New-York tribune., 1906-03-24
PHILIPPINE SUGAR PERIL.
4 Correspondent Who Sees Visions
of DeSoIatiOB IN the Payne Blu.

To the Editor Of The Tribune.
Sir: Senators Bulkeley and Brandegee, OF Con
necticut doubtless held much the same views re-
gardng the reduction OF tariff products from the
Philippines those expressed in your editorial
columns before they were convinced Of the damage
which would result from such action 70 several
home industries by the arguments OF the opponents
of the measure before the Senate committee.
The Cuban 'bugaboo' is beginning to assume
threatening proportions very rapidly, and but for the
objection OF the opponents OF the reciprocity treaty
the Cuban planters advantage would have been at
least 90 per cent instead Of 20 per cent. The re-
suit Of that treaty has been TO reduce the price Of
sugar to the American consumer Is cents a 100
pounds as the New York market has averaged that
much below European parity since that treaty took
effect while before there was practically no diff
! ference. Fifteen cents 100 pounds is a con-
siderable profit the present cost OF producing
beet sugar and is very doubtful IL six beet sugar
factories in the State OF Michigan alone would have
gone out of business II they had been able TO Oh
tain that much more for their sugars The check
to the domestic beet sugar industry is also very
clearly by the fact that whereas the increase
IN the production during the three years before the
passage Of that treaty 50 per cent. II has
been only y per cent during the following three
years.
Moreover, the Cuban "bugaooo" has induced so
much activity on that island that it's crop plus
that Of the other sections favored by the United
States will next year wholly supply demands
/ if Philippine sugar is admitted free. This condi-
ton will leave room for the large increase in
the production of sugar in the Philippines which
would surely follow the passage OF the proposed
bill and such sugar would Immediately come into
competition with the sugar Of Cuba, forcing the
New York price to "a cents below European parity
and then reducing the world price by forcing Gu
ban sugars upon the London market
At present capital is gradually accepting the
governments offer Of a per cent guarantee on
100000 worth OF railroads to be built in the
Philippines and all arrangements have been com
pleted for the construction Of three on the sugar
producing islands. If much capital is therefore
readily found for this per cent investment il is
absurd to claim that just much cannot be found
for the 80 per cent profit held out by this bill to
investors in modern sugar factories the Islands
for the advantage from tarin reduction alone over
Java Cuba will give that much profit on mod
ern factory.
The efficiency OF labor by modern methods would
be increased about 20 per cent their present
crude processes. which does not promise any very
radical advance in wages upon the introduction OF
improved methods unless, Of course, Congress shall
also pass bill placing the islands upon the same
| basis the rest of the country in all respects.
In that case the wages would have to be sufi-
cienuy high to cover taxes all articles used by
the labOrers, for the purpose OF supporting their
own domestic improvements as is done in the
United States proper the customs revenues being
turned into the national treasury II is certainly
| tries on the mainland which have to paw wages
sufficient cover such taxes. and the same indus
f
The British West Indies. Java and numerous other
colonies all have to pay the same duties into their
| home markets do foreign countries, aud vet
would dare treat them u they were
foreign countries and not colonies, and the sooner
The press accustos the people OF the United states
| TO look upon the Philippines as colonies in the
every world power holds colonies.
and not integral territory the better Il win be for
| all concerned
AS far ss the coastwise trade laws are con-
cerned, rider has already passed the SenaI. post
poning their enforcement in the Philippines until
/ 1893. apd should the bill TO which II Is at
| tached fail TO pass the House, every indication
points 70 special bill being passed TO that effect
| Is allowed O not.
The trouble in the Philippines Is that the plant
I ers have lost much through war famine and
pestienCe that they have mOrtgaged everything of
a permanent character and have only their crops
LETT as security. The only sources which will ad-
vance them money on these Chinese, who not
Only charge from 20 to co per cent interest. but
also compel the entire crop 10 be sold 70 them az
two-thiIds It's market value. A government bank.