taken of the liquid in a simitar 
manner to that previnuslydesrribed.'only in thii caao, 
mitflad of the aod, use is made of carbonate of soda tn 
varying proportioiu, so as to discover which pvea the 
best results. After this has been aacertoincd, the whole 
nf the liquid cocune is treated with carbonate takm 
from the vessels. It is then left to settle for twelve 
houn, at the end of which time it is passed throng^ a 
strainT, with large quantities of di^tillrd water to wadl 
away the residue of the carbonate, and it is then placed 
in the press. Pressure being applied, all water is driven 
off, the result bemg a white paste uf cocaine, which is 
within 87 to 93 per cent, of purity. This opemtiou is 
carried out daily, and an avenge of 1 Idlognimme 




( = 2'204622 pounds) is obtained every twenty-four 

At times the cocaine, instead of being white, is of a 
brownish colour. This shows an inferior quality of 
leaf, and in this case a further operation is needed to 
improve the colour and quality. The paste is dissolved 
again in strong acidulated water in the proportion of 
5 granunes of sulphuric acid to 100 grammes of water. 
More water is added as the paste is dissolved, until a 
proportion of 3 grammes of acid to 1,000 grammes of 
water is obtained. It is again precipitated with car- 
bonate, put back into the washer with oil, and stirred 
for three hours, at the end of which time the water is 
drawn off. A solution of acidulated water is again 
added in proportion of 10 grammes of acid to 1,000 of 
water. This is kept stirred for two minutes, and finally 
removes the gums, which cause the brown colour ; but 
at the same time a proportion of the cocaine is lost. 
The cocaine is then treated as before. The colour is 
improved, but the weight is decreased, which makes the 
process wasteful. 

The number of workmen in a plant of this size varies 
from three to five. All the channels for tincture and 
carbonates have open tops, owuig to the trouble that 
would be caused by obstruction with closed pipes, the 
carbonates and tinctures solidifying and causing stop- 
The water used must in all cases be filtered. 
The approximate cost of producing 1 kilogramme of 
cocaine by this process is £11 — say £5 per pound. The 
cost, however, varies with the price paid for the coca- 
leaves, which is always changing. 

Cocaine waa exported from Peru in 1909 to the value 
of £60,287. 


Mieing — Spanish grepcl^Minernl dUtriots— Sierrn region — Natnhers of 
olnim* — Workinfi companieB and output— Labour conditions^ Mining 
code — Gold and silver in inei^ Copper depositB — Corro do Paaco — 
Britiah indifference — ''Ophir of Ihe West"— Cerro de PftMO town — 
Various mioerals found— Coal^Mining (or foreignore^Dnnecessary 
ec&re from United Slates of America. 

There are many authorities — Professor Baron Hum- 
boldt and Sir Arthur Helps among them— who aver that 
the Spaniards were not led merely by a thirst for gold 
in connection with their conquests of South America, 
and who attribute their invasions at least equally to 
the pious desire of spreading the Holy CathoUc faith I 
I am afraid, however, that those who read the history 
of the Conquestadores carefully will be unable to share 
in the altruistic views of the two distinguished writers 
whom I have mentioned. Whatever may have been the 
original intention of the Spanish invasion of South 
America, there cannot be any question that, once there, 
the conquerors devoted the whole of their efforts and the 
whole of their powerful resources to securing as much 
treasure as they could steal from the poor natives or 
themselves win from the earth ; and since they were, as 
we know, religious fanatics of the worst kiiid, it seems 
only fair to assume that the spreading of their own 
religion among the native-s was practically throwing 
" a sop to Cerberus," or, in other words, offering a tribute 
or premium to the Almighty in order to obtain absolu- 
ion for their hideous and wholly unnecessary crimes 

^^^on foi 


Although the Spaniards were the first to pursue mini 
in Peru with anything like a system, there is abundant- 
evidence that the Incas knew well how to obtain the pure 
gold from the auriferous rocks with which their country 
abounded and still abounds ; but whence they learned and 
how they practised the art of amalgamation and refining 
the gold are not very clear. The immense quantities of 
both gold and silver ornaments which they manufactured, 
and numbers of which still exist, show, however, that if 
much gold must have been lost in the process of treat- 
ment, a vast amoimt of it was still preserved. Unfortu- 
nately, space will not permit of my quoting in these 
pages, as I feel greatly tempted to do, the records of 
the discovery and working of the principal mining dis- 
tricts under the Incas and the Viceroyalty, a subject 
which forms a highly instructive and intensely interest- 
ing chapter of the history of those periods. My present 
and more prosaic task is to briefly consider the physical 
features of the mining industry of this richly endow< 

As I have previously mentioned, there are three 
tinct regions in Peru — the coastal, the mountain, 
the forest. The first is an arid and wide-spreading zone 
where little or no rain falls. There are no mines here, if 
one excepts the petroleum deposits and the sulphur- 
mines located upon the northern coastal plains. In the 
forest region there are also but lew indications of an' 
great mineral wealth, although here are found a 
widely separated deposits of gold-bearing quartz 
placer gravel on the border of the forest region in 
southern part, of the country. 

The great mineral wealth of Peru lies in the sierra or 
mountain region, and, as is not unconmion with Nature 
when she bestows great riches upon humanity, she has 
placed them in almost inaccessible places, and has ren- 
dered the task of gathering them as diflicult and 


•e, if 




u pcMsible. The most valuable mines in 
Peru are tiiose ftituatod at an altitutlc <■( from 8,000 to 
12,000 feet, and to roarh which, until the advent of the 
railway, steep and tedioiu moontain trails had to be 
onwaed, and every pound of equipment and machinery 
carried laboriously and alowiy. packed in amall sections, 
upon the backs of draught mules, to the mines, where 
they were put together. 

Some few yean ago, when the official list of mining 
claims was iaaued, there were nearly 10,000 claims listed ; 
and out of these nearly 1,200 were being worked by 
160 different native and foreign-owned companies. 

The mineral production of the Republic includes coal, 
crude petroleum, gold, silver, copper, lead, bismuth, 
ntrkel, m<Mrury, sulphur, iMinuc, antimony, molybdenum, 
and salt, the working of the latter l>eing a monopoly of 
the Peruvian Qovemment. According to such mineral 
statistics as are available, there were at thia time in 
operation twenty-four tixiviation plants, seventeen 
amalgamation plants, thirtocn smett^^rs, three lead 
smelters, three concentration plants not connected with 
smetteiB, two smelting and beaaemerixiog of copper 
plants, two petroleum refinerice, and one sulphur re- 
finery. Of the smelting plants the more important are 
the smelters of the Cerro de Paaoo Mining Oimpany, 
which have a capacity of fiOO tons per day ; the Backus 

LAod Johnaon smelter at Casapalca, with a capacity of 
tons per day ; and the Huaracaca smelter, situated 
the mad to Cerro de Pasco, which has, with conoentm- 
and amalgamation, a capacity of 100 tons per day. 
These different smeltem are all easily accessible on 
account of the Central Railway almost passing their 
doors ; but the tv aiv a number of smaller smelten which 
are so far away from existing railwayit as to have proved 
anything but successful ; with the advent of branch 
lines, however, snob aa are contemplated, the majority, 



if not the whole, of these furnaces would come actively 
into operation. 

Usually speaking, there is sufficient labour for the 
mines available ; this is performed by Indians and the 
mixed native races. They are found quite obedient 
and docile, but usually very ignorant, and they are 
prone to indulge too much in keeping their numerous 
saints' days, to which they cling as tenaciously as the 
Indians of Mexico, who celebrate as many as 200 saints* 
days in the year. On the other hand, many of them 
own small patches of land, and these they industrioiisly 
cultivate ; at certain times of the year they will dis- 
appear, generally without notice, in order to till or reap 
according to the season ; but they almost invariably 
return after these operations are completed. 

The daily pay of a common kbourer ranges from 
20 centavos to 1 sol (5d. to 2s.), while iu the smelting 
and concentrating eheda it ranges from 60 cetUavos to 
1 sol 20 centavos (Is. 3d. to 2s. 5d.), and in the ore- 
packing sheds from 40 to 50 centavos (9d. to la.) per 
ton per kilometre.* 

The Peruvian Government has naturally done — and 
is doing — much to foster the muiing industry, in view 
of the substantial revenue which it obtains — and will in 
a few years' time enjoy— from it. In 1876 the School 
of Mines was established, and has proved usefid to the 
industry, some exceptionally briUiant young students 
having distinguished themselves, not only in the Re- 
public, but in other parts of the world. In 1901 a new 
Mining Code was promulgated, and this gave a fresh 
impetus to the development of mining. The new Code 
affords additional facilities for acquiring mining pro- 
perties, ample liberty in working them, and absolute 

* A good deal of iDfoTmatioD regarding tlie phjetcal features imd minin g 
induslcj of Fecii may be [oimd in a pampljlet by Mr. George I. Adams, of 
Washington, b.C. U.S.A., being extrncla from n. paper read before the 
American Inatilute of Mining Eagineers, February, 1B03. 


their poaaeBsion. The importatioti 
uiarhinery, aa well as the fixtazes and tools lued 
mining, is exempt from Customs duties, as are also c 
timber, dynamite, quicksilver, and other materials 
necessaiy (see Appendix). 

The Peruvian Mininf; Code, which may be purchased 
ID a complete form at a very reasonable price, declares 
that any individual may acquire mining properties witli 
the number of claims {pertenencias) desired from one to 
sixty. A perfatefMM is the unit in mining properties, 
as it is in Mexico, Colombia, Venezuela, and other 
Spaniah • speaking countries, and measures 200 x SCO 
metres, and thus coven an area of 40,000 square 
mettes in the case of coal, petroleum and gpkl placets, 
platinum, tin, etc. ; but in all other mining properties 
the perteneneia measures only 200x100 metres - 
20.000 square metres. For every perlenencia the 
owner must pay to the Qovermnent a tax of $15.00 
(£1 10s.) each half-year, or £3 per annum. 

The administration of all questions and the settlement 
of all disputes in relation to the mining industry remain 
in the hands ol ih.t Qovemmcnt, which is assisted in ita 
decisions by a Superior Uioing Council and by " Delega- 
cionea " and " Diputacionea," appointed by ibe mining 
districts. The Department of Encouragement and 
Public Works is the executive, having control of all 
mining matters ; and it acts up to ita name admimbly, 
litemlly " encouraging " in every possible and legiti- 
mate manner both mining and other euterpriaes, 
whether undertaken by natives or forsignem, which 
can in any way redound to the advantage of the country 

' Gold is found in veins of fvmiginutui quartx, ge!neimll]r 
ompanied by other metaU, such as NilvtT and copper 

Bt it is also found in the form of nuggets, ur in 
alluvial d^Nwils and in the sand which is brought down 



by the moDntain streamB darmg the fzeahets. Silva 
is found in practicalfy every part of the vast Andean 
tefpoo, and there is scarcely a single defile, however small, 
in the whole of this enormous area in which veins of 
silver more or less rich — ^bat frequently unworkable <mi 
account of their remoteness from a railway and the diffi- 
culties of mule transportation — cannot be found. The 
white metal is generally encountered mixed with lead 
or copper, and frequently with both. In Pern alone I 
have seen the cnrious ore called cascajo, which, althou^ 
having no metallic bri^tness, owing to the oxide of 
iron which it contains, is nevertheless freqnentfy found 
to be very rich in silver, as well as in copper ores. It is 
this chanicter of rock which is met with principally in 
the mining districts of Cerro de Pasco. 

The best-known mining ranges for production of silver 
are : Hualgayoc ; Salpo ; Callejon de Huaylas, in the 
north ; Cajatambo, Huarochiri, Tauli, Cerro de Pasco, 
Hnallanca, and Castro- Virreina, in t^e centre ; Lucanas, 
Puno, Lampa, Cialloma, in the south. 

In no country will copper be found in greater quan- 
tities, nor in more remarkable combinati<ms and forms, 
than in Pern. The veins actually of copper contain this 
metal with a onaU proportion of silver and a yet smaller 
ratio of gold. Although it may be met with in Chimbote, 
lea, and Lomas, it is at Cerro de Pasco that the red 
metal is found in the greatest abundance and of the 
greatest richness, the deposit being an accumulation of 
copper, silver, gold, and lead ores, with various other 
minerals in a lesser degree. 

Early in 1902 a certain J. Haggim, with some others, 
became interested in this region, and they acquired the 
mines referred to at an extremely reasonable price, 
which, however, did not prevent them from bringing 
out a Company to work them with an authorized capital 
of 160,000,000 (£12,000,000). Of this large but stUl 

Digitized byGOOgle 

^teewMuy sum nearly $30,000,000, (£6,000.000) bave 
been alrettdj expcodod in the purchase of the mmcs* 
ooagtntction of the railroad, smehcrs, office buildings, 
■nd other devolopnicnt expenses. All these constrao< ' 
lions show evidence uf firstrclasB work, a remark which j 
maj aUo be applied to the Bhaft-house, wazdionses, and 1 
jranlfl ; while the Eaperanxa Club House, which has boea I 
erected far the use of the many American employ^ j 
engaged by the Company, is oae of the most comfortable I 
edifices of its kind, and, indeed, it need be in view ot J 
the abaolute lack of roereatioii or out«ide amnsementa ' 
and resources that the town of Cerro de Fasoo oSen. 
The mining plant is one of tiie most complete and 
efficient that can be seen in any part of the world, and 
I regret that lack of space prevents me from describing 
it in farther detail 

How the British capitalist, through nervousness or 
ignorance, and often through both, allows goklen oppor- J 
tunity to slip from hb grasp, is shown in the cose of the ^ 
Cerxo de Pasco mines. Ilieee mines were offered by 
their discoverer—a man named Bennett, now dead— to 
the arm of N. M. RothschiU and Son, of New Court, 
St. Swithin's Lane, and it seemed at one time as if they 
were likely to take them. But the spirit of cautiousness, 
so commendable upon some occasions and so dcplumble 
upon other*, overcame the desiie to do a good stroke ot 
bnsmeas ; and. the Rothsohikb withdrawing at the hut 
moment, the Americans, ever ready to " smell " a good _ 
bargain, came in, and to-day the famous Oeno de Fasoo J 
is a North-Ametican enterprise, managed by Amerioani, 
equipped with American macbinory, and finding occupa- 
tiaa for sevcml hundreds of American engineers and 
employ^ And aU of this, but for poor judgment and 
woBe timidity, mi^t have been British ! In 1907 C«rro 
de Paaoo minea shipped 10,000 tons ; in 19(l(( they &bip]Nxl 
15,000 tons ; and this yeu (1911-13) it is expected they ^ 

18 I 


will ship something like 35,000 tons, and erentxu 
50,000 tons per annum of copper ores. 

But for the magnificent output from Cerro de Pasco 
mines, it is very doubtful whether the Central Railway 
of Peru — that stapendous enterprise known as the " rail- 
way in the clouds," and which cost the British investor 
the huge and unproductive sum of £5,000,000 to build 
and equip — could be run at all ; for it3 mainstay b, and 
always has been, the ore from the Cerro de Pasco mines ; 
80 that if the British capitalist has lost the chance of 
owning the mines, he has at least the consoling privilege 
of carrying its output, or a part of it, until the Company  
— as is possible — builds a railway of its own, | 

Yet, if we have lost the chance of this splendid pro- 
perty, there are others existing which are, in all prob- 
ability, as desirable. The whole of this region of the 
Andes is fabulously wealthy in all kinds of minerals, 
the veins actually of copper containing this meta! with 
a small proportion of silver and traces of gold. The 
arsenical and antimonial salphurets are found in great 
abundance in this district, as well as in others such as 
Chimbote, lea, and Lomas, and they are at the present 
time the object of considerable exploitation in these 
mining centres. Copper, however, is but one out of 
several minerals which are to be found — and found in 
immense quantities — in this well-named " Ophir of the i 
West." I 

I have written nothing of the rich deposits of ala- 
baster, porphyry, marble, and a jade which is better 
than any to be foimd in the old temples of Rome and 
Greece. I should say, from what I have seen and what 
I have heard about the minerals of Peru, that there is 
hardly one of the known kinds but can be found some- 
where or other in this country. Upon looking at some 
records made up within the past few years, I observe 
that the metric tons mined in 1905 amount«d to 165,256, 



bile in 1908 the amount bad beeo only 106,072 tons. 
The commercial value had alao risen to $1,828,531, aa 

^inst $1,382,080 for the same periods. 

! preseut eondition of the mineral and metal in- 

ItrieH of the Republic in indicated in th« Kuhjiiiued 
:— Erporta: (1907) Iciki, .19.939.937. value 

1.972.929; (1908) kilos. 47,4«2.M8, value £P1.601 ,227 ; 
0) kilos, 40.809,037. value £PI .6:18,180. 
' Uany of the ouning towns in Peru, as in Hexioo, < 
preaent a gloomy, rather dilapidated, and othenriasJ 
tinattractive appearance to the foreigner, who 
accnatcmed to the brigbtneas of many other, and 1 
especially North American, mining centres ; but Ceno i 
do Pasoo certainly takes nuik as one of the most da- ] 
pressing. The town itself was established some thraa J 
centuries ago, and is one of the oldest mining towns in J 
the New World, ita population being over 10,000, aodl 
its elevation some 12,000 feet above the level of the saa.,! 
It has, sinoe the seventeenth century, been a oentn ot 
mining activity ; in fact, as the legend says. " si 
shepherd found some curious metal b the bed of the 
fire he had tit to protect himself from the cold and the. 
damp." The town, althougli quaint in appearance, WM 
decidedly unpleasant as a place of residence, owing toT 
ita ondeanlineas and general decayed condition. Tl 
inhabitanta seem to be among the less eanful 
penonal appearance of any of the natives to be fooi 
u Peru, and the various stenches which emanate from 
the streets would put to the bhuh the " sevonty-two 
different stinks " which are supposed to distiB 

In fact, Coleridge's deacriptioo of that city migb 
well have bean writton about Oerro de Paaoo : 

" In Kola, a tMm of awaka uJ tiaii. 

An4 ragp Mil Im« B^ UAm wwi 



y 4 

; of 



Nevertheless, that one may live there with safety 
regard to one's health is proved by the fact that the 
British Consul, Mr. Stone, has resided in Cerro de Pasco 
for thirty years, and seems to all outward appearan< 
to be as hale and hearty as ever. 

Lead ores are abundant, being found freqviently 
the veins of argentiferous galena. The most notob! 
are the mines in Yaiili, Huarochiri, Chilet, Pallasoa,^ 
Huari, Canas, and Recuay. 

Quicksilver deposits are found in the Department of 
Huancavelica, notably in the famous and historical mine 
of Santa Barbara, which was worked to great profit 
the Colonial period. 

Tin is not very often encountered, and where it 
found the deposits are of no industrial importance. 
Iron is more plentiful, but it has not hitherto been the 
object of systematic industrial exploitation. It is found 
in fairly large quantities in the districts of Galea and 
Lares, where beds exist with a grade of 80 per cent. 

Nickel is abundant in the district of San Miguel, in 
the Province of La Mar. Sulphur is not only found in 
all the extinct volcanoes, but also in the form of extensive 
beds near to the sea. 

Bismuth occurs in various parts of the country, 
particularly in the Department of Junln, where a bed of 
bismuth-ochre has been discovered with a grade of 
40 per cent, of bismuth. Mica has recently been dis- 
covered on the coast, in the Department of Piura. 

Borax occurs in important beds in the Departments 
Arequipa, Moquegua, Tacna, and Puno, and the Centi 
Railway's line passes through a large bed of this mineral. 
Molybdenum has been exploited for the past seven years 
in the Province of Jauja, where the deposits contain, in 
the form of sulphuret of molybdenum, from 20 to 30 per 
cent, of the metal. 

One day — and that day ia not far distant -the vi 





o^o^fl of coal in Peru will be worked, and worked 
profitably. Practically all the representatives of the 
anthraconites are found — anthracite, pitcoal, lignite, 
and peat ; while in Cuzco I have been shown some of the 
coal-beds of Tonquini, which contained whole trunks of 
trees perfectly carbonized. A private museum in Cuzco 
which I also visited contained an extraordinary collec- 
tion, comprising not only samples of coal, but specimens 
of all the minerals found in Peru. The museum belonged 
to an old Peruvian gentleman of eighty years of age, who 
was willing to spend hours, and even days, with anyone 
who cared to listen to him describing his treasures ; and 
who would slowly toddle around Lis small room (measur- 
ing 30 by 40 feet), which contained, however, exhibits — 
so he assured me — worth nearly £100,000, with perfect 

Of the deposits of petroleum and salt I speak more 
fully in another portion of this volume (see p. 376, 277). 

I have observed from time to time in various publica- 
tions, and especially in Consular Reports, that certain 
writers consider Peru to be an unfavourable country for 
emigration ; and some among them — the American 
Consul-General at Callao, for esample^ — have expressly 
warned foreigners from coming to the Republic, In 
justification for the tendering of this advice a great many 
so-called facts are set forth, which, although not untrue 
in themselves, might well apply to almost every country 
on the face of the earth, and more particularly to Great 
Britain and the United States. The last-named 
authority to whom I have above referred, for mstance, 
says inter alia : " There is no work to be had for 
Americans at Mollendo, nor in the interior, nor at the 
mines, nor anywhere in the mining sections. If they 
come without money they will have great difficulty in 
^^ffetting away to some more profitable country, and 



From my own observations I am quite unable to 
endorse these statements, my experience being that 
when I required some very ordinary clerical assistance 
in the form of a shorthand-writer and typist, I found it 
practically impossible to obtain one, and discovered 
subsequently that the demand for such assistance was 
invariably larger than the supply. The same remark 
applies to mining, different managers informing me that 
they were generally very short of foreign labour, and that 
any man who was worth his salt could readily find 
employment. This was abundantly testified to by the 
large number of young Americans who were employ«l 
at the Cerro de Pasco and other mines, although their 
Consul-General avers that " they can find no employ- 
ment anywhere." 

I thoroughly endorse the recommendation that it is' 
inadvisable for anyone in mercantile, mining, in edu- 
cational, clerical, or other lines of commercial life to 
proceed to Peru without having previously secured a 
guaranteed position in some respectable concern ; but 
is not this a suggestion which might, and does, apply to 
practically every other country 1 By issuing such a 
scare-report as this the American Consul-General at 
Callao is scarcely rendering good service either to his 
own country or to the Republic to which he is accredited, 
for it may serve to keep away a great many young and 
enterprising men who would otherwise do extremely 
well in a country just on the verge of its commercial and 
industrial development. — one which offers exceptional, 
guarantees for personal safety, which has an imdeniably 
equitable climate, and where foreigners are made 
especially welcome. Personally, I would far rather take 
my chance of finding casual employment and a courteous 
reception in applying for it here than in either New 
York, Chicago, or London. 

It would also be seen from perusing the following 





it« how Htrongely the ohttervatioiui made by Mr. 
Henry Robertmn, the zealous and well-meaning 
it«d States Consul-Oeneral in Callao, compare with 
some remarks expressed by Senor Don Felipe Pardo, 
Envoy-Extraordinary and M mister-Plenipotentiary for 
Peru to the United States, and by Professor David 
Kinley, Director of the School of Commerce of the 
University of Illinois, one of the delegates of the United 
States to the last Pan-American Conference held at 
Buenos Airra. Both are at least as r«8pDnsiblc authori- 
ties u Mr. W. H. Robertson. SciiDr Felipe Pardo 
observes : " Among the ootmtrics of South America, 
Peru perhaps offers the best return for your capitaLiJ 
Her ports are less than 1,000 miles from the Canal, her 
waters are truly Pacific, her climate is temperate. . . . 
American capital could be advantageoasly invested." 
He also spoke eologistically of the mines, some of which, 
worid iMtaoaa to-day, have been developed with American 
ospilal. How could this have occurred bad the United 
States Consul's recommendations to stay away prevailed 
generally, and his warnings taken seriously by those to 

'torn they were addressed ? 

'"low let us see wliat Professor Duvid Kiult^y has to j 
I deprecate our tack of knowledge and adapts f 
:y to South American ways of doing buianeaa. Wa j 
far too often send down meji who cannot speak Oat | 
language. This ti a waste of time, money, and good I 
temprr. You cannot do businesa with n man unless yoa i 
talk to him. You may get all the interpreters you VOu, i 

|t he will not catch your meaning, and you cannot catoli 1 


CaUm— Eulj hiatcwy— HiysiwJ upeots— Climats— Sabnrbo — SMiiurr 
■mprovementa — Chorioa — Ia Pimta — The voloaiio of Histi — City of 
AreqmM— Early history— Euthqnakea— Hospitality ot the inhabi- 
tants— Bnildioga — Banka — Tnmways — Electnoal eqnipments — Life 
in Areqnipa — Coseo — Bnins — Hodon oity life. 

There is probably no more genuinely interesting city 
in Peru, nor one which is more ftimous for the romance 
attaching to it, than Callao, which, historically speaking, 
is as ancient as Lima itself. Having withstood many 
sieges by pirates, in which encounters it came oS usually 
by no means best, Callao was compelled to capitulate 
to the earthquake of 174€, which was accompanied by 
a tidal wave, the combination of disasters resulting in 
the entire place being destroyed. It is recorded that 
both the town and port disappeared from view, and 
t^ete is nothing left to tell the tale but a few traditions 
more or less to be relied upon. In 1867 Callao ex- 
perienced a second seismic shock, which, although less 
disastrous in its results, nevertheless proved bad enough. 
Callao was founded in the year 1537, two years after 
the foundation of the city of Lima, and in 1671 we read 
of its population being " considerable," and, indeed, so 
important was its trade that the title of " city " was 
conferred upon it. For many years it remained the 
centre of Spanish colonial commerce, and so much 
wealth was piled up in its warehouses that the cupidity 
of the famous British pirate Drake was excited, and in 
1578 he descended upon the coast, seized several 
merchant vessels in Callao Harbour, and appropriated 


the booty. Then it was that the Viceroy, Count del 
Villar, considered that it was high time to fortify the 
place ; and forthwith he proceeded to do 30. How well 
he succeeded is proved by the fact that when in 1624 
the place was again attacked, this time by the Dutch 
pirate, Heremati Clerck, with eleven ships, 240 guns, 
and 1,600 men, the enemy was beaten off with compara- 
tive ease. History records that Clerck took his defeat 
so much to heart that he died of grief, but it is not 
chronicled that the good people of Callao expressed any 
r very deep regret nor that they went into mourning. 

From this time onward Callao seemed to thrive and 
pfructify ; its population increased, and many handsome 
buildings, including one convent, seven temples, and 11 
whole range of Government and commercial offices, went 
up ; but unfortunately they also went down, for the 
arthquake of 1746, as already observed, completely 
Idestroyed the city, some 6,000 of its inhabitants perishing 
' in the catastrophe at the same time. The survivors, 
with that extraordinary pluck which characterizes the 
Latin-Americans in the face of terrible seismic disasters, 
at once proceeded to rebuild the city, and to fortify 
the port with castles and bastions, provided with 160 
pieces of artillery of different calibres. The military 
garrisons played an important part in subsequent 
political wars, and this fort was the last bulwark of 
Spanish power in South America. When in 1826 Pern 
was declared an independent State, Callao became its 
principal port. 

It cannot be said that the first impressions of C-allao are 
particularly favourable. Landing at the Muclle Darsena 
m small boats, tlie steamers usually taking up their 
berths after passengers have been landed, one is con- 
fronted by a maze of narrow and irregular streets, the 
houses in which appear to be somewhat badly ventilated, 
and the paths leading to them usually dusty or dirty. 

I ,, , Goo; 


Aoe  a 1>^ open area 
CB Wve been laid 
ovk aft q ^ aa^ea. At posBt, howg vw. time Inve 
bw arity wwJ ntr c^teea qarted iqwo Aem. An 
OBilnft, tf Kit teo ffU|ft , otfTice of tzama nms 
balnea GaDao aad I^na, a distaace of seven miles, 
tfce timt oeea^wd oa tbe joaiaey bong from twenty to 
imuIv aiiHHwai 

Tbat CaDao it Bot Bcnaeing in popnlazitT aa & place 
of zcBidoMe is pnmd bjr the la^ Domber of mercliants' 
1 wbicil bave closed their doors, the occapants 
J their dunidlea to lima. Scarcely a dozen 
laomiiient finns now have separate offices at the port, 
SQch aa there are being merely those which are nsed by 
tally-clerks and for the ordinary business relating to 
the receiving and discharpng of cargo. The tramcars 
arn\'ing at Callao in the morning and leaving for Lima 
in the evening are usually crowded to excess with clerks 
and workpeople, reminding one forcibly of the appear- 
ance o£ the " Tubes " in London, or of the " L " Railway 
in New York daring the same hours of the day. At 
night the street* of Callao are given up to the inevitable 
prowling cat and the sleepy, bemuffled policeman. 

When it is dull and hazy at Lima, and that ia for one- 
half of tlio year, the sun nan always be reckoned upon 
an nhining brilliantly at Chopica, situated at a distance 
of but thirty miles from Lima. Beautifully located at 
the foot of verdant and buslty hills, amid most fascinat- 
ing scenery, this delightful little place is a favourite 



^^_ Saiia 

retreat for the Limonians. The summer season syn- 
chronizes with the hideous winter months of Europe and 
the United States, and no greater comparison can be 
drawn between beauty and desolation, between comfort 
and discomfort, for residents than these difierent 
localities situated at almost opposite extremities of the 
world. There is a very pleasant but small hotel, and 
also several handsome private residences. If I were 
asked to recommend any particular place of residence 
among them I should be inclined to mention the 
Sanatorium, which, although possessing an unattractive 
really a very agreeable place in which to pass a 
iw days ; at any longer period I should hesitate. 

To the left of the port of Callao, within a few minutes' 
ride, there is the small and attractive suburb at present 
of modest dimensions only, called La Punta, or " The 
Point," an apt name, inasmuch as the land consists of a 
small peninsula forming part of the bay, and facing the 
island of San Lorenzo, The social season lasts from 

!cember to May, during which months the place is 
well patronized by the people of Lima, who can 
La Punta by direct street-cars, which make the 
run in twenty minut«s. A few new houses have been 
erected this year in addition to the Eden Hotel, which, 
if not elaborate in design, at least enjoys an attractive 

A new era of prosperity dawned for Callao in 1900, 
upon the recommendation of the Institute of 
ivil Engineers in London, Mr. E. J. Ruinsby, M.I.G.E., 

B sent out to Peru to make plans and give estimates 
a complete system of water-supply and drainage. 

spite of its being the second most Important city in 
the HepubUc and having a population amounting to 
nearly 35,000 inhabitants, Callao for many years had 

:n left in a dirty, insanitary condition ; it is in some 

,rtfi dirty still, but insanitary no longer. 

birly i 
fteach ] 




The Saprone GoTenmient gave He ocmsent to the 
deftnabg progzamme in 1901 ; the moo^ to build the 
watenrotks, xnd later (» the drainage-works, amounting 
to £12,000, was found, and the first part of the onder- 
taldng was completed and put into use in 1901. 

About twenty-foor miles of piping are laid down in 
Csllao, the head worts of the water-supply being sitxiated 
5 kilometres above the town at a place called Chivato, 
from which there is a drop of considerable depth. The 
main-supply pipes, made of cast-iron, are 21 inches in 
diameter, diminishing gradually until they reach the 
diameter of the street laterals (5 inches). The amount 
of supply is 30 gallons per head per diem, for 50,000 

The static head in the town mains equals 80 feet, 
afiording an average pressure of 38 pounds to the 
square inch. Nearly the whole of the houses in Callao 
have been connected up, and although the rates are 
deemed rather high — there are many people who think 
that they should be provided with water for nothing ! — 
general satisfaction with the service is expressed. 

The sewerage system forms the second part of the 
scheme, and this is making such excellent headway that 
in all probability it will be in full operation before these 
lines are in the printer's hands. Mr. Rumsby, the 
engineer in charge, has made provision for a population 
of 60,000, or almost double that of which Callao boasts 
to-day. The town is divided into three zones, the 
sewerage system being so conducted that at all states 
of the harbour tide the outlets of the discharge pipes 
are completely submerged, thus assuring a thorough 
diffusion into the sea. The works were commenced in 
the month of February, 1907. 

Arequipa is both the name of the Department and 
that of the Capital. The former Ues along the Pacific 
Coast from latitude 15° to 17" 20' south, the entire 




amonnting to about 200,000. A laige 
volcanoes exitit bctv, Bome extinct, others 
\y active, among the Utt«r being the beaatifal 
Histi (also called " Arequipa "), wliicli reminds one in 
appeacaace veiy much of Fujiama, in Japan. We see the 
same perfectly shaped cone, the same majefitic propor- 
tiona, and the same awful grandeur which it« cahn, 
changoleas digni^ produces. Ita height is 20,320 feet 
e the sea, and its head is ever under snow. The 
emptkni took plaoe in 1839. 
It would occupy several volumes to afford my readers 
anything like a practical idea of what the chief Peruvian 
cities are like, and I can only hope to say something very 
' f of a few among them. Alreatly I have spoken in 
earlier chapter of Lima and Callao ; I would now 
.k, I fear but skct^hily, of Arequipa, the thinl most 
uiporlant centre in Peru, and one of Uie seats of Spain's 
great coloDization power. 

The city of Arequipa ties at the foot of the superb 
volcano, and buried in a fertile volley. It is divided into 
separate districts — Santo Domingo, San Francisco, La 
:, San Aguatin, and Hiraflorea. The population 
biy ezoeeda 3B,000. The city is typically Spanish. 
the streets bemg laid out at ri^t an^es ; the hoosea 
mostly one-storied, whfa ugly fiat roofs— the best 
of edifice no doubt for a pUce so often visited by 
jnakee as Anquipa, which bad serious vtsitations 
in 1582, 1609, 1784, nod 1868. 

I have, however, seen some realty handsome houses 

this city, but they were probably the rendenoes of the 

grandees of those Colonial days, when all labour 

foned, and most material either stolen or acquired 

practically nothing. The principal material used 

the walU is a wft magnesium limestone. The houses 

ive several innpr-t^cnlrts, or potior, and the rooms have 

handsome moulded ooilinp. Arequipa is a Univetiity 



town ; it has a public library ; several academies ; 
the seat of a bishopric, and it supports several news- 
papers. Electric tramcars will soon be traversing its 
streets, and already some very conunodioos and sub- 
stantial public and private buildings have replaced the 
old and unattractive houses of later Colonial days. 
The Chief Depot of the Mollendo-Arequipa Railway 
(Southern Railway Company) is here, and the general 
manager, Mr. H. A. McCulloch, occupies one of the moat 
pleasant residences in the city, he and his charming 
wife being the moat popular, as they are certainly the 
most hospitable, among the foreign residents. 

Lima was not the first city in Peru to be founded bv 
Francisco Pizarro, as so many historians tell us. 
satisfied myself that at least one town dates fromj 
earlier period — San Miguel de Piura, which was aci 
commenced by the Spaniards in 1530. Even Trujilli 
older than Lima, for whereas the latter was founded in 
January, 1535, the former dates from 1534. Then came 
Arequipa in 1540, Ayacucho, Huamanga, and Potosi in 
1542, and the city of La Paz — both now comprised in 
the Republic of Bolivia — in 1549. Cuzco, the beau 
Inca capital which Pizarro occupied in 1534, of 
had already existed some centuries before. 

Arequipa seems to have been a place of some coi 
queuce even in its earUest known days, since we read of 
it sheltering, in 1553, Francisco Hernandez Giron, one 
of Pizarro'a captains, who broke out into rebellion 
against him, and collected a formidable army to resist 
the Conqueror's authority. It is only those who have 
made the long and tedious journey from MoUendo to 
Arequipa and vice versa by train, who can realize and 
appreciate the physical pluck and endurance of those 
Spaniards who marched in their heavy, cumbersome 
armour, and without any of the commissariat (so neces- 
sary upon a journey of this kind) from Arequipa to 


■T U 




its gruesome pyramid to the skies, now stand endless 
church towers, some of them monstrosities of ugliness, 
others types of beautiful Spanish-Moresque architecture. 
I do not know precisely how many churches are owned 
by Cuzco ; but they certainly cannot number fewer 
than threescore. 

It is the surrounding territory of the town, however, 
which will claim the first attention and enrapture t^e 
mind of the visitor who is at all interested in the history 
of the wonderful people who, but four centuries ago, 
inhabited this city. The numerous ruins which exist, 
the curious formations of which often completely puzzle 
the observer as to what particular use they were 
originally devoted ; the remarkable character 6f the 
architecture, solid and sensible, often composed of gigantic 
slabs of rock so artfully welded together — and without 
the use of a shred of mortar — as to present the appear- 
ance from a short distance of a solid whole ; the huge 
plazas, or public squares, in which the Incaic celebrations 
took place — all of these impress the visitor as strongly, 
and produce a feeling of melancholy as profound, as 
the ruins of ancient Egypt, the remains of the Toltecs 
in Mexico, and the vast deposits which have been left 
by the former inhabitants of Anuradhapura and Folon- 
naniwa in Ceylon. 

To-day the electric light illumines the straight and 
regular streets of Cuzco ; trams — primitive and uncom- 
fortable, but still tramways — perambulate the thorou^- 
fares ; a railway-station, located a mile or so from the 
town, fills the quiet air with locomotive whistling, and 
the shunting of heavy goods wagons can be heard 
both night and day. The telegraph and the telephone, 
fresh ^h and meat of the best quality, a profusion 
of fruit, and the choice of many comfortable modem 
dwellings make Cuzco a by no means unpleasant place 
in which to reside occasionally. 

f DigmzcdbyGoOgle 


ForaigD eompMUM— TIm F«ni*lui Cofporation— BaUUoiu «ilb the 
OoT«niiiwnl — LImk lUilwftTi — Pwnrisn *"■»»"" CoBBpMiy — Pnia- 
nittjo MKudkb— UnitMl Bteta^ raoogpition of Pan >■ pnmwlnf 
Mrrilorj— PodtloD of lh« Coaip«ii7--LoMt(M oil-flalda— B*ekiu aaa 
JohiMOD Bnwerj — Paroviaii CoUoo UuinfMitiiiiiig CompMij. 

The aggregate of foreign capital which has been from 
fimc to time invested in Peru camiot be to^ay much 
less than £60,000,000, if one considers the several large 
and important undertakings which such an amount 
represents. British, North American, Qerman, and a 
small proportion of French capital has found its way bto 
the Republic, which in the coming years is destined to 
receive a considerable augmentation. 

The Peruvian Corporation, Limited, is an institution 
which is probably unique both tn regard to its origin and 
its position, offering an example of a huge financial 
association charged with the double trust of protecting 
the interests of some thousands of foreign shareholders, 
whose money is invested in Peru, and conducting the 
management of a number of important transportation 
and commercial enterprises in such a manner as to please 
its shareholders, satisfy the public, and content the 
National Government. 

The difficulties, dangers, and disappointments atten- 
dant upon such undertakings can well be understood, 
and the necessity for steering a course which shall 
satisfy all alike is apparent. How that course baa been 
negotiated in the past and with what amount of soooMi, 
the records of the Coipocatioa plainly show. That its 

Digitized byGOOgle 


career has been a somewhat exacting, and at times 
afanoet a discouraging one, may be admitted. Snch a 
ddicate poettioo as that occnpied by the management 
in Pera must command some sympathy, and the Cor- 
potation's many critics are apt to overlook the inherent 
difficoltiea which of a necessity exist. 

It would be idle to deny that, some years ago, strained 
relations existed, and continued for some time, between 
successive Peruvian Governments and the Corporatiwi. 
The latter had been charged in those turbulent days 
with " showing a lack of clear-si^tedness, with ob- 
stmctioD, and with displaying a want of sympathy, as 
well as failing to realize the precise objects with which 
it was originally formed." These were the complaints 
lodged by certain Peru\Tan critics, at least ; and some 
allowance must no doubt be made for the natural 
irritation of those patriotic souls who find a masterful 
and determined and extremely powerful foreign in- 
stitution dominating the entire national transportation 
arrangements of the Republic, and occupying the always 
unpleasant and frequently dangerous position of usu- 
fructuaries. The same irritation prevailed in Mexico 
BO long as the Central Railway remained under North 
American control, and ceased only — and even then not 
entirely — when the National Government purchased 
the principal interest and assumed the direction. Con- 
sidering the extremely onerous situation in which 
the Peruvian Corporation has been placed during the 
long period of its existence, the wonder is not that there 
should have been some, but that there should not have 
been more, friction with the Giovemment and the 
pubhc of Peru. 

The progress of the Corporation during the past 
twenty odd years may be gauged from the figures which 
are available. From 1890 to 1891, for instance, the net 
receipts in sterling amounted to £91,771 Us. 3d., while 




let J 



^Tor 1891-92. tlie reoeipU went up to £137.816 I4a. 8d. In 
the next Uiree years they slid hack, however, moontmg 
again in 1895-96, only to fall back once more in 1897 ; 
bat from that time onward the receipts seemed to havU 
ahown a steady, if not a sensational, increase tmtfll 
1908, when they amounted to £263,203 19s. 5d. Fot^ 
the year 1908-09 there was experienced a slight diminn- 

I tion, partly due to a decrease in the guano income, and 

Krtly to increased fixed charges, which, however, had J 
m to oome extent counterbalanced by an increuM 
the railway net receipts. For the periods menti<medl 
I railways contributed not less than £228,247 Os. 3d^ 
against £105,745 14s. 9d., or an increase <h 
!,501 lOs. 6d. ^ 

With the exception of their land colony, which showed 
a small debit of a little over £6,000, the whole of the 
undertakings in the hands of the Peruvian Corpomtioo 
proved n'niunenitive for the year ending June 30, 1910, 
a pnifit for thr twelve montlu of £285,177 being shown. 
For the mitways and navigation there was an increaae in 
net income of over £93,000, but, on the other hand, there 
was a reduction of revenue from goano of nearly £38,000. 
It it inletceting to compare statistics of this Corpota- 
(km linoe 1890 with tbosc of pteacnt date, so far as net 
receipts in sterling are concerned. From 181X^91 the.4e 
receipts amounted lu £91 ,771 lis. 3d., while for 1909-10 
tiey figured at £333,559, or over 200 ppr cmt. inrToase. 
The net receipts for the last twelve months are the 
hi^est in the history of the Corporation, but by no 
^^^Hsna ao in regard to tho working expenses, which. 
^^^■Dh three previoaa occaaons, at least, were greatly in 
^^Ptom of but year's figures. 

The qnettioD of the tmte of eichange has played a 
momentous part in the C'urpcimtinn'fi proHpvrity. Some 
twenty yean ago, when it fimt took over the different 
important buiioeaMa wUeh it has cinoe oooduoted, the 


rate of exchange stood at 37 pence per tol, from which 
it Bteadily declined to 22J pence for 1896-97, dating 
from which period it crept slowly upwards ; but it has 
never exceeded 24i pence, and now stands at about 
24^ pence. There is no reason to suppose, with the im- 
proving prospects of Pern, that the rate of exchange will 
go any lower, but that, on the contrary, it may even 
moderately advance. The railways, steamship services, 
guano trade, and other enterprises which are conducted 
wholly or partially by the Peruvian Corporation, are 
referred to fully under the different chapters which deal 
with these subjects. 

Under these same chapters, which I have devoted" 
to transportation matters, some account of the varioua 
lines owned and the business done by the Lima Railways 
Company, Limited, will also be found. The financial 
conditions of the concern covering the transactions of 
the past year (1910) call for further mention here. The 
statement is favourable from a double point of view, 
since it shows that not only have the receipta in 
Peru augmented from £13,828 is. lid. in 1909 to 
£15,905 17s. lOd. in 1910, but that the expenses 
decUned from £2,287 19s. 4d. to £2,077 12s. lid., the 
not inconsiderable saving of £210 6s. 5d. being thus 
recorded — and the net receipts mounting from 
£9,134 Is. 8d. to £13,828 4s. lid. It must be borne in 
mind that the Company is quite a young one, and still 
of but modest proportions ; but it possesses all the 
elements for expansion, and a few years hence it should 
have a verydiflereut kind of balance-sheet to put forward. 
A dividend of 2 per cent, is not a magnificent one to 
pay, it is true; but it may be accepted as an earnest of 
what the future has in store. In the meantime let the 
shareholders remember the advice of Horace : " Quid 
sit futurum eras, fuge quserere : et quern fors dierom 
cunque dabit, lucro appone." 


:s dierom ^J 




: wwe the revelations contained m 

Jfcjftiy conditions prevailing at the 

i> ti6tM (^ the Pemvian Amazon Company. 

Limited, and seriously as they reflected upon the 

conduct of oerlAJn of the Company's oflRriaU in whom 

^^—there had been placed mnch mistaken confidence, three 

^^BOteworthy facta have come to light. Firstly, every 

^Hbedit must be given to the Editor of Truth for the 

^^pboionghly earnest manner in which he attacked the 

^Hpcandal, and for the efforts which he made — and made 

^B*ic<^s8sfuUy— to put an end to the hideoits cnteltieit 

perpetrated upon the Peruvian peons. Secondly, the 

Bntiflh Government also, for once in a way, did bestir 

itself, for Mr. (now Sir) Roger Casement, formerly 

H.B.H. Consul at Par&, Brazil, was sent from Rio de 

Janiero, where he is the Bntisb Consul-Qeneral, to report 

upon the conditions of things. Although there haa been 

no public issue of the report which he made to the 

Foreign Office {and in connection with which servioo 

he no doubt received his honour at the King's hand 

last June), I am in a position to Htate that Sir Roger has 

1 m almost every particular the terrible charges 

were hrouglit against the local management of 

vian Amazon Company, and which, therefore, 

r vindicates Tntth in having been the means of 

I the atrocities committed. 

praise should not be withheld from the 

DirMtors of the Company, who stood loyally by their 

employes until they were completely satisfied of their 

aworthineaB ; then they repudiated and dtsmiasod them 

' Jiout heailation or compunction. Finally, the Pera- 

bn OorenuneDt, immediately that their atteotioD 

I called officially to the infamy in existence — and they 

1 not int<rrfcro with a foivignowned and foraga- 

concern until ao appealed to— mttituted 

npt and vigoroiu tl«pa to ancBt and proaeeate those 


who were responsible for the ofEences mentioned. Nor 
have their efforts proved nuavailiog. 

It has to be borne in mind that the position of the 
Peruvian Government was a doubly difficnlt one. 
Putmnayo, where the trouble arose, is in the most remote 
and most inaccessible of the Departments of the Republic, 
and the particular property of the Peruvian Amazon 
Company, Limited, is so situated that it is practicallj 
impossible for the central administration, located at 
Lima, to maintain anything like a careful watch upon— 
or, indeed, to have any official cognizance at all concern- 
ing — what may be proceeding so many hundreds of 
miles away in a wild and nntravelled virgin country. 
The Government, moreover, have, as indicated, no le^ 
ri^t to interfere in the internal management of a foreign 
corporation, imless and until their attention is drawn 
through the usual diplomatic channels — as was done in 
this case by the British Foreign Office — to what is com- 
plained of. Immediately such notice was given, tins 
necessary steps to bring about intervention were taken. 
More than this could not have been asked. 

But a second and more serious obstacle confronting 
Y i| the Government of Peru was the outstanding question 

1j 'i between the Republic and the sister State of Colombia 

r : regarding the rightful ownership of the District in which 

; the Company's lands are situated. For many years 

i the question of ownership has been in debate, and 

T ' obviously it would have been highly improper for Peru 

' to have sent any armed force (even if it had been re- 

'' 1 quested to do so) to a place which might — but certainly 

T j does not — belong to Colombia. 

In the month of December, 1909, the Oonsul-General 
for Colombia in London (Senor Francisco Becerra) 
made a public declamtion before a notary to the effect 
that the " Republic of Colombia reserves its rights over 
the region of the Putumayo, which belongs to it, and 

Digitized byGOOgle 



Htt coiueqnently the lands (of the Peruvian Amazon 
BDipaDy, Limited) cannot; be exploited uniil the for- 
blitics prescribed in snch cases by Colombian I<aw 
B fulfilled." The properly in question covers an area | 
I about 12,000 square miles — that is, to-day it is lar]^ I 
mn Belgiuni, which has bat 11,373 square miles, and is 
bnt one tbirty-ninth part of the bim of the R«pabHc 
P Colombia. 

Tl»e Government of Peru have certainly no reason 
o feel unytliinif but Katisfaction at the outcome of thilJ 
loDg-stondii'gdijtpute, since they have been now formally 
and irretrievably recognized by the United States of 
America as the rightful proprietors of the Putumayo 
If this recognition was not btentional or 
«rate, it is none tbe leas definite and complete. 
"ho oiroumstancea leading up to the dhunKmaU are 
sblc as they are interesting. It was urged by the 

nvian Amaxon Company, Limited, that the serious J 
I brought against their management in Peru were 
the outcome of malice upon the part of one W. C. Har- 
denborg, who, failing to obtain from the Company the 
triBing sum of £7,000, which he cluimed for " loss of 
luggnge and penional inconveniences sus1aine<l while 
travi^lling through their territor}'," conrniunicatetl tbe 
sensational revelations to Tntt/i, and which, when pub- 
lished, caused no nmrh comment. 

Whatever rights Mr. Hardenlmrg may hare had — 
and, in any case, a claim for " £7,000 " for lost lugp^i 
Menu aboDt as tenable as the late himentcd Paul Kruger'aJ 

1000,000 for " moral and intellectual damages " — the I 
tapany declined to satisfy his request. Ho then ap>J 
iiled through his Guvemmi-nt— the United States oC] 
lerica — for assistance, reducing; his claim (I b«^tivve) I 
]f4,<>00. still, it will be obser\-e«l, u ritnctly modiTstal 
k I In the end, the Qovemmrat of Peru, which, be it 
oUenred, was tbe aathori^ addmaed, and not the 



Government of Colombia— met Mr. Hardenburg'a claim 
by paying to him through the United States authorities 
the sum of £500 in full compensation. 

While the Government of Peru did not, and do not to 
this day, in all probability, believe that Mr. Hardenburg 
ever had in hia possession any luggage worth the sum of 
" £500," nor, indeed, raised any question concerning the 
real value of the property alleged to have been lost in 
Putumayo, they very shrewdly — and, to my mind, very 
diplomatically — paid the above - mentioned compensa- 
tion ; and by so doing they received the official recogni- 
tion of the United States Government (which counts in 
a dispute of this kind) as the Sovereign owners of the 
territory in question. The success of the movement is 
unquestionable and the method of conducting it incon- 

It is also significant that while a good deal of the 
Chairman's (Mr. J. Russell Gubbins) attention was given 
up at the shareholders' meeting (held on December 31, 
of 1909) to the charges made in the newspaper referred 
to, very little — and that little of less consequence — was 
uttered about the matter in the course of the last pro- 
ceedings (December 16, 1910), and we may therefore 
believe that the " Devil's Paradise " and " A British- 
owned Congo" — as the Company's estates were dubbed — 
have either ceased to exist, or have been very considerably 
improved in regard to the management. 

What the shareholders were much more interested in 
hearing was that the Company had made a profit of 
£35,365, which, although not large enough to afford a 
dividend, was better than the previous year, when 
nothing whatever was earned. The shareholders have 
not as yet been presented with those gulden thousands 
which they were led to expect in the original prospectus. 
If I remember rightly, the accountants declared that the 
business being done " averaged profits for the year 



(1906-07) about £61,000 " ; and the anticipated profits 
for the year 1907-08 "were not Ukely to be less than 

k £84,000." How very much lesa they actually proved 
to be I have shown. 
At an extraordinary general meeting held on Sep- 
tember 13 last (1911), it was decided to liquidate 
voluntarily, and to reconstruct the company. 
Great hopes were at one time entertained with regard 
to the Lobitos Oil-fields, to work which a London 
company was formed at the end of 1908. Unfortu- 
nately, progress has not been by any means rapid, nor 
have the results achieved come up to expectations. For 
the first year 42,653 tons of crude oil were produced, the 
shipment being 36,131 for the same period ; for the aecond 
year the production amounted to 57,226 tons, and ship- 
ments to 52,789. For 1910, however, the amount of oil 
produced was 3.882 tons less than the production for 
1909, but, on the other hand, the " net operating in- 
come," to use the curious verbiage employed in the 
Directors' report, was £1 49. lid., as compared with 
£1 Os. 8d. per ton for the previous year. This should 
be considered a very excellent average per ton, as even 
in East Virginia, where the best results are admittedly 
obtained, the profit rarely exceeds £1 10s. per ton. For 
the first six months of the current year, 1911, the output 
ha.s been 23,995 tons, a decrease of 4,547 tons as com- 
pared with the corresponding period in 1910. It seems to 
me that expenses of working are altogether very high, 
and that too much money is bemg spent upon unneces- 
sary development. 

A probable reason, moreover, for the decline in the 
production in this Company's fields is the fact that the 
attention of the management on the fields lias been too 
much deflected from the production of oil from the 
shallow wells to the work of sinking a number of deep 
wells ; and, additionally, that the old, shallow wells, 


I which have been worked for some time, are now becoming 

The Backus and Johnson's BreweryCompany.Limited, 
which has been in existence for about twenty yeara, 
enjoyed a better twelve months for 1910 than it had 
known for several years, the gross profits amounting to 
£26,618 18s., and leaving the Directors with the sum of 
over £20,000 for distribution in the shape of net profits. 
It is not at all improbable that within a short time the 
Directors may decide to pay off the 7 per cent. Income 
Debenture Stock, which was raised at a time when 
additional capital was very difficult to obtain, and when 
the management of the concern at Lima was at its very 
worst. The Income Debenture Stock can be redeemed 
at any time at 105 per cent, by giving six months' notice. 
There is only £57,000 worth of this stock issued, and as 
it stands in the market to-day at 93-96, a purchase 
would prove a very profitable enterprise, since the in- 
vestor would obtain nearly 6 per cent, for his money, 
and would realize a profit of £10 or £12 per share when 
the Debentures were paid off. The financial position of 
the Company is now so strong that the Directors would 
be able to raise any further money they may require at 
a considerably lower rate of interest than 7 per cent. 

I At the end of July last (1911) the cash books, both in 
London and in Lima, showed a balance in hand exceed- 
ing £21,000, which proves that there is more money 
available than is actually required for the running of the 
For many years the ordinary shareholders have not 
received anything in the way of dividends, and there is 
an accumulation of nearly 94 per cent. — equal to £102,575 
in arrears. This year a beginning has been made in paying 
off something of these, and 1 per cent. — not a particu- 
larly large proportion — has been distributed among the 
shareholders, who are entitled to receive — when earned 


PEKUViAN cxyrroN company sit 

— 7 per cent, per annum. The Founders' shares, of 
which there are but 100, and which are entitled to a pro- 
portion of the residue of profits, have received nothing 
since 1891, and it will probably be some years before 
they receive anything again. 

The Peruvian Cotton lUanufacturing Company, 
Limited, which is practically an offspring (or shall I say 
frotegk, of the Peruvian Corporation ?), had a very suc- 
cessful year for 1909-10, the dividend paid a few months 
ago greatly exceeding that of any previous twelve 
months. The nominal capital of the Company is 
£100,000, and of which only £80,000 has been issued. 
There are no debentures, and no other class of securities 
than the Ordinary shares, while the Beserve Fund 
amounts to £30,000. On the other hand, the Company, 
which is also affiliated with the Inca Cotton Company, 
have subscribed £20.000 out of the total of £55.000 of 
Debentures raised for the purpose of providing ad- 
ditional machinery for that Company. The Peruvian 
Cotton Manufacturing Company has been enabled this 
year to pay a dividend of 8 per cent, free of Income Tax, 
and to carry forward over £2,300 to next account. The 
net profit earned amounted to £13,662. 

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Immigration — Conoesdoas Nid oonoe«ioDkiiM — Colooiea uid aatUemant* 
— lAnds (mODtana) and foreata — Civil rights of foreigners — Lkoded 
property of foreigners— Property of deceased torainierB— Foreign 
trsde-marki — Be^istratian of trade-marka — Mining (minmary) ex- 
traote from oertam laws — Colonists arriviDg- " '■'■ — * — /inm 

Ihuiqbation Lawb. 
All foreigners (with the exception of the Chinese) have the 
right of entry into Peru, and the; enjoy the same aeoority 
and privileges as those granted to Peravian sabjeota, while 
they have tall liberty to bay, sell, or transfer their goods 
as they may think fit. 

An Exeoative decree was issued on May 14, 1909, prohibit- 
ing the entrance into Pera of Chinese immigrants having 
less than £500 in cash. Chinese emigrants en route to Pera 
at the time of or before the isaaance of the decree were 
• ', excepted from the effects thereof. Towards the close of 

{< j 1909, the Government pat into force mles by which the 

 promiscaooa entry of Chinese manoal labourers waa re- 

I I strioted, and at the same time it passed laws for the aliena- 

r ^ tion of public lands, so that the promotion of colonization 

I and the stimulation of immigration into the country of a 

J [ more desirable class of immigrants would be facilitated. 

' Laws Rblatimo to Concbssiokubbs. 

For the purpose of attracting capital to enterprise, and 
also of removing it from abroad, the Government of Pera 
has been accustomed to granting favourable concessions to 
those who will undertake the development of works of pablic 
improvement. These concessions carry with them an obliga- 
' tion to build works and the right to enjoy the profits of 

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ietn (mder certain conditiooB. The coniractor depoaite a bond 
with the Govemment as a pledge of his iutention to pro- 
ceed with the construction which is the subject ol the 
agreement. Generally a coiiceasion, to be effective, mast be 
ratified by a Constitutional Congress ; but that body has 
clothed the Eiecutive with the right in certain cases to grant 
conceeeione for the public benefit without first obtaining Con- 
gresBional sanction. The Congress of 1891 authorized tho 
Supreme Government to grant eoncessions in accordance with 
the terms of certain contracts already made. This wise pro- 
vision, especially in the interests of agriculture, promises to 
Peru the highest form of development of which the country 
is susceptible in that class of wealth which secures the most 
stable fouudatiou to the State. 

The development of the agriculture of the north has been con- 
sidered so essential to the prosperity of Fern that some ex- 
tremely advantageous provisions have been incorporated in the 
concessions relating to these regions. Thus, where the work is 
declared to be for the public weal and advantage, every 
landowner whose land is accessible to the waters of irrigation 
must pay the water-rent, whether he takes the water or not. 
The land and crops, also all capital invested in the estate, are 
made security for the payment of rents, and may be seized to 
satisfy them. An equitable arrangement has been devised, by 
which the fertile lands of the pampas may be " expropriated " 
by paying a nominal price. 

Colonies and Sbttlements. 
The first legislative measure regarding the establishment of 
Colonies or Settlements was enacted by the Peruvian Congress 
in 1896, and was modified and improved by the laws of 
1909 and UllO. By these Acts the Executive is authorized to 
make use of certain vacant lands for colonization, either by 
Peruvians or foreigners coming to the country with the 
inl«ntton o( becoming residents, provided such foreign residents 
follow a trade or industry. State lands may also be con- 
ceded to individuals or corporations to encourage public 
works, such as road-making, irrigation works, or railway 
bailding. The coastal lands are largely privately-owned or 
are in the hands of native commonities whose poBeession 
dates back to the ancient Ghimn civilization, and was recog- 






uized in tarn by the Incas and tha Spanish conquerors ; thee^ 
oommunity lands r&rely change hands. State-lands of the 
coaet region may be sold or granted upon terms based upon 
the extent to which their use will benefit the country. 

Montana Lands. 

On May 29, 1908, the President of Peru issued a decree 
abrogating all previous decrees and resolulions of a general 
character concerning the eiploitation of leased lands in tha 
" mootana " containing timber, rubber trees, and other similar 
products, the improper exploitation of which had become 
prejudicial to the interests of the nation. The decree re- 
mained effective until the proposed law on the aahject 
which pending the action of Congress, was enacted, and 
the proper rules and regulations issued governing the oper- 
ation of these lands. Concessions granted and contracts 
entered into in accordance with the laws in force at the time 
they were made were not affected by this decree. Money paid 
into the Public Treasury on account of application under 
cousideration at the time of the issue of the decree woe re- 
funded to the parties interested. 

Montana lands may be now obtained by the applicant 
at the rale of 50 cents (U.S.) ( = 2s.) per hectare (1 hectare = 
2'4711 acres), not over 1,000 hectares being granted to any 
one person without special Legislative sanction. Such grants 
are in perpetuity, depending, as in mining grants, solely opoa 
the prompt payment of the annual tax, which in this case U 
2^ cents ( = 5d.} per hectare. Non-payment for one yei 
is sufficient cause to cancel the title. 

Civil RmHTs fos Forbionkhb. 
The legal condition of foreigners as regards civil rtgfata ^ 
Feru is the same as that of natives. The 32nd Article of 1 
Constitution now in force says : " The laws protect and oblii 
all persons equally, and the civil rights are independent of thi 
quality of the citizen." This general and ample principle, ' 
liiid down in the fundamental chart of the Itepublic, proves 
that in Peru the civil rights uf all persons are respected with- 
out any distinction of nationality, and that all those ' 
inhabit the ooontry are under the protection of its laws. 



Any foreigDer cao acquire landed property in Peru, and can 
dispose of it at will ; in general, everything concerning landed 
property ia amply guaranteed by the Peruvian laws. Thus it 
is that the 28th Article of the Constitution expressly declares 
tbat every foreigner can acquire, in accordance with the laws, 
landed property in the Bepablic, poBseaaing in everything 
relating to tbat property the same rights as the Peruvians 
anjoy. Thus foreigners can diapose of their property by all 
the methods which the law permits, on the necessary celebra- 
tion of any contracts permitted by the laws, witboat any farther 
obligation than what is laid down in the Code and special laws. 

Special dispositions expressly authorise foreigners to 
deoouDce mines, obtain concessioas of mountain and rubber 
lands upon the same conditions as Peruvians, subject, of 
eourse, to the dispositions in force, wbicb affect the one 
joat the same as the other. 

In accordance with the dominant principle in the Peruvian 
legislation, landed property in Fern is subject to the law of its 
situation, whatever may be the nature and condition of the 
owner. In order to guarantee the property and the consequent 
tree disposal of it without fear of there ariuing, or of there 
being put forward at any time, any special claims against a 
property acquired in accordance with the law, there boa been 
recently established in the Republic the liegistry of Landed 
Property, in which this is inecribed with the name of the 
actual owner, the manner in which it has been acquired, any 
encumbrances which may exist, and any prescriptive rights 
which may limit the free disposal of it. 

pRorearv or Dkcbased Fobriokiiu). 
The Cinl Code expressly recognizes on behalf of all foreigners 
the right to dispose of their property by will. In the ease of 
the death of a foreigner without having made a will, and t( 
there be no legal heirs, the mode of procedure consists in 
iinmudiately placing the property under the control of the 
Consular representative of the nation to which the deceased 
foreigner belongt-d. An inventory is then taken and the 
proiMTty i* liquidated, the balance, it any, being handed aver 
to the legnl heirs, throogh tba intarvaation of the represenla- 



tive or Conaul of the nation to which the deceased belonged. 
It ifl worthy of note that no payment can be made to the hein 
nntil the expiration of six months after the notice of the deaUi 
has been given. 

FoBBioN Tm pk-Markb, 

In order to protect the frequent imitations and talBification 
of foreign brands and trade-marks, and, at the same time, to 
facilitate manofactorerB and dealers in foreign coontriei 
secoring their goods by registering their brade-marka in Fern, 
the Government has, in a recent Message, anthorized all ths 
Coasnlates of certain importance to accept directly from 
owners of trade-marks the " solicitade " (application) of same. 
This is of more importance principally to those who lack any 
connection in this coantry, as the passing of this new decree 
will enable them to register their marks without intervention 
of a third party and without the least troable, becaose both 
the Consnlates and the Office of Industries, which is a depend- 
ency of the Ministry of Public Works, will take charge of the 
matter until the proper certificate can be handed over to the 
applicant's solicitor. The only drawback, however, is found in 
the fact that the " solicitudes " for the registering of trade- 
marks mast be made out in Spanish ; but, fortunately, 
nowadays, a translation is a matter that can be done praoti- 
cally everywhere with no great difficulty. 

The fees for the registration are quite moderate, and are ai 
follows : 

£i 10a. for registration, including certificate, 
8b. for the publication in newspapers, 
la. 7d. for stamped paper, 

which makes a total of less than £3 for the whole service. 

The Consulates will be also bonnd to receive and attend to 
all claims and complaints in the event of imitations and falsi- 
fications, and the Peruvian Government will prosecute and 
punish all violators of the patents without charging anything 
to the interested parties. 

For the adequate protection of the proprietary rights in 
trade-marks registered in Peru, the President of the Bepublio, 
on September 10, 1909, formally decreed that — 

On the last day of each month the Division of Industry 

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of the Department of Fomento sball isBoe a statemeat cover- 
ing aacb trade-marlu aa have become void through expiration 
of the ten^year guarantee granted by Peruvian law. Hatd 
trade-markB ahall not be renewed to other than the previous 
owner in leas than three montbs from the publication of the 
•tatement referred to, unleas bo requested by the proprietor. 

Each mark reqoirea a separate registration, but slight 
modifications of regiBtered marks may be permitted, pro- 
Tiding publication of the same, with modifioationB, be made 
tor five conaecutive days in El Ptntano. 

It two requests for the registration of the same mark are 
received at the same time, preference is to be given to the 
foreign applicant who bad first made use of it In case it had 
not been previously applied, the native owner shall have 
preference. If both applicants are native or foreign, preference 
shall be given to the one who first established the industry to 
which the trade-mark refers. 

For the presentation of a claim before the Hinistry of 
Fomento in regard to falsification or imitation of a trade- 
mark, it is not necessary that it be made by the manufacturer 
himself. Any manufacturer or consumer who considers him 
telt injured by the fslaification or imitation is empowered to 
deoonnce and prosecute. 

MiNiKO Laws. 
The Mining Laws of Peru are well-planned and are fairly 
administered. Very briefly pot, they provide that the owner 
of the soil baa title to slates, sandstones, building stonea 
generally, gypsum, aand-potter's earth, earth containing mag- 
nesium and aluminium, and peat and pbospbatos. \Yhen 
found on Government lands the Government may either work 
them or iRsae a ooncession to work them. Ouano, salt 
depoiitii, and salt-water wella are State property. Nitratea, 
borates, and alkaline salt deposits of mineralized or fossilized 
•ubstance can be acquired by {letition or denouncement, as 
can also water, slags, or tailinKs. Mining property ia 
irrevocable so long as the mining-tui is i>aid, and jwrpetual 
as common property. 

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The onit of the mining claim, or the pertenencia of 100 hj 
200 metrea, is 2 hectares of 4*94 acres, in the form of a 
priBmatoidal solid of indefinite depth. In plaoers, coal and 
petroleum depoaite, the pertenericia measures 200 x 200 
metres, or 9*88 acres. A concession ma; embrace Dp to 60 
pertenenciat. Prospecting and exploration conoesaiona are 
granted in size from 60 to 600 pei-tenencias, bat one person 
or company may obtain several sncb conceasiona. ITfaeBe 
are granted for one year, bat the term may be extended 
for another year. A small tax of 2a. per hectare per annnm 
is paid OD prospecting grants. Mining oonceaaions pay £3 
per pertetiencia per annam, payable half-yearly. Non-pay- 
ment daring three sacceaeive half-years cancels the title, but 
arrears may be paid before that time, nith 60 per cent fine 
tor any part of a half-year overdae, and 100 per cent, for 
that a fall year overdue. {See farther reference imder 
Chapter IV.) 

Any Peravian citizen or foreigner capable of owning 
property in the Bepablic may acquire mining property, 
excepting certain officials having to do with the iaane of titles 
or local adminiatration, and also excepting employSa, who ore 
not permitted to denoance mines aitaated within 10 kilo- 
metrea of the nearest point to their employer's property. The 
right exists of expropriation of sorface-area for necessary 
buildings, ahafte, etc. 


Until 1900 the old Spanish Code (the " Ordenanzas ") was 
in force, greatly modified by several laws passed at different 
periods. This Code, being antiquated, did not contemplate 
the conditions met with in modem mining, and lacked onity 
on account of the many alterotiona introduced. The actual 
Mining Code is a decidedly liberal one, making the acquisition 
of mines both an easy and an inexpensive matter. This Code, 
which became effective January, 1901, comprises the follow* 
ing chapters : 

I., On Mining Property ; II., Prospecting and Exploration ; 
III., Unit of Measure, Extension and Form of Mining Con- 
cessions; rV., On Mining- Taxes; V., On Mining Administration 
and Jurisdiction ; VI., On Persona Capable of Acquiring Mining 
Property ; YIL, On the Proceedinga to be Observed in Petition of 

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Claims ; VIII., On the ReUtions between the Conoessionure of 
s Uiiw and the Owner of the Boil ; IX. , On the Belations between 
Htoe-Ownera ; X., General Adits for Exploitation, Transport, 
Drainage, and Ventilation ; XI.. Concessions for Reduction 
Works, of Land for their Constraction, and of Water ; XII., 
On Rights ot Ways; XIII., Mining Companies; XIV., On 
Mortgage and other Contracts ; XV., On Technical Function- 
aries; XVI., Mining Lawsoita ; XVII., Expropriation and 
Indemnification ; XVIIL, Transitory Dispositions. (Ste/urtker 
rrftrence under Chapter VI.) 

A short tnmtnary of the most important of the chapters 
above referred to is given hereonder : 

Chapter I. : On Miniitg Properti/. — This chapter specifies 
what kind of mineral or foesilized aabstances may be obtained 
in accordance with the aetnal Code ; those which belong ex- 
elasively to the owner ot the soil; and those which are 
not the sobject of petition. 

The owner of the soil has exdosive title to all silicious 
rocks, basalt, calcareoos soil and rooks, serpentine, marble, 
alabaster, porphyry, jasper, and generally all analogona 
boilding and ornamental materials ; gypsum, sand, marls, 
kaolin, emery, argillaceoas and fullers' earth, earth-contain- 
ing pyrites, ainmininm and magnesinm, steatite, calcareoos 
phosphates and peat. All these substances are deemed to 
be ot common profit when found on State or city coundl's 
lands, the Government or those corporations being em- 
powered to regulate their working or to issue special coooea- 

Goano, salt deposits, and salt-water wells are eonsidered 
State property. 

Nitrates, borates, and alkaline salt deposits are sabjeeted to 
special laws. 

All other deposits of mineralized or fowilixed substane* 
can be obtained by petition in accordance with the prooeed- 
ings of the Code. 

Water, slags, tailings, and waste can also be acquired by 

Mining property legally aciioired is irrevocable, and as 
perpetoal as common property. The only cause tor eaa- 
eellation ot title u the non-payment of the mining-lu. 
(CAopfrr IV.) 

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CHiPTBE II.: Prospecting and Exploration. — Special con-" 
cessions are granted for the purpose of prospecting and 
exploring. Each conceBsion can embrace from 60 to 600 
claims, and the same peison or company can obtain several 
coDceBsions of that kind, so as to cover all the land required. 
These concessions are only granted for one year, but the ] 
period can be extended for another year. A small tax of J 
1 sol Peruvian (28. or §0.50 gold) per hectare per annum has j 
to be paid. 

Chapter HI.: Unit of Measure, ExtensUin and Form of ' 
Mining Concessions. — The "claim," orpcWirncwcio, is theanitof 
measure for mining concessions, and except in the cases men- 
tioned later on, is considered as a prismatoidal solid of rect- 
angular base with an extension of two hectares (approximately 
five acres) having one side of 200 metres and the other of 100, 
measured horizontally in any direction which the petitioner 
may point out, and of indefinite depth in the vertical direction. 

In placers, coal and petroleum deposits, and the analogous 
ones of gold, platinum, tin, etc., a claim embraces 4 hectares 
(approximately 10 acres), the base being a square with sidea 
of 200 metres. 

The mining concession applied for by the petitioner may j 
embrace any number of claims up to sixty. 

The other articles of this chapter deal with the grouping 
of claims, and the spaces smaller than one claim (denuuiaa) i 
remaining between concessions. 

Chapter IV. : On Mining-Taj^es. — All mining concessions i 
shall pay an annual tax of 30 sals (£3) for every claim 
(pcrtenencia) included within their perimeter. The payment 
shall be made in two equal parts, one every sis months, 
the first term ending on June 30 and the second on De- 
cember 31. The non-payment of the contribution during 
three half-years causes the cancellatiou of the title to the 
property, but before the expiration of those three half-years 
the arrears may be paid with a surcharge of 50 per cent. I 
for that part unpaid a half-year, 100 per cent, for part 
unpaid for two half-years, and, of course, none for the third. 

Chaptee V. : 0)1 ^fining Administration and Jurisdiction, — 

The administrative and economical mining control corresponds : ' 

To the Executive power represented by the respective Do- J 

L partment ; to the Superior Mining Council ; to the Territorial j 


DepDtations ; and to the fanctionaries or aathorities who 
may rapresent them. 

There are Territorial Depatatioas or Delegates in all impor- 
tant mioiDg districts, whilst in places where neither Depata- 
tion nor Delegation exists, their attribntes are disoharged by 
the judge of the lower court o( the province. 

The territorial mining fosctionarieB above indicated, who 
may be foreigners, decree and decide upon everything re- 
specting concessions, possession, and measurement of mines 
within their jurisdiction. They attend to the formation 
and registration ol the titles of mining concessions, and act 
AH superior mining police in the prevention of accidents. 
They determine in a lower court, sitting with the powers 
of a private judge, all mining litigation with respect to 
concessions, measurements, etc., as well as disputes between 
employer and labourer. They are assisted by a mining 
engineer, surveyor, or an expert. From the decisions of the 
territorial mining functionaries, appeal may be made to the 
Bopreme Government or to the Supreme Court of Justice, as 
the case may be. 

Csipna VI. : On Penotu Capable nf Acquirintf Mining Pro- 
ptrliet. — Any Peruvian citizen or foreigner capable ol owning 
property in the Republic may acquire mines in the form 
established under the present Code, excepting the function- 
aries directly intervening in the formation of the mining- 
titles or exercising local authority. Kmployi^s and mining 
labourers cannot acquire mining property by means of 
denouncement unless it be tor their employers, except in 
places located at more than 10 kilometres' distance from the 
neareift point to the latter's property. 

Ckaptsii VII. : On tht I'ritceedingt to be OttrrifH in Mining 
Pftitiona. — .\ny person or com[>any wishing to acquire a mine 
in accordance with the Code shall apply in writing to the 
Iteputation or Delegate, mentioning his name, his nationality, 
and abode, an<l affording a description of the mine askod tor, 
■o that it may be recognized with certainty at any moment ; 
•dding the name he may wish to give it, the provisional 
Dumber of claims whose assignment be desireti, and the name 
of the neighboun or nearest contiKUOUtt mine-owners. lie 
will pay the sum of 5 tol* ( - tOs.^ as rights uf denouncement 
at the time of the presentation of bis petition. 

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The Deputy Delegate, or Secretary, inscribes the denoimee- 
ment in the Register, and gives to the petitioner a certificate 
oE the petition indicating all the particalars, as well as the 
day and hoar apon which the said petition was sabmitted. 
Within three days the Delegate shall iaaae a decree respecting 
the denonncement, and shall cause the lespeetiTe advertiBe- 
tnents and placards to be pahlished. The admission of  
denonncement by the Delegate gives the right of oecapation 
provisionally of the solicited claims from the date of their 
inscription in the Delegation Register. No other denoonce- 
ment respecting the same grotmd, water, slags, mine dompe, 
or deposits will be admitted, ehoold no petition against the 
oonoession have been presented. 

Within thirty days following the official regiatration of the 
petition, this is to be advertised by means of placards in the 
Delegation's office doorway, and in the newspaper poblished 
at the place of residence of the Delegation, as well aa in that 
in the Capital of the Republic, designated for that porpose by 
the Superior Mining Council. 

Possession shall be applied tor after the expiration of the 
third month and before the end of the fifth month. During 
these five months objections can be made, examined, and 
decided apon. The possession is given on the groimd by the 
Delegate, assisted by the Secretary and the official engineer 
or BQrveyor, who measures the land, stakes the claims, and 
presents a report accompanied by a fall plan. The titles tbos 
completed are sent to the Mining Department tor approval, 
and after that the mine is inscribed in the General Mining 

Articles 141, 142, 143 to 161 deal with the water-snpply 
and concessions for generating power. They are extremely 
reasonable, and there is no tax on these conceasions. 

It is not deemed to be necessary to deal with any of the 
other chapters of the Mining Code ; what has been set forth 
previously is sufficient to demonstrate bow easily mines can 
be acquired in the Bepablic of Peru in accordance with 
prevailing terms of the Code. 

The Supreme Government, through the Department of 
Fomento (Promotion), directly superviBes the adjudication 
of mining concessions of all classes, and the Minister of 
Fomento has in his charge tiie formation of the "Padrdn 

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QeDeral de Hinu," vhieb is the official Begieter for tbe 
inaoriptwD of All concesBionB. 

Tbe importation of maehinery, BOppUeB, toota, etc., for use 
in mining operatiooB, is exempt from CoBtom Honse dntiea, 
and the same is tbe case in regard to coal, lamber, dynamite, 
mereury, and all material neceesar; for the oonstmction and 
maintenance of roads. 

Id 1903 tbe Corpe of Mining Engineers was created for tbe 
porpoee of tbe farther development of FaruTian mines by 
exploring and making known, by means of CommisBions, new 
mineral districts, describing also tbe geological formations 
and magnitade of tbe lands explored. Tbe reenlts of these 
important works are pnbliabed in special pamphlets profusely 
illostrated with photographs and maps, and which may be 
obtained, naoally withont charge, bat at any rate, at a very 
■mall price, from the Government of the Bepablic at Lima, 
Pern ; or by commonicating with the Bnreau d'lnformation 
de la B^pnbliqne de Pera, 6, Boulevard de la Madeleine, Paris. 


A Presideotial Beeolatioo, dated June 17, 1910, was issued, 
through the Ministry of Fomento (Promotion), concerning 
■anitary measures for the protection of the health of those 
who ooma as colonists. Tbe resolutioo states that in all oon- 
traets of companies or individoals with the Go%'emment to 
Mtablisfa colonies, the following regulations must be complied 

f'int, — Colonists, before embarking, must be examined by a 
^jrsietan selected by tbe Peruvian Consul, who will give 
health certificates, whicb the Consul will lejjalize tree of 

Secontl. — Thoee who have passed tbis examination must then 
be vaocinated. 

T^inf.— The Peruvian maritime sanitary regulations must b« 
complied with during the passage from port of origin to Peru. 

Fourth. — On arrival, colonists will have to proHciit their 
eertifieatea to the Medical Inspector boarding tbe vessel. 

Fijih. — Tbe contractors are obliged to engage a physician and 
to supply medicines, as their contract <leclarcB. 

Articles ni-, Brren, ri^ht. and ninr refer In the location of the 
eolwiiaU' booMa on dry land, with an ample running water- 

Digitized byGOOgle 


supply near by, and with doora and windows properly J 
protected by wire-sereens. 

Tenth. — A hospital, also wire-screened, mast be estsbltehed 
in each colony, with a pharmacy, containing the necessa 
drugs and remedies. 

Eiet'eiiih. — The colony physician will not only have charged 
those who are ill, but also oE the general hygiene of the col 
munity ; the inspection of food and drink ; and the prevention 
of infectious diseases, particularly ol those most freqaent In 
tropical regions. He must be supplied with the necessary 
medicines and apparatus, and also attend to Ihe Taccinatita 
and re-vaccination of the colonists. 

New Rubber Tax. 

t m 

By Executive Decree, dated May 10, 19U, a new l»^| 
governing the exportation tax on crude rubber was promul- 
gated. It provides that all rubber exported IJehefmo; aemambe 
de jebe ; cauchii ; and sentamhe de caticho) shall pay an 8 per 
cent, ad valurem tax, based on the quotation prevailing on the 
Liverpool Market, Settlement of this tax may be effected in 
exchange on London, Paris, and New York at ninety days' 
sight at the rate of exchange ruling on the day of exporta- 

Law in Connection with Accidbn'ts to Workmen, 
Promulgated on Janoaby 20, 1911. 

The employer is responsible for all accidents caused to ti 
workmen and employees whilst performing their duLies i 
respect of the following industries : 

Production and transmission of electric, steam, gas, or otbflC 
kind of power -producing mechanical energy ; electric or gae- 
lighting services ; hsing, repairing, and dismantling of electric 
or hghtning conductors ; fixing, maintenance, and repairing 
of telegraph and telephone lines ; naval construction and 
repairing ; construction, repairing, maintenance, and working 
of railways, bridges, and roads; land-transportation and 
water- transportation on the rivers or lakes, provided it is done 
by mechanical tracLion ; agricultural work, where other than 
human power is utilized, only in respect of the workmen 
^■|h^ exposed to the danger of the engines ; loading and unloodingj 


wharf-eompanies, with meebanical apparatas worked by other 
khan human power ; mines, where more than thirty-fire men 
are employed ; bailding, repairing, and demolition companiee ; 
(aetories, workshops, and indostrial establishments. In works 
carried out tor socount of the CK}T6mment the contractor will 
bo the only person responsible. 

This Law only refers to workmen and employees in receipt 
of not more than £120 per annum. 

All employers of any kind of indastry, and no matter what 
the salary of the victim, are obliged to render medical aid to 
their employees in regard to the accidents which may occur to 

When the accident eanaea death the employer ia obliged 
to pay the funeral expenses, and deposit an amount equal to 
two months' salary of the victim. 

Indemnification . 
The workmen and employees who have been the victims of 
accidents have a right to the following indemnifications: 
(1) If abeolately and permanently incapacitated, to a payment 
tor life equal to S8 per cent, of the annnal salary ; (2) it 
partially and permanently incapacitated, to a payment for 
life equal to 33 per cent of the difference between the salary 
which was paid prerious to the accident and the inferior 
•alary which would be received on accoont of the accident : 

(3) if abtolately and temporarily incapacitated, to a pa3went 
equal to 38 per cent, of the salary he was in receipt of, at 
the time of the accident, during the time that he cannot work; 

(4) if partially and temporarily incapacitated, to a sum equal 
to 60 per cent, of the difference between the salary previous 
to the accident and the inferior salary he would receive until 
completely cured ; (5) in the event of death the employer is 
obliged to make certain payment* to the relatives of the 
victim ; {G) the indemnities will be increased by 60 per cent, if 
the accident is caused by the lack of the resjieetive protective 


The employer may insure, individually or collecUvely. his 
employees without making any deduction from their wagea, 
instead of paying tb« indannifieations referred to, provided 

Digitized byGOOgle 


the amouDt which the victim receives is not less than that 
stated in this law. 

The Executive will form an Insurance Company, guarantee- 
ing the interest of 6 per cent, per annam on a capital of 
^20,000, to be employed exclusively in insuring against 
accidents to workmen and employees. 

Consular Regulations. 

Packages must be plainly marked wiib either a stencil or a 

Consular invoice, in quadruplicate, is necessary, and 
' must be made in Spanish. 

Goods may be consigned either tlin-cr or tu order. 
Callao is the only port where explosives, firearms, revolvers, 
etc., may be landed, unless special permit has been obtained 
by consignee. 
The Consul keeps one copy of the bills-of- lading and three 
[ copies of the Consular invoice. 

The gross weight, in kilogrammes, should be marked oa 
I every package (I kilogramme = 22046 pouude), and most 
I correspond with the gross weights stated in bills-of-lading 
I and Consular invoices. 

Pbbcvian CABmKT Chanors, September, 1911. 

Upon the eve of going to press with the final pages of this 
' volume, notification has been received of important changes 
in the Peruvian Cabinet, and I am indebted to Sefior Don 
Eduardo Lembcke, the Chargij d'Affaires of the Legation and 
Consul- General for Peru in London, as well as to Sefior Don 
Carlos Larrabure y Correa, Chief of the Oficina de Informa- 
oi6ne8 Imigraciiin y Propoganda del Gobierno del Peru, at 
Paris, for the following list of the new Ministry : 

Prime Minister and Minister of Justice and Public Instruc* 
tion : Sefior Dr. Agustin Ganoza. 

Minister for Foreign Aifairs : Seiior Don German Legaia y 

Minister of Home Affairs and Police : Sefior Dr. Juan da 
Dies Salazar y Oyarzahal. 

Minister of Finance and Commerce : Seuor Dr. Agustin 
i^e La Torre Gonzales. 


Hiniitor for War and Marina : Seflor Don Juan Manaet de 
La Torre. 

Ifinuter of Industry (" Fomento "]: Senor Dr. Daniel Caatillo. 

Dr. Agastin Ganoia, President of the Cabinet and Minister 
of Joatice and Pablic Instruction, was bom at Tmjillo, and 
he had pravioasly serred ander President A. B. Legoia as 
Htniater o( Government. He has also acted «itb great 
distiDotion as President o( the Chamber ol Senators, wbere he 
has sat as representative of the Department of La Libertad. 

The eminent career of Seizor Don Garman Leguia 7 
Martanes, Minister of Foreign Aflairs, has already been given 
in the earlier pages of this volome (see pp. 26, 27, Chapter III.)- 

Dr. Juan de Dies Salazar y Oyarzabal, Minister of Govem- 
ment and Police (Minister for Home Affairs, etc.), is a 
famous lawyer, and sits as Deputy in the House of Congress 
for Jauja, wbere be was bom. He has filled several im- 
portant poblic poeitioDs, and latterly was Secretary of the 
Junta Electoral Nacional (National Electoral Council). 

Dr. AgQStio de La Torre Gonzales, Minister of Finance 
and Commerce, it also a prominent lawyer connected with 
the Supreme Courts of Justice at Lima, and formerly acted 
as Minister upon several occasions. He is also an ex-Preeident 
of the High (>mrt of Eichequer. 

Don Juan Manuel de La Torre was bom at Cusco, and 
repreeente one of this Department's electoral divisions in 
the House of Deputies. Ha has acted with conspicuous 
ability as President of this last-nsmed Chamber during the 
Preliminary Council sittings held this year. 

Dr. Daniel Castillo, Minister of Industry (" Fomento "), is 
a highly distinguished advocate, born in Lima, and sits in 
the Uoose of Deputies as representative of the Province of 


IU<rrn(M £PH.1f».Vn 

P.ipvndUun ifiVt.VU 

Hurplg* U-£t,:Ua 

The iCevenue is estimated as follDwi : Cuntomi* (maritime), 
i.i'2l)l,5n3; Customs (riveni>, i;l'2IJO,O0U ; Contributions. 
i;l'tiCU,r>SO ; mono|>olios, i.'l'tiOl ,*^5T ; fiscal wharfs and 
piers, Xi'H,H5'J; vmrioos renlala. l'l*li(4.>iMlf ; telegraphs. 

Digitized byGOOgle 


£730,000; pasta, £F»;,eOO; CaiSabaaimB (FHnm), 
XF12,000; Bamn o( DegoBta and Conggmiwpte, .£P6;5D0; 
Cereal Depoeita at Bella Vnta, fPiaTOO; and itab 

lMe-l»10 ISCLCSITE. 




Expoito 8,408^82 

Importo ; 4,681,280 

• 4,2a8,«7 


1 11X69,963 




Vii Q,t AiDwm. 


























Among attictea imported into Pern daring 1909, having a 
valae in exooBa of £F10,000, were the following: Uioerals 
and metalB, £P666J41 ; textiles (cotton), 498,885; steam- 
boats, 274,248 ; wheat, 269,067 : textOea (woollen), 201,624 ; 
mineral coal, 194,101 ; lumber, 192,502 ; machinei; and 
parts, 171,953; drugs, 146,885; stones and earth, 183,825; 
paper, etc., 116,819; flax and jute, 93,663; riee, 84,015; 
unapeoified articles, 79,401 ; foodstuffs, 78,602 ; wines and 
liquors, 76,998; petroleum, 58,929; textiles (silk), 67,858; 
boots, 55,854 ; wax candles, 51,773 ; thread, 49,063 ; pre- 
served and dry fish, 44,460; vegetables and vegetable snb- 
stanoes, 41,387; hats, 89,270; cereals, 88,852; oil (other 
than petroleum), 35,776 ; perfumer;, 80,406 ; preserved 
butter, 80,124; arms and acceaaories, 29,518 ; Irnits, 29,108; 
carriages, 27,692 ; inatrnments and apparatus, 27,654 ; pre- 



1911 STATisrnca 355 

Mirad milk ud cream, 26,939 ; ordinary Boap, 24,981 ; fresh 
and preaerred meat, 24,260; paints and varnish, 24,019; 
rope, 28,799; d;es, 22,120; jevellery, 22,084 ; salt, 16.162 ; 
biscaitfl, Ifi.OAU; tobacco, 16,270; eagar, 14,762 ; Bweeta and 
eonteclionery, 10,611. 

The CuBtoQU Bevenoe for 1909 amounted to X'P4,298,627, 
U follow! : 


Vdne of Imporu. 



CJUo 2,709.831 



UoUendo .. 



.. , 478.914 


aaUverrr .. 

.. 1 lHa,068 


.. ' 184,791 


.. 1 110.844 


pMMnwjo .. 



.. 1 86,«a« 





lliMuw VUU 



Prom other Cutoma 

.. 1 3.068 




It ia with oonfiderable aatiifaetion that Ijritiab readera will 
obeerve that England ocflapies the premier place upon the 
list of import! into the Bepablic. The fignres etand as follows: 


V.liH> of [n|«rt*. 



.. 1 1.4a7.»9e 


Lnitod SIMM 

... I H4a.l/7 



















3-74 Koitic 









Kwl IndlM 









... _ 



*»ijm " 

lOIHW 1 



If the various totals of Peru's trade with Great Britain, 
includiu}^ Eogland and her Colonies &nd India, be added, we 
find that the considerable total of £P 1,808, 526— or, say, 
42"07 per cent, of the whole of the Republic's foreign Import 
Trade — is reached. 

The principal imports from Great Britain have included: 
Textiles of cotton, textiles of wool; coal; machinery and 
accessories ; explosives ; hemp and jute and manufactares ; 
drugs; stones and earth ; yarn and thread ; vegetable products; 
boots and shoes ; hardware ; wines and Hqaors ; milk and 
dairy pruducts ; paper and manufactures ; rice. 

The principal imports from the United States have included : 
Machinery ; wood ; vehicles ; tar, pitch, etc. ; drugs ; atones aod 
earth ; lard ; paper and manufactures ; hardware ; arms and 
ammunition ; oils ; textiles (cotton, wool, silk, and others) ; 
meats ; breadstufTs, etc. 




ValDB of EiporU. 

Per Cent. 








Tombo de Mora 





Ageacin Aduanera ... 







Mftdre de PioB 


Other Custouu fiooHi 













As with the Imports, bo «itb Exports, does England Btand 
Ant in the Republic's trade, bb the following analyBiB of the 
eommeree tor 1909 ((be Uteet information which is available) 
•ImtI; prores : 

OounUT- or Export.. 






















Ml LdcU (B.W.I.) 

: 70,866 



i «,8a8 



, 42.103 


1 187.447 


! 6,4«r670 



The labjoined articles exported relate to values exceeding 
£10,000 in each ease: Cotton, com, and cotton waste, 
£Pl,246,59g; sugar, 1.169,099; rubber and resin, 1,134,567; 
metals, 1,087,692; minerals, 600,688; wool, S94,S46; guano, 
166,2*24 ; petroleum, 151,676 ; hides and dried hides, 131,497; 
haU, 92,800 ; oocaine, 60,287 ; riee, 69,908 ; cotton goods, 
86,850; vegetable planto, 81,701; vegetables and vegetable 
sobstanees, 22,206; coffee, 16,067; live animals, 12,941; 
anspeeifled articles, 12,897; manufactured metals, 10,654. 

Digitized byGOOgle 


Aucidents lo workmen, 880-882 
Acomayo, 41 
Adsma, Fraaklm, 31 
AdaiDB, Mrs. Harriet C, 21 
Agricultural miuliinerj, 147, 368 
Airicaltare, 146-192, 810 

National School at, 88, 90, 103 
Alniagro, Diego de, 1, 12, 14 

Amazon and Pacific Bailwav, 194 
River, 8. 4, 6, 12, 80, 128, 197, 
221, 227, 228, 243, 262 
Steam Navigation Com- 
pany, 243 
Amazaaaa, Department of, 40, 41, 

Amorioan Bridge Company. 200 
Amity, Treaty of, 17 
Anoache, Department of, 40, 41, 

Anefin. 118, 160, 206-208. 226 
Aijc6n Railway, Lima, 96, 226 
Andahuailaa, 41, 234 
Andes, 3, 7, 226, 229. 248, 279, 288 
A n^'lo- American Church, 1S4 

School, 97 
Anglo-PeraTian Debt, 66 
AngovB, Joaiah, 204 
Anta, 41, 180 
Antimony, 285 
Antofaga^ta - Bolivia Railway, s, 

219, 220 
Apucanachaay, 8 

Apurfmac, Department of, 40, 41, 
Biver, 2B4 
Aquiri River, 6 
Arbitration Award, King of Spain, 

Area, superficial, 41, 42 
Arequipa, Bishop ot. 187, 142, 144, 
146. 802 
Cathedral, 142-145, 802 

.^.requipa, city o£. 7, 8, 21. 48^ 56, 
123, 198, 199. 201. 208. 206, 

Department of, 8, 40, 61, 179, 

Electrical Company, 304 

Tramway Companv, 804, 8Xi 

Dniveraity. 93, 80l", 803 
Argentina. 13, 17. 18, 60, HI. lOS, 

180, 195, 240 
Arica. vii, 81, 160 
Ar(ca-La Pai Kailway, x, 208. 204 
AHca and Tocna Kailway, 66 
Armaments, 60 
ArmB and accesBories, SS4 
Army, 49-58 

Army and Navy, SO, 46-58 
Art and literature, 96-108 
Assurance ooiapanieB, 24 
Asylums, 115 
Atahualpa, 11 
Athenceum, Lima, 33, 101 
AtocBayco, 179 
Australia, 242 
Australian wheat, 187 
Aviation, 68, 64 

League, 64 

School of, 63, 64 
Ayaoacho, city of. 803 

Department of, 40, 41, 110, 
178. 180 
Aymara Indians, 13 
Aztecs, 13, 14 

Backus and Johnson's Brewerr, 

266, 316 
Balboa, Vasoo Nunez d^, 1 
Baldwin Looomotive Works, 214 
Balta, JoB^, 148 
Balto, Presidenl, TO 
Bank, Deutsche, 304 
Bank, 0«mian Transatlanrio, 78, 
87, B8, 803 
Italian, 67, 88, 261,804 

Buili. London, of Uaiico uid Sooth 
America, IS. 87, 8e,80H,SM I 
NatioMl Ciu. of Naw York, TS ' 
of I'eru tad Londoo, 7G, HT, 
Bkiilii, Tl, TH. TS, 07, OH, 69, 301, 
S*\-in|pi, tfi. m 
ItanqtiB de r>riii, 73 
&ui<|UF Ff«ii;«if, 78 
Barber Stcatnaliip Coiai>nny, 'Hi 
Bard, l>r. 11. E.,9(l 
Rarli-r, 1H7 
Harlow, 2M 


I, 117 

Bawiro, Dr. r:iiri'|ue C, % W, 

BfiuiH, 123 

Jlcauclfrk. Williain N., M 
B.«tl«i>. 10 
liritriuiii. aaa. :u; 
IhlU Villa. IIH 
lli-ni-volcot Hocu-tv Lima. IIA 
Ifan.iiuoni. S-'iior, •J6l 
Itii lovueich, Jiiiui, M 
llillinshanil, Wiiliaiii. 119, 120 
ItiiiKhaiii. rrufcmur Hiram, 'JO 
lliniiinKhniu <'liaiubvr of Cout- 

tutrer, :l-*>4 
Kixf uitH. -J.'>tl 
ItKhop HUir, i:i:i, \i» 
lli-h'iprirr 1^7 
HiKMiuili, -JK-,, JVi 
Illiiir. Ilichop. l.-i:i, 184 
ltluiiir.J.< . F.,INI 
Huarilol lltalih. 3-J, 04 

Lima, iUt 

Midiral. A% 
of Vacriiiatliiii, •>•'■ 
Ifailitar, httuAn. Ii., lia.'iM 
ll.>iiMit. N, |:i. 17. \H. 'M. 80. Ci. 

iMi. iKi, I'M, iw. ii):!, an, j<w, 

ltul»Kii<-iii, Colonrl. ill 
lluuiti Slraiiiihip Conipany. MM 

li..<ii.un.i>.H. 1ft 

(V*ar, ll>t 

X IT. In. ai. Ml. ]ui. iitt. 

VMi. X'Si. liu. im 

.--. -iM. :>■« 

. rmUav, 'JUU. JUl.ja»-310. 

Itritiitb capital, vil 
Consul, >ill2 
Consul General, M, 134, IflS, 

[luinufncturi'r*, 141), 152, SM- 
21fl,-2S4 259, 201, .MB 
roglHter of, 271 
British Tr,id.- J„uni,il, 366 
llroftgi, Ca'wir. 2C0 
Itrooks and Duiry. *22J 
I'liboiik platcuc. ■'>4 
r.uin^ Aires, Mi. fl 

t:A (anv, lin 
Cal'inHl, I'uruvian, :t:l:t-lia.[ 
('able companiea, 00 
Cnjaiuarca, crity of, St, &7 

]>epartmc[it of, 40, 17B. IHO 
Ciilca. 2U-J 

Calilaron. Dr. F. 0„ 95 
Caldvrn. ii 

<'»lifur<ian wlii'Ht, In" 
i'allao. Hank of. 87 

ItcpnrtiiK-ntot, 40 

porlof. 6.S, .V>. (U,Hi'),!<l,117, 

iiH. itH). 19H, ID."!, -joe-joa, 

•£ta, :i:tH, ^9, -ill -ill. 1>47- 
■IM. -iM-noo. ii:n, :i;i.-., :iM 
<'bii»ii<'I1. Laird and Co.. 'IM 
Cnnai, i'anaina, viil 
VtiUK-t. I7H, INI 
(.'aiHU-LO. I>uii Carlu4 v. IM 
riin.l.tiiii>, l-rraideut. 'ii, W\ 
Caiiilarjvv. 7 
raii.ltn. -."Jj. »H 
Canu •'■K'ar cullivaliuii, 101, lOS, 

Cnpiial. liriliih, vii 

li>rt>ii:n, vii 

iiivoiir I in rail«a\*, 1V7 
( apilnU. 41 
Carar, T£l 

I'.ircvmi, freaideilt, 7il 
faniilT. -Hi 
C-i<alparM, •J-J4 

<'aH)«lU Iwr. •il*o 

Ca»'«ja, ■>** 

lavfiiFnl, Sir Itop'r, nil 

('••111!.). I>r lliuiirl, itjLt 


• I.U- 

Cathi-dral. Ar«M|uipA. M'J 1 l.'i 

Lima, llo. i:i», l;iu 
Calhr<lral.. 110, Vtf*. V.Pi. 1IM4.1 
I'alUa, l'.\ IHU 

Digitized byGOOgle 




r Cmvero, Dr..29 

Climate, 5, 108, 109. 129, 161, 168. 

OeniTkl Ruilway, ix, 194, 195, 306- 

186. 244. 298. 299 

211, 234, 225, 227, 286, 290, 292, 

Coal, 284, 285, 367, 293, 8« 


Coastr-line, 1, 3, 6, 286 


Carro AeuI, 160, 175, 386 

Coca. 181, 182 


 Cerro de Pasco wines, 92, 224, 268, 

Cocaine, 182. 279282, 836 


 2S5. 288-291 

Cockfield, W.. 20* 


 Rulway, 226, 233. 245 

Cocoa, 182. 215 


 town. 66, 121), 284, 291, 

Code, mining, 286. 287. 328-880 



Coffee, 837 


 ChtOlley, Henri, 64 

Coinage, 90 92 


 ClialL 160 

V Chtunber of Couuoeroe, Birming- 

Colombia, 9. 17, 19. 60. 66. iMS, 


268. 287, 312. 818 


^ h»m. 264 

ConsuJ-Generalof, Sia 


LitOR, 102 

Coldn, 60 


Chancfty. 160. 176, 227. 232, 283, 

Colonies and setilemenle, 319, 320 



Colonists, laws ot. 329. 880 

GhuiohKinEtjo, 184 

Cbsrgo d'Affftircs and Consul - 

OenenJ, 84 

Charities. 115, 116 


Charles V. of Spain, 12, 15, 94 

Compaoiea, insurance. 83, M, 89, 


Chaupiobaca, 210 



CbaveE-Oiutnet, Jorge, 68 

Concessionaire laws, 318, 319 

Chiohajo, 41. 188 

CoQoeBsions, mining, 824, 825 


ChUohM Indians. 12 

Conierecice, Pan-Amerioan, 295 


Chile, vii. 13, 16, 23, 60, 62, 81, 

Congress, 44, 75, 78, 79, 190, IM, 


174, 180. 182, 184. 187, 196, 



242. 247, 248, 249. 25G. 268, 

Conquerors, Spatusb. 11 



Conquest of Peru, 1, 2 


WW with, 28, 29, 43, 46, 48. 66, 

100,117.118, 118,278 


ChUote-Yonan Eaiiway, 286 

reports. 37, 292 


Chimbote Cool ajid Harboiir Syndi- 

Consul. British. 292 

cato, 285 

CoiiBul-Oeneral. British, 86, 184, 

Chiniboto-Bocuay Railway, 286 

125. 811 

Cbimbotc-TablouPB Railway, 195, 


Peruvian, New York. 88, 102 

China, 184. S42, 249, 254 

United States, 36, 298-395 

Chmoha Islands, 69, 274 

Contaniana, 6 

Chineae,42. 128, 318 

Convencidn, 41. 184 

eiolusion o(, 128, 818 

Ohira River, 8 

Copiap6, ix 

CborilloH, 117, 118, 230, 281 

Copper, 216, 224 

Chosira, 208, 298 

Cordillera, 4, 7, 8 

Chombivilcas, 180 

Com, 336 

ChnDchoB, 21 

Church. Anglo- Amerioiui. 184 

Corporation, Peru^-ian. \x 

Enghsh, in Pt<ru, 184. litS 

Corps ot Mining Engineera, 8S9 

Churches, 110, 115, 131-145 

Corlez Hernan, 12 

riches of, 140, 141 

Costa Rica. 268 

Cigars and oigaretles, 186 

President of, 23 

Cinnabar. 22C 

Cost ol Uving. 131. 122, 124 

Civil Code, 321, 322 

ColobaDibas, 284 

righto ot [oreigners, 820. 821 

Cotton, 126, 171, 1T8, 224, 3fia-aM, 

C14ment.ColoDd, 61 


Clerck, Heremati, 297 

Exporimontal Station. 175 


Coltoa-Med, 17S. 176 
CoiiDcil, Superior Mining, S'ili ' 

Court litttniti, 43 

Creuut, T4 , 

Cricket. 1% 
Cuba. H9. !H7 

Cuiktma HouM. ea-GH, 7M-R1, -J44, 
2t.1. aso, 255. 270, 2M7. SW. 3!i:., 
Cuico, City of. '21. SC, IM -■<», -JOJ, 
905, «a. 227, aw. 293 
Dep»rtiiient of. H, 4U, 17H, iHl, 
IM, 1K7 

I)*bt, Anglii-Poruviiui, tW 

iiit«ni>l, 60. UT. 74. 75 

public, ta. 74. Kl. I»5 

Urribarren, Btj 
iHUiuiution Cuiiiiuii'Mim, 17, ItP 
DeiDBrcKtion Tn-aty, IT 
Df-partiuentnl ItoMd*. 45 
D-pwIuivnl. I'usUl. .'>T. iXt, ei.fl:!. 


Ik'lHUrUtiBiiU. polilii-al, 4U, 41 

DtputlM. 4S. im 

Dca <lru, fhu-ln l^min, :i5 

I>rulKh« lUiik. r.t. 74, :H>4 

Ilevir* r.rtiaiv..-)l4 

DiploiuAlie nprt-M-ntatUii, :M. »5, 

l>iMrMea. 54. .'15. 5r. 
Di'Uict Council!. 45, H» 
Dintricta. 41 

luililvy, 51 

lumini;. 2X7, '>«h, Jiri 

•hefp. I7(t 
bork>. £19. 250. avT 

l>.-lllr*lici>. I'JS 

!>(>■ cle Ma>u. IIhuIk i>(. 20 

Drnki', Franci>. aUS 

I>nii;ii, XH 

Ihiiicitn. Foi uid Co.. 2>ia 

Korlh'ltiakM. M, IDM. Iw, UK I"-'' 1.1. Id. IT. lU. 21. ;il. «>. 

riJ. a'.'H. 2IJ 214. JrtH. :ir» 
(Murallon. Kl Wi. 'JT. W* 

-. hr r;!. JT. -JH, 

EmiRruitit, I'H, 13.'>, lafl. 137. 198. 


Empire. Ine», x, 13, lit 
Kiuployineut, 12:1' 12G. I'/i 
ICngliHh f oiuiiierciiil School, 97 

Church in I'eru, VM, liU 

laii(fUKKo> W 
FHtiuifttea, :iUH, 334 
KtcD, port of, 80, lH;l.2.W..kU,a36 
Kuropean*, 42 
' Kxchnnite. rate at. 309, HIO 
f-UpL'mliturc, national, 7h, 79 
l-Ixperiuiental Stnliun. Sujv. 14H, 


Cotton. 175 
Fxp]<irationpartii-B.m. 19.20,31.29 
Kiptoror*. wotiicn, 211, 21 
l'!iport8 and iifi|>ort>>, viii. HI, 147. 

14H. 174, 17n. 177. IHl. 188. 191). 

245, 374, -282, 2UU, .134 »U7 


n.l.;.try. r.T.JUl. ;iOa 

FactoriM. 17fl.lM1.2.-. 
FiUklaiid Iiland. l^Kl, 17(t 
Fauna, i 

FawoGU. Colonel. 18 

Fawcttt, I'reiitiin anJ Co.. \!i 

1-Vvhan, J. H.. 2(19 
PVrr.fiBff. IKI 
F-rruUtiibft. 2.14. 2:L-.. 2iU 
Filibuntvra. N.irtli .Vtix-ivsn, ir> 
Financi' Miiiiilvr. :<1, 74, 7.'>. 7 

:t:l2, XiS 
Finamvu. il. 15H1. ^V 
Fi.>h, 9. 122, 9At 
Flai and jutv. 'XH 
FUfrn. 9 

Florfs. lir. Antonio, W 
Hour. J.'..-. 
FuMirnto trniinolion) IVpa -ui.-i 

or. ui.!i;i. loa. it4. ».,<, 27 

Nrini.l.T o(. :i'.*. .■I!'. Wi. 2 U. :« 
M:ni*trv. 171. 229. H3:i. M 
FoodatiirT-. :U14 
Fm-iUU 1.10 

FuniKii ATlair*, Mini<l' t •'(. 2)1. .1 
:t:i. :i:ij 

crtiiitin'rc^. vii. HI 
»H!ir»,aiH. art.'.. :112 
tr fir inarka. :li-J. :tj:i 

F<ir<'it(niT>' ritit nfih\; 43 
pnipurlr uf Ji<iM>aai'>l. ;ij| 

FllfMl*. -t. N. 10 

PofKa. M...n.lS,.n.. :UU 
Krwicr. fl, wT, 1T4. Wl. IV,. 2* 
sun. XU. .tKi 

Digitized byGOOgle 


Freights, 123. 100. 203, 209, 316, 

820.2:24, 257 
Frenoli Military Misdaii, 48 
Fr«ah meal, 121, 385 
Frontien, S, 16 
Fruit, 9, 834 

avios&. Dr., 29 
OsaOKa, Dr. Agmtin, 832 
Ooaco, Pedni de la. 12 
Osugea, 198. 196. 193. 207, 213 
Oeueral Electrio Compaoy (D.S.A.), 

218, 257 
Oeographical Society, Lima, 88, 42, 
Ro;al, 18. 20 
Wuhington, 38 
OeriiianB, 12, 268 
Oermon TranBttUanlic Bonks, 73, 

87, 88. 803 
Germans, ™,81, 174. 181.185,247, 

248. 303, 385. 337 
Oibbs, Antony, and Co., 275 
Giron, Frnnciaco, 803. 808 
Gold. 234, 284, 285, 200 
QonzaJes. Dr. Agustin d^ La Torre, 

882, 883 
Gordon, Jolm. 260 
Oovemment, 43, 44, 45 

local, 46 
Grace Brothera, 242 
Grsoe. W. R., and Co. 75. 268. 272 
Gradientf. 200, 201, 207, 213, 234 
Granada, kingdom of, 12 
Grau, Admiral, 111 
Great Britain, vi, vii, 181. 803, 885, 

Grey, Sir Edward. 264 
Guadalupe Nation&l College, 29, 88 
Ouafiape, 6 
Quano, 8, G. 68, 148. 168-166, 270, 

278-376, 323, 8-25, 388 
"Guano Affair," 73, 74 
Ouaqui, 4, 198 
Guaqiii-La Paz Railway, is, \, 195, 

312, 220 
Guatemala, 268 
GuatemoiT. 12 
OuayHquil. 242, 244 
Gubbinit, J. HuBseU, 814 
Quit Line SteunHhip Company, 242 

Habicb, Dr. Edmundo N. de. 32. 

H a m b n r g - Amerieai) 

Company, 241 
Hards, Sir Edward, 35 
Harvard UniTerslty Oboen 

Haucb, Otloniar von, 128 
Health, Board of, S2 
Helps, Sir Artbor. 298 
HetheringtooB, 264 
Hidei, 180. 181, 21fi. 245, S36 
HiggioBon, Don Edaardo, 86. 39, 103 
Historical Inatitate, 33, 101 
HogB, 236 

Holdich, Sir T. H-, IS 
Home Afbiis, Minister of, 44, 8L 
and Police, MiDist«r of, I 
HanduTas, 60, 208 
Hope, Pierce, 217 
Horse -racing, 139 
Hospitality, 114. 802 
Hospitals, 115, 380 
Hotels, 121, 300 
Hous^-renta, 122 
Howard, Henry Clay. 85 
Hnacho, 160, 227, 233, 283, ] 
HuoUagn River, 4, 128, 262 
Hiianaohuoo, 181 
Huancabambo, 41, 184 
Hu&ncavelica, Dep&rtmi 


Hnancayo- Oroya Railway, 280 ' 
Huancayo Railway, IW, 107, T 

207, 308, 209, 228 
Huanoliaco, 830 
Huanla, 181 
Hu&nuco, city of, S6 

Department of, 40, 41. 14^1 
181 ^ 

Huira, 227 
Huanney. 886 
Huayoaputina, 7 
Huggira, J-, 288 
Humboldt, Baron von, 288 
Uamphreys, E., and Co., 9 
Hydrographic Office, 23 

Ico, city of, 56, 258 

Department of, 40, 41, 48, fl 
Igaraparafia River, 6 
Ilo, port oF, 9, 55, BO. 286, BSS, 8 
JuimigraQlfl, 43 
Immigration laws. 810 
Imports and exports, viii, 81, I 

148, 170, 181, 183, 184, 187, f 

256, S84-SS7 
Inambari River, 20, 190 
Inoa Cotton Company, 817 

Inw Bmpin, z, 13, IS 

Inolui, Colonel, 29 
Independenoe, Wur of, 15, 66 
Indisn raoM, 18 
Information Bureau, Parit, 83, 84, 

BS, 830 
IiiMots, to 
Iiutitiita, Historical, 88, 101 

Teohniaal and Indaetrial, 102 
Iiwanmoe, 82, 88, 64, B5, 86, 881, 

oompaniu, 88, 84, 8S, 86 
Inveatmenta, Britiah, 267, 280, SOT 

United Slates, 2S6-268, 288, 807 

Iqoitoa, port of, 61, 62, 80, 100. 227, 

228, 248, 246, 251, 835, 886 

Bteamship Companj, 345 
Irrigation, 148. 161-168, 183, 186, 

259, 262, 819 
Islands, 8, 5, 6 
lalay, Provinoe of, 95 
Italian Buik, 88, 261. 804 
Italy, 97, 176, 268, 803, 886. S87 

;ra^n, 41, 182, 184, 186 
Jamaica, 147 

*apaii, 147, 242, 248, 249, 254, 887 
Japanew, 42, 124, 125, 126, 127, 
Cdunl-Oenera), 125 
Steamuhip Company, 242 
Janja, 41, 893 

Jwningbam, Hon. W. O. S., 86 
Jerome, Lnoien Joseph, 36, 87 
Jevoroe, 184 

Jimenes, Rrewdent Ricardo, 28 
Jookej Clnb, 108, 120 
Jones, V.C., Captaun fL H., 86 
Jaliaoa, 20, 108 201 
Jnain, Department of, 40. 178, 180, 

Juatioa, Minister of, 80, 832 

Kinct of Spam's Arbitration Atrard, 

Einley, Frofeaeor, 295 
Elinge, Oerardo, 175 
Eoppel, Arthar, 32H 
Koemoe Company, 241 

Labare, S 

Labour, 128, 177, 186, 190. 385, 386, 

308, 818, 827, 8S0 S82 
Lake TlHottea Servioe, 105. 106, 

213, 319 
t» libwtad, Departmsnl of, 40, »4, 


EX »43 

Lama, Diego de, 277, 37B 

Lb Mar, 41, 292 

Lambaysqiia, Department of, 8, 28, 

40, 41, 188, 377 
Lamport and Holt Steamship Com- 
pany, 243 
Laiioaahire Dynamo Company, 210 
Land, 186, 192 
Landed property, S31 
Land law, 48, 818-820 

registry of, 821 
La Paz, iz, I, 108, 246 
La Ptinta, 117, 118, 290 
Lores, 293 
Larrabnre y Correa, Dr. Carlos, 88, 

Larrabnre y Unanuo, Dr. Eogenio, 

37, 88, 06 
La Torre, Don. J. M. de, 888 
Lauri-Cooha Lake, 4 
Law administration, 42, 48, 44 
Laws, immigration, 42 

mining. 828-880 
Lead, 285, 292 
Legation, British, 85 

Peruvian, 84 

Unitea States, 86 
Leguia, President Au)>uato B., 17, 

38-36, 84, 67, 103, 176, 238 
Legnio, Don E-, 84 
Legniay Martinez, Dr. aerman,36, 

27, 882, S8S 
Lembcke, Don Ednardo, 84, 882 
Lembcke. Don R. E., 84 
Library, National PubUc, 100, 117 
Light railways, 262 
Lima-Anc6n Bailway, 06, 336 

AtheoKom, 33, iOl 

Benevolent Sociutv, 115 

Board of Health, 5J 

Chamber of Commeree, 103 

City of. 14, 16, 89. 62-64, 107- 
120, 133. 146, 147, 193, 105. 
206-308, 236, 282. 243, 367, 

Department of, 40, 51, 03 

eleetrio trains (ne«'), 333 

Oas Company, 333 

Geographical tjocicty, 88, 43 

Light, Power, and Tramway! 
Company, 230-232 

Mayor of. 119, 120 
Limantonr, Jos^ Y., 26 
Lima Railway, 230, 810 

sabnrb^ 116-118 

Tramway iCompanj, 281. 383 

Water Company, 76 

Univarsty, 88, 98, 103 

Digitized byGOOgle 

^^* Lim6ii, port of, 6 

Merohanta' Line, 342 

r Literature and art, 98, lOS 

Mercury, 286 

Littoral ProvincBB, 40 

MoiicD, 12, 60, 100. 14«, 1H9. IBS. 

Liverpool, 147. 190, 228, 2fl. 245, 

342, 207, 268, 386. 3.-I7, 291 


Mica, 293 

Loans, 65-76 

Military Academy. 50, 52 

Lohiloa 0U-fidd8. 278, 815. 816 

Military diatriota, 61 

LoboB de Adentro, 5 

law, eo 

Lobos de Afucm, 5 

Mills, cotton, 252-264 

Lookej, Joseph B., 94 

sugar, 149-168 
Minerda, 226, 227, 284-296 

LoMtnotivcB, Britiah, 214-216 

homu, diatrict o(, 388. 290 

Mineral wealth, 288, 200-29S 

port of, 284, 336 

Mines, 227, 2S4, 236, 2S4.295 

London, 294 

School of, 286 

Bank of Mexico and South 

Mining Code, 286, 287. 828-880 

Amerioft, 75. 87. S8, 308, 304 

Council, auperior, 828 

, Looms. 252, 268, 254 

diatriete, 287, 288, 292 

^^_ Loreto, Uepartmeut of, 19, 21, 88, 

Engineers, Corps of, 329 

^^K 40. 41, 185 

laws, 823-3^0 

^^H Los Andes. 57 

luachinery. 258. 285, 8B4 

^^H Lucanas. 41, 234, 235, 288 

Minialer of Agriculture, 148 

of Finance, 81,74, 75, 78 

^^m MoCulloch. E.A., 204, 305, 302 

of Foreign Affairs, 26, 81. 83 

^^M MMhinery, 147, 149-156, 168. 169. 

of Home Affairs and Pohc«, 44 

^^M 175, 176, 188. IBT, 358, 259, 

of JuBtioe. 3U 

^^m 262, 263, 834 

of Promotion \Fouieato). 92, 

^^H agricultural, 147. 268, 334 

33, 96 

^^H cotton, 176, 176, SOli, 834 

Ministry. 26-82, 44 

^^1 187 

Mint, National. 92 

^^1 mining. 258, 285, 834 

Miraaoree, BatUe of, 23. 28, 117 

^^1 rice, 188, 884 

Miranda. Francisco, 16, Ifl 

^^1 Bugar, 149-166. 16S, 169. 268, 

^^H 259, 262 

Mission, French MUitary, 48 

^^P MoKniglit, JoBepli P., 96 

Misti volcano. UOl. 805 

^^ McNeil. J., and Bona, 186, 16a- 160, 

Mollendo, port of, 80. 96, 190, 

' 259 

198-201, 319, 284. 23fl, 237. 340, 

Madera Biver, 4 

260, 251, 393, 385. 336 

Modre de Dios River. 6, 20, 190, 

Molybdenum, 285, 292 

227, 263 

Monopolies, 27ft, 285 

Magellan. Straits of, 28S, 241 

Montoo Doctrine, v 

MaiEfl, 123, 187 

Montana, 8, 8, 10 

Manchester, 254. 255 

Montes. Colonel, 218 

Mantaro Bivor, 262 

Moquegua, Department of, 7, 40, 41, 

214-216, 254, 269, 201 


MarafioD River, 46, 128, 188, 221. 

Morilos. Dr., 29 

228, 262 

Moriles. General. 16 

Marine Sanitary Service. 55 

Morgan Syndicate, 268 
Mortal, W. L.. 205. 228. 226 

Markham, Sir ClBments, 12. 18 

Mason, John (New Yorli), 260 

Morocooha, 206-208. 224 

Matches, 356 

Morona River. 6, 188, 262 

Matto, Dr., 38 

Moss, Rev. A. U., 184 

Meat, 122 

Mountain B, 7 

Medical Board of Health. 65 

Municipal Boards, 61 

, Medicine, National College of, 29 

CounoH. Lima, 75,76,119 

^^_ School of, 116 

^^^ Meiggs. Henry, 229 

Hanson, Lieiitenani M. fi., 30 

^^H UercanlUe Exchange. 102 

Napo lUvor, 6 

Nkrraw i^uge railwftji, tM 
NatiofMl City B*nk ot Naw York, 


PubUo Uhnry, 100117 

School of AKriculturc, 38, K- 

108 I 

T>\ Collectinfi Coinpanjr, 76, 
77, 7B, 79. 1H5 
NkvixBUon ot riven, 8, 6, 7 
N*v, 4fl. 47. 4H, S7 
Navy aod Anny, HO. 48, 47, *H 
KapiiM, 'i77 
>i*wBp»p«rm, 3aS 

Kaw York, 100, 338, 342, 24S, 2flO, , 

394. :iW I 

New Yorii uid I'eni SteMuahip ' 

Cotupanj, 343 
NiokraKU*. BU 
Nickel, 'Jti.\ !W3 
Niinle«, 187, 378, B2J, 83.'. 
NoRh-Wm lUilmy ol I'eru. 332, 

Norway. 340 

ObaFrvatory, Arpi(uipa, 'Mi 

OcMM curraiiU, !i 

Oil, 9, 17S. 377, 3TH. 884 

raUoD aeed, 17S 

Relda, 377, 374 

olive, 9 

OUvee. M 

OnUnmU. Caplain J. M., 33 

OralUnk. 13 

Orfuil^ation. ••nitary. !tt, r>:i. Mi 

Orova-IIuancayu Itailway, 3:i-'i 

Oroya ItaUway, 194, 1U7. 'AJtt lOH, 

Otacco, l8l 
Oyanifurcti, Ihm Kiirii|uv, >'I1, 74. 

Oyarcabal. I>r. luaii da !>■ H. y. 

OMruav.i - liuadal-ii- Itatlway, 
lu.^. iJl.-i'ii 
port ul, ai, m. 1811. XM, »:», 

SWaiu Navii^iiuD Cotupanj, 

lEX SiS 

Paoi, IG 

I'afip. Mr., 209 

P&iU I'iura KaiUav. 19.>, 330, 321 

port of, U. HU. 331, 238, JStC 
377, 8SS, 386 
PaIiua. Iticordo. lUO, 148 
Paoaiiia, I, 2. 81, GO, 174,339,387- 
•SVi. 341. 343, 340. 249. 30T 

Cuinl. viii. ;U. 13M, 188, 387, 
28H, 246, 386-388 
Pan-AmericKii CunferenM, S96 

Union, 21 
Paper, 2M, 355 
Pan's port of, 238, 348, 348, 811 

rubber, 100 
ParcelH Post, 83 
Pardu. I'>lipe, 395 
Pardo, l'rMidentMaauel,{b3,AH,T0, 

71. iriM 

Paria Inforiiulti.'Ti Duraaa, 88. 34, 

85. 1139 
IVkii, 107 109, 111-114 
, Paiita/a Hivcr. 188, 262 
I'aiieiiriaiiibo Itiver, 4. 8 
! I'ecliFtt, Ilriiitol. 314 
Vttine Coloay. 1U5 
i'arfuiuery, 355, :i:t4 

Pt-ru and I.andol^ Uatik ot, 75. k7. 
8n. BU8 
eoai[Uvkt of, 1. 3 
Peruvian Aniazoiirompiny. 81 1-314 
Cakini'I. 383'3:t.H 
Corporaliuii, ii, 4, 73, 78 
Cutlon Manufacturing ('oui- 

pmny. ig.i. UI7 
i'arilic Itailway. 335 
Salt Cuiupany, TH 
Slcaiuahip Cuiiipaiiy, 48, 387- 
IVtrulfUii). 377, 378, 385, WA, 834. 

83(1. 884 
Pliyincal fnalume, 1-8 
I'li-rola, I'rvudnnt Nirala* da. 48, 

Pi*.-o. W>, IflO, 388, xa, iOO 
Pwco lea iUilway. 89. 19a 
Pitt. Wilhain, la 
I'lura. i-itv of, M 

IN-paVlnu-ni o(. 8. 40, 51. 176. 

377. 3K1 
IliTcr. 8 
Piurtu. FrwiruM. 3. U. li, 14, 

lUI. 109. 110. 18U, WU 
Pt'arnt. (iumalu, |-J 
Pi/am>. (Uo-ral Jm« K.. 80 
I'latl llruthara. 354 

Digitized byGOOgle 


1 Police. 114. 298. 382 

BepresenlUina, Dinlociutie. 8<.^| 



RMOuroee. mdustriol, vil ^H 

^^m Poru <uid hurbonn, 8. 6. 8. S5. 57, 

^^■^ m. 95. 160. 190, 108-301. 219, 

834 ^B 

221, 338, a94-2»7, 243, 245, 216, 

Bioe,12:iL 182,188. IM. 886 ^H 

aSl), 2S1, 277 

machinery. 183 ^M 

PorlugOMe, 12 

Blmac RiTer, 8 ^M 

Posul Depurtnient, 67, 60-63 

Rio de Janeiro, 63 ^H 

Rivers, 8, 4, 5. 6, 138 H 


Prado. President, 71 

Road-bed, 307 H 

Preacotl, 12 

Roods. x.ii H 

Press, the, 60. 68. 88. 99, lOi-106 

Robertson, ^Villiam Heary. 87, 4B^ 

Privule railways, 197 

BoUinc-Btock. roilwBT, 160. aOi!.a(B, 


Pro-Marino Association, 30 

Bosele. Captain C. F. Q.. 33 

Promolion (PomCTiio). Depwtment 

Rothschild, N. M., and Son. 389 

of. 32, 33, 102, 174, 229, 

Royal OeoRraphical Sooi«*T, 16,30 


MaU Steam Packet Compaay, 

MiniBtry of, 32, 83, 102, 


174, 223, 229, 328, 329 

Rubber, 8, 125. 126. lafrlBa. Mt. 

Property, landed, 821 

243, 244. 245 _^gHM 

of decoosed foreigners, 821 

production. 191 ^^^H 

Province. 41 

Ruins. Inca, 306 ^^^H 

Littoral, 40 

BuoiBby, E. J„ 299, SOD ^^^H 

Public Debt. 65, 74. 68 

Sailing vessels, 239, 248, 349 

Works, Ministry of, 270, 387, 

Solaverrv, 80, 236, 335. 330 


Railway, 195 

worship, 131145 

Salt. 276, 277, 285, 30S, 838, S 

Piino. Department of, 4. 40, 178. 160, 


198. 288, 292 

Salt Company, Nation»l, 78,276,; 

Punta Oruesa. Battle of, 39 

Salt revenues. 80 

Pm'ils River, 6 

Samanco, 160 

Patumnyo RiTer, 6 

Son Cri8t6bel, 2S5 

rubber estates, 811.814 

Ban Franoiseo, 237, 242 

QoeohTia, 18 
Quesada, Oonzalo, 13 

329, 380 
San Lorenzo Island, 6 
San Marooo, University of, 83. M 

San Martin, 16, 113 

QuicksUver, 287, 292 

Deportment of, 40^41. 18 

Racing, horse-. 129 

San Miguel district, 392 

ItaOwny oonHiruotion, new, 226-286 

Santa, 8, 334 

Lima, 230 

Bubara estate, 160, 1S6 

RaUwavs, viii, i;i, i, 198-28S, 343 

River, 3 

Arloa and Tacna, 68 

Savon, 232 

capital invEHtfld in, 197 

Sovings Bank. 87. 88 

light. 262 

Scenery, 7 

Recuay. 228 

School, Anglo-American, 97 

Bud Cross 8 teamsbip Conip«u)y , 242, 

EnKlish Commercial, 97 


of Agriculture. Nfttronal, 88, 

Registry of Iwided OTopertj, 821 
Regulations, Consular, 882 


of ConuncTce (Techuoal), fl 

Reli'Kon.lSI 145, 288 

of Medicine, 116 

Rentals, 122 

of Mine*, 266 

Smkuw, 108, lOB, laO, lU, 168 

Bawanga, CtJSao, 800 
flhkf»r, P. J.. SSS 
BfaMTing, 17B. 179 
BbMp, m-179 

dirtriou, 17S 
BhipplnK, *. M, S5, 386-251 
Bbopa, railwaj, 908 
eUm. IM 
Bl0«i>iil-Cui«o Bkilwky, !1SB 

BHwr, 3U. 984, aaS, 386, MO 

SiiiKMia uid Sona, 11BC 

SnuUpoi, 06 


Boap, 176, 18S, 306 

8oU»ra, 48, 03 

Sotil. Lieuunant, U.A., 33 

Southern Railway, ii. x. 195, 108- 

906. 937, 934. 340, 251, 903 
Spain. 96. M, 100^ 886 

mar with, 16, 18, 48, 89 
Spanikrdi. 43, 180 
Bpaniah eonqoerora. 11 

Sporta, 139. 180 

Siutdard xauRe raUwaya, 196 

tiuuidfait, Bav. W. !>., 07. 184 

State railwara. 197 

Stationt, raUway. 199. 308. 313, 318 

Stvaniahipa, 4. 46, 65, 286 951 

Slornia, 6 

Suhurhaol Lima, 116. 117. 118 

Baera, lA 

Bnpr, 133. 130, 130, 300, 88S, 886 

enlliVatioo, I4A-149, 181-168 
Mt*tM. 100^ 155. 167, 108, lOe, 

160. 106, 197, 303, 388 
EipMimanlBl Htallon, 148 
rIpoltJ^ 147. 333, 218 
ritnrtioii of, 160, 166 
maehinrrr, U9-la^ 188, 189, 

968, 369. 303 
inilLi. 1411 lU 

KuUivan. S. II.. 86 

Sulphur. 3H.'>, -m 

Supv. IflU. 937. JM 

Kwaii. lluiilar. Wighain. and 

Hwavnr Ilor 

, 9W 
r*. 166 

Taena. Ih'parttnrni i-t. < 

81.40.48. 1^1. -ivi 
Tal».-., 377. :B6 
Tautbu A,- Mun. 180 
Twum, 33T 

EX »47 

Taiatioo, 147-190, 304, 360, 387, 
820, 833, 898, 89^ 828, 880 

Tax CoUecUng Company, National, 
76-79, 186 

TaL rubbMr, 880 

Teohnical and Hiatorieal Institute, 
Board of ValnaUoni, 103 

Telegrtqth and poata, 67, 69, 60, 61, 

Telegraphy, coat of, 69. 60 
wirdoN, 46, 07, 08 

Telephone eoropaniea, 66 

Telepbonea, 66 

Trmperatnre, 6 

TeiUlea, 363-364. 884 

Thoatrea, 103, 108 

TieUo, 306, 307, 308 

Timber, 397 
, Tin. 316, 993 
I Tirap*ta,30 

Titicaca. Lake, 8, 31 

Tobacco, 184, 186. 246, 386 

TolWr, 18 

Tooquini, 298 

Tuppln, Captain H. 8 . X 
' Track, TKilway, 198, 195, I9T. 198 
; Tr«de-maika. 9tW, 979, 833. 838 
I Tramway*. 361. 296, 809. 804, 800 
I Trani-Andjne Railway, 'ijl 

Traoaporu, 47 

Treaty of Amity, 17 
: Traea,8 

Tr«i<'rorea. 8 
[ Trujillo, a, C«. 386^ 809 
I lUilway. 196. 933, 338 

Univeraily, S8 

Tumbea, Department of, 40, 41, 
I RlTer, a 

TunovU, 300. 348 

Tnlnpaca, 7 
' Twxldle. HarUn, 371 

t'binaa, 7 

I'cayali River, 8, 4, 6. lltt, 397. 340 

tJnIled Kingdom, vi, vil, 1k|. 349. 

L'nil«d Ktalae. vU. riil. 16. 19. 9H, 
MX IM. 178, 174, 176, ITT. IM, 
9I4-21B. 349, 948. 349, 364. 360, 
390. 361, 368. 308, MXt. 818. 814, 
8S8. 887 
rniTvralj of Arvqulpa. 98 
of Cufeo. BS, 90 
of I Jma. 88. n. 94, lOi 
of Su Uw«aa, at, 98, 94. IflO 

Digitized byGOOgle 


UrOM, 237 
Umburea Debt, 08 
Unibamb* Bivar, 263 
Umgiikj, 108 

Yaooinftlioa Boud, 62 

Nalioiul Institute, 66 
VAlpaniso, 388, 241, 242 
Vkliution, Teohniefti Board of, 102 
Tiudnsehm, George, 90 
VegetaUae, 884, 887 
TenezoeU, 0, 12, 16, 287 
YiMhk. 218, 220 
ViUarAn, Dr. L. F.. 96 
Villu, Coant del, 297 
VilmOTin, M., 187 
Voto&noea, 7 

WKges, 123, 177, 294 

Vfhr BQd Ukiine, Hinuter of, SO, 

War of Independence, 16 

Waterways, 8 

Waterworks, Gallu, 209, 800 

Wealth, mineral, 2SS. 290-395 

Wheat, 186 187 

Wieae, Don (hdllermo, 46 

Winds, 5 

Wireless telegraphy, 46. 67, 58 

Women explorers, 20, 21 

WoodrofEs, Colonel 0. J., 10, SO 

Wool, 170, 180^ 252-264 

Woollen faetories, 181 

Wovkmeo, aoeidentB of, S...^ 

Wright, ItTB. Bobinaon, 21 


Tonan-ChUete Railway, 2B5 

Young Hen's Ohrirtian Aaaoeiation, 

YuoQnutfu, 7 
Yonga Indluie, IS 

Digitized byGOOgle 



3 2044 018 931 162 

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