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creased from 436,000 to 18,324,000 tons; and the passenger increase was from 26,000 to 275,000. The business is rapidly increasing on account of expansion of trade between Europe and America and the far east. In 1906 the number of soldiers going through from Russia to war against Japan increased this line of business; that year the passenger traffic numbered 352,000. Statisticians show that Panama cannot compete with Suez for trade in India, the Red Sea, East Africa or the Persian Gulf. It is said that 5 per cent of the trade between Europe and Japan and 10 per cent between Europe and Australia may use the Panama route. And that rates of toll cannot change this; it is not a question of competition.

Great Britain had in 1910 practically sixty-two per cent of the total traffic through the Suez Canal. Ships owned by America using the canal were so small in number as to be scarcely worthy of mention.


Article 14 of the concession (January 5, 1856) for the Suez Canal reads thus: "We hereby solemnly declare for ourselves and for our successors under reserve of ratification by his Imperial Majesty the Sultan, the great maritime canal from Suez to Pelusium and ports belonging to it henceforth and forever open as neutral passages to any merchant vessel crossing from sea to sea, without any distinction, exclusion or preference, whatever, for persons or nationalities, against the payment of dues and execution of regulations established by the said Universal Company, grantee for the working of the said canal and its dependencies." Article 17 provides:

"To indemnify the company for the expenses of construction, maintenance and working devolving upon them by these presents, we authorize the company

henceforth and during the whole term of their lease, as determined by clauses 1 and 3 of the preceding article, to establish and levy for the passage through the canals and ports thereunto appertaining, navigation, pilotage, towage, tracking, or berthing, dues according to tariffs which they shall be at liberty to modify at all times upon the following express conditions:

First. That these dues be collected without exception or favor from all ships under like conditions.

Second. That the tariffs be published three months before they come into force, in the capitals and principal commercial ports of all nations whom they may concern.

Third. That for the special navigation due, the maximum toll shall not exceed 10 francs

per ton of capacity on vessels, and per head of passengers."

It is thus explicitly provided that there shall be the same rate of toll for all traffic, under like conditions, and the same rate for passengers.

There is no opportunity for discrimination as to ships or people. This concession, prescribing equality, was made 58 years ago; is it not generally supposed that we have been "progressing" since 1856? By adopting toll exemption we would be operating a great public utility, in a less enlightened mode, than did Egypt and Turkey 58 years ago. It will be well for Americans to take the opportunity and study well these Egyptian concessions and the Suez system.

The rates of toll on this canal were at the beginning extremely high on account of the lightness of traffic; being in 1874 per net ton $2.51. They have been gradually reduced and are now fixed at $1.20 per ton.

The Suez Canal is operated by a private company, for the express purpose of securing the profits. In recent years it has turned out to be an institution whose substratum seems to be a veritable gold mine.

We are largely indebted for the above facts to Mr. Emory R. Johnson's reliable book of canal statistics, compiled by authority of, and printed by, the United States government, bearing date 1912; also to Arthur Silva White's most excellent English book, Expansion of Egypt, 1889; and to Congressional documents.




The Suez Maritime Canal shall always be free and open, in time of war as in time of peace, to every vessel of commerce or of war, without distinction of flag. Consequently, the high contracting parties agree not in any way to interfere with the free use of the canal, in time of war as in time of peace. The canal shall never be subject to the exercise of the right of blockade.


The high contracting parties recognizing that the fresh water canal is indispensable to the Maritime Canal, take note of the engagements of his Highness the Khedive towards the Universal Suez Canal Company as regards the Fresh Water Canal; which engagements are stipulated in a convention bearing date the 18th March, 1863, containing an expose and four articles.


The high contracting parties likewise undertake to respect the plant, establishments, buildings and works of the Maritime Canal and of the Fresh Water Canal.


The Maritime Canal remaining open in time of war as a free passage, even to the ships of war of belligerents, according to the terms of Article 1 of the present treaty, the high contracting parties agree that no right of war, no act of hostility, nor any act having for its object to obstruct the free navigation of the canal, shall be committed in the canal and its ports of access, as well as within a radius of 3 marine miles from those ports, even though the Ottoman Empire should be one of the Belligerent Powers.

Vessels of war of belligerents shall not revictual or take in stores in the canal and its ports of access, except in so far as may be strictly necessary. The transit of the aforesaid vessels through the canal shall be effected with the least possible delay, in accordance with the regulations in force and without any other intermission than that resulting from the necessities of the service.

(It is provided that vessels shall depart in 24 hours from the ports Suez and Said, &c.)


In time of war belligerent Powers shall not disembark nor embark within the canal and its ports of access either troops, munitions, or materials of war. But in case of an accidental hindrance in the canal, men may be embarked or disembarked at the ports of access

by detachments not exceeding 1,000 men with a corresponding amount of war material.


Prizes shall be subjected in all respects to the same rules as the vessels of war of belligerents.


The powers shall not keep any vessel of war in the waters of the canal (including Lake Timsah and the Bitter Lakes). Nevertheless, they may station vessels of war in the ports of access of Port Said and Suez, the number of which shall not exceed two for each power. This right shall not be exercised by belligerents.


(This article provides that the agents in Egypt of the signing powers of this treaty shall be charged to watch over the operation of the canal and have power of correcting abuses, &c. It is hereby omitted.)


The Egyptian Government shall within the limits of its powers resulting from the Firmans and under the conditions provided for in the present treaty, take the necessary measures for insuring the execution of the said treaty. In case the Egyptian Government should not have sufficient means at its disposal, it shall call upon the imperial Ottoman Government, which shall take the necessary measures to respond to such appeal; shall give notice thereof to the signatory powers of the Declaration of London of the 17th March, 1885; and shall, if necessary, concert with them on the subject. The provision of Article 4, 5, 7 and 8 shall not interfere with the measures which shall be taken in virtue of the present article.

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