Evening star., 1926-04-13
BACKGROUND OF EVENTS
BY PAUL Y. COLLINS.

to buy supplies on credit of their
growing crops, but the law requires
the merchants to make weekly settle
ments. During the grinding season,
the mills pay to the merchants, or to
the mill stores, the proceeds Of the
cane brought in by the individual
planter. The storekeeper then deducts
the weekly account and pays the bal.
ance in cash.
Practically no sugar is held over by
the planters for speculation, but it is
sold as fast as harvested. The plant
ers are Cubans. and they spend their
incomes in Cuba. The owners of the
mills are largely foreign interests. l.
Is estimated u per cent ION the basis
OF production) are Americans and
Canadians. OF that II per cent, 81
per cent are concerns in which Amer
leans or Canadians actually hold con.
trolling majoritieS of stock. The
profits of the mills, therefore, have
far less to do with the purchasing
power of Cuba than the net profits OF
the planters, for, whether large or
small, the mill proceeds leave the
country. usually in the form of divi-
dends to American or Canadian stock
holders.
The labor situation in Cuba differs
greatly from the peon system of Mex
leo, and also from the protected labor
OF the United States. During harvest
thousands of Spaniards come across
the ocean. attracted by the wages
paid to white labor-aS high as 81 a
day in harvesting. They can make
the round trip for $50. and carry back
some $500 or $500. The importation
ax.Ia av.l s,
sanction of law, and agencies contract
to bring over men for u commission
of about $26 a man. Negro labor earns
only about $3.50 a day-and is said
to produce only proportionately.
4 < X y
While sugar has become a losing
crop. it is not an easy thing to
change to diversification. Sugar cane
Is not an annual, requiring replant-
ing each year; it grows many years
from one planting-even as high as
16 to Is years without replanting.
Cane growing is more like orchard
ing than grain raising, and, although
the crop Of 1920 sold for more than
billion dollars and that Of 1923-24
for only $36S, S,49S, 900, the producers
had no recourse but to suffer their
loss.
The United States protective tarif,
on raw sugar exceeds the amount
net that the planter receives, and
Cubans are hoping for adjustment
beyond that given by the present
reciprocity agreement. There Is no
assurance, however, given in Ameri-
can official circles that there will be
any early change in our sugar tariffs
intended for the protection Of our
own Southern sugar planters.
Sk X n X
Cubans are great consumers OF
rice; in 1919 they imported 100000
pounds of rice from the United States,
but later years show radical reduc-
tions. Yet the island produces none.
They also import most Of then, dairy
products and eggs.
The growing of Winter vegetables
has developed in recent years, for eX-
port to the United States in Decem-
Der to April. This industry has
brought the growers in excess of Il
million dollars a year. and can be in
creased materially. Fruit raising is
still more important, amounting to
nearly $5,000,000 a year.
Next to sugar comes tobacco. for
which Cuba is famous. exports Of un-
manufactured tobacco amounting to
SIS, 1886 900 a. year and of nanufac-
tured tobacco more than S10,000,000.
Recent enlargement of the parcel
post limits from 4 10 IL pounds may
increase direct sales of tobacco to
American customers, but it Is said
by Cubans that it will be more pro
ductive of mail order purchases in
America by Cuban consumers.
The country is so backward con-
cerning general production that it
imports all of it's refined sugar, most
of It's coffee and nearly all its canned
goods and manufactures. While coffee
is one Of Cuba's principal crops, the
United States exported to Cuba in
1928 5,071 900 pounds Of coffee. be-
sides sending from Porto Rico 12,122,-
600 pounds more. Similar paradoxes
appear in other imports OF tropical
products. The land for coffee produc-
ton is abundant, but undeveloped.
Only 40 per cent of the 100000
pounds consumed on the island is
produced there. We sell to Cuba
nearly half a million dollars OF re-
fined sugar annually. and. of all
foodstuffs approximately $5o.000,000
worth.
tcopyrirhs. 1890. b. Paul Y. corins.A