Supplement to Commerce reports

SUPPLEMENT TO

COMMERCE REPORTS
DAILY CONSULAR AND TRADE REPORTS
ISSUED BY THE BUREAU OF FOREIGN AND DOMESTIC COMMERCE
DEPARTMENT OF COMMERCE, WASHINGTON, D. C.

Annual Series No. lla November 4, 1919

PORTUGAL.
By Coniul General WV. L. Lowrle, Lisbon.
Business and commercial interests in Portugal passed through a
series of financial and political crises last year. During the early
months raw materials could be procured only with difficulty and at
high prices. Cotton, gasoline, tin plate, and coal could not be ob-
tained in quantities sufficient to meet the demand. Consequently,
many of the factories and mines were crippled in their operations or
forced to shut down altogether.
Strikes were of frequent occurrence and affected all the railroads
of the country, the telephone system, the shipping companies, the
metallurgic industry, and many other indu-tries. As a result, wages
were advanced 50 to 100 per cent. Added to these difficulties was the
low rate of exchange of the escudo, which depreciated to a minimum
of 51 cents, contrasted with a pre-war rnte of almost $1. This
affected the prices of imports, which were practically doubled in
value by a Government decree providing that duties should be in-
creased by 4) per cent, a part being collected on a gold basis.
Effect of Armistice on Industrial Conditions.
After the armistice many of the textile factories, which had been
working on war orders closed their doors; in fact. only a few con-
tinued in operation. Meanwhile considerable stocks of raw material
(especially cotton) accumulated, and the holder., of these stocks
found themselves in a difficult situation with material bought at
high prices and no market. Sufficient coal was received to permit the
railroads, which had been using wood, to return to this fuel, and the
train service was improved. Some orders for new rolling stock were
placed in the United States, and it will not be long before an entire
new equipment is necessary.
Several important projects..-,uch as the electrification of the Lisbon-
Cascaes Railway and the building of hotels and a casino at Estoril,
were revived after a period of idleness due to the war. Many of the
steamship lines which had abandoned their Lisbon service, or at
least greatly curtailed it, resumed their schedules to South America.
This was a great assistance to the foreign commerce of the country,
which at the end of the year showed signs of a speedy revival.
1459850--- l -1 a










SUPPLEMENT TO COMMERCE REPORTS.


Foreign Trade of Lisbon.
A comparison of the foreign trade of Lisbon for 1917 and 1918 is
given below:

Foreign trade. 1917 1915

Escudos. Escudo.
Imports...................................-......... ......... ......... 54,057,000 90,152,000
E.ports ............................ .......... 32,017,000 45 813, 000
Reports:
Colnonil................... ..... .................................I. 16,316,000 9,222,000
Forin .................................................................... 9,400,000 11,164,000
Tr..al .. ....................................... ....................... 111,790,000 156,351,000

The principal articles exported during the two years, with their
values. were as follows:

Art I ir. 1917 1918 Articles. 1917 1918

Eacudos. Escudos. Escudos. Escudos.
Bev\ragvs ................ 241,080 413,812 Flour..................... 42,746 76,085
Copper ore............... 424,063 821,783 Lumber.................. 162,307 110,300
Cork: Oliveoil.................. 11,989 823,403
Plg. u ................. 621,993 809, .58 Pottos.......................... 24,395 .........
Sh n gs ............. 426, 170 ............ Salt...................... 4,528 122,673
Squares,.............. 66,746 1,570 Vegetables................ 544,586i 175,614
W od ................ 1,593,622 187, 55 Vinegar.................. 40,818 51,240
Cotton: Wine..................... ,182,45b 1U0,851,178
Ri. ................... 1,010,88t. 1, (06, 350
ManuLfa'tuies ......... 3S2,826 37t,315

Increased Trade with the United States.
Commerce between the United States and Portugal last year as-
sunled important proportions. In many lines American merchandise
dominated the market, and there were few stores in Lisbon and the
larger cities of the country which did not have American goods on
sale. In former years Portuguese import trade was largely with
German and English manufacturers and exporters, but last year the
United States was the sole source of supply in many lines and the
Portuguese were forced to turn to that market. Many new agencies
to handle American goods were established, and the business relations
between the two Republics were broadened in various ways.
One noteworthy feature of this trade is that a much larger propor-
tion than ever before was carried in American ships. It is certain
that these favorable conditions will be continued as the result of the
increased tonnage under American register. Freight rates were
imuch higher between the United States and Portugal than between
Great Britain and Portugal, but these may be equalized with bene-
ficial results to the growing American trade.
Declared Exports from Lisbon to United States.
The total value of merchandise exported from Lisbon to the United
States for which invoices were certified by this office was $3,477,172
last year and $5,901,445 in 1917. The quantity and value of the prin-
cipal articles were as follows:







r'


PORTUGAL.


Articles.


Antimony....................................pounds..
Chemicals, drugs, etc.:
Argols, crude tartar..........................do....
Ergot, rye..................................do....
Cocoa, crude....................................do....
Cork and manufactures:
Cork paper .................................do ....
Corkstoppers...............................do....
Other manufactures .....................do....
Cork unmanulactured...................... i....
W aste .....................................do....
Fish (sardines).................................. cases..
Fruits and nuts:
Almonds.................. ...............pounds..
Chestnuts..................................do ...
Figs.............................. ...... .do....
W alnuts..................... ........ ..... do....
India rubber...................................do....
O il, palm ................. ..................... ....
Salt........ ................................. do....
Seeds,carob.................................... o...
Skin goat................. ................... do....
W ine......................................... gallons..
Wolfram ........................................ uns..
All ot ter articles ............................. .......


___ -_-------- -


Quantity.


557,647

1,198,730
23,987
7,620,454

2,205
241,402
39,2;9
30,009,377
43,409, 05
35,3S9

j55.915
2,653,4993
1,~S2, bo
17sN, l9
3,151,108
4~,313
3,600,116
941,9.00
14,44,1
b16,.01
10)b, 13


T otal....................................... .. ...... ...


Value.


524,670

160,922
S12.851
969.299

2,4 78
90,303:
2x,329
1,403,03 ;
737,310
395,5 9

180, 68
164,3!7
7K.217
20,030
1,281, 572
4, '3
7,348
25, 51
29,723
33,921
10J, 139'
139,549
5,901,445


Quantity. Value.



2,nflM, 47 $278,383
15, 7u.0 11,500
........................

0,004 6.748
1l4, 15S 6.;, 443
11l. 547 ',s, i 7
19, .3s1.9: 1,26J7,98.
20,01l, 4;76 517.5i11
5'.. 95 1U.2, 239

,j73,909 [ 152,5SS
141,21i 12,311
,2 ,. 137 552. 1l.3
5o, -.:,3 1 -, 7
151, .0 -1.. 134
70 ,.9 11'., 1
112, OUU 1. 221
522, 'iJ 2,. 571
,12,.l 3 3;,iiuS
.3,5;5 "11,331
..... .. .... ..... .......
............ ; 41,410

........... 3,477, 172


Cost of Living.

Price- of all articles of necessity advanced during the year, and
the cost of living was as high in Lisbon as in many of the large capi-
tals of Europe. One of the leading American companies doing busi-
ness in Portugal compiled the following statistics showing the (I ll-
parative cost of various articles in Paris, London, Milan, and Libon,
in terms of francs (the normal exchange value of the franc is
$0.193; 1 liter=1.06 quart.-,; 1 kilo=2.2 pounds):


Articles.


M ilk........................................ .......... liter..
Butter..... ................................. ... kilo..
Bread................................................ .....do....
Beef ....................................................do....
Potatoes ...............................................do....
Cereal foods...........................................do....
Dried vegetables ......................................do....
Fish (herring or whliting).............................do....
Sugar .......... ............................do....
W ine ........ ........ .................................. liter..
Soap ........................................... ......... kilo..
Shoes:
Men's............................................ pair..
Women's..........................................do....
Resoling:
Men's shoes.........................................do....
Women's shoes........................................ do....
Socks:
Cotton..............................................
W ool.................................. ............do....
Collars................................................. piece..


Paris. London. Milan.
Mi l


Francs.
0. SO
16.00
.50n
6.00
O0
2.20
3.00
3.00o
2.00
2. 50
3.S5

50.00
50.00

13.00
12.00

4.00
10.00
1.45


Franc 8.
1.10
7.20
.47
6.66
.30
2.50
1. 00
2. 51
33
5.00
3. 08

45.00
40.00

10.00
8.50

2.50
5. 50
1.00


FrPane.
0. 70
7. t'i
.t;2
10. .;J
.Tr
94
1.75
10. 35
3. 46
2.15
7.70

56. O0i
36.00 )

lu.33
1Z. 60

3.50
5.60
1.95


The percentages of increase between August, 1914. and November,
1918, for some of the ordinary commodities were as follows: Rice.
285; sugar, 140; oil, 135: lard. 260; sausage. 164; ham, 122": acon,
263; beans, 283; butter, 140; macaroni, 300; codfish, 4-20: 1oap,. 225;


Libon.


Fra ticS.
1.33
1.5.33
2.7'
I.t. 3.
1.67
2. 51
5.. 5.:
0.67
3.33
1.33
2. 89

s3. 33
100.00

16.67
1. 67

6.67
10.00
2.22


I


............








4 SUPPLEMENT TO COMMERCE REPORTS.

candles, 208; potatoes, 970: eggs, 300; biscuits, 270; tea, 233; beef,
218; mutton, 335; pork, 290; milk, 140; bread, 450; matches, 100;
men's suits, 200; shoes, 220; and hats, 150. The average increase was
203.3 per cent.
Railway and street car fares, carriage and automobile hire, and
telephone and telegraph charges have all advanced materially.
House rents are in some instances more than three times the normal
amount.
Tin Plate Imported Principally from United States.
The United. States furnished the most of the tin plate used by the
Portuguiese packers during the past year. Large quantities were im-
pe( ted during the last half of the year 1917. and prices were some-
what lower early in 1918 than during the previous twelvemonth.
Durinii the spring and summer there was a great scarcity of tin plate,
:lnd prices advanced, with considerable speculation on the part of
the dealers. Immediately after the armistice was signed, prices be-
gan to drop, as supplies were shipped freely from England, which
vwa; the principal source of supply before the war, and from the
United States. The total import from the United States was
21.773.550 pounds. valued at $3,467,362, for the year ending June,
191.s. compared with 4,532.328 pounds, valued at $311,308, for the
prv\'ious year. This large increase was due to the prosperity of the
Portugule. e canning industry, and to the fact that England was out
,of the market. until late in the year. American exporters of tin plate
should be alert to the possibility of retaniing the trade with Portu-
gueil.e canners, either by direct sales or through dealers in Lisbon
a id Fa ro.
The Sardine Industry.
The Portugluee sardine industry had an exceptionally prosperous
year, despite difficulties in securing material for the operatico- of the
factorie and the necessity of paying much higher wages to em-
plyees. The total value of exports of sardines from Lisbon during
tle year was about $5.141,000. No shipments were made from Portu-
gal to the United States after June. owing to import restrictions,
but the output was taken by France, Italy, and England, the various
Governments being large buyers for army supplies. Late in the
year stocks of Portuguese sardines accumulated in England and
Fran.e, and the export business was paralyzed. Prices dropped as
nu111h as 45 per cent. Complaint was made that the fish and oil
were not of the best quality. This was due principally to the fact
that during the past two years many new factories have been built,
the owners being attracted by the high prices, and insufficient atten-
tion was given to the quality of the production. A large a-mount of
capital has been invested in the industry. and with the fall in prices
the situation of many of the manufacturers became critical. The re-
moval of import restrictions by the United States, which has always
been a large purchaser, will do much to adjust matters.
The usual method employed in packing sardines is as follows:
The fish are first placed in wire baskets and are cooked in large hot-
air retainers. Then they are packed in tins with either pure olive









PORTUGAL. 5

oil or a mixture of olive and peanut oil and are cooked in steam for
a short period. Before the war, peanut oil was used extensively, as
it was much cheaper than olive oil and because it reduces the acidity
of the latter. At present the native olive oil is used almost ex-
clusively, as it is much cheaper, owing to the Government prohibition
of exportation. Oil of about 10 acidity is used. Formerly the
brands exported to the United States were packed in Italian or
Spanish oil, but the Portuguese product has now replaced the im-
ported article. Skinless and boneless sardines are prepared for the
American market exclusively and are not on sale in the local stores,
as they do not meet the requirements of the Porttuguese trade.
Production of Bread Grains.
Portugal's agricultural industry centers about. the production of
wheat. All conditions were favorable for planting of the winter
variety in November and December of 1917, and the high prices
paid for this grain caused an increased area to be planted. The
spring sowing also was favorable, but the abnormal weather of May
and June prevented the harvesting of a record crop. The 1918 yield
was the largest in the past six years, amounting to 6,051,000 Iui-hels,
as compared with 5.560,000 bushels in 1917. The area planted to the
grain was 326.000 hectares (W05.560 acres), an increase of 49).300
hectares (121.s-22 acres.) over the previous year. It was estimated
that the crop would supply the country for eight month-. The
deficit was made up by imports from the United States and
Argentina.
The corn crop was almost a complete failure and great hardship
resulted, prices advancing to exorbitant figures. A part of the deficit
was supplied from the Portiluguese colonies.. The rye crop was
superior to that of 1917, and this grain was used with wheat for mak-
ing bread.
The Vintage of 1918-Sulphur Imports.
The 1918 vintage was inferior in quantity and quality to that of
the previous year. The production is estimated at 91,298,600 gal-
lons. In 1916 it wa, 143,:94,3i-i gallons and in 1917, 109,811,200.
Owing to lack of labor, there was little change in the area of the
vineyards, which is approximately 7S1.000 acre.,. Prices of wines
were higher than ever before, owing to tile demand from France and
Brazil. The export trade in port wine was seriously affected by the
import regulations of England and the United States and by ln;k of
cargo space from Oporto.
Imports of sulphur for use on the vines during 1918 were as fol-
lows: From the United States, 4,908 tons, against 2,212 tons in 1917;
from England, 12 tons, against 1,904; and from Italy, 7,"2S tons,
against. 3,256; a total of 12,306 tons, against 7,372 tons in 1917. In
1913 Italy supplied 14,575 tons of a total of 15,121 tons. The pre-
war price was about $1 a sack. In 1918 the maximum price was
$12 a sack and the minimum about $5.


:a*









SUPPLEMENT TO COMMERCE REPORTS.


Production, Consumption, and Exports of Figs and Almonds.
Figs and almonds are an important source of revenue, especially
to the farmers of the southernmost Province of the country, the Al-
garve. The production, home consumption, and exports of these
JproduLct. for the past three years were:

Items. 1916 1917 1918

FIGS. Pounds. Pounds. Pounds.
t'riodI ion ......................................................... 20,971,000 19,985,000 16,556,000
C'on.ulu pt in ....................................................... 3,311,000 3,300,000 2,649,000
I.x ll.n >............................................................ li,660,000 15,685,000 9,507,000
ALMONDS.
'rni Ulr II ......................................................... 1,98, 1,000 1,766,000 2208,000
Con-um Iu I: ...................................................... 20, 00 20,000 20,000
F[ '.lp rt .................. ......... ................. ... ... .. ... 1,967,000 1,746,000 1,393,000

Mining Industry.
Miini ng enterprises were badly crippled during 1918. Several of
the 'copper mines were shut down as the result of high cost of opera-
tion and prohibitive freights. The one concern engaged in dredging
tin was seriously affected by a decree of the Government prohibiting
the exportation of tin. The local demand was not sufficient to absorb
the output.
Tung1'sten mines operated under difficulties, and severall were closed.
The production has been from 900 to 1,500 tons a year, as near as
rian be ascertained. The wolfram averages from 55 to 65 per cent
tungstic acid and in some mines, by careful washing, the percentage
,obtained has been 70 to 72. Tungsten is found in the Provinces of
Minhio, Traz-os-Montes, and Beira. There is no use of tungsten in
the country. It is stated that some local concerns are planning to
use the 1 etal but as yet there have been no actual developments along
this line.


WARSHINeTON ( GOVErNMENT PRINTING OFFICE : 1919




I!




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UNIVERSITY OF FLORIDA
iI 1ll HI4 llli1i8i7iilllil n inl
3 1262 08485 1871


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