Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1926-12-03
BUSINESS RELATIONS WITH
PHILIPPINES

Awhile back there was being said
by certain decentralization papers
that our Government was winking
at II not encouraging efforts to
establish in the Philippines great
rubber plantations where the poor
Filipinos or Moros might be worked
like slaves with only pittances for
pay, to fasten capitalistic rule on the
necks Of the natives and exploit their
country.
Well, tho chief Of the bureau of
insuIar affairs in his report to the
Secretary Of War declares that a
balanced development of those islands
may be solved by outside capital and
an adequate supply Of labor. Some
may sec in this the alternative Of
large land grants to capital and the
free importation Of coolie labor to
work the land. The Philippine legis-
lature has 1t within its power to
change the land laws so as to invite
outside capital but has not done so
on the assumption that this would
tend to delay the independence of the
islands. Coolie labor on products
having free admission to our markets
would surely arouse opposition here.
The trade relations between the
islands and this country might easily
be disturbed to the disadvantage Of
both countries. The present trade
relations are governed by the U. S.
Tariff Act. 1t may be modified by
the Philippine Legislature with the
approval Of our President. The
Philippines get their revenue from
tariff on goods imported from coun-
tries other than the United States.
The report shows that the Philippine
market is by no means reserved for
American products but that in every
field Of endeavor there Is active
competition.
This may be illustrated by the
following data on the six imports Of
greatest value in 1925:
Cotton and ITS manufactures
Twenty three per cent of the total
importation of the Philippines in the
year 1925 consisted of cotton and
its manufactures. The United States
had so per cent of this trade; Japan,
10 per cent; Great Britain, 13 per
cent; but the United States par
ticipation was really less than this
would indicate.
"The Philippines exported in 1925
s4,500,000 Of embroideries, all of which
came to the United States, due to
their free admission into the United
States and to the protection against
foreign competition. OF this amount
approximately 100000 in value
represented cotton imports into the
Philippine Islands from the United
States. When, therefore, from the
total Of the cotton cloth imported
from the United States Is deducted
the amount which Is sent to the
islands to be elaborated and returned
to the States, the 81 per cent of
American participation in the cotton
trade Is reduced to approximately
IS per cent.
Iron and steel and their manu-
1actures. Thirteen per cent of the
total importations into the Philippine
Islands for 1925 consisted Of iron and
steel and their manufactures. Of
.'o eoI1it oo per cent came from the
United States, per cent from Ger
many, per cent from Great Britain.
etc.
Mineral oils.-Eight percent of the
total imports consisted of mineral
oils, and Of this total 70 per cent
came from the United States and 81
per cent came from the Dutch East
Indies.
"Rice.-F'ive percent of the total
imports consisted of rice, practically
all of which came from French Indo-
China.
Wheat flour.-Four per cent of the
lmportations consisted Of heat -four,
50 per cent of hich came from the
United States and IA per cent from
Australia.
Meat and dairy products.-Four
per cent Of the total imports were
meat and dairy products, "a per
cent OF which came from the United
states, 20 per cont from Australia,
and Is per cent from China.
Generally, therefore, 1T will be OBJ
served that in the imports in the
Philippine Islands, Notwithstanding
the American advantage, there is In
almost every item competition. OF
the total imports in 1925 approx
mately 60 per cent came from the
United States.
Taking lip the exports from the
islands, 1t will be noted that slightly
more than 70 per cent came to the
United States"