Vaccaro had organized export plantations in that country as part of a contract to build a railway between La Ceiba and the interior of the country. The American occupation government remains until 1909.With a loan of two thousand dollars Zemurray buys five thousand acres along the Cuyamel River in Honduras to establish plantations.After all, as fruit ripens the sugar levels increase — so take advantage of this wonderful sweetness!
Slipping past US agents sent by Secretary of State Philander C.
Knox, Zemurray's expedition sails from New Orleans.
Keith's Guatemala Railroad Company becomes The International Railways of Central America (IRCA) After a fierce price competition against the United Fruit Company, the Atlantic Fruit Company declares bankrupcy.
Atlantic had been United Fruit main competitor in Costa Rica; after the bankruptcy United Fruit takes control of the country's banana exports. The United States marines land in Panama during the presidential elections. United Fruit gets two railway and land concessions in Honduras.
The disease attacks the plant's trees roots cutting off the water supply. As soon as Panama's independence is assured, the US obtains sovereignty of a strip of land in which it plans on building an interoceanic canal. United States troops intervene in the Dominican Republic.
Thousands of acres of banana plantations had to be abandoned. United Fruit purchases 50% of the shares of the Vaccaro Brothers Company which had operated in Honduras.The lobby made by these organizations eventually succeeds and the US government permits the tax free import of bananas to continue.Standard Fruit buys most of the ice factories in New Orleans.However, the low number of passengers using the train made it unprofitable.Keith decides to use it to export bananas from the plantations he had created in the early 1870s. Keith's bank, Hoadley and Company, goes bankrupted. In order to solve his difficult financial situation, Keith goes to Boston and arranges with Andrew Preston a merger of his company and the Boston Fruit Company.Soon after Zemurray purchases the land, he discovers that the Honduran President, Miguel Davila, would not grant him the tax, land, and transportation concessions that he was seeking.