The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1885-12-31
II II e
THE YEARS TRANSACTIONS.

At the close of the year it is usual to
review its operations. We propose to do
SO briefly upon this occasion, confirming
ourselves mainly to events on these
Islands
The year 1885 set in rather unfavora-
bly,. The price of sugar had fallen,
merchants were loaded up with goods,
money became scarce and the rate of
exchange threatened to seriously cripple
the business classes. Building and i'm
provements came to standstill, and
skilled labor sought other fields of en-
ployment. The most gloomy forebodings
were INDUCED in, and men otherwise
courageous and intelligent caught the
respondent fever and only saw ruin
staring them In the face. The tide
turned, however, when Colonel Spreck-
els put in an appearance and regulated
exchange, to be followed in May last by
the opening of bank OF savings and de-
post by Colonel Spreckels and Mr.. VIM.
@. Irwin, which has ever since pre-
served the monetary equilibrium, and
restored confidence and courage to our
business men. The old-established bank
of Bishop K Co followed the example of
its young and vigorous rival, and like
wise offered interest upon time deposits.
In this way not only did Spreckels'
bank regulate exchange, but it secured
for the working classes and people OF
small capital q premium upon their
thrift, which before that time mad been
denied them.
Another cause of dependency was
the uncertainty regarding the Reel
procity Treaty, which had been fought
with unusual bitterness by the Pacific
Coast and Eastern press, as if the great
newspapers of the States had fallen
under the control of the Eastern Sugar
ring. The producing and trading classes
OF this country were in this anomalous
position: They were declared to be
hostile to Colonel Spreckels and the
California Sugar Refinery by the Oppo-
gition newspapers OF Honolulu, which
were largely circulated in the United
States by a political organization hostile
to the Government; yet they were at
the same time working for ratification
Of the Reciprocity Treaty, which had
been yitalized solely by the enterprise
Of the very men who managed the Cali
fornia Sugar Refinery and found profit
able market for Hawaiian sugar. This
contradictory position no doubt strength
ened the hands of the opponents of the
Treaty in Washington and elsewhere, so
that domestic politics were the means
OF iniuring the business interests OF this
city and Kingdom. This may be denied,
but it is fact nevertheless.
when Congress adjourned and the
Democratic Administration took office,
hope again revived. Confidence was
strengthened, as We have already shown,
bv Colonel SpreckeIs and Mr.. VIM. @.
Irwin's business enterprise; while the
ssovernment added largely to the grow
ING a.opefuIness of the people by inaugu-
rating a comprehensive scheme of Japa-
nese immigration, to be followed by q
renewal of Portuguese immigration also.
Meanwhile the country entered upon a
period of retrenchment, tho effect Of
which was to create an apparent dullness
of trade. Old stocks were quie .ly worked
off and business engagements met, while
an attempt was made to change the
credit system with some deg-ee of sue
cess. II business could be done on a
cash basis it would be all the better; but
this appears to be impossible at present.
AZ consequence of this conservative
.,oliey imports fell off, materially affect
mo the Customs revenue, while exports
Of domestic products as steadily increased.
In round numbers it may be stated that
the imports of foreign merchandise for
the first nine months of 1885 fell of
nearly one million dollars compared with
the corresponding period OF 1884, while
domestic exports had increased in the
same bcriod by nearly three quarters
Of million. 1t was therefore evident
that a business equation would soon be
reached in a business community con-
stituted as this one is. Andthe improved