New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-12-06
ALIENS GOVERN HAWAII
Sugar Industry Monopoly in HANDS
of English ard Germans

rFron an Occasional Correspondent OK The Tribune
Honolulu, Nov. i5.-HawaM is probably the onis
part of the United States which is controiieo, II
the essential elements OF administrative pohcS
by aliens. In its fiscal policy. in its lano poii.9
and in its labor policy, aliens, men WHO 40 MOI ~
tend to become citizens. who expect "heh ..leS
make their fortunes 10 go to other ianos 70 nse'
Dominate
It is not in an obvious irritating way out heNet
theless it is in real and an important way
Hawaii's great industry is sugar. Her sugar crop
this wear was worth approximately SSe-oVo'VVo' <A
her other produets-rce coffee. pineappies. oshIle
and other tropical fruits, honey ana slsa4-coire
lively sink into insignifcance in comparison -
years the Hawaiian sugar crop has ranged no.ii
25aoco tons to 425oeo. the latter inquire oehie az
proxinatelv this years crop ,
This crop is raised about fifty piantauoIs'
most OF them owned by corporations tnoueh a Ae"
of the smaller ones are owned by individuals 1hese
Aftv plantations are In turn controlled and nnanced
hy seven great and three smaller establishments
which style themselves sugar factors ana planta-
ton agencies OF the seven large estapHsnlehts
tvro are owned and controlled by German subjects
snd two by British subjects. These four control
more than half Of the sugar production OF the
Territory.
The relation Of these agencies to the plantation
IL & peculiar one. The agent is not under the oi-
rection Of the plantation; the plantation is unaer
the direction of the agency The conditions unoer
which the sugar industry was developed here ex-
plain very naturally why this is So AT the same
time Il is not in the ordinary course OF business
stranger.
The plantation produces sugar with means pro-
vided by the agents, and turns the sugar produced
over to the agents to be marketed. The planIatlon
has no bank account The agent credits 1t with
the receipts from the sale of sugar and debts 1t
with the money paid out to produce the crop. II
the plantation needs money TO meet its labor pay
rolls TO buy machinery to for fertilizers II
does not go to bank for it; the agency furnishes
it, charging interest all overdrafts.
materials OF all kinds. and charges a commission
for doing II. The agency markets the sugar pro-
6uced and charges commission for that Some
times the agency controlling interest IN
the pIantation-usually it does-but in any event
there is a contract of agency usually made for
long term of years The agency almost inVar1aoly
decides the policy Of management for the pIanta-
ton. In fact. it controls the plantation
while a very few agencies thus control the plan
ts1iors and the sugar industry of Hawaii COM
paratively few men control the agencies Probably
not more than hundred men in the aggregate
have any real voice in their management. Prob
ably not above two hundred men have any real
voice in the management or conduct OF the sugar
Industry of Hawaii There more than that
many stockholders and more than that many large
stockholders But beyond approximate two
hundred they investors in the stocks and
bonds OF the corporations neither taking an active
interest nor exercising any influence in the
ment or able 70 If they wanted 10.
STOCK HELD IN EUROPE.
Something than half OF the sugar produced
in Hawaii is controlled by the two German and the
two British agencies. In these there fewer
number Of persons Interested than in the three
large and two or three smaller houses Very much
of their stock is held in Germany and Great Britain
In the house of H. Hackfeid q Co. one after an
other OF the principal men in this house have for
thirty years or more. they accumulated fortune.
returned 70 Germany to live. They are j. f. Pfu-
ger. H Glade Paul Isenberg. E. suhr and, two
years ago J. f. Hacl1feld. From the British house
OF T H Davies & Co. Theophilus H. Davies re-
turned to England fifteen years ago. TO be followed
81 few years later by 7. R Walker, his immediate
successor in the management of the business.
Concentrated in few hands the production of
sugar is. the planters have found how to CONSOLE
GATE and concentrate their influence still more In
the Planters Association they have consolidated
all their individual interests the productive side
Through the Planters Association magnificent
experiment station is maintained, with a corps
of trained specialists in every department Of