No. 3.
Mr. Osborn
to Mr. Fish.
Buenos Ayres, September 12, 1874. (Received October 22.)
Sir: Dr. Don Tejedor, the minister of foreign affairs for this republic, goes, on the 19th instant, to Rio de Janeiro, to conclude negotiations [Page 4] respecting Paraguay, Villa Occidental, and the Triple Alliance, &c. I understand that all difficulties have been removed, and the whole matter has been left to arbitration.
As to the island of Martin Garcia and its occupation by the Argentine government, which has given rise to, at least, one question between this Government and Brazil, I have not been able to visit it in consequence of the disabled condition of the United States steamer Wasp; but in a conversation with * * *, he informed me that in May last he visited the island and other points up the rivers Uruguay and Parana, in the British gun-vessel Cracker.
Mr. * * * says the island is decidedly occupied by the Argentine government, and armed to a certain extent. There is no appearance, however, of the construction of fresh works; but at the same time the armed occupation of the island, such as it is, might certainly be regarded by the Brazilian government as a contravention of article 18 of the treaty of 1856.
The position of this island is such that its possession by any one of the river States involves the command of the rivers Uruguay and Parana, and in consequence the neutral commerce on these rivers cannot be considered secured against interruption in the event of war.
It is, I think, unlikely that the Argentine government will ever abandon the island unless compelled to do so by force; and if the Argentine government and that of Brazil do not come to a settlement of their diplomatic misunderstanding, the question as to the future condition or disposal of the island of Martin Garcia will furnish the cause.
The question in controversy between the Argentine government and that of Chili, in reference to a certain portion of the southern part of the territory of Patagonia, and the waters of the Straits of Magellan, I am informed by Mr. Bless Gana, the Chilian minister, are in a fair way of settlement by arbitration; in fact, nothing remains but the settlement of some of the minor details, and the selection of the arbitrators by the governments.
I am, &c.,