This report is based chiefly on conferences and trips with Dr. Martínez Mendoza, Director of the Agricultural Experimental Station, and on notes which he very kindly furnished. The following references have also been consulted:"Venezuela." Handbook prepared by Dr. N. Veloz Goiticoa for the Ministerio de Fomento.The Annual Reports of the United States Consul at La Guaira, for 1916 and 1918."Venezuela" by L. V. Dalton, 1918.The article on "Venezuela" in the Encyclopedia Britannica has been consulted.
This report is based chiefly on conferences and trips with Dr. Martínez Mendoza, Director of the Agricultural Experimental Station, and on notes which he very kindly furnished. The following references have also been consulted:
"Venezuela." Handbook prepared by Dr. N. Veloz Goiticoa for the Ministerio de Fomento.The Annual Reports of the United States Consul at La Guaira, for 1916 and 1918."Venezuela" by L. V. Dalton, 1918.The article on "Venezuela" in the Encyclopedia Britannica has been consulted.
"Venezuela." Handbook prepared by Dr. N. Veloz Goiticoa for the Ministerio de Fomento.
The Annual Reports of the United States Consul at La Guaira, for 1916 and 1918.
"Venezuela" by L. V. Dalton, 1918.
The article on "Venezuela" in the Encyclopedia Britannica has been consulted.
Venezuela has an area of approximately 393,976 square milesand a population of over 2,848,121.[15]From these figures one may see that the country is very sparsely settled, and that the first requisite of a cattle country is met,—that of plenty of open land.
[15]Figures of 1917. Latest census is expected to show some increase.
[15]Figures of 1917. Latest census is expected to show some increase.
The main occupation of the people is agriculture. Stock-raising is next in importance and promises soon to be the leading industry of the country. Yet, even though the industry is now important, it is developed to such a slight extent, in view of its possibilities, that the past history means little and statistics mean but little more. The wars for independence, internal strife, political unrest and a certain lassitude on the part of the people have greatly hindered the development of the industry in the past.
There exist no authentic source material or statistics covering the cattle industry in Venezuela. Only during the last few years has the Government succeeded in convincing cattle raisers of the importance of accurate statistics and led the way itself by beginning systematically to compile them.
The following statistics are, consequently, approximations and consist for the most part of rough estimates. They were obtained from the 1919 booklet of N. Veloz Goiticoa and were officially edited by the "Department of Fomento" and are, consequently, the most nearly correct and authentic which could be obtained and also the most complete.
Still, as stated before, it is not the past in which we are interested, so much as the future, and hence we shall merely quote the available figures and then dismiss them from further consideration.
Number of Cattle in Venezuela.18041,200,00018124,500,0001823256,00018332,437,15018394,617,56018475,503,00018645,800,00018733,302,67018838,591,86018946,345,56018996,059,480
In 1919 it was estimated that there were only 2,600,000 head of horned cattle within the country.
The figures of 1915-16 for live-stock show:
Horses191,000Goats1,700,000Sheep177,000Cattle2,000,000
Live-Stock on the Hoof Exported From Venezuela from 1831 to 1918.18311,825184715,976185213,31618825,929189824,000190160,000190360,000190460,000Wt. in Kilograms.Value in Dollars.191518,3395,415,000259,800191618,2675,115,000246,000191718,3335,195,000325,000191819,0205,343,000308,000
Exports of Frozen Meat from 1915 to 1918.Years.Carcasses.Wt. in Kilograms.Value in Dollars.191517,8472,197,240196,663191618,2673,315,990334,216191718,3354,978,420398,27319185,867,770467,867
In 1917-18 the exports of the "Pastoral Zone" were:
Products.Value in Dollars.Salted meat3,398Frozen meat467,867Animal hair100Horns1,788Skins1,673,230Frozen residue of horned cattle10,982Horses, sheep, goats, pigs24,539Horned cattle308,188Wool155Soles67,442Total2,657,689
In 1919 it was estimated that $20,000,000 were invested in stock-raising and pastures. Since that time there has been a great increase and it is safe to estimate that now the sum is nearer $30,000,000.
Topographically Venezuela may be divided into three regions:
1. The mountain area of the north and northwest.
2. The Orinoco Basin, with its spacious "llanos" (plains).
3. The Guiana Highlands.
It is the second region, called "The Pastoral Zone," in whichwe are most interested. The other two concern us only in two respects: as a source of water supply, and as a hindrance to easy transportation.
"The Pastoral Zone" covers 300,000 square kilometers (187,500 square miles), and extends from East to West, from Barrancas, on the vertex of the Orinoco delta, to the plains of Sarare on the Colombian frontier; and from South to North from the Vichada River to the mountains of El Pao in the State of Carabobo. It includes the states of Portuguesa, Zamora, Cojedes, Apure, Guárico, Anzoátequi, Monagoas, Bolívar and part of the other neighboring states.
This entire region is most admirably suited for the raising of cattle. All year round there is an abundance of green grass and the cattle do not need much care. Here exists one of the finest natural pastures of the world, capable of supporting, with the use of modern methods, 50,000,000 head of cattle, twenty-five times the number now existing.
There are two seasons—wet and dry. During the rainy season, from June to October, the cattle feed in the highlands and mesas, which are not subject to inundation. From January to May, the dry season, they feed in the lowlands, which always retain a natural dampness and abundance of grass.
The climate of this zone is slightly warmer than that of the plains of Texas, and the dampness of the lowlands results in a much greater growth of vegetation suitable for cattle.
Throughout this region are scattered the cattle farms of the country, in most of which the primitive methods of cattle raising are still followed. The "llaneros," as the inhabitants of the plains are called, have not yet commenced to utilize the modern methods for breeding or raising cattle. The cattle run almost wild and considerable loss results from the lack of proper care. The milk is obtained almost entirely by the calf, and thus another great source of income is lost. This accounts for the importation of $400,000 worth of butter annually.
Each year the cattle over three years old are separated from the herd and slaughtered, although the slaughter of cows is prohibited, and General Gómez has absolute control over the slaughter of beef for home consumption. Then, until the next year, the cattle are again allowed to run wild and at will.
The reason for this apparent carelessness is the regrettablelack of sufficient labor to care for the herds. This is also the main reason for loss by disease and drought.
The Orinoco River, 1500 miles long, and 1900 miles long if measured by its Guaviare branch, lies entirely within Venezuela, and drains this great cattle section. It has 436 tributaries, and plays an important part in the transportation of cattle. Here lies the remedy for drought. No steps have yet been taken for the proper storage of water for emergency use; with the installation of water storing facilities the drought loss may be practically eliminated. The screw-worm of the kind existing on our Texas ranches is here in evidence and loss undoubtedly results from this source.
Malarial fever at times works havoc in various sections of the "llanos." Though it may be said that the effects of this disease are greatly exaggerated it is true that the disregard of the laws of hygiene is responsible for the wide prevalence of this disease. It is the supine ignorance of a portion of the half-savage people who inhabit the plains, which allows the disease to gain dangerous headway. These people live and eat in primitive fashion, drinking muddy water, eating badly cooked roots and beef, without salt, sleeping in the open nearly naked, and consuming at every opportunity huge quantities of coffee and spiritous liquors (aguardiente), thus becoming predisposed to end as victims of the dread disease. With the adoption of sanitary methods to combat the fever, it may be wiped out upon the plains, as is now happening in some of the better ranches where the workmen observe the elementary laws of hygiene.
Considering Venezuela's natural advantages and the handsome profits even now realized under the loose methods of breeding followed, it is certain that Venezuela is destined to be primarily a cattle country. "If, notwithstanding the unprogressive methods followed in the breeding of cattle, and despite the lack of care on the part of the 'llanero' in the selection of good males, resulting in a large percentage of weak calves, which, on reaching puberty, give little milk and little beef, it still appears that breeding is the most profitable industry in the country, it can well be imagined how the profits will increase when the Venezuelan breeder puts into full operation the modern improved methods for breeding, such as the selection and crossing of good breeds, the introduction of modern methods of sanitation, and the selection and improvement of the pastures for fattening and the production of milk." (Director of Experimental Station of Agriculture, Dr. Martínez Mendoza).
Until very recently, a decided lack of adequate transportation facilities prevented the development of the industry. Death of stock and loss of healthy condition when transported by the shaky mountain railways decreased the profits of the cattle raisers. Lately, 1,800 miles of motor roads were built under the direction of General Gómez, which afford an outlet for the products of the "llanos." Their construction means the unification of the country and its development. Probably no one factor has been of such prime importance to the nation as this great engineering feat.
Still, it must be acknowledged that these roads are not sufficient and that there is still a lack of transportation facilities. The one saving factor in the situation is the Orinoco and its branches.
In the past very little attention has been given to the systematic crossing of breeds. Of late, several prominent cattle raisers, aided by General Gómez, have begun scientifically to better the breeds of animals by the importation of fine foreign stock. Thus, the Zebu cattle has been in the country for some time. This type excels the native cattle in weight, but is very fierce and wild.
The milk cows are now being selected with great care and good results are being obtained from crossing them with native stock. Dutch, English, Swiss, German and American cows are kept in several up-to-date establishments, where the raisers are beginning to overcome the difficulties of acclimatizing the foreign breeds, and a high average in the production of milk is resulting.
At "La Rinconada," an establishment very near Caracas, the pure breed "Holstein Friesian" is found and the specimens are sold to cattle-men of the interior, showing a commendable tendency on their part to improve their stock. I have visited this establishment and may say that great diligence is exercised in the care of these cattle.
Although the principal income from cattle accrues, of course, from the slaughter of beef and sale of hides, there is another great source of income,—the production of "cincho," cheese, for home consumption. Cattle on the hoof now command a priceof Bs. 25 ($5.00) per "arroba" (25 pounds); the price of cheese is Bs. 600 ($125.00) per 100 kilos. Because of the recent advances in the prices of cattle and cheese, the industry has obtained a new impetus as is evinced by the huge investment of foreign capital (mainly English) during recent years.
The Venezuelan government is doing its best to encourage foreign capital to invest in the industry. To stimulate production breeding animals, barbed wire, pumps and well-boring machinery may be imported at a very low rate of duty.
Immigration is being encouraged by the payment of transportation, passport, and incidental expenses, and by grants of land. In spite of this, immigration however is very small, being offset by emigration, and the high death rate that results from unsanitary conditions keeps the population figures of the country practically stationary.
There are laws in operation fixing the price and amount of land to be bought by any one person. One may buy 6,000 acres of first-class grazing land and 10,250 acres of second-class grazing land at very low prices. He must improve the land and have at least ten persons on every 250 acres, in the case of land grants, though I have been unable to ascertain whether this also applies to bought land.
To buy land one first applies, in writing, to the governor of the state in which the land is situated. If no objection is found to the sale, a land commission surveys, classifies, and values the land. The application then goes to the Minister of Fomento, who, if he approves it, issues a deed, upon payment of purchase price in bonds of National International Consolidated Debt, or the equivalent at the current rates. The deed must then be properly recorded.
The government is encouraging the industry by the imposition of very high protective duties. An example may be found in the boot and shoe industry which is protected by a tariff, based in 1918 upon gross weight and, including surtaxes, amounting to $274.10 per 100 pounds.
Of late, more and more impetus has been given to the establishment of canning, tanning and meat packing plants. Yet, there is only one packing house in the country. The "Venezuelan Meat and Products Co., Ltd.," an English company, with a plant at Puerto Cabello, has practically a monopoly of theexportation of frozen and chilled meats and of "tasajo" (jerked beef). The capacity is 300 head of cattle per day and the chief market is Europe. The same company has invested large sums in choice cattle lands near the site of the factory, and since its infancy has shown a consistent tendency to steady expansion.
There are two sizable tanneries at Maracaibo which supply the local demand for coarse leather. Uppers for shoes and finer grades are imported from the United States. Other smaller tanneries are located at Caracas, Valencia and La Guaira.
At Barrancas is located a salt-meat plant which is expected shortly to handle 25,000 head of cattle per year in the production of gelatine, meat extracts, fertilizer and salt meats. The very high price of salt in Venezuela is a severe drawback to the salt-meat industry.
Río Chico is a manufacturing town, making soap and candles and passing the hides to La Guaira for tanning and export.
The Dairy and Canning plant at Maracay is entitled to special mention. It owes its success to the support given by General Gómez, its largest stockholder. It is ideally located, being surrounded by some of the most modern cattle ranches of the country, and has the advantages of nearby and easily accessible markets. The company also owns its own cows, and hogs which are supported by the waste and refuse of the factory.
The building is a specially constructed one, fitted out with a refrigerating plant and modern machinery of American and German make. Even the cans used are made within this building. Two kinds of butter are made here, one with salt and the other without salt. This is the best butter made in the country. Canned sterilized milk and cream are also produced, as is also a high grade of cheese. The capacity is 400 pounds of butter and 100 pounds of cheese per day.
Immediately upon entrance to this factory, one is impressed by the extreme cleanliness and efficiency existing and by the up-to-date methods used.
Finally, we may consider the advisability of investing capital in the cattle industry in Venezuela, as there is no question that real opportunity for profit exists here.
Venezuela is superior to Argentina, the other great cattle country of South America, in every respect except one, that of the amount of pasture land. This handicap, however, is notvery important considering that Venezuela is not producing to capacity by96 per centand that it will be a very long time before it becomes necessary to look for means of extending the present feeding grounds. When that time comes, alfalfa may be planted on the mesas and highlands not bearing a natural growth of grass. It has been demonstrated that both alfalfa and elephant grass will grow in almost all sections of Venezuela.
Venezuela is a week nearer to Europe than Argentina.The vast importance of this fact is self-evident, for it means that Venezuela will always be called upon up to the limit of her production.
Land is cheap. A square league of meadow land may be had for $80.00. The best pasture land in a good location may be bought for $800.00 per square league. Land is abundant too, and but a small percentage is now in use.
Guanta is a port of the Carribean, in the State of Bermúdez, 12 miles east of Barcelona, with railroad connections. It has a protected harbor, with an easy and safe entrance 1998 feet wide, secure anchorage for large vessels, and a good wharf. Behind Guanto lies fine cattle land, a significant fact when it is recalled how very important is the shipment of live cattle.
Here would be an ideal spot for an American packing house, and the country behind would seem well adapted for the investment of capital in cattle-raising.
The regions just below Ciudad Bolívar would also be a good location for an American enterprise. Stock may be very cheaply bought and brought down the Apure and Orinoco rivers to the plain below the city, where they could be fattened and slaughtered. There is easy access to the Carribean and Atlantic, to Trinidad and other markets.
On the other hand, we may say that the future of the cattle industry depends primarily upon the political situation of the country. It is this factor which has retarded the industry in the past and which is now responsible for the hesitancy on the part of foreign capital. The profit to be derived from any industry here depends upon a firm, stable government. Under such a government the profits to be derived from cattle will be immense. If political wars again break out, however, heavy losses are almost inevitable.
The present administration has done more for the development of the country than any previous government and its attitude towards foreign capital is favorable. It has, furthermore, been firm and stable.
Still, beneath it all, one detects signs of a strange unrest. The observant traveler hears murmurings every day. There is no denying the fact that the present government is a military one. Yet, I believe that the intelligent and influential class of the nation realize the good it has done and feel that the country must never return to the old conditions of ceaseless revolution. I am of the opinion that Venezuela has fairly embarked upon a program of development and prosperity.
Another factor to be seriously considered is the aforementioned shortage of labor. Yet, in spite of this, labor is very cheap. The government has a favorable attitude toward grants for colonization purposes, and in this lies a golden opportunity for a resourceful man with capital to bring his own laborers here and realize great profits in the venture.
If, upon more detailed examination of the conditions than I have been able to institute during my limited stay, it is still the desire of Americans to invest here, such action must be taken soon. The unprecedented success of the packing plant at Puerto Cabello has encouraged other Britons to invest. The company itself is acquiring the best lands about the site of the plant and interested investors are buying the desirable land in other sections. The American who intends to invest should do so immediately or he will find that the choice cattle lands and the best locations for packing houses will be in the hands of the English. Prompt action is imperative.
Willard C. Frazee.
At the Central Tacarigua, a large Sugar Cane Estate
At the Central Tacarigua, a large Sugar Cane Estate
At the Central Tacarigua, a large Sugar Cane Estate
Dr. Sherwell and Dr. Sánchez, Director of the National Library with Georgetown Students at foot of Statue to General Ribas and Student Soldiers of the War for Independence
Dr. Sherwell and Dr. Sánchez, Director of the National Library with Georgetown Students at foot of Statue to General Ribas and Student Soldiers of the War for Independence
Dr. Sherwell and Dr. Sánchez, Director of the National Library with Georgetown Students at foot of Statue to General Ribas and Student Soldiers of the War for Independence