The use of tramways for the transportation of passengers in cities dates from 1868, when the first section of the Botanical Garden line of Rio de Janeiro was opened to traffic. The line was completed with its surplus earnings and continued under the control of the American company which built it until 1882, when it was sold to a Brazilian company. Subsequently the tramways of the city have been mostly concentrated in the hands of a single Canadian company. All the large cities of Brazil are liberally provided with tramways, those of the city of São Paulo, where electric traction is used, being noticeably good. The substitution of electricity for animal traction was begun in São Salvador in 1906. Mules are universally employed for animal traction, and narrow gauge lines with single-mule trams are generally used where the traffic is light.
Brazil is lamentably deficient in steamship communication considering its importance in a country where the centres of population are separated by such distances of coasts and river. Previous to the creation of the republic, the coastwise service was performed by two national companies (now united), and partially by foreign lines calling at two or more ports. A considerable number of foreign sailing vessels also carried on an important coasting trade. The coastwise service centres at Rio de Janeiro, from which port the Lloyd Brazileiro sends steamers regularly south to Montevideo, and north to Pará and Manáos, calling at the more important intermediate ports. From Montevideo river steamers are sent up the Paraná and Paraguay rivers to Corumbá and Cuyabá, in the state of Matto Grosso. The company receives a heavy subsidy from the national government. Parts of this coastwise traffic are covered by other companies, two of which receive subsidies. There were also six lines of river steamers receiving subsidies from the national government in 1904, and the aggregate paid to these and the coastwise lines was 2,830,061 milreis. The largest of the river lines is the Amazon Steam Navigation Co. (an English corporation), whose service covers the main river and several of its principal tributaries. Two subsidized companies maintain services on the São Francisco river--one below the Paulo Affonso falls, and the other above, the latter covering 854 m. of navigable channel between Joazeiro and Pirapora. Besides these there are other companies engaged in the coasting and river traffic, either with subsidies from the state governments, as feeders for railway lines, or as private unsubsidized undertakings.






