Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-06-27
MAN|LA'S HIGH PRICES
The Tariff is Not Responsible
for Them.
SOLDIERS TO BLAME
THEY SPENT THEIR PAY WITH
RECKLESSNESS.
Imports to the Philippines - Ameri-
cans Do Not Control the Trade
Govt. Taft's Advice.
BY WIN. e. CURTIS.

The tariff is not responsible for the high
prices of everyday articles in Manila and
other parts of the archipelago. The COM
plants of merchants about high duties are
not justified. They charge almost twice
as much as we are in the habit of paying
for the same articles at home. and make
four times the profit that our retailers are
satisfied with. Why? Because they say
that even merchants should be we'll paid for
living in the Philippines; that exile requires
compensations, and some Of the retail deal
ers will tell you frankly that they did not
come entirely for their health. The tariff
duties under Spanish rule were much high
er than now, but every form Of mercha ndise
was considerably cheaper
The present prices for everything were
unknown until the American army came and
the soldiers blew in their pay with the
recklessness OF miilionaires The retail
merchants discovered that the Americans
would pay whatever was asked without
QuesHon. and Immediately marked up all
their goods, nor have they marked them
down since the army retired. When their
customers complain they get behind the
tariff. which serves as a cloak for extor-
ton.
Duties Average Less Than 20 Per Cent
The duties upon imported merchandise to-
Spanish times they were more than so per
cent. Freight rates from London, New
York and San Francisco are about the
same. averaging 30 shillings ton Steam
ship people charge by weight or by size.
according to the article. If it is small and
heavy they charge by weight. If it is large
and bulky they charge by cubic measure,
but even then ocean rates are reasonable
compared with those charged by the rail-
ways of Europe and the United States, and
are no more than have always been paid
at Hong Kong, Shanghai and other Asiatic
ports.
If you have any interest in knowing the
exact effect of the tariff on prices, take
and divide the total value of the imports
by the amount of duties collected upon
them. For example. in 1902 merchandise
TO the amount of $50. 6O4 165 was received
at the port of Manila. and $622S, 972 was
collected in duty upon 1t. which is an veraKe
of 11.2 per cent.
In 1903 the imports amounted tn s2O oa7
6sS and So 43S.65O was collected as duty:
which is ID per cent. And of those duties
s4,S4,315. or about 60 per cent. was COL
lected on rice. cotton goods opium METRO
leum and wines and liquors.
We hear the most complaint about high
prices from americans who prefer goods
from their own country and usually buy
them of American merchants Several peo-
pie have told me that native and Chinese
merchants charge much less than American
merchants foc the same articles. although
tHCS Wv IiOt hetp SUCH large STOCKS or nave
as great variety. Chinese dealers are
much more reasonable than the natives
They say that If you can find what YOU
want in a Chinese shop you can buy it at a
price much less than the American retailers
charge. and that Is one reason why the
Chinaman is so unpopular. He is satisfied
with small profits he pays small wages to
his employees. and very little rent.
American dealers think that the govern
ment should patronize them exclusively and
should rule out Chinese competition in con-
tracts, They declare that the officials
award contracts to Cinnamon when their
bids only trife lower than American
bids. and they say that the Chinese boast
that it is impossible for Americans to COM
taxes, higher rents and higher salaries and
employ American clerks, who live like white
people
Claim of the Americans.
There is a good deal In this. The Chinese
have every advantage in business affairs
and no European or American can compete
with them. Gov. Taft used to argue that
American merchants in the PHILIPPINES de-
pended too much upon government business,
but there is compa ratively little else for
them at present. When we had seventy
thousand troops in the islands and before
the quartermaSter and commiSsaries got
their supply s1 stem In operation. the Amer
lean merchants had plenty to do and made
big profits. their business with the ar
my has gradually grown less and less until
now 1t amounts to comparatively little and
they think that the government should give
them all the contracts and use nothing but
American goods They say that a Chinese
merchant buys wherever he can get the
best prices. German, English and French
merchants invariably buy at home, and
have certain advantages over Americans
who suffer from double tarin on Ame1l-
can-made goods. They explain that our
prices at holne on all merchandise are de-
pendent upon tariff rates and are therefore
high; then, when they have brought over
to the Philippines, they have TO pay an
other duty quite as high and often higher
than is imposed in our customs houses at
home.
Hence for thai reason, If for no other, they
insist that government contracts should De
awarded to Americans only ana that none
hut American goods should be used. Inc
officials assert that this rule Is generally
observed and that so per cent of all the
supplies used by the army, navy and civil
government come from the United States.
The average duty imposed upon American
made goods is about q per cent as any one
can discover by a simple mathematical cal
Culation. -.
In 1852 the imports of merchandise from
| the United States into Manila were valued
| at 81 1S7 400 and duties to the amount or
| 1851 ,2S5 were collected, which Is 22-S per
| cent.
In 1903 the imports from the United
States were Sc, 49, ,944. end 1854 G54 was col
| lected in duties, which is POS per cent.
| Supplies imported by the government for
| this calculation.
Gov. Taft's Advice as to Trade.
| Governor Taft is not popular with the
American merchants OF Manila and other
| rarts If the islands, although they respect
| ris ability and integrity. They complain
| that ne has not treated them fairly: that
| he has favored natives and foreigners at
| their expense which is not true. He has
| been looking out for the interests of the
| government and not tor the interests of
| individuals, and, while ne has not favored
| them he has treated them fairly. If you
| pin them down to the details they will ad-
| NIT It.
Shortly before he left here he delivered
| an address in which he discussed this sub
| ject and gave them some wholesome advice.
| He said:
| THE American trade in these islands
| and by that / mean the demand of Ameri-
| cans fo~ goods and suppiies-can never ex-
| coed that of 10000 people in addition to the
| soldiers who may be here. The demand of
| the Filipino people will be demand when
! created and encouraged, of 100000 per-
| sons The only hope. the only possible
source, of real business and of real trade
| that can be dignified by the name, which
| the United States or any Of our merchants,
whether living in the United States or in
| these ihlands, can have is with the Fill
Pine people. The promotion of their mate