The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1912-04-05
TARIFF PILIK|A
INJURIES C|TY'S
MERCHANT is
Threat of Reduction Causing
General Stacking Up of
Business Here.
ALL INTERESTS SUFFERING
Estimates Show Free Sugar
Means Loss of Twenty
Millions Yearly.
ALL INTERESTS SUFFERING
From Thursdays Advertiser.)

From Thursdays Advertiser.)
That the mere threat of free sugar
is damaging the business of the Terri
tory is the plant heard on all sides
in the business world OF the Islands.
Free sugar would mean a drop of at
least twenty millions In the revenues
of these Islands and the very thought
of that loss is soaring sugar planters,
factors and the average business man
alike.
Naturally the first lines of trade to
suffer from the threat of decreased in
come are those which deal with articles
more or less Injuries. The automobile
business, the wine business and kindred
interests. Investigations conducted by
The Advertiser yesterday brought to
light that while the better Informed
among the merchants and sugar men are
agreed upon the belief that the Presi-
dent will undoubtedly veto the sugar
bill, the dread of the improbable but
possible passage of the measure over
his veto is enough to brighten capital
in these Islands.
All Would Suffer.
Should the tariff on sugar be removed
the loss would be felt in every channel
of business in the Territory, the gov
eminent being one of the greatest suf-
ferers, say the planters. Every branch
of business and commerce and all gov
ernmental departments would be SER
iously affected, while immigration
would be practically halted. More than
one sugar plantation would be wiped
off the list of cane growing estates
which are now dividend payers, it is
believed.
The island sugar crop figured on yes
terday's quotation of 4.36, would yield
q market price of little over $50, 000,-
600 in the New York market. With
final expenses deducted this would give
the growers $27, 100000. Just what the
elimination of the sugar tariff would do
to these figures is shown by the figures
of more than one sugar grower.
Russia, with her 2,3SO,000 short tons
of beet sugar would be benefited by
the sugar tariff tinkering, for bounty
of III cents a hundred pounds is paid
by the government on all sugars ex-
ported. With this bounty the Russian
sugar could be marketed at cost of
production, situation which would
mean more disaster to growers whose
labor supply is always their most per
picking problem. With the present
quotation of 4.36, the reduction of duty
would be 1.34s, leaving 3.ol2. From
this may be deducted .712 to make. the
price which the Hawaiian growers
would receive.
Blow to Government
With the actual reduction of the tar
iff, and with all sale prices remodeled
to fit the new conditions, the taxes on
plantation property and production
would decrease alarmingly. The specia
income tax now levied on the produc
ton of plantations to form fund fol
immigration purposes would drop tt
zero, and immigration would come tt
an end The revenues of the Territory
would naturally decrease. The interest
and principal to meet the Territory ,!
obligations for loans would be q first
demand upon the revenues. When the
division of revenues for the counties
was made, each county would find it.
income skrunk to mere pittances. Tx
county governments would be seriously
affected and at the present rate of thu
fixed charges against each county'S al
lotments, there would be little left fol
public improvements
Shipping Would Suffer.
Shipping interests would come in fol
its share of suffering for cargoes would
be greatly diminished, and the work o.
stevedores would be lessened.
The whole situation may be compared
to merchant who, overnight, has fount
it necessary to reduce expenses and thu
following morning announces to hi
$125 month clerk that his salary hal
been cut to $50. We have been ex
ceeding prosperous in Hawaii for years
We have been getting topnotch price,
for our sugar, but tariff reduction wouli
put us in the class of the merchant ono
the people will be in the position of hi
clerk.
Pineapple production cannot be ma
terially increased in proportion to tn
loss on sugar, for the pineapple mar
ket is not developed to an extern
where an unlimited supply could be pu
on the market. Waialua plantation
lands alone, amounting to about 11,00'
acres, if planted with pines, wouIC
serve to glut the market. The tota
area of the sugar lands, planted in pine
apples would give yield of 16,000,00
cases, such an enormous output tina
the world would be supplied. But pine
apples are not staples, and not to b
classed in the staples as sugar is. TIL
taste for pines has to be cultivated. On
the other hand everybody uses sugar