Formosa does as much trade as the total of its general products (except timber, which goes South) allows of, because Paraguay is generally too much overrun by revolutionary, or momentarily constitutional, forces to have much time or space free for industrial occupations. At the same time Paraguay does manage to produce large quantities of tobacco and mate yerba which Argentina takes, although, as has already been observed, her own lands could perfectly well produce them, given suitable labour.
As has been rather more than hinted at, the official Returns of Imports and Exports as between Bolivia, Paraguay and Brazil and Argentina give but a faint idea of the actual trade between the last-named and her northern neighbours; and the present writer would be much surprised to learn that the upper reaches of the River Uruguay could tell no tales of systematic smuggling between the two River Plate Republics, or the Andes none of similar practices between Argentina and Chile.
The fact is that adequate guard of these enormous and sparsely populated lengths of upcountry frontier would cost more than the results of it would pay for. And why make a fuss while such prime necessities of life as mate and cigarettes are comparatively so cheap?
Formosa produces tobacco and sugar; the latter, as in Misiones, being chiefly used for the production of alcohol.
A great deal of foreign capital is now invested in timber cutting and exporting companies. Native labour is suitable for this work, but it is desirable in the interests of the companies concerned that the native overseers or gangers be controlled by whites conversant with native ways and also having the gift of forest topography.
This last consideration is suggested by the undoubted fact that many a pile of logs has been solemnly measured up and the felling paid for several times over by the white gentleman who has failed—in consequence of a slight rearrangement of the pile, no doubt—to recognise them on successive visits to glades and clearings which all look very much alike except to particularly experienced eyes.
Thus does the untutored Indian or half-caste sometimes laugh at civilization.
Formosa, although sparsely inhabited, boasts a large proportion of pure whites of various nationalities among its settlers and the timber companies’ employees. There are several Franciscan Mission Stations in the Territory.