The Hawaiian gazette., 1912-09-20
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ing.
the land, occupied a period of from
two to three years.
In addition to that the mills of the
early days, that is the mills of thirty
years ago and even down to fifteen
years ago, were crude and inefficient,
and the extraction of sucrose in the
cane ran from seventy-two to eighty
per cent instead of from ninety.two to
ninety-six per cent, as now obtained.
The loss in sucrose fell directly upon
the planter, for it was he who incurred
the heavy expenses of producing and
delivering the cane from fields to mill,
while the mill, Notwithstanding the
poor extraction, never failed to make a
handsome profit because of the liberal
division which it got in proportion to
it's expense. The result was that after
the planter had done the pioneer work
referred to and the field had been re-
duced to cultivation and cane actually
growing and all of it susceptible of "a
looming, the heavy debt incurred in
bringing the cane to that stage of per.
lection had swamped the planter and
the finished field was then taken over
by the mill company for advances made.
No Mills Failed.
1t might be interesting to note
that although the records show
the invariable failure of the pan
tiers, there is no record of any
mill ever having failed, all of which
shows that the planters did not get a
fair share of the sugar in proportion
to the necessary expense of cultivation.
If on the other hand, the entire system
had been wrong, not only the planter
would have failed, but the mill would
have failed as well, or if the planter
had received more than his share, the
mill alone would have failed.
A concrete example of the unfairness
of contracts under which sugar planted
by interests separate from those of
the mill has operated, might be cited;
regarding a contract with small mill
on the Island of Hawaii, made in
1882, under which the planter received
onehalf of the sugar produced from
his cane and the mill the other half.
The planter, too, became the owner Of
one.half of the mill upon payment of
one-h half of its cost of construction
plus interest. The first crop was har-
vested in 1884, and from then to Jan
uray /, 1906, the mill company out of
the net earnings of the mill, paid the
cost of its construction, namely 1920.
600 with interest thereon Mt the rate
of ten per cent per annum compounded
on quarterly balances, and about $3.50,
900 in dividends, making a net profit
for the mill during that period of about
$4,000, and that Notwithstanding the
fact that during the first few years the
extraction of sucrose was below eigh
ty per cent. and the mill today is valu
ed, by its owners mt about $l65,000.
Some Division of Profits.
During the same time, the planting
, interest lost 100000. In other words
at the end of the period referred to
) there was a difference of $l,070000 be
tween the operations of the plantin;
interest and the Mill Company.
: On January /, 1906, revision of tn,
5 contract last referred to was secured
a by the planter, by the terms of whici
D the planter was to receive three-tifth
3 of tie sugar, and the mill two-n4tns
Q and during the succeeding six years, un
d der the terms of this revised contract
@ The planter and mill operated o.
g about an equal basis.
. As the question seems TO be one no
. so much of what has been done, but o
= what can be done, | am enclosing 70
herewith form of contract, unde
which l believe homesteading of can
lands in some parts of the Island, an
& particularly the lands of Waiakea AN
" adjacent government lands lying alon
" the Hilo Railroad could be successful
70 ~ conducted From my experience .
'r the farming end of cane planting,
X beileye that whether or not the farm,
H. is successful depends almost entirel
ir upon the terms of the agreement und,
or which he plants, aud inasmuch rs
~ is absolutely dependent upon the mi
or interests in order 10 obtain finish,
a. product, | have linked the planting I
40 terest and the mill interest together
the enclosed scheme
a. For Five Trustees,
"a. lmsmuch as the homestcads arc mo
nd or ,rss under government control,
OF have deemed "A advisable 10 place d
ms whole proposition Of homrsieadlns m
to lands partially nt least under tic ga
a. tf0l Of Tho government in iuls Wu
~ Tho n0uplanung siorkhnlier- 10 ~,
m tM0 trustees, thu upmoHradyrs q
"lth thf government fo name thr hfl
uf Ihr rOhrWr Nuff aHhWfiri ir.
Zap rHurr. nothing mur fhiH fupFustu
.on hNi it worked pNi plong these Ilpo5