I I C?BrCY rttlj~,7~ -~,~i~~ ~~ -~,, 1.... 1, r" I.I,~~~ /c~ 1 rC~~:i bl rJrQ ~, ,~4 I -~ i-i.. j, i-r:-. ~.~I~~ ~: I b' j * A ":i n e~ 1:$ 5i".Ii f j'Lr t L 5 L:: z:il, II.i.;.rk C\.~,.~~ I~ E? .,4 i ~c.-; cnra:II. I;i;g T," dkpk-s ECONOMIC CONDITIONS IN THE PHILIPPINES BY IIHUGO 11. MILLER HEAD OF TEIE DEPARTMENT OF INDUTSTRIAL INFORMATION BUI1EAU OF EI)UCATION, MANILA ASSISTEI) BY CHAILES H. STORlMS INSTI'itljO:'Rl IN 'rTE l'P ILIPPINE NORMAL SC,I8OO()L GINN AND COMPANY BOSTON N\EW YORK ~ CHICAGO ~ LONDON / - COPYIIIGIlT, 1913, BY BUllEA OF EDUCA'rTION, MANILA ALL RIGHTS RESERVED 513.8 Tbte gtbenatum 3trerf GINN AND COMPANY- PROPRIETORS * BOSTON * U.S.A. PRIMITIVE AND CIVILIZED PEOPLES 21 Not only does man come to possess a greater amount and variety of wealth as he becomes more civilized,1 but he is less and less dependent upon nature and more and more dependent upon his fellow men. The lowest form of human being that can be imagined is one whose only activity is the procuring of food, and who wanders about alone, living on worms, slugs, roots, twigs, and such nourishment as he can obtain without the assistance of implement or tool of any kind. Such a human being is not known to exist. All men so far encountered live in groups, understand fire, and possess certain implements which assist them in obtaining their living. Search for the necessities of life and the desire to obtain them with the least effort possible have caused such groups to evolve systems by which these necessities (wealth) are produced, exchanged, distributed, and consumed. The more complicated the system, the greater the wealth, and the greater the surplus over the bare necessities of existence. Greater complication of the economic system with advance in civilization is well illustrated in the tribes under discussion. Of the most lowly of known human beings the Negritos are a good example, and even among these people we see the beginnings of a system; there is a division of labor between tile sexes by which, in general, the men do the hunting, and the women the gathering or growing of vegetable foods. There is also some idea of division of wealth among them, as shown in the distribution of the carcass of an animal killed in the chase. of the air we breathe; the value of water is the utility of the water we drink or wash in or cook with; but, although this utility is very great, neither air nor water can be exchanged for other articles. Hence the definition of wealth previously given must, from an economic standpoint, be qualified to exclude those things which have no value in exchange. Wealth consists of those things which help man to live and have value in exchange. Economics is the study of wealth. 1 The term "civilization" is a complex one and is usually interpreted to include government, literature, art, morals, besides food, clothing, shelter, amusements, and the like. Within the scope of this book, however, the term "civilization" refers only to the material or economic advance. iv ECO)NMIC CONIITIONS the co6peration of several persons in the Bureaus of Education, Customs, Internal Revenue, Science, and Public Works. The data furnished by Mr. Conrado lenitez of the University of the Philippines, Mr. Herbert W. Krieger, of the Philippine School of Commnerce, and others are also duly acknowledged in the proper places. The manuscript was reviewed at the University of California by Professors David P. Barrows, Carl C. Plehn, and II. R. Hatfield, and at the University of Clhicago by Professor Paul J. Goode. Books which were consulted and from which extracts are taken war ~etioi~d ii the text aria ~....ots: L* 11. l. M. FOREWORD In accordance with the present purpose of the Bureau of Education to adapt its instruction as closely as possible to the life needs of the people of the Phlilippines, a course las been introduced ilto the high-school curriculum emblodying' a iialf year of physical geography, a llalf year of colmmercial geography, and a full year's study of economic conditions in the Philippines. This book is to serve as the text in the subject of cconomic conditions in the Phlilippines in tle fourth year of the secolldlary course. It is not a theoretical treatise on econolnics; it ratler represents a study of everyday facts witl whicli all young men have to do who are engaged in any useful occupation il tlhis country. In the last year of his school work, ilstead of (levoting himself to purely academic studies, the pupil assimilates a body of information whiclh tenl(s to lead hlim into intelligent and useful citizenship. rTi is is one of the richest and most interesting fields of investigation open to the Filipino student; it is a new field; it has never beein covered lheretofore in any adequate way, though all the facts involved have a very (irect bearing upon the industrial and social welfare of the Filipino t)eople. Tlle preparation of tilis book hlas involved many monthls' work by a large number of well-qualified persons. The dearth of publications on the various subjects considered lhas necessitated the gatherilg of originlal information from all sections of the Islands, and on this task approximately one hundred an(l twenty American and Filipino teachers have been employed. Under date of March 1, 1912, an outline prepared V ECONOMIC C()ND)ITIONS by Mr. Hugo H. Miller was sent out by the Director of Education to these collaborators throughout the Islands. The outline took up in detail various subjects treated in this book, and by questions and suggestions presented a plan for a report on the economic conditions found in each district. Selected supervising teachers and special high-school teachers were engaged upon tlis work. The nature of their ordinary (ldties is such that these persons must lave a thorough understanding of the social and economic complexions of the communities in which they are working; they are better fitted than any other class of persons to furnish information of this character. The reports submitted are voluminous and in most cases exhaustive and accurate. In the writing of this textbook Mr. Miller has had at his disposition all the (lata accumulated by the Bureau of Education in the working out of the program above referred to. Hle has brought to this task a breadth of view and a maturity of judgment resulting from several years' study of these problems from the vantage point of a supervisory position in the industrial department of the Bureau of Education. Mr. Charles 11. Storms, Instructor in the Philippine Normal School, was temporarily assigned to the General Office of the Bureau of Education to assist in the preparation of this book. He compiled material from the special economic reports, collected and arranged data from various publications at hand, criticized the manuscript and general contents, and wrote the chapter on sugar. The completed text is an original andl valuable treatise on a vital subject, and as the facts here presented are digested by the many hundreds of pupils who will devote themselves to their study, the book may well prove to be one of the effective agencies in the material upbuilding of the Philippines. FRANK It. WVITE DIRECTOR OF EDUCATION CONTENTS PART I. INTRODUCTION "HAPTER PAGE I. PRIMITIVE ANI CIVILIZED PEOPLES..... 1 PART II. AGRICULTURE II. FOOD C IOPS- IICE......... 25 III. FoOi) CROPSI C OIrN......... 48 IVA. LESSER FOOD CRl)oPS...... 57 V. EXPO(RT CIRoPPS -AACA......... 66 VI. EXPOiRT C PS - COPRA........... 82 AVII. EXPOlRT CROPS-SUGAR........... 95 VIII. EXPORT CP - TOBAcc........ 115 IX. MINOR ANI) POSSIBLE EXP()I CROPS...... 125 X. LOCATION ANI) CIHARlACTER OF A(GRICULTURIE... 136 XI. DEIVELOPMENT IN A(GRICULTURE....... 144 XII. LAND TENURE.......... 172 XIII. AGRICULTURA LAOR........... 217 PART III. INDUSTRIES OTHER THAN AGRICULTURE XIV. THE ANIMAL INI)USTRY.......... 259 XV. FISHING................. 272 XVI. FORESTRY................ 279 XVII. MIANUFAC TURING.............. 289 XVlII. EXCIIANGE.............. 313 XIX. SUMMARY.............. 349 A PPENI)I ES................. 359 INDEX................. 369 vii ECONOMIC CONDITIONS IN THE PHILIPPINES PART I. INTRODUC(TION CHAPTER I PRIMITIVE ANI) (CIVILIZ E) PEOPLES Approximately seven eigltlls of tle population of the Philippines consists of a civilized people known as tlhe Filipinos. It is with them that this book primarily deals.1 Ilowever, the savage and semicivilized tribes, wlicl make up the other eighth, offer excellent examples of various stages of economic advancement fromn one of the lowest known conlitions in which the human race is found up to the present plane achieved by the Filipinos. It is therefore proper to begin a study of economic conditions in the Philippines with a short discussion of certain typical savage and primitive tribes. T'Ieir economic systems and ideas are so simple as to be readily undlerstood, andl a study of tlem prepared tle way for a colnp)relension of more complicated systems and ideas of civilization. Moreover, the trading operations of these tribes with tle Filipinos are of considerable commercial importance. 1 The names by which various groups, tribes, and divisions of peoples in tle Philippines are designated are very loosely used. Strictly speaking, the term "Filipino" applies to all Malayan natives of the Philippine Islands. Popular usage, however, tends to limit the term to the eight Christian peoples, and within the covers of this book that usage will be followed. By the term "Filipinos," as used here, is meant civilized Christian Malayan natives of the.Philippine Islands. 1 ECONOMIC CONDITIONS THE NE( RIT()S The most primitive people of the Philippines are the Negritos.1 Most of them are found in the hills and mountains of several of the larger islands anid on a few of the smaller ones. They probably (lo not exceed 30,000 il number. These people belong to the black race, and have a dark skill, kinky hair, thick lips, and flat nose. They seldom exceed five feet in height and are usually under that measurement. The Negritos live in groups varying from one family to several scores of persons. In most instances tleir contact with more advanced peoples has changed tleir original mode of living, but many of them still follow the primitive existence which has been theirs for centuries. The chief and almost sole aim of the Negritos is food, and their method of obtaining it is such that they keep only a small supply or none at all on hand. Thlley make small plantings of camotes, corn, and squash, but beyond this they usually have no idea of providing for the future needs of their stomachs, feeling that they can find food when necessity demands. Tlle most primitive Negritos depend principally upon the chase as tile chief means of securing food, and to a less extent upon fresh-water fishing. The men are the hunters. Their implements are bows and arrows, spears, blowguns, traps, nets, and bolos. They are assisted in the hunt by dogs, their only domestic animal. The women sometimes take the place of the dogs and assist in scaring up the quarry. When a deer has been killed a definite division of the carcass is made. The man who first wounded the deer receives the head and breast; the backbone is given to the man who discharged the fatal shaft; one hind quarter is given to the owner of the dogs that scared up the (leer; and tlle remainder is divided among the other hunters. If a family kill a deer or a boar, " they halt at the spot where the animal has fallen, scoop a hole in the 1 See "The Negritos of Zalnbales" by William Allen Reed, Bureau of Science, Manila. PRIMITIVE AND CIVILIZED PEOPLES 3 ground, place the animal in it, and then build a fire. Each one takes the piece of the animal that suits his taste best and roasts it at the fire. And so they go on eating until they have filled their bellies, and when thus satiated they sleep..... When they awake they go through tle same operation, and so on until all the meat is devoured; then they set out upon the hunt again." 1 While the meat thus obtailned in the chase is the cllief food of most Negritos, they also have vegetable food. Mull(h of this is found in the forest in the form of roots. A small amount is obtained tlrough cultivation in "kaintgil." 2 lThe ground is rouglly cleared, and rice, corn, squash, and sweet potatoes are planted. Among the most primitive a few rude shelters are erected near this clearing while the crop matures; lut such settlements are not permanent, and when once the food from the kaingin has been consumed they wander off. Indeed it sometimes happens (as in case of a death) that tley leave before the crop matures. We have seen that hunting is the province of the men. The men also assist in planting, but cultivation is left almost entirely to the women and children. The implements used in agriculture are sharp, pointed sticks, with which holes for the seeds are made in the ground. Bolos are also employed for various purposes. The clothing of the Negrito is very simple. The most primitive form is made from beaten bark. The men wear a breechcloth. The women sometimes use this garment, but usually they wear a short skirt. The Negritos have simple implements to llelp them in procuring and preparing food. They manufacture pointed sticks for agriculture, and arrows, blowguns, and nets for the chase. They obtain fire with the flint and steel, or by rubbing together two pieces of bamboo, and cook in green bamboo tubes 1 See Buecher's " Industrial Evolution," p. 9. This is a quotation from A. Schadenberg in the Ztschr. f. Ethnologie, XII (1880), 143-144. Probably 10o Negritos now exist who do not cultivate crops in kaingin. 2 Temporary clearings. 4 EC0)NOMH CI O NDiITIONS or iU pots obtalnedt il i trae Biesides food i al elotilng they hlav liiamblo) orbsor and eed necklaces fo ornameit, and bat.liboo Musial ilstrurients for elnjoyment. Migrating as they do frotm plaee to place, the most prmltive Negritos aeumu1late blt few articles. Bows and arrows, blowgiins, traps, nets, ax dogs tlhey take Withei hii. T[he n1eat f wild aliimals, the wildt roots, ald thle produt of Ie ir elearilgs, they iiist o(nIie where they tfid or produee A NliItii) IliiEii ihiciii. Periiaiieiit res.lts of laior which cannot he easily tfld~rish irUld. uci as sihstadtal house, cocoinit pihiiisj iil fruit i rcs, are of ii intrs to tho Ngroli. Iii moldition ito provshng Ihieisehycs with the siipe fr of food amnld srough iipilemeits and ornaimets, iiay griips of Negritos hae bheen able to acluire articles of iroi anid steel (b s and spears. The cottothey se is ed f the 1whinii ler in e g for fo t rdii The lie of the Ne t iii e mniiiiiel p as "one, otim s Jea rh for foodI PRIMITIVE AND) CIVILIZED PE()PLES 5 The Subialtls are a pagan aliayal tribe of the Zairb)oaiga Peninsuala in Minrdalnao As with the Nebgritao but to a less degree, t the chief aim in life of the S1aunltS is is food. Unlike the Negretos, however, they ordinariy priti1oce their food ratsher talla find it, and only resort to forest prioducts wliel their crops fail. 'The food of the Slubsiinis is sceured e.eIly thirough iriui kelt. 'They follow th kaingin system. IIn the iANltNG RICI lll IN A KAINi N tobaeeo, vegetables, bananas, pap#ayis atil betel viiesh Tlhi Subannns are not n'atrally of a roving disposition, hNu their implerts itof agri n lture are not sch as to euibhe themu to *ultivi th e amie l *arings yea fter? or. A sooi as tle gronndl harden s aud thi eogion grass obtains a foothold their pivnted siks are iseless, uid they find it easier to aanldot their fied anhd ear inother. This does niot imeat tlhagi they eI I!h _Siitiiiii f al i AYu t Y esos B t. hisiiei Bareat et Seee M's_ u _ta 6 EC(ONOMI( ( C)ONDITIONS leave the locality immediately. Aslong as there is new forest suitable for clearing, they remain. But feeling the ultimate necessity of leaving, they (lo not plant long-time crops, such as coconut palms, areca palms, and the like (although they greatly enjoy the products of these), nor do they buil houses of a substantial character. It is sellom that a Subanun family remains in the same spot for a period of lIore than tell years. It is usually much less than that time. In clearing the ground different families of tile community cooperate. In cultivating the clearing tlhe men of tlhe family to which the land belongs make holes with slarpened sticks, and the women and children follow, planting the seeds.3Veeding is done twice, but the crops receive little cultivation. While the Sulanluns do but little hulnting and fishing, they have a supply of meat in the two domestic aninmals -- the pig and the chicken. They understand tle fermentation of rice, and make a rice beer. The clothing of the Subanuns is made from cotton and abaca 1 cloths. The men wear trousers and shirts, the women waists and skirts. Turbans are worn by both sexes. For ornament, silver trinkets, beads, earrings, necklaces of dried seeds, brass anklets and armlets, wristlets made of shells and silver, rings and earrings of wood, coconut shells, seashells, horn, and brass, as well as bamboo combs are worn, many of these being obtained in trade. For shelter the SuIanuns build houses of one room on wooden supports. Tlie floor is lmade of split bamboo, palm, or wood, and tle rest of the house of bamboo and light materials, such as tlie leaves of nlipa, buri, sago, and other palms. The space beneath the floor is given over to the pigs andl chickens. In the house are mats of pandan or palm leaves. The bedding consists of a few strips of cotton cloth. There are also baskets for storing food, pottery obtained in trade, brass gongs, and Chinese jars secured by barter from the MlLoros. 1 MIusa textilis, Manila hemp. IPIMTIIVE AND CIVIILIJZED) 1E LES 7 The Subainuns build rice granaries, which c osist of large baskets erected on a platform aid protecteed by a foo. ll this way they store food to meet the future needs of their stolmach, anl tihus are not at the mercy of the vagaries of Iature. lThe Su bamns carry oln lanufaecturig in a lrde w-ay. Pottery is mTad e by wome. The clay is formed by means of a stone, a sttck, ql1d the h a,. The pot is first baked in the sun ausid thlen in a loit fire. These crude articles are a )fte oh eit sif trade, C(a rse asd elsorsaentd Ibaskeis are made of iitoi ratta.s Bambso, and wod. IThe garmets wore by Subiasis are uaic f roii d oih woves by thei. They undierstas the dist and thise spiniig weel but thes otton wirked spoi these is otained frim the Moi ros frm ihum they also }sby oittoisn yius.f The sabia is eutiret y a hsie isduiit. Their soomis are very eriude. The Susainnsi alss ibulrstasid workissg in iross usiig as tosils bamuboo bsellows, an arsVil (a pieee of iron laced on a block of wood'i and a hammier. The raw aterial The items of euimbui"g (ers (Lsodi sPe) raalii —~-kB~~~g~~~t~S~ I~~ _I 8~-~~-~~: l~~ ~~~ ~lt~~,riBm _ ~.-le Ij;T1 _L(~f~~ "X~I (~"~llv l~ ECIONOMWI(I C'ONDI)TIONS is olbtained in trade, and from it chopping knives and a few wealpons are pioduicel. The Subanuns make mnsical instrnmnents, rings, and combs from bamboo and wood. They also weave mats of palm an(1 pandan leaves. T"he civilization of the Snbannns has been. greatly affected lby barter with the M\oros. The latter are much more advanced peoples, andl by their trading relations have 1)laced the Subaunis Upon a higher plane. The Subanuns barter to the Moros monntain rice, wax, resins, aiid rattan in exchange for cotton fiber, yarn, and cloth; weapons; brass boxes, jars, trays, gong.,, andl ornaments of varions kiiids,; alid Chinese jars. The Moro traders arrive in boats, and the Snbanuns bringP down. their prolncts fromt the hills on their backs, as they have no beasts of bnrdeii, vehicles, or boats. Sometimes, however, they nse rafts on the river. In these transactions the SuLbanuns are often badly cheated by the Moros. TIhe articles with wvhieh the Negritos are familiar are quickly listed, bnt those found among the Subanunls are mnch greater in number. The articles of (laily use among the Snbannns consist of food (rice, sweet potatoes, garden vegetables, wild and (lom-estic meats, fish, etc.), clothing of coarse cotton and a1)acIa cloths, houses, crudle baskets, au(1 bolos. The imipleinents usedl in prodlnctioli consist of pointed sticks, bolos, and knivres, and the apparatns for ironwork and for spinning and weaving. Th~e prodncts saved for fnutnre nse are chickens, pigs, rice stored in granaries, and corn. stored in baskets. All these articles may properly be called "necessities," for, directly or indirectly, they all sustain life or shelter thie bodly. Tphe Subaninis also possCss articles in no way related to their actual physical comifo(rt, but which are kcept for ostentation andl f uture needs. Such a-rc the silver, brass, shell, and bamboo ornamenets for te boy, thie brass gongs, and the large, Ch1ines jars. While these in no wvay protect or sustain the body, yet at any time the-,y can be exchan ged for wives, food, clothing, or shelter. Iii particular are the Chinese jars much esteemed, for these are.. beautiful and usefnl, and limited in number. PRIMITIVE AND) (IVILIZED) PE()PLES In the following points the Subanuns have surpassed the Negritos: (1) in obtaining a more p)erimanellt residence, which would be absolutely permanent if their rude cultivation could overcome soil hardening andi weelds; (2) in seculring improved methods of obtaining foods, adl(l an increase in quality and variety; (3) in storing up a supply of food for future wants; (4) inl their rude beginnings of pottery, metal work, and weaving; (5) and in their articles of art kept for ostentation and for future nee(ls. The life of the Subanun may be characterized as oll( in which agriculture normally gives a sufficient food supl)ly alll a surplus. The surplus is stored against future want or exchanged for articles of value. THE MOUNTAIN ]PE()IPLES The Igorots, Bontoks, an(l Ifugaos I elong to the iimost tavanced semicivilized Malayan pagan triles. Tley live il the Caraballo Mountains, whlere tlle narrow floodl p)lailns (anl( the steep hillsides offer but little fertile adl arablle land. Yet of their various forms of production these l)eople tare most advanced in agriculture - a condition which h llas 1)lobably been brought about by their restricted supply of willd fools. 'They clear the steep hillsides of pine trees, turni tle soil with shlarp sticks, and plant sweet potatoes, millet, or bealls. Suchl fields are most often entirely dependent upon the railfall for moisture and are usually abandoned after a few years' nse. Thllese people rely for their rice sll))ly lupon land 1a(le by tuildling terraces onl the steepl lillsidles aI(l tillinlg tlese s witl gravel, sand, clay, aid(l soil. Thills is usually keplt f'o )(t i eiig washed down the hlillside bIy a tlhick retailing wall built of 1 This discussioll is b)ased 11)po "T 11( Blont(c Ii'orot," by A\. 1E..JelIs, 11ureau of Science, Manila, the ec(omlic rp( )(t sulllitted for' IfllgL( by 1l(y F. Barton, and verbal information given Iy 1. ()tley Beyer, IBureau of Science. The Ifugaos and Bontoks live in subprovinces of tle santle iamels; the Igorots live in the subprovinces of Benguet, Lepanlto, and Amburayan. Formerly the name "Igorot" was applied to all these tribes. EXIONOAMI( CO-NDIITIONS stone. Such walls are from 50 centimeters to 1.0 meters high, and in many cominnimities amount to thousands of linear kilomieters.' The -humian labor expended upon these terraces is tremendons. In lplaces whole monntaiu sides are covered with terraces which con-)rtain thonsands of hectares, and which are the results of generations of labor. Several methods of irrigation are employed in these fields. Sometimes canals are fed by springs, Sometimes rivers are divertedl into canals by means of damis and weirs, amid the water thns coThes to the terraces andl flows fromi plot to plot, watering the whole mionutain side. 1his work is (lone by commninal labor,and the water is dividled among those who buildl the system. For smiall, patches, where a flow is iiot obtainable, water is lifted fromt rivers by sweeps or carried in jars. The implements of tillage, emp)loye(I lby the igTorots and Iliontoks are sharpened sticks, while the lfugaos use crudle woollen spades. These are quite effective in ground soaked andl softened with water, andu the, soil is thoroughly broken up. ft is tliei puddled with the feet. These people also undlerstalid the use, of fertilizers, Cand add pig manlure, ashes, grass, and sweet-potato vines to preyvcut impoverishment of the soil. Every two years they add new soil. Th grain is sown thickly in a small seed bed and is transplanted in the terraces after it has sprou~tedl. The cultivation of the fields is very carefully done,. Wonien and children. pull the weeds and thin out the, plants. Old womneni and children protect the crops (luring the dlay, and ait iiight -fires are built to scare away wild hog~s. The loiotok~-s andl Igorots mnake scarecrows, consisting of bunehes of leaves, figures of large birds, aund the like. These are hung on poles alid are often kept in motion by systems of stringys attached to a float in a, rapidlly moving current. inl the mice harvest four or 'five cutters, reap the grain and place it, ill buml-iles, whiehi one womian binds, and carries to time transportation lbaskets. 1 In Umnga thiere are over iO,OO()0 kilometers; of 8-mneter wall. i~ ~*I ~~r~ "3: Ff cl.g rrr. Lj p D;4 1 g i F"i rmi Z g 4 M "" C a o Es, ~aPiirl I B ~ - ~~ ~~ifil I B iYt ~:.~ 3.:~~- "J -: ~~lr E( )NO MIC (CO( NIITIONS (lcro() otation is practiced, bult not for the purpose of increa1sillg fertility or retardillg soil exhaustion; it is rather to makll e conllstant use of the land. The best example of crop rotatio is tlte plalltillg of sweet potatoes in the terraces after the rice l;as l )eell lilavested. Te'llc systemll o(f agricullture as a whole is excellent, and such tliat the lllolllltaill p)op1le1 wrest fromi their barren hillsides a sutllily of f(oodl wlicll is more tlhal sufficient for their inmmediate ie1(eds. 11 all villages tllere are granaries, built of heavy plile plaluks ma(d tilll)ers, withl tliatcled roofs extending almost to tle grould(l. Ilre the rice is stored. (Corn and millet are keptt i; tflIe dwellings. Beans are dried and stored in baskets. lThe Igorots also slice, (ry, andl store sweet potatoes. Thlese pleoples are fairly well supplied witl dlomestic animals. lHorses of good breed are raised and used for riding anld p)tclkilg. C(raba)aos and cattle are also raised, but are sed neitller in agriculture nor in transportation. Their flesh, lhowever, like tllat of thle log, is much appreciated. HIogs are kept ill pel)s al are fed regularly three times a day with sweet-l)(otato vines, parings, antd green vegetable matter, always c:ooked. Thle refuse of the pen is the chief fertilizer. Besides tllese alillmals, llickens and dogs are raised about the house. Tlie sources of food eaten by tile Ifugaos have been calculated by Roy F. Bllartonl as follows: FoDo) SouizwiE PART OF TOTAL SUBSISTENCE Agriculture.............84 Plri itivet foodl getltig...........094 Anitial lc ltlr..............042 Imlpo'(tatiol................024 'Total............. 1.000 'Tie' h clt)illng of the men consists of a girdle of bast, rattan, or blrass liTlks. Tllis supports a breech cloth made of bark or of 1 I tlis lchlpter tlie termll " nlmountain people" refers to the Igorots, Bontiks. anl) Ifugaos as a wh lte. 13 1Etl~l~ C rtAN I J:I~g R~~~~~~~~~bE ~ ~ ~ ~ ~ lk~ C ~ ~rT0 iNc EXtcr 3F~;,ilriwc 1 14 ECONOMIC CONDITIONS cotton (1oth spln by the womeif ' orl obtained in trade with the loeanos. nTo this is soinetimes added a light blanket worl when it is cold, as in thetelate afternoon or ely morning. The Botritoks wear a snrall hat of basketwork, which is ulsed more as a pocket than as a protection for the Thead. Tle Igorots wear a hehadband for the sanie purpose. The women wear a skirt, a girdle, amd a waist, usually of cotton,. B liketS are used by the women as wXell as by the 1men. AN IGOiOi HOUSE manentfly conistrnte_ d than those of the Snbannnus. These a_ r of two types conie bniltf hlgh bo lueo gr niou ini upon age piie timblerl the other rueting ori the earth T le ides are uf onerlappisig pine brards or of iid ainl stoie The steeO soe d rof is bhilt f grass. The miiinfactes of the molntaiinp lei 1 are qite ni non ous. Stone is hade into h amnuers, and also intoat e tros and PRI 1TI E A NI) CIVILIZED ) PEiPLES 15 bo l for pigs. All the menp kow how to ak tlie crude igrictlllttLal ilplemielits. Wooden pails flr tlae food of pigs, woodel dishes, bowls, dipp)erls, a. spt)c)s fot thle loulsehold, adl wooden shields ald spears are also fashioned, Snmoking pipes are often carved from wood. This work is done laoriously with knives ml d fire, and tile artilles are freqruelly ornamenteld wvith huian or a imalh formsT. [h7e uakug of articles frolm metal, however, is conlfirned to a few peurslls, for PRIMrV EuRr uAKING th reasuun that uueta work requtires euunsiderahle skill and u exprienuce. Inu dihe ssuities two or huree uen work togehu er. Ouu 6peratrs lthe buelhwVs anutufer feuds the fire and does the hueavy sAtriking uuriu the i luri iu ia Orf the awuk, unud the t hird, e real h l Blaue-uaker.u duires all lthe laor andl perfu rus the fiuuor uart of th ae u[ huro6ni. The irou used is serap, obuturud frou lthe huwlauus. The ueaul is huamuereud withu a large stuur hammer uu a strne uanvil and is trriured in wateir Il thuese sithies are produred severau stylus of ear blades, lusle ses, and bols. Neary all f-oru uowus uuake ffie la 16 EC ONMIC CONDITIONS amd woo(den pipes locally used for smoking tobacco. A few hen, laowever, gain a living by traveling fr monmic tol to an(other making pipes of brass. These menl fasatin a modeli of tle pipe lbow l i beeswax emibedded in a ack f cl y. Wh en the elay is baked, tlbe wax melts and is drawn offm leaving a clay mold. lIto this the nmoltemn brass is pouredt. Brss pipes are usuall fitt itted i a steml of similar metiXl. Where suit1abe cla is fod, fpoitftery nlmikig is also rartied on, mid as PR IM ITI VE WEAVING 1 vitim tme Smibaims, tins work is left etirey time womn Timhe bwls, formiled with the huand adi a stik. are sun akm themi ired, mgld afterwards glazed with resimn. Biaskets, om tihe other mamd. are maie hby the niemi. These are prodnemid in mumerous i fiss — soime for sinig foomd some as winiowing trys osthers as rice nti m of te st at kis omf mas1k is t d te mem for tris p rt tiom A smmml m omimil mf sgar eamme is growm This is ersimdII ui e i mili amd the jisie is I rystumiliiii large irm I brhille, It is al6u ofte fellrmimemit iitightly eI V jarsI PRIMITIVE AND) CIVILIZED) PE()P-IES 17 ''he drink thus made is ]known as ' basi." "Tapuli, or "b)ubldl," a rice bleer, is also extensively madle anld drunk. Several salt slrillgs occur ill tlis luntain sec tinll. 'l'h salt from11 the water is allowed to accumulate ol stones, antl is thlen wvasled off and tle resultiml brin evapl)r'ated. Whetstoles, flint, anld clay for jp)ttery are ()ltaille(d by tlhe Igorots, and to a small extent copper and gold are mllilted by them. From the forests they cut lumber for their houses, the logs being reduced to boards by means of axes. It is interesting to note tllat in tlhe raising of crops and( tle transformatiol of materials tlhe wolrk is divi(led. 'Tle (older clhildren gather food for tlle pigs adl( guard the ricc terraces. The men cut the wood and lumber, build houses and dikes, construct irrigation dams, and translport thie arvested rice. They mlanfacture a end sell basi and piriducee iplelmenlts and ltenlsils for the house. lhey weave baskets lad work with stone and metals. Tlle women are tlle spiiers atnd tlle weavers (for some clotli is spun by tliese people). They also prepare the seed beds and set out thle rice plants in the terraces. Thley plant, cultivate, and larvest sweet p)otatoes, millet, corn, and beans, and assist the men in tlrasporting soil. Sonle are makers of pottery ald of salt. Both men and women thresh rice, carry water, and make tle rice drink. 'lIie old people do the liglt work. lhey are thle couinselors; 'hey guard the crops, attend tle childrell, carry watter, all lo tle cooking. I)IVISION OF LABO(I BIETWEEN SEI:S IN I FI'(GAo) 1 MEN W OMEN lT i )'allding fields Plantilng rice (,Cookil jttilng wood Telidiig rice [ Ilarvestillg "11 work in wood Weaving (Care of )baby ',t burning Pot moldimng Carrying rice to granary;lacksini thing Gardening Caniote culture;ice-field construction;isket makirn - - -- - — ~~~~~~~~ --- —---— ~~~~~ -----— I 1 By Roy F. Barton. 18 18 ~~ECONOMI 1(1(O )I)ITIONS Often a larger number of persons than is Ainlded in the, family is neleded t) do( a, piece of work. In1 honlsebnildinig all(1 ill much(1 of teagri-cultu-ral work, as inl the buildling of nfew irrigatio n works, several famihfles group their labor. The mountain ipeoples (10 not emphoy animals inl tilling the Soil, neithier (10 they of tenl employ theml inl transportation. G'oods, are carried oil the backs of men avnd women. Sonic of thme articles mamufactured Iby th e moun tain peoples, are not pro(Iiled~ in all coimmunnities. Ihu's, iii liontok, pottery is mlade by Women of "Samoki; salt conmes, from Mainit; battle-axes and spears from lialiwang and fBalItalasan; clay smoking pipes are madle in Agawa; whetstoncs" are the prod1 -niets- of lI')asao). Th'lese articles are dispose(I of by men f rome the producing townls, who, traveling inl group~s, take, their wares onl their bac~ks to other towiis for tradlc. Thei system is one of barter; that is, the men exchange their pro(lucts for others obtainable inl the different localities. Yet inl all these transactions thiere seems to be a growing lpreferenlce for the use of certain objects as a medliumn of trade. Particularly is this true of m taii0o085 (bundles cap)able of being grasped in the hand) of rice inl head. Thie Igorots often pay for articles with these bundles. If thtey barter one article for another, they of ten estimnate time valnes of these inl terms of muanojos of rice. T.o a less extent pottery, tobacco, and salt are used in exchange. M-ore ~und more also,(- tlime gorots are, eimi-)oying silver and copper coins andl even papte~r bills, but these are time result of aI civilization highier than thieirs. In comparing the, Subanuns, with the moun tain peoples as, we have below, we readlilytsee points inl which the latter have surjpassed the former-, and other points in which the two arc on the saume p~lane. 1. nthough the implements, of agriculture whichl the 1gorots and~ lhontok8 employ are the same as those of the Subanuns, the former have, through irrigation, sueceeledl in preventing thte hardening of the soil aind inl keeping out weeds.' By thc The spades used by the lfugaos are superior to the pointed stick. PRIMITIVE AND (CIVILIZED PEOPLES 19' 19 use of fertilizers they have iprevente(1 exhaus tion of the soil. Thus, being aIble to use the same ipiece of lan(I constantly, they have achievedl jerinanency of residence. 2K The mountain peoples have greater variety of food than the Subanuns..thyalso 1ltave as great a st( re of io( s)i as tlie Sul ain iis -and are clonse(qnently as far remiovcl(l horn (langler of star4. In weaving and~ pottery thecy arel nio farthier a(ivanice(l thaln the Suhanuns,, hut in woodIwork anid nietal wvork the(',y heave surpassed theni. In metal work they have gainedi (livisioli of labor, in that various o1)eratiolis in the process5 of making articles of metal are carrieol on hy difterent workmien. 5. The nululer of p~roduicts useol by the noioutainl p(eoples for ostentation are at least as iuinerons as thiose of thie ~Subalinus, ai nolmany, such as the carve(I bowls and smoking pipes,, are of local origin aiio design. ti. Thie Subanuns, have but thle begi linin-g's of conmmerce, for their trade consists only of that with a htighier race. Tihe Igorots, Bontoks,, and Iftigaos, on the contrary, hiave developed a system of exchange among themselves which is snore important than the commerce carried on with oultsidecrs. This exchange results from a diversity of production ini the different comnmlnities. 7. Finally they have acquired a very (eicnite idea of the value of their products. They are uiot cheated, as are the more,simple Subanuns. Thie life of the mountain peoples may he briefly (lescribedl as one in which an excellent, though still primitive, system of agriculture providles an abundance of food ani(l a surpi)s itgainst the exigencies of a poor crop, and allows permanent -'esidence and the utilization of the labor of a few men in the uanufacture of useful articles and luxuries. E(C)NTOMIC (C)NNDITRI)NS GENEFtA L (IOMPAl}I IMSON Bueeher, inl his "Industrial Evolution," has aptly state(d that huminan- needIs are eapable of anl infinite multiplication and subdivision; they are never at rest; they iiicrease inl degree and extent with the progress of eivilization. Thus we have seen that the iieeds of the Negriito are little more than food, and of that barely enough to keep life in the body. After a people olbtain a supply of food above actual immiedliate needs, their wants becomne more diversified; they lbeginl to improve theirmethods of proul uction, inicrease ti e variety of thleir (liet, better their shelter and clothing, and develop taste for the artistic and for display. Inl short, their wealth increases not onlly inl amounit but in kind.2 1In considerinmr these three groups of pleoplles thle subjects touched upoon have beeni the prodlilts they uise for food, clothinig, shelter, awl aimusenent, how these i)ro(licts are obtained andi exchiang'el, and hi what manner they are dividedl anionig thle people;th~at is, the dliscussion has been albott those thiings which minister to thle p)hysical nieeds o-mnan and help him to live. Anythitiigi4cr i~ii to live is calledl wealth. 2 Certaini forms of wealth whiceh the Suibanmus possess wouild not be con-l sidered wealth by the Negritos. For instance, the Chiniese jars, which are wvith Suibammns the imost prized- of all possessions, wouild not be valuted by the Negrito. Iinthe ~samite way the ~i-iirrigat~ionsysteniis ami the,,fertilizer-s emiployedI by the igorots, woutld be useless to the, Subanuns and coliseqluently not be considered wvealth by the latter. Likewise a p~low or the services of -a tailor. would not be coIlsidlered wealth imy an lfigaao. Thus it can lbe seen that, objects or services which may be classed as wealth by one grouip of individuals inay not he considleredl wealth by another. We inust notice anothbr peculil irit~y concerning those th ings which help) man to live. '' Some things ue said. to be valuable, as hi the case of a gold watch or diamond rim, becaise, ill exchangve for them we can get a gTreat, (Ilualit'ity of other arti( s. Aslhes are of little or 110 valute bec' uase we cannot get anything, iii exchaiane for thlen. Now this word Ivalue 'is a very (Ifficthlt 0110 mid is employed to ineumi differemo thing-s. We mnay say that quiiiininei valuiable for curing( fev (1, tlh t iiou is valuiable for thme bl1oo(1 or that watei is valuable for puitting- (ilt fines H ere we (10 not inean valualile inl exchange. for quinine wouldl (Mire f evers j tst as well if it cost a penny an ounce instead of so1ine tell shmillhmgs. Water, if we can gret it at the right timie, puts out:i fire whether it costs much or little or nothing ('Political Economy,' by W. Stanley Jevons). It is clear then that by value we may mean valre iru exchange or value ill u1$C 01 bolth, and a thing, whiell may have little value inl exchange may have great value in use. Thus the value of air is the utility FOOD CROPS - RICE 37 to the laborers and to the Islands, than the returns from producing the food itself. In Chart II the relative increase of rice imports into the Philippines and the total exports from the Philippines since 1877 are shown.1 It will be seen that until 1895, though rice imports fluctuated greatly, tiey increased in about the same proportion tlat tile total exports illcreased. In 1899, however, rice imports increased in greater proportion than did the total exports, and have since kept this relative position, which is probab)ly due to the scarcity of animals and the noncultivation of rice fields. However, comparing the years 1899 - 1912 (by bringing will be seen that, in this period also, rice imports and the total exports tended to increase in the same proportion, the " bulge" during the first few years being caused by famine, pest; and drought. Hence, them together at 1899 in Chart III) it 1890 1892 1894 1896 1808 1900 1902 1904 1009 1008 1910) 1019 PHILIPPINE ISLANDS _ COMPARATIVE INCREASE IN Rice imports.__.. '. Total exports-_ _-, /. 1 t I I I CHART III from customs statistics it is learned that the general increase in imports of rice is due to a proportional increase in exports, and that the extraordinary jump in rice importations in the period 1899-1912, over the period 1877-1895, results from the scarcity of animals for cultivating rice fields. 4. Failure to obtain a full crop also results in importation. This may be due to several causes: (a) when there is no irrigation, crops often suffer from lack of water, with the result that a complete or partial failure of the rice crop occurs in many localities every year, and in exceptional seasons (as in 1911-1912) throughout the Philippines; (b) preparation 1 This chart is drawn on a logarithmic scale, which shows no definite amonllts but (practically) percentages of increase and decrease.,, ECONOMIC' COND)ITIONS Thle Negrito is inl the stage 1 of prumtit'e group) economy, In which production is solely for the group's needs, and in which goods are consumed where they are produced. On)I the other hand, the Subanun is oin thje verge of, and the IBontok-, Igorot, anidlftngao are just enteriniig, thie stage f, primuttive tow et~cCTonomy, the stage of (lirect ekehange, whent goods iass directly fromi the producller to the consulner, The Subanuims 'are much more iildejpendlelt ot nature thian are time Negritos, since they heave a surI)1is supply of food. Time mountain peoples are still more in(Iependlent onl account of their irrigation system and their use of fertilizers. B)ut thcii system of p)rodncing wealth, exchanging and tlistrihnting it, is, as a result, more complicated. There is greater tlivision of lahor hetween the sexes; artisans such as the blacksmiths and lpile-mlalkers have emerged to spend their entire thute in the making of ouci kinid of article. Thus we see aim advance fromt a system in which each imdividlual ohtains his oXwii 100(1 to oilie in which certalil pers5ons (10 not produce food but are (lejeiilcnt upoin others for their sustenance. iihiy tran sforun raw materials in to fin-ished objects and exchange them for food, (clotling,~ anl other things that they need. XWe also) sec an adlvance fromt a stag'e in which meni wandler f rom place to, place, to one, in which they f orm towns. A more advanced stoge is, that in whiich eachl town p~roduices certain articles. 811(1h a (hivisioll in the p)roduction of articles b)rings into existence thie iolea of exchlang9e first hetween indhivi~lalsavi thn letweeni l(c )clities (,t )wls). T is exehangc inl turn-I calls for mii(l to take thme goods fromt time producier to the consulmer.% 1F101m these, imci arises time miced of a standardI commo11(lity which is always acceptal)le iii exchiange for pro(l. iuets, amid by which relative values,, of articleslmay he nmeastire(l. This is nmoney. Amonoig the mountain lpeoples we have seeii that bundles of rice are mnost often usedl as money. As, civilization spreads we also note changes in the (distribution of wealth. Amiong the most 1)liliitive peoples there is litthc 1 The stages of econominic dievelopment noted in this boo0k are stiggesteil by BIhlerle',s (hiapter oni The ]Rise of National Economy~. PR~IMITIVE XNI) CIVILIZED) PEOPLES difference in the amiount of wealth possessed by indlividuals. 'This eondition results from the s"imlplicity of the method by wN'hich wealth is ob)tainedl andl the small amount which exists. A inon1g the mountain 1pe(oples, however, there are' men0 wNi io possess a large share of the surplus p)roduictive we~althi of thie commun111ity, such as rice terraces, pig)~s, and carabaos. (O)ther mcii who heave, none, of these must work for the owners, or miust starve or revert to more primitive condlitions of living. lence these workers are, economically dlepend~ent to) a large (legree upon the possessors of Iproolluctive wealth. TFHE HFLIPINOS, Among the semicivilizel lpeoples of the Philippines, the moun tamn ieoiples heave made the greatest ecoi nomic, adv a1n,cc. From them we may pass to the Filipinos. T'he system by which their we~alth is prodhuced, exchlangedl, di~stributedl, andl consumnedl Ilaces the Filipinos withini thei stage of 'natiwne econom~y ti fic stage of wholesale produilct i (n1 and( of the, circulation of goods,,, at which prodlucts nmist ordinarily pass through many linmds before they reach the, consum11er. This stage is not so easily Comipriehend~edl as those of savage Iil semicivilizedI trilbes. It is not gr-asped in an idlea nor explained in a few words. Many economic laws, i(leais, 1OInd cus,,tomis not found amiong the primitive peoples gov~eril the actions of men in this stage of civilization. I PART II. AGRICULTU1U1IE CIIAPTEI{ II FO-)(l)) CROPS - EVICTE IMPORTA-N-CE ANID Fl-oon VALUE In nearly all lparts of the P'hilippinies the, chiief food cons~Uimed by the lpeople is eithe-,r rice and fish or corni and fishi. As, a general thing, the farther a place is removed from the se a the less fish is coiisninedl there, so that in maniy iiiland localities the diet is almost entirely vegetable. In ordilaiiay times of plenty the foodi of both the well to do and the poor varies little in either quantity or kind. Iii timies of scarcity, however, the food of the poor usually (lecreases 1)0th in q11uality and, in quantity, while the diet of the rich is not affected. F rom the viewpoint of f ood values, corn is a better-balaniced ration than rice. The latter is (leficient in fat and contains les-s protein than any other cereal. Corn, oni the other h-and,i( is high in fat and has a considerable percentage of pro~teiii. Thie amount of protein containedA in thle thrl-ee chief food cereals is as1follws 2 rice, per. ccItt; 10 per. ('(lit; whieat, 12~.2 per cent. Rice is an easily preparedA and eaWsily dfigested food whben p)rop)erly cooked], bitt it's (icticicilcy in Ilittritive values must be, Made, U{) by othier f100(15 (Isuci -as,ishi, beans, and meat) 80ichli con)rtain potc6idls aiid fats. Theli 1For dlescriptioni andl commerce, see -' Comimercial, (hograpihy, tihe Mateiasof Commerce for the P1hilipphies,'' hy miller, Ilureau of Educationl, Mlanila, 1911;also Bulletin 22, Bureaui of Agriculture, Manifla, 1.912. 2Farmers' Bulletin 298, United States Department of Agricuilture. 25 E( ( NO1\IR' IONT()NI )T I )-N S consumption of rice alone, towar(I which there is a tendency in the Philippines, results in malnutrition of the hodly. It would seemn also that the cause of beriberi 1 is the lack of 1)losph1oXIs in the (liet of polished rice, a condition winch can 1)e overcome by the substitution of unpolished rice (which contains from three to five tines as much phosphorus) or the more extensive -use of fish and other foods containing phosphorus. Rice is both thfe chiief food(1 coislmnedl in the P~hilippines as a xvhole and the princijpal crop of these 'Islands. An apprecialble quantity of mon)lltain or highlalld rice is grown, mostly in kamngin, in the less (lensely 1)oplilatedl sections. This is sown broadcast, cultiv atedl, an (1 reaped as are other (lry-landl crops. I'he aniomit of ricle racisedl by this system, however, is smiall in colniparison with that prLodllcedl by the lowland, or flooded-field, system, lby which the greater jpart of the rice crop of the Philippines is grown. Aloiig most eastern coasts and also on the northeastern coasts of some islands there is continuous rainfall throughout the year, so that there can be no definiite seasons, of rice culture. rvie inhabitants of one town may hbe plantimig while those of another, n-ot more than a few kilometers away, are harvesting a crop. The central an(1 western sec'~- tiolis of the Philippines, however, are subject to a dry seasoni, (luring which rice cannot he cultivated without extensive provision for water storage an(1 irrigation. The anount of water so storedl, or which can be diverted fromt mivers (hiring the dry seasoni, is almost negligible. Since the chief rice districts,, are in regn101us aff ec-ted by the (Iry season, it holds generally for the 1Phihippinies that lbit one crop of rice is raised. Thiis is 1)laltedl aiid etltivatel (dirinig the, rainy seasoni (f'oim June through November) ali~l harvested at the hbeginid mog of the (lry seasoii (DIcceinber or ~January) IA prevalent oriental disease. characterizedl by an alimniilic eodtoiof the bodly. FOOD CIOPS -- IVCE 27 The rice lands in the Philippines are divided into small fields il which dikes serve to keep tbe water. When tle soil ias beerune siftened it is ploweld aind larrwed. lThe plow use d is a small onei-andled atair of Woo)d, sometines shod with iron, which merely digs and does nolt leave mnehI of a furrow. The hatrow is usnally made of )alrtoo, with iron or wvolden pegs p)ounded through alld fastened. In many places it is enstomary to furlther reduce the soil to a slush by riving NEWLY PLATED.LOWVAND.CE F i'araaos on it or workingi i i p wRih tlhe feet. The sel is u i th~iekly Hin beds which are usaill sear the house of the arIier Whe n ithe young plants are a foot or ness hlbh theif'y ore pulle d aiid toranspiantld tm tIm fhe ils l tU she wmuen. If thie rains are sutiieieu to drown the weeds, the fharmers ma rest util harves time liuit if a dry period oi ma sotI a tht e water does o sand in the field, it is tonecess t a out he weeds. 28 ECON{()MIC C( )NI)ITIONS I IAR IVEST, SALE, AND) CONSUMI'TION )One of tle mlost expellsive parts of rice production is the InlIvestilg, wlhichl is (dnle by hland. The heads are cut, leaving sllort stalks wlich ale tied together in bld(lles the size of tile list. Inl tlle sectiolls of the P'lilil)plines wllere there are many small Il(Ollillg, tile flarmlers are wonllt to llake co ma)ll lal labor of planlltinlg alld llarvestillg. In mnany districts wllere land is ill large ollillngs, it is customary to harvest on shares for an aloilllit var1yillg f(rom olne tenth to one tlhird of thle crop, tlhe uslal amolnnut beilg' onle fifth. I)nrilng the latter 'part of a velry )o)ltittifl lharvest seasoit eventl alf tlie cr(1') mlay lbe given to lreapers as an i(llul(ellenlt to keep thlem at worrk. In certain plac(es thler l is a. te(ll(cll(y to sullbstitute daily wages for this system, particu(larly when a p(1oor harvest occurs and tlhe price of rice is higll. Int (tller places thle two systems are combined, as, for instance, il Nueva Ecija, whlere wages varying from P ).1 5 to P 0.20) are pail, witli tlle privilege of carrying away as 1111ll( rice as ('tul lbe put inl a basket. 'lThus a family of tllrce lmay w11 ork six (ays adll( get P2.70 in cash, and four or five cavalls of rice valued aIt P 10 or more. As a substitute, (laily wages of only P0.40 are paid.1 This system of harvestillg 0(1 slar'e is (lecried by all who llave male a study of the situationl f-rom tle colmmercial viewp)oint. In tile first place, it results ill exorbitant cost of tlie production of rice. In the secollnl place, a famlily working 1a month can obtain enough ri'ce to sllpport telll for six nm(otlhs, (luring which they need do 110 labor. T'lis is conduc(tive to laziness and vice. In welllpopulated sectionls (of tile 'Philippines dulring the harvest season there is an exo(duss to rice regions, sometimes a considerable (istane(' away. ()tftell wlole families leave their homies. On returning thley usually b1riig with thlem their share of the crop. At a. glan1ce it w(ould seem that this state of affairs might be changed by mIaclinlery, but ttius far tle mechanical iarvester hlas mnt beel( successful in the Philippines. In all 1 IFro tilh ecI olnolic retport of CelloL S. Monasterial. P001MIG THE HUDs: Wt A Loc; E TH, O D,.T..E:.N RICE' 2B lll"'"'; W _z' __i ISf~ I E _ _s~~ ~c I~ |~i "l(;it~~~I 3~a6l i! I I l so ~ ~ s WllNNOWINA(l WIT.H TH, WIN.D ~~l l~i l ll A * i g_* _ Mx_ i WIXXOWING RICE 31 EC( )NMI l N)TONS localities the, crop is- cut by hand, and in nearly all districts rice is tliresliedl by j)ounding or tramping it, although in thle Iaurge rii (-gil \Villgr regionis steam tibreshers atre coining into use1.1 Iliese chAanrge o1W tenthi of tle amiount threshed. Tu'le re-mo1(val ol tie( ]hull, aill lirfau is, the hinal step in the prep~arationl of ricey for okn If rice is to lbe used locally, thii~s is nearly alway-s dlone by hland in a wooden mortar and with a wooden pelstle, or in a (rude rice mill made of inucl anid bamboo. In exportinig region-s, such as the Central Plain (If Luzon,- rice mnlis have, been introduced in large numnbers, tlic prodlui(t Il~iiqgr sent awcay in the form of polished rice. Lxccp1t in large OCities it is customary among Filipinos, to store ricle ill, the usas it is sulpposed to keep better in this way. It is hiulled as lieC~ede. Whiere mills exist, however, houselioblers often take their rice to the factory one sack- at a time, an11d hiave this aimount cleaned. Ihlc charges, for milling rice arec usually 1 0 per ceiit (of the lamouint milled, or P 0.25 per, (aIfVail1.2 I hence the m.iill owner receives the greater p~rofit by milling (In the share. Inl ce~,rtain (listricts of the I'slands, fromt northern Luzon to MIiuandallo, a peculiar phenomnenon is connectedl with the sale of rice by ownlers (If salamounts of laud. Immediately after thec- harvest time 1)rice of rice is low, but with almost inconceivable shortsightedness,, tue simall farmners sell practically their whole cr-op to the imerchiants will control the trade. Soon the siiill amount (If rice that th~ey have retained is exhausted, an(l thiey llegin to buy back at a constantly advancing price whaIt thley h~ave( soIld, so that just lbefore the next harvest they have~ to pay tanywhere fr-om 100 toI 200 11cr cent profit to the inc,chiants. Th'lese small farmers, often squander the money receive..d fr-omi the sale (If their crop as s0011 as they have obtained it, with the result that considerable misery is cauxsed. Somnitimles the('y areC so improvident, or so hard pressedl, that thyN sell thieir crop in 'advance, at about half its nominal value. 1 Tere al-e 110w ab~out a hulldred thresiers hin tile Isla-rids. 2Firomu dlata at the Ilureau of Agricultuie. FO -) ROPS - EZ4CE 3 33 RI1CFE IMP10lITS Tlie amount of rice raised in the I'hilippine's is far from snitflient to supply local consump~tion. It was estimated by tue Buireaui of Agriculfture, that the local p)roductiml ini 1910 was abloit 530,000 inet-ic, tons of cleanced rice. In tim same vear. I 85,000 metric toiis of rice were importedl.1 In the middlle of the nineteenth century the Plnhlppines — were already' importiiiig a little rice. About 23,000 mnetric tons were importedl in tim year 1877, being 5.78 pcr cent of thie total value of imoi-ts. Since thene there has bccu a fluctutatinig but incerecasilu~r Mimiiiot. About 250,000 nmetric toiis of ricc, valued at over P1,0,000,000, and representing about 220 per cenit of the total impo-rts, were brouight into the Philippines in the Year 1912. 'Ible history of rice importations into the Phiflippinies anml of thic price of rice is graphically shown in Chiart 1.2 II Fig.I the, light angiular liine shiows thle actual imports lby years. Thle hecavy line is a smoothed one and show)Xs tile tendency of the lice trade over a perio(d of years.3 Thie lines of Figt. Ii refpresent actual prices aild the tenolelIty of prices respectively. lFromi the Smothiedl line (heavy) it will lbe noted thiat the pr-ice of rice gradually fell in the 1wriod 1-877-1895, that it jumped considerably in 1899, anml has, reimiained practically stationary since that time. Th'le hligh Price in 1912 is the result of general rice shortage. F'rom the sm-oothiei line ill Fig. I it is seen that imports 1rice increased, though not continuouisly, in amount from S877, the increase being particul'arly large, in the period after Illerican ocenpation. Turning iiow to the fine line sho~wing lhe year 191.0 may be taken as a usual one. Allowing an average coImiption of I chupas of rice per (lay for (1,,500,000 inhabitants (that is, the" umlation of the Philippines less the population of cornl regions), a total lilY consumption of 715,000 metric tois is obtained, which suipports thle r'11acy of the above figures. No reliable customs statistics are available for tile years 1896- 1898 The position of the smoothed line is obtained by averaging thle figures ice imports,., by sevens. The averages so obtalined are nioted by crosses. ECI(ONOMIC, ( CONDITIONS actual imports, we see tllt rice imlorts llave fluctuated greatly, and tllhat thelre are five periods of extraordinary rice iluportatioIn bletwVeell tlle years 1877 and 1912. Either of two coldlitiols miay have caused( these extraordinary importations - tlle 1878 1S 1.S 1882 84 1886 1888 1890 1892 1894 1896 1898 1900 1902 1904 1906 1908 1910 1912 CIIART I. PHILIPPINE RICE IMPORTS Censulls and Cu stoms Statistics price of rice in Saigon, or sllortge il the local crop. Comlpalilng the line of actual ilmports withl tlhat of actual price, it will he seen that they bear no constant relation. Imports of rice (do lnot tend to increase as price decreases, nor vice versa. FOOD C(1{10 -- 1 RICE It is probable that the world1 price of rice is not much affec~ted by the imports of the Philipp)ines; neither d(10 thle Philippines imuport larger quantities of rice when the price in Saigon is low. Extraordinary imiportations of rice would therefore seem to be the result of decrease in the local crop), and~ history bears ouit Such a coiiclusioii. lThe unusual importation of 1-879 was lie, result of the droughit of the seasomi of 1878-i1879. Theu l(arge import of the year 188,3-1-884 was caused imy thle enld of thle tobacco monopoly in 1881- (a-Md the comiseqimen t iiicrcased planitinig of tobac-co at the expense of rice ciiltivatioii) aed. by the cholera of 1882-1 883. The large increase in i-ice imports in the years 1-88(3-1889 was diie to the (irolight of 1885, to the "epizootia " (similar to or identical with rindlertpest), whichb began in 1887, ali( to cholera in 1888-1 889. The increasedl imports of 1901-1905 were occasioned by the rmnlerj)e~st and tile drought of 1903. The (lloight of ii 91P1-1912 broght about the last extraordinary illcrease(I ric impo)rt. Tbie local 'Crop of rice and corn iii 1912-1 913 was a very large onie in consequence of increased p~laniting am 1( favorable weati er coloulitions. 1-ence the imports of rice will probably again fall belAow the averagre.1 Extraordinary rice importations are ti e result of temporary olid1(itions. The heavy line in Fig. I shows the general inf'icalse in rice fimportation from 1877 to 1912, an increase wh Iich has been comnparatively steady andl which is apparently (vemi now continuing. The causes which have brought about IIis, general increase are permanent and miay be discusse(I - i1der four headiings. 1. First should be, mentioned the lack of work an inals. In pan and sections of Java a clarabao in a rice field is an imi~~tal sight, all steps in tile preparatioll of the soil being carried - ly hand labor. In the Philippines, however-, it is coiisidleredl -senatial to plow with a carabao, and hience, because o-f time -areity of animals due to rimlderpe-st, much of the rice lAd in ICPhilippines has been allowved to remain idle. 'Consult reports of the Insular Collector subsequent to 1912. 368 ECO(NOM(IC( (OND)ITIONS 2. \ctllal failure to cultivate iice lands often occurs even wlhere animals are obtainable. The mIetlhod of rice culture in the IPhilippines is s1c11 that it involves greater effort, disagreenbllIness, al mlonotolly tllhan most other work, and the status given tle tiel(l laborer is tle lowest. As a result there is a telldellcy to take up lmore agreeable work or to labor as little as possible in tlhe rice fields. Tlis condition has left manly sinall ho(l(liigs unlcultivated, and many large owners without lablor. Tlhe failure to cultivate rice lands can also often be laid at tlle door of tle large owner, who lhas preferred to live in cities rather tlhan superintend his farlm. 1878 1880 1882 1884. 1886 1888 1890 1892 1894 1896 1898 1900 1902 1904 1906 1908 1910 1912 PHIIIIPPI INE ILANS LAN COMPARATIVE INCREASE I A - __ tice imports '- - ' ' T.... tal exiports ' _1i._. CllART II 3. Another very important reason for lessened rice cultivation in tlhe P'lilippines is thle prodluction (t of cxport crops su81( as co(1a, l ca, t(bacco, b and sug(ar. lThese cr(ois re(luire less labor, andl tlhat of a moore agreeable characlter. I'le liigl pric( (rcceived f, al,;l(ac, tl)tatcc(o, (copra, alnd sugar, an(1 tie faci that less labor is re(quired or is more easily obtaine(l, have encoulragel landowners to devote their holdings to them rather tlhan to tle pollduction of food. And indeed it would seem tllat iln lllyi, cas(s tlhe net returns froml raising export crops anld impollrting food are greater, not only to tlhe landlord bui FOOD) CROPS — RICE that out of 910 well-known varieties but 25 are capable of a yield and quality commercially profitable. While there is often selection in the variety of rice raised, in but few instances is there any selection of the seed planted. Even though a certain amount of seed be put aside for the next planting, there is no attempt to pick out the best heads. Farmers usually take what palay is left frot hat stored in their homes, or they buy seed of any character. By cultivating the best varieties and carefully selecting the seeds from these, the yield of rice in the Philippines clold be increased several fold. c. Perhaps the most important factor in increasing the yield of rice is efficient irrigation. Leaving out of consideration the additional crops that could be raised by irrigation, and that would at least double the total yield from the land under cultivation, the benefit of a constant supply of water warrants careful consideration. The prime need of rice during its growth is water. Conditions in the Philippines are such that at the present time barnyard or artificial manures cannot be profitably applied to rice lands, but a constant supply of water assures a good crop on almost any type of soil which has an underlying impervious layer of clay.1 As a rule rice lands are dependent upon the rains, and much rice is lost here and there throughout the Archipelago in all years, and during seasons of widespread drought, such as occurred during 1911-1912, there is a general failure of the crop. These losses could be stopped by storage and irrigation. The methods by which the water may be obtained and distributed on the land will be taken up under a more general heading, but the question of the organization by which irrigation sy.stems for rice lands may be built can receive attention here. In certain regions local capitalists have built small irrigation systems. In a few districts such systems have been constructed by cooperation; that is, the fields which receive water belong to those persons who have together built the system. Here and there throughout the Philippines are found 1 Bulletin 22, Bureau of Agriculture, Manila. 38 ~~38 EIC( NOMIC CONDITIOINS anll cultivation of the soil are usually poorly done, this resulti) g fr t}he most part, flromn lack of suitable agricultural implemenlts; (c) pests, such as worms aId field rats, (1o no small amounlt of (lanage to the rice crop, and in exceptional years locusts (lestroy mluclli of the growinlg and standing crop. TN-CRmTEASE, IN 1)( oPUOICS'r I(DT TION Tlle only con(siderati(on which woul(l warrant tlhe importing of rice by tle Ph'lilippines is that under the tlird hlea(lingtlhe raisinlg of crops the )ro(ducts of which can be exported an(l exchallge(l for more rice tlhan could h)e grown locally. But such (a p 1)rc((edlre, whenl carried to the extreme, results ill (la dangeros s ituation, Sil(ce it makes the Philippines detpe)nellt uponl foreign supplies for foodl. It is an axiom of goo(l go(vetlrnment tlhat a country should produce as much,f its olwn foodl supply as possible. T11is subject cannot be treated lhere at lengtll, silc( it properly (omes uInd(er a more general heading (see Chapter XI), but it will be readily seen that if tl e crop in soutlheastern Asia (tle rice-exporting region of tlie wor('l) l)e selriously clurtailed by unfavorable climatic condlitions, political upheaval, or thle like, tlhe consequences would l)e extreinely (lisastrous to tlte lPhilippines. Such a conditiom was al)l)roachled in time seasonl 1911-1912, when there was a partial failure of tlie rice crop. A (onsi(leration of the methols bly wVllichl pro(1uctiolt of rice in tlie Plhilippilles could le increasedl is therefore extremely important. 1. iAn increase in tlle nuimber of work animals - arabaos and cattle - will bring into cultivation much of tile rice land no(, ly-ing idle. In several districts of the l'hilippines there hav\e been largei ilmlortations of draft animals from Asia, aiil a corresponh(lingly increased area (devoted to rice productioa. On account of rillerpest and other diseases existing in Asia this importation is extremely dangerous, however. Severlal outbreaks of rinderpest and other diseases have been directiy traced to infection introdulced in tlhis manner. Hence tlIt FOOD) (COS -ICE 39 importation of foreign cattle and carabaos las been carefully guarded, and the government has undertaken a cam)paign of quarantine and close supervision of the draft animalls in the Philippines, witl the hope that by tilsi means rinderpest will,1) eradicated from the Islandls, or, at least, hlell in control, 1and tlat no further infection from the outside will be allowed to complicate the situation. This policy lias for its plurpose illc rease of animals by natural reproduction and thle preservatiol( of those now alive, and will necessarily be ratheri slow ill blillging about tlie lesiIrc(l results. If successflul, lhowevelr, this policy will solve, as no otlher will, tlie prolblem of illreasilg farm animals in tlle Ihilippines. I1 tile ilmmediate fltulle thelre will b)e an increase in tlie number of animals available fori flarm purposes in certain regions. Suc11( regions arIe south11'l ILuzon and others in wlich railroads and good( rioads are being built. Here animals, which were previously used to tlrallsport exports frolm tle interior to tlme slilp)pinlg ploilits, will blecome available for work in tle fields. 2. A further increase in tlie yield of rice woutll( l)pe possiele it tlte cost of production could be reduced so as to give greater plofit. at. Tle largest reduction can probally be madle in lalrv\,sting. Tlhe sare system, by which tlte harvesters freceive as mlcall as half tle crop, and the resultant ill effect upon the w, orkers, has been explained. Bly substituting for this system;\ wage system these evil effects would be done alway wrti a1t1 Ilater profit would accrue to tlhe grower. It is probable that f rti -ter reduction in the cost of harvestilg could ble madle by i* l}loved implements. It is possible that better lhand iple-! iits than the slort knives now employed caii bIe devised.!, tlhe United States tle cradle is llsed to advantage. Tllis ' is quickly anl leaves tlhe grail in a conllitioln which facili1 hs landlling and( quick and even curig, Ibut considerable s:(lgth is required to operate it.1 I Iarvesters ilttend(led for tie t'.ialperate regions liave not been successful in tile 'lhilippines. 1 'lhe Louisiana Planter (August 6, 1910), p. 87. ~~~~~~i~~~ ~ 0 -~~~ CC 0 CCCC~ ~-8 ~ii ~ ~ ~ ~ ~ ~ ~ ~ ~~~~~~c CC C ~~~~~if ~ ~ ~ ~ C ~ CC C1AD)LINOu A FIkLD OF WIaFAT ortesy f Keller anh d Disq) _HA 4T:RkgINSAIOA C.ASADAA WBTssrnn J N MA HIS1914 AXD PHASD iN SiS(ySA Froml Blrighawt # Aornoerrial iweigraply 41 ECONOMIC CONDITIONS successfully employed in the Philippines. Agricultural machinery is al outgrowtll of nee(ls and experience. Nearly all of it originated in America, where tle problem llas been to cultivate large fields with little labor, and where hIorses are used. The 1prolleml ill tle Pllilippines is to obtain machinery suitalble for lanl soaked( witlh wiater, whllich cal be drawn by caral)aos or cattle, and which will be effective in small fields where tlie furrows are shlort andi tlie animals have to be turine(l manlly tilles.1 'Plows (laldtedl to (American fields llave failed inl tle lPhlilippilies l)eb(ause they (do not meet these (col(litions. I)rills for lplanltinlg thle seedl have not been sluccessful b1ecaIuse they are niot intel(ded(l to work in soil so poorly plowed as as c Philippine fields. ()On tle otler hand, plows whlich lave been cspe(ially ldesign:ed foir Ph'lilippine use lhave been successful in a nlumllber of districts. The matter of agricultural implements can thereflo1e blest be lmet in the IPhilippines either by adapting illmplements and machinery used in other countries to the local requiirements, or by devising entirely new ones. Tils opportunity is a larige one. b. Anotler ilmportanct consideration is tlat of seed selection. Tlherc ar1e many ulll(lred varieties of rice found in tlhe Ph'lilippines, nmost (f whicl are lowland rice. Some of tlhesC yiel(l twice as muchl as others. I1t most communities farmers have come to recognize tlie kinds wlhich give best results il tlheir partic(llar soil, but il many localities there is still but little attention given to the selection of the variety of rice planted. It has b1een estimated by thle Bureau of Agriculture '' Tie difficulty of the short furrow results from buildillg the dikes with straight si(les. This may possibly be overcome by making rounded dikes ovw which1 tlhe machine can be dragged. Plows, harrows, and drills can be pull' l by (araLbaos or cattle; bin(lers and sduch machlinery, which only work sati:factorily at a good rate of speed, may le pr()oplled by gasoline. All hea; V machineryy, 1]owewver, cami only be used onr firm grumnd. Most rice soils in the Pllilippines are suchl that during tlie plamltilng ^ I r'~ it will be noted that in the period 1907-1910 tile rapid decrnalsc in the price of abalca is coinci(lent with a rapid increasl i 1 its export. For tlhe purpose of comparing otler perio(l i' the history of abaca, the lines showing relative increase nll decrease in export and price have been placed together i1 Chart VII, and periods in this history have been indicated 17 EXPORT CROPS - COPRA 85 5abaca in value. This advance came about not only through greatly increased amounts of copra exported but also through its advancing price, which in the period under discussion increased about 100 per cent (see Chart XII). INCREASE IN YIELD Whiile the coconut industry is more flourishing than ally other in the Philippines, certain conditions which are liable to affect it adversely should be understood. Mr. O. W. Barrett 1877 1879 1881 1883 1885 1887 1889 1891 1893 1895 1897 S199 1901 1903 1905 '1907 1909 1911 Sugar............ Abaca -- - Copra -. - Tobacco -i-+ —+,X' " 40" I' "'. ""'-...' - - "20_ [.. __. CHART XI. FOUR PRINCIPAL EXPORTS OF PHILIPPINE ISLANDS Percentage of value of total exports of the Bureau of Agriculture has estimated that the coconut production in the Philippines could be increased one fourth without increasing the area of production, if proper cultural:methods were followed.1 Two plantings are found-groves owned by large land-,holders or combinations of landholders, and patches around the homes of small farmers. The matter of seed selection and "of ample space between rows and between plants in the row is of as great importance as in corn production, and has received as little attention from coconut planters. The growth i:: 1 See Farmers' Bulletin No. 17, Bureau of Agriculture, and the Philippine Agricultural Review. P" -4 i 6 ECONOMIC (O10Nl)ITIONS lin the latter part of 1912 there wvas a rise, in the iprice of abaca (not shown on Chart VII, in which the fiscal year i's uased). The low pr-ices winch abaca fiber was bringing greatly reduiced the amnount of strifpping fromi the old1 plantings. Dii)ring (irought the growth of abaca stops and ino petioles mature br stril,)I)ing. S one plantations were almost (iestr(oyefl in the drought of 1(911-1912. lIn others it wvas impossible, to strip fiber for several months. Estiniates p~lacedi the shortwgt at fromt 20 to 60O pcie cent of the previous ycar's ouitput. U1'1cio it appears that these two causes wmuldi result in a markedc~ falling off of abaca production. M~oreover, in 1912 the Ph1ilip)p~ines began to feel the quicikening pulse of industry in Euirotjr and America in increasedi demand for abaca fiber. Ifpio hadl not risen, enough fiber wouild not have been producedI tu~ mneet this demand. Even if buying firmns were in agreemenit they would have beent compelled to raise their buying price to the producers. lIn the space of a few weeks prices rose to tbw point at which they had been in 1907, an increase of 100 e cent anti over. As to a buying monopoly, nothing definite is known, thougil it has often been stated that a monopoly, controlling both thw Philippine and foreign markets, exists lin the abaca trade. It is obvious that suich a monopoly coildi be easily established.(I since the whole indhlstry is concenitrated in the Philippines. - I)r-actically in the two lports of Manila and Cebui, - anid aliiost the whole Iprodiuct is sent to London or New York. PROB3LEM.1S To BE SOLVED The problems of the abaca indlustry are as follows: 1. To raise the quality of the product. Time present loW grade results fromn the kind of knife used and fromt neglect during the process of curing the fiber. If the incentive of bji 1crt wages existed, better grades woul(I be produced by srp Such incentive does exist in the (liff erence in export price f high and low grades, but it does not exist in,the provitltid EXPORtT ( 10PS - ABAC' A 77 jmrkets, whiere ignoralnce and poor metlods practiced by buyers tend to encourage tlhe output of low grades by eqializing prices for a11 qualities of fiber. rhe grales of baaca should he so itatldaolieid tItlt fttoreigo Iterelthaits caii order thelir Iiber direct tifrom the Philippines, alid I know tlle exact grade vithi Ii tdlsy will re2et v At the pres-.cto tim e each foit kieets tot staunlards thili it has esttitblis ed. Te rgene ral sxlla(vIizatioll of ait,iia willdl seemit til( fIiuctiOrn of tile gioveriilimet, tltdu s;l)lullM l be applied nolt illy tto Maniila;isi Cebu lbut to 1cl p)rovinli al buiyii> ioetters. Expiits iII tle baling ol ers could easily cI ssy the biber adi cerltify to the Rl'isie. SlftlI a las- A SIMPLE MECHANICAi AiBAA STRIiPPEIt sd ~{>ationll wo~uld b)ei tlul(erasttlood III thle pirovices aindl the resnltlafit adjlstmnlltit of liriica wtolld eleotlrage Itle pr)lduetiti~u oif higher gralles.. To er tirease the size (of Iolitngs arild drease the numI)lr ot mioidl emei hiantlling the fiber. Thie preseiit systemt of sItI hoolngs is very wastefu l and the fier is mandledl by i tlanty i en before rea hitg fthe exporter. Larger, welle liivateil plantations in which there can be division of Ish), asui the prodnet of which will warrantt traslsportStion ECONOMIC CONDITIONS facilities to the coast, will prove more profitable and will yield higher-grade fiber. 3. To secure machinery for stripping. In the periods when abaca fiber brings a high price not enough labor can be secured to strip it. In the periods when the fiber brings a low price the laborers either refuse to work for the small wages received or insist on having a larger part of the product. The invention of successful abaca-stripping machines would solve the labor problem. Such machines have long been used in the production of sisal fiber. In the last ten years numerous abacastripping machines have been invented and experimented with in the Philippines. As yet, however, none of them has been successful enough to be generally adopted, either because they do not turn out a good grade of fiber, or do not turn out fiber rapidly enough, or because they are so large that tiley require much power to operate and so heavy that they canlot be transported, with the result that expensive provision must be made for carrying the petioles to a central point. In lilly or broken country or in regions of small, scattered plantations only the smallest machinery would be practical. Successful stripping machines of large capacity might ultimately cause overproduction and lowering of price, and would shut out small producers and encourage large plantations. FUTURE OF THE INDUSTRY It has been stated that the lowering in the price of aian;i has greatly affected the industry. From Chart VI it will li seen that the general export price fell from 36.6 centavos il 1907 to 19.4 centavos in 1911, a drop of almost 50 per c(lt which especially affected the lower grades. As a result, pr'), duction was greatly curtailed in regions such as Albay, wliern the lower grades of fiber are produced, and in the interior' (' Samar and in the Bukidnon country, where the cost of tidlSl portation to the coast is an important factor. In the lowll'al regions producing a high-grade fiber, such as the lowlands i t d I,~ ;~ a a ?it; T o c a %P S a ECONOMIC CONDITIONS Samar, Leyte, and Davao, the drop was not felt so keenly. In many localities in which abaca could no longer be produced(l at a profit the fields were allowed to grow uI1) in jungle. IIl some places abaca llas been grubbed up and the land planted to coconuts. At the lpresent high prices obtained for cop'a, this cultivation will be much more profitable than the growing of abaca, and will furnish anl export product obtained with considerably less labor. If the present rise in price of abaca does not give it a new lease of life, the industry will undoubtedly die out in districts producing a low-grade fibei uIlless tlhe establishment of simpler standards and their o,,servance by local buyers results in tlie increased producti(on of higher grades. The rise in price which occurred in 1912 was probably (ie to (1) the expected decrease ill production resulting from the low price; (2) drought; and (3) the prospect of goodl crops in the United States, which usually causes strong delmanl for binder twine. This rise in price has encouraged abac(at owners to renew their activity. In many places, however, they are unable, because of the lack of labor, to take advantage of the higher prices. As has been stated, strippers were depenlenlt for their living upon abaca fiber. They grew no food clrops around their houses, and consequently when the price of t11i fiber dropped below the point at which they were warraltel in obtaining it, these men left the "lates" and sought work il other agricultural occupations, especially rice cultivat ion Sometimes they remained in the same locality, but as o(te'l went to other places. Thus when their services were alo1i needed, many of them were no longer available. * Whether the present general increase is accidental or 0,1t which will continue, is a question which cannot be deci(dli t1 this time. The price of abaca fiber will always be gover'nsl by world demand and local supply, and will rise and fall,xitl the impulse of industry in Europe and America and witl i;,('11 weather conditions. With high prices even the careless ovr1111 and the producer of inferior fiber will make money. Wi11 EXPORIT CROPS - AIAACA 8 81 lowv market hie will be forced out of producing, while the carehii, systematic p~lanter and the producer of higher gradles will still' lind~ abaca a' very p~rofitable crop. I 'p to the last few yeartis alm-ost the entire exlport of abaca trout11 the P~hilippines has been flscl ini rope mantifacture, for Nvluiclh puirpose the lbest fiber has n() slu1stitute,. Since historic 1 imeus FAil1ipinos have woven aI cloth known as sinamay from the lfiber, though it is pr-oba(ble that the antount so used ill the Philip~pines has never been ove-,r 10 per cent of the total pro'ho(tion. W~ithin the last few years, however, other uses heave hwcut found for abaca fiber. The knotted yarn. used in the li)(hutctioll of sinamay has been (exjportedl ini increased quacntitWs, tobe imade in to hat braids, and coarse material f or stiffec-nmo, clothes. In 19l2 this export amnounted to P1,21,5~38 an1(1 the export of loose abaca fiber to PO'2,5637,020. For many vosa strong~ wrapling~ p~aper has been mainufa~ctured from o+d rope. R'ecently the waste from abaca stripp~ing hias been txloited for thiis purpose, and, with the low price of the fiber', thene has been established in one province (a factory which p)(ar~es and dries the whole p~etiole for shipment to thle I'llitedl States, where it is madle finto paper. Recently, also, hIpi' (strips of the fiber with the pulp attachedl) heas receivedl ('1s'-idcrable attention. It is p~robable that these new uses for -ha~ fiber are but beginnings. Its strength and its resistance 1\V 'uter comnmend it for art -use as nunch as for rope making, hiethe beautiful tones to which it can be dlyedl, and its hisi ij, imake it an. excellent material for art objects. CHAPTER VI EXP(O'RT ('ROPS - (OPRA II ISTIr( I-CAL Before the arrival of Europeans in tlle Orient the coconut paln wNfas alrealy a most important plant, and the meat, (oil sap, fiber, and other parts and products of the tree were bcini Tunl1896 1898 1900 1902 1904 190o 1908 1910 utilized. It is evident tl(at 460 440 WOL _ coCOInts were a large (1ol) WORLDlong e ti~ 420 COPRA PRODUCTION i Ceylon long before tle 400 IN TIOUSANDS- OF TONS (lays of the Por'rtuguese, fli 380 00o DRPPEDa o 360 Philippine share aupon their arrival they nll(ot 304 Statistics from L. ISCHEL&CO. that the southeast coast (i' 320 London 300 Lon the island was a vast coo-, 280 lnut grove. 'The I)utch "iiv1 200 240 great ilnpetls to thle indulllstr 220 in their Eastern colonies lv 80 enecouragilng tlle pIro(lll'tjti 1i6o _ tand1( export of coir fiber. 5 140 - As late as the first (quartir 120 100 _ __1 of tlle lilneteentll ceCl0lll! 80; W Europe knew little of t'll ^40 / c2111e W ^M.Yvalue and uses of co(,)lllu 20 i products. About that tilo'; 0 / 1/ certain captain of Aber,-lc'll CHART VIII took hlome a cargo of oii, li)1 had considerable difficulty in disposing of it. It was fil!Y bought by a woolen mill and utilized as lubricating oil The recognition of tile properties of coconut oil, \viiti has placed it among those most highly esteemed for hliti' J. Ferguson's "Coconut Planters' Manual.'" 82 EXPOR)lT CROP~S - C-)OPiA ou01sumption, did not come about until the latter part of the nineteenth century. lFor manufacturing purposes coconut oil wa-,s first utilized in. large quantities for high-grade soaps and (-ilndles. Because of the advancing price of animal fats (buticlard, and the like) there heas been a growing tendency to sub1stitute for them products from veogetable oils. (Cottonsee(1 anid peanut oil are -used to a large extent, but coconut oil, liccanise of all the oils it most closely resem-bles butter in its (cinposition, ani because of its high melting poiiit, is the niost suitable for the purpose. Various person andl countries la],Jin the credit for begin- 1896 1898 1900 1902 1904 1906 1908 1910 1912 nitig the manuf acture of imniml ttion. butter and lard from c(w)oiit oil. At the present 100 lieI, the most imjportant pro- 80 fii ((15 alld conls5lme1rs are 6Cenimany, France, and Eng- 60 Im.This indlistry is par- 40 tciiianly large iii Germany, Ok wliei-e millions of pesos are 21 ii vested in it, and an dlab- o O11csystem for producing CHR X IiCTOFWL)' iLL ~~~~~ COPRA S111P1\IENTS FROM TIHE (i (stirmuting tnc prod11ct PHIlLI PPINE5S Ins lbcen developed. N ot Statistics front L-. Fischel & Co., London iris, the consumption of t11, produc t increasing in these countries, but its manufacture nil u lse is spreading in other parts of Lmmrope and in America. li, lie mieantime increased anlounts of oil have been. utilizeti -tp andi candle mak-ingr, the large consump~tioll of whole liii hs continued, and the production of desiccated coconut 18 ((reasedl. As a consequence tile output of copra leas not If pace with tile increased demanad, and prices heave risen. T1 atdjustment of demand andl supply in tihe product of a bLfnecrop like copra covers a loug period of time. New juian: ilus f coconut palms produce full yields only after Uyears of growth. 84 ECNO )N1M I( (I()NI)ITI()NS PHILIPPINE It OI)ICTT I()N Coconut-oil production is discussed in terms of copra, sinllc it is this dried meat of the nut tlhat is exported to tlhe oilconsuming countries. The Phililpinles now export more coprll. than any other country. Chart VI 1 sllows graphically tlie gradlual increase of tile worl(l's 6opra export and tile porti c1 1900 1902 1904 19)0 1908 1910 1912 of it lwhich originate(l il the 11Philippines. Flrom 36 _ ---- (Chart IX it will be se(l that oin tie average t1lc Islands lhave usually )lle( 28 _ ------— _...... —.1_- - _ credited with about olln fourthll of tile world's,Ilput. Java exports lIav 20) -------- -------------- 1adlvanced relatively Imore an d Singapore expolrts 1"it --- —-6 - / -- relatively less than PIllii12 __.___. ipl)pine exp)orts. In g(l(leral, therefore, it may 1(' 8 ----- 7s- l — r — --- ------ stated thlat the Pl:ilil)4, _\_-/ - -__-_ ---- _ _ pines are keeping tll''i position as thle chicf ('xo~~~~~0 pl)orter of copra. CHART X. PhIII'IPPINE CO)IPRA EXPOIRTS IN MILLIONS o1? PESOS Statistics given llsII Custoinis Statistics ftfar ave lealt only Aw il tlhe amollunt of coopra; 1)11 if tlhe value of this exp)ort fro( tlle P'lilippines is consid(lei'r its importance is evei greater. T'lhis is slhown in Chart N. Callrt XI shows tlhe v'aying degrlees in which sugar, al11:('; tobacco, and cop)ra lave entered tlhe export trade of tlle lllilippines. Although copra in 1899 was the least imp)ortalli (>I the four staple Philippine export crops, in 19121 it excecl('( 1 Figures for abaca do not include knotted abaca. Since eight iinit.'i ( the cost of knotted abaca results from the labor of tying it, the reiti' positions of abaca exports and copra exports would be little changell 15v adding the value of fiber only. CHAPTER VII EXP(RT CROPS — SUGAR EARLY HISTORY Sugar cane as a wild plant is not known, but its early home was probably in Bengal or Cochin China. Botanical,::linguistic, and historic facts support this theory. Sugar was first mentioned 2 in Chinese writings of the second century::C.. In 86 A.D. the kingdom of Funan sent a tribute of I sugar to an emperor of the powerful Han dynasty then rul-:ing China. In the seventh century the Chinese emperor? Taitsong, carrying out a well-defined policy for increasing ithe prosperity of the realm, sent a man to the Indian prov-?ince of Bahur to study the methods of sugar making. The:embassy seems to have been successful, for when Marco Polo I:: visited China, six centuries later, he found that large quantiities of sugar were produced there. The industry also flourished in other parts of the East. Vasco da (-aina, visiting i.Calicut in 1497, found the sugar trade of that port worthy | of special mention.?:: While the sugar industry was thus becoming well developed ithe East, a definite knowledge of the product was advancing!westward, largely through the agency of Greeks, Saracens, and Venetians. About the fourth century B.C., Alexander the Great invaded India and is said " to have feasted on solid honey, not;made by bees, which was procured from the stem of a reed." the Greeks called the new substance " Indian salt." According to Seneca and Pliny the Elder the fame of both ndia and Arabia as producers of sugar was well established in 1 By Charles H. Storms. 2 W. C. Stubbs's, "Sugar Cane." 86 86 ~~ECOINOIMIC' COND)ITIONS of weedls, grass, and underbrush in coconut groves greatly redluce~s production, and, together with rubbish, dcad leaves, and (lead tree trunks, helps to 1)rovide breeding places for coconut pests. In important coconut regions one now sees, groves which are kept clean either to p~revent insects breedin or because coconuts are hard to findl in iunderbrnshi. Hloweve,C, in. most places bo0th large anid smiall groves, remain. llneleare(l(. The amount of copra pro(luced iii the lPhilippines is greatly'N lessened by pests, storms, and drought. The most destructive 181)9 1901 19(3 190 1907 190) 111 of the coconut pests 1 arec - a~~~~st follows: (1) insec(ts, (2) mamimals, (3l) birds, (4) (liseases. Of the IIIsects the beetles are V~ Pesos far the most harmfuilq,par100 ~~~~~~~ticularly the "nang," mr so _________rhinoceros beetle, whid attacks the bud of thc (0 -pjaln. -It is well ds 40 _____ ~~~~~tributed throughiout the 40IAI XI.11 LPIN OLI XOE.Pilippines, and has n`l",( P~jlICE PRmET~RIC TON caused a tremen d us flstomus Statistics ainount of damafeo ill oriental coconut groves and mrillions of pesos, loss. Another hiarmnful. beetle is the ieil weevil, 3which lbores into the trunk of the palmn. Zamibomnuiio', Laguna, and ( riental Negros are known to be infec_ ted K it, but n() serious outbreaks have -recently occulrredl. The rhinoceros beetle breeds in rubbish formed by d leaves, husks,, and the like, andl in old trunks and StuuI)1.-1 1 palms. The re(d weevil enters the trunk of thie palm in wounds andl lays its eggs. Th'le grubs bore cavities alId ficil> destroy the tree. Th'Ie p)reventioll of these wveevils rather 1,1 their slaughter is the only possib~le remedy, and lthis. miu~~ 1Philippine Agricultural Review, Vol. V, No. 5. 2 ()ryetes rhinoceros. Rhynchophorus ferragineus. EXPORT CROPS - COPRA eff ected by the elimlunation of all rubbishi and dead palin trunkcs andI stumps within andl near the plantations, and by the burniiio of all trees seriously affected by the redl weevil. Thus cleantilinles's is one of the first rules of coeonut cultivation.' lIn ('ci-taiii regions where cleanliness is 11 o)t oibservedl, loss to) thei c(),oont crop inay reach as high as 50 per cent. At J1imenex,1"'Z li~saims, a whole, coconut grove has been (lestroyedl by the rimoceros beetle. Several other beetles and weevils attack~ Philippine coconut groves, and there are scales wh-ich do MOIlc or less damiage andl often kill young trees,,; but the, (4estruectiveness of these in comparison with the two insects firsat mentioned is slight. Including these two beetles, there are, in the Philippines to-day at least eighteen insect coconut pests,,,, six of which are important and two of which are very (langerous. lin compainisoI with other countries, however, tile loss from such pests inl the Islands is smnall, and if care be taken, these can easily kI c-ontrolled. Certain animals and birds 'also prove harunfnil. Fruit bats, 1(0ukysan crwseat the fruit of the coconut palm. Ini spisely settled commt-unities the wild pig is a menlacle to VolIII g plantations, since it roots up and~ (levours the seedlinigs, dil ant be kept away only by meaits, of Strong fences. Thle. Wlpig is especially harmnful in the Moocountry, where ill 11igle night hundreds of trees, may lbe destroyedl in one, eif a hog-proof fence ha~cs not been built around1 it. 1 01(1 rot is tile most serious of all fungous 01r lbaterial (usattacking tile lpalui, and is known in all coconut regiolls. 1h!(itain countries, as (Cuba, it is a serious menace, andi the Ii ippines have suff ered one ladl outbreak in the last decadle. li1re is known for this (lisease, andl lalnmis attacked sholuldl o'miediately cut (lown and burned, or buried with limte,. \tiardiarydrougi ts are(, also injurious to cocoiiits, 1)mt hese seldom last a considerable length of timie, they (J0 1 the, Straits Settlements and in Moro P~rovince laws exist to compel ", S to destroy rubbish and other breeding places. 88 88 ~~ECONOMIC CONDITIONS not greatly reduce, the crop. In certain regions, howe-ver. typhoons are very destructive, particularly in the belt in whlich Capiz Province and. Samar are situated. The high windIs blow the nuts fromn the trees and. strain the plants thems'elves so that production is lessenle(l. In 1908 a particularly seve~ie( typhoon passedl over the region just mentioned. It is elstimatedl 1 that the prodluctionl of copra on. the islandI of lRonlul~cI for the year 1909, was 15 per cent of the normal, for the yomn 1910 about 25 per cent, for 1911 about 40 per cent, andl hoi 1912 about 60 per cent. This falling off was due to the eflee,(t of the typhoon, fromi which it is estimated it will take liNve years, to recover. Similar reports come fromn Samar ani the mainland of (Japiz Province. INCR1"EASE INS QUAITYv While the loss fromn poor planting and- cultivation, pests. anl (Irought is considleralble in the Ph3ilippines, the loss fromi poor harvesting andl (dryinig is the larg-est itemi of all.. The perceemtage of green meat is very large in Philijppiie1 copra. Green inut's are plucked for severlal rea(sons. In inm ov districts loss by thieves is very great, atill owners pirefer to he)( sure of the green nuts rather than run the risk of losing rip:' ones. (Constant ne-,ed of readly mone-,y causes the stma ll ovwhieS to pick the green nuts and cure them for imml-e'diate soleia. insteadi of waiting for larger returns from mature ones. The nuts in the cluster (10 mot ripeni together. In the system O)f cuttin g nults from the palml, howveverl, the tend-en~cy is to haIrvest all at one time. Coconuts shiould not be picked, cllt. thrown. down fromi the trees. Wrhien thecy are ripe they fil" o)f their own weight andl shouldl then 1)e gathered. The lhigl;s'tpriced copra in the market to-day comes f rom the Mlalabar e-*I~ of Indlia. In that region only nluts whichi have fallen to the ground are gatheredl, and these are alhowcd to ripen still ol on platformns for a mtonth or- more before being opened. 1 Report of 11. It. Marron. I~~~~~~~~~~~~!i i l| _ I I ( ~OPR_ a~ l l _ I |ta~r 5l~ i~ I IIGI I~~~~~~~~~BsB'~ l R il _ |i P-X I"I~B l jo:~CI Cllj~? I I:~i~ OB1,( l l | l _ B Bll. af. EC(ON(OMIC C( )N1)ITIONS Perlaps one third of tlle copra prolllced in tle Philippinles is sundried (Cebu copra); the rest is cured by the smokiill process known locally as tle " tapallanl." oth these metll)(ls are used in many parts of the world. Sundrying gives a better produlct, which can be used in tlhe manufacture of foods. ()n account of the presen(e of creosote in tlie smoked copr]a, tlhis brings a lower price. Expensive refining methods woulll b)e necessary to make it suitable for food products, and it is therefore useld principally for soaps, candles, and the like. Because of tlhe careless methods employed, botlh the sundried1 F --- 270 ---— i ~and the smoked copra get coverclt with dirt while being cured, a1d( 2(0- MALABAR - 20 — MALARA both contain such a high percellt— _CEYLON 250- age of water th-at much of tlhe oil —.-.SINGAPORE 240- JAVA is lost through tile growtll ()f -SOUTH SEA,'- MACASSAR STRAITS 11 230) — ZANZIBAR STRA o()lds. A better gradle of su1ln0 -.MANILA (ldied copra would(l e obtaine(l if it were cured on platforms raised above dust an(l dirt. A bettler 200 _ g- radle of "tapahan" would result if zinc sheets were placed unll(le (CAIART XIII. PRICI( OF (CI1'RA IN PESOS PIR TON IN LONI()N the copra while the fresh fiel DE'CELBER1,\, 2l1, 1011 (Illhsk and shell) is smoking,, 11(l Statistics froin L. Fishclel & C(o. b o ulltil a good bod(y of coals }ais forlmed. While creosote woult thus be eliminated, the scorching of tlhe product, whicl is one fault of tlhe system, weolll nlot be overcome, however. (rdinary 'lhilippine copra (1 -taitls from 10 to 15 per cent water when put aboard shii' Copra which will not deteriorate must not contain more tIl;tl 5 per cent water, allld can only be produced in commei',1i driers in whi(ch the moisture is evaporate(d by hot air or trhaps steam. Such machines are used in (Germany, Sai ';1 -French Cochinl China, and a few in Java and the Malay sti ts, At the present time Philippine copra is among the lo' istpriced copras in the market. The prices it has broughl i" comparison with those of other large producing countries ca11 EXPO(RT CROPS - COPRA 91 i)( seen on Chart XIII. As long as the present great demand for( copra exists, there will be good profit il tlle production (o tle inferior product now exported froml the Philippines. Yet to-day over 14 per cent of tle possible value of Pllilippile co)pra is lost by poor curing (see Chart XIV). Mnoreover, as tle market becomes satisfied, prices are goiln to (drop) and tie lower grades will be more affecte(d, just as tlle lower grades of MIIanila lhemp brougllt pro1ortionally lower pric(es inl tlie general sluiln of that staI ) c. T',e p1roblem, therefore, is llot only to increase tle v(alle (o)f tlle present co)pra export of the lPhiilppin)es 1)y lrloducing a clean white c('pra of low water content, ilstead of a product which (Tesily molds, but also to illt i(cipate the production of ai higler grade of copra in VALUE ATMALABAR PRICES tlher countries, whlichl will ACTALVALUE ACTUAL VALUE, _ _ _ __. 'lr'( (lowln the price of a l -,,,.,.,..,~~o.... LOS.S __ ___ _v I1 \-gra(le Philippine prod-,! Suclh a * increse AT XIV. VAiTLUE OF PHILI'PINE an rese A EX PORTS, 1101 (1P:lity will result from the t. F l ()., i' midmi ls' of mature nuts and tle ilii, 'luction of artificial driers. Tle use of ripe nuts may 1,) ')()ugltt about by educating tlhe coconut growers oin this 1'P 1., or through government regulation.l1 Large driers will!') tlle island of Cagayan de Sulu an American trader aln(l planter ''!.(' into an agreelmelnt with the Chinese traders for tlie purpose of ''' 'i..'raing the production of better-grade copra. By tllis agreement the i' ( i ('rs have to chop up their copra in the presence of the buyer. If it is i to be inefficiently cured, made of immature nuts, or smoked, it is not 't. If a Chinaman violates the agreement, he pays a forfeit. As a result 1'': I"ucers use only matured nuts and turn out a good grade of sundried ECONOMIC CONDI)TIONS lbe secured most readily by the large plantations, althoughi tbcyv ccan be erected lby cooperation amtong, smaller growers, or as private cenitral (Iriers to whinch local growers sell their coconults. Stich dliscussioni does not take ilito account imiprovemenitil presclit itne'thodIs of culring. -it miiiay districts the systeiii ol' bllyingo copran' otters mo induicemen-lt to tiel maker to prodlucc abtter (quality, siiice all gradles sell at the same prilee —. hon-e over, co-litimined mm mney a(lvaniccs c~om~pel the small produiccu1s to seltleilroictt ceti deles. his results in a kwhcl 1)0th of (coiipetitioii 11nd of. inicentive to prolIi~ce the best copral jpossible. Wer' e th ese eColLditiolis chfaniged, higiher-gradle copral mnight result-. DONMvs4TIC (iONNSUIAMPTIO N Thie outpu t of copra in the Phbilippines depends in nosml measure upon the piodluctioti of tubal. The owners of Visaauil groves, particularly those in localities not connected with thc mairk et by reasonably cheap transportation, andl it more profitable to produ1ce tubtli for local consumption. thani to grow copria' for export,. 1(o a considerable extent this condition is regulcatied by thie price of copra; for when the price rises, the tendency IS to allow flower stalks to yield nuts rather than sap. Thme local use of the coconuts themnselves, is quite large. In several localities, as, for instance, Ilocos, Suir and parts, (t Union Province, the whole crop of nuts is used locally o1 exported to other prloviflces for cuinaii(-ry purposes. Coconuit oil. is the fat whieh enters, to oreatest extent into the dlit of Filipinos, andi it is also employed loeally for many othlal 1purposes Sinee its value in p)roportioll to its bulk is miill' greater than that of copra, oil is often produced in regiollS remote from a copra market, since tile cost of transportiny ~ it is proportionally less. As such r-egionis are tapped by the, tems of roads and railroads now being construected, local i copra, while 0o1 all the niear-by islands the lowest grade of smoked COPVi bronghit to market (fromn lie report on Sulu (district, by H. C. Stant I1), The enforcemenet of very strict governmnent regulation has greatly iuupmvud the copra of German Sanioa. EXPORT (CROPS - COPRA 9 93 jqroduction will decrease. In a few localities from which tr aiisportation is (lear, the prodluct of the coconut palm is reduced to -alcohol by distilling the tubal. The large plantings of new coconut groves are taking hundi1'c(ls of thousands of nuts which would otherwise be nladle ilito copra, and the crop of a few regions near districts in which (Extensive new plantings are being madle is almost entirely sold oI'm seed. FUTUnET 0-F THE1' I N 1DISTE tN lit looking to the future of this industry we must first (oti1sider the possibility of competition of other oils. At the, }picseiit time (.,(coonut oil is prolbably more uscel thaii aniy other. h icreas~ed de-mand has greatly increased the price, anld consimiers will naturally look for celleaJper oils to take its place. (t thiese there are aft present only two:the pahn, oil of Af rica, which is not suitable for edlible p)urposes; ani(I the soya-beanl ()Il of Clhina and Japan, which, though cheap and good, is not,i siiitahlc for artificial butters and lards as (coconut oil. We tie thierefore safe in stating that at the presenit time, no veg(tkild oil. is knowi] wh-ich cani compete wvith coconul't oil, 'thle, PI1)i(llctiou of synithetic~ oil is so improbable as hardly to merit O"HSiflera,-tion. The whole question of the(, futnre of the co(ioult industry can therefore be limited to a (liscussioll of (.copra ee i.Chart X1I shows the inc-rease ini thie price of PhilipPII'.o~pra since, 1899. Whiether thle hig~h prlice now obtaiined opolra will continule, depenlds oim two things: (1) tile dCI'mio orprodlilcts of cocoin-it, oil; (2j) thle prodliietioli of copra. 1 I0 tNo keOjp pa~ce tile pricee will coiti timie at ispresenit h>Ipoinit. -if the~ (leniand i lcemase's in gre~ater proportion than ilUtput of copra, the prnice, will ri'se still higher-. If the "otincreases faster thani the demiand, the price will fall. 1,O ing froin the present uses of coconut oil, and the widler eci1 oation of its products, the demand is going to increase W terfully within the next few vears, and it is probable that inmediate future the price will rise. Onl the other hand, ECONOMIC CONDITIONS maillions of new palms have been planted in the tropics, and~ soon there will be a big jump in the amount of copra produced, which will probably bring (lown the price again. Yet even with greatly increased production it ispob~ that for many years to come copra will be one of the nmost profitable crops of the Philippines. New plantations set c)iti by farsightedI ilidividluals several years ago are i-iow begiilninog to bear. Each cear ffinds a larger p)lanting of new paints, and interest in time in(Iustry is increasing constantly. Witih better incans of translportation, new areas suitalble to thecomit are bcing madcVl avTailable. At the present tinie only ia fraction of thc coconuit lan(ls in the Philippines are utilized. Mindai ao( contains, tli onsan~ls of 1 ectares of such land. U liondoc peninsula may becom-e as great a coconut grov( as the region of Tayalbas around M\t. Ilaianahao. Palawan, thec highlands of Ciavite and E1-aginna, S'orsogon, M/indloro, Paniay the S ulu Archipel'ago, ai ( numerous sniallicr areacs, offer 01l)1)1 tunities for coclonut plantinig. Better methiods of cultiva, t - ing the tree and( of making copra are constantly being seel throughout time Islands. G roves in Tayabas which were fe merly littered with rubbish and overgrown with underbruishl n ov presei t clean, straight rows of lpalins. Tihe tendeuce' to use rip~e nuts rather than to cut nuts from the tree is "-;4i here and there. Artificial dIriers are now 1)eing introducedl. In many cocoinit (listricts there seemis to exist a deieo' learn better umethods. ECONOMIC CONI)ITIONS Europe by the first century A.D., although but few Europeans had at that time ever tasted the substance. The Saracens carried the cane with them in their advance across northern Africa. Through the Saracens, the Venetians became inter. ested in sugar as a commercial product. These two peoples introduced cane culture into Arabia, Egypt, Nubia, Ethiopia, Sicily, and Spain. By the end of tlhe thirteenth century the sugar industry was well known in China and India and in the countries surrounding the Mediterranean Sea. Sugar was not unknown in England, but was still regarded as something of a curiosity. In the Middle Ages, Venice, then tie commercial leader of the world, became the center of the sugar industry. The Venetians carried the sugar trade into England. In 1319 was recorded the first sugar trade in the English market, in which 100,000 pounds of sugar was exchanged for wool. At that time sugar was valued in Scotland at from 75 to 80 centavos per pound.1 At the present time the price is from 8 to 10 centavos. Even at this early age the Venetians recognized the possi. ble advantages to be derived from improved methods of production, and rich prizes were offered to stimulate inventive ability. The Venetian inventor of the art of making loaf sugar received a reward of 100,000 crowns. In 1503 the Venetians introduced into Europe the art of refining sugar. Thus during a period of fifteen hundred years the Indians, Chinese, Saracens, and Venetians each played an important part in the advancement of the sugar industry. The industry then fell into the hands of the rising powers, Spain and Portugal. In 1425 Dom Henry of Portugal sent seed canes to the Canary and Madeira islands. After the discovery of America, Peter Etienza sent cuttings to the island of Santo Domingo, from which cane was carried to Mexico, South America, and northward into the newly opened territory of Louisiana. For 1 " Sugar in Louisiana," Century Magazine, Vol. XXXV, November, 1887. EXPORT CROPS - SUGAR 97 three hundred years, however, the Canary and Madeira islands furnished a large part of the sugar supply of Europe. Until the latter part of the sixteenth century sugar was used principally as a medicine. The demand was therefore limited, but was greatly increased by the introduction of coffee in 1575 and tea in 1650. The failure of the mines in the New World had caused a large number of disappointed seekers after wealth to turn to other enterprises, of which sugar production was by far the most attractive. The climate and soil of the West Indies were known to be well adapted to the growing of sugar cane. Indian slaves were used for laborers at first, and later negro slaves were imported. To quote from Bourne, " The development of the sugar industry and the growth of slavery were dependent on each other. Each sugar mill, run by horses or mules, required thirty or forty negroes. Each water mill required at least eighty negroes." In 1595 a company1 contracted with the government of Spain for the exclusive right of importing slaves into the Antilles for a period of nine years. They paid the government 900,000 ducats for this monopoly.2 From 1680 to 1786 over 2,100,000 Africans were imported, largely for use on the plantations. Sugar brought a high price in the European markets, and the trade grew rapidly. The port duties on Haitian sugar alone are said to have built many magnificent buildings in Madrid and Toledo.3 Tile many European wars of the eighteenth century forced Spain and Portugal into the background among the world powers. England became the mistress of the sea and the leader of the commercial world. The control of the sugar supply of Europe passed from Spain to England, where it was destined to remain until Napoleon, the bitter enemy of Eng-!land, should develop plans which would cause a world-wide distribution of the industry. 1 E. G. Bourne's " Spain in America," p. 273. 2 Ibid.,!: 3 Freeman and Chandler's " World's Commercial Products," p. 84. EXPORT CROPS - SUGAR 105 This policy of government aid has produced revolutionary changes in the methods employed, since the government will extend assistance only to those planters who make use of every approved modern device for reducing the cost per kilo of the sugar produced. Formosa has thus acquired an up-todate system of sugar production without passing through a long and costly period of experimentation and failure. This result has been attained by a careful study of the methods employed in different countries throughout the world, and by selection and adaptation of methods which seemed best suited to the needs of the Formosan planters. In Formosa the old three-roller mills with animal power and the hand ladle for transferring the sucrose have been replaced in one step by the twelve-roller steam mill and the electrically driven pump. IISTORY OF SUGAR IN THE PHILIPPINES There are no reliable data concerning the introduction of sugar cane into the Philippines. It has been suggested that certain varieties came from Java, others from Formosa, and that at least one kind came from Tahiti, brought, presumably, by the Spanish.1 In some sections the primitive implements used in cane culture still bear Chinese names, which suggests that the Chinese had much to do with the establishment of the industry in the Islands. For three hundred years after the arrival of the Spanish, Philippine sugar was of little commercial importance. Sugar growing was confined to the provinces of Pampanga, B3atangas, Cavite, Cebu, Iloilo, and Negros. Finally disturbances in distant sugar-producing areas interfered with the world's supply and created a demand for the Philippine product. During the Crimean War this demand caused local prices to advance::to $11 and $12 (Mexican) per picul of 1371 pounds. While:this price did not hold for any length of time, it served to draw the attention of sugar brokers to the Philippines as a 1 Philippine Census, IV, 26. 98 ECONOMIC CO1NDITIONS 1BIETr SUG(:AIR AND TIlE BOUNTY y SYSrTEM 'I'llis wide distriluiatiol (cme ahl)(ut tllrough the perfection of a process for extractilig tlhe sugar contelit of beets. While the sugar beet liad(l eenl knownl to Eur()pean farnlers for over two hundred years, a practical mnetlhod of extracting the sugar was at that time a comparatively recenit discovery 1 and its possibilities were llot generally known. The continental sugar supplly was greatly reduced s as result of the Berlin Iecree (1805) and tlie Millal )ecree (1807), since thley caused (a Englishl blockade of tlhe European ports under Napoleoi's colltrol. Napoleon plannell to slupply tlle consumers of continenltal Europe witll suglar fromw tlle sugar beet and appli(,(l tlle stimulus nllecssary to insure its cultivation. By Napoleon's direct orderls about 80,000 acres were planted to beets. T'le price of sugar in Eluropealn mnarlkets was ralpidly advancing. Tlhe productioln of sugar from tlle beet offered an attractive and lucrative ( lcupl-ation to many of tle inhabitants of Franee(:' and tle (ermanit states, and thle beet-sugar industry becane quite imlportalit in tlh)ose coulntries. lThle overtllrow of NNa)oleoll remnove(d trale restrictions,:al consequetllly thle price of sugar dle(lined to a point at wli(lch many of tlle farmers coullll not pirofitably raise beets. A few ill France,persisted, andl some Flrenchlmen conitinued to Imunifacture sugar. T'lcy were able to compete with cane-gro\wi'ii' countries because of their imlprovted methods of cultivatii( and manufacturec. Tlie indu(stry was 1not important, howc\ er. and(l in 1 829 a 1)ro(lduction of 4000 tons was reported. In 1:l tle industry was 'revived( in (l ermany and( after 1840 mai('; rapid advanIce. T'e )bounty system was adopted by (ler!; li 1 In 1590 ()liver es Senes records the introlduction of the red beet iiit" lIurope; in 1747 Marggraf obtained sugar from i)eets but at eliormolli- xpense; in 1797 Achlard inv(elted a siInl)ler method of extracting sugar '!')1 beets; ill 1805 Baron (de lioppy ilbuilt a factory in I lower Silesia, the auiiN11: output of which was to be 525 tons; in 1810 Aclhard built a factory, pr, ilucing muscovado at a cost of Is.. d. per pondl, alnd white sugar at 1s. ('I per pound. - Freeman and Chandler, " World's Commercial Produ( ts, p. 103 ---108. EXPOT,CROPS - SUGAR9 99 ill 1884,1 and other countries of continental Europe quickly followed her example. The plan for encouraging sugar pro(luction varied somewhat i (lifferent countries, but the essential features were thle samle. The government placed a 1836 18 1 1889 190 hteavy tax on manufactured TONs 18 slugar, but if the product was presented for export 16 tllis tax was returned and /, SUGAR il addition a present was giv(cl the grower for each toi exported. lndler tlle lrl(ei'lc law, sugar used 12 it l)ome cost tle grower, illdlling the taxes, about 10 P0}.17:] per pundll(. Sugar t'm e'xport cost from P0.076 8 to P0.096 per pound be(calise of the rel)ate.2 6 'The results of the bounty!sst em may be briefly stated 4 *Is follows. The amount of Ixlt sugar exporteld more tl(n dloulbled in five years. 1f' tlie slugar found in the i 'ilds markets at thllat CHlART XV. AMOUNT OF SUGAI BEETS tliltl about 60 per cent camle NECESSAIRY TO UE TON OF t' the sugar beet. Ger- S(:lt in 1088-1 proucd Data from IFarnmerls' BIulletin No.:)3,":l v in 1881 prolducedl t 4' (i:i5,000 tons of sugar; in 1885 tlie yield was 1,150,000 OlI, ()f still greater importance was the fact that world-wide ltt tion was drawn to the beet-sugar industry, and the aid of I;lyclopedlia Brittanica, XXII, 625. iT'ts producing 71 per cent of their weight in sugar were taxed $0.05r14 ' 1 ' tm(ld. Yields exceeding this and up to 10- per cent paid half this rate. i" ';: above the last percentage paid one quarter the tax (French law of WiS..}), 100 ECONOMIC CONDITIONS experts was enlisted in an effort to lower the cost of prolduc tion. In about fifty years tle yield per ton of sugar flom beets was advanced from 5 per cent to 12 or 15 per cent.1 The use of the diffusion process of extracting the sugar assistedl materially in securing this result. Perhaps careful s(edl selection was of even greater ilmportance. Th'e bounty system proved of unexpected assistance to tl, people of Englalid, blecaulse tlle Frenchl and (German consellis (() hlad to pay aboult 12 cenltavos more per pound for sullar than tleir near neigfhbors, tlle English. Tlle latter were quli(kl to use this adlvantage. Tlhe English farmers devoted tlheir lands to tlhe production of fruits and berries, and the capiti:lists erecte(l huge factories for canning fruits and the 1lmaIlfacture of jellies, jamls, and candies. It is estimated that tlics( factories furnished elp)loyment for over 250,000 people.2 A\1 continental Europe was forced to l)prllllase its sweets froll tli' English. Hence tlhe local consumers in continental Europe had( c(aulse for complainlt. I'lhey hlad to pay P0.20 per pound for sulgar wlile across tlhe (C allnll:l ill England thle same article (co,11 be purchased for P0.08S. Tlie Englislh cane-growillg coloiu(s also complailned because thle boullty-fed sugar lhad stolell l'roi, them tlle lhone market. This state of affairs seemed unaturlal ill every way aWIl could niot be illletillitely continued(l. After a time public opliii"l outweighed tlhe iilhence of thle beet growers and tlee Eii.lisli manufacturers of sugared products. Eglland called a calel'" ence at -Brussels in 1892. IRepreselntatives of all tle pw('e' Il 18:-; it took 18 T. bleets for 1 'I. sugar. In 1850 it took 13.8 1'. beets for 1 T. sugar. I11 18(0 it took 12.7 T. beets for I T. suigar. In 1889 it took!).25 T. beets for 1 T. suigar. From 5 per cent of sugar, as found by Marggraf, the sugar beet (il.". i quality has increased to 15 per cent and more, and 12 per cent is coll'Sil-''t necessary for profitable manufacture (Mary Hinian Abel, Bulletin 9-;. *d!1'1 Bureau of Agriculture, Washington, D.C.). 2 Review of Reviews, XXVII (February, 1903), 227; Scientific Aci'E'! (Supplement), LV, 22, 734. EXPORT CROPS - SUGAR atte(lned. A union of all tle important beet-sugar-producing c(,lllltries was formed, and a plan of action was ratified. It w\as (leeidedl to abolish the bounty system and establish a uni)on' ( customs duty of PO.10 on raw sugar and PO.11 (ln reincl(1 sllgar.1 liRussia alone (lid( not consent to tllis plan, because 11ld1('l' tllhe b)ounty systCem1 t11he Rulssian sugar ild(llstry waS dlve'll)piig at an amazilng rate. Sol(me colltries still levy a ( otity o, R1ussias suIgar equal to tlie amounlt pai(l by the gov(rlmelllnt to Russian beet gro)\ers. In 1()07, liowever, llussia \;s a(lllitted to thll ullionl witll the ullderstandiillg tllat Russian s11"(ltar cxplorts westwar(d were\ not to exceed 200,000 tons per y!(a(H. In 1912 arrangements were lmade for sulpplementary (xpo(lts in case of sugar sheortage i1n Europetn markets. The l tnchli and (German sugar p)ro(lducers (1o not now receive a I,,llllty because they lhave reduced beet-sugar i)lro(luction to (al (,conomical 1basis not yet ol)tained by tlme majority of the ca(tl(-sllgar producers. The modern beet-sugar factory is a Il vclous exanp:lle of a productive organization in which waste i(11as b)een reduced to a negligible factor.2 It is probable tlit tlie. continental countries will revert to a modified form I' tlce ibounty system if changing conditions should make a I)()lility a necessity for the beet growers. DIECLINE OF THE A CANIE-SIGAI INDUSTRY \ iile science, wealth, and statesmanship were uniting to t('l l>1 isli securely tile beet-sugar industry, a far diffelrent state ',I ta:lTlirs existed in the West Indies, then the chief source of I'llI V of tlie sugar from cane. Tle position of the planters )ill1, will be understood after a brief glance at their history i1ll 1c inleteenth century. During the early part of tlle ''ii illtll (century England controlled tlhe sugar market of ll(> \\' st Indies. The industry at that time yielded imlmense ";iItifit American (Supplement), LV, 22, 734. i i' la lescription and details of the manufacturing system, see Miller's ("'l.'cial Geography," p. 29; and Nesomn and Walker's?" Handbook on ' ^;lr Industry of the Philippine Islands." EC(ONMIC CONI)ITI(NS profits, because tle co((litions were favorable. The profits wIre invested, or slquadl(lerl I, abrloadl.1 Te plantelrs made ]it]tl attemplt to )prepare for periods of deplression. In 1834 the Englishl goverlinent proclaimed tle elmancipation of tle \West Inllianl slaves. Tllis was a blow to tlie planters because tlhv understood no labor but slave labor.2 The measure of selfrestraint necessary in dealing with free laborers had never beenl cultivate(d by theml, and troubles between p)lalnters and laborers often arose because of tle violence of one or botllh pa'ties. Moreover, tle negroes did not kno)w bow to labor as 1're Imel. lTle were careless of tleir contracts with tlie pllaters, and often at a critical period woulll not labor at all unless paid a large additioial sum. Thus they discouraged tliei'r '1mi)loyers and destroyed thleir own lmean of obtaining a (l(dcllt livelihoo(l. Th'e governmlent paid about P20,0,000000 folr tle slaves. This money was also expended abroad, and when laor(, an(l otiler troubles na(le read(y money a necessity, the planters were almost ballkrupt. IThe usurers supl)lied the money, but at ruinous rates. Political disturbances were of frequent occurrence in (llli) lduring this period. Suganr mills were burned and landls laidl waste by olposing armies. lThese losses -ruined ]anly I)lpllt:es aldl dislleart:lle(l otlers. Thle revival of tile beet-ssugar ildllstry in (Cent ral EIurope gave a sugar supply greater tlhan tli( ilii-e(liate (lemluadl, anl tle \Vest Indian plroduct was cro\nw'(tl out of tlie nmau'ket. Iecause o(f tlhis c(ondlition anld of antilquateod mletlodls, the plallt ers (coull(l not make sugar at a cost to e(naild' theln to compete witl tlel enlergetic, restoulllrcel 1rodluc(',s,l Ibeet sugar. In thle face of a most dangerous rival, thle co((lliidl govermlllllts all(l tlue planlters asstumed for a time a listlesIes' whlicel seelledl to meuan tlle elvetual r'uin of tlhe industry. lll' )production decreased at an alarlming rate. 1 Morris's ** History of Colonization," II, 57-58. 2 Ibid., p. 197. EXPO R)T CR(O)PS - SUGA I( 0A I ()03 RESTORATION OF1 THE: (CANE-SU(GA: INI)JSTIRY Early in thle twentieth century, however, we find canle growers ulnited( in an attempt to reistablish their pro(luct ill its oldtille position in the world markets. In fact, sugar-cane growers thlroghout the world are n1ow aldaptillg to local llee(ls many (o thle devices of tlhe beet-sugar manufacturers. Tley are also spenllding fortunes ill exl)erinmenltilg witll lnew l)pr(cesses lookilngr t(vardl tie elimlinatio(l (,f waste in every f'ol. (va, Cubla,;lll I: awaii are tle leaders 1in tlhe restorat(iol of tlie ('a11ne-sugar il Ilstry. Jlava long prospered (luring tlie period of its fo(rce(-labor systlem. Even during that period the sugar il(lulstry was rcgarl(ledld at times as " an intoleralle bulrden." 1 'le cllage 2 to fl(ie( laibor began in 1870 an(l was colll)leted in 1890. B1ecaulse ~ti igorance and mismlanagelment manl y of tlhe factories were 1111 for years at a l(ss. As a rule tlme Javanese are slow to alolpt new methods, but a marked change of policy has been;al)lparent in recent years. Tleir sugar estates are large, anil nills of the latest model are 1)ei:ng installed. At presenlt tlere til' ilearly 200 mills in tlhe islandl. They n(ow export over 71,t)000 tolls a year to India, China, and Japan, and may ie'rease tie amount to 1,500,000 t(ons. As a resul t3 of tile Sl';lisli-American War mucll of the llhilippine sugar formerly S'tl! to( China is exported to Amlerica, andl I Iongkonll ilmporters;ll sllpplying tlie deficiency by p)urchasing amnually from1 Java;l (',nstantly increasing amount.4 I'otir to 1887 tlhe best Cuban mills extracted (63 per cent n' t i~l juice of tle cane. Recently mills have been installed \\lii,i exert a pressure on tile cane of 500 tons per square i.l,. extracting 95 per cent of the juice and leaving tlle 1''l(se practically dry. In 1909 one Cuba( company threw (Oll ''liparatively new maachlinery costing' nearly a quarter of a i 1nllal lelport of the GovU)ernor Geerl (,f Ja.va, 18134. I )ay's f'Tle )ut ch in Ja.va,," I.:33;. 'lie L.ouisia1(0a I'(1Pl(tcr and Su/ar I Matmfctu'rer, August 6, 1910. 'he International Sugar Journal, XIII, 147. ECONOMIC CONDITIONS minihon dollars in order to install the newest miodel. The, samlne company operates 50 miles of railroad extending through the ii1 fields. The cane, is not touched by the laborers,' hands fromn the tume it is place(I on the freigo'ht car in the hield until the ash 1 of the bagasse is removed from beneath the furnace. It is thusio evident that a uodlerli cane-sugar mill is, an expensive affair,1. The fact that new estates are being op.ened uip in Cuba, anui that the cultivated area of the older estates is being enlarged, would indicate that the industry promises satisfactory profits. Hawvaii is probably the most piros1erous of the three lea(ding suigar-produicingc countries. Ifter planmters have keen. business ability combined with enlergy and forethought. Wlioi conditions have been unfavorable, they have procured flie imecessary changes. They unite to expend vtast sums oni cxjperimients. They cmnpl oy the most economlical uiethodls (d growing, han(Iling, and working uip the cane. As examlnfls may be cited a recently p)erfectedi process for the rapid chii-i(fication. of sugar and a niew system of recovering the sug~ai formerly wasted in the molasses.1 0n many estates thie (lOO5e are floatedl to the, mills in ftinies of itrunino') water whlich uni"v '7 -also be iise(I to irrigate the fields. Tlhe co1st of produictioii i H awani is sai(d to he lower than in 0Java or (nuba. HawaiNvl11 sugar enters thie 1I1 Tuited States duty free, a p)rivilege wvoili about $3,000,00(0 a year to the Ifilawalnian planiters. The sugar maills of Formosa are of interest to the p,-eot)]l of the l'hilippines, sline thie Formiosan planters, are their ne',iiest alid umost favored (competitors. Thie suigar illdhstry wai- 1il important one ill Formiosa long before thle (lays of Kox)\ Koxinga, the DIutchl, and thle (hliinese all gave, it somle cutuPol! agrement. In 1 9() ftIic, 4 ap-an se g( veruncllt enactedI loW` very favorable to cane culture-,, w~nhi( includedI the leagovernmlent land, rent free, fiiancial aidl to enterlpriscc lii1 ploying the most mnodern meth ods of culture and mia 11,1' ture, an(d modern sugar mills erectedl and loaned to the plai (> 1 FatrEascrin keview (Doecember- 1911), Vol. V111, No. 7. EXPORT CROPS -SUGAR 107 eighteen provinces, with the island of Negros far in the lead. Conditions in Negros at this time were ideal. It had cheap labor, plenty of work animals, and, when necessary, American and English firms supplied the working capital. The methods, however, were primitive and wasteful. In 1897 there were in the Archipelago 3000 plantations, each swith a small mill. In Luzon the share system was popular. The landowner not only leased to the tenant as much land as he individually could care for, but also provided carabaos, wooden plows, and other farming implements. The tenant received from one third to one half of the sugar, but the cost of crushing the cane and making the sugar was deducted from his share.1 In the southern islands the laborer received a stipulated wage per day, usually from P0.20 to P0.50. Many children found employment in the cane fields. PErISISTENCE OF ANTIQUATED PHILIPPINE METHODS Since 1897 the sugar industry has not been profitable. All productive work was demoralized during the political disturbances of 1895-1899, and we have little reliable data covering that period. In 1901 the exports were only one third of those of ten years before, and the renewed activity shown in other lines of work is not found in the same degree in the sugar industry. The reason for this is plain. While the planters in other countries have been reducing the cost of production, usually by increasing the number of tons per acre obtained from the original expenditure, the planter in the Philippines has faced a gradually increasing cost per ton of sugar. To-day the cost for the average farmer is nearly double that of twenty: years ago, while the price in the world markets is held fairly steady by the competition between the cane- and beet-sugar 'I interests.2? China and Japan with a small shipment to the continent of Europe (Census I: of the Philippine Islands, IV, 30). 1 Foreman's " History of the Philippines," p. 313. 2 The Philippine Census, 1903, IV, 32. L:?(:~~ EC(1YNOiRGilC (0-NIAlTl(O)NTS possible source of supply. The opeuiug of the Suez Cantal in 1869 also increased the importance of the Philippine su~gajr fields, Since it lbrought Manila within less than 1.0,000mie of Liverpool. Thie general effect on the sugar industry ma1"Y be seen in C(hart XVI. In 1877 a British firm estalblishedl a sugar central at Mmudalnyon on the Pasig, about three miles froin Manila.Th 1864 '06 '68 1870 '72 '74 '76 '78 1880'82 '84 '86 '88 1890'92' '94 '96 '98 1900 '02 '04 '06-'08 1910'12 T,011 s 1(0~ 260 CHART XVI. JPhIIPPI1NE SUTGAR EXPORTS QUANTITY IN THOUSAND)S OF TONS Census and~ Cuistomis Statistics plan was to pump the cane juice from neighiboring mills to 1.lii' central thirough pipes. A fleet of schooners equipped ~N ithi tanks was to bring the juiice fromi the miore (listant mills. It was hoped to extend tbis service as far as the Visayan Islaim is. Tihe mill was unpr-ofitabl~e aind wits csein 1,880.1 In 1 893 the total pro)(hlctioIn of sug~ar was 800,000) tons. d which 26b1,686 toiis \xere, exportedl 2 The suipply came jI l11 1 'oremain's 11The Philippine Tslandls, 011 edlitioni, p. 3 12. 2 In, 1893 the Uiiite(1 St4ates and Canada took about 30 per cent of i exports, Great Britain 37 per cent, anmd the balance was divided betrel ECONOMIC CONDITIONS his small share of effort, spoils it before it reaches the chan. nels of trade. Most of the tobacco raised by the small growers reaches the factory agents or large dealers through buyers. Some of these men buy all classes of tobacco regardless of its quality, and, in certain localities, the fixed rate paid for all leaf during the monopoly still persists. Just as in the abaca trade, the pro1909 1910 1911 1912 ducer, not receiving a correspondingly high price for Pesos better grades of tobacco, is 60 given no incentive to produce other than the low 50.0...^. quality. There is no need 4/, of his expending effort to 40 >.,, produce a high grade of to/ bacco when with less labor 30 he can make as much money from a low grade. Even 20 -- when the grower sells by quality, the buyers classify o 10U Stat-s the leaf as low as possible, ---—... United States./ ~ ~ -_ t~ nAll Others reclassifying it higher when o0....... --—.- they sell it. CHART XXV. PHILIPPINE CIGAR The pernicious system of EXPORT; PRICE PER THOUSANI) advances which applies to Customs Statistics all Philippine industries is particularly in evidence in the Cagayan Valley. The ignorant planters are at the mercy of the small buyers, who lend them money on growing crops at exorbitant rates of interest, compelling them to hand over their product at an exceedingly low price. Hence it is that the ignorance of the small farmers in the Cagayan Valley results, first, in the production of a tobacco of much lower grade than should be grown in that region; and, second, in the farmers being imposed upon by dealers and kept in a state of poverty with no incentive to improve either their product or their lot. ECONOMIC CONDITIONS The fluctuations, decline, and rise in the price of Philippilne sulgar may be seen on Chart XVII. From 1877to 1895 the dowlward tendency may be explainel by the presence il the world's markets of a constantly increasinlg quantity of beet sugar. Maly reasocls -for tle ilicrease(l co(st of suglarl prodluction lhav een givenll. A1oi11ng tllose lmeltilie(ld (are tlet incl(reasing cost 1q74 ' '7 f 1R7 a9 'g) ' Ql '2'R ',Q 1 lq( n '(1 0 'i2 'US: '44 1T(4 1 'o') 'n a 'ru ). '08I 1 1in '10 uq ii C U 26 --- —--- 228 ----- - 2t0 -o ------— ~ --- —124 -------------- — ~ 12 - - -- - 8 — -- - 6 4 2 0 CHIART XVII. PHILIPPINIE' SLtAR EXPOIRTS, PRICE1 PER KILO (Censuis and Customs Statistics of labor a(lId wvork animals, the lec(:essity for borrowing nmoi,'and the losses (due to drought and locusts. More weighty tc ll,1 any of tlese is tile fact tllat tile planlters who complain of illc increased cost of p)roduction are trying to use in modern tilti ' and under modern conditions the methods and machinery tillt were successful (luring tlhe earlier days of the cane-sugar ill(ltry. For example, in 1911 sixty-four imills were employeil ti grind the cane from 2000 hectares in Central Luzon. Tlli'tvfour of these mills were run by carabaos; tle rest were stl~~A )1MNDR I 1U1 MILLS 101:..k:1.. i ~ir 0 dQ 0i. k3, '.. S b lkg p.;d.. iga.. '|5 1C H'! "; 1' '',g.Yj,: 1: *u..... 1 E1. AR0rrr framr,: Or6 Bbal0:33 Pkli11F1 i, ~ i~il ' SXlli IY ` 112 112 ~ECOINOMIC CONDITITONS a sm~all area for domestic use only.' Clertain sections of the island of Mlitdoro, however, have been transformed into sugar11 -prodliicg regioins of imiportance by tbe miill 11ow ii operationt oni the San Jose6 estate. It seems very probable that the example of this mnilling company will be followed later, and o)II aI limiited sc~ale, by traiue(I emp~loyees of the company. Tims in each important section where sugar is now grown therei are modlern plants operated by keen, farsighted business ciii. There can be little doubt that the influence of these plants, as, 180 1070 1880 1890 1900 practical demonstrators o)f KINGDOM new methods, willb i throughout a const'aiitiv widlnllilg circle. PI1N E SUG A R _____ _____ - ~V ery early in tile biiston_ _____ T_ T of the Pli'lippine sugari-' CHART XV1iT. woiRnDvs SuTAtn PInC~s, (lustry, Engcland an-d i After Bartholomew Ujnitedl States appearedi ns tile niost acceptable iptt — chasers. The opening of tile Suez Canal was anr inportauilt factor ini the (levelopment of the tradle withi the former. 'I'll European buyers, however, did Ilot greatly care for our suigar" because of its low grade and the consequent high cost, () refuining it. With tile- appearance in European markets- (If large quantities of high-grade beet sugar, Philippine smlgil' was crowded out, aund exporters soug'ht in China andi eJ'ii)ii markets whiichi couldl not purchase beet sugar because of 1111' colst of transportation. Japanese markets are of little ipi tance to tile Philippines just now because of tile rapid devii11 nient of tile sugar fields of Formosa. The measure Of futu admission to Amier_ ican- markets provided by the passay.vi the Payne Bill in 1.909, Ilowever, ilas given more thaiu fttll I Economic report by Lnther W. Cureton, Mindoro. EXPO)RT (CROPS - SUGAR 113 (com)pensation for all losses in the Orient. In fact our sugar explorters have voluntarily reduced their exports to Htongkong as well as those to Japan. Thist is ibecause the tarifflprotected markets 1 of Americ., offer a higher price and must continue to (lo so as l{lt as the United States spends P200,000,000 a year fol foreign sugar (see Chart XIX). In Chart XIX is slivwn the relative exports to China and the Unitedl St;.les before the passage of the Payne Tariff Bill and tlhl subsequent rapid dev\el-pmient of the American Ilmtket mand decline of exports to China. \ careful study of the l:oriiosan sugar fields sugtlsis that they cannot proIlllce more than three fifths t thl sugar demanded by 1t Japanese consumers. 1 'l' present sugar consuimpinil inI Japan is twelve i)lIllIls per capita. This S('iis (destined to increase Vllt apidly than the populi}i;l oi, f that country,2 be'l.iis. of many influences I 1 012 the American tariff on ' 2,t'!,6t test was about P 65.488 lI' ton. ^ \ Ta'kekoshi's "The Japa-"': i Formosa, p. 242. EXPORTS IN MILLIONS OF KILOS CHINA AND HONGKONG-___..- ___ UNITED STATES ___ __ _ ALL OTHERS-.____ - -___ KILOS 20O 180 160 140 120 100 80 60 40 20 1908 1909 1910 1911 1912 F7__1 0 CENTAVOS 7 4 3 2, ~ PRICE PER KILO 1 UNITED STATES 0 CHINA AND HONGKONG CHART XIX. PHIIAPPINE SUGAR EXPORTS Customs Statistics ECONOMIC CONDITIO NS looking toward anl un1proved standlar(I of living. A similar result should appear ini Chinia in the(, near future for the samte reason. If the Chinese should use, as mucth sugar per capitta as is usedl ly the United States, the Chinese markets would~ absorb practically the whole of the present sugar producti0on of the world.1 In estimating markets, however, we have to remember the possible development of beet-sugar interests in LBS. 100 90 70 ----- 70 ~~~~~~~~~~~~~~~~z 60 0 ~~ ~~~~~~~~~z 0 50 - _ _ _ _ _ _ _ 0iC O 40 ) CS CZ 30 Si i L n-J B~~ Sirn ~ cC L CD Hac c o -JCC (C C 0~~~~~~~ CHART XX. PE'R CAPI1TA CONSUMPTION OF SUGAR 1903 After Bartholomew Korea and Manchuria, and the expansion of beet culture already well organized in southern Austraiha Sug~ar entering1 any of these countries must be prepared to compete withi tie( local product. Tile IT ited States is to-day the imost valuatble etistoiler of the Islands, and, it is hardly possible that the lutll development of the canie fields of Hawaii, Cuba, Porto ie and the Phiilippine Islands will meet, the demands of the sugoail eolisHmners in that coinitry. 1 Lecture by Walter E. Gunder, Bureau of Science, Manila, P. 1. CHAPTERI VIII EX1POI(T CI-(RO1S - 1 ) IT-A((,() MAIKFEY'S FOR, PHItlPPI'NE TIOBAcc( The present markets for Philippine tobacco are three in iu)lnber and are inlicated on Ch:lart XXI. There is a large dloinestic consumptioll of locally grown leaf and of cigarettes lmade in Manila. There is also a consideral)le export of cheap leaf to Europe, the source of much of whicl is the Visayas. Since the enactment of the 11and high-grade IPhilipinle cigars lhas been opelned in the United States. The amount of tolacco consumed in tl ese, though relatively silall, is of high gra(le;l11 value. Under tlhe }'scenlt law tle number ( "t 'igars which c.an 1be xported from the l'hilipIles into the United ~ Payne Bill a large market for good 0 20 40 60 80 100 120 110 160 180 200 220 210 UNITED STATES __ _ _._.-.. OTHER FOREIGN COUNTRIES__ DOMESTIC _L___ _ IAIT XXI. CO()NSUIMPTION OF PIILIIIPPINE lOBA((,)O IN TIIOUSANI)S OF TONS Internal Revenue Statistics States free of duty is limited to 1>('.i))0,000 per year, but the present export does not ap11il'f:l1( tlis number, nor is it likely tliat it will equal it for is, r'al years to come. In 1910, imme(liately after the Payne 1;if tv went into effect, there was a large export to tlhe United s '"ls,of Philippine cigars, many of which were of inferior '! l. I 'Tlhis tended to give Philippine cigars a bad nane in tli, nYited States market, and exports fell sharply in 1911. Si;: e that time there has been a more careful development 115 116 116 ~ECONOMIC CJOND)ITIONS of this market, and export of " Manila cigars " to the UnitedI States is now steadlily increasing (see Charts XXI and XXiI) ~With the full numlber of existing cigar makers at work onfly about 735,000,000 cigTars couldl le furnished this new mart — kFet, if the Manilia factories were to mneet the demandl froma Europe, Australasia, anid Asia. The cigrar trade with the, tUnited States is so mutch more remunerative, hiowever, thatt manuifacturers will supiply it as far as the amnouiit of htighgrade leaf tavailable anild the number of cigar inak-ers, will permit. Thec miimunber of cigar makers is increasing slowly, anid it may therefore be expected that the general Philippine c-,igar cXlport trade will expandi gradually, and. that increase in c 0jat'l exports to thie 17nitcel States will result in a decrease of exports to other countries. The- domestic consumiption of Philippine tobacco anld thle export of the inferior leaf to Europe nieedls no particular disCl155ioii. rile P~hilippine tobacco problelm is to produce a: sufficient quantity of higher-grade, le~af for increasing deam,(ul( for Philippinie cigcars in the United States, and to increase fliii number of cigTar makers in 'i\,ianila.1 IJ i~sTr( v ()l OF P1H ILlPPI~m,, TOBACCO Tobacco was initroduced into the Philippinies from MeN," at,an early (late, and in 1 759 was 'already grown oni the ~ishwil omf Cebu. It receivel its first impetus, however, fromt ih( tolbacco monopoly whiich was estalblishled in 1782. Froii 1 W becgiimning of its use ini coiniercial, quantities tobacco has, ho" p)articularly sul )jcct to government monopoly andl regulal il for revenuc. To-(lay France, Italy, Jap~ai, andim Turl1key~ Iri\ government tobacco monopolies which regulate growing, t1 -ufacture, and sale. In other countries, as the United St;0eS tobacco is subject to high internal revenue taxes. T he chi4 I The question of increase in number of skilled workers is consider Iii Chapter III. it has been proposed to establish schools for instructo 1 111 cigar making,. EXPO)RT ('JIIOPS - TOBACCO purpose of tile tobacco monopoly in the Philippines 1 was to (',ct revenue. Previous to tlis time the colonial goverllmenlt hlad not bleen able to raise eno(ugh monely lby taxati(on to meet its expenlses. Systenmatic oplposition to all extensive agricultural enllterprises arising from private ilitiative had l(dvceloped, andl agricultural an(l in(lustrial progress Ilad beenl,low. I1Moreover, tlhe high lproits of tlie trade centering at A,\('Il(lco, Ie(xic(o, (dre att telltito away fr ml tll' sel but smaller incollme fi'rom atriculture. lut since tlli Acap)ulco 1902 PHILIPPINE ISLANDS 1900 CIGAR EXPORTS 20(),0000- - IN THOUSANDS 1910 (000 DROPPED) 1912 I,,00-180 9 STATISTICS FROM REPORTS OF THE C-C 19o!)01 COLLECTOR OF CUSTOMS UNITED STATES m 1) I0, 0'0- 1)03 1907 1)08 1909 1904 1904 15,000- 1906 50,000 - 0,005 -0 -~;,UO-. _ _ _...ll PESOS 32 _2_ __ _12~_..... CIGAR EXPORTS slil cane but onc e a year, tle total profits from t].is trade \vcic much less than tlie profits fromn agricult-ure and mannuf1'I, lime Would have b)een, la(d the energies of tie wealthly only 1,11! directed to tliemn. Therefoe tile wealth of tle clountry I"',liniiIed se o small that it was impossible to raise much by ki -Ilttion, and Mexico cach year sent money to help rin tile "'\'IViniment of the Philippines. Mlost of tile information ol the tobacco monlopoly presented in this i1':ltelr is taken from a report made to the Director of Education on this "! ''ct ly Mr. David W. Lucas of the Philippine School of Commerce. 'Ili o information was obtained from Blair and Robertson, Bulletin No. 58 "t '!'i Bureau of Labor, Washington, D.C., and the report of United States W(i" —l Webb of Manila in "HIouse Miscellaneous Documents," 1889-1890. ECONOMIC COND)ITIONS In 1782 (Goverlnor IB:asco y Vargas, by aultority of a royal order, establislled tie tobacco ml(onlopoll y. It was imanaged directly by tlle government andl limlitel the cultivation of tobacco to certain districts-at first (Gapan in Nueva Ecija Province, somie municip)alities inl Bulacan and Cagayan, an(l the island of Marillduque; later the area wllich might be cultivated was increased. In tlie most fertile sections nothiilg but tobac(co c(ould b)e grown. Thle go(vernnenlt (letermined tlic alnoulnt wlichl any man could cultivate andl bought the whole crop at a fixed price, selling it again at a good profit. As a revenue measure the monopoly was highly successful. Not only dlid tlle subsidies from Mexico become unnecessary, but money was actually sent back to Spail as a balance foir sums previously sent over by Mexico. ()Ole writer said thllat it could b)ecomle a greater source of revenue than all tl te others of thle colony. By 1882, when thle monopoly was abolislh(t, its gross annulal revenues were about four miillioin pesos. The tobacco nonopoly was filnally abandoned, however, ol account of tle evils wllich were connected with it. From tlhe first, graft existel; some tobacco escaped the officers. 'Thle l ll tribes in tleir bamboo fortresses raised tobacco and slnuggledl it downl to tle lowlanders. Agenlts of tle government bought tlie tolbacco fromi the planter, turned it over to tlhe governmntit at a higher grade, andl pocketed the difference. lBut these Awevr lesser evils. Tlie greatest wrong was in buying tlhe tobal'c'~ at too low a price anld paying for it in pjromises. Seven y(clrs after tlhe abolition of tlhe moiioploly the price paid the pllalter lad increased 100() per cent, wvlichl shows tllt tile grower ldl been paying an unLjust proportion of tile government revell( s 'lle effect of tlle monop(ooly was to lma. lke lhim pay 50 per o'ilt of Iris gross income as a tax. At first tlte grower was pai(l 'cr his product at once, but afterwards scrip was issued payllbl at the option of tile government. For a while these pronises were redleemed promptly, but later payment was deferredl wtil tlhe value had decreased by a third. Many times the pla crl needing llis money at once, soldl thle scrip to speculators ft' 1ts EXP(:)RT (CROPS- TOBACI,(( 0) 119 little as 10 per cent of its face value, thereby getting just one twentieth as much aIs lie did seven years after the abolition of the mon(opoly. VWhile the chief aim of tile tobacco monoIpoly was to secure revenue, it also resulted in tle pro(luction of a higher grade of tobacco. This was accomplislhed by close supervision. Each c)ovince was divided into inspection districts il cllage of a 1874- 1876 187S 1 s0 1Sx9 1 s, 18,qr 1 88 1.S0I n 1 o09 1 I. 1on To 1 1 1 Ds 40 - 120 40 y — 0:1- I.... I. - - I "I (CHART XXIII. TOTAL PHILIPPINE TOBACC)O EXPORT, 1873-1895. QUANTITY IN TI'()USANI)S OF TONS Census Sta.tistics 1",id llt leaves of cutltiv t ivated mulh1!erry and prol)l')cin(' a coc(on\\ xi'11 is re1le(l (2) Attacif, ri,/cin, the AEri silkwlor, 1whic(l i)v on1 tile leaves of tle castor lllant findll growing wild tillnlit out tlme Phillippiines, ail(l wvlich tprod(luces unreelablle (I(, )is from whlich spun silk is made. Experiments made withl ^ls two worms warrant tlle statement that silk raising (c i-' carried on in the Pliliplpines " under conditions as favc(;h' 1 See "Manual of Philippine Silk Culture," by Charles S. Banks,!::I ': '1 of'Science, Manila. MINOR AND POSSIBLE EXPORT CROPS as those which obtain in tle best silk-pro(lucing countries of tle worl(l, and with tile added advantage that no disease hlas l)l)e'ared among tlie insects here or upon tile trees used for t'reling tllemn." Iln countries surrou(lillg tlle 'llilippiles, silkworim (liseases cause heavy losses. Ily law it is ilow forll(ldeil to inmI)ort silkworllrls, eggs, 'o (0() c0ooll illto, tllesc Islail(s. 'I li slreal(L of the silk industry mu1st takle p1lacte 11d(le the close suplervision o(f autlhorities, sincei ilexperiellce or slovenly iitlhods ll ay result ill (liseases. Ill several places ill tlhe P'lililplines 1)0tlh the schll00ls Cn(l )private p)1'ersons have becomeie inteIestedl, anl( it would seei tihat the iii(lustriy las alretldy 1(,i.1 launiched. Its gro(wtl 1 must necoessarily be slow. FIor 1.le1y years to come a cmnsi(erablae alllollnt of silk )prodluced ill tlie Phlilippines ca1 1)be used in tlie l(cal c l (lprouction o(f cloths s(itlc as jusi (nadce fIrom raw silk), silks, and pongees. The l'ite(l States furnisles a large market for botll silk fiber and sill textiles, so that tlie Philipplines already have an outlet for sUllllus production. Thley also liave tle benlefit of free trade, \vliereas the product of other countries pays a high duty. ESSN-I'IAIJ ()ILS molr lmany years there lhas been an export of ilang-ilang oil i'w,,l! tlie Philippines. 1 1) to ai few years ago these islandls ' lprac:tically tlie only soulrce of tlhe oil, and tle high prices 'r(l ive for tlie flwvers made tleir p)ro(lluction extremely rellln: 'lerative. At thle presentt tim(,e str(iiin' (0olllpetition las ldevel"It i iMaulliitius aiil MIadagascarl, so tlhat tlie currrent lrice Il,,),wers hlas ldroppedl from 40 to 50 ctentavos to 7 centa-,,{'r1 kilo.l It is improbable tliat tile growving of ilang-ilang \\ i 'yt give such returll as were formierly obtaillne. There t*l' -('veral other Philippine plants wliicl yield essential oils '" Terfumery. T1'1e worll's market is constantly dlemandil, i'ew perfumes, and already Mlichelia cham)aca is being 1 Journ.l of S icicc. Vol. V, No. 4. 134 1~~4 ECONOMIC CONDITIONS cultivated here with the hope that the high price of the oil obtained from this flower willii ake it a remunerat'ive, minor export of the Philippines.' COFFEE The coffee plant was introduced into the Philippines l) VN Spanish miissionaries late in. the eighiteenth century. By 18.-S considerable quantities were produced, especially in the hig~l lands of Batangas, Laguna, and Cavite provimices. In 1884 coffee exports exceeded P2,000,000 ini value. In. 1889 the Philippine industry was practically wi~edl out by the attacks of the fungus Ifenuilcia,viastarix,, andl while it now flourishes in some localities, as for instance Beniguct andl lukcidnon,'amim the production for the Islands as a wvhole is increasing sliglitly, it is improbable that coffee wviii sooB be exIported in coimmrercia~l quantities. lime 1)ossihility that the pest will again beconme active, and the sure returns from copra, sugar, abaca, tobacmco, amid muinor export crops, are against coffee. ST A RVIn S The prodluction of cassava andl sago in the Philippines ha~s already been touchedl upon with rcsp~ect to the place of tlicse 1)lants in the, diet of Filipinos. As the source of flour, tap~ioca,' and alcohol, cassava is an. imnj1-ortait crop. The export of apj) ioca from the Philip~pine-,s is a possibility. Th'lroughouit Hii Visayas, andl particnlarly in thc Aguisan valley, the sago }Illfl1 is found. In Borneo the starch from this palm is for 101( into pellets known. as sago and exportcel in large quaint'I WcS Extensive swamp hands suitable for sago palins exist ii'tak Visayas and liMndaniao. Among other plants wvhich yieldl mnercial starches, and wvhich grow well in the Phihippini 15~ the arrowroot. 1 For Philippine essential oils, sec Journal of Science, Manmila, Vols. BV~, MINOR~ A-NI) POSSIB)LE EXPORT CROPS OILS The coconut is the principal oil seed produced in the, PhilipI~iis Several other oil seedls grow here, however-, and are wormthy of more careful attention. for export. Among these arc, (1) the peanut, which is prodlucedl throughout the Islandls orm local consuimption and for forage; ('2) sesamie, which is gro(wn here and there in small quantities for local use; (8) the c(astor-oil lbeanl, inferior varieties of which are found in all parts (A' the Islands; andl (4) the candlenuit, which is gathered in conmnercial quantities in a few ilistricts only. EsTrAmLiSU-ED NEW CROPS This enumieration (loes not iniclude all present or possihie e~xjort crops of the Philippines. Other export crops in the Islanls, may resuilt from the effort of large enterprises backed bY either local or foreign capital. Present methods used in the prodlllction, of the four export crops of the Philippines, an(I thie miore importcant of the muinor exports (10 not warrant the i itiro(iuction of new plants among Filipinio cultivators. In the hlder and well-settled portions of the Philippines more can b~e lonie in organizinig the, established industries on a firmer h-ias's andl improvinig the crops already grown than by intro(h~ieing new crops. CHAPTERIR X LO()(ATIN AND INIAA ) CHRA(CTERI OF AGRICULTURE THE SO IL, The rocks of the hI'lililppines are c(liefly of volcanic origin, andl muchll of the soil las lbeeil derived from their disintegi'a. tion. 'I'le result, is, ill lost cases, a leavy red so il, exceed( - ingly fertile onl account of the lileICerals Awin(ch it coltaillns. It is miuchli like tlie soils of the H l\aaiiiil Islandls, wlich( also;ml of volcanici (origi, an(1l is well adapted to tile glrowth of sulgam. Mahaca, rlubber, a1(l the like. Larg'e areas of the 'lhilippl))il( are covered with limestole, most of which is derived froilo coral. ' Residual soils of limlestone forlmation are not very fi'rtile, since tile solll)le part llas heen c(arried off by streams. alid only tile insolublle clay remailns. Iowever, the tralisporte(l limestonle soils, suclh as thlose found in the valleys aiid along tlec coastal plais near mountains covered with limestone, are exceptionally fertile. For instance, in Cebnu 11( hillsides are not very fertile, wlhile some of the best agricull1iral land in t;le Islands is found- in tlie coves. Another fe(,rile soil in tle P'lililppilnes is that resulting fromn tle disinteg'rli iil, of tie sandstone. Of tlhe tranlslported soils two are excelptlnally important: (1) tle ftluvial soils fou1nd in tile vaIl lvs whlich are very ric(h b)oth because of their chemical comil,'i tioiin atitl (f thleir filely divided and loose state; (2) It c-\ vythick, grayisll-llIue soil llargely derived firoml r(cks of vol('!li origin, wlihlic is on1e of tlh, lhest soils for rice glrowing an is found at tile lase of mllanly (mountails. F1 or a' discussion of soils in the Philippines, see Philippoc ine Jou' ' Scinece, Vol. V, No. 5, See. A. r~ ~ ~ ~~~~~~~~~~~~~~~i X r 4 'i~.i la~.aNr.D')I T B10" '1qJO?. >. ' 4~I~~ CE s i s-~.~~,~ 3-I'XllEIII0 A X jj j *.ta 0 i 138 138 ~ECONOMIC CONDJITIONS CLIMATE The average yearly rainfall in the Philippines is 2200 muiflimneters (88 inches), and all sections have an annual rainfall of at least VI)00 millimeters (36 inchies). lhowever, some olJ the regio~niswhich have the hig'best annuial rainfall, receive it during oniy six monthis of the year. In thre chapter on rice it has been shown thCat the long dry season which occuirs -in western and. central Luzon, atInd on the western coast of cci — tamn other islands, is ani imiportant factor in lim-iting the( amiount of rice grown to one crop. Because of the contino1 -ous rainfall on the eastern. coasts of the Philippines, two anlI even three crops of rice c,,an be grown there. Not only inrc there fewer quickly maturing crol)s in regions sulbject to a ryseason, but withouit irrigatiou itisipoileitee -- gions to grow plants which tak,,e' a year or moie to matore. Abaca, rubber, andl such long-maturhigr crops are thierefonre confiue(l to those localities having a fairly continuous rahinall throughout the year. Regions subject to heavy windls are, not favorable to b'le growth of manty plants. Ini the Philippines the best regionS for abaca are those seldom or never visitedl by typhoon~s. Ixcept in smnall, well-protected- valleys, rubber does not grow well inLuizon- and neighborinig islands, because of the destineI(tion wroughit hy typ)hoons,. Certain roots heave become thechief crops in the B~atan Islands on account of the typhw)I to which those islands are svlbjcctedl. 11e effect of temnjerature on agricultnre is very inimpor-tIIm since for lmost, prohlicts there are certain limits of temipera,' within whichJi their growth is conlhiedl. Only a few agri ~111 -tuaral prodlcts snich as, corn an(I tobacco have a widle rang,' growth in both temperate andl tropical regions. A few Vci produluts of the temp,~erate zone will groIw` inl the tropics )1 dlo not thrive there. rihlils the white potato will grow i" tilt, Philippines, but dloes not do well. Variation in teniper- i LOCAL (IONI)ITIONS OF AU(ITRCLTUr UER 139 139 (Iuc to latitude is not great enough witlun the Philippin es to creoate zo11es of agriculture. Mangosteens are a strictly equaton()ral fruit, and. even in the Philippines are found only in Snif, M/indanao, and the southernmnost part of the Visayan Is~lands; but, other products may be grown on- the, lowlandls fi1o Cn(Aagayan to Sunlu. 11 owev~er, variations in- temlperature (Itie to differen-ces in. altitude gTre'atly affect plant life here. In the lower levels are foundl swani). andl trolpical forests, the (,( coinit, bam-boo, rice, sugar, an ( otl er lowI an(I growtl. -At sl0igtly highier elevations coffee an d citrous fruits tI iriv e b~est. Above 1.000 meters (3000 feet) the tropical forest of the lPhilippin-es gives way to pine, alld it is in- this region, ttmay fruits and vegetables characteristic of the tem perM-te and subtropical regions can- be grown. Only a few high I)(_aks of the fslands are covered1 with typ-ically temperate-zone gOTOvths suich as the forests of scrub oak. Tr AN1iTTO FACIHiTIRS, With p~eople who live ini as pimiilitive a state as the N(g011itos, or even the Subanuns andl mountain lpeoples, transl)ortation- facilities heave little effect on the location of agricultmr-i activities. The same may be saidl of families and groups n11,)l ore adlvancedl peoples who, through their own. efforts, I I InI' from agyricuilture all the prodlucts necessary for their ex'S hilee. However, as soon as the comunercial idlea is applied tllgrliculture, andl crops are grown, for exchan-ge, transportaliecomnes an important problein. In- the lPhilippines the re-,.-s best suited to the cultivation of export croips are those g'pio the coasts of the Islands or those conimecteol with the ~5by water transportation. WVith the advent of wheeled Sptortation, plains,, and valleys heave become important, sin~ce and railroads are constructed rather cheaply over themn. genieral, then, it may be stated that the location and the e~,,ter of agricultural activities is influenced (1) lby the 140 140 ~ECON(OM\IC CONDI)TIONS fertility and composition of the soil; (2) lby the amount and( (listrilbltion of the raiif all; (3 iby the temp)erature; (4) Iv the intensity of the winds; (5) by the natural transportationl f acilities.'I PHIiLIPlPIINE4 A(RUL TTALIE IAONS' IThe results, of th-Iese, influences on agriculture iii the P~II~Ij-P lpilts are vtry 1o~tieealle. Alon)ig the c_ oasts of nearly all tin Islands are found lplainis of greater oi less extent, most, I' which heave a fairly uniform surface and slope gradually toward the sea. CIoastal plains,, are nearly always fertile, SHWoe they are, coveredl with sedlimientary or volcanic deposits. iAloreover, transportatin)I is usually easy both lby laud_ and waler.~I On the other hand, harbors bordering on coastal plains ne apt to be few and poor. M~ost coastal plains W`~re formed b)Y the elevation of land masses, but most harbors heave resulted( fromn erosion and the siuking of land arather than its upl)Ilt. Thae miost inportant coastal plains in the -Philippines arc t~lose of the I locos pro vinces, Z ambales, Mindoro -Island, Ant] ue( tProvince, alJd Negros Island.' However, practically all ismlands possess coastal plaiims of greater or less size, and even tiose found on the larger lakes, suclh as Laguna de Bay, an f iml~orauce.Because of their agricultural and trausporta fl ( advantages, and lbecallse fishing can be carried on along m,1 shores, thie coastal plains of the IPhilip_,pinjes are well popullelc ini compujarison wvith tfie ii tenior sections. Another type of Philippine agricultural region of great Flettility is the plAain formed through the uplift of thiese 1sLV. on lby ilnlividnals alld companies on a large scale requiring more tie'1 labor of the owner aiid his family, two other considlerations (letermli tilt' -location and chiaracter of agricultural activities - (6) the amount ci available, and (7) the number of work animals and inplemnents availal' the amount of miachinery existing or which can be acquired. The Ii. sufficient labor has greatly influenced agriculture in Mindanao and sparsely populated portions of the Philippines. Tihe lack of work are of large agricultural machinery, anid of modern sugar mills has retard growtlm of the su(ar industry in Ne(,ros and other sugar regions. PIRLUPTINE YISLANDS CHIEF AGRICULTURAL REGIONS 0. ('HART XXVIIi. CHIEF PHILIPPINE AGRICULTURAL REGIONS 141 LOCAL CO)NDITIONS OF AG(-I:I(ULTURKE 143 Another type of fertile Philippine agricultural region is the highland, good examples of which are found in southwestern iand southeastern Luzon. The soil is usually derived from dis-::integrated volcanic matter, and its fertility and the fact that it is well drained make it most suitable for such plants as::the abaca and the coconut. These regions are sufficiently ele-::vated for the growth of coffee and other highland crops. The great drawback to these regions is the difficulty with which their products are transported to the coasts, but this is now being overcome by the building of railroads.1 Of plateaus, Benguet and the Bukidnon plateaus are the most important in the Philippines. Were it not for transportation difficulties, the Bukidnon plateau would undoubtedly be a very rich region. The amount of arable land in Benguet is limited, but the transportation system now being developed will bring it in close connection with Manila and afford it an outlet for its products. Plateaus occupy a peculiar position in the tropics in that temperate-zone and subtropical crops can be grown on them. Both these plateaus, for instance, have furnished coffee to the: lowlands for many years; Benguet will undoubtedly supply:the Manila market with such temperate-zone products as I:berries and flowers. A few of the hills and low mountains of the Philippines support a considerable population, as, for instance, those of 0,:Cebu (the most densely populated of the large islands of the 'Philippines), where thousands of people eke out an existence:from the shallow limestone soil. The terraces of the mountains iof northern Luzon have already been described. In other mnoun-?tain regions agriculture takes the form of the kaingin systemclearings in the forest such as those of the Subanuns. ' 1 This difficulty of transportation retarded the development of the highand regions of the Philippines and resulted in land remaining unclaimed. As the result of recent settlement, land is now owned in small parcels. Hence these highland regions in the Philippines are usually very democratic i that nearly all persons are landholders and wealth is fairly evenly dis-?ibuted. Many of them bid fair to develop into wealthy communities. ECONOMIC CONDITIONS another destructive eruption which killed hundreds of per, sons on the western side of Taal, covered the surrounding country with mud to a depth of from one to three feet, and destroyed or damaged the vegetation over a large area. The earthquake wave which the eruption caused was also destruc. tive around the shores of the lake.1 In 1897 the lava flow2 from the Mayon volcano destroyed plantations and towns on its sides and base. The rapidity with which volcanic ejecta decomposes and the richness of the soil thus formed often compensate for the damage wrought to agricultural land and to property in general. The effects of calamities do not last long in the Pliilippines, for both the soil and the people show remarkable recuperative powers. Secondary effects may, however, persist for some time. For instance, the typhoons which swept Samar in 1908 so reduced the crops that the people were forced to look to some other means of living than agriculture. Tle large weaving industry of Basey, Samar, is one indirect result of these typhoons. The number of mats woven on Romrblon Island has been much greater because of the decrease in the yield of coconuts caused by the typhoon which swept that island in 1908. DIRY SEASONS, DROUGHTS, AND IRRIGATION Droughts have not been discussed with other calamities, since, unlike them, their effects can be largely overcome. The regular annual period of drought, or dry season, which occurs for almost six months in central Luzon and the western parts of certain other islands, and for two or three months in parts of the Visayas, has already been discussed with respect to its influence on the number and character of the crops grown and on seasons of agricultural activity. Extraordinary droughts, however, also occur in the Philippines. Sometimes they affect 1 See "The Eruption of Taal Volcano," Weather Bureau, 1911. 2 See "La Eruption del Volcan Mayon," by P. Jose Coronas, S. J., Manila, 1898. CIIAPT'El Xl DEVELOPMENT IN M-4ACTICUTURE The purpose of this chapter is to study the Filipinos wvithl respect to their advance iii agriculture, and to compiare theiiachievements with those of other peoples. Advances made in agriculture by primitive peoples are lie~ resuilt of environmnent, necessity, chiance, and. olbservation, rat tIewr than of knowledge. Even amiong civilized peoples who nndeistand the use of the plow and other advanced agricultural impleiments, who practice crop rotation, fertilization of the soil, anld selection of seed, developmenti in agriculture-, has 1)w s miore the resuilt of envnroiincnt, neeessity, an(1 obserx'at] ii1 than of science.. For instance, people of the UnTiited States lv developed iiachiniery for agricutlt rial puirposes because their, 1)101)1m has been to cultivate large, areas with little lailo"i On the others hand, the p)eople of mnany parts of Europe(., 1;iil1 Asia obtain greater yields per hectare, since they understiiid more thoroughily th~e principles of intenisive cultivation of Ilie soil. Thir problem has been to ol1)tain the greatest pos)051 yield from thieir soil in 01(1ev to feed the, large nuiumb- persons, living on it. (A'L?\IIT I ES The natural forces whiich bring about most calamitieusually too great for manl to control, but hie cant pihimself for theni so as to recover (quickly fromt their el" Vc Struggle with adverse conditions of nature has develop 11 many peoples a vigor and resourcefulness which for iS valuable national asset. 1'44 DEVELOPMENT IN AGRI(CULTURE Flloods and lhighll win(ds are the most commonl Philippine callunities. Ileavy rainfall at the headwaters of river valleys, s1lcll as the (agayanl, cause the streams to rise, sometimes far;love their banks. Typhloomn wavves occur occasion(ally, sometilmes traveling for a consi(lerable (istallce illalld and causing tl(e w\ater of the rivers to baclk lp andl overflow the land. The dmllt(age (one by floods usually takes the form of the (lrownil'I( ot stlanding crops, tile destruction o(f agricultnral lalnds 1y cagllmo'es in tule river channels, injury to houses and agricultulal implements, and the drowning of animals. Salt water tlllro\n on, or backed onto, the fields by typhoon waves is;ls,, lestructive to crops and to soil. Iiver floods, hlowever, ar, sually lbeneficial in tlle end. Tlie annllal overflow (of tlhe ('.Iavtan R1iver yearly enriicihes tile soil of tlhe flooded area,;unl tlie amoulnt of alluvial matter deposited by extraordinary lt)olds often more than compensates for tlle damage they do. '1I1 (llnage of floods to crops may be prevented to a certain,tIlnlt by so planting tlhat thle harvest will come before or ' 1 t I tlle flo(os 115s ally oc(cr. 1 y (1oo(011s bring w vitlh t lem 1 high wilnd(ls. In tlme northern I;'i,f,i Luzon thlese are analll l )occurrences, ad(l are pr)ovidedl 'li il tle cllracter of tlce crops grtovwn. In. tile central and smitll(i Ll p)arts of tlhe l'lilippiies they are unusual (occr('iW,! i!s and tleir visitations are in(leed calamities. (Coconuts; hl1 albaca are tlhe crops to wlich lligh winds are particularly ii,1 iols, and the effects of one storm may be felt for a long i"'1;i l, of years. For instance, tile typhoon of 1908 affected t11i ield of coplra in Romblon for more tlan five years. I 'lltions of volcanoes affect only a small area, but the (1 l i:tionl witlinl tills area is usually great. IThe volcanoes It' V andi Taal are tlie only ones wlicli have done any T''H Ilrable damage in tlie Philippines within historic times. '; *)4, from May to Decemlber, Taal volcano eruplted, and ' 1ii, extent of cultivated land was destroyed by showers ' s,1' (l and mud, and by immense rainfall.1 In 1911 occurred 1 Census, 1903. ECONOMIC CONDITIONS swarms of caterpillars. In a wild state, however, insects do not multiply at this rapid rate because of the checks imposed by climate, lack of food, and enemies. Heavy rains, w-ind, storms, and cool weather do much to hold insects in check. In regions where certain vegetation dies down for part of the year, as, for instance, during the dry season in parts of the Philippills, food is lacking for many insects. Enemies of pests incllude parasites, the predatory insects, birds, bats, and the like. As soon as an insect becomes abundant these enemies attack it and reduce its numbers. Fungoid and bacterial diseases also kill insects, as they do men and domestic animals. These natural checks tend to prevent a large ratio of increase, and if they were not sometimes suspended temporarily, the relative numbers of all insects would remain constant. And this is usually the case, except where man artificially changes conditions of life in one or more of the following ways: (1) by introducing new insect or animal life; (2) by modifying the climate through the destruction of forests or the construction of large artificial water bodies; (3) by destroying insectivorous birds; (4) finally, and most important, by altering plant life through agriculture or forestry. For instance, breeding places for locusts have been greatly extended through the destruction of forests and the growth of cogon grass. Nearly all the insect enemies of Philippine crops are kept in check by natural causes. One of the most important enemies of insects are flies which lay their eggs in the larvw of the pests. On hatching out, the larvae of the flies destroy those of the pest. Many pests in the Philippines, such as the rice caterpillar, are thus controlled by flies. There are extraordinary outbreaks of the spread of this caterpillar when certain climatic conditions are favorable. However, the larvae of the flies seem to increase in a like proportion, and thus no outbreak of this caterpillar appears two years in succession.1 1 It is but natural that man should act on this knowledge of the destruction of insects by their enemies, and attempt to discover and introduce forms D)EVELO)PMENT IN AG(I4IJLTUTE 1 147 only a very small area, blt at long iltervals the entire Arclipelago is subject to ulseasolable (lrougllts. Irol)ally the lmost serious of tliese (ccurred in eiglt monlths of tlhe seas(ol 1911-1912. In June, Jluly, anl Augulst, numerous typhoons, bringing copious rains, influleced tile Phlllilippines, and plaitilg (coi(litiolns were excellellt. II thle critical Jiolitlhs for tle ri(e (1rop- ()(ctober, November, and I )ecellmber-there was an almlost total lack of rain tllrouglhout the Islanlls all tleir vi cinity.1 This caused a large redue(ltioll in tile rice c(rop. C(()r, ro()t cr()ps, coconuts, abaca, and in fact almost all crops e(re iljure(l bly the long periold o(f (ry weather. If extraordinary droughts happen at p)lantinig tine, they usuall-d result only in delay and a late fiel( cro)p. If a fiel(l crop lias already been plante(l, drougllt may result in its (lestlrtctio ( or in a reduced yield. The yiel(l of l()g-maturing crops, S1nc1h as coconuts and abaca, is always affected b)y continued( (dir weather, alnd abaca may even be destroyed by drought (t' l(mg duratioln. h'le effect of drougllt can be reduced by conservilng the mloisture in the ground. T'le nletlod of accomplishilg tilis is (alled dry farming. It has been highly (leveloped in tile I lited States on the dry plains of the Nortlhwest. (ertain r'"('ions there have only a small annual rainfall, and this "(,('1,s (luring a very short period. When tile raiins are over, tle (rlol(ps are planted. Then they are frequently cultivated ill 1 s]hallow manner so tlat a layer of (lust forlls over the ll hld( field. This dust mulch prevents thle escape ()f lmoistl ( troml the ground by evaporatio:n ali(1 colserves it for the 11S' f thle plants. By this system of (lust mulches it is prob'11)1 that certain field crops, such as millets and corn, could 1' o)llwn in tle Philippines during tlhe or(linary perio(l of ('v! y season, and that the yield of long-maturing crops ('1,i I)e increased. However, dust mulching is of utmost im)''i kee in keeping alive long-maturing plants during periods ' "The Extraordinary Drought in the Philippines, October, 1911, to Al21. i12," Weather Bureau, Manila. 148 ECO(NOMI( C(ONI)ITIONS of extraordinary drought. I)uring tile extraordinary drougllt,o 1911-1912, for example, coconut groves which were cultivatl so as to produce a dust mulch were little affectel in their yield, while uncultivated groves decreased 50 per cent in the lrio)dllction of nuts. In I)avao tlhe case is rel)orte(l of al)aca stalks o 1 anl iun lcultivateld lplanta(tionll flling ve ro lac(k of moist t:e, whilie on a neighboring plalltatti(on thle stalks were kept alli\ I)y shallo(w cu ltivation) wi icl con(lserved thle nmoisture inl thl gronldl. Tlle yieldl of tle latter p)lantation was illtelrrlupted only six Imointls, wlile nll strilppillg could be (ldone onl tli former plantation for over two years. The cost of cultivatio necessary to produce andl mainitain the soil nmulcl is so littli that this metho)( is extremely practicable. Soil mulch merely reduces the damage dolne by drou(ilt. Thle effect of long periods of dry weather can be wholly o(evrcome only through irrigation. Even among as primit ive' peoples as the Bontoks and the Ifugaos, we find tle valull(e irrigation understood a(nd tle more simple methods of ac(l(,lplishing it practiced. Irrigatioll for the production of (cl')ps antedates the Christian era by thousands of years. liI 1l parts of tlle world are found remnnants of irrigation works, sollnI of them of immense size. To-day therere re actually regio,,ls ill which water is still carrie(l to the fields by hulman beings. M ail\ devices, worked by humani or aniual power or by river crllls 'ls are used to raise water anltl spread it over the fields. ()c; 1i'l(ally the topograplly of tle lan(l to be irrigated aind the ':! lill of the streams is suclh tlhat water (caL be diverted fro(ll iv\('s by (larns. Smlll areas caia be i'rrigate( by neianis of j'I' pum)ps. Ii celrtain p1arts of tlie wo(rl(l tie geological fon'l'll Ji l is suchl that goo(l results aret o(l)tailledl froml artesian well-,(l these are often utilized over a consi(lerable area. None of these metllodls, hlowever, supplies a sufficielnt, al11"'l of water to be of great value, and with the exception O( l'tt' sian wells all of them depend more or less directly upo( Ilil"fall. Throughout the world reservoirs and irrigation si ','is are *now being built so as to insure a constant water sli1l DEVELOPMENT IN AGRICULTUIRE 149,cli(l to bring into cultivation land( which otlerwise could( not I), uised. (Great reservoirs are built and in tllese water is in(olllltle( and conserved during tle season of rainfall or flood, to it) cond(ucted to tle fiells below whllel ee(le(l. Such irrigatioll schemels are found througllout tlie worl(l 1al(1l most of tlhem;l1 illlete prjects. Sometimes they are bulilt by private capitill, bIit tlheir glreat size altll tile llnum1ber (tf illterests ill(lve ItIlten nelcessitate their c(nlsttlutct( l 1)y tlhet g'overnment. II1 Ilndia tlhere are I X,000,000 hectare s 111(le' irrigationl. ()f tllese 7,200,000 liectartes are irrigatle(l I governmelnt works.1 L'yo I)t Ilas l)aout 2,500,000 hiectares 1111(cr irrigatio(n, alll tllis a1(0l supp))orts a population of 5,000,000 ill a(l(lition to tlhe I;icentlt of an immense interest on tle nationlal (lebt. (ape Pl'vince, South Africa, is wasting enough water to supply (,v< 1 1,000,000 hlectares of lan(l. lThere are systems, however, s11l lyinog water to albout 200,000() ectares.2 Australia sup)plies ir'i'(ating systems with water from artesian wells. 'Ihe annual vitYli from tlese wells in the Milurray River basin alone amounts to, o\ver 750,000,000 cubic meters. Tlhese, witlh tlhe otlher water sllpplies of tllat country, are uller a strict governmenti control.3 I'ilipinos have several primitive forms (f irrigation. In a f\\ Iplaces human treadmills, such1 as are fouind throughout the Il;l. are seen. In parts of the Philippines sweeps worked by li,,1l power raise pails of water andt empty thlem into irri'1; ill dlitclhes. Calralaos are often eflmployed to runi water \lils, whlliclh are also so()mttiles operateld y tlie force of I1 I trre rlt. Telllporary dtla1s are often 11 llilt t(, divert water tii l 'ivers. lPumps are being emnployedl to a small extent,,! i tle Central Plaini (f Iuzon artesian wells are being ( to, irrigate small tracts.4 It is estimated that permanent:,1ert rlistont Bucllley's Irrigation Works of India." 'llcti of the IJlewrial Institute, June, 1912. i'icw of Reviews, XXXIV, 620. s'" were originally sunk by the governmenlt to (get a supply of potable,i ',*1 lwater. They are now found throughout the Philippines, but the -!lts are obtained in the (Central Plain of Luzon where the geological ' il is favorable. ECONOMIC CONDITIONS systems of irrigation in the Islands serve about 50,000 biee,tares of land. rThese usually consist of p~ermuanent (damns Ifm diverthing rivers, and of ditches for leading water to the felhls. Lun a few Jplaees there are reservoirs. Irrigation in the Philippines is of the most importance to rice, and hs alreadly beeir disdnssedl in the clhalter (lealili with dthat cereal. Irrigation of sugar cane and other c~rops, will generally lbe profitahle. lit regions siilject to a (iry seasoi irrig'ation will result in the growing of more tihan one clot) ot rice or other ce,(real (durinig the year, andl will pemmit the initio(luction of loonatrio crops snch as abaca. InI all rcgiools, whether subject to a regular dry season or to an even (listl1-i bution of rain throuighout the year, irrigation will give greatter stability to agriculture in mnakin g crops independent of raau tall. Small irrigation systems mnay be lbnilt by the owners of Lanre haciendas. Conmbiniations of local capital imay be sulficicult to undertake the construction and maintenance o-f syst emls Such as are, founmd in I1locos N orte, iiorthern Tarlac and BoIct O anid M arindlllque. II owever, almost all irrigation proj ects 01115 result fro ti the in itiative of ti e goveri ncut. 'Fhedecdih (luestionlin Inlica in (leterminino whiat SCCtions slhouldl first receive the aid of tile government ini tllm formi of irrigation works has been, Will it pay? IRespowlbl~l officials in the Philippines heave to consider the anmount ci land to be lbenefitedl andl the cost per hiectare, the attill of tile landowners towardl the p~roject, their albility to to the goverlillent the initial cost plus the running expc,'1(' and the location of the project with respect to other p1' j',O of a similar sort. It is recognized litat governmient should be (listrilbntedl throughiout the Islands. Thie n irrigation law provides for the collection of water rent ImU '1 ning expenses of the plant in the form of taxes, the 11 rent forming a fund for the repayment of the original S JBy spreading this repayment tax over a terum of yeo' m farmer is not seriously incommoded, since the total ad 1 1)1 to his taxes is, in imornial years, but a small part ill 1)EVELOPMENT IN AGRICUILTURE 151 additional income received from a more abundant crop. Contrary to the custom il many countries, notably India, the government expects no direct revenue from the irrigation systems it builds. The fundls expen(ded are regarded as tlle olney of the people devoted to tlhe purpose of increasing the ec(lomlic l )r(Isperity of tlhe collltry. (uided largely by these c(onsid(erations, tlie officials inl (.cllarge of the irrigation work are carefully stn(lying every illllabbied section of tlie Islandls where tlie water supply ali(l gener'al topograplly give promlise of conditio(:s suitable for ladl irrigatiou. IThlus projects in Cagayan and tlie 1locos provillnes ar consi(lered along with those of central ndl southlern Luizon, l'any, all(d l eyte; even central Mindanao, especially tlhe (otaato() River valley, hlas received a preliminary examiilation. In this way irrigable land amounting to about 485,000 hectares 1 lIas bleen located. Tllle work is one naturally attell(le(l with many (di'ficulties 111(1 (lisap)pointments. Tle latnd c(ontours must b)e ac(curately leIt'cnllilled, a task which involves weeks and montlhs of labor, (lf1 in tlie depth of the jungle. Tl'e rivers anl streanlll of tIll regioll must be carefully examinled anll bothl tile maxilllmml 1111l liilllinlium flow of water definitely measnre(l. In tile ty1li1,on belt this is extremely important bec(ause, wlhile monley t; Il(ot be wasted in excessively strolg works, all construetil(, must be strolng enough to withstand tlle greatest possil-: strain, even though tlie rainfall which causes tile strain l'lI not come for a period of many years. Then, too, tle ("{' iosition of tlie earth strata beneath tlie ldans alld mail '1" Is must be carefully determined by test wells. TIle strata llii lbe of a sort to uphold tle weiglht of tlle dam and retain W ll ( surface the body of water. Thlls is of tlie utmost iini" ce,:'ee, since a very expensive system could be relllerel t iitely useless by excessive water seepage, and tlme comll11 collapse of a dam may be brought about by the flow of,i ground waters. 1 Philippine Agricultural Review, Vol. V, No. 4, p. 178. EC(ONOMII(C ('C(ONT)ITIONNS The irrigation system on the friar lands of Cavite furnisllhs an example of a successful project. T'his system contails 135 miles of ditches, 117 ldamrs, and 12.5 Iiles of tulllls. lhese convey water to 21,00( hectares, whicll prodce yearly about 1,000,000 cavans of rice. Tlle product per liectare averages from two to four ties 1 that of tle nonirrigated lanlls of the immediate vicinity. One important project is now (1 91 2) under construction. The San Miguel, Tarlac, project will scirve 4000 hectares at an expense of P271 per hectare. The Saiti rlarbara project in Iloilo I'rovince will serve 4000 hectares, at an estimated total cost of P190 per hectare, alndl is plrposl( for constructionl as so(,l as legal requirnilelnts have beenll met. A large lumilber of slllaller projects have lbeen examineliil (ilnd thleiln constructioll will lbegill as soo() as co(Ldlitiolis lpeiliit. These p)rojects includle nearly every plrovince in the Islaiitis. Unlfortunately the natural (litliculties are not the only o,(s with which tie engineers lave to contend. In somne (,;ise a system has been surveyel and found feasible, only to 1, laid aside because of tlie opposition of tle farmers wlhom it was inten(led to benelfit. Various reasons are given fol llii opposition, but it seems to )be based on a fear of tlie ye,.irlv tax payments, and is, in part, the result of past (lifticultile over the payment of land taxes. This opposition can l ( be met by showing the benefits of completed systems, all i will undloubtedly (lie out as Inew systems are put into n(,!(''tion il (lifterleit sections. Ai\y successful system nlll (elr ( - ellinele t control must b)e adminiistered( il a mal: ner absol ''l fair and just, bothl as regarlds tle collectionl of (lides anll tli( distribulti(:l of tlee water. ()lOly in this way ca(n tile sill ih' tendlelt will ald( retaill tlle colfi(lelice all g((ood( will l( t11' farners withl whom lie lIas to deal. Tr'le installation of irrigatio(i systems in tlhe Philiui:ppii ti > greatest importamce to tlle ilnhabitants. IrrigationI will ilu nt's the food supply by increasing tlhe nlumber of crops and wil iv' stability to agriculture by insuring thle production of full ( I'l' 1 Mranila Times, May 15, 1912. DIEVELOPMEKNT TN AGRICU LTU IlE 153 I.3 I''S ~ET5,All crops are more or less subject to attack by pests. Some 1)csts have little ill. effect on the, vitality of plants and the, aiiount of yieldl. Others are very destructive. It is seldom that pests cane be absolutely extermiiiated, bitt itist of them can be held in check or the effects of their rayages lessened. A few of the methods tlsed inl connection with (ivf~erent pests may be mentioned. 1. The most obvious tnethods, atld those ttsed by primitive and)( civilized people alike, are the mechanical protections, such as scarecrows for birds alt( fences for pigs. It 5 ome regions 1);fidi~s of tar or other substances are applied to the trunks of tvecs to prevent wvormis altd insects front crawling ttp into the. i\ an et a ekildb ado by umechanical means. Foi instance, locusts are (Iriven. into (litches and there exterainitated; rats and other animals are caughlt in traps; tobacco Nv)rtni are, picked frotn the plants. )ther methods employed in, the extermination of pests are hel( results of scientific investigation and close study. 1K I- ~Osons and insecticidles are usedI thnoughout the world. 4- BY careful study the 1breedling places of Jpests can be lvu~' (overed, and this knowledge off ers a i excelleitt method of OwItioh. The destruction of rub~bish and (lcad trees protects H)il1t groves frotn the rhinoceros altd other beetles. So)ntetimes certain loruts of life (lestrucetive to pests are 4. The increase of (any Insect would1 be very large, if the ';Ial( restraints were-, reinovel. F~)r instance, aisinle, feitale, toe of thle c-'oimnlonest m1oths lays over, live hundred eggs hits life. Of these, two hundred can be rearedl to moths 1ad l arJ~titucial condlitions; these 1)ro(uee fifty tloonsamnl eggs. hese again twventy thousand tmoths reach mnatitrity and profiv'e million eggs,. This, is the rate of increase of itsccts inl Captivity, and shows that the increase of one mtoth cc-' generations is eqluivalent to ten large and devastating DEVELOPMENT IN AGRICULTURE 155 6. Often one variety of a plant, more hardy and better able to withstand the attacks of pests, can be substituted for other varieties. For instance, the coffee industry of the Orient (including the Philippines) was practically destroyed by blight which cannot be controlled below a certain altitude. Arabian coffee is most susceptible to this disease. On the other hand, other species of coffee, such as the Liberian, are more or less resistant to the blight. Hence such varieties and their hybrids are frequently planted instead of the Arabian. 7. Lessening the effect of pests by changing the season of planting is sometimes resorted to. An excellent example of this is afforded by the history of the cotton-boll weevil. This insect was introduced into the United States from Mexico and has spread over half the total cotton region of the country. Although much attention has been given to its control or destruction, no parasite or other natural enemy has been discovered. It cannot be poisoned, and mechanical means of killing it have failed. A study of its life history, however, brought out the fact that weevils were comparatively few in number immediately after winter, but multiplied rapidly during the warm weather. It had been the custom in Texas to of life that will be destructive to pests. The most advanced agricultural countries have spent much money and labor in searching for such checks, but so far there has been an almost complete record of failure. The scale which attacked the orange groves in California was destroyed by a ladybug introduced from Australia, but this is an exceptional case, since the scale in question was also introduced from Australia. By inoculating rats with virus an epidemic disease destructive to them is caused. Much money and labor have been spent in searching for a fungus which will exterminate locusts. The danger of introducing animal or vegetable life which will in turn become destructive to agriculture must be recognized. For instance, ferrets have been introduced to kill off rats, but are themselves very destructive to poultry. The gypsy moth was introduced into the New England States in connection with scientific study, and has already proved exceedingly destructive to the foliage of trees. Millions of dollars have been spent in attempts to eliminate this pest, and it is only with great difficulty kept in:;control. Rabbits were introduced in Australia for sport, but they multiplied so rapidly that they became one of the greatest sources of damage to;imany crops. (See H. Manwell-Lefray's "Indian Insect Pests," Calcutta,:1906, office of the Superintendent of Government Printing, India.) 156 ECONOMIC CONDITIONS plant cotton late. The plan now adopted is to plant early. ripening varieties, and thus a good crop is picked before the army of weevils has reached anything like the maximnuim The cotton field is then plowed up and burned so as to kill as many weevils as possible. Thus a profitable crop of cotton is grown in Texas where, under old conditions, nine tentlhs of the normal crop was destroyed.1 The boll weevil is also found in the Philippines. The chief agricultural pests in the Philippines have already been mentioned in connection with food and export crops. Rats are particularly destructive to rice. 'They may be held in check by traps, poison, or virus. The chief enemies of co(r are weevils, which can be prevented from attacking the grain by growing a hard variety well covered by husk. Swarms of locusts sometimes occur in the Philippines, particularly after an extraordinary dry spell, such as that of 1911-1912, which is favorable for their growth. They are very destructive to many crops, such as rice, sugar cane, corn, and coconuts. While they are attacked by many predacious animals, insects, and fungi, the swarms increase so rapidly that they can be destroyed only by mechanical means or by insecticides. In the Philippines they are driven into trenches and there killed, or insecticides such as arsenics and kerosene are used. Locusts breed in grasslands, and, as the Philippines become more settled, will probably disappear. In the meantime their occasional advent makes necessary the cooperation of all the inhabitants of the regions affected, and the intervention of the government to annihilate the swarms of adults, and the young before they can fly. The control of coconut beetles by the (destruction of their breeding places has already been discussed. The tobacco worms can be held in check by picking them from the plants and by trapping the moths by light. In sparsely populated regions wild hogs and deer are destructive unless kept out of the fields by strong fences; they are particularly dangerous to the numerous new coconut plantations. 1 Review of Reviews, February, 1904, pp. 188-191. ECONOMIC CONDITIONS Only one important industry in the Philippines has been seriously affected by pests, and that is the coffee industry, which was practically destroyed in 1889, although it is again becoming important in certain highland regions. On the whole, however, it may be stated that, considering the climate and the small amount of attention agriculturists give to the control of pests in the Philippines, the destruction wrought by them is very small indeed. The natural checks hold most of them in control. AGRICULTURAL MACHINERY Civilized men have far outdistanced primitive tribes in cultivating the soil. The kaingin system among the Subanuns has already been discussed, and it has been shown that these people cannot use the same land for a long series of crops because their implements are too crude to work in hardened soil covered with grass. Moreover, they do not understand how to treat the soil in order to prevent it from hardening and to retard its exhaustion. Kaingin are also made by Filipinos to a small extent. Many clearings of a permanent nature are also being made each year, for as population increases new land must constantly be brought into cultivation. In forests the undergrowth is cut down and burned, the large trees are felled, destroyed, or removed, and the stumps are pulled up from the ground, blown up by dynamite, or burned out. The first crop planted is often corn. On the Manobo farm of Butuan it has been demonstrated that it takes three years to clear forest land and put the heavy, clayey soil in proper condition for general crops. The cultivation of legumes and the use of green manure have met with great success in preparing the soil. Cogon grasslands are burned off, broken up four or five times with the plow, well harrowed, and planted. The grasslands of the Philippines are best brought into cultivation by steam or cable plows, which are able to tear apart the mass of roots sent out by cogon. A 8WR ET$DOK ClLTIYA~r+E GTTt~b C, ~:~~.I I~~~~~ ~ ~~~~~~~~~,1, I.s ~~~ " ~ ~ ~:i ri l.i a sa 1,i i 1: i, L. |.!.; OM A 1673 162 ECONOMIC CONDITIONS must be built to sell within the purchasing power of the small cultivator in the Philippines. For large sugar plantations and other estates power machines, both traction and cable, are required, and these also must meet local soil and cultural conditions.1 REMEDIES FOR SOIL EXHAUSTION The tendency of plants to exhaust the soil can be retarded or prevented in four ways: 1. Exhaustion may be retarded in certain instances by fallowing. This is practiced in the Philippines in the culti. vation of sugar cane, where after the crop is gathered the land is allowed to remain idle. Where only one crop is grown and the fields are allowed to lie idle during the dry seasons, rice does not seem to exhaust the land. Cases may be cited where large Philippine areas have been grown to rice for at least a hundred years and still produce crops without the use of fertilizer, which is probably due to the effect of the sun and air on the soil during the dry season. Nearly all the soils grown to rice crack open when exposed to the air and sun.2 2. The fertility of the soil may also be mnaintained by rotating certain crops. In temperate regions the rotation of crops has been carefully studied, but not much investigation of this subject has been made in the tropics. One authority,8 however, has suggested that such crops as yams (ubi, etc.) be planted the first year, corn the second, sweet potatoes (camotes) the third, and castor oil or some such crop the fourth. Sugar cane is frequently followed by beans and corn; rice is then planted and followed by beans and corn again; then comes a second crop of rice, after which sugar cane is again planted. An important effect of rotation is the resting of the various layers of soils, since the roots of different plants 1 From information by the machinery expert, Bureau of Agriculture. 2 Bulletin No. 22, Bureau of Agriculture, Manila. 3 H. A. Alford Nicholls in "Tropical Agriculture." D)EVEl l xiPMENT IN AGI(ICI LTURE 159 The most i prilmitive forms of agricuiltural iplements are tlose used iin the liack system, that is, the digging slcik, tile woodeln slovel, anl tlhe hoe. S ati mlr an d mlOntail. peoples, as we have seell, have ii(t advaM,'ced1 bheyofnd this system. The Fiilp)inos, however, emplploly the plw and harrow alost entirely. In fact, as las been Sell ili the rice industry, when carabaos aid eattale are not available for pulling plows, agricultire tlangishies or stops. The Fhlipiiio plow andl litow are i3most plrmitite, but, are beig graidually sipersol edb i more adva iiel filrs. 'The pil w ii its tree pointed at one erl3i. Tii, crude. one -hi andled ifal ar a lerely ates tlie soil anidl iesilts in vu-', shlallow cultivatis. A cast- iron share a l monldbiard are i ow g'ellelrally attaehed and dI fairly good wonrk. 1 Ibnuow 'ised here i lde f baboo afnd i r sii t pi l veriz, e e golundil nearly as tlhroriiglmly as is necesSiU i ill oi t ier to lr(odtleef a we11-Ip'eirel soil. 'lltivratlili f cr.e)ps nl tihe XPlilppinies is Ildte lby the I ldtiVte poiw v nr lby ' and. and e(xcept ii a few plaees where sl li iachinerly ilas bee iiltrondned, the crnps are r hasa v d hy valia. ie ienitio ori li adiaptatii of maci lnery is niit a simple et er and, as mentiioned in the idisenssioni f( rice itlachi ne:ry, ibe the prodnet of experielnce. For inistaree, all the helavy il p o rtl e iiito thle P1h1ilppfime lve prlirvemil nnsneeessfnl N e liter aiid all Ilel po avs hae giveii satisfacti mi 160 E ECONNOMIC CONDITIONS but are too eXpensive. M(oreovr, the point at whilch the ealbia) s iattaehed to the plow mulst be lower thaf that at whirtc tlle Anerirans horse is hilthed(l. Experience has proved tlhai plow points anld siLares ll( e of tih ironi fromi Angat, Bulacan, give great satlsfaectilo in mlost Philippilie soil. From this conlll ipositirol of ietail probably better plows cail. Jle imde tbe ai t hose now being l lllorted i nto te Islands. 1 t. t X of the tp to three years ago) little hadl beent accomplishee d inl thi ta iLtrodudletion of more adlvaneed agriLcultiral liachiiery into tlle A MOilt. S i iraAT WORiK Philippljines. Renently, however, much i ntarest h~as, been slao ii aid large andi l siall rmachiniaery been i1op1rtad in e o-ii i erahle ikaanrtity. Mnieh can be done in adapting* siaha macnnin, to hocal eondiitifois. Tha piablemis eoaineted with agriiulti maaehinery in the P hihipplians relate to two classes: sma:tll rI euihtural moplemi)ents for smaall (wiers arid siaill fields I aahinryii adapteatd for use on sugar hilaitbAtiois and other 1 v: hdhrils, For t thnesnal farier s a ight gre p nay, light a I harrowan sixiroa siarathaig harsow one-roy corn patersb a^ drlls, and lve or thr hvlnIta are lecssa t' .~~~~~~~~~~ i6 L)* Io W... 6 i,,TiAtio ~l LARGE AGIULUA,,, II SE FR 0 ST,,a;TmS...~ ~~ ~~~~~~~~~~~~~~~~~~~~. 'r ''i~,.i.,~; s2. '> 's 0' jSEI'....ill~ SE. ex2i~ r W~il' C1' Pi.......... S.~~~~~~~8,,,, _ '2,'"jD...................'.............,,j DEVELOPMENT IN AGRICULTURE 163 Wire sent down to different depths. In addition, a proper system iof crop rotation prevents vegetable and animal pests. While different crops are planted one after another in the Philippines, the idea of the planter in doing this is not to rest the soil but rather to use the land as much as possible. In the:Cagayan Valley tobacco and corn are rotated, and in other districts rice alternates with sweet potatoes or other tubers. 3. Some plants, such as green gram and the cowpea, gather nitrogen and leave it with their roots in the soil. Many times the plant is not used at all, but is cut off before it matures and::turned into the soil. These crops are planted with or before i starch crops, such as the potato, the growth of which is aided ' by the nitrogen thus left in the soil. This fact has been understood in the Philippines, and green gram is sometimes planted before a starch crop. The cowpea and manioc have been rec-? 0ommended as crops which can be planted together, the cow-?pea supplying the nitrogen needed by the latter.1 In the | Philippine regions affected by the dry season but provided with irrigation facilities, a crop rotation of corn with cowpeas |l; between rows planted during the dry season and followed by i two crops of rice would probably be successful. The fact that the first period in the growth of rice occurs in seed beds makes it possible to accomplish this rotation within the space of one year. 4. Exhaustion of the soil may be prevented by adding ferUtilizers to it. Fertilizers are usually divided into two classes: (1) the general fertilizers, which include farmyard manure, iashes of the waste part of crops produced upon the land, the waste products of towns, and the like; (2) special fertilizers, or artificial fertilizers, sometimes also called commercial fertilizers, which contain large quantities of nitrogen, phosphates, lime, and potash in varying proportion, according to the crops which they are intended to fertilize. They are made from numerous products, such as guano, bones, oil cakes, slag, hells, gypsum, and many other minerals. Unless fertilizers 1 Journal of Science, Vol. III, No. 2, Sec. A. l)EVEE(P)i~MENT IN AGV L U _Ii t3 163 aie sent dont lfeei lepis. In addition, a propel systenm ot erop rotatioii prevents,, vegetable and animal pests. While, (litterent crops are planted one after another in tlie Philipp~ines, the idea of the planter in doing this is not to rest tile soil but rather to nse the landl ais Muich as 1)ossible. lii tle, Cagayan Valley tobacc~o and corn are ro)tated, an(I ini other (listriCts rice alternates with sweet potatoes or other tublers. 3. S-~oi-ie phuaits, such as green gramt anol the cowpea, gather jiiitrogen. and leave it with their roots in the soil. M/Iany tim es the, plaiit is not nsedl at all, but is cut ott before, it matuires and. tiined into the soil. These crops are phaintcdl with or before star-ch crops, such as the potato, the growth of -which is aided by the nitrogen thus left in the soil. T~his fact has been iinllersstoodl in the IPhilippines, awl green gram is sometimes planlted. blof ore a starch crop. The cowpea awl inanioc have lbeeli rccoiiini-eiided as crops which can ibe planted together, the cowtlaa slipplying the nitrogen needed by the lar-tter.1 In the Phiilippine regions affected by the dry season but provided wilth irrigation facilities, a crop rotation of corn with 'owvpeas lwt ween rows planted during the dry season and followed by h vo) crops of rice would p)rolbably be successful. The fact that III(, tiist jperiodl in the growth. of rice occurs ini seed beds makes it ssbl to aecomplish this rotation withhi the, space of 01year. 1.Exhaustion of the soil may be prevented by adding ferI Koers to it. Fertilizers are uisually dividled into) two classes t-he general fertilizers, which include farmyard manure, &" s of the wastc part of crops produced upon the land, the 1wl products of towns, and the like; (2) special fertilizers, i11tificial fertilizers, sometimes also called eomnmercial fertivwhich contain large quanitities of nitrogen, phosphates, Mid1( potash in varying proportion, accordling to the erops they are intended to fertilize. They are made fromn 111Oloil01s lprodhicts, such as guano, bones, oil cakes, slag, Sgypsuml, and many other minerals. Unless fertilizers 1 Journal of Science, Vol. III, No. 2, See. A. ECONOMIC CONDITIONS are properly and intelligently applied, however, their use may result in more harm than good. Owing to the abundance and cheapness of land in most places, Filipinos have never properly studied the remedies for soil exhaustion. IMPROVENMENT IN Ct-OPS In Chapter I it was seen that most Negritos now plant a few crops, that the Subanuns are fairly well advanced 1)(tll in the number of plants grown and in the variety produced, and that the mountain peoples excel both these tribes in agriculture. It is a most natural thing that primitive man should eventually plant the roots and cereals which he has found and consumed in a wild state. Once the idea of agriculture is grasped, the number and quality of crops is increased by the importation of new plants, and by plant breeding, cultivation, and selection. Improvement by cultivation is illustrated by every crop now grown by man. Plants freed from the noxious effects of weeds, and cultivated in soil more or less carefully prepared, produce their useful parts in larger proportions than when growing wild. Moreover, the greater the care exercised in cultivating any crop, the greater is its utility. The kernels of grains have increased in size and number over the wild grasses from which they came. Vegetables have been increased in size and palatability. The flavor, size, and color of fruits have been increased, and the seeds of many of them have been reduced in size or even entirely eliminated. The tendency of plants to improve in favorable localities with careful cultivation is emphasized by selecting the seeds of the best plants for reproduction. Less advanced agricultural peoples usually practice seed selection unwittingly. According to Mr. Roy F. Barton, the excellence of Ifugao 1 rice is probably due in great part to selection of seed. In most districts the largest heads having the largest grains are carefully 1 Economic Report by Roy F. Barton, Ifugao. AN ExNcbLLvbNN 11Vp PooIyBm y ge1u AN IN1hialou. TVPrN CYITIOUN FRUITS 165 166 166 ~EC()NOMIiC (I)INI)IN selected and bound into bundles for the next year's planting, but this is not (ue to any scientific knowledlge on the part of the Ifugaos. The custom results,, froni a religious superstition, for they believe that if large grains from large beadls are platnted, lby analogy the next year's crop will heave large grains and larg'e heads. liniprove~nent by selection. is under, — stoodl and. intelligently carried ont only among the most advait eei (agricultural peoples. TIhus wiheats from the m )rtlhent1 parts of Amierica mlatuire in munch less tn-ne than. those froiti the Southern lpait, and, as has already been noted, the intr-o(lucti( I of tI e (pi ic ly mnatu ring northern cottons into lexats has partly solved tihe problem of the boll weevil. in the~ Unitedi States flax plants are grown for their seed, in Ru"lssia for their fiber. In inamty p~arts of tlte Philippines the pineapple, plant is -valnedl for its fib~er ratiter thcan for its fruit. lii the 1.1 nited States onie variety of corn niay lbe grown lbecause It is rich in oil, another 1beccanse it contains miore starch in propoition to tlte otiter contstituents. In tite sante way certaiti wlteatt5 are seleetedl and grown for the miacaroni trade, since tltese etOItamn a, lar-ger proportion of gluten. thtan the ordlinary wheats. In general, it is true, that Filipinos do no ullrtalitprovenieut of plants by seedl selection. O'n tlte contrary, sV tion in certain crops is often so made that the best plants o colisnimedl or sold, leaving the poorest to produce the swed for thte next season's c,,ro-p. Perhaps one excerption should h mnoted, and. that is the selection of tlte variety of rice grow"il fii a few localities the best varieties are always selected. 'A Ft " tilte drought of 1911 -1,91 2 early varieties of rice were pla1 01 in may lo)calities so that the crop, since it was planted i wvouldt natmire itiore rapidly than -usual. But, as ha,[s Cjj-ahUY lbeen ttotedl in. thte discussion of rice, it is very seldom- that I t>1N attentpt is made t~o select the best heads in tlte field forbigo the ine. t season s crop. Probably every crop growl~ Filipino agriculturists could be ilnlroved by,selection. It mimst not lbe thought that the great advance made tl varieties, anol types of plants has resulted only fromt se.~lc IW DEVELOPMENT IN AGRICULTURE 167 ijin the fields. Certain men have made the evolution of " new i:plants " their life work, and the results obtained by them have:been accomplished by both selection and crossbreeding. Examples can be taken from almost every line of agriculture. Two which are of importance to the Philippines are corn with ears well covered by the husk as protection against weevils, and the hybrid coffees, which are more resistant to the coffee pests than the Arabian species. I)IVERSITY OF CROPS The Philippines are an excellent example of a country whose agriculture is largely dependent on foreign plants. We do not know what plants were brought into the Philippines before the arrival of the Spaniards, but the Europeans found already growing in the Islands rice, coconuts, sugar cane, yams, taro, bananas (including abaca), and several other plants of minor utility. Since that time tobacco, corn, maguey, cacao, coffee, the papaya, chico, guava, a great variety of vegetables, and several other minor economic plants have been introduced from Central America and other parts of the tropics. Even today new plants, such as the fruit known as the roselle, are: being brought into the Philippines. Plant introduction for-: merly resulted from the activities of merchants, travelers, or sea captains, but to-day governments and even private indi-: viduals send out agricultural explorers to search the entire ' world over for plants that will grow in certain soils and climates. Thus the agriculture of all advanced countries is; becoming more and more diversified. It must not be thought that diversity of production is synonHymous with self-sufficiency. The policy which has for its aim the domestic production of all articles required by the family:)or the community or the country is open to criticism. On the other hand, the policy which makes the agriculturist, the agricultural community, or country dependent upon one crop places agriculture on a very unstable basis, particularly in the ECO NOAM I (C ( ON I)ITIONS tropics where the amount of yield and the demand for certaill agricu:ltural products fluctuates so much. The history of collmercial tropical agriculture seems to present a succession of "bonanlza" crops. Th e uses of a certain tropical plant beilln recognized in Europe andl America, its planting was begunll i the tropics. A brisk dlemand for its product ensuted, an(d goo(l returns were realized. Then there was a rush to extend tlhe plantings and to take adlvantage of the rising prices and large profits. Method(s of planting and of producing the commnodity exported received little attentioin. There was milch waaste from) poor methods, alt(l the land was not utilized to its full capac(ity because energy wvas concentrated on0 tlis one crop. Extensive rather tlan intelisive metlods were employed, but large prolitis were made blecausc( of thlle high prices obtailled for the prodcllt. But the tulling point was always reached. Thien tlhe industry was wi)pecl out,, or placed oii a stable basis suchl thlt goodl plro)fits could result fron careful agricultural Imnetlo(ls. Tlle sugar industry of the West Indies is an example of all industry almost destroyed and later placed upon a stable basis. Enormlolus profits were first made witl crude methods, but as so0on as econolict mnethods and government aid produced snlar more cheaply from beets, the sugar industry of the West Indies was almost destroyed. It was renewed only by adopting i1 -proved methods from the beet-sugar industry. The coffee'!(' profits of Ceyllon were wiped out by a pest, alnd later tile ( ilchola industry felt tlle effects of overprodluction. The illi " plaltations whic(lh fo a tilme prodtuc(ed such( large fortunell ill the Il((ocs p)rovinces of thle 'llil)ppines werel mae ui(le iiii ablfe ly thle production of synthetic indigo. 'lTe coml)l it' of sisal fiber lell)ed(l to redtuce the protits froml a)baa p( 1 t;1'11 tions, and will plrobablly seriously affect that illdustry ii:l',s better metlods are employed in tlhe cultivation a-nd strip'till' of abaca. Mlillions of co(onuts are now being planted il! til' tropics. This is the result of highl prices offered for (' 1'1;' H-owever, thle demranld will sometime be supplied, an(d 11,tii will then be made only from groves which are well p)i' itt(l DiEVELO PMENT IN, AG~I IT ) TITI~E I~ 1, 69 and cared for, and the produlct of which is carefully prelpared. T1he small plantings of maguey were profitable in the lPhilipP~ines when. thre price of agave fibers was high. With the pr-esent increasel lprodluction- and low price, maguey is profital)le only in large plantations where every advautage can be, taken of the reduced cost of large production. and of niost a(lvanced methodls. Because of their production. of export crops, the Philippines are dependent on foreiogu countries for a large portioi-I o)f their food supply. The Islands import rice because large sOC~tions produce abaca fiber, copra, sugar, or tobacco for expor-t, imiporting rice in exchange for these c,'rl)ps. H ence a shiort cr-op in southeastern. Asia,', or political unrst there, mcans a curtaihment of the rice supply of tle, Phlilipp~ines, hgih lprices, and( suffer~ing amiong the poor. Ilhe ideal conhi ion wouldl be one in whichi the Philippines Jpr41uce enouigl rice to supply local needs, raisinig and exp)orting prodlucts onrly Iif eIxchange for cotton. goodls, steel, luxuries, and othe ri clet( (s whinch cannot he prodlucedl here at all, or only at a much higher Cost1 thain that of importedl goods5. It is intercstmir to note that ILaguna -Province 1 was iiot nuiolh affected by the scarcity of food after the (irought of I Al-1-il912 for the reason that the diversified prodlucts raised tlIv(I insured the peolple against fam-ine. On the other hsand, orthe typhoon, of 11898, which partially (lestroyedl the copra '1alaca of M\asbate,2 thle r-ice imj()nts into Mlasbate, diminiI I because the people hiad nothing left to exchange for rice. (cliditioni caulsedl conlsidleralble suffering among t hem, and bV ad to take, to tile hills " i~n order to find food. AnIiliterestuog example is that of the 1)eople of(gaa.1~ who had depended almost entirely f or their living upon rtof copira aiio cattle Cand had bought their rice fromt I dwan. In 19110 this source of supjply was suddenly cut ofi 1 E1Comnomic repmrt bN 1R. G. MeLes)I. 2 Economic report ly James C'. Scott. 3Economic report by II. C. Stanton. ECON(OM IC COINDITIONS from theml; several trading lboats were sent to the Palawan coasts ald returne(l empty. Ilence, althlough the people ha(d plenty of copra an(l cattle, they were unable to buy rice andl( had to subsist on coconuts an(l a limited amount of wild roots found on the island. They immediately began to plant camotes all(d rice, ullt )owing to their inexperien(ce the first crop was practically a failure. Ille seconl was muclh better, however, and at present thle possibility of a rice famine on Cagayan,Jolo is remote. Alother very pertinlent example can be takenl from the abaca region of the Bicol penillsula. If tle occupants of the sn1mall ab)aca fields hadl been used to planting food croi)s around their houses, instead of being entirely dependent u)poll the abaca, they would have been able to tide tlheselves over the time when thle low price of hemp no longer provided (Ia adequate living. As it was, being entirely dependent Oll hempl) stripp)ing, they abandoled their fields when the price of hemlp became so low that they could no1 longer obtain a liviln from therm. It holds for tlhe ildividual, tile family, the community, aid tlhe country that tlle safest and sanest condition of agriculture is that in wliich a sufficient amounlt of food is raisedl locally to lrovide for olrdillary nleeds, (alnd export crops are grown to exclhange for produclts not albsolutely necessary for existentce. It is plrolbable tlhat tlie foodl crops raised in the Philil)pins could be increased to thle point of supplying local delnllld without decreasing tlhe amount of land devoted to exp lort crops. Tlle yield of rice and corn per acre can be nldet larger, andl much idle land can lbe brought into cultivatil}. 'Tle l)resenlt problell of provid(ing a domestic food sulllY can be met not only l)y general increase in rice and( ( ''1 production but also by greater utilization of small parcels, ', land in pllanting suchl crops as corn, sweet potatoes, 1:be; bananas, andl gar(len vegetables in patches for family or li'"l consumption supplementary to the staple food. I)EVELOPiM ENT IN AG(I(C UlTUil-E 171 S tTUMMAI RY The Philippines are not among tle more advanced agricultural countries of the world. Ilowever, tlis is a situation not witlout hope. The farinlers in what are now the advanced( agriculltural countries did not work out tleir ptroblems for themnselves alone. The greatest andl most lasting results have been obtained from the study and experimenlts of expert agieiculturists and( scientists in differelnt parts of the world, andl have been carried( to farmers bly all the lmnoler: mleans of publicity -publications, lectures, dlelonstrations, and the like. Efforts for bettering agricultural conditions in the Philippinels lave extended over a peri(od of several years. It is probab)le that advance in agriculture in tlie Isllnds will be slow, lbut with education of tlie masses and tlie example set for them,by agriculturists wlio have la(l special traiilnng or experielce, adopltion of modern metlhods will ultimately result. Like all otlier countries tlie farming districts in tlhe Phlilippines differ in tle chlaracter aldl intelligence of their populnhltion. In tlie wealt1iest and most,progressive communities (olsi(lerable advance in agriculture has occurred in the last t'\\w years. (JU/APT ER X11 EANI1) T EN URE 1NTIU )I)UCTIOr1-N'IIWl total land area of the Philippines is about 120,000 sqar miles, or 30,000,000 hiectares.1 It will lbe seen by referrinig to ('hart XX-VIII thiat one hialf this area is forestcl anid the other half opeii lanid. It is probable, that all this xv'ts once forested, and that not until the NMalayan jpeoples came were kainigin and permtanent clearings made which resulted ii open lands. Aibont ~33-1 per cent of the original virgin forest, remiains, 164- pci cent has grown up again in second-growth forest, about 40 per cent is open grassland, and only 10 per cent is the total area now cultivated.2 T he problems concerning tenure of Philippine agriculturl"( lanids fall under two considerations: (11) the size of parcels": and (2) tbe system of cultivation with respect to labor~er, owner, and country. SIZE, OF PA E-CELS MIost lprimit wfie lpeo~l-es have no conception of ownersl lip land, for they (l0 not occupy a region pe rmnaneintly and ofihsit Th''le following areas are given for compa-rison: ( nlba, 44,000) square m~iles Japan, 175,000 square miles,, Auistria, 110,000 squtare mifles (Chile, 291,000 squiare mifles lEemador, I 16;,000 square miles Mexicon, 767,00 square miles, Philippine Islandls, 120,00 square miles Ii1(fia, 1,773,000 squiare miles,, Great Britain, 121,000 square miless United States, 3,567,000 squiare '2 These estimates, are f rom reports- by the Bureau of Forestry. The J, of Ag~riculture estimates the area of cultivated land as 15 per cent e1 total area. In many countries of Europe all available land is culti'v Even in the United States, a comparatively new country, 40 per cecutland is in farms- andl 25 ler cent of the land is improved. In Java4 cent of the land is cultivated. 172 LAND TENURE 173 are not directly dependent on the land for food. However, as soon as a man brings a bit of land into cultivation, he appropriates it for himself. Most Negritos observe the right of the cultivator to the exclusive use of the land he has cleared, and some even place a value on such land. Among the Subanuns a kaingin is owlled by the family that has cleared it, andt the right to use it call be excllanged. Among advanced agricultural peoples improved land becomes the chief form of wealth. Rice terraces compose almost all the wealth of the mountain peoples of Luzon, among whom private ownership of land is recognized. The areas cultivated by the Filipinos may be considered as divided into small parcels, parcels of medium size, and large parcels. The amount of land which a::man with one work animal (carabao or ox) can culti-,vate is about 1 hectare (2.5?acres). Any. plot of land:less than this may therefore;,:be considered a small pare:el. HIowever, with the help VIRGIN FORESTS -.. 33 % {+ ++ +16z % SEC. GROWTH FORESTS. _-I1-+ + GRASSLANDS __ _"__._: " o CULTIVATED LANDS m ____ 10% CHART XXVIII. COVERING OF THE PHILIPPINE LAND AREA Bureau of Forestry Estimates of the whole family it is usually possible to cultivate a larger amount than this, the area deIpending on the number of active members in the family and jvarying from 1 hectare to 5 hectares (12 acres). Pieces of land over 5 hectares in area are nearly always worked entirely or in part by persons other than the immediate family of the owner. Chart XXIX shows graphically the portions of the Philippines in which each of these three sizes of parcels are ost important. Y(ON4JMIC (ONl)TTV)NS It slhould le understood tlhat there are parcels of lalnl of all sizes everywllere in. tle lPhilippines. Trle 111ap shows only the size of parcel into wllicl:h most of the cultivated land of' any giveni region is divided. The Philippine census of 19(03 states that about half the parcels of occupied land are less tlIan 1 liectare iln area, andl that a fiftll of these are less tll.h.01 hlectare 1 (.025 acre). The average size of Philippine farms is given in the census as 3 lhectares (8- acres), which meals tliat parcels of less tllhan 1 hectare predominate. Those ofl me(liulll size (from 1 lhectare to 5 hectares) are next ill ilportale, while of tie larger parcels (over 2 hectares) tlere are (comparatively few.2 Most of tlie land( in the province of Albay is in hol(lings wlich are from 1 hectare to 5 hectares inl size. 'Tnis province can therefore be taken as typical of tlhe lPhlippines in general, anlll the following figures comlpile(d by J. Q. A. Braden, 1Provincial Treasurer, may b1e conlsidleredl averages for the Islan(ls: 52-.38', or 5(),77 ()1arcels, contain less than 1 hectare 52.3% 28.9"%, or 23,2(01 parcels, contain 1 lhecttareI lut less) than 2 hlectares 10.55,,',, or 1(0,242 p arcels, contain 2 hlectares lbut less than 3 hllectares 4 <.2%,,(, or 7,9() parcels, contain 3 hectares but less thain 5) lfctLares 3.5:,, olr.,30)() parcels, contain 5 hectal(:trs but less than 10) lhectares 5.0() 1.55%,, or 1,6(-)2,par-els, contain 1() ectares or nl(:)re J 100()(),lO 100 1 As tlhe Philippinesar ae a land of scattered holdings, the small plots,'tiolled are in the hands of a smaller nmllller of owners than woulid: li'st be thought. Tlhe (questioll of the tlistribution of landl among the I)el';P(' is quite a different sulbject anll is taken up lunder thle hleading Systcll ' (t Cultivation il this chapter. 2 It will be n(ote( that the mlap gives tlhese dataL with reference to iAt l area, while tlie census gives them in percentages (of total number of i ings. Sizes of lalnd parcels in France are much the same as in the l'ii pines. In the United States the average size of farm is 55 hectaret (l acres) arlnd the average amount( of improved land thereon is 30 h'(:1' (75 acres). PIILIPPINE ISLANDS LAND TENURE AREA OF CULTIVATED LAND Most in parcels of less than 1 hectare (2.5 Acres) Most in parcels of 1 to 5 hectares (2.5 to 12.5 Acres Most ill parcels greater than 5 hectares 12.5 Acres) (Data from Economic Reports, Bureau of Edueation) I...8. O 0 0 (CItART XXTIX. LAND TENURE -AREA OF CULTIVATED PLOTS 1 75 ECONOMIC CONDITIONS Ilocos Norte may be taken as an extreme example of the predominance of small holdings. As shown by the records of the provincial treasurer, 100,000 hectares of cultivated land are divided into 200,000 parcels, averaging I hectare each. On the other hand, in parts of Negros and Iloilo 75 per cent of the land is in plots of over 10 hectares each. The large parcels have in a few cases been handed down intact from early Philippine times. Many are the whole or parts of large Spanish land grants made from the public domain. Some estates have been formed gradually by purchase of contiguous smaller pieces. A few are greater than 1000 hectares (2500 acres), many are between 100 and 500 hectares (from 250 to 1250 acres), while most are less than 100 hectares. In none of the larger estates is the whole of the arable land cultivated. FORMATION OF SMALL AND MEDIUM PLOTS The fields of medium size and the small plots are the result of several conditions: 1. The method of lowland rice culture, which necessitates dividing the land by dikes, results in small plots. Level strips of small area, but of varying elevation, are made so that water from the canals will flow through the higher levels to the lower ones. 2. When land was plentiful and was owned by virtue of tenancy and use alone, the settler cleared and claimed only as much as he could cultivate. The plots of medium size resulted. The manner in which the Philippine Islands were originally occupied is illustrated by the procedure of Ilocano immigrants in settling new country. They come in groups of from five to twenty, each group under a headman, who takes possession of a certain amount of rpublic land. When this is cleared and put in a state suitable for cultivation, it is divided among the immigrants by the headman. Quite often several families who wish to migrate intrust their savings to one of their number, who buys land for their new homes. This land LAND TENURE' 1 77 distributed among all those constituting the community, but he title remains in the name of the headman.' 3. Large parcels of land have been broken up through inheritance. The parents apportion the parcel among the children, both male and female, and thus after several generations the,plots become so small through division and redivision that it is impossible to further divide them. In this way it often happens that several persons will own an undivided interest in the i.same plot. In the more densely settled portions of the Ilocano country it is almost impossible to purchase even half a hectare of land that is not owned by from three to twelve persons. 4. It is with the greatest reluctance that the average Filipino parts with his land, but sometimes inisfortune or need of cash, occasioned by funeral, marriage, or other family event of importance, compels him to sell or mortgage a part of it. This ~land is seldom redeemed. Sometimes, induced by high prices offered by the tenants, the larger holders are persuaded to Isell small pieces of their land. Tlihe feeling which prompts the tenant to buy a piece of land long held by himself or family, and which makes the owner so loth to part with inherited holdings, accounrts for the persistence as well as for the growth of smnall plots. The property of the wife is kept separate from that of the husband. Every arcel is carefully divided among the heirs. Inherited property is so highly prized that owners do not care to sell it, even at three or four times what it is worth. Most landowners possess more than one small plot, yet it never occurs to them to sell several of their small parcels in order to buy adjacent property, although they might be able to obtain the latter at from one half to one third the original price.2 This desire for land (inborn, and the result of an aristocracy ased on land ownership) is even now resulting in the extenson of small holdings in most regions. It is true that in the 1 From the economic report of Fred 0. Freemyer, Pangasinan. 2 From the economic report for Laguna Province, submitted by R. G. cLeod, Division Superintendent. ECONOMIC CONDITIONS most backward parts of the Islands the attitude of the people is such that the condition of land tenure remains unchanged. Moreover, in a few localities where large parcels predominate, large proprietors are increasing their holdings by buying those of the younger generation who prefer to sell and enter some other form of employment than agriculture, and those of the small proprietors who get into financial difficulties through ignorance or inability to handle their own affairs. But the Filipino share tenants are ambitious to own their plots and the small proprietors to acquire further holdings. In most cases they fail to do this through ignorance and inability to conduct their own affairs, but those who do succeed in establishing themselves as independent landowners and in extending their holdings are constantly increasing the number of small plots. This will be further discussed in considering the share tenant. SYSTEMS OF CULTIVATION The rights of a person in a piece of land may change. They are not always complete; customs, inheritance, law, or contract may limit them to a term of years or to a certain amount of the product. These various rights will be best understood by a discussion of the systems by which land is cultivated. The large parcels in the Philippines are cultivated by proprietary, share, or rent systems. The small parcels may be cultivated by the peasant proprietors or by hired labor, or may be leased for a definite amount of money or product, or on share of the crop. THE PROPRIETARY SYSTEM In the proprietary system the owner superintends the affairs of his estate directly or through managers; the laborers work for a wage and are supervised in small groups by foremen. The Sugar Haciendas of Occidental Negros The sugar haciendas of Occidental Negros offer the best example of the proprietary system, and will be discussed here. There are about 400 sugar haciendas in that province, the LAND TENURE 179 average amount of land cultivated on each varying from 100 hectares (250 acres) in some parts to 250 hectares (625 acres) in the San Carlos district. During the busy season an average of between 100 and 200 men are employed. Only about 25 per cent of these laborers reside permanently on the plantation, 75 per cent being brought in, usually under contract, from the island of 1Panay and from the I-antayan Islands during the milling season, which extends from October through March. The contract which the laborer makes with the owner or his managers is usually a verbal one to work at a certain daily wage, the employer furnishing the transportation to his estate and advancing money to pay the laborer's indebtedness at his home or the necessary amount for the support of his family while he is absent. Sometimes this agreement is made with a foreman who has taken a labor contract to cut and haul all the cane in a field. In any case the men are worked in squads or groups of from 8 to 30, with one foreman for each group. The foreman directs and disciplines the laborers, but in some cases questions may be referred to the overseers or manager. c Families often accompany the married men. The women and I children do the lighter work about the farm and may even I clean and plant the cane points. The laborers usually live in villages grouped about the 0 owner's house, the permanent laborers in houses, the temporary ones often in barrack-like structures which may be quite crowded during the milling season. The wages given f are keep and money, varying from P0.20 to P0.60 per day, according to the locality and the demand for labor. Since labor-:ers seldom work continuously, the average amount earned per week is only from P1 to P2. Most of this is spent in gambling at cards or in the cockpit, and some goes for clothing, food, and tuba; but the average workman always takes part of his wages home with him. The laborers receive food from the manager only while they are working. This onsists of a ration of rice or corn with fish, usually dried; ECONO}MIC (IONDITIONS occasionally, perhaps once a week, mneat is incluldedl. As a rule the peranaieiit laborers are Ibetter honse(I aiid fed thian the, temporary ones. Tliey sometimes have garden 1)lots and a few chickens ai1( pigs. JIlie relat(ion lbetween jplanter and lalborer is only the 1)1151 iiess oiie of enijiloy)Ter 011(1 employee. Tlie planiter works hi1S laborers, so as to obtain the greatest Jpossible results fromn thieir elfforts. Mlost of thle laborers, however-, are dIrawnt fromt the class NAhiieli, largely from ignorance, (lesires to work (as litt le as 1)ossilble for their wage, and to olbtain as m~iany adlvailees (is the jplaliters, can lbe p)ersuadledl to mnake. The plaiiter is exjpectedl at any time to adlvance money t') his tenants up to two moniths' salary, to furnisb medicine a11(t support the f amiilies during sickness, to get them out of troublec, to settle petty (lisp,_utes andl quarrels, and to give adlvice ari)( coun1sel on all snbjects. Custom generally concedes himn the righlt to fine h-is muen when necessary, to bring back ienewmi hiave left owing hiii money, and to collect from the childreil thie debt of a man who has dliedl. The laborers do not la for any action on the, part of the 1)lallter if they think it just. The planter is (deterred from abuse of these powers by fear 14 losing his laborers. The (hitheulties of the labor situation in Negros are du1>ill due, to thie fact thiat the laborers employed belong to the Ic; Ist intelligent classes of _Filipinios, an(d that they are without,uQ p)roperty or othier interests wvlich might give theni the stalilityv foumnd amioi ig lii(st IPhilippnm e agricultural laboring efiscli IM (-st of thiemi are recru itedl fromn (istricts where sugar gin-\vilug, is pr-actically unkniown, amld often they do not mi(lerst 1(1( evenl thle first I'u(hiuiellts (if agrictulture. Thme initial cosl bringing a laborer froim Il-anay may amount to P20. If, flWItf ore, hie works only part of tbe time, -and hie utsually t; dl>1 many lay-off s, - this amount of capital is lying idle.A pay day from 30 to 50 per cent of the men may be absent 'ol their work. It thus becomes necessary to maintain a loc of 1.00 men in order to have 60 working every day. P 1W( LAND TENUtRE 181 percentage of dishonest persons among the laborers is large, and on an average from 5 to 10 per cent " jump their contract " and leave the planter with only a debt ill his possessioll. A planter of Negros annually loses in tllis manlner from P50 to P1 500, depe(nding on the lumber of men employed alld in some districts amIn)ting to 10 per cellt of tlle ai mal sexpe'l(litlure for labor. II owever, ttle )lpllte's also are to l)lfae l forl the uIfor)tullnate labor situation. Iaylly of tlhem (1o not give enlouglh personal attention to their farms, land as a whlole they are mnaking little ctTort to better the conidition of their laborers. TIlere is lack it cooperation amonlg planters who accept as laborers men known to have " jumped " debts with other employers. Thell therle has been little attemnpt to estallilsh labor on a firmer }I asis by increasing tile Inumber of permlalnent laborers, providing small garden plots, and elcouragilng education. In general, llanters lhave preferred to keep the men in debt, hoping thus to retain their services, and lhave iot encomraged indepelndent \workers. It is noticeable that tlose few planters who provide 4'...1d food and shelter for their laborers, who treat them well (ail encourage schools, lhave tlie least labor troulle alnd are even;ille to obtain locally all tlhe lhelp necessary. T'1e adoption of lorldern methods wouldl permit planters to keep a permanent lalor force and (lo away altogether with tlhe unsatisfactory mi'Tatory seasonal labor.1 The lroprietarqy qSy.stem int Othlr P 'ovinces. I lie haciendas of ()riental Negros are silmilar to tlhose just (li' lssed(, but many of tlle p)easat lproprietors (wrho predomii': '( in tlhat province) are available as laborers (luring the 1'l season.2 'le proportion of permanent laborers on the sugar hacien-,1; is much greater in Iloilo than in Negros. All extra labor \rricultural labor is discussed in Chapter XIII. \Inch of the information concerning the haciendas of Negros was del l fro the reports of Eugene H. IR1abon, C. A. Harbaugh, Martin S. Jones,;'1" '>Iscoe L. Hall, supervising teachers. ECONOMIC (IONDITlONS needed during the millinig season can be obtained locally ini Iloilo, alid the labor troubles are of nmuch less imp~ortance, than in Negros. Rice, corn11, abaca, and sugar arc produced on the hiaciendlas of' Leyte. M-anly laborers live permanently onl the land, b~ut a large, numiber atle also annually br-oughit in fromt Cebn. Little dilieuity is enlcounteredi with labor by p~lanter~s of long experielncie. (hi~eat care is exercisedl in Vista1)lislling the estates, and only good workers are allowved to settle onl the farms, thlose who dlo lpoorly b~eing Xveeledl out. HIowever, somec trouble is hadl with tratisient laborers who leave owing money. The abaca haciendas of the Bicol. Peninsula are worked oii a somewh~at (lifterent plain, since abaca is usuially stripped(i o shares. AMost of the laborers live jpermallently on the haeiewita, and these are often assigned a smiall patch of ground onl whiich vegetables, banailas, and the like lare, gro —wn. Tenants sonictimes leave hacieni-das when the landlords try to (liscourage tim maintenance of these 1-Ilots. th'le wtage oif the stnlipper onl sh~are varies, With the amount of fib~er hie olbtainls and the marke1~ t pri1ce, fh-om Olic haftf to txvo) thirds. Ill somie pl~aces a ratiolm v~alliedl at P0.1 0 for every arroba of hemp strippedl is also give(i. Thl labore~r',s share, must usually be sold to the owiier (4 the land. Sometimes the owner furnishes fiesta during) tie year. lI-ic temporary laborers on anl abaca p)lanltationt are(' few an(1 are often better off than. the perimanen-t laborers; sincle heave small parcels, of their owvn. Teforemen heave the eral supervision of tile stripp1ers, weigh tile albaca, and thelie. rielaborer imist often (10 the transporting of the clean fueil to the selling place. Ilie also hats to cut weeds fr-oin thelfe' his~] and set out new Iplamnts. Lalborers onl the haciendla of rs'i jump thenr eonhtracts,' but to ta muchll less extent than Ml Visayas. A",nothero troublesome llahbit of the laborers is, steii 111n, and selling h]empil. Thlere is also a tcldiiely among thlel t` work a few days and loaf the rest of the time. This, is par" larly true where the p~eople are not interested in gardemi I t or mu small holdings. LANI) TENUIRE 183 In parts of the Cagayan Valley, particularly in Isabela Province, a mixed form of the )r(oprietary share system is found. Tobac(co is tlle staple crop. The laborers are assigned 1)ermanent plots and give olle third of the tobacco crop as rent. lThey are superviseld Iy foremen anl iusually sell tleir slare toi tlhe owner of tlhe lalnd. Iil a(ddition they obtailn tlhe entire pr(llluct of tlle corllfields alld receive from P0.25 to P0.40 a day for any other work not conuleeted witl their crop. Forms of tlie proprietary system also exist in other provinces. Nemw ]lantations Miany nlew haciendas lhave lately beenl establislhed in the Ph'llilil)ppines for tlhe cultivation of abaca, sugar, rubber, cocoints, p)ineaplples, and otller crops. Around( the (Gulf of l)avao aile several abaca plantations wlichl are cultivated by hired lab)or and stripped(l ly share. M(ost (of tile labor is perlmallent, llit a considerable portion is " floating." Th'lle largest sugar planitation in tlie Islands is that in M indoro, on whiclh modern metllo(ls are employed. Tlie laborers lhave been b1rougllt in and settledl permanelltly in villages. 'lhey are well treated a(Id it is reported tlhat but little (lifticullty is l1ad wNithl tlhel. ~1n tlie large sugar laciendas mow being cstab)lislhed il 1,aguna PIrovince 35 per cent of tlhe la)borers at presenit live perman'lntly on the land andl 65 per cent are )rought in from silrIudm(ling villages. They receive froml P0.50 to P0.60 and keep PIT (~lay. In general the new plantations are leing workeld 1on tl I''plrietary system and witl lalor p)ermanently established,1W t1ie landl. PEASANT P1OP()l'IET()1IS ii several sections of tIle ]Philippines tlie greater part of t lald(l is tilled b)y tlhe men whlo own it. Suchl localities;l: (1) those in which tll'ere is c11111h new land or in wlhich! 1, unoccupied land is found, as Nueva Vizcatya I'rovince, I11 of Isabela and Cagayan provinces, the lumbering re-.i. s of Blataan Province, parts of Tayabas Province, Iutuain mmI l'alawan provinces, parts of \Ioro Province; (2) regions 1-84 (110-NTI)ITIONS lonog settled, in whiich the, cultivation of the land by pen~sant prop~rietors results from. the wide distribuitioin of wealth. Such regions are parts of Tarlac, Pampanga, Laguna, Iliatanigas, Clavite, and (.aurarines p~rov~iices; A-lbay, Sorsogon, and( Antique provin~es; parts of Capiz and Leyte Iproviiices; 0n-1 ental Negros, B ohol, andl Misanus provinces. There, are other regions in winch the launl is ownell by the tillers of the soil, these are not given in (1hart, XXX, hut at conilarison of that chart wvith C1hart, -X.XIX wviii show tbecin. They are Ilocos Norte, Ilocos Sun all~l lPangasinan prov111ces; much of Bulacan and Iiataan jprovilices; pat of Rizal, (iavite, and~ Batang,)as provinces; parts of the ilicol provincs axnl pints of (cliii 'anA Leyte provinces. lIi these regions tfic interleasing( system predominmates (whiichi see,'). In all pmarts of time lslalmds there arc also lpeasant proprietors,, who ownt anid till a greater or less portiomn of the land. The nimnnber of plots, their 'size, alid the area of total holdings of lpeasant projprietors vary. In general the plots of larger size occur in time more recently settled regions or ii those having(- mu4ch unoccupied latid~. lin such (listricts the cultivator usually ownls one, jlot, from 1 hectare to 5 liectares (2i1 to 12 acres) in area accordling to the crop requiremnwits, of tobacco, rice, corn, sugar, coconuts, andl abaca. In wellsettled regions the, peasant proprietor often owns several swill 1)lots, sometim~es as niamiy as ten or miore, hut albout three on an average. lihe total area of these may be eo:nsideralhly li~s~ than is necessary to yield the proprietor a livimig, in Nvl~icl, ease hie will lease 11o0W lamm ml 01 liare or it mnay be lmil than he (-,an cultivate, ini whii.,f ch ase lie wviii let, other jpers 11 cultivate some of thme 1)lots on share. U'sually thme plots ( 011e owner are sep~aratedl, often by several kilometers, s5o 1ra peasant lprolprietors in general lose much, time inl going to 1 from their fields and spend much extra energy in keej' 11L~ each little plot fenced, watered, andl free fromt weeds. The condition of the Philippine peasant Iproprietor is I): W1 than that of any other tiller of the soil in the Islands.li I i i i i i i i i i i 7 i Ii I I i I I iiI Ii i i _ -- __ _ \ PHILIPPINE ISLANDS LAND TENURE SYSTEM BY WIIICH LARGEST PART OF TIIE AREA IS CULTIVATED U Proprietary m Share ' Peasant proprietary (Data from Economic Reports, Bureau of Education) Formosa 0. */ II t O a 9 ' ' *'"t '.;'^ BORNEO Q,j B~~;Q O O-' --- ----- ----------------- --- _ _!RT XXX. LAND TENURE —SYSTEM BY WHICH LARGEST PART OF DIFFERENT AREAS IS CULTIVATED ]85 ECONOMIC CONDITIONS position has greater stability since he owns property whichi protects his creditors fromn loss. He is not often a habitual gambler or a permanent borrower. His intelligence is greater than that of hired or share laborers since his self-reliance andl initiative are more (Ievelopedl. His income, is greater because hie obtains the total crop) from the land hie works. The total annual income of peasan~t proprietors expressed in pesos wvas estimated by the economic reports at fr-on P1 00 to P1500 with the average about P250. Nearly all this is spent forfood, clothing, and shelter. In some sections the relnan)lder is devoted to amusements andl luxuries; in others it is habituall y saved by the peasant pmoprietors. T1he Ilocanos save from5 to 1 0 per cent of their annual income an(I invest it in work~ animals and land. The income of the lpeasallt propr-ietor is seldom whiolly dierive(I fromt agriculture. D~uring the "off seaso)1" lie meay wor-k on a neighboring hacienda in the sugar harvest, stripping abaca, or in the coconut groves. At rice harvest lie and hisl family may reap) rice on share. lIe may be at lorter, driver-, fisherman., In mbernaii, or wandering nierchant. Often tic women of the hou-seh-old greatly increase the family inc~mle by keeping small shops or by weaving cloths,, hats, nilats, baskets, slippers, and the like, or making pottery, embroidcirv~ an(I other products in the home. Some of these p~roducts oreI used in the household, buit most of them are sold.' Si~n all O1ners who( rent or euilhivate wdlth Hired Labor In miost parts of the Philippines fewv or no owners of seW"1 plots cultivate them with hired labor, b)ut in the Visayas tl~in are regions in which that system is common. Several thionsi. plots are cultivated by hired labor on Painay, Negros, o Leyte, and (Ijebui islandls. 'In Tayabas P~rovince and the 8`0l Peninsula hired labor is enmployed on small coconut and a1I holdings. Smiall owners also renit plots to cultivators. 'See Chapter XVII, for a discussion of the relation between agrric and household manuifacture. LAND TENURE 187 These men usually interest themselves in gainful occupations. Those that retain a few of their fields often work harder and cultivate them better than their tenants. Some occupy government positions or are employees of large companies; some are fishermen; some interest themselves in commerce and become storekeepers or wandering merchants; some are day laborers, especially on public works; others are carpenters or barbers; many are teachers; while among the Ilocanos and in Capiz Province and other places they often devote themselves entirely to handicraft work in the homes. However, some small owners are satisfied with the meager income they obtain from renting their plots or working them with hired labor and set themselves up as petty landlords. In a few regions these men and the small owners who lease their land on share constitute a large idle population. THE RENT SYSTEM In the proprietary and peasant proprietary systems the owners actually till the soil or supervise the work, and are the only ones directly interested in the crop. They have the whole right to the use of the soil since they own the land in fee simple. Sometimes cultivators obtain a temporary right to the total product of the land by paying a stipulated sum of money or amount of product; that is, they rent the land outright. This system is one much practiced in Europe and the United States. In the Philippines it is employed to no great extent, though it is growing in favor in certain districts.1 In most provinces land is rented directly to the cultivator at prices ranging from P3 to P20 per hectare for rice soils. In 1 In Pampanga the large landowners rent tracts of considerable area to: tenants who in turn become landlords by subleasing the parcel to tenants. I The rent in this case is usually money. (From the economic report submitted I by Mrs. Lois Stewart Osborn.) In Iloilo sugar land is in some cases rented for |: cash at approximately P8 per hectare, this rental including the use of the mill and all the buildings on the land. Such large rented areas are worked by either the proprietary or the share system. ECONOMIC COND)ITIONS Isabela Province tobacco land rents for from P85 to P100 per hectare, depending upon the fertility of the soil, and whether. carabaos are included.1 The payment of a (lefinite amount of palay at harvest tune is am even mnore commnon formn of rental, and ranges fromt 1 cavan to 12 cavans of palay per hectiare (or the samne numb~ers of cavan-s for every cavan iplaiited). TI'le amiount of rent depends in ar.y case upon the fertility of the soil andl nearness to the village or town and is usually one thir-d of the cr01). The renter furnishes his own ctarabao. The ren-t'al system is found in Isabela Province, in the Central Plaini of Luzon, mld ill /atmales, Itizal, Laguna, Batangas, iNlindoro(, Panay, and Leyte provinces. In Zambales rent in kind is the system most used, but thie formn of control by the landlord approaches that of the kasanma system. In lparts of B-ulacan as high as 50 per cent,2 and in Itizal Province in the zacate fiedds near Manila 2~5 per cent, of the land is rented ontright. hi Laguna it is known as the "Busian" system.3 In this system the rent is a fixed charge against the renter. If the cropfal hie is usually given possession of the land for another year.s that hie may pay off the debt to the landlord. In Zamibales d-(tl vances of palay and money at high rates of interest are ima' h as ill the kasamna system. SHARE SYSTEMS In tile three systems just described the possessor of the land is tile olly p~elso1 (lirectly interested ill tile anlomnt tile crop. A large part of tile cultivated area of tile Pbihl) pines is, leased on share, by31 an arrangement in which Ie owner of the land and the tiller of tile soil are (lifferenitI s01n5 but are both directly interested ini tile size of the P1 produced. In some regiolls and uunier certain circumsta(t1 -S the sllare tenants are comiparatively free ill action, in oti IS" 1 Reports of Walter K~. Perret and Horatio Smith. 2 From economic report of Fred T. Lawrence. Reports of M. M. Boney and B1. G. McLeod. LAND TENURE 189 they are to a greater or less extent under the direction and supervision of the landlord, not only in matters pertaining to the tilling of the soil, but in family and everyday affairs. The Manorial System This system approaches that which existed in Europe at the time of the Spanish conquest of the Philippines. We can best understand the mediaeval manor by picturing to ourselves the economic life of a whole village as a unit with the manor house its central point.' The whole of the cultivated land then fell into two species: demesne land, land cultivated entirely for the benefit of the lord, which might consist of a separate enclosed portion, or of holdings scattered among the holdings of the villagers, or both; and land held in villeinage, that is, land held from the lord by'his tenants, who were unfree, and were bound to pay certain services to the lord. The amount of land owned by each tenant, and the services due to the lord, depended on his status. Two main classes can be distinguished: the ordinary holding was a; virgate or yardland, usually thirty acres (12 hectares), held in scattered:: strips; the holder of a virgate was called a villein. Next came the;: bordars or cotters, the general size of whose holding was one or two acres ( — to 4 hectares) though it sometimes rose to five acres (2 hectares) or more. These did not possess either oxen or a plough, and were in a |:; decidedly lower position than the villeins. Both villeins and cotters::were unfree, but their position was not that of slaves; a slave is bound to his master; his servitude is personal, he is destitute of rights, he may be called on to do anything... But the villeins and cotters were:territorial serfs, bound to the land to perform certain fixed services, and they were not destitute of rights, in general opinion at any rate; how far these rights could be enforced by law was another matter. Services were paid in labor on the lord's demesne, and out of the:very great variety of them two main classes emerge: "week work," ithat is, labor for certain days a week regularly all the year round, villeins generally giving three days' work and cotters two; and"boon work," extra labor in addition to the week work at times of the year:when there was special need for it; such boon work would be demanded at harvest, haymaking, and ploughing. In addition to week work and boon work there were often small tributes or payments in kind; fowls an eggs, bushels of oats, and so forth; and the villagers had to do |t ~ I Buecher's "Industrial Evolution," p. 103. ECONOMIC CONDITIONS what cartage the lord required. These duties discharged, the tenant had the rest of his time to work on his own holding. It is evident that the principal task in managing an estate was to see that the villeins and other tenants paid their services duily, and to superintend them at their work. Such work when ill looked after would tend to be little, for the laborer had no indulcement to work hard, tan in the case of the boon work, the villein had every incentive to evatde or put off fulfillllent of his dllty.... IWhlether an estate was valuable or not mainly depended on the amnount of labor available. Fertility would be undeveloped, size would merely prove cumllbrous, if there was a want of labor. Therre was no class of laborers who could be hired; a lord lust depend on the services of his tenants. Thus pains were taklnl to keep up the labor on an estate. It was, generally speaking, ilmpossill for a man on it to leave it; heavy fines were asked before perissioi was given. New holdings could easily be bestowed out of the waste, (, existing ones divided if more land was re(luire(. lBut above all, when tl(e aim of good management was that each manor sboul(l be self-sllficilg, that tie customary lab(:or should be enolugh and no mloney (isburse(l to hire more, it was important to have an exact account of the lablo o( each estate. To know this was to know the value of the manor.1 The manorial system is most closely approached in parts (of Mindanao. There the tenant las the use of a certail piece of land allotted to him by the owner. Tlle proluct of thle la(l is his own to do with as he likes. No rent is paid, but tle tenant is obliged to work for the landlord a certain part of the time, for which he receives wages. It is the custom for the tenant to work every second week for the landlord. If til two have a disagreement, the landlord must purchase whatcv\ permanent crops the tenant may have planted, before tlie lattlr leaves.2 There are isolated cases of the landlord's receivinlg the entire crop from a certain part of the land cultivate( iv the tenant, the latter taking the crop from tle remainder. On certain haciendas on Negros Island part of tile lam1 is tilled by share tenants, who often have to work two (dtv- week (" dagyao ") for the landlord. Formerly this service given without extra compensation but nowdailywages are p; '1 1 George Townsend Warner's "Landmarks in English Industrial Histo, 2 From the report of M. A. Maxey, Baganga District, Moro. 8 From the report of H. E. Carmichael. LA-NJ) TEINURiE Tue K-asania AS hare kSgtCiii trhe above two nflietho(Is are very local in occurrence. In most cases lanid is, leaseol on share of the crop. Flhe regions in which the greatest area of the land is worked by share systems is shown on Chart XXX. In general the relation of the tenant to the lan(Ilordl and the condition of 'both divide sha re systems in-to three kinds: 1. Large, haciendas cnltivatedl on the share system - the Irasamia, lraannti, 01 iuq~a dt~iio sstciie. 2. A large nnniher of scatteredi plots owned by one person muid leased to tenants - the scattered hioldings systemt. 8. Leasing andl re-leasing by peasaiit 1)roprietors -the inThle kasama system is found on nearly all the large hold1110s in th CentralI Plain of Lnzoni, in Zaitihales, andl in the (aga-ycan Valley (see Charts XXIX and XXX). It is also 101111( to some exteiit in most other parts of the Islands. The owner of a large shiare estate may or may not give liwsonal attention to his lad, Ilie may live onl the farm and (-It sely snpervise the tenants, or lie may live in town and inthrs~t himself iii other things. In tile latter case lie may have (tianager, who can ibe considleredl the landlord in this dis(OUssion, or his tenants may take care of themselves in a dis"Il-'jtliz ed manner. It is only tile snpervised, or organized, ts- 'tes, that wviil be discnssed here. )ui flost organize(I Iaciendas workedl on the share system, aladlord h as considerable jurisdiction over the affairs of the it, it. In all cases hie (letermilles the, crop to lbe planted, iLtimime of planting and harvesting, and such matters as PIIun directly to the cultivation of the plot assigned to the I 'i.The relation between landlord and tenant in private 'II 'I's (lepends largely npon tile custom of the community, the ic1,Ater of the individual landlord, and1 the class to which tenant belongs. The more closely the tenant resembles iiAborer described in the proprietar~-~setegetri EC)ONOMIC CONDITIOiNS the control of the landlord over his actions. In the kasama8 system as it exists in the Central Plain of Luzon, the lanli101(1 exercises ins control m-ost effectively and the tenant is correspondingly dependent. A4 TYquo ic A 0500 S!/a a The owner furnishies the tenant with land, a carabao, and seed, the product of the crop to he equally divided~( between themi after deductmng the seed. Upo-,n delivery to the tenant ( the anhnal hie ta kes 1)1m0110s," advance money. 'This varies f rom P I) to P 70 and forms a retainier, as it were, until the owner sees fit to j( lease him and his family. The mone~y itself hie generally sipend~s for hais womnenkind, andl the balance at the cock-pit, which is his natural (in,lpravity, hut ins only 1)leaslire in a life of hopeless dIrudgery. NaturallY. as hie lives fromn hand to mouth, hie is ahsolutely without resour1ces, (Xcept cooking-pots, a mat or so, and a few clothes. At the end of fltn week, usually on Sunday, he draws aration of palay froiu the omw or, which varies, though usually one half cavan pe~r w-_eek-, is sufficient Ifm his family. This amount hie pays back in kCind with no increase, U111(1 gathering his crop). B1-ut all other supplies of money that are generally (Irawnm f roi time to time f rom. the owner are paid for in " takalananl" that is, that at the end of thei season the tenant repays the landlordl inl palay at less than market value, say, at from P0.50 to P0.75I pe r e a v Ii a gain to tile owner of from lao to 200) per cent. When the land, for the proper and timely llreparatioll of whichl inl tenant is Ileld rigidly responsible, is once prepared the seed i-ice or1) I,(, cropI is distributed iii the fields awaiting trallsplanting. This partl (d time work is sometimes paid in total by the owner, tile tenamit doing( tink harvestingT at his own expense; but the general customi is f or the o\v il and tenant to pay halves, the tenant naturally taking the motiecy'(1 the owner, paying the same, rate of interest as the "takalanan," whhh'1 swells his debt. T le planters receive comnmonly fromn P0.15 to P day with rations, anli if tile tenant has iii his family any one, wh(~i'l plan rice, lie ilaturally reduces the price of his share of the plantiin:. The crop) once llaintedl, the ration of palay is nusuahly discountivI but the fanlily has to exist, so a new schedule is put into force. tlir" "terkiaan," 50) per cent increase, or " takipan," 100 per cent incren( that if a tenant recesives 5 cavans between planting and harvest lIIc pay hack 7-1 if "terkiaan,' or 10 cavans inuder " takipan." After sta~ 1This is an extract froni an unpublished report, 1' Circle for the stl Yo Social and Ecomiomnic Conditions in tile Philippines," a syiiopsis of u1 -l the kasamna systenm as found ini Nueva Ecija, by Percy A. Hill, issued Committee on the Prosecution of Investigation and Publicatiomi, Maiiila M Mr. Hill is a planter in Nueva Ecija. LAND TENURE in February, threshing commences, usually with carabao or cattle. The winnowing of the grain is generally done by the tenant's womenkind, who receive 4 per cent for their work. The crrop is now ready for division; first the seed is deducted and the crop is halved; out of the tenant's half is deducted for the owner his total almount taken in rations, his "takalanan " and "takipan." (Generallallll e has left is an increased debt and tle 4 per cent received by the women for winnowing; however, he manages to exist until the cropping conmllences again, when he resumes his ration and debt. Upon large farms and haciendas years often pass without a " patuid," r)1 settlement, and the tenant never knows whether he owes P50 or P 100; thus, practically not only his work is demanded but that of his wife and cIildren until they are old enough to enter as tenants, or until death lpasses the debt on to the younger generation. Their lives are a continual round of work and drudgery, the owner generally finding sometlhing to be done at all times. The tenant's food consists of rice and vegetables, which he raises himself, generally camotes, corn, beans, and greens, varied by fish claught in the rice fields during the wet months and by an occasional Ipice of meat. Upon this meager diet he works day in and day out, lis only pleasure being tobacco and an occasional drink of "bino." As a; rule he uses two suits of clothes and one hat per year, a total value of;aholit P. A large family usually swells the debt. If he gets despond-,llt,he has his former owner transfer hinl and his debt to another. IIe \' 11s 1no land, nor property, as a rule, and his house is a "cubo " or hut \t light materials, put together in two or three dlays. Of course his conliion often varies. An old "kasama" often lives as well and as conlit as the owner, and at the present timle an increasing number are;''iuiring animals of their own and hunting up homesteads or leased lail is, but many who obtain an animal fall into debt again. 'lite average taken by and charged against a tenant and family of three I'" -'",,is, estimated from observation and experience, are as follows: 'low, and other implements.... 3.50 cavans of palay i:ation, 2 cavan weekly, May 1 to September 30....... 10.00 cavans of palay nlpplies, tobacco, salt, etc.. 6.00 cavans of palay 'Ioney received at P0.50 per cavan, P12.00 (used for oil, meat, clothes, matches, etc.)........ 24.00 cavans of palay "erkiaan, October 1 to November 15, 3 cavans......... 4.50 cavans of palay 48.00 cavans 13lugnos" (advance money).... P20.00 194 ECONOMIC COND)ITIONS A gOod average crop for a tenant is 100 (avails his share of one half' (5(0 cavans) less 48 eavans leaves bim 2) cavanis to liay on interest of tlIf P20 adlvance mooney. ''iherefore as a ride P 100 is sufficient to siipml'or a fai-ily of three for a year, valuing lpalay at P'2 per cavan. If coniO beaus, or peas are raised, 0110 half goes to the owner after dedocting the seed, bitt only a small am~ount of secondary crop is grown. The, Owner exercises a power over the teitait that wouldi be difficiilt to define. lie, is consulted on all affairs of ways and nieans and eveii mnarriao-e absence froiu the landl use of animials, extra day or iiift work. In ipi ty lawsuits the tenant must obtain perloission to lparticipate; otherwise hie pays for loss of tinte at an, enornoos r'ate. The dense jiglorance o)f the tenant oftea. leads him to be imolosel upon by his mrore(, astute fellowvs andl lanidlordls, but on the, other baiol hie exasperatingly celebrates every fiesta ia the (calendar, aiol withiout~ careful. watclhing will lose it a iitontth by carelessness thie crop it look)I hint six oniotts to produice. Yet hie clheerfiilly sulomits to working oot~ debts which are somnetiumes held only iuy verluti pr'oiuises, often over-:t perio(1 of years, and once entirely out of debt, hte usually manages to fl into anotlter before hte realizes it. -It is to) the natural advantage o)f the owners to secure aitt keel) the, tenants ini a contstant state (of delbt. In general, conditions on larg'e estates worked b~y thle shuic system apJproacl ti ose just describedl. ]'(JfmblerJ of Plots leased. The amount of rice, tobatco, 01 corn land leasedl to time tenaitt in an organizedl-slare hacjci(iida~ varies with the locality and particularly withtfthe rieluteS11 01' the soil, lbut is usually one or two ltectarcs. The ainotiiit ol land given a tenant for sugar andl abaca Jplantations, is lom-k thaii for tobacco or rice, altd varies from two to five liectuois iii plots seIparated or contiguous. It is seldont that more I 1 one plot is lcasedl, althoughi on an lhaciendla where both rice 0 corn are grown, a tenant may heave one lowlani(l and one hiuhlalld plot. Whiei tite landllordl 1has botlh rice, andI (011rl 1 tolbacco lands, two p)lots are sometimes taken as these cu1I~ are grown at different lpcrio(Is of tile year. A house 1)11) Ili the village either goes with the leasehold or is rented otl i small suin per year. a[emnen cy?f ton anvts. Tphe agreement between te iuillit andl landlord is somletimes, but niot generally, written l 0 mo~st of ten for one season. Usually it is indefinite iiimnt i PHILIPPINE ISLANDS Regions in which roost Agricultural Laborers Own their work aninals (Peasantpprietors and share tenants) I Do not own their work animals (Ohsre tenants and hired laborers) (Data froo Economic Reports, Bureau of Education) 0. -.61.O' a ";-, CHART XXXI 195 EACONOMAIC- (J11iNIITION-S If the landlord is k-ind and the tenant efficient, the lease continues, if the tenant does not please the landlord, he is ejected, and if in turn hie is not pleasedl lie may leave. In some places there are lamilords who cannot get tenants in the locality but have to go to other towns,, each year to secure them. JDivisin qf the crop. The share of thie crop credited eachl of the three factors which lproduce it, varies according to thec custom of the locality, the fertility of the soil, the proximity to the town. or market, and a variety of other condiitions. I lowvever, the apportionment is usually based. onl a valuation of one third for the labor, one third- for the work animal, andI one third for thre improved land. Th'le (livision of crop therefore depends upon who owns the (ar'ahao, If the tenant possesses a caC-ra})ao, hie gets two thirds of the rice crop and thec landlord one third; in other cases the owner usually gets,' two thirds ami the tenant one third of the crop. It seldoio happens onl a large share estate that a third. party owns tlie work anim-al. Bay consulting Chart XXXI it will be seen tlumt most of the tenants onl estates in the C-.agayani Valley 'andI III Zamnbales Province owii their aiinimals, while those oil esta'tes' iti the western part of the (Central IPlain of Ltizon (1o not. fit the Visayas most tenants onl large share estates are, furniisidj~( their animnals by the owners. In some lplaces tenants hiarve'st and thresh the crop; in others this is (lone for a separate (II0 -sideration, and additional I iarvestcrs arc often emnployed 1 share of the lprodhllet. There are many variations in the above general divisioll the crop, all of whie-,,h cannot be given here; the most hi-1r)' taut are mentioned, however. 'When rice land is exceedii ii fertile the owner may receive one half the crop insteadl of I third, and if it is not very fertile or is far from the villag 5 upland fields) his share in'y he one fourth or evenl less Ii Occidental Negros the landlord furnishes land, see(L. ilI animal. The lessee does all the work until harvest. ~ li eighth the crop is given to the harvesters, and of the reum Ii two thirds goes to the landlord and one third to the hI C LNAND TENURE19 197 If the former furnishes the land only, hie takes but one third1. In some places an exact division of the crop is made under the first arrangement. Iin Bataan Province the landlord plants the crop), advances P30 per hectare without interest, and cuts the crop. Th'le tenant (loes all the other work, gathers the crop after it has been cut, alid (lelivers the landlordls s~.hare at bis hiome. Ini this ca-se the crop is dliviledl inito two equalI parts. If the landlord furnishes the laun, aala, an(I Seedl, an(le pays for extra labor in transplanting, lie receives three fifthis, the harvesters onle fifth, adthe tenlanlt oiie fifth). Ini Bataan the landllord l on a sugcar estate furnishes see(l, fencing, and milling, and. feeds the mill laborers. 'Ilie tenant If a smiall. plot dToes all the p~laltilig aild cultivating, feeds, andI pa(-ys extra field laborers, hiauls the cane to the mill. and sugar to the market, and receives half the prodluct. If the mill be10110s to still another man, lie, furnishes the necessary labor for it, 011(d the sugar produced is (livided equally among, thme three l-i i rties,.1 On abaca plantations the division is one third or one half on less the price of the fiber is low, andl then the laborer obflouis the greater share. It should be noted, however, that the thimd factor, the animal, (loes not enter into the production of iii):ica. Neither is the animal collsidlered on a coconut plantalimi. Iii Laguna IProvince the tenant takes care of the grove, k~(CPS out beetles, reports (lamage, and1 collects the nuts for (emlai ting. A number of nuts sufficient to pay the cost of pickii~and transporting are remmoxred by tile owner, and the tenant lIi parts of Negros folly (6O per remit of the hac-tienda owners have men I() O11r sugar landisfrom titem uhiiider thie parcero s;ystemi. The parcero owns el arabao to 25 carabaos aild leases approximiately 2 liectarcs of lanld (Cih work animal. Hle furnishes all aninuals, lalbor, ainl feldl miaclinerv, ofteii financed by the planter, who lem(is himt inoney at 1.5 per cen't itrst with his work animial and standhug crop as security. The harvested Oliis turned over to the planter whio takes 50 per ceiit of it as rent for The planter also (charges P2 for each picul of the parcerols sugar inigthe cane and boiling and transporting the sugar to Iloilo. When, n1 ole hacienda is leased, tile lessee does all the work and turns half the ()ver to the owner of the land and mill. in this formn of lease the land i's -rked by the parcero himself but is cultivated by the proprietary system. ECONOM\IC CONDITIONS receives one fifth of the remaindler. In sou-thern. Luzon and on the Visayan Islands, half the copra produced is given the tenant when the latter does the work oultlinedl ahove and also prepares and dries the meat. In Tavabas the landlord gects, two thirds of the ceopra, bit Las to bluild awld maint~ain the( dhymng kilin andl provide thie tenant with a house in the villamc which hie may oeenpy when hie wishes. Uisually a l)art of the natural inc'rease of (lomnestie, anim~als, placeed in the, tentant's eare lbeeoines his prioperty. By tins culstom a tentant freqnently secures a earabao, which advances his eeonomnc condition eonsiderahly. lii!tu/a~l rcyhts (00( (2/utiw5 (4 landlords ailtnd Ofinafs. TI ice mutual rights and dluties of the landlord anl tenant diffe~r ill various parts of the Islands. The tendency is to relieve the(, tenant of all (luties exceplt those (lirectly connecltedl withi thi piece of land leased. Yet it is still c-,ustomary Inl most re~gions for the landlor.d to call upon teniiants for group ialbor at hr vest time, to repair anl huild houses, fencles, (litches, mills, etc., and to get wood andl run errandis. Thie custom (ff makmosmnall presents of farm or hand~icraft products to thle landloidl is still practised by the tenants in some I/laces, hut is nl idly disappearing. No wages are lpaidl for extra work unless it is of long duration, andl thenr a money wage i's often giv(im. Otherwise gifts froma the landlord and, in case of group NXX'k fiestas 'are snpposedl to reeomniense, the tenilants. lihe tel)(110i family, however., near-ly always receives (a (laily wage iw Ii working for the landlordm. Th1e more servictes time tenant i (lers thme landlord time mnore likely hie is to receive suiist tial. adlvanees of food andl i-moe-y, and the more lenient is tIc' landlord's treatmnie t o~f h im. Fo)rmerly- ten mants h ad to h viC the landlord suipplied with wood, hut this (Inty is now re'qmhi'!' in hut few reg-ion s; they also threshed his rice, hut with th introdiuction of threshing m-achines, such (luties are constf IY growing~ less nuimerouis. Tfle lanidlord1 may provide a tentant with a fiesta for a i- ar t" of reasons. Ilie generally does this when lie is the bencthih" LANI) TENURE 199 of group labor. Sometimes lie gives fiestas at stated periods; for instance, after the harvest or, less frequently, after planting. lIe oftel supplies music or other amlusements at the yearly village fiesta. Control f te landlrd o t. Twhicl the landlord exercises over tile private affairs of the tenants varies greatly in (lifferelt parts of the Islands. Ile usually defends them il court and against otiler persolns in lmatters that pertain solely to the crop, anl often looks after their priva;te interests before tlhe law. He does this to keep tlhe tenants contented so that they will remain on( his estate. T'ley arl( to a large extellt (ldelpeldenlt on hlil, andl loo(k upoIn him as tlicir leader allld (lirector- i times of emergency. I e arbitrates tleir qua(lrrels all(l gives tlhem advice anl thle )benefit of his lose supervisionl. A veriy ilmplorttnt consideration in tlie slare system, partic1larly ()l rice Iiacielndas, is tle question of a(lvances and interIsts. (londtitions in Nueva Ecija have already been quotel. 1:'r tile Isld(ls as a whole interest on suchl a(lvailles ranges ton,)()O to 500 per cent per year. Wiben a de(lt is paid ill kind, tie l( andlordl oftein talkes produce at a lower rate than tile 1rk:'lcet price, for instance, P0.50 per cavan blelow thle market plric for palay when it is selling at fromn P1.75 to P2.25 per;('\va. T'lhe landlord mlakes a further profit by holdinlg the 'i l( until Jully or August, whenl tle price rises to P2.25 or '2.75. At this time tenants frequently buy back at an ad\ nleed price the samle amount of palay that they parted with ' tlie elnd of the harvest, tlhus contracting another debt wlich Oust l)e paid at tlhe next harvest, and so on from year to year. lI',st advances are paid in kindl. Int sugar, too, tlle landlord l'tlv tlie tenant's share at a low market price and holds it for c'i11r price, thus making a large profit. it is tlrough advanctes, interest, and dlebt that tle planter 'Itll c('ontrols tie actions of his tenants anl holds them to ll1 land. Serfdom for debt was an ancient institution in tlle Il'ilil)pines, aind to-day Filipinos feel that honor compels tlle ECIONTOIMIC CONDITION S payment of a debt as soon as possible, and that a debt of a f ather attaches itself to the succeeding generation. Ignorant tenants therefore consider themselves legally bound to the landlord by debt and, in any case, feel in honor bound to repay their debts as best they cani. Hence it is that a tenant thrown out of a share estate because of his refusal to pay such debts losses his reputation not only with the landlord btlt also with the tenant class. By the law of custom hie becomnes, an outcast. The ejected tenant, who has broken his contracIt, or refused to cultivate the laud, must usually leave the district. The landhlordl thus feels it to be to his interest to keelp the tenant in debt andl, as a high rate, of interest is charged on. adlvances, he usually manages, to keep all of the tenanfts share covered. A tenant is thereby virtually working for his keep and a little spendling money. There are landlords whlo encourage tenants to get out of debt auni acquire work animat-ls andl land, but these are the exception, and there are even sonc who will refuse, to accept payment of a debt in order to keep the tenant on the land. In the most backward 1)arts of the -Islands, the landlordhs practically abs~olute eontrol over the tenants, but the more C11 -lightened the cotnunun-ity, the, less is the power of the landloiL~d Where labor is scarce and there is considerable wealth geillTally distributed, the balance of powver may be, iii the hands, 1t the laborers. The landlord on large orgsanized share, estates always itermines the kinid anld almount of crop to be jplanted andl I1 time of planting anid harvest-. Tenants must obtain permiss") Il to raise crops other than that so determined, to raise stock their personal use, and, if in deb~t to the lan-dlord, to sell tt portion of the, crop. Tenants nearly always carry out the o of the landlord with reslpect to the tiliing of the soil. C; are known, however, where the tenant did not cultivatl AII the land he leased and consequently the crop was snr IF than it should have been; but the landlord claimed 11 received as his share the amount of palay which hie, Iv1 L AND T E NU RE20 12 0 1 heave obtained had all the land been cllltivatedl. Sickness, however, is usually consideredl an acceptable reason for the vroduection of a partial crop. As previously statedl the teniant for the most part remains, pe,~rmnanenitly onl the farm. Soinetimes another person who wvants the tenant will persladle himi to change and will adlvancee the money to pay off his (lebts to the landilord, tims ill tilrnI assuminiri themi. Whein the lan-dlorml is (hissatisfied hie mnay tell. the teniant to get the necessary money to pay his ilclbt, in which ease the tenant finds another landlord to assinme it. When the landlord sells his land his rights inl the, debtks of the tenant are sold WVith, it. -in Ca few cases a tenant NNill leave the landlord owillg debts. I Icre the latter has no resmiruse, thoughl soinetnues customl obliges, any landholder \dbo accepts a teniant to assnme his (lelts to the former landl Id.in case of the (leath of the tenant his children usually (issiune the debt. If they are (11( entoug)h they work it out on f lie land, ani young chil~dren o-ften eoiiiee to serve in the house Ithe lanidlordl at a statedl wag-e until the (lebt is lpail. Thins isthe foundation of the bonided (lebtor system dliscussedl ~in ('lapter XIII. It is seldoii thiat the chil~dren repudiate the tleh't of their father; the, unity of the Filipino family is very vatiad m-oreover facilure to assume such debts might result fi!lie childrcn's being ostracized by their associates. fln most cases where thc tenant is mnstreate(I by the laiIdIt)1 lihe simply leaves thec estate. IBoth teniant antid lanidlord, In the right to tt ke, any miatters inivolvinig breach of con-i 11,mistreatment, or injustice to the couirts, but nieithier Inavail isl fti privilege. HIowever, instances 'Ito lbe multiplying as the tenants are beginniing to und~er-. A)( better their rights before the law. Vlie ownership of a work animal or of a small plot of land, 411, gives greater stability to the tena nt, secures him betireatmient and terms from the landlord, and is more satisTYto the latter. Somyetihues the tenant gives the landlord -auaty of some sort; this may be a title to a small plot 202 EC O(NOM IC (C()NI)ITION S of ground, or another person may stand responsible for his debt. In some places legal contracts are made, alnd debt or damages due the landlolrdl can b)e obtailed from tlle sale of tenants' property. Sucl "telnants at will" are, of course, lmuch better off a1md much more independent tlha tlose previously descriledl. I,1coIo(me of tenants. TIhe ilncome of the tenant on a larg(e share hacienda may vary froml P80 to P200; tlhe avrerage is probably P100. I-I general this class of tenanlts save llt little(: most of tlhe in come is expended for food, a little for clotlling anlli luxuries, and tlhe remaillder in galbl)limg. Tlhe largest incolmes are, of course, obtailled by thlose lmle11 o(vwnig calra)aos. AS1tmmar/. Ill geierale tile relat.iollslip of fatlher and cllildl may lescribel tlie attitudle of laldlord and tenant to ea-( ch other. Thle landllord is paternal, the tenant filial. Nevertlieless both look:out for their (own interests - thle la(dlo(rd to g(et as 11tlch out of thel tenant as lie cai, to keep hlin i(dellteil an1d (contented so that lie will inot leave; tle tenant to otlt;iii as mlllly a(lvat(es as lie can( al(l w\ork as little as po)ssibl'. Tlie landlord regardls tlie tellmn t as a natural anld easy 111means of getting llis land, wvorked. Tle tenanmt lools ul)pon the lanl(lord as a lbsiness lbe:tefacttor. Their conditi(on anId tle i.il1 feeling of eachl to tlhe otlier delpenl ulponl tl:e (lisl),osition, alnd enilightenllment of tlhe landl(ord, andt1 h tile state of ignomlranlce if tihe tenant aItld his williingerss to work. I1n most cases ti1( tenant st must dependl o tile landlord. ()ften lie is unable( to plan Ilis career alone and looks to the landlord for dire(tin, in tlie most trivial Imltters. 'lime latter usually encollu(mra;l' this dependence and stan(ls in, a paternal attitude towvard(l lis tenlat. '1lhe tenants generally respect a(nd love tile lllaIlrd( lie is godfatlher to tleir children, and lperhaps his fatller l\\ their godlfatler. T'Ie lan(dlord ap)preciates tile work of g,,,,) tenants and(l encourages them to increase tleir output. \t times nmlscruul)lous landlords overlurdlen their tenants, s,' even requiring of the lessees services wlic(hl they ltave () r I t1 to demand. On tle other hand, lessees left to tlhenscllxs LAN1) TEN URE 203 neglect their duties and often cause the lalndlord much inconveniellce. Tl'lle landlo(rdl is ot always gently paternal, but may be d(lollileerilg, arrogant, and selfish, and the tenant, on the oilier 1land, is often so extremely ignolallt, lazy, shiftless, auldl fickle tlhiat it is iimp)ossible to utilize 1illl as ia prodlucilng agent unless some system of complulsion is Inaintaiie(l. 11n the mlore a(lvanlced regions of the lPhilippines tlhe tenants tre Ibeg'inig to learn sonletlhi of thleir persoial leggal riiglts in their relations with their lanmllords. Thllose ladllloids that lIave been slomewhat overbearing il tle past are being dleserted by their tenlants. TIe confidential relation is ill some (cses l)e(omning. less close, and in a few regionls considerable ti oible is experienced with tenants who leave witlhout making a( settlelmenit. S (atteredl tl, Sliuys 8 awre;yfst(tem, Th'le scattered( lnol(lings systemll is found ill those regions il whic( all (or 1)pt of the ulnd is divideledl inito smalll alld lelilunSized par(els. Such holdlings (lo lnot permit of the hacienda system( (either p)roprietary or share') even when owVned by a t'(w rich fammilies. L,(,o.J. (GIrove, Supervising Teacher, hlas 'cslimlated that tlie total( cultivated a'rea of ( amiling, Tarlac I',lvi(ice, is )abount 1,)()000 lhectares (livide(l into 15,000 par'1;s. Slubtractino a(I thlird of the lUparcels and 1000 hectartes 111lo\Vedl for buil(ling. lots, it will be seen. that tlhe taverage'' ';"(c1el is about.1A hectar'es. nAbnoit llalf of tllese laircels are viid by l) people wlio have friom 5) to 30 scatterel pl)ts, and (1,it w(ork their own land. \V liere suchl lholdiings exist, it is a c(omllmon p)ractice of les*'("s to take more thlanu one plot, and tlhese are usually widely ",1 ltrated. They aggregate iin area tlhe amount of land ordi'l 'ily a leasedl y a tenlant under tlhe kasama system. Tle les's try to get adjacent plots, but on account of tlie peculiar 11'l10(1tl by which tllese are owned (explainedl in thiis chapter ''li( i the heading Size of Parcels) it is not often that such 11's arle available. F(or instance, ill tle coast towns of Alblay ECONOMIC COINDITIONS it is quite commo1()1 f or a man to renit one plot on the, mainland and~ one on an adjacent islandl. The owners of parcels of land which are not large enough to support the family ofteni cultivate other plots on share. rihe systems of division of the crop are niu-ch the same as those discussed under the kasamna system. However, a few others exist. Somietimes, as often occurs in Samar, the work animial is owiedl b)y a thirdl party whio receives one thirdl of the crop. On the small- sug'ar 1)10ts where the landlord provides a very priinitive, iiill the, tenantt usually gets two thirds; of the sugar produiced but furnishes all the labor. In ab'aca produiction tih, lanidlord sonietimies pay a prenmim over thec usual share, if the lessee materially improves the lprodllctioll. In the cultivation. of intensive (crops whichi require no animial. such as betel in 1Pasay near 1\'aniila, the crop is equally divided between both parties. Sometimes the, owncr of a small piece of land borrowvs money on it andl gives the lender full. pws sessio11 and~ rights to its use until this, is returned.Th interest takes the form of the product of the land(l Iml may net the lender fromt 40 to 80 pe~r cent. Thie owuiwl gets back the, land whienever the money is returnedl. In the usual contract for sale madle in the Philippines a statedl trime( is set when the borrower loses the laud if the mioney is' 11u returnedi. In the system note(I ab.ove, however, the contlutextendls indlefinitely. Under this systeni the tenant often lbringrs virgill land nine Ii cultivation for the use of the plot for a certain periodl f years or f or ta c_ ertain amiount of the cleared and planted he el. On coconut lauds in Orient'al. Negros the tenant somietJIV receives all. thwat he can raise betwveen the pahs, hie, sets Ilie must care for the youn~g trees, and when they are toe 1) to permit cultivation lbetween them hie receives from P0.1I P0.20 for each one. In Cavite hie, is given a fourth of the after having been' able to cultivate between the trees for I or five years. In Mlindoro and other places where lan~l is plentiful the tenant receives half the land. Iii SorsgOin0 li LAND TENUIRE 205 tenant clears the forest, planlts a garden plot with colln a l(l sweet potatoes for himlself, alnd sets out abaca for tlle landlord. In three years the lbaca is ready to strip. From the first three strippings the tenllant receives the entire prodclt, anll then - about 41. years from tle plantilg - tlhe ordinary division is Imade. Wlhen tle tenant clears rice laind, constructs thle necessary irrigation C'anals, all brilngs tlle )lots illt cllltivation, lie receives as his paymellt the crop for from one to five years in Pangasilnal Province, and for albout three years in Sorsogon.1 1 These are exce llent exalmlles of rent in the economic sense of tlhe wordl. Tle rent for the pro(uctive powers of rice land in Sorsogon Provilnce is, for' ea.ch crop, one third tlhe labor of clearillng tlle lal(t, draining, ant diking it, ( larhlae1 ) 1 ll l world "rent" has two mleanings, one popular, the otlier scientific. So far, the word " renlt" has been uised in tile popular sense and refers to tle sum paid for the use of the productive powers of tlhe land as well as of tlie iimprovemlents thereon, such as fences, irrigation ditches, freedom fr(om stones, andl the like. The rent for a given plot of land increases witlh the v;lue of these improvements anll decreases with the exhaustion of the soil (Irloductive powers). The scientific mleaning (f tlle wor( " rent "i is linlite(i to a c(onsideration of the pro(tductive p(owers (f the land, and in tlhe followilng hliscussion of the law of rent (taken frIom Lalghlin's " Elenmeiits of Political I''xlolly ' ) should 1)e so understood(: ",Landls are of varying degrees of prod(luctiv lenss. They vary l(lt llly iI vir pwer of lpr(odlciiog (liff(erent articles, sic(lh, for exailple, a's wheat aldl( i,clco, but they do inot all produte tlhe same tliln' eq(ually well. h1'ie sl"1 '(, craiiao stit, f Cs titiellts f tile soil, vary from field to field evei( il tlhe i;:IK f the sumn collected to be given to one, of the memhers chosen by lot. turnuhan runs until every member has drawn thieprize. A.successfull.~" ber cannot draw again. AGRICULTUR~AL LABOR 223 Another coim-non form of gronp lalbor in the Philippines is in, connection with social activities, as distingnished fromt ti i economic activities nieii tioiiedtlaIove. These activities paruta,1ke of the nature of mnutual insutrance in the help r-endered the memibers, of the community. ii cip is given at lbaIptislns, weddl(liys, -and~ Iburials. In the case of funerals the wvork involvedl is the making of the coffin aiid the Preparation of the food for the frienids. As long~ as a personi Leos the slightest bit of work, lie is coinsidlered to have given his ahnloy " or amibang." Help, moreover, miay take the form The turnuhans are run in aliout the same way everywhere, for the constitintions alloptell iii different towns are mnere copieis of the orietual from Lochbanl, Tayabas. Tlhe nuniber of nienibers ranges f rom 25 to 500, the nsual nionher bem bt in 25 andl 50. Onle existsd- in M"ajayjay which hIas 1000 ninioers, hut these are (lividled into five sections of 200 each, ami each seeIinni is inni like an. independent organinzation. The management is ordinarily ini the hands of a (director, lint for the larger turnuhians there are three (Iclers -the director, the secretary-treasnrer, and the inspector. The ainnu(ilt of individual. fees ranges fromn P0.20 to P1.00 weekly. The number veWars that a turnulian runs depends onl its size. From one to five years is tilltusnal timie limit, hut sonie turnmihans must run nineteen years hefore all 11w members, can get their mommey back. himle imanager is granted special privileges for his services. In many In onuhans lie receives the first (hr-aviiig. Inl all of thiem the winner pays a iiio percentage of his prize (fromt 1 to 2 per cent) for the expenses of 8 '1,1aleeniit. The turnuhans miake prAovisions for their protection. Memifailinig to pay their diics after a certain nmiboer of weeks lose all that Inliave. Iaiul in, and the money tiums collectedl is dlistrihblted among, the llWnlbeis at tme, end. If a member dies, his share is usually given to his heir, (Cnotinues, to pay the dotes. Iii somel cases the dleceasedI's share is tuirmiem in the tormihilan. Members who have mlrawim the prize are not paid the I IL l0lloomt doe timeimi Somie turnuhans retain thiree, fifths of it as secnmrity 11st nomiontintiance (if paymnemit.. Othiers- simply reqotire two bondsmnen 8tewho~le sunil is griven the winner. A feature, oif life insurance, present tile of the turnuihanis reqloires that the lot must be givemi to the member 81 li suffered a great misfortune, such as death iii the family. mee cmnoiy turimuhans are well ianaagedl they have pro-ved to be benefithd conmnmunty, for thiey heave encouraged the habit of saving. They fburniShed the memhers with ready capital, which is reported to have Ilivested in productive enterprises, such as time bnying of carabaos and,"'itilip (if mnore lamids. (Othiers have used their capital in repairfing their amd still others have beeii able to pay their debts with it. labor turnuhan keeps the members working, and miearly always reIsonics permanent iniprovemenit such as rice fields, houses, amid the like. 224 ECONOMIC CONDITIONS of money or of goods, the latter usually being eatables for the many guests. The amount of money or of goods given varies with the individual. The courtship of a woman is frequently the cause of many forms of group labor, and the activity that results therefrom may be classed as economic. A group of young men may decide to help the woman in husking rice. Here we have the beginning of a socializing activity, for usually the persoi helped prepares something to eat, and everybody has a merry time, especially when there is music and singing to keep timel with the pounding. An interesting form of group labor in connection with either death or marriage is that performed by young men. If any member (lies or marries, the others contribute a sum,ol money previously agreed upon. Blesides the money, tlhey give commodities, sucll as wvood for fuel, and render service at the feast, such as getting water and waiting on tlh table. Any member who fails to fulfill the requirement is fined by being charged double the regular contribution, all tlhe fine must be paid within one week after either tl' funeral or the we(lding, as the case may be. Tie lmemlber in every instance, are supposed to furnish tie transportatioln re(Iquired. Still another form of group labor in the village is tlhe bei 1 -ing together of citizens for protection against fire andl rdibers. This was common during the Spanish a(dministratl ii) and is still found in its original form in many towns. O()ne i;! but to recall the frequent Moro raids in the past to rte'^1l'i' the necessity which formerly existed for this kind of g i11)l labor. The private night patrol, or " ronda," used to 1)' common feature of Philippine life, and is said to exist, ill in some towns. There the adult male citizens take turn: il performing this watch duty. Volunteer fire associations,'1 now provided for by law. In comparison with the system of isolated farms scatt" t'(l over the country, as found in Cuba and Porto Rico (coul1' i>s AGRIC ULTUJIAL LABOR 225 225 possessing similar products and economic advancement), the Philippine village systemn has points bo1th for andl against it. 1. It permits of group work. This, however, may not always he beneficial since it does not promnote individualism and indlependence in Filipino agriculturists. 2. New tho-uglhts anld idleas are more easily prolmulgated, an-tid news travels more quickly. l. Children can reach their schools more easily. However, much can be said against the village system. 1. Tile is lost in going from the home in the barrio to the hiel(1. This may amount to several hours (laily. In many places this disadlvantage is partly overconme by a temporary sllack, built at the field during the planting or harvest season. 2. The sanitary tprlblel is always an important one wherel i)e(qlc are congrcgated. 3. In the scattered-farin -system there is less temptation to flitter away time in social intercour-se, in the cockpit, and the like. 4. The Production of supplementary farm products ('ponltry, eis, flluit, etc.) is greater oni scatteredl farmis. I. In villages the (dlaligr front l1ire is great. P lfippinme ag(-riculIirtural villages are, gradually lbeing broken and the scatteredl-farln systenm adopted. TI'lere are cer( listricts in thie Islands in which the village system bas lIT exuistedl, at least not for centuries. I.'wo (small regions a(-:Ittered farms are found in Tarlac Province. I'lTe cocolegions of Laguna and Tayabas arc chiefly settled in that 1j er. Scatteredl farms predlominate in i\Maridluqule, Oriental B15, Bohol, ald a part of Clbu. The Carcare-Iarili district (bu is probably the largest single region. It seems that 111t village system was not established here by the Spanish u"i ml'llnient because the people could easily be protected and I tolled. It is now densely settled and the distance from to hiouse is slight. I village system persists in the Philippines largely beof custom, the gregarious nature of the people, and ties 226 22G ECAONOMIC CONJ)ITIONNS of relationiship. The family and clati feeling is very stron.a canl be see'n inl the grouing of studenits lroni thle Same towVIt at provincial capitals and, at Manila. The, Filipino family joins eveu the relatives wiho have moved to a great (listalcle in a sort of family feudalism. It is obliged to look after all its mnemblers and to providle charity such as is dispensed V). organ iz ation-s inii industrial (countries. In thre outlyin-g parts of the IslandIs and iii regionls, such (as the Iloc-,,ano provincees, in- which the lami is olivided into snuall scattered plots tilledl lby peasat t proprietorws tnilder the in tetleasing system, the vill-age system holds its o)wn. I-n other, places seattereo fam r gruly increasin with the estab)lishment of greater seenrity. New settlers are building honses" on their farms, and there is a gradnual movement away front the villages along newly constructed roads. EFFICIE-NCY OF LABOR Efficiency of labor dep~endls npon (1) inhierited strength and ehiaraeteristics, (~2) standlardl of living, aitol (3) educatioii andI trainingio. 1In preceI(liiig chapters (a nd particularly iii Ci hapt er XI) the ni'-etio(s lby whinch adivanice ino agriculture will resutoi in larger produetion pe hectare are (liseussed. In tins choapti'l the (questioni of larger productionm per man is considered. INHIERITEI) STRIENGTH A NI) CIIARACTE~tISTIcs h1-is physical, menetal, atld moral qualities, all affect amount of wealth priodulcedl ly the laborer, audh these deis (1 largely on inheritanice andl trainingc) in early childihoodl. I! a significant fact that the child usually follo)ws the occulpiil of his father, and on this account is expert in his partici Ii1 kind of work. Thins is espeeially true of production reqhli considerable skill. For instance, it use(I to lbe said that aI cutter of velvet was only produlced in the second or third ceration. The Filipino is especially strong in the, shioulders 1( can lift and carry better thant lie can perform other nuski t10 AGRI(CULTURAL LAB)t lOR 227 labor. Ite also shows great dexterity ill landicraft, the fineness and evenness of wlhich excite tlle a(lliration of all who see it. In Hawaii, wlere peoples of all nationalities have been gatllered as laborers, Filipinos are considered especially good for light work; on heavy work most of tlem are not satisfactory. They seem to be slower than the TJapanese. That many of the physical disabilities of tile Filipilos are due to tlle same causes wllich p1odluce tlhe higl rate of infant mortality in tlhe P'lilippines, tllere caln be nlo doubt. If a cllill is b)orn weak all is loorly nourisled (lriilg the first few months of its life, it will not grow into a strong man or womanl. T'lie eatl rate per thousand in Manila during tlhe year 1909 was as follows: S] ianiiards......... 12.0)5 Americans..................27 Other Occidentals... 14.82 Chinese............ 16.64 Filipinos..... 47.65 'lis excessive deatli rate amoig t le Filipill po)llplatiol is due to tlhe ligll mo-rtality of children, (i- lper cent of tlle deatlls,ilg f i of c(1ilrcn uner five years (f age, anml 49 pe1r cent, of ill(allts under olne year of age. Tlhe following table is ( comlplo'ison of the infant lmorntality in M:anila witl that ill the olitted States and France: PIER CENT (OF TOTAL D)EATH S United Stats............ 18.28 Francce.... 20. MA anila............ 48.8 II France and the IUnited States thle greatest mortality is ai lnlg children that are artificially fed; in Mlunlich, (Germany, 8:. per cent, and in Berlin 91 per cent, of tle infant mortality ( lrred in artificially fed children. Tlle opposite is true in ti Illilippines, where 74 per cent of the total infant mortality "' i;rs among children who are nursed by the mother. Eighty'm'm per cent of the infants dying of beriberi and convulsions 22 8 (J'ONDITIONS (malnuttrition) in MAIanila are ntirsed. by their mothers. This means that the improvement of the physical condition of the Fihipino mother is a very iinportaiit ecioinoic question, not only iii order to redluce the infanit mortality but also to in~crease, the physical strength of chil(Iren that live. TIlins can 1)est be, accomnphshed by redhicing p~overty andl providlilg sufficient aild suitable food. If goodI, pure cow's milk caii be provided, great improvement will result. Thle splendid work (lone by the,' Gota de Leche Society in Manila shows what can be aecoinplishied by scientific feeding of infants with pure milk.i TilE, STANI)ARI) OF LIVING While his start in life has an imiportant effect on the physical and mental efficiency of the laborer,- the standlardl of livini() he maintains is of much more importance. As has been state.d, on the plantations in the I awaiian.Islands it is iiotieeabhfl that Filipino lalborers are at first incaJpalle of doing heavy" work, aiid few are employed on heavy loading contracts. 14owV ever, with. ehamige of food (and mnetlhodts of living tbey alP gradually taking their lplaces in all l)arts, of the plantatio, even, to some extent, in the mnills, where the heaviest worke, is done. FOod The eliet uses of food are (1) to foritm the material of jie Ibody andl repair its wastes, (2.) to fuirnish the energy for- O work that tile lbody has to do, and (8) to yield heat to 1h p the body warm. The proteid foods are tile principal tis-i~ foriners, and make the, framework of the lodly. Thcy arce burned utp in the bodly lik~e the carbohydrates, and thus 1-, (der important service as futel. Fats antid carbohydrates areI chief fuel illgredlieiits of food. Sugar anid the, starch ofs' potatoes and rice are burned in the body to yield heat l power. The fats, such as the fat of mieat and butter, serve same purpose, only they are a more eoncentrated fuel t0 1 Data from annual reports of the Director of Health, Manila. ACR-i TIJURAL LA1B)RI22 2) 2 9 the carbohydrates,. Thie diff erent nutrients can, to a greater or less extent, (10 one another's work. If the body has not enough of one k-ind of fuel it can use another. But, while the proteidl can be burned in the place of fats an(I carbohydlrates, iiefther of the latter can take the place of thre lproteidls in b)uilding and repairing the tissues. lProteid occurs most abunltantly in-. atimal foods - mecat, fisi, eggs, aild dlairy products - an~l in(lri( legumies such4 as beants andl peaS. Butter and lard are the, chief animial fats, atid coconut, olive, and cotton (1,the most imp'ortat11t veo'etable oils. 'Fie most commt-on I A(~~~ is,1iId nusas otam osoeaile f at. The ic crbohydrates, umnlilke time fats, are almost entirely absent fromi time animial foo(15, except milk, but form tlie miost importamit nutrient of most vegetable f (0s. lin the arctic reojons, whiere hreat is of prime importance, t'at, blubber, amido fish. are, eateim ainmost exclusively. r1'lie inhai(Otants of the tempertatle regions are accustomedl to a miixed dIlet of meat, fish, aminl vegetable matter, the amount of the f inmer depending on the \wealth of the people and the denisity of population. In the trop)ics the diet is largely vegetal, x~ ith coiisiderable fish amni a small almonult of imeat. Tfime kind I' 100(d nmust necessa rily depend on the vegetalble andl animal I!( available. -Along the coast fish. is eaten; in time interior t',-s fishi is obtainable, and beans andl suchi Vegetable foods v.h~ in proteids are often substituted. Hcsidlcs foods- prohienhig energy aind tissues, the body reries certain quantities of mineral substances, especially salt, Ii ne(, andl plmosplortls. All p~eoples use narcotics and stimiuLtnot as nourish-ment to the body lbut for their effect on iinervous system. Suchi are spices, alcoholic liquors, dr-inks 11'i" lbcverage crops, tobacco, buyo, andl opium. 'lie domiestic vegetable foods which forin a part of the PhilTlinc diet have already beemi fully discussed in the chapters lood crops. The problemis witli respect to these are: (1) to O. Atwater, in Farmers' Bulletin No. 142,~ United States Department ECONOMIC CONDITIONS increase the local rice crops so) as to make the Philippines less dependent on the foreign food suipply; (2) to increase the yield and use -of corn as the chief f ood or one supplementary to rice; (3) through bean. crops to providIe another source of proteid, winch is now obtained almost entirely from fish and nmeat; (4) to increase the amount of food in those sections,, in which restrictedl diet annually occurs; (5) to give greater variety to the Philippine diet in all (lirections 1)ossible, and especcially in the amount of fresh fruits and Ieovetables consumed. Proper amiounts of fish and meats may also provide the necessary prmteids. TFhe fishing indutstry is discussed in Chapter XV, where it is shown that in genieral the demand for fish is not sup)pliedl, and that it is (loubtful whether inoderni trawlers and eqlnipmnent can. be introducedl to increase the supply. TFhe inhabitanits of the Philippine coasts eat fresh fish, and sometimes surplus,, catch is (liricd. " Bago ong " is thc form of preserved fish most consumedl along the seashore and( especially in inland towns. It is essentially raw fish mixcdI with salt and allowed to ferment for (lays, mouths, or evenl years. Its nutritive ipo-tioni is mostly lproteidl, but lbecallse of the mianner of its preparation alid the fact that it is essefltially decayed animnal matter it is not a good. foodl. Tihe quicl\est andl most practic~al way of Jprovidliilg a sufficient almnonot1 of proteidl Ihr the (liet of thie IFilipinos is to encourage tl;I growing almd eatino' of beais as hs alraylensooct in Chapter iV. lPork is the principal meat consuimedl and is found ii' Philippine markcts. The aniotnt available can h i icret( I, 1 lby the systematic raisingr of lhogs for the market 'nml by proving the breeds. Very little beef is now eaten lby Filhpi since few cattle are available,. If rinderpest ctan he held i chedck, it is possible tha1t the nummber of cattle in the Ishom will increase sufficiently to furimish a supply of beef adecqn:to domestic demands. The present situation can ibe reliem \ to some extent iby importing chilled or cold-storag'e beef f" ( A sin and Australia (see Chapter X IN;V). AGRICULTURA-L LABOR 3 1.2 3 1 The alcoholic liquors consumed by Filipinos may be dividedl into two classes: distilled liqluors and the fermiented juices,.; hi the fiscal year eiiling 1912 there were produced inl thle P hilippines, accordling to the Clollector of Inuterinal Revenue, 10,700,000 1)roof-liters of spirits, distilled fromn the sap of thle nipa an(d coconut palms and fromi sugar and grain. This is an average of 1-1- liters per capita for the Islands. Ini addition great quantities of tub.i1, the fermented sap of the coc~onut p)alm, arie, consum11ed inl ti uc -Visayau I siam is, and a con sidlerabl e anionut ofbasi, a rink~ mnale from sugar canle, talmong the Iloccanos.1 Filipin os arc mudi 1 grteater coiisumiers, of toa( hacco) tiian of alcohiolic, heverages. Ini the fiscal year 1912 there wr coiusuitied inl the Phiflippines ii 0,000,000 cigars (14 per capita) and 4,350,000,000 cigarettes (550 pci capita). The chiewing of l'uyo is al1so wvidlespread, althouigh it is munch less prevalent 1100110 the rising' generation. FIhe siuokino' of onini winch b I thlr-eatenedl to 1)ecolne general, has been prohibited lby law. 1)oth coffee andl chiocolate are clommon (iriniks, p)articularly for tlie, morning m-eal. Filip~inos (10 not have a suthieicut vatriety of food. To() ofteii ilic laborer is content with a pot (if rice, or conand a little -1'lted or dried fish, with now alid then. seine greens. Some eveni eat plain corn or rice three times a dlay. Some eat but t\No( meals, a dlay. Aim instance is on record of a p)opullation of 8,00persos among whom one hieef and twenty hlogs are hlcd weekly. This p)opulation. is diescrilbedl as Ibeing generally \ i-milprovNident, making little pro-vision for the mlorrow or Iithe next m-eal. Under such condlitions, the laborer does not lieenough iiourislhment to sustain his lbodly prop~erly and I):mlit hiin to labor efficiently. Such a (lescription peitaiiis to 1 lwest type of Phiflippine laborers and to the most hackwvard liunnities. Agrainst this type may he placed agricultural 1~ l)ers, Wh-o take pride in a full graniary, wh-o have considerdlvariety iii their mneals, aind who in~ general are good ]livers MOSt imported spirits ami wincs andl the domestic beer are consuinie( hyle forcign population. 232 ECONOMIC (CONDITIONS and workers. Place the ordinary llocano beside certain of the people to whom he emigrates, and the effect of his superior food will appear in his ability to " outwork " the man beside him. Wherever Philippine constabulary or scouts are quartered among the poorly fed population, their superior endurance and strength is at once apparent. The HIawaiian Sugar Planters Association report that the majority of the Filipinos who come to them hlave never been accustomed to work; that they come poorly clothed and ill fed, and that it requires considerable time to build them up properly for the work required. Witl improvement in economic c()onditions in the Philippines, the amount and quality of food lhas increased to a less extent than other factors in the standard of living. However, therl las )een a tendency in tile right direction. Tllis has been paIticularly noticeable with respect to flour, in the importation ot which there has been a steady increase. lThere are now few towns in the Plhilippines which do not possess at least on:l bakery, and bread with coffee or chocolate is the cllstomanl morning meal of a large jportion of tlle inhabitants of tlie Philippines. On account of the ease witl which it is packefl, bread is also cominig into favor as an article of food carriel by travelers and for lunches in the field. The importation of potatoes is steadily increasing, and this vegetable is n(\w found in the stores of most provincial towns. The same (;l be said of onions. Tlhe stores are offering an ever-increasil selection of canned goods, which are consnumed daily and.l; always bought in quantities for fiestas. Recently the impil'tance of vegetables ias increased in the diet of Filipinos (,' Chapter III). The houses in cities were formerly built of soft stone, alli; few modern houses are now being constructed of stone, b'ii k. or concrete with tile or galvanized iron roofs. The houses- (, the rich and well-to-do are often built of hard woods " t4l galvanized iron roofs. Most dwellings, however, are 1,li of bamboo with sides and roofs of nipa thatch or, in inl; l A G IIJCU TLTUIIZAL LABOR 23 233 regions, of grass. The latter may be called the Filipino or iiipa hiouses. The proportion of these dwellings diff ers in various agicultural commnimties. In Samar where much property was ilestroyed in war times, nearly all the hiou-ses are nipa. In mtodern rich towns, like 1Pags~anjan, Laguna P~rovince, the numiiber of woodlel houses is quite large. Generally sJeakiiug, the town center h~as a few "hardl conistruction " houses, while thie barrios are built entirely with bamiboo andI nipa. Nipa houses are often constructedl with one room; many hiave three rooms, some five or six, andl probalbly the majority hiave two. Considering~ tropical health requirements -and the wvealth of the people here,, these are, idleal houses for the, lhihippines. According to the Director of Realth, if niipa Hoases are p)roperly (01 strllctedl with sanitary kitchen and (Ivnuns, they are the most samiitary dwellings,, that can- be built in the Philippines. The old houses of solid masonry retain (lalniipness. The niipa house soon becomes dIry. The well\'oitilated idpa house is cool and less liable to harbor germsn dflel (lisease,, since it is ex1)osed to the dlesiccating' air currents eelI( the germ-killing ipower of sunrlight. 11he chief objection to the nipa house is its inflaunniability; where houses are iuped together whole blocks are sooni burned. The fire is is al"tly counnunicated from one burning house to another froni tin roof; hence the govermiment is off ering prizecs f or a substiI for nipa roofinig which will b~e cheap, light in wveighit, and fireproof. Ilie problems connecte(1 with Phliippine housing' can 'be * aized in the on~e term rataw.Tis is - concerned with tilleniato of the roomis, the disposition of sewerage, the (I'I"Jviug Of lantids about the house, the water supply, and the r1 ing, preparing, aiil eating of fools. Lackr of attention "I ilese matters not only inc- reases the death rate but also U I-s' the physical condition of the people. _cordingy to official statistics, out of 7788 deaths in Manila se~ year 1911, 1_052 were caused by tuberculosis of the II]"'. This death rate from consumption is approached only 234 ECON)MI( C1 )NDITIONS by the cty of Calctta. Although tuberculosls is most pre-w aletl in Maifila, i is very widespread throughout tle Philippilln. It is even stated that there is seareely a single family lhat has not one imeblner a victim of the disease. Conditions for the spread of tuberculosis are perfect in those parts of the Islands in which overcrowding 1in unsanlitary houses built close together in unsanitary places takes place. Moreover, the ree access of air, which e tieeo istmetioii of the nipea hlouseI well ONE TYPE OF PHILIPPINE 1OUSES permits, is usually shnt ohff th.e Filipio family ince - dows and doors are tightly closed at night. Often as amny as teii persons sleep in one room, with one or several individnjus suffering from advanced pulmonary tnbherenlos is Organized efforts to omnat eoiisnmptioii (antitubereul siS work) have already been carried on in Manill for soetice aid are now tkiig effect in the pohci eso thiirnl_ the ace uAs ad other agencies, ehilefly the Antituberculosis Society. The energy of thle giovelieit as heretofore been cle:ii speit in omhathig tim dangerous coiininieabl diseas Froman article by Ws. W. E. Musgrove and A. G. Sisn ii Phi? i Jrna of Sieice, Vol. V, No. a. TYP~ES, OFP P1HIItlPINE HOUSES 236 ECONOMIC CONDITIONS cholera, smallpox, dysentery, and leprosy. These are now held in check, and more attention can be given to the improvement of general sanitary conditions. According to the Director of Health, conditions on the Islands are better than they have been at any time in the last fifty years, and in comparison with other countries it may l)e said that the Philippines are healthy. By mleaills of quarantine,, inlfectious diseases hav,( I)een kept out, wlile trained hlealth service 11as i)eell ablle to isolate aIld quaanll tilln inlfec(te(l regiolls \Vitllill tlle coluntry. 1ownIs al(d cities have been c4llenid up. 'liie are lare w lnearlY 1000 artesian wells in the Isla(lds furnislilng pure drinkigl water. Filipinos, too, have cllanged their attitude toward samitary measures, for wllere f(lormerly healtll otficials were hindlerel d nlow they are assisted. 'ropler mnedlical attelndance, which 11as been lacking, is being provid(lel througllh lelicial schools. Olot llng In the temperate zones clothing is required to keep warlultl in the body during a large part of the year and protect it from dirt. Clotlling in the tropics has the latter functioll t> an evel greater extent, ldue to the presence of a greaterl' number of bacteria; with respect to temperature its use is to protect the body against hleat. The clothing of Filipino agricultural laborers is now well suited to their needs. It consists essentially of a broad-brimlmed hat and of an upper and loIvr garment. Professor II. I. (Gibbs from his investigationls,> sunlight in tlhe Philippine Bureau of Science lIas reache(l i' conclusion 1 that the ideal protection for the body in the tl'ro i(" is doubtless an umbrella under whicl the subject is consttl: 1i in the shade and the radiation alnd evaporation of persp I'l tion are unobstructed; and that it is remarkable how the lbi 't( hat and scanty, loose garments of the native in the trol;('' approach this form of protection. However, good clothilln i 1 From " Original Com(,munications, Eighth IIternational Conlgl''r i. Applied Chemistry," XX, 176. A(-G-ICUTLTIURAL LABOR 237 roften worn for the pleasure it gives the wearer, and living requirements of Filipinos liave increased il greater proportionr ilong this line than any other. FilipiInos as a race desire to ap[pear tleat and well dlressed. I lence muchl imported cloth, such;is drills anl(l calicoes, is worn; tle use of slloes even among a;gricultural laborers is now quite widlespread, an wlere a few years ago shoes were luxuries, they are now necessities. Amusemen nts Relative to his requirements for physical well-being, the Filipino lhas greater pllysical pleasures than the workers of Am\nerica and Europe. Ite is materially better off tlhan the hltiorer of Porto Rico or Javwa, for in the latter countries the pre'ssure of population places before tlie poor man the unwel(',o11e choice between constant lator aid insulfficieint nourisllinllt.1 'l'le amuseimenits of tlie Filipinos mnay be enumelrated is follows: gamllling at cards and otller gaines andl at cocktigl ts, fiestas, music, dan(cing, sipa; " (a game played with 1 rattan ball), new almusements such as Illonographl s and cineill;,ogrlaplhs and tlhe like. Tle (leglree to which these amuse11lciits are enjoyed by the people is not tlle same throughout 11( Island(ls. Mr. Gil Raval, writing from Ilocos Norte, reports i;s illows: T (eiir amusenment is al most nothing. Dlriiking t.o much basi or wi ne (; it wdlill or christelnilg partty, ianl tianciig an!d sing1ig in the rice lil(!i- dlritng rice htarvest are regarded byv theml as their lmost enjoyablle t oll (llutside (of Christmlas and tlhe Fiesta of the Patron Saiiit of tlie t'' N, when there are fireworks and "moro-mloo." Thel flarmer's wife Ills,othler kind of amunsemlent. It is her ogreat ldeliglt to go to church '1 ' lidlays and to llarket mo market dlays. Sle wears her Sunday ' 1.,. aId (o her head puts a finely woven basket full of vegetables '' I ht(er thilngs to lbe sold in the town. With the mloney she will 'li' lmy several skeins of brightly colored cotton thread and one or " (> 'oullits. (Gambling with cards is nnknowin to these 1people. Cocki Uts tui this section are not very well attended by farm laborers as 1 Bulletin No. 58, Bureau of Labor, Washington, D.C. I ' I. I 238 238 ~ECONOiMIC" CO&NDITIONS compared with those in the southern provinces. It is safe to say that about 98 per cent of the attendance in the pits here consists of those town peop~le who follow gambling either for amusement or for their living. Tbc followino' however, describes other conditions: The 1)u1k of the money receivedl goes for ceremonials, wedldi-rig 1)ap. tisius, and such "fiestas," at nuonte, the cockpit, and the like. Cockfighting is not a sport for sport's sake nor even foir the sake of seeing 1b1ood shied, but a game of chance. Cocklightin~g, cards, andl lotteries were ipreviously encouraged, andI the Filipii-)o's desire for games of chance is, largely a question)1 of custom and inheritance, It is widespread among all classest. A ecordmng to the anti orities of the HIawaiian Sug'ar P~lanters' A-ssociation the Filipinos are the foremost gamblers of the various people there; out of the 136 convictions of Filipinos in the (district court of Honolulu, 82 were for "beiine' present at gamblling gamnes." The ill effects of ogamblino' om the mental and moral qualities of a people are always marked.(I The effects ont economici condlitions are quite as great. Thec desire of (levotees of cockfightimg and gambling at cards is not only for (liversion but also for money easily gained. Their~i hope is to o1)tain in a day what wouldl ordinarily take mnonhis' or years of dlrudlgery to earn; often to wvin freedomn from 1t debt which holds themi bound to the land. Yet on the otlhel' hand, gamnbling is often the, cause of such a debt. A lIgaen population dependent on gamibling for a living offers a verY bad examiple of comifortable idleness to the productive ogriflcultural laborers. In addition there is great economic w,,,Ste connectedl with cocktighting in the tine and energy spent, eli raising' and training the cocks and on the foo 001providedi tin Tre immediate effect of this can be seen in the inferior O dition of Philippine poultry (see Chapter XIV). As caim4~ Pigafetta's tiume the, foallowing is notedl concerning cockfigh h The sumis that pass hands are large in prop~ortion to the ni~e',t the gamesters. it is evident that this sort of diversion demorl,/ more and m-tore a peolple of itself given to idlleness and vice and II At ................... A {"'OKFIGIHT AT UT"GAMS OlD AND NEW M lMUSEM 239 240 240 ~EC(O)NOiNvC (1ONDITIONS easily led by the impressions of the mioment. The peop~le canlnot resist the temp1tationl to get iiioney without workiiig for it. Many load themselves with debts oii account of the losses which they suiffer, and thie bandlits and lpirates are in great lpart ruined gamblers. Amiong the, younger generation gamibling~ is of much less, importance than wvith the 01(1er people, and evven ami-ong thme latter it has (lecreased on. accoun)mt of thie sent-iment arouse(1 throuogh the schools andl orgralizations n eas flw prohibitiiig lotteries and games of chance andi regulatinig cockfighting. HIowever, peo( ple must have amiusements, and if one is taken away from them, another must lbe substituted. Throug-h the schools athletics are being given thle lpeople, and( these will jim time p)rolbably supersede cockfigliting, while bctte"i homes, higher stand(ard of living, am 1( greater social life AillI lessen general gamblinig. ("Xreater economic effort andl Intel'est in 1-r~mmeution Will dlimminmish the amoimut of idle time ama1d thme necessity of selekding amusement. It is noticeable, tlmimt least gambiling is relporte(l amnoing p)(asa1It jproprietors. Tie adloption of baseball by tlime youngcr greneration am4ldl the niterest in it mtaniifested by parenits is a remnark alI)le ae-,hieveimne III and litrouglouint time Isltan(1s thie effect of this and field spomv" iii deceal~lsing~ time, attendance a-t cockpits is reportedl. 1Besi(lc snIlbstitutimmo' a (lean1 sport for- (owckfiglithig, athletics will betthi time pmhysical comlition of the Fumlipinos, lamll give both par-tiri1)alnts ain(I specta1tors aim idea of system anlid unity. The feasts ohserved by the lFilipinmos are 1)0th public a(id private and occur on hmohidlays andi in observation of muarriag'~, chiristenings, and the l ike. When carrie(I to the extreme, I 1 time lost in suich ceremnonials m-ray he c onsiderable, while tI amount of food conismnedl couldl often feed a family for s - eral mouths. A family sometimes spends its entire wealth 1 a fiesta, amndl even contracts a debt at heavy interest. Receil] 1 school functions and indlustrial exhibits and fairs have lbec() popular as the industrial idea has been establishedl. Mlany modern means of amusement are finding a plaicct1 the Philipp-inies. Amiong the most nmportanit are phonognlm AGRICUILTUI AI, LABOR 241 and cinematographs, both of which are now recognized the worll over as excellent and instructive. There are few large Philippine towns in which cinematographs lare not now located. Srm mary The standard of living has been raised much in the last ten years; tills is perlaps manifest in greatest degree in the better quality and greater amount of elotlling luse(l andl in the highler formis of amuse- PHILIPPINE ISLANDS Illents, but the careful INCREASE IN IMPORTS OF LUXURIES olbserver also sees ad- IN MILLIONS OF PESOS vances in housing and(l STATISTICS FROM REPORTS OF THE COLLECTOR OF CUSTOMS f'{}(. Mf ore strng-cOn -191)0 1902 1904 1900 1908 1910 t0ool. More stronllg-collstruction houses are be- Pesos ing1 built, sheet iron is l(being substituted for 1(.. ___ Il il)a roofing, and cement 1houses are seen here and s tl(,re. There is greater /_ ldeI(iandl for tools, cult- le(ry, alnd the like. More 4 - ft'1rlliture is found il tlhe llinsLes. Kerosene las 2 - / I, 1 substituted in aliiI st every place for the II,,xst everyy place for the, FLOUR MEATS AND MEAT PRODUCTS li,1 (|Tcen c1euolllt-o)il BOOKS DAIRY.. PRODUCTS, open cocolut-oil L I.EATHER AND MANUFACTURES ILLUMINATING OILS P~l lll)S I ianlos, sewillg PAPER AND MANUFACTURES;ellps. Pianos, sewing.... 6 i (l1IAI!' XXXlI WI:,Illines, and( clocks are ('(!llllon, where before they were rarities. (llart XXXII shows tll t in the ten years from 1900 to 1910 tlhe imports of what l1"it be considered luxuries for Filipinos increased alnost 'i: d(l.1 Total imports only doubled during that period. 1'lis increase in the standardl of living has come about (1 through greater production and a larger portion thereof Ilhe dates and the articles selected preclude the possibility of tile in' 1. (' in these products being' consumedl by the foreign population. E -()OMC COINTIITIONS received lby the laborer,1 (2) 110111, general education., (3) as the result, of travel, and (4) firom the, example of returnedl travelers and strang-ers. It is seen. among all classes, but chiefly in time middle class now forming in the Philippinies. EDUCATION ANDI) TRAININ'G Walker in his i Pohtical Economy " states tbat thie intelligenft laborer is more useful thani time, unintelligent for the following reasons: (a) Because hie requtires a f ar shorter ap~prenticeshuip he can learn his trade in a half, a thtird, or a qularter the, time which the othier )7eqliires; (h) hecause hie cami do his work with little or 110 supjerintend~ence; he is aide to carry inistructions ini his mhidm, and to apply themi with discretion to ~l vryho-coldiio~sof hi wol- c because hie is less wasteful of materials; (d) lecautse lie readlily learns to use, machinery, howvever delic-ate or intricate. Brahi 1 are not alone, reqjuiredl for the invenltion oif tmachinies thflev are required for their adjustment, their ordinary mIsc, anld their occasional repair. The Filipino1 laborer is lack-ing ill education and training. In Hawaii it is fouinl that -Filiplinos are so ulnacculstomedl lo w kandl are so iginiraut of the, customs alid condlitions fonmid there, thiat it requir-es, conmsidleralble time to train theni for flue work requir-ed on the pllantatioins. In the P~hilippines it is nosy, v'ecoO)'1iz ed tihiat lahoreiP5 accompilish a godday's wvorkifi telligently supervisedl, but that they require foremen to keepj them busy alid shiow them whiat to d(10. -In other words, t11ev N aelackingr in system.- 'lime reason for tins is that they hove" had few lines, of activity other than agricultural open to thlili and agriculture has heent most primitive. 'Therefore, whene (liireil to (l0 work which needls, more in-telligemice, and the - of mod~xern implements, they are at first inaccurate.TIi frinal success in competition with other nationalities InI Hawaiian Islands,, time satisfaction they give on modernt est " in the P~hilipplinles, amid oin public and private work"s, demonstrated concllusively, however, that the Filipino(11 trained to b)econle ilnl effective laborer. AGR1UCTIMT-RAL LABO0t 248 243 DIGNITY OF LABOR The ideas of a people as to (lignity of labor in general andI of certain formns of labor im particular are not the same, and aire prmncilpally the result of local condlitions. Tbis is evideiit inl the case of the Philippines. The oldler gcneration of Filitpinos deeimed arny kind of p)hysical lallbor a lowering of social positionl. Ibis idlea was undoubtedly obtained from mnedieval standar(Is lheldi dlnring~ the colonization of the Philippines.' On this account, alnt fromn examlple, the Filipinos thoughit themiselves raised socially whcn they were able either to direct mainual labor without (loinig it themnselves, or to (10 work which dfid not soil their clothing. U.p to the-, last few years almost tbe only formi of mnanual labor found inl the P~hilippines was agr011iculture, and agrriculturists wcre to a greater or less (legree "7)~ ~ ~ hound to the soil. For these reasons, therefore, the m~anual laborer was looked down upon, and lie hiniself felt that hie wvas inferior aiid thionght that if lie couldl acquire enoughi land to live without labor or co)ild becomne a clerk, hlis position ill life, Would b~e infinitely mrore(, agreetable and his class highier.2 So'(ft hands and inuscles, and alife of ease without responsibilities, was the end to be olbtainedl. Education, policy, ~nlexample tanght this,. T hese mnarkedl the "illustrado," the 1n1(i of (liginity, e(hlcation, and affluence. They set him apart frtin the, Producers, of wealth as a person to be respected Ithd lperhals feared, one to, be enviedl andl imitated. In order to obtain an idea of the dignity in winch manual lalbor was iriin Spain during the time of its greatest influence onl thle Philippine m+!1-eter the book 11Gil Bihas de SantillaWi ''should be readl. While this is a satire it ives ai idlea of eomitin exstn at tla he In certain countries of Euirope and in Japan, where the feudal systeni W exitd this f eeling still persists. In new countries suchi as thle United a inl Australasia manual lallor is not looked upon as degrading, nor the farmier or inechaniei feel himiself inferior to the nian who works Ii office or whio (lirects othiers. G-Xre-ater wealth and the possihility of iln living( with) less work are striven for, huit the laborer is not conSl1 ed inferior, nor does hie feel inf eriority. Thiis condition, the willingness lbimit to discipline, and an equal opportunity to advance, are the f oundaiiof demnocracy. 244 244 ~~~E(O)INOAMI( (ONT)YXITIONS Fillip inos, therefore, heave colisidlered labor, anti particularly manual labor, und(io-nifiedl. It is also interestino' to note the, relative dignity of different lines of effort opena to them. 'rphe foallowing lists are the result of observations inadle by diff erent person1s 1. I"'awyer andlO(I tOr. 2. G overninent niapl-oyee. 3. Merchlant. 4. Big landowner. 3. tudependelit farmer. 6.Fisherman. (Rank~s highfer than 7 lbecanse indeven(1 -ent.) 7. Tenant f armier. S. Water carrier. 9. Road worker, lab~orer ill general.10. Street cleaner. 11. House servant, inmtchacho." Jo S~orsoyoo1. Office worker. 2. Foremnan. 4. FarnL work-er. 1. Road worker. 6. Abaca strid)~ing (servant). 1. Official. 2. Teacher. 3). Clerk. 4. Fatrmer.. isherman 6. Tubal gatherer. 7. Servant. S. Wood vendler. 9). (Grain vender. Jo horo 1. Sa iIo r. 2.Diver. 4. Bloat lInilder. 4. Carpenter. 3. Agricoltoral laborer. rTie fact that Fii~ipivios were SO long exchl1dedl fromt cder811 positions has griveni to these an enihanced value iii their ey~~s Yet Filipinos really prefer agriculture to other kinds of new'11 ual labor, principally because, they have always beein used t'~ it. There is necessarily little (ligility of agricultural labor wli' iv the worst phases of the kasamia system exist; but in i > places agricultural labor is considered honorable when ii, pendeut. Respectability -usually rests more on the owner, j of land than on anything else, and families try to beloiw to the landholding class even if the ownership embraces on'l! barren hillside. The Filipino prefers agricultural work, (A only because he is used to it but also because it off ers AG RI( 11 LTTV`11 AL LAB)OR o-)reater freedomn than the constant grinl of routine work; it `h (allows him to work in the early morning- and ]ate in. the day, an1-d to rest duringr the heat of midl(lay; los work is often oearer his home, aiid having no boss over him lie can work accordling to hins own incliations. Filipino laborers will often refuse dlay lalbor 0o1 roa(1s or other constructions to go to work il the fieldls at even half thre wvages. Some forms of ao~ricultitire, such asrice plantiimg dhrvsio1 C11to eHl aOlmost inl veneration, an(l in pilaces it has lbelt practically impossible to get mciil to (lo any otiel ]icehilI of wok dur11ing) the Itgricultural season. Trhe, Filipino~s idleas on mamiual lalbor have chaniged greatly, iiithe last fewv years. There, is a gener-al concurrenece in this op.inion in every part of the IslanIls. lThis has umidoulbtedly hecnai brought about by (lemocratie (examples, the teaching of dlemocratic idleas, andl the gTreater opportunity and lmeasure of rewvard offered the laborer. In the more adlvancled agrici-,ultural leg~ions the wealthier farmers andl proprietors are not ashamed to be seen in working clothes superintending the farmn or even etually doing work on it. In the schools and industrial exhfibits the dignity and value of wor-k have lbeen emplhasized. \\hen the common schools were first estalblishedl ini the P~hiilipPHie1s unlcdr the American re'gimne, the fam~ily's servant, in Olin,1y cases, carriedl the pupils' books to the, school. Students, e)(,irally, expressed great distaste for industrial work of all ki'i(lIs. Tins was a reflectiomi of the idlcas of their pa~renits on tid aim-ys of education andl (lignlity of labor. lo-dlay, however, tll'- o)ppositiomi to, and (lislike of, industrial instruction. is not (V'eteven with respect to such formns as gardening' and c~,orn i ing, which necessitate work in the soil. The fac tors which Pi rsponsible f or the almost revolutionary chianges in the Ii ono's attitude towardI manual work in general, and agricultl"in particular, may be enumneratedl as follows: (1) change the medieval to the Amnericami point of view; (2) chiange 11 i aims of education; (~3) industrial work; (4) inflow of di ~al giving wider opportunity for emiployment in various ECONOMIC CONDITIONS lines of industrial effort; (5) greater protection of the laborer in the reward of his labor; (6() increase and diversification of wants. Decrease in the drudgery of agriculture by tlle adoption of better methods ald lmore maclinery will even more greatly enhance its dignity. ItEWAI: F1():vo LAI,I BONDEI) )EBT11 )IS1 There are two classes of illdividuals lteld by debt in tlie Philippines: tile household servaiits atI(l ordlinary laborers. The first class is very colmmllon anl usnlally comprises youths of both sexes from) ten to twellty years of age. Tihere ar provinces ald sections of lprovinices where most of tlhe household servants are so lleld; il fact, it is a common)l way of holding servants. The seco(ld class iluchides laborers of vtarioius kinds, such as tliose wllo work o( the farm,i cattle herdc's, tuba gatlherers, watchlers of coco(tnut groves, even sailors, alld o)tlhers whlo, adltholigll nlot iroperly llousehold servants, may It, called up:on byl their cre(litors for occasi()lal p)erson)al service. Such lalo)rers ar!e usually Imature menl w\11) beco( e indebte'd. (;enerally botlh classes of (le)t(ors are unable to reatd Etl write in their dialects adl cannot performI simlle aritlhetical calculations. H Iowever, tle lalborers, beilg ( older, are ablle lo (lo tle si!mple calculations required in mlking money clhanl?'s The dlebts are incurred either b)y tlhe laborers tlltheselvc(s Il' by tile parents. Witl tlle servants, tie latter is alllost ai\w':s tlie case. Tlere are various ways by whllic tlle 1)arelt p)le (i''s tlhe service of lis child for debt. T1e simpllest one is wlher li( borrows money from a rich man on thle security of tile ltI')(,l of his chllild, wo serves in tlhe ouse of tle creditor till 1i1' principal is paid. Another way is where a parent alread(l; 1 For tle relation between tle share system andl bonded debtor.- "L' page 201. .z.... *. Z:7- ~ - 7>~~~~~~7 ez ~ ~ f - - 7> - - f-I I r z- - - - f Ji- -1-I- 7 7> -. z* 7> -7> - - - 7> * - 7>................................ Z i - =::-( z 4 —, - t- -... 1. Ilz; ;? IL 1Z.;T ,-T i,: =, -( - 7; 1 —:) = Z.; ( - = 1-,4 -— I 248 248 ~ECONOMIC CONIDITIONS The household servants as a rule do not get a regular stipend. They are given their food and usually the cast-off clothing of the creditor's fam-ily. Occasionally they receive some spending money during a fiesta. Some creditors charge them for clothing, b)ut others, especially thie rich, do not. Those who get a regular salary are given very little, fromn P0.50 to P3 a mionth. This amnount is generally less than that givenl to nonbonded servants, whto get from P4 to P7 a rnonth. The treatment of ib(;)useholdi servants differs with tlifferem t creditors. It cannot be donbtedl, however, that as a genernil rule they are treated as inferiors, but thiat their lot is not grievous. On the whole, they are better off with their masters than they would be by themselves, because their physical needls are thus securely s atisfied, and they (10 not beconici public charges. It is the general olbservation of those who have reportedl on the su~bject that where conditions of liviing arc hard, (Inc to (lensity of popuilation, and a chronic condition of poverty exists, there indebted servants aboundl. Of cour-so -we must recognize, that there are individlnal attitudes toward-( the servant (lass. 'Ihlere are soime who (chastise their servants regularly, and for slight mistakes; there are those who, JyN means of incorrect accounts, try to keep) their servants i (Iebt for longer iieriod1s of timie than necessary. On the othier hand, many treat thteir servants kmindly, although as inferiors: sonme treat themi as nmenbers, of the household and gi'Ve themn a chance to lbetter thieir (conditions. It is even repol-li that an unusual. numnber of masters heclp, their servants MI mnarriage by dlonating~ either a house or a piece of land t4 cultivate. Several causes hold these servants to their lot, I hitme of children pledged by their lparents, the chief cause i's course, parental authority. And probably this is the )t potent force that keeps thein in practical bondage. A see-11 cause, especially in the case of those whose debts were 4 incurred, arises from the difficulty of getting a living, alro,1 alluded to. Again, custoni plays an important part in i1 AGRICULTURAL LABOR24 22 4 9 connection and is reported to be one of the chief f orces that bold bonded servants. Moreover, in mtany cases the servants believe themselves held by legal bond-1 It is seldom that a wvritteni contract is madle, and in many cases where there is no contract the servants are still made to believe tbat they are legally held. Other forces, such as shame aIId a certain sense of honor, have been reported, but Jproblably loy alty would describe better the feeling which binds many servants to their masters. One looking only at the surface of couniitions, is shocked to find the existeiiee of a servant (lass that is practically in bondage; however, this feeliiig is modified when one understands the close 1)ersonal relationship,. which takes the form of protection on the part of the master, and loyalty on that of the servant. Bonde(d debtors as (lescribedl here are (lisappearing jil a goo0dl many comimunities, and there are less of them to-day dian during ti w Spanish adlmin istratioi1.2 Thle followiiug is a list of some Filipino names for bonded dlebtor and interest: 1) IA IE(1 li c ( N 1)1 E D1~ )Er(t~ IN NTI(- rEsTl l~ao....al, bataan, alipan patuho, upa s-a salapi, mu11chachlo p)101i1 pakinsbang, tubo, baba, interes ilinpanga~~~~ma-ipus, tullu 11.l.... ataal), ullipen, 1)a11 halaga, tutbo, pagpagan11tauig., prendal reeibo)1 ancia, interes, por ciento)......elrenla, hilpoteef tiilio, saca......olipen, sologo-1 snit- dlihaip, tub(), patubo, saca lug(o, uitanaan, 1)111a pas aca Ilere is wbere more general education 'ind lbetter laws would be of it benefit. At piresent there is no I iw prohibilting a man from entering obild as servant and Igetting- the chinids salary in advance. Money borod by the man may be looked upon as the child's salary paid in advance, I)ot as debt. Thbe data on bonded debtors were turned over to Conrado Benitez, In(tor iii Economics, University (if (lie Philippines, who, with the help of 'tional information collected by him, wrote the above discussion. -V "YNO)MI (I (10-NIDITIONS REWVARI) AND INCENTIVE TO LABOR The Malayan idea of incentive to xvorkc has b)een debt au(I fear. Tlie miodern idea is greater dignity and reward. It is obvious that bondledl (lebtors have no incentive to labor. Their position does not improve with greater (effort on their lpart. Itheoretically speaking, tlhe vari(u )UP1bilippine agricultural classes can lbe graded as follows with respect to their rewar(1 andl its effect on incentive to labor: (1) bonded (lebtors; (2) wage workers; (3i) shiare workers and share tenatits; (4) peasant proprietors. II owev~,er, other condition mSt lbe taken into coliuiilerafioii, especially tHie education andI (baracter of the~(, laborer aiid the attitude of the, employer towaril huin. the shiare system offers 110 ilieeititv( whe la cxorbitant, interest rates hold the tillers of the soil pracUtically Indentured to it. Th'le Laborer for daily wage, is not dhfficiet if held in thec same mannier, or if nlot ilnlblle(1 withi suffh(ieut hionor to give, full labor value, for his w~age. Even the. peasant iproprietoim may lbe a relatively inferior producer if false 1)ride in, his p08-.;. tion as landholder and love of gambling dlraw loini away froio the land. Ini all these points Filipino cagricultural laborer-s dfenot only iunlivilucally but also by groups anldl aecordiiig to custom and1 conlidtilAls ill Various regions.' In, general, however, thie Filipino has lackedl incentive to labor blecause hie has not received tile righitful. share of ils, production, 1101 has lie been lprotectedI in his lpropeity. Sine1 return, lack of security, ani apathy of the govern mtiit towix, indlil~stry contribute(d not a little to foster ili(lolenlee. (Greafr"] effort didl not result in greater i.ewardl. The laborer couldl (lelrived of his savings iii many ways. Thie possessioii much wealth carrie(d certain (langers wvith it. I lence Filipino lacked incentive to earn more than the absollI ncsities, and camne to feel that onlyd ynm~haey suining themn could lie enjoy the results of his labor.' 1 The writing'1s of Jos6 Rizal mnay be consulted on this 1point, that tlwr dolence of the Filipino results from lack of incentive to labor. AC~~tICULTU)ilAl LAB41O25 251 iUlllike working classes in Europe tand the United States, where llarder co:lllitionls of living exist, Filipilno workers cannot be (irivel l)y the scourge of necessity to sustainedl industrial activity; hence the relation between rewardl and efficiency is especially impor)tant here. Numerous instances lmay be cited in wvich it lhas been l)roved( tlat tile greater the lilipinl's incentive to work the )etter laborer le become{, s. Small piece (cotliractors oni local railrolads show double tlie etfficiency of day laborlers.1 In the Ilawaiian Islands, Filipilno c(ontractt laborers in calle cutting, ai(d conltractors wlho cultivate a piece of ground and sell the 1ro(lduct to plantations, carn;' 11() tlhm tlhe day laborers. Mloreover, sugar planters there state that, though Filipinos (h) not work regularly in tile beginnling, yet, after tlhe first monley is spent for fancy clothes andl ornallments instead of for tle necessities of life, tlhey nlsually settle (lown to regular \wvrk, earnln more tinan, enough to live comfortably, and in(cease il efficiency. Witlh b)etter educatltion, witll thle knowledge that lie will be p(otectetd inl tell rewardl of his lab)or, with greater and higler \\w'tlts, tlle law of ilcreased etfficiency witl i(crease(l reward \'ill app)ly to tlhe Filipino even mnore tllhan it now dloes. \MO(BILITY O)F LA BO()R T''le (lemand for labor in aggricltulure varies with tlie seas,1t and is greatest at the plaiiting anud liarvest seasons. The 1!'I'ree to whichl tills dlellalnd is supl)plied depends upon thle m})oility of la)boI. 11n tlte United States, for instance, there is;(A exodus of workers frol t lte city to tll farm ant d orchard '!'ilig tle lharvest sea sons, and a movement of laborers from s' ltl to n'orthl as the crops mlature. In1 Ceylon there is a s i()lsllcl mlovement to tlie tea plantations from India. 1Sch( seasonal labor movements also occur in the l'hilippines. V thi given rgie eions they often take place from town to 1 eport of the Philippine Commission, 1907, p. 1021. 252 252 ~~ECONOMAIC CIONDITION-S town; one town plants a variety of rice which matures early, another, one winch is harvested late, and so the harvest occurs at intervals. In such regiA m ypers o msiove frmtown to town to help in the hiarvest. When the crop is short in any one place an especially large number of persons participate in. the exodus from it to the rice fields of more fortunate rcgions. While these pcople oftcn belong' to the small floating' population wh ich goes f rom lbarri() to barrio as work demands, yet most of the harvestcrs are permanent rcsidlents of somne one locality. H1-ence the ill (effects of this system clan be seen (1) in th~e temporary abandonment of home and_ domestic animrals (for whole barrios are olten (leserted),()i time lost iii traveling, and ()in loss in education. of children taken fromt schools. Yet such an influx of la borers, is often- necessary o the harvesting of the rice crop, and in dlensely lpopulated districts the added snpply of rice so obtaineol is very imiportant. rfhere are also several large areas in which the labor supply f or the harvest is (leficient, and definite regions from which) labor is comm-only drawn to them. Such regions are showii on Chart XXXIII. The character of the movement fromt Panay and Cebu to the sngar fields of N~egros has already been (discussed in thw chapters on sugar and land tenure. It involves several thousand men, usually not accompaniedl by their families. Mo1>of these are rice farmers who leave after the harvest and 1i-., turn for planting, a })eriod from November to Mlarchi. Main, go back to their homies as poor as they left or with only beti, clothimig. Somie have savedl money for the purchase of land work animals. rTliis,differs from iothiernmov\ements chiefly in t1i.t the laborer is, brought in undercnatadwokfr a wauI There is also) a movement from lparts of Batangas toS Pablo in. Laguna Province aindo to Tayabas Province where I laborers work in the coconut groves. The other great seasonal labor miovements indicated on I map are in connection with rice harvests. The most importe it of these is that of Ilocanos to the Central Plain of Lnvii,,1 Formosa PHILIPPINE ISLANDS 5 MOBILITY OF LABOR Regions froin which seasonal labor is drawn II. E Regions to which seasonal labor goes.,y (Data from Economic Reports, Bureau of Education 1011-1912): O I0 0 * CHART XXXIII 253 254 254 ~EC(-)ON ~( )IM C (ONDITIOl NS (the provinces,, of Pangasinan, Tarlac, andl Niieva Ecija). This movement occurs, fromn D,.ecem-ber to April. Rice matures early in the iloceano provinices, and after the harvest hundreds of families journey southi in groups, some walking aiid camping, others going l.).y sailboat. ThIey harve-~st rice for one fifth of th~e crop. Somne clonvert their share into umoney, but most of them return b 1w boat with the rice. Many tak-e clothes woven ini their hiomel-,s or in their locality alid dispose of them to the people of the Plain. The, Ilocanos are the most, mobile of all F~ilipino 1)eoples. Harvest by outsiders is mnot always to the eco-inomic, adlvaitage of the owners, of small rice fields, but clustom permits ally one to help in the hiarvest for a share of the croj). The ill eff ect of the large share given the harvesters has already been) explained in ("Itapter 11. Lack of mobility of labor in certain sections of the Islands may lbe accounted for by the antiipathy of the people and by ' the (lebt, systeni whtich hiolds them to the loc-ality.' 11h) establ isinnent of peace condlitions, the construction of railroads, and in general the bettering of means of comm-uniciation ten(I to increase the mobility of labor. This is noted ill all parts of the Philippines. PLANTATION- -LiABOR, The discussion of agricultural labor as presented in. Chi;p11 -ters XII alld XIII is fromt the point of view of the conic iv as a whole, and with respect to systems of agricultural org,~,~I zations now extant. Investment of foreign capital in PNJi pine tagricultural, enterprises has usually taken the foril 01 lplantations,- on which a supply of efficient labor nmusi l)C estalblishe(I andl maintained. Thie increasing number of - (1 p)lantatiols mnak-es thie question of an effective labor s11 N~ for themm extremnely important. Early ini A merican occiupta 101 I This question is taken uip at length under the headiw- Emigli in Chapter XVII. AGRIIC1T1ETURAL LA1101) 5 Cl I-;! Z t ) O it wvas rec(ognizedl that suchl a sulpply did( not exist here, l( the adllnittiance of (16ion ese coolie lrabor wvas atgitated. -As a result such labor was d(ihnitely exclu(Iedl by lawt~ from thle P~hilippines and chiefly for the following reasons: (1) the natives,, object to (Chinese; (2) Chinese seldom rem-ain primary producers for any length of time; (3) Chinese become itcommercial class, (irivinig out of business native anti white merchiants; (4) they tappetar to be nmore oppressive exploiters of the natives than other empjloyers. Since time passagre of time exchusion law, the possibility of bringyingr in indlentured coolie laliorers under contract to leave time country at the endl of their term of service has lbeell broug'ht p.In view of the fitct that such systems,. have been recently repudhiatedl in couimtr-ie~s whi~ch. have used them, such aetion would b~e -a distinct stlep backward.' Plantation labor here must therefore be Filipino. M\'uch doubtA was at first expressed as to whether Philippine agri(ulitural laborers woul(d ever be efficlient enough for plantaho(im PUrPOSes. In view of exlperience with themen ont various pllantations niow establishedl here, and1 their success in comnpeting with the laborers of other nationalities on the plantatooils of thle Hawaiian Isilands, it appears that Filipinos do Imo"ke efticient residlent plantat ion laborers if they are paidl a Just waclge, are wvell housed in villag-es undler attractive sur1 1il(ling~s, are provided with amusements, are, superintended o1V Verseers whio lm(ierstandl thiemm, are assuredl of the receipt " the total wage earned, and in general are treateti with 11Ilee. The use of a bonuls, shiare, or piece system is also "'lie creation of a residlent labor supply is, of course,, imperaOin a modern plantation. rfhe measure of success which or it (fisemission of this poinit see any Unitedl S8tates text on colonial '11111 lit. '' The History of Coloniization 11(published by the Bureau of AiOnI, Manila), Chlapter XV1, may be reviewed. Oll( question of the supp1ly of such. labor andI the regVions from which it (io rawim is takeim up under the heading Mobility of Labor in this 101and under time heading( Emigiration in Chapter XVII. 1'42 5 6 25G ~ECONOAMIC CONDITIONS the Flipinpo laborer has attained in the Il1awanian Islands andi the cause of it may be unfl(erstood f romn the foAllowing extracts: 1 Filipino immigration to Hawaii was started in a small way in. lDeceuiher, 1906), between which time and D)ecember, 1907, approximnately 200 Fiihpinos were brought in. In May, 1909, recruiting operations were again commnenced, and fromt July, 1909, to September 80, 1912, approximately 10,400 arriveld. Oni October 81st, 1912, onr plantation pay rolls showed tiet there were 6724 men, 50 women, and 29 rmiors regularly employ ed. Of these, 2) men. were working as skilled men, 51310 working as dy lahborers, 1291 working as, contractors an)(l:301 working 'as I-rofit shlirini pla-nters. Day laborer 15]CeiUvC wages at the rate of %$2).0(-) per mionth of 26 (lays of 10 honis ueali plus overtitmn and extra compensation for SundayIN work when required T hey arn also entitled to a b~onuts on their yearly earnings if they have averaged 240 days labor for the. year on flte same plantation, at a rate based on tlme New Y ork piices of sug-ar. IDnringr the last year this bonus amounted to 1 1 per cent, an( ipamtitl returns from 35 plantations show that 811 Filipinos rece ived $15,487.02, an average of $18.410 each. Contractors aire gangs of mnen who iiiidertak( ce it in specific planltation operations, such I as cultivating fields of cute, eutittno, loading etc., and are paid so mnuch per ton of cane. (Contiractors receive a considerlably laro-er 'amount than ordinary field laborer s omrdinarinly earning fr-em $26.00 to $85.00 or $10.00 per month. Profit-sharing planters are those who take over portions- of land1(1 all raise cane for sale to the_, plamitatioris. Thlese men also receive consu~lc1'ably higher am-ounts th an day laborers. -In adhlition to wages all laborers are fuirnished free of cost N6ill comfortable houses in which to live, firewood, water for dome-,stic poses, anid medical aiil hosl ital. attenidance. Comparatively few of the ]Filipinos coming to Hawaii hiave viously been accustomed to continued or systemnatic work, -and tl il development imito satisfactory laborers involves time, patieisce an c,(iful supervision. I think, howvever, that they compare favorably' N1 initial immig-rants of other nationalities. At first, many of themn do not work regularly, and we haveno a tendency after the first pay-day to lie off and spend the mioney ea 1 These extracts were taken from a communication received from"l, Hawaiian Sugar Planters' Association, Bureau of Labor and Statistianswver to a schedule of questions. It must be remembered that the rn was made on Filipinos in competition with labor from practically all tries fromt which contract labor can he brought into the Philippines. A.GRIC1ULTUR4AL LA-POR" 2"57 much of it going for fanicy clothes anl adornments, rather' thanl the necessaries of life. After the first money earnedl is spent, they are More apt to settle down to regular work, andl, after findin"o they can earn mnore than enough to live, comfortably andl that they canl make some saving, the ma ority of them increase in efficiency. Recently a goodl many of them have been returning to the lPhilippines, paying their own pa ssages and with consideralble sinus of mnomey savedl up. At first the Filipino is niot capable of dohing the heavier wvork on the plantationm, and so far few only have taken. the heav ix'mJoiing contracts; in all other parts of plantation work they a re graidually takino( their lplaces, even in the mills, alld those who are (10111 cointract work are, of cour111e, above the averag-e in efficiency. The motives causing Filipinos to comle to Hawai a1're (liticult to dlesig-nate, as they pr'obably vary in ditferent cases -My impressioni, however1, is that a (lesire for a change andl a prospect of betteri ng their positlions are probabuly the chuief iiotives....This offhc( hia no accurate kiiowledg.e (If the number emiaedeveilote galfl ocuatos -al of the Filipinos are working' for the, Federal G overnmenemt i~n the dIry loc)k construction, as stevedlores, as yardi aild house b oys and iii the pineapple iimdlustry. While the beginning (If any immi111gration niaturally has its dlrawback~s.And (liscoura'einents, and while there are always muaniy executions" to Iih' general rule, on the whole, our Association. has fouinl it worth while fi) encourage the coining (If Filipino~s. The miajority (if them have never I-en accustomed to work, Comle poorly clothed, ill-fed and igimoramut oIf Oill, customs andl Condhtions, andl it requires conlsiderable time for the Pc -per bIdlding ill) (If their bodies, and trainimg theuui for the work me'Iled. Wheni thuis is (olone, hoiwever, the majority prove fairly steady 't)[efficient workers and~ appear willing toi work. The aver'age iman is minrid, amid all coumply wvith camip sanitary requliremlenits. 1 PART III. INDUSTRIES OTHER THAN AGRICULTURAL CHAPTER XIV THE ANIMAL INDUSTRY D))MESTIC ANIMA ILS The Philippines are naturally an excellent grazing country. The grasslands of the Islands comprise approximately 40 per cent of the total area.1 Il many parts there are extensive ranges of good pasture grasses, as well as large areas of cogon grass, which afford good pasturage if kept closely croppedl.2 lThe carabao is indigenous to the Philippines. Cattle, horses, land goats were introduced by the Spaniards from Europe, Mexicfo, and China. These rapidly increased in number and by 1609 3 were raised on stock farms in different parts of the Islands. Previous to 1888 the amount of live stock in the PhilipIiles was greater than the needs of the people required. In all grazing regions there were persons possessed of many thusand head of carabao, cattle, and horses, and plenty of ailnMals were available for agriculture. Since that date, howevcr, rinderpest, surra, and the ravages of war have reduced tl7 number to only a fraction of what previously existed. In considering the various domestic animals4 of the Philipet-s, the carabao must be placed first as the most important. 1See Chart XXVIII. 'For a discussion of Philippine grazing area, see Miller's "Commercial l;( n'aphy." Blair and Robertson's "The Philippine Islands," XI, 89. This discussion of Philippine domestic animals is taken largely from the 'I;cultural Review, Vol. IV, No. 9. 259 E(.O,)NOMIl(j' (11)-iNDITJOINS Probably 190 per eel-t of the agricultural and transportationi work is done by carabaos- They are, used in preparing the land for 1j)Iiatinig, in cultivating it, and iii tranisporting the crop to mlarket. Their milk is used exclusively by Filipiiios. Whether carabaos are better work amninals thaii oxen is a (lelatable questioni. There can lbe nio (loubt, however, that, the Filipino fanner aii(1 labor-er prefer carabaos, andl they arc therefore giv cii beitter treatmncinit aiidl(I iore attem tioi thanl ailiy otheir (lomiestic a-itimnals iii the I slam 1(1s. Thle, liaticular advai - tage which the caraha() has over other (lraft amiimnals is its ability to work easily in mn-ml where oxemi aire of little, value an(1 the hor'se is useless. Thlis coiisidleratioii is a most important oime in the Ph~ilippin~es omi account of the semniliquiid~ state to which lowland rice fieb Is must be, re)(liieel b)efore plaini-ting. For workh in these fields the carabao I's thie only animal iii existence th~at is at all satisfactory. Thouigh clarabaos can (iraw heavier loadIs than cattle, they are really iniferi~or as (iraft animials, since theyN are unalble to work so contuinuously anid cannot p~erfori. labor, in the sunt so well. M-oreover they (10 not increase as rapidiY an(1 are somiewliat more susceptible to (hisease. T he cattle fotuimd ini these Islands came origiiially fromi Ch-inia and Sp,:aini. Thlere were formerly large numbers, I, them, but diseases,, heave now so redluce(1 them. that only aN, fexv small her-ds are left. The larger indlividtials (if the native cattle make good work aiinimals, aiid many of them are used that l~ipurpse. Most (lomestic cattle, aunl particularly those 4 thme larger herds, are small in stature and are killed for hel' Their small size results miot from lack of feed but because i fresh 1)1(10( has been introduced into the herds for a number, 1'd years, with the result that the type, of animnal has deteriorat 1 Besides these native cattle, several thousands have anuiml lbeen impilortedl imito the PIlhlippiiies from. Chinia, In-do-Chmi1 alid cert'ain other countriies. Most of these were iiitendedl mnieat, but a large, number were sent into time provinceis used for ag ricultn ral or transportation purposes. Iii ordlc t11 improve local stock the Bureau of Agriculture has from ji THE ANIMIAL INI)ISTERY21 112 6 1 to time importedl various breeds, and~ some, of the crosses pro-( (Iuced have proved very satisfactory. Amiong these the -Nellore cattle of India are worthy of special mention, since they are seldlom attackedl Iy the tick and~ resist rinderpest the tWo chief cattle pests in the Philippines. Little fresh milk is used in the Phbilippines, and only recently have a few imilch cows h~een importedl from Australia. 11e horse of the Ilublippimes is a dlesceunlant of the Sulu hor'se, anU-d the horses brought by the Spaniards from Mexico and China. \\rhifle, it is a small aninial, prol~ally no breedl of horses in the w~orld has the combined (jialities of style, actioii, vigor, and c(lilurance in the samie degree that the Philippine breed has. r [1ins has donbtless resultedl from the fact that little attention hias been given them, and tins, by aL process of natural selection1, those animals have survived which are best fitted to endure, the conditions, of P-hilippine life. The Philippine horse is uisedi for riding and light hauling. No heavy work in tie, field or oI the roadl is performed by it; cattle and c~arabao) are used Inlsteadi. Iii mountainous regions hor-ses are often utilized as ilack animals. T'Io a person familiar with the horses of Europe or Americta, the, uniform-ity in the types of Philippine horse andl its limitat;(It to lighlt, draft work seem- peculiar. The tylpes of Enropean iiid Amnericanl horses are many and variedl and lhave resultedl fron selection ani breedling. Somie are strong, massive (lraft ouiimals, llsedl to pull great lh)ads through the streets. Others R'obred for wvork on farmns. Then there, are horses for (lriviiin carriages andi othiers for rid~ino- WVithuim each of these 1: )es there are subtypes. The horses from certain localities the Philippines, suche as Abra, IBatanga11s, and Cebu heave 1 'eputationi for strength and~ sp~eed, hut no breed of hor'se lbeen developedl here other thaun the general typ)e. iDurimng t1 last fifteen years the (lemandl~ for horses in the, larger towns I resulted in depleting the farms of their best animals. Thme 1) oc(,r animals have been left to rep~rodluce their kind, and, as 1(t mequence, the Philippine I iorse h as (leterioratedl. 262 EC(ONOMIC CONDITIONS Before surra became prevalent in the Islands the supply of horses il all districts was plentiful. This dlisease, however, left many towns witl scarcely an animal, and in all sections the price given for a good horse has increased several fold. Chiefly for this reason a large number of horses have been importedl from Australia. It is ilmportant that the native horses be improved, and tlis can be accomplished tlrough selection, letter care, andl crossing with high-grade animals imported from other countries. Ilorses, since they have greater speed than eitler carabaos or cattle, would be more suitable for transportation and, except in rice paddies, would be better for plowing and tilling the land. As a matter of fact, in Cuenca, 1Batangas, much of tlle plowing is done by horses, and in certain localities tle small native horse is now used for botl plowing and tilling. Wagons hauled by native horses are seen on the docks at Cebu. In the Islands as a whole, however, tle horse will not supplant otlier work animals for heavy transportation and agricultural wo(lr until the breed has been improved so as to give larger alnd stronger animals. Swine are a source of great wealth in tlhe inited States, where large and important industries in agriculture, co111 -lercei, and mlanufacture are based upon them. It is doullfull if tlese industries could lhave attainel tlleir present stlat of (levelopment if it had not been for the care takeli ill in - provilng the breeds of swine with a view to producing ti'( greatest amount of meat andl fat for tie feed( given. Swile;'' )red commercially oii tile farms, and are fattened( for market )1 feeds the value anll economy of which have been determil l by experience or by scientific experiment. In comparison witl the attention given to raising swine n the United States, the situation in thle Philippines is peculi'i Ilere they are really scavengers, for they are seldom pelll' alld are compelled to find most of their food. The nunlbe'r ) swine raise(l in the Islands is not great, but most families 1;':(' a bree(ling female, tle young from which are raised and eat I1 -" """"`-"-b "" ---`-"~ ~~-'~ ~I ""el THE ANIMAL INI)USTRY 263 UIsually, however, they are confined to a pen a few weeks before they are to be killed and are fattened by special feeding. Philippine swine are long-nosed, narrow-bodied, and flatsided. Their shape is not conducive to a large yield of fat and flesll, even though they do respond fairly well to feeding. The greater part of the population of the Philippines is dependleut upon swine for its meat supply. Pork is found in nearly all markets, while beef is often lacking. There is always a good local demand for pork il all parts of the Islands and a constant shipment to the larger towns. I'lere is also a large importation of swine products. HIlence tlhe Philippines offer.an exceptional opportunity for the raising of swine on a commnercial basis. Good feeds for fattening swine are produced il tle Phlilippines. At the present time chopped banana stalks 1nd " tiquitiqui " are the most-used feeds, but these are of low nutritive value. Corn, which is probably the best of all feeds for swine, is raised here. By clanging corn ilto pork tlle farmers in tle United States make millions of pesos annually. Otler Philippile hog feeds are peanuts, sorghums, and tle various kilnds of lbans. Rice bran is abundant and nutritious. T'le milk of the (,conut contains considerable nutriment and, instead of being cntirely wasted as it now is, might well be saved and fed to swine, just as in the United States skimmed milk, a by-product i' the dairy industry, is fed to them. Coconut milk should,1 used in connection with otler feeds, however. Copra cake t',m oil presses is also excellent feed. However, in order that the Philippine swine may be profit'ile, it is necessary to improve the breed. Swine of good breed.yve been introduced into certain localities, as, for instance, in 1 ),b, Batangas, where to-day caln be found specimens which 'q llare favorably wvitl tlle American hlog. V small flock of goats wand(ler a)bout nearly every barrio in t! Philippines. No particular care is given thlle, and tlley "? seldom used except to furnish flesh for feasts and, in a li' ited way, for transporting small loads. The goat could be E( ON( MI( (OINDITIONS mnade of considerable importance in the P~hilippinies -if the value of its milk were nnderstood. GTo~ats' milk is superior to that of the cow or the carabao andl is prodlucedl muchi more econom-n ically. In many countries, both temperate and tropical, it is consumcd in. large (luantities. Some of the best breeds of muceh groats,,su~ch as the Mialtese, have alreadly been introduced into the Philippines, and the increase of these would probably go) along wvay toward redluciflg the high rate of infant mortality in the Islands. There are 110 chiicken farnis ini the Phiflippines, but eachl family usually has a few chickens for its owVn use. Poultry, next to pork, is the chief meat eaten, lbnt in tile Islands as a whole there is an undlersupp)ly of jpoultry alld eggs whichl is due not only to the small nmnber of chickens and (lucks raisedl hut also to their poor laying qualities. This conditioni is largely tlle result of cockfglhting. Tile high valuatioli placed on tile g'ame bird, rather than on either hens or eggs, has resultedl in the production of a sirnadl type of food chicken, which lays only a few small eggs and has tough andl poorly flavored ineat. Thie eggs annually ilnportedl frouti China amount to over 4,000,000 (lozell yearly an(1 are valic(I at fromn P000,00O to P700,000, but do not entirely supply the demand of tile larger cities.li Inmany of the smaller covimiiiiiities eggs are seldom available. Increase in- the amount of (lomestic poultry andl eggs, may he brought about cit1l. by increasing time unulber of food chickens to a household or by raising poultry on farmis as is (lone in time Uniit'd States and in European countries. In any case, hioweN-1V.' good1 results will be secured only by improving tile breedl~I poultry. At tile present time farmers often add to theircome lby the ilallufacture andI sale of articles, made in thl, homes. Thme sale of chickenms, ducks, and eggs can alsoW made to yield additional income. P~oultry raisin~g as a buieshas receivedl some, atteitt in andl about Manila, but as yet little has been accomplish ) Cleanliness must be the great care (If p)oultry raisimmg here,. THE ANIMAL INIDU)STRY ANBIAL BIEEEII)ING' In most civilized countries of thle world mllail's control over flora and faunua is such that lie letermnines their types. Illprovement in vegetable forms by selection lias alread(y beeel explained. The effects of selection are often better shown inl animals. For instalce, the horse may be bred either for massiveness and strengtlh or for speed; some cattle are bred for meat, others for milk-giving qualities.1 Som e lbreeds of chlickenls are noted for their laying qualities,,otllhs for tlle quality of flesh, and still others for their fightillg Icocks. Illlprovemenltt il animals by selection is little practiced b y Fililpilos, alld fo'r this reason all tile a[inimals that lave beeni raisedl on tlhe Islands for any great length of time hlave deteriorate(. fy (car'eful selection and thle illtrodulctioni of nlle breeds from forei'g countries, great improvement can be mnade in all domnestic animnals. FO IlA G E An othler problem connected with P'llilippine anlimals is tllat ()' forage.2 In tile temperate zonle, grass is killed by ft'ost (or slow, and it is therefore necessary to grow an(l )reserve foragct crops for use during tlhe winter Imothls. In tile t:ropics thl growth of wild grasses and( other forage plants is conltinllolsi throughout the year, except in regions wlich are subject to a }dry season, and in these some system of irrigation is is!ally found. I'lhe chief forage crop now cultivated in the hl'lilippines is t ' it" (Leersia -Iezandra), wlhichl is fed green. A large amount, te'ed is also obtained from tlhe by-producets of tlle crops,,vn for humanl food, the most ilmlortant of whlichl are rice stl \v, corn leaves, sugar-canle leaves, and pealinut vines. ('a le and carabaos tllive on tlle native pastlres adll( the 'regory, Keller, and Bishop's, ' Physical and Comnmercial (;eograplly." 'llis discussionl of forage is based upon data from tle Ayricultural It:(,, Vol. IV, No. 8. ECONOMIC CONDITIONS grasses grown for forage, but the Filipino horses are insufficiently fed on their ration of green grass with an occasional small portion of unhulled rice. At present a sufficient amount of home-grown foods cannot be obtained for the several thousand horses which have been imported from America and Australia. Since about P3,000,000 worth of feeds are annually imported, it is important to find forage crops that can be grown and cured locally which will be good substitutes for the imported feeds so far as food value and cheapness are concerned. Experiments on local and imported grasses have been made to determine (1) wiclh will yield palatable hay; (2) what the possibilities are of curing hay so that it will keep in storage; and (3) the profitableness of the crop as compared with other field crops. None of the local grasses give promise as hay crops. On account of the humidity of the atmosphere even during the dry season, only the slender stemmed imported grasses can be easily and satisfactorily cured. The best of these have been found to be Rhodes grass (Ciloris gayana) and( Tunis and Sudan grasses (Andropoqon halepensis vars.). The prolduction of corn-blade fodde(l from the grain crop seems practicable. Curing hay from all these plants during the dry season presents no great difficulty. From the point of view of market facilities, the best localities for commercial hay growing at present are in Luzon. RINDERPEST The greatest problem connected with agriculture in he Philippines is that of overcoming rinderpest or of hol(1d l it in check.1 The history of rinderpest extends over a Il,I' period of years. It has existed on the continent of Asia si C( the earliest authentic records, and was carried thence by " g}t migrations and( by war and commerce. There are deti itt 1 Thi isdcussion on rinderpest is largely based on an article in the. i/'cultural Review, July, 1911, written by Dr. A. 1R. Ward, Chief Veterinl i'l of the Philippine Bureau of Agriculture. It sets forth the present poli; (f that bureau with respect to rinderpest. Photo by Bltreati of Arietulture (CJRIN( AN IINTRODUC:D (GRASS FFOR HAY G2T67:. Z" i:~ ~w GM X hR 2.... 267 ECONOMIC CONDITIONS acc)llit ofit apeaanCe i1 Euroe from time to time durincr the past f )urteenhii hud ried years. In the eighteenth century 200,000,000 lheadl of cattle were dlestroye(d by it in Europe. InI its last invasion of England, in 1865-1866, some 279,000 head of cattle were attacked in eighteen mionths. ILAong experience h as (lemonistrated that rinderpest can 6hc ex terminated by the slaughter of the diseased an ( suspectedl animals together with thorough disinfection, or by preven-ting tue initermhigling of the infected annuials with the well. 8y these methods the (lisease hias been overcome in Europe. In) the past sixteen years an earniest eff ort has been madle to control the disease with antitoxic serum, but a critical study ' of the results of its use has, led to the abandonment of this mletlim0(. Ii the (liscussli)1 of the history of rice nnports it was noted that rilllerjpest wvas intr(od(lcedl into ti e Philippines about tic year 1 888. It rapidly sipreadi to many of the provinces, and thouisands of cattle andl caralbaos (lied. O)Ii the ranges of tleo. Cagayaal V alley 95 per cent of the, cattle iperished, aind evervwhere in tile islall(s the losses were tremendons. InII 189 p)ractically all the cattle on M'asbate Island succumbed to 1ie (lisease. By thie year II894 tfIe (lisease, had largely spenit itself, lbut only a small percentage of the animiials that hadleti existedl in time Philippinies wvas left. These were apparently lficienit for thie nees5 (If tihe Islandls, however, for fewci I were' inlip-orted. ANV ith war times camne tile (lestruction of V stock aild a reoccurrence of rinderpest. lihis outbreak I jprohalbly due to infected cattle brouight in somie (If tile111 -Otis silipmlelits, arriving fromi tile Chiia, ctoast, where the existedl. Again resultedl large losses from11 which the is'L d' hiave never recoveredl. ibis attack spent itself, but there. I been sporadlic outbreaks almost every year. MIany of times li llil(ionibtedlly causedl by inifectiont fromn imported animals. others by local infection. The effect (If rindlerpest on economic conditions iiili Philippines, has, ileell great. lin agricultuire it has, causl5(1 THlE ANIMAL TINI)STRY2 2)( 9 abandonment, permanently or telnl)orarily, of tllousalid(s of hectares of land, and a conse(luelt increase in rice impor)ts; with carabao selling at exorlitant prices hunlldre(ls of peo(ple il certain sections were driven front farling il thle lowllads mnd resorted to tle kaigill ( or solme other means of carlingl a living. It has also ellncoraged the gruowillg of (expolt crop)s such as abaca and copra, which (do not require mulchl labor andll cultivatioll. It las increased the (lifficulty of carryinlg agricultural products to market. The aldditional cost of loggillg oplerations has cllecked the builil(lig of good olJolle(s l)ecause of the lack of clleap lumber. Finally, it lias so reduced thle lomlestic supp)ly of beef that the diet of Filipinos nlow contains little meat. I'le problem of increasilig tle 1lllubl)er of anlimtls in thle l'lhilippines sufticiently to meet insular needs is a (lifficilt o11e, ad lllas given rise to disLagreelmelts on tlle )part of exlerts all otiler interested parties. Obviously thle quickest andl easiest metlod would be to import anlimals froml other countries such( as (China, Indo-China, Inia,, i a(ln Australia — all of whic(h lave a surplus supply. However, from the standl poin t of tlle agri(c1ltural and industrial welfare of tle lPhililppines, it is Melcessalry that the animals imported be free froml disease. (attle th',un the countries just mentioned( are sullject to attacklss of c'iler tinderpest or pleuro-)pneluml(onia, ai11d their at(liissiol, tevix after careful quarantiie, lias been found (dllgerlols, sovc':!1 outbreaks of rinderpest lhaving been (lirectly traced to tl'lll,. Outbreaks of rinderpl)est have at times resulted from( tl1 introduction of animals wlichl were killed for meat almost 11:,ic(diately. Ience, there is now an embularg(o on all foreign lt t cattle, and none are imported into thle 'Philippines. ITis 1)1 'c(dure has affected tlie meat sup)ly, p1articularly in tlie (ll! s. The foreign population lias always preferred meat 11111",'ted in cold storaoge from Aiustralia. Iililillnos formerly tl(l (onsumed beef brougllt in onl tlie hoof frIom Cllina alnd 11e '-China, and to a lesser extent (omestic beef, but it is 'l':alble that if the embargo on imported beef is continued, 270 ECONOMIC CONDITIONS cold-storage meats for the consumption of the Filipinos will also be imported il large quantities from Australia, and perhaps Asia. The high price which they bring in the Philippines warrants the expense of immunizing work bullocks for export, from Asia to the Pllilippines. It las now been fairly well proved that the bullocks of southwestern Asia can be successfully immunized against rinderpest. Immunized animals from that region may therefore be imported for agricultural andl transportation purposes. The embargo was placed on imported cattle in order to protect the animals now in the Philippines from introduce(l diseases. Coincident with it there is being carried on a ctalpaign to rid the Islands of rinderpest. The methods employte by thle Bureau of Agriculture consist of confining the sick anll of keeping the susceptible animals isolated one from another. In other words, it is hoped to eradicate the disease by qularantine. Pursuant to this policy districts in which epidelli(s occur are specially quarantined, and from time to time certain regions are searched for latent cases. This would be a milll easier task were the agricultural and grazing lands of t i Islands divided into parcels by fences, as they are in nmolst countries of Europe and America. In tlhe Philippines 1li lands are unfenced, and consequently animals graze togetlr. In many of the Islands, and especially in Luzon, thenr is also an extensive movement of cattle from province to 1p''Vince, which increases the liability of spreading the (lisc:(' However, by local quarantine it is hoped to hold outbrl +1s in check, and by systematic effort to bring about the lite' extinction of the disease in the Philippines. Under the most favorable conditions the extinction o illderpest will involve years of work with occasional perioi ('t apparent failure; it will also cause annoyance and lo<-,' agriculturists, who during quarantine can use their anlii;:l not at all, or only to a limited extent. That a policy suli a ' is now being followed by the Bureau of Agriculture ca 1,) THE ANIMAL IND)USTtY 271 successful is proved, however, by the experience of other countries, particularly of England, in which rinderpest was exterminated in eighteen nmollths. If, by keeping out foreign cattle not immunized, and by local quarantine to protect native carabaos and cattle, rinderp)est is finally exterminated in the Philippines, and if a suffic(ient number of cattle for agriculture, transportation, and food are raised, one of the greatest economic problems of tlle Islandls will have been solved. Stock raising may becolme a very im1portant industry in numerous grazing regions. In the mealtime it is not probable tlhat much capital will be invested in large stock-raising enterprises. The breeding of domestic cattle will probably be limited for some time in the future to isolated regions and to small islands. CHAPTER XV FISHING INSHORE FISHERIES The countless lights seen at night along the coasts of wellpopulated islands such as Cebu, and in fact of most islands of the Archipelago, are indicative of the extent of inshore fisheries in the Philippines. Most of the fish caught in the Philippines is obtained from these inshore fisheries, and while no large enterprises are involved, their aggregate magnitude is very great. Nearly all the Islands have shallow waters along'the coasts, and the fishing banks are prolific and widely scattered. Those whose commercial value is best known are located at Sitanki, Masbate, Cebu, Corregidor Island, C(uyo Islands, Zamboanga, and San Miguel Bay. Although other methods of fishing are employed, the use of the dragnet is distinctly the most efficient and popular. 'The boats ordinarily used for this kind of fishing are fairly large and carry from thirty to forty men. Work is usually done at night, when lights can be used to attract the fish. For catching small fish along the beacles and shallow waters purse nets and hand traps are used by men, women, and children. Shrimps, clams, oysters, crabs, and other shell fish are also gathered. Fish corrals, or traps, made of bamboo have been used in the Islands from historic times. The natives were using them when the Spaniards first came to these Islands, and now a large part of the fish consumed here is caught by this method. Commercially speaking, this is the most profitable of. all methods employed, and owners of these traps usually make good profits. 272 FISHI INt 273 As a rule Fi liplos who live along the toast tdvide teir timle betweeno the fallr and the sea, Few of theli make a Ilsiness.of fishing. ( )ltslide of large towns it is 1sndl for ethl family to senure its own supply of fish food or to purchase it from those who have beemn more diligent or fortunate. )1O extremely successful (IIays tihe eatch may exceed loeal defmands, iani excess fish is earried to other towns. Near large tiwmns, especially where prolific banks xilst tlere are barrios BOATS,SEI/ 0 IN SH IOE FISHIN. hwli ivse a hnost irl by iishig. For instaee. at least St,r t f tli peopl e il. ilalibm dist.ric 6f ti al Ih.ae derIivie their livihg di ety or iii tl fromi the vm iEveni iriid Miiila ay mid on fl i is irs a.iid.st/ ~ eIfitymig iito it, ia y be oiid tow i s l rgely ide indent hs^ iiiig. Theii proiidt is sild ii M ilim anila- other large Ili gmierd fioweser fedimg lisis ig ith pooresAt I' of a ton. Thie peipil barely make a liviihg ald iii many 'a. e to sme iljcl ii; t their inoi i to byy imeas of afew coco1i I retes or other small plantiigs of graii or tubers 6-arond tie holi.ises. 274 ECONOMIC CONDITIONS In certain localities in the Philippines, such as the mouths of the Cagayan River in northern Luzon, and the Agusan River in Mindanao, schools of fish appear at certain seasons of the year and the catch is often quite large. During these " runs " the inhabitants of surrounding provinces come in their boats. It is estimated that 2500 persons from Ilocos Norte alone come each year to the fishing grounds near Aparri. The fish are dried or made into bagoong for shipment inland. The fishermen are not necessarily the owners of the boats, nets, and traps with which inshore fishing is carried on. The work is often done on the share system, the size of the share varying with the method of fishing. In Batangas from eight to twelve men operate a boat under the direction of a headman, who sells the fish and divides the money among those concerned. The owner of the boat and nets receives one half, and the other half is divided among the men, the headman receiving double the share of any other. When the boats and nets are owned by different persons, the owner of the nets receives one fourteenth, and the owner of the boats, six fourteenths, respectively. In some other places the workers are paid in fish at the rate of about P0.50 a day. In general, however, it may be stated that where boats and nets are used the catch is divided equally between the owner of the equipment and the fishermen. Under this arrangement the fishermen repair the nets or make new sections during the off season. Five men are usually required to run a trap and keep it in repair, and it is not often that an owner personally takes care of it. The catch is divided into two parts, half for the owner and half for the laborers. A division more advantageous to the owner is that in which he receives all the fish until he is reimbursed for the expenses of making the trap, after which he takes one half the catch and divides the other half among his laborers. In a few instances the men are hired outright to tend the trap. It is not often that fishermen themselves vend their catch. Usually fish merchants (men or women) purchase the fish and sell it again in the market or peddle it about the town. FISHING 275 FRESH-WATER FISHERIZES In several of the larger fresh-water lakes of the Philippines considerable fish is caught. For instance, it is estimated that the amount of fish taken during one year along the northeastern shores of Laguna de Bay is worth about P40,000. IThe methods by which these fish are caught and the division of the product are similar to those of inshore fishing. The rivers contain several varieties of fisl. T'he mud fish is found in abundance, the number caught in the rice fields sometimes being so large that the fishing privileges are sold at plowing time. Besides the mud fish, frogs are obtained as well as fresh-water clams and other shell fish. Much river lishing is done during the rainy season or when people are not enlgaged in planting rice. Boats, nets, and traps are used in tlhe rivers, and in the shallow fields hand traps are much etllployed. Some fishing is also done with hook and line. These fresh-water fish, together with fresh or preserved fish imported from the coast, constitute a large part of the proteid fo(d consumed in inland sections of the Philippines. FistH CULTURE 111 the provinces surrounding Manila, and to a certain extent 1ela Iloilo, milk fish are grown in ponds and form an importanlt part of the commercial supply of fish for these two citis(1 and the country surrounding them. The ponds are very v;!'table, as it requires considerable capital to build them and to -arry on the industry. IREESERVED FISH large part of the fish eaten in the Philippines is consumed hl('"i, chiefly because the majority of people obtain their own hsl supply. However, if there is a surplus it is often dried "'i li us preserved for a few days. Fish caught in commer('il u'lantities is made into bagoong, or sometimes is smoked. ECONOMIC CONDITIONS The food value of 1)agoonig has already been discussed, in its relation to the standlard of living. Preserved fishi is of course more generally consumed in thie interior than along the coasts. I.N(CI1EAS1N( THlE SU~jPPLY. 'I F~-S~ is H-1N G The market for fish in the Phiilippines is greatly undersuppliedl. Thlere are few towns in the Islandis wlneh at thie tpresent timie con 1(1 not consume more fish than is available. In many sections, the poor buy cannedl salmon because it is cheaper than local fish. TIbis cond~ition is thle result of thle inadlequate methods, of catchiing fish and the fact that only inshore fishing is carried on1, and hence the largest andl miost, prolific banks are almost untouched. Thle imports of lish into the ifhilippines are valued at ov er P1,000,000 annuallyandi Consist, for the most part, of cheap canned salmon1 aiid1( sardlines. lIn other countries in which fishing is ain important indilstry operations are often carriedl on a long (listance from hiome. Large sailing or steami vessels are employed to carry the fislwlimen and thieir smaller boats to the bainks, where they renmini sevea (lys Often small steamers or lannehes are usedl to) manipulate the nets. By these mnethods great quantities o fish are caught iii the (leep-sea banks. The lack of fish in, thet Philippine market has led to interest in these larger fi'sh iiig( enterprises, and the government, as well as private compalie,"' has investigatefltile matter with a view to improving exst inig condhitions. Thle reports, however-, are unfavorable to lhie uise of extensive fishing methods. r1hle capital which inns' invested in such an enterprise and the expenses conne tC40 with it a-re very great. Consequently, in ordler to. matl'1 profitable the catches must be large; but fish in the P~l pintes (10 not seem to be abundant except in the vicinlil coral reefs, and operations over these result in the rmmii expensive apparatus. Efforts to use large apparatus iii tii> had theref ore been given up until recently, wvhen the J apv INALAN) FISHERIES-CATChII N MUDFISl WITD 1HAN1 TRAPS iiiiFi i iiii i ~ ~ii i!. _ i iI IN THE 1ICE FIELDS 277 iiii~li~iii! i i ~li iiiiiiiiii iiii......: iil i i i iiiiiiii i.............................. iii iiiiiiii i iiiiii il ii! iZestii i i i i i i i ~iii i i!!iii!! iiiiii~iiiiiiziiiii iii ii ~iii ~i ~ i!!i iii ii~ iiii z i iii ~i!i zii ii iiiiil i ~i i 278 278 ~~E(COM)MICJ CONDITIONS became interested here. In Japan a large nnmber of steam trawlers are usedi in the fisheries, alld it may be that son-e sncli system can be adopted andl made effective on the coral fishiing banks of the, Philippines. MIINORZ SEA ROuT While food fish is the chief prodluct of Philippine waters, certain minor fishing inidustries are of enough importanceC, either actual or potential, to be noted. Chief anmong these is, the mother-of-pearl fishing carried on in the southern part o)f the Islands. TIbis imdnstry exports a product vahledl at fro-m P250,000 to P~3OO,000 aunnally. A smnall. amount of tortoise shell is also exported from the P~hilippines. Th'le export ofI preparedl W~e& do mcir (trepang) also amounts to several thiousandl pesos. Among the, most important fishing indulstries whichi will adlmit of commercial development iii the Pluilip)pines is that of sponge fishing. Several excellent comnnuerciml varieties of sponges are found here. CHAPTER XVI FOIR-`ESTIRY I AMOUINT AND KINI) OF TIIMBE1"t" As hs alea~y heeii statedl ini the (l15c1s5i1o11 of the, so(il, it is prob~ahle that the entire lanld area o)f the Phiflippinie's wa~s origiinally c-overe(l With unbro)keni forests. Thie seeonld-growth] woest', tilie grass, and~ th e cultivattedl lands h ave resi ilted from the cl-earinig away of trees. Th'le present forest area is approxilnately 1 50,000 square kilomneters, or about half the total areva of thie lslandls. Of these 100,00 sqae kilometers,,, or tlbout onie tllirdl of the total landl, Consists of virgin. forest. IThe second~-growthl forests many ultimately lbe developed into (cojoierejal standls, hut at the I)reseiit time they warrant smlall )n0,1sidleration. li spite of the richness of the Phbilippines in linte furniture Woithe real wealth of the eommereial forests Consists inl thc (leipterocarps - the construction, timbers, suclh as the launa(n, lidtong,and( yacals. Th' —er-eare two reasonisfor this: (1)nmuch the 2,000,000,000 hoard. feet of standinog timhber inl the lhihippines is made up of the dipteroearp) family; (2) these Ii s occur in stands sufficiently heavy to 1)e exploited by the 11- of miachinery, while the trees yielding tinie fnrniture woods suhas niarra, acle, tindalo, and the like-are scattered here 0 11 thiere throughouit the forest, among trees of much less or lbutility. The lnmher output of the Philippines therefore sists principally of laanai and( suchl construction material 11c~r than. of the finer furniture woods. Iissotherwise noted imost of the da-ita for this chapter is taken froni;eForests of the Philippines," Bulletin No. 10, Bureau of Forestry, 279 280 ECON()NMIC CONDITIONS GOVERNMENT IREGULATION In all civilized countries of the world the governments now regulate the utilization of the forests and protect tlhem fromn fire and other destructive forces. Thle necessity for this regulation andl care arises from several causes: 1. llumbermlen, if left to themselves, will give little consi(deration to the reforestation of the land on which they work. They annililate whole forest areas, insteal of cutting and utilizing only tle mature trees and planting new trees to take tlle place of those removed. If unregulated cutting is allowe(1, deforestationl of the country rapidly takes place ald future generations are left without a lumber supply. Government regulation l)revents deforestation in this manner. 2. I)eforestation also causes floods and tlhe destruction (,) waterways and fertile land. Tlie dense growth of trees on mountain slopes tends to regulate tlhe speed with which water reaches tle groulld and flows into rivers. In forested areas running water seeps gradually to the drainage streams and(1 finds its way in even flow to the sea. As a result, destructi ve rushes of water do not occur in the lowlands, and the rivers are deep elnough tllroughout tle year to afford navigatic' facilities. Where the lills anld mountains are denuded of tlhir forest, the rain is not regulated in its fall by the leaves nor i1 its flow by tlie cover of leaves, twigs, and other forest litt-:; it rushes over the surface of the ground ilto the streanl; During a storm the rivers flow in destructive floods, but w li the rain is over they fall rapidly and become too shallow i 1 navigation. Forests hasten the making of soil and help to ) 'serve it; floods from bare hills cover the valleys with gra 1 and san(d. Ieforestation in tlhe Ihilippines may result from either t ~ kaingin system or unregulated lumbering. The kaingin system of agriculture has been conside{ 'l under the discussions of the Subanuns and the soil. It i ls already caused a loss of millions of pesos to Philippine tiril r. FORESTRY 281 The making of kaingin is permitted under certain conditions and on such parts of the public land as are more valuable for agriculture than for forestry. The enforcement of the law concerning the making of kaingin is very difficult, however, anld millions of pesos' worth of timber is still annually destroyed in the Philippines in this way. In the theory of government regulation the government is considered tle owner of all forests and forest products. It disposes of these il several ways, which may be summarized as (1) by giving them away, or (2) by selling tllem. For domestic purposes all second-growth and lower-group tilmbers and all minor forest products can be obtained free of charge and witlout license. If a section of the public forests, known as a communal forest, is set aside, tie inhabitants of a town are permitted to obtain the free-use products only thereil. Under all other circumstances licenses must be obtained. In certain cases these are issued free of charge: (1) to inllabitants of the Philippines for first-group timbers to be used for tlie construction of homes of strong material; (2) to miners for all forest products growing on their claims and( used in tle development of their mines; and (3) for minor products, aid second group and other lower-group timbers to be used ill the construction of public works. Licenses which must be paid for are four in number. 1. Miners must pay for timber and other forest products. tthered outside of their claims and used in the development ", their mines, but the amount which must be paid is only one ii If the regular rate. 2. Ordinary licenses provide for the collecting of products ' in certain definite areas and are granted for terms of one y at, two years, or three years, renewable at their expiration. l11 charges are made for these licenses, and more than one ii use may be given to exploit tlle same area. I. Exclusive licenses grant to a single individual, firm, or '1 )lporation the exclusive right to gather forest products from a iParticular area. 282 ECONO(MIC (C)NI)ITIONS 4. Exclusive license agreements are granted for periods of not more than twenty years for large areas which can be extensively lumbered without permanent injury to the forests. When such an agreement includes more than 1000 hectares, the concession is put up for bid. ''lle granting of such a license is contingent upon a guarantee from the company or individual which desires to obtain the area that an efficient plant will be installed and that a certainl amount of developmient work will }e d(ole yearly. Ill this way it is ilmpossible for comnpallies or individuals to obtain forest areas for the purpose of holdinlg them as investments instead of exploiting them. The forest operations carrie(l onl iuider license are regulated by the Bureau of lorestry. On land whlich is more valuable for agriculture than for forest growth clear cuttillg is allowed. Whllere the land is more valuable for forest tllha for otlier purposes, tle smaller trees and a sufficient number of seel trees must be left, and ill certain cases it is not permitted to cut definlite species of trees. Th'le forestry employees also sec tlhat all the Inerchantable timnler is utilized, that tle stumps are not unnecessarily higl, and tllhat timber is not ab'andoned in the forest. For the purpose of estab)slising a system of forest clarrges, the timbers of the Philippines are divided into four groulls, and a decreasilng rate per culbic meter is chlarged accordling 1)o the value of thle timber. 'T'le government also regulates tll(h gathering of minor forest pro(ducts ainl cllarges 10 per cent of the asssessed market value of ea(ch. prolduct. L(OGGING OPERATIONS In general the logging operations carrie( on in the Plili piles are of two kilnds - steam logging and logging (o- a sm: ii scale. Takillg tlte fiscal year 1909-191( as a typical omle, ' find tlat tlere were granted 775 licenlses, both ordlinary;,1 exclusive, and that 44,000,000 board feet of timber were, xtracted, or an average of 57,000 board feet for eachl licens: -t FORESTRY 12 8 3 Thus it is seen that the majority of the licensees are small operators, who use animal or human power to get the timber to tide water. The method of extracting timber by earabao is crude and wasteful andI, in connection with the methods of obtaining lalbor and of financing the enterprise, is the main cause of the high price of lllmler ini the Philippine market. As a rule, the licensee is niot the actual workmani. 1lie seldom if ever visits the forest, but furnishes a follower or frietul with carahaos and othe~r equiipmenit, amii receives a certain percentage o)f the, value of the logs hfauled to the beach. Thlis followver or)i friendl in turn selects the woodmeni from his following, anold pays a stiplllatedt amount for the tinher delivered oni the beach. The perniicious system of adlvanciI g money andl pmov isiol is, which applies to all Philippinie indlustries is also found ini logginig operations, aunl the actual laborers are usually kept ini (lelt to the mceit for whom they work. With the growth o)f the lumber industry such methods are fortunately going out of use. In many instances the licensee is the lumbermanl, wh~o pays lois workcmenl af (lirect wage and treats theni fairly. A~s long as the former system exists, however-, anid the — actual ou1ttin('r of timl'Nbe.ill the woo,)((ls is left to minorant workmnen \V thoont smi1erVisiIon, ti o cost of coustruetion tnilber will be 81)mormnally high. What is needed more than anything else in small forestry operations in the Philippinies is, comupetent Iper(vision of l( oggi110 With ''' sperison th 'uYos of cut. Iogtinmber anolI remnovinog it to ti(le water conl(. be reduceol least one half. ((ertain poltiomis of Philippinie forests are, adlalted to small 1goginig operation-s by aniimal. poe rather than to extensive (hiqemn operations by steam power. Thme former will persist 8 lwill be found profitable in isolated patches of the dlipt Oc)(,arp types and( in patches of the molave type where valh le~ trees are too far apart to warrant the establishment of lemosive loggimog machinery. 284 284 ~E(CONOMIC CONDITIONS Several exclusive license agreements have been given to large companies, whicli use steam —loggring methods and railroads to transport thre logs from the forest to the mills at tide water. These companies exlploit large areas containing close stands of merch1iantable timber, composed principally of lauani and other trees of the dipterocarp family. There are numnerous forests in the Plinlippinies in whtichi such large operations can be carriedl oni, and in the near future it' is lprobalble that many Imore colnlanies will, invest in this iildlustr-y. Suich log~ging and mnillhing operations require a large amount of capital, of course, alld are therefore carried oni by corporations. Thle larger of these companies employ as manty as 1200 laborers, most of wvhom must be, brought in from outside. It is thlerefore necessary for a company of thiis kind to build a barrio capable of holding as many as 10,000 persoims. Thie labor problemi in forest operations (loes not seemi to be a (ifficult one, for thle supply is always equal to the lemnandl. Thiese large luniber companies are of great economic value to the Philippines, since they Supply the home market with lumiiber wvhich would otherwise be imported fromt America. Withiout the exploitation of the large forest tracts the matuire timbler goes to waste because the small licensees are uinable to get it out. By close government supervision the mature treels are utilized and the stand is im-prove(1 so that it lbecolnies: coi nstant supply of commercial timber. Mi I J OPI IATIN, In umilling operations, two'f methods,, are to be noted — I ~l te s~awinno' and steami milling. At the present time han~d-s,,awV4 hmumber can successfully compete with the ptodlUct of se mils. The lian~d sawer is often able to manufacture, 9 10 boardl feet from eachi cubic foot of lumber, while the ste"e muills cut 5, 63, or 7 board feet from the same amount of r'a" product. Moreover, all the waste from hand 'sawing is ca'I' fully utilized either for firewood for or other purposes'. 11l 11ITMAN, P()WFg i l t l l ASTEA POWER AkW.AtrL~ POWERlf LOUCINO OPERATIONS 285 ECONOMIC CONDITIONS steam-sawed material, on the other hand, is all of standard size, and large contractors prefer to use it rather than the irregularsized lumber from whipsawing. If it were not for this irregularity in size and the scarcity of whipsawers, the hand-sawed material would become a more formidable competitor of the lumber from the steam sawmill tlan it now is. I'PR1 BLEMS OF THE LUM IIBEI INDUSTR-Y The problems connected with lumber production ill the Philippines are as follows: 1. To overcome the high cost of logging in operations carried on by small licensees. 'The high cost can be reduced lby paid laborers, better supervision, and reform in the present crude methods and equipment employel. 2. To reduce the higll cost of milling by better equipment and arrangement of the mills now used, by bringilg in or training competent men to manage the operations, and 1by reducing the excessive waste now occurring in steaml mills. 3. To lower the high cost of transportation, which is tlhl result of exorbitant charges now imade by shipping firms, )by increasing tie number of boats in the Philippines and colnsequently increasing competition for the carrying trade. These problems are distinctively of a pioneer nature an{d will be overcome in time. MARKETS FOR PII1LIPPINE LUMBER There are two markets for Philippine lumber. I)uring tlh' fiscal year 1909-1910 the commercial timber produced in tlhi Philippines amounted to approximately 44,000,000 board feet at the same time the quantity obtained without charge wV about 25,000,000 board feet. This was not enough to provi O)I EsTr j)I~u(a)I u(T5 \ Iinor forest p)roduicts are also of consid ~eralble imiportance. hle, fulel usedl in Philippine households, ammd to sonic extent Icommnercial enterprises, is wood. Most of it is obtained from c mangrove f orests and makes excellent firewoodl. Charcoal aimother important prodhlct. Considerable tan andi(ldye bark I how gathered fromt Phiilippine manamgrove, forests," and. thle 288 ECONOMIC CONDITION S possibility of extracting cutch from mangrove bark is worthy of careful consideration. The importance of rattanl and banboo in hlouse construction, anl for numerous minor purposes for wlich they are utilized by Filipinos, places these two forest products among the most important for domestic use. The amount of rattan produced in tle Philippines is not enough to supply local demand, and a considerable amount is annually imported. At the present time rattan is chiefly gathered by the wild tribes and hill folk and is obtained from them in trade with the lowlanders. The amount and quality of rattan existing in the Islands warrant gathering it for export to Eur)ope alnd America. The demand for bamboo is supplied almost entirely from uncultivated clumps of trees, although it is often planted. Tle planting of bamboo for commercial purposes is warranted by its present high price. The principal minor forest products gathered for export are gutta-percha, resins (particularly almaciga), beeswax, candlenuts and dyewoods (particularly sappan). Nearly all of tllese are obtained in trade from the wild tribes and hill folk. CHAPTER XVII MANUFACTURING D)ENSITY OF POPULATION AND CO()MMIERCE AND INDUSTRY1 The density of population of a country is reckoned in terms of population dividedl by total area. T'le ldensity of population of the Philippines and of various other agricultural countries call be seen from tle following talle: Australia........ 1.5 per square mile Brazil........... 6 per s(quare mile Mexico........... 2 per square mlile Siaml...... 30 per square mlile Cuba...... 50 per square mllil Philippines......... 70 er sqare ile India......... 200 per square llile Straits Settlements..:50( 1'er square mllile China propler........ 500 ler square llile Java.......... 6(0 per square mile l The question of density of population is important with respect to food supply and the character of production. Given five men, each with two I' ctares of land, which lie in juxtaposition aend are of equal fertility. Suppse that these five pieces of land are joined so as to make one farm which i- worked by the five mnel. Because of the division of labor thus malde possile, the crop from the ten hectares will be greater than if each man had \Nrked by himself, and therefore the share of each man will be greater.; )pose that two more men are added, making seven laborers. Since greater lI:ision of labor can be carried out, the total almount of produce will be ater, and the share of each laborer will be larger. Suplose tlhat two 111 re men are added, bringing the total number up to nine. Then, on "u( -,nt of the increase of labor upon the land and the greater subdivision of 1;' (r, the gross production will be again increased; but since the limit of the '11 mlical and physical capabilities of the soil has been passed, the share of (''; I1 laborer will be less. In the same way, for each laborer added the gross 1) Iluction will be greater, and the proportional production will be less. lT more labor put on a given piece of land the greater will be the gross 289 ECONOMIC (IONI)ITIONS In comparison with many countries, especially agricultural countries like C/hina andl Java, the Philippines are sparsely popul'ated. In no districts are famine conditions of parts of IIndlia and China approacehed -when dense poprilatioirs live on the verge of starvation, and a crop failure results in thousanIds of deathis from famiine. rplhe Philippines are still below the point of (iminlisihing returns from land. As a whole, they lieedl greater p~opullationi. In 1800 -Java lhad twic-,e as many inhabitants as the Phlilippines, but in I 900 it huad four times asmn.This (difference inthe rates of increase has prob)abl resultedl fromi highs infanst mortality in the Philip~pines (as exlplainedl in Chapter XVI). -it is probable, however, that the P~hilippine rate of increase is greater now than it heas been in pievious times. rihie Phiflippines are not evenly populated (tihe difterent. (lensities cani le seen from Chart XXXIV). Several regions with rich soils are heavily, populated, and some, such as the Ilocos provinces aind Cebu, htave a large population in proporhion to the fertility of the soil and the amount of arabic lanld. lit 190$ Ilocos Sayr Province lhadI a deiisity of 400 inhabitant~s per square usile, Cebu 840, and Paiigasinan $835. On the otherl handl, v'ast anouiits of fertile, landis are not occupied, and~ many fertile regions, are buit sp~arsely settiedi. prodl ction fr( i it and thie goreater the proportional return up to a cei nil point. After that point has heeli reachedl the more lhdor iplacedl uponiII( gv piece of landl the greater will be the rosprodcin u h will be the proportional return. This is ~known as the law of diminiiishil) returns from laiiu.,lhe same law winch appslies to a small piece of land lioI(Is good fe, lresetion. H-ence in any given agricultural community, after a (r l ipopulation is, reached the law of dhimninish~ingc returns fromt lamld calsI s 'lie food supply to increase more slowly than population increases The fia% Malthus is that p~opulationm tends to increase faster than food. Any C(`on population or any increase in food supply diminisihes the degree to W eli~ the law operates in a given region. The checks t~o population arie (1) nmarria-e and fewer children to the family; (2) wasr, famine, and pestihi'~' amul (3) emigration. Increase in food supply may result fromt (1) unpto el means of agriculture, which increases the production per liectare; (2) 1 i esses, whichs make food products more nourishing;(3) msaisuf actunil Conussherce, the products of wisich are exchanged for food. MlA N UFACT U ItlN(X The three regions in which pressure of population is mnost greatly felt are (II) the llocan) prvncs (2) Taal alld Leinery int Batangas Province, and (~3) (iebut, B~ohol, Siquijor, and parts of Orieiital Negros. These and, the regions,, in whlich enngraiits fromt them settle are illdieatcd(1 on (art X\XXT )ther emigrations,, are fromt the Batatni Islands to 1.4lzonI; pat of lPangasinian, to Tayabas; parts of ihilacan to Tarla and Nueva Ecija; central (1anarines, andl central Albay to iiorthern (aimarines, Catandnane's, Sorsogon, ad ll~ Masbate; Ilongos from Panay to Negros; alld Cuiyo to Palawvan. In addition, grovernment labor agenclies have obtaiiied lalborcrs from Manhila, (ebni, Iloilo, Ilolio)l, an(1 AnftiqueQ,'0r larlcac, BAataan, IMlind(101, Mindanao, andl Negros. in the past tilere ilas been too little emigration from tile more crowdle( districts. In some 1)laces this resnlts fromt the antipathy of the people and a very low standard of living. Many laborers have not caredl to leave flicir homes because of fear for their personal safety and tile safety of property and relatives left behin(1, but this is being remiedied by peace conditions amid bettcr mleans of conimnuni cationt. Fear of Moros andI semnicivilized tribes still deters some fromi going to 1\Iindanao. The clan feeling keeps m-aniy people in the place of their ibirth even wllen realizing tilat a be~tter living could lbe madle elsewhere. Also there has been op~position "by many landowners doublltess g1h ided, rather th~an by solicitude for tile public welfare, by purely selfishi lmotives, such as tile (lesire to imave a constant supply of (1 cap labor, available for tileir owvn lilivate work; cheap41or, thanks to the abundlauce of laborers iii their respective 1i bios." Immigrants fromn the densely populated iparts of the Islands 11considered, more industrious tilan tile peolple among wbloil1 t1ill settle. M~anly immigrants, particularly tile 11ocanos, lbiy iomestead land or becomie squatters, others become tenants 0:aoesand often finally accumulate enough money to Ibly 11and work animials. Many return to tile place of their I Quotation is copied f romn report of the Director of Labor, 191 1. 0. ~9 PHILIPPINE ISLANDS DENSITY OF POI'ULATTIO Over 500 per square mile _ 100 to 500 "' ) 0 " 5 to 100) ". " EUuder 5 " -" ' ~1 (Data from Census 1903) r.O o 0? i,: i, Id i, -.;..... A; a oj^.;,O.. to v I i _ '01,. '. 'O,...: r. 4:.Q.,,. "I 0 I CHART XXXIV 292 PHILIPPINE ISLANDS U Emigration Areao Immigration Regions being settled by Peoples from F]Iloros Provinces El Tasl, Leoery- & Cavite 0 Cebu, Bohol & Siqoijor (Data from Economic Reports, Bureau of Education) 0. ed I 0 CHART XXXV 293 294 DIONNOMIC, ('(ANTDITIONS birth after acq~uiring a little p~roperty. Tbis is esipecially trite of thie Ilocanos and Taalefios. Iii several (ten sely popullatedl rierons ti e adlditionial in~onllc obtained from commercle and1( manufacture supports a inuch] larger population than could exist by agriculture alone. These regions are parts of the Iloc-,aino provinces and Bulacan, the Taial-Leinery (listrict of Batangas, Lueban jill ayab1as Province, andl 1auts of ( ~elu P~rovince alld Bohol. In all these. regions there are people dependent wholly or in part upon01 manufacture for a living. There are, other 1)lac-,es not affecte(1 lby pressure of populatioii in whichI failure of croips re'sulte(i ill manuftacture. The weaving industry of Lipa, Batangas Province, dlates fromi the failure of the coffee croJ), andl the extentsive prodluction of inats inl Basey is the result of the typhoons xvhiclt destroyed the rice andl coconut cr01p5. In general, manufacture is stimulated by a reduction of the harvest. Sometimes, as iil the ROItomblo Mat weaving, the output of manufactured articles decreases, whien returns from agriec 1 -ture a04111 lbecomne normal, buit in many places the iimipetus ot' short crops h as resulted In estacblished industries. Whtenc latrge holding's exist, the landless nopulation somnetimln"s becomne~s dependent on manufacture alone, as in the ease of the chinela makers and shioemnakers of Maiuniizal. In most cases the incentive, whNich result imauacture is time (lesire fbr a gretater inclome titan can lbe mnale from atglicutlture - money to be spent on amusemients, lbetter clothtiiwthe eduction (If children, an, ld tlte plrlimlase of laud andAl wIk animals. The tenant or peasant p)roprietor ob)tains from ds small Jplot eniough produce to sustain htim aitd his fa iniV. Rteturns from domnestic, manufactures often provide time oKl~ money income. Families which pursue household1 crafts un heave ahiglter -standrd fliimthn ose depending entin IY on agriculture. Ti"s peculiar relation of agriculture atim1 dustry results from the p~eriodts between agricultural activ (especially bletween harvest andi planting, and planting4 harvest) when time agriculturist is not busy inl the fields. MAN UFACTU RING It is chiefly the women and children who utilize these intervals in manufacturing, at the samne time performing their 'regular (luties of the household. Trhe men are idle or engage in fishing, driving, or in (laily lalbor for other persons. Sometimes they ob~tainl and prepare, the raw material for the womlen, as the bamhboo splints for hats, the clay f or lpottery, andl the like. Th'le childlren performn the coarser wo rk and learn their miotlier's tra(Ie hy assisting her. The old and crippled often (levote all their time, to inannfactmre. IILSHosI~,fti) OHDOmiESTIjc MANUFAC(T1TI~ 1. The, beginnings, of nianufacture are foundl in the attemptA to provide the, hom-e with certain products imade fromi raw materials, In the P~hilippines, howscwork,, as it is called, takes the formn of making the following articles: cotton, baniana, and~ pineap~ple juisi, and~ ahaca cloth; rice and1 winnowino' Ibaskets; fish baskets; fish nets; 1)amlbo() and rattanl chairs; iopIe; miats; kitchen utensils; hats; p)ottery; haimnocks; sadl(iles; sieves; boats; hiarness; plows; hiarrows; woodlen furn-iititre; brooms; and rice mills andl mortars. 2. The next stage in mnantf actnre results from the (lift erent (lcgrees of efficiency of the workers. Some become more cxli~t than othiers, andl their product is adlmired andI desired. Thiey begin to lprodhlce for exchange, especially when their hwdh(oldings, become smrall. lWayenorkr 1 is carriedl onl when) tile, consumer of the article furnishes the laborer with mateii4l and a wage. In the Philippines, pottery, textiles, nets, lo(ds, steel articles, gold and silver jewelry, mnats, embroidery, hil-miture, agricultural inplements, and1 carving are thme most illoortant of the articles so m-adle. Thle workers usually labor Mt hlome, but sometimes, as in the case of weavers, they work-,C hile house of their employer. Some wageworkers become 4l ey dependent upon mnannfactn ring. In the hand~icraft stagqe time laborers produce articles from ii1 i own, material in anticipation of a demand for them or onl 1The terminology use(1 is iluecher's. E(,COiNOMI'( (1-NI)1TIONS order. In either ease the product is sold to the actual consumer. All articles previously enumerated are made by handicraft workmen iu the:'lhilippines. The producers dispose of their wares in various ways. Some sell tberu in their homes, some have small stores, others vend them in the local market. Some carry their prodluct to neighboring towns on market days, or travel from house to house. Occasionally articles arc gatheredI and kept for dis)osal at a fair, as the mats of Tanay, iRizal, which are 8(ol1 at the Antipolo festival. 4. As soon as inllustry grows to national and international( 1)roportions, the middlleman comes between the producer anirl consumer of manufactures. In household production this is known as the comnii.3sioit tsy.stci. The lprodlucer no longetr looks for thie consumier. The merchant filnls and orgyanizes the market, determines its needls, anld indicates the nature of the prodlucts (lesircel. Iii the Philippines, hats, mats, sinamay, cotton. clothes, baskets, pottery, sawali, burl sacks, bolos and(I other prodlucts of iron and steel, rope, embroidery, chineha's', shoes, and knotted abaca are the Irincipal articles made and sold indler the coimmission system. M~ost of the emnbroidery andl knottedl abaca and m any of the hats are prodlucele fi export, and the othier prodlucts are for the most part eonsulwc(I in the (lomnestic markets. In a few instances these prodlucts are accumulated in. tfle" home alInl fially given to some one to sell oil commission,. Sonmetilhes, as with Calasiao hats, a memiber of the family tak,-s the wares to a retailer or exporter. Often the producers sdl I for cash to a regular merchant or agent. The advance nuitl (lelbt system is also found in. commission household mnaimf'th"-k ture. Often the merchant adlvances the raw material, ni somletimes money, food, anl other things are given in anit pation of goods produced. Sometimes time merchant owns implemlients (thte loomis, etc.) with which the work is dlo- t'The condition of the houseworkk laborers under such anl vance and debt system is often as bad as that of agrieulte;l workei's under the kasamnia system. They are subserviemP 0 MAN UFA( ' T I-UING the will of the merchant who controls their labor and output. In most towns there are local brokers or agents who gather up the product of the place and dispose of it to general brokers, domestic dealers, or exporters. In some towns two or three of these persons control the industry. When not effected through export houses closely in touch with tlhe trade, such control sometimes results in inertness, as is the case in the sabutan hat industry of certain towns in laguia Province. For the export trade the form and quality of the output is very important and is subject to change of fashions in foreign countries. Export houses control these matters through the brokers and agents, and in certain new industries they place the monopoly of buying in tlhe hands of a few persons so as to exercise better slpervision over tle workers. Witl independent peasant proprietors, and where wagework andl halndicrafts coexist with commission work, so that the prolducer can, if necessary, sell direct to the consumer, control by middllemen is at a minimum. This is also true of towns wlicli produce and export articles for which there is keen competition. T'lls is seen amolng tlie Ilocano peasant proprietors and in tlhe buntal hat trade of Lucl)an,Tayabas, and the knotted abaca industry of Lipa, Batallgas. Export demand often results in an ilndustry being carried o1 undler the commission system only. Usually, however, tlle,ommnunity of manufacture is built up on all tlle different systems. The needs of the colnsumer or tle worker seenl to letermine which of tile systems is iused; and the same worker mlay be under each of the different systems at different times. I'-or example, a mat maker may use tlue mat lie makes (houseorlk); he may make a mat to order for some other persol 'omnl materials furnished by tlle latter (wagework); lie may iake a mat from his owln mnaterials and sell it to tle (clnsumer iandicraft); finally, lie may make a mat and sell it to a ( erel(liant who again sells it locally or ships it away (colmmis-,11 system). All four systems usually exist together, and loe one used at any particular time seems to deplend upon tlle (m nmand for the articles and the needs of the workers. 298 298 ~~ECONOMICl-) CONDIlTIONS The wage received ini coilnlssion work depends upon the demand for the article manufactured andi the influence of brokers. In certain textile industries of Iloilo, where the weavers are largely (controlled by brokers and the product coinpetes with importedl, miachine-made cloths, the wage is estimnated at P0.09 or P0.10. Here the worker, if dependent upon weaving alone, is apt to sink deeper and deeper in debt to the broker. UJsually the wage is the, samie as that receivedI in agriculture-froin P0.80 to P0.60 per day. Wages are) highest iii the industries the prodluct of which is in great foreign (lelanad, and winchi are not easily controlled by brokers. Thle, hat weavers of Lueban mnake from P0.50 to P1.20 per (lay, and the, workers in knotted abaca often clear over P1 when prices are high. The value of household })roducts c1-onsuinedl in the Islands cannot be determinedl. FIhousamds of yards of cloth are woven) anid used each. year. In several towns almost every house, has a, loomn. ITlomsandls of hats alld mtats are annually (lisposedl of in the local market. Practically all the pottery used is of domestic inanufacture. In 1,91'2 there were exportedl oveir 1,600,000 hats valued at about P1,000,000, knotted abaca, valued at over P1,200,000, andl embroidery, textiles, baskets and the like in smaller amounts. In comjparison with thie mnillionis of pesos' worth of householdl manufactures annually, consumed in andl exportedl fromn the countries of Europel. Japan, aud(l China. the output of IPhilippine households i small. When Europeans first camie to the Islands the inativec; already practiceed hand weaving, loomi weaving, and other arts; the newcomers taught them crafts, such as emnbroidlery> Woodl c-arving, and metal work. That these indlustries hiayi not grown to greater proportions is (me, to (1) the lack of tie' industrial and commnercial idea; (2) localization of industric~ in one barrio or town; (8) lack of iimprovemient in methodb (4) lack of a market. In the last few years the production of household indiustri has been increasing and can. be measured in the foreign tral HAfT WE3AVI NG TWOI INDUTRI _ _ 200 300 ECONOMIC CONDITIONS by the export of hats, which was less than 200,000 in 1907 and over 1,600,000 in 1912. Greater production of commercial goods in the home is coming about as the result of the industrial and commercial idea now felt in the Philippines. The established industries are spreading beyond the limits of the barrios and towns to which a certain immobility has heretofore confined them. New industries are also being founded through individual effort and from tie result of industrial work in the schools; for example, the chinela and shoe industries of Gapan, Nueva Ecija, and Mariquina, Rizal, have grown from the success of one man or family. The Malalos balangot slipper, now sold all over the Islands, was first made in Malalos, Bulacan, in 1907 by a Japanese. The large basket industry of Bulacan town had its beginning in 1908 in the teaching of basketry in the schools. Industrial instruction in the schools has been general only during the past few years; yet the nucleus of several household industries, such as slipper making; basketry; textile, mat, and hat weaving; embroidery and lace making, has already been established in many towns. The aims of the Bureau of Education in promoting its industrial program have been very material in character. The attempt has been to turn the pupils directly and normally from the public schools into an industrial life which will enable them more adequately to meet their growing needs. Contrary to the prevailing theory and practice of certain other countries, industrial instruction in the Philippine schools is highly commercialized. Commercial firms are beginning to invest money to finance household industries, the large hat production of Apalit, Pampanga, and neighboring towns being due to their backing. Moreover, free trade with the United States has opened up a large market. The entire basket production of the Philippines can be placed there for years to come. In 1911 the United States imported almost $80,000,000 worth of embroidery and laces, chiefly from Europe. Most of the hats exported from the Philippines now go to the United States. MANU FAC T UR ING Gr 301 There is an opportunity to establish large household industries in the Philippines, and their recent introduction and growth has been rapid. Care must be taken that the workers receive the greatest possible return and that they are not exploited by the middlemen. If household industries are carried on in connection with agriculture, either by the agriculturists themselves or by certain members of the family, industry is made secondary to agriculture alnd the workers are placed in an independent position. The greater the intelligence of tlle workers the less advantage can be taken of them, and therefore the schooling of tle masses will make them as free agents in housework as in agriculture. MAuch division of labor, whereby the worker does only a small part of tie work on a given article, places him at a disadvantage, for lie then sells Iris labor only. If lie makes a finished object, lie can sell it to any one. Tlle government may stand ready to purchase and dispose of articles from workers wllo are being exploited. Workers may cooperate to dispose of their goods. It is always possible to produce an inferior article, anll it is often possible to reduce tlhe cost of production at the expense of the laborer. In the large cities of the United States and Europe both methods are employed il order to meet competition. The working of laborers in their homes and in slops (sweatshops) for the purpose of getting the greatest amount of labor from them at least cost is called " sweating." The loweriI g of quality and sweating are both ultimately disastrous. The jq)utation of the articles suffers, and efficiency of the laborers i reduced. Either laborer or merchant may ruin an industry 1 the shortsighted policy of immediate interest - exploitation. The value of household industries in the lhilippines rests ( their correlation with agriculture -the utilization of rs are time for production, the returns from wlich can be em1( ye( in increasing the standard of living, educating the (ildren, and purchasing land, implements, and work animals.1 In Batangas wages from the knotted abaca industry have enabled many ti ants to purchase land. See pp. 186, 187, 206, 209, 212. ECONOMIC CONDITIONS FACTORY MANUFACTURE Under the commission system capital controls the marketing of the products of an unorganized army of laborers; the factory system divorces the workers from agriculture and organizes them into a compact and well-disciplined body. The embryo of the factory is occasionally encountered in the Philippines - in loom weaving, for instalce, where original outlay for machinery is a factor wlich often c(annot be afforded by the worker. Sometimes as many as ten looms are found in one house and are operated by laborers hired by the day. In such a case the owner is able to supervise all the processes of manufacture. Sometimes women are employed to knot abaca in the homie. Chinelas are often made in small factories. Dyeing with indigo is sometimes done in factories. The factory system with hand labor is important in Europe, China, and Japan, but Filipinos prefer to work independently if they can, and the abundance of land in tlhe Islands usually permits them to do so. Attempts to evolve factories from highly organized household industries, such as the hat industry of Lucban, Tayabas, have been failures. The only successful factories employing handwork are to be found in the tobace(industry; for instance, in the cigar factories of Manila, wherl hundreds of workmen are grouped in one establishment, little machinery is used. In general, therefore, it may be stated tlit manufacturing and agriculture are still closely connected in, the Philippines. Machinery is usually associated with factories for the rt'son that it must be placed at the source of power. The labor r must be brought to the mIachinery. He now works at regui l1' hours and makes his home in the narrow confines of a cit thus his divorce from agriculture is complete. Machinery a: the factory system have largely displaced household malr tfacture because (1) certain articles can be made by machilnle. and not by hand, (2) machinery produces in large quantiti s (3) it is cheaper than hand labor, and (4) greater divisi ' JAPANE'SE WEAYVING BY HAND Powiut Loomts FACTORY WEAVING 303.~f.'" ~~: i i;lg.Xn Ml ll ~~l E S1o2 II II U1B iL! g-V'I I _. ai l =_,J ECONOMIC CONDITIONS of labor and utilization of by-products 1 are possible and result ill a further decrease in cost of production. There are few factories in the Philippines. Distilleries are about the only ones found in the provinces. Most factories 1 The members of a Philippine agricultural family are usually jacks-of-alltrades,-farmers, carpenters, fishermen, weavers, and the like. *Yet division of labor among the sexes is carried out. The women plant the rice, carry on all household industries, and prepare and cook the rice. The planting and harrowing of fields, the construction of houses, and fishing are usually left to the men. In many places are found a few artisans, such as barbers, carpenters, blacksmiths, who devote themselves to their special work. The localization of industries is a form of division of labor and is largely the resullt of a local supply of raw materials. It is found among the Mountain Peoples (see Chapter I) and occurs to much greater extent among the Filipinos. Division of labor may be summned up as that system of production in whicl one man or a set of men makes one part of an article or performs one step ill the work. In some household manufactures in the Philippines it is not observed. In weaving mats and cloth, and in making clay jars, bamboo chairs, and bolos, the workers may do all the steps required to complete one article. In mat weaving, for instance, the weaver may cut pandan leaves and do all the stripping, bleaching, weavirng, and selling. In bolo making, tlh blacksmith may buy materials from the Chinese store (no matter how manly kilometers away thle market is), go out to the forest to burn wood for chlarcoal, form and finish the blade, put on the handle, and on the market day sell his finished article in the town. Usually, however, a certain division of labor occurs. In the making of copra different persons or sets of persoins often do the picking, transporti 11 to the kiln, husking, splitting, placing on the kiln, removing the meat, ali sacking. In the production of abaca in luantity one man cuts down tlH' stalks, another transports them to thle stripping sheds, another seplaratl' the petioles, another strips the fiber, and still another puts it out to (IdN. The weaver of sinamay often buys the knotted abaca from another persw. In the cleaning of rice division of labor takes place where one set of labor; i' pounds the paddy, another winnows it to remove the husk, another po(lls the rice to polish it, and a fourth group winnows it to remove the bran. Where division of labor can be carried on, the cost of producing an art i; l is greatly lessened because time is saved and fewer tools are used. '!!i' laborers do not have to clange from one part of the work to another;'< therefore become Imuch more skillful and do the work not only better i lt also in less time. In the Philippilnes tlhe women usually do the transplall I of rice because they are recognized as quicker and more skillful than ri i. Cigarette packers become so expert they do not have to count the nul "r of cigarettes that they grasp; their sense of touch enables them to deterlr '1 the number in the hand. The joiinig of two bamboo hats to make a do:,l hat is regarded as a separate part of hat weaving in Baliuag-Puli.lan, I 1 lcan Province. The making of buntal hats in Lucban is divided into i ''' MANU FA( T URIN G 305 are in Manila and a few in the other ports of entry. The most important are tobacco factories, rectifying plants, lumber mills, ice plants, ropewalks, cotton mills, shoe factories, and match factories. steps: (1) the weaving of the crown and brim, (2) the weaving back of the fibers along the edge, and (3) washing and ironing the hat and curling the brim. Each group of workers is skilled in its particular part of the manufacture. In bolo making the assistants (apprentices) hammer out the rough bolo which the master workman finishes. Tools are saved by division of labor, since they do not have to be duplicated. Instead of one man nlee(ling all the tools for the production of cleaned rice, for instance, eacl laborer needs only the one connected witl his particular part of the work. Another advantage of the division of labor is that it provides liglt work for the young, the aged, an(l tle weak, and colmmion labor for the unskilled. For instance, among the Igorots tle division of labor in agriculture is so arranged that the children and the aged do the liglht work, such as picking up tile camotes wlich have been overlooked in previous harvests, and guarding tile fields. In making single hats the skilled weavers begin the hats and weave the crown and the briml; the children and the unskilled workers finish the blats by weaving back the fibers aloing the edge. Children often knot the abaca used by their mothers in weaving. The moderl centrals will allow the planter to devote his entire attention to raising sugar cane and leave to experts the manufacture of the sugar. In factory work where machinery is employed, the tendency is to give each process to a different laborer. Ienice, in the miaking, soile articles, such as sioes, may pass through the handls of a score or more men. In order to have division of labor extensive production is necessary. For instance, it would not pay to have a division of labor in the cleaning of one cavan of rice, or in the production of copra from a few scores of coconuts, or in the making of five shoes. It is necessary to have hundreds of cavans,t' palay and thousands of nuts or shoes. A.by-product is a secondary product obtained in the process of manu-::\(ctlure. Thus molasses, bagasse, and the leaves are by-products of sugar; illsk, bran, binlid, and straw are by-pro(ducts of cleaned rice. Tle principal 1',oduct of the coconut is the oil obtained froni tlhe copra. Tlie by-products i!:' the oil cake, wlich is used for feeding animals; tile husk, which is used l *r fuel; the useful coir fiber, which is obtained from tle Ihusk; the shell, v!icl is made into household utensils for use in tle Philippines and can be 1i autifully polished and carved; and the milk, which can be made into v:legar. A difference should be noted between a derived product and a byI: (,net. Candles, for example, are not a by-product of the coconut, but a product derived from the main product-coconut oil. Sinamay and ri,e are not by-products of abaca fiber; they are articles made from it. ': waste from the production of abaca fiber, useful in making paper, is a:y-product since it is obtained as an additional product when abaca is st ipped. In many manufacturing industries the profits are derived entirely fr Iin the by-products. 306 306 ~ECONOMIC CONDITIONS 11OIJ SEH[fOLD V ERS us FACToRY PRODUCTION The persistence of household industries in the face of c,)n — petition with factory products may be thus accounted for: 1. Inertia of ten causes, a household industry to persist even) at prices which dlo not give a living wage. Many old cottoni industries such as that of Taal, Batanigas,, in which cloths resemibling nlachine-lmade textiles are woven, are in this con(lition. Thiese are gradhlal ly growing less numerous however. Modern shoe factories recently estab~lislhedt in Manila have somewhat injured the home shoe industry in Mariquina, Pihzal. The fact that the leather employed in these factories is muchi superior to that usedl itu Mariquina makes the product of the, former preferable to that of the latter, even at a higher price. -A large number of the skilled shioemiakers of Mariquina are now working in these Mlanila factories and are making more money than they were formerly earning iii their homes. 2. Where machine-m~ade articles imist yield a profit to several middlememi, they are often sold iii a given region at highier prices than like, articles prodiuce(d there by hand. 8. Certaiti articles cannot lbe madle by machinery, as strawv 1)raids for hats, knotted Maniila hemip, 1)laitedl hats, and most varieties of baskets. 4. Th'le demand for certain articles, such as the "gee strings of the Mowirtain Peoples, is not great enough to w"itrant special machinery for ti eir mainufacture. 5. I ousehold workmane can often ulmderstand amid satis: v' the demands of style better thaim the factory. This is seemi 11 the I locano cloti indlustry. 6. A1 prejudice often exists in favor of bandwvork becam: such products are supposedl to be better made. This is oft ii niere sentiment, yet in certain articles finer and more pertfi work can be, (lone by hand than by machimmery. This appl S particularly to embroideries and laces. 7. In housework the workman labors for himself. HicTi c, his interest in it causes his highest technical skill and ' MANUFACTURING 307 whole artistic sense to be embodied in the finished article. This interest persists in wage, handicraft, and commission work; and for this reason handmade articles possess individuality and artistic qualities not obtainable in machine products. Household manufacture the world over is not waning. On the contrary, it is being revived but is restricted to the spheres in which it has peculiar advantages. Its greatest importance is supplementary to agriculture. LOCATI'()N (OF) MAN T IFA(r TU I E 1. Raw material. Tlle supply of raw materials is an important factor in determining the location of manufacture. Thus rice mills are situated in rice-growing regions, sawnlills in tlie forest, and factories near good harbors or railroad centers, where raw materials can be transported cheaply. The Philippine nipa shingle industry and the distillation of alcollol from ipa tubai, are centered in the river deltas on which large iipa swamps grow. Tle llouselold manufacture of sinamay is largely confined to the abaca regions. Tlle production of hats and mats from buri-palm straws (buntal, Calasiao, and buri) takes place near the large buri areas in Luzon. The chinela liid leather industries of Gapan, Nueva Ecija, are dependent o(1 each other. 2. Cheap and efficient power. (ften raw materials are transpIr'ted many miles to the supply of coal or to water power, as ii lhas been found cheaper to take the raw materials to the lpl)wer than to take the power to tlie raw materials. Thus iron orl is carried from Spain to England and from the mines ^a1 und the Great Lakes to the coal of Pittsburg to be smelted. liw cotton is sent from southern United States to the water 1)iwer of New England and to the coal of Great Britain. Sevti lI factories are located in Manila in preference to other places 1 )(ause coal can be imported into Manila at a lower cost. 3. Skilled and cheap labor. The amount of skilled and cltap labor procurable in a given place largely determines the ECONOMIC CONI)ITIONS extent of manufacturing there. In the Philippines raw materials are often sent from towns where labor is hard to get to towns where there is an adequate supply of labor. This is particularly true of suclh housellold industries as 'hat weaving. All the buntal straw fromn wlich hats are madle in Lucbaln, Tayabas, is imported from the buri area, where no hats are made because there are 1l( weavers. The hats madle in other towns are usually finisledl in Luelban since skilled laborers are available. In the same way buri mi(ribs are imported into Calasiao, Pangasinan, from other towns where the raw mlaterials exist but a labor supply is not available. By cleap labor is not meant labor which receives low wages, but labor which plroduces much in proportion to the wages given. (ften labor which receives low wages is not cheap in the end, for it produces little wealth. Thus cotton clotlhs produced in India by poorly paid labor cannot compete withl those of England produced by labor which receives muclh( higher wages. An English laborer produces more in proportion to his wages than an Indian laborer, and English lab(or is therefore cheap. Iabor must be skilled wlere machinery is used, and the supply should everywhere be large and constallt. If there are many laborers one day and few the next, no ecIterprise either manufacturing or agricultural can be carrield (l. As labor is the most important of the factors wlich determliln the cost of an article, so it is one of the most important whli'll determine the location of industry. In the past Filipinos have done little work with tools r machinery. The artisans of the Philippines have been Chlilln s carpenters, cabinetmakers, and masons. Filipinos have b'-11 most employed as tailors, silversmiths, goldsmiths, paint;P'S. blacksmiths, and in building work necessitating climbing t, a considerable height. Tlley are now taking up other trades i' an ever increasing extent. In provinces where all skilled wot kmen formerly had to be imported, a sufficient local labor suI, Il on normal building operations is now available. The imn -' ments and methods are primitive ones adopted from the Chilln tc MAN U FACTU RING 309 The Filipinos have proved themselves especially efficient sawmill hands, cigarmlakers, and telnders of cigarette macbines. They are also proving satisfactory ill maclline shops, shiplbilding and repair shops, railroad work, and the relatively numerous factories now establisled in Manila. The fact that capitalists are investing money in factories dependent on Filipino labor is an encouraging sign. lThe problem of training a sufficient bodly of men skilled in the use of tools and running machinery is especially difficult liere because the Filipinos lave leen agriculturists. Their proficiency in handlwork, however, hlas -made it easier to build iup a class of Filipino artisans such as is now being formed in factories and Insular anll( Federal shops. The schools are turning out trained artisans from trade schools and are teaching woodworking and other arts and trades in the general course. They liave assisted greatly in tle clange of feeling toward trade and factory work, so thlat these are coming to be recognized as honorable and dliglnified metlods of earning a living. In modern industrial nations it is felt tlat conditions of apprenticeship in tlhe workshop or factory are not such as to give all the trainling neessary to tllose wo) are to engage ill trade andl industry. 'They are one-sided and implerfect. 'Technical schooling is becoming more necessary for the trainilg of workers. Sometimes this is given in the factories; more often it is left to schools. Tle present ldelmand for skilled Tlabor in the Philippines teln(s to elnhance tlhe importance of tIichnical education here.1 The idea of trade and labor unions sllowed itself in the Phlilippines early in the present century. Unions are conbinati;ns of labor, which try to meet the concentration of power i the hands of employers (an outgrowth of tlle factory system) I v a similar concentration on the part of thle employed. Unions 1 The typographical trades in the Philippines offer an excellent example ( thle success of Filipinos as skilled workers. In the Bureau of Printing, of ti i 466 employees over 93 per cent are Filipinos. Their work has received t - highest praise from authorities (Annual Report of the Director of Print-.19112). E(CONOMIC (OIN DITIONS (10 not exist for the purpose of striking. The strike is one of the means by whichi they try to obtain their ends. The modern unions of the 1)etter sort htave for their ob)jects the protection of the worker agrainst encroacinnent by employers; the up1lift of their members; the raising of their stamlard of living; an increased wagre; and nuitual insurance for sic'kness, accident, or death. In their relations with employers unions resort to (li5cu55i( i, co ntract, arbitrati( )f, and sometimnes to the s~trike. The labor unaions established in Manila in 1901 and 1902 under the auspices of a general labor union or federation were formned by a group of m-en, not laborers themselves, for personal aiid 1)olitical ends. They had none of the objects noted above, alid illustrate the mischief that false leaders miay accoinplish with a body of piartially ignorant work-ers. The federation was disband (ed by the governmnent a few mouths after its estab)lishmei t because of its sedlitions tenidencies. A new organization similar to the first one has been estahi-) lished andl has nmiaagedl to keep alive, but its activities heave not been eff ective because of its coimplex orgaiiizatin~i and the f act, that it has triedl to (10 too much at oncle. \te~anwhile trad-e unions - namely, unions of those who belong~ to the samii tiadle h lare flourisie mieuder autoliolmous management, adlO heave p~rovedI to be more useful than the federation because they have, leel imore easily anaiagedl and heave been able Ito frame (lifterent policlies to suit thec varl''ios needls of the septrate groups of workers. To-day they are the ones, that uphold ti e interests of the lalbioring class. lihe "Union de Tabaquteros (le Filipinas" is the largest mid1( strongest Union. the macldniists' andl seamen's uniolis are strong organizations. There are also smaller trade unio, S. Successful anid unsuccessful strikes have been (carriedi oii, i the tendency to strike is lbecoming less strong. To-day trea Ic uiiionismn rather than ogeneral labor unionism is the tendeu-t. I amn indebte(d to Mr. Conrado Benitez for data on unions in the Phi P pines. Bulletin No. 58, Bureau of Labor, Washington, D.C., cani be -- suited for details, of the early history of the movement. i\'IANUTFACTU~IING 311 4. Lowv cos~t < tranyoprtation. M anufacturing cities must, lbe near their mnark~ets, o~r colnnectedl with then lby some means, o)f cheap transportation, so that their jpromllcts can compete in pr-ice with the same articles manufactured ill other pha'ces. (heap method s o~f interislandl transportation h avye made MIanila and other iports of entry successful inztnufacturinog centers. Better comuninication with Europe anil America will (4)10 much for MIanila as a factory city. 5. (Yapital.l Increase in mianufacture, and( a'ccumulationl of c~apital are coinideineit. In- the, tr-ansition froml hiousework to I Capital is that part of wealth which is u15(d fior the. pro(Ilultioll o)f inur-e wealth. Wealth therefore is or is not calpital accordling to its use. Thus the fodder given a caraba() is capital b~ecause the animial helps to produce we-alth, blit that g-iven to a race horse is miit capital because no wealth is p~roduced lby the race horse. A buildhing used as a factory is calpit-al, lbnt one nsed for a clubhouse is not capital. Foodl is the most simple, form of capiital. At the coDid of the harvest the fiarmner has enioug-h food to last hiim for- a nlmmlber of months. That is his wealth, lie may or mnay niot ose it as capital;if hie is i(lie, it is not capital;if hie produces, it is capital. The g-rowth. of capital is well illustrated in the economic stages exemiplilied by time Negritos, Subanmuns, anil Moumit"aimi P.eoples. The auiminlit of \vealth ini the form of imiplemnents, tools, andl food enlployedl to produce further wealth increases with each culture stage. The growth of capital is the result of saving- ly the inilividlual, as is ofteii iillustrated in the increase of animals. Batamngas Province furnishes instances offamilies raising,, e chickens, selling theum o,salsorih( h i~(w and a litter of pigs, whichi are traded for a calf. Thus a work amhinial is obtainied. The matter of saving has alreadly been (liscusseil ii connection with laud tenure, ami the, impetus toward ownership of a farm whichi the pissession of a work animal g-ives the teniant has heen related. Saving is the,,,eat law of capital. The formis which capital takes can lbe groupeil as." folblows 1. Prodluctive imiprovemients upomn land.l 2. Bunildlings, such as, barns,,and factories, ulevo)edt(( pto lbicutiv~e industries.:i. Means of tr-ansp~ortationi, suchl as roldlS, (anials, rmuilroa is. 4. Raw mnaterihds. 5. Auxiliary mnateri-als, such as coal and lubricating oils. 6. Tools aund machinies. 7. IDonestic animials. 5. Money wveighlts andl measures. 9. Stocks of goods in stores, andWirdos. It0. Books, instruments, etc. Like the word "wealth " the word "capital ' has other mineaniiigs besides economic, one. From the viewpoint of the individual, capital consists of al; his possessions which bring him wealth. Thus a note or mortgage, is ECIONOMIC (CONI)ITIONS commission work we see the gradual emancipation of the worker from the soil, and the growth of capital. The looms, yarn, tools, and implements of household weavers are capital; so are the advances of food arnd material made by brokers. In the factory system complete emancipation is effected, and the laborer becomes dependent upon the capital of others. The availability of such capital therefore helps to determine the location of factories. The capital possessed by Filipinos is not large and is tied up in agriculture. Most of the capital invested in Philippine manufactures is foreigl, alnd any great increase ill nanufacturillg must result from foreign capital, for even with great saving Filipinos cannot soon accumulate enough surplus wealth to finance large enterprises.' There is no doubt that the Filipino can save. Such primitive Malays as the Bontoks often have in their granaries the rice crop of five years before. The Ilocanos are probably the most saving of the Filipinos. In lHawaii it is noted that Filipinos usually spen(d all tlat they first earn, and then settle down to regular work. When they find that they can earn more than enough to live comfortably they begin to save. Recently a good Imany have returned to the Philippines, paying their own passages and bringing with theml considerable sums of money. Und(l'r present conditions greater savings and capital are being acclumulated in the Islands. The deposits of the Postal Savilng Bank may be taken as an index: NUUMBEI OF FILIPIN() I)EPOSI'TORIS IN TIIE POSTAL SAVINGS BANI! 1908 1909 1910 1911 1912 2852 4927 8587 23,161 29,555 In 1911 and 1912 the number of student depositors iV'creased in greater proportion than that of all others. capital to the holder. Bult froml the point of view of political economy (il i1 is, frol the point of view of the country as a whole), notes, mortgages,; such commnercial paper are not capital. Thus a nlortgage on a factory is;, capital to a country. 'The factory is the capital, and the mortgage merely s,11 s that some one owns a part of it. Economic capital consists only of that we' 1I which produces more wealth. Interest is payment for use of capital, juis 1 wages are payment for labor. CHAPTER XVIII EXCHANGE Just as division of labor results ii commerce between men, so commerce between regions arises from differences in geological, topographical, soil, and climatic conditions which cause one locality to produce certain articles cleaper and better than they can be produced elsewhere. Since each person produces but one commodity, lie must exchange the product of hlis labor for articles he requires; since the inhabitants of a given place produce and export those commodities whicl they can obtain in greatest amounts, or which will bring them the greatest returns, they are obliged to import other products in exchange.1 Commerce in the tropics consists of the export of raw materials to the northern temperate regions and the ilmport of manufactured goods from those regions. 1 In the coconut region of Sariay, Tayabas Province, practically all food stlluffs and manufactured articles are inmported, since it is more profitable for tile people to give all their attention to their coconut groves than to branch itt into other industries. Hence all available land is planted to coconuts. A\laca, sugar cane, tobacco, and the coconut-palm flourish in the Philip]lines. Consequently hemp, tobacco, copra, and sugar are exported, while rice, cloth, machinery, flour, and other manufactured products are imported. S.i in most localities, certain things which are not produced at all, or not so '",eaply as in other regions, are imported and paid for with those products i which the locality is adapted. Commerce also arises from the habits of people. National habits spring, f r the most part, from environment which creates peculiar material wants. F! iese habits are imost apparent when people move to other lands. Thus, the - ilericans and northern Europeans have brought to the Philippines their t; 'te for butter, and the people of southern Europe their taste for olive oil. I a must be imported into the P'lhilippines for the consumption of the Chinese;' 1 other tea drinkers. Trepang (a sea slug obtained in the Philippines) is i consumed by Filipinos but by Chinese. Filipinos use many fruits, such a) papayas, in a green state, while Europeans and Americans consume them y when ripe. 313 814 ECOO "C ONDITIONS Fo.1ElEIGN C( )M\ MElD -(,E, OF T1E, P~HILHIPPINES The total foreign commerce of thie Phiflippine's in 191-2 amounted to P209,739,632. From Chart XXXVI it wviii be seen that the volume of foreign trade of the Philippines P( AEAE FISACTUAL TRADE ' 153~ (')~ (H1ART XXXVTI. TrOTAL FOREIGN TRAD)E OF THlE PHILIPPINE ISLANJ~s IN MILIiONS OF PESOS CenSus and Customs Statistics remained fairly constant (hiring the, thirty-year period " 1872 to 1902, and avemraed p75,000,000. Thlis conditi' was, changedl with American occupation, and in the P( years between 1902 and 1912 foreign trade increased alm(", threefold. EXCHAN GE 315 BALANCE OF TRADE On Chart XXXVII both the imports and exports are indisated. It will be noted tllat during certain periods imports Ilave exceeded exports and that during other series of years Pesos 1872 1874 1876 1878 1SSO 188 21884 188461S 188S 90 1892 1894 189 189S 1900 1902 1904 1906 1908 1910 1912 120 - [ 1- t L - - 1'0 6O 40 IMIIMP(NS OF O'TSOS C(iisIS antd (Clust)lms Statistics Ceusuts and C lstomls Statistics 'xp)orts have been greater tlan imports. In 1912 imports vwere P109,099,9610 laid exports P100,639,672.1 Th'lle differ1lnce is P8,460,288. This is called the balance of trade. Tlhe,iglificance of the balancet of trade is often misunderstood. 1 A comparison( of the trade of the following countries is interesting. 'hlie following are tile figures for the fiscal year 1911-1912: IMl PORTS EX PORTS Philippines..... $ 54,549,000 $ 50,319,000 Uruguay...... 51,441,000 49,968,000 Venezuela............ 20,94,000 25,732,000 Chile......... 127,381,000 123,884,000 Cuba.............. 108,007,000 128,224,000 - _ _ _ _ _ _ _.. _ __..... _.. _.. ECONOMIC CONDITIONS Two centuries ago the Mercantilist theorists supposed that an excess of exports was favorable to a country and an excess of imports unfavorable. Such, however, is not the case, since other factors influence the balance sheet of the country.1 These are tabulated below. Items tendlint to excess imports 1. Imports. 2. Receipt of a loan. 3. Interest on capital invested in other countries. 4. Earnings of native nerchants abroad. 5. I)onations received. 6. Profits of shipping. 7. Expenditures of foreign nations. 8. Indemnities received. 9. Travelers from foreign countries. Items tending to excess exports 1. Exports. 2. Repayment or an advance of a loan. 3. Payment of interest on foreign capital. 4. Profits of foreign merchants. 5. Donations given. 6. Payments to foreign shipping. 7. Expenditures made abroad. 8. Indemnities paid. 9. Travelers in foreign countries.2 In the long run the balance of trade of the Philippines should be " favorable."' Excess exports should be sent away to pay (1) interest on large sums of foreign capital invested here, (2) profits of foreign merchants who control the tradl of the Islands, (3) charges for the use of foreign shipping (4) money taken or sent away, (5) expenditures of travelels and students abroad. 1 That both rich and poor countries may have an "unfavorable" balall 1 of trade or a ' favorable " balance, may be seen from the following figoure-: IM PORTS Ex IPORTS Austria-Hungary....... $ 641,576,000 $ 483,773,00( Belgium........... 832,406,000 682,418, Canada... 521,448,000 290,224,00( China............ 306,812,000 245,538,00( United Kingdom...... 3,309,987,000 2,204,322,(X) Brazil........... 256,942,000 325,271,00( British Indies.......... 449,583,000 719,334,00( United States....... 1,653,265,000 2,170,320,00( 2 Bastable's "The Theory of International Trade." EXCHANGE31 317 On the other hand, the expenditnres of the United States government for supplies' for its troops and vessels statliynedl here andl for payment of these troops tend to reduLce the excess of exports, while the inflow of foreign capital, which is now takinig place, still more greatly increases the imports, and -9 even results in " unfavora-A,U ble " balance. This may '0 continue for some tinme. lb The fact that a rich coun- ~ try like the U~nited Kingdom has an "unfavorable," and CATXX11 RILSICXIE a poor country like IndiaCHTXXII.AILFsNLI)) IN THE PHIIAPPINE EXPORT TRADE' a favorable," trade hal- Percentages for 1912 anice shows that these words atre misnomers when so emp~loyed. Excess imports and (excess exports are results 0 of complex conditions, and l (ither may indicate a healthy - -Iondition of f oreign comn- MEAT AND DAIRY o PRODUCTS 6.4% iierce.0 PHI1LIPPINE TIRADE WITH -' THE UNITED STATES The character of exports I oim the Philippines is S oni hatX X II CHART XXXIX. ARTICL1ES 1NC1,UJED IN THlE PHILIAPPINE IMPORT TRADE le poporionof each of Averages of ten years in percentages tefour principal exports i1the export trade fromn year to year is indicated in Chart XI. I'1 Chart XXXIX can be seen the character of the average il Iports. ECONOMIC COND)ITIONS % 1899 1900 1901 1902 1903 19901 1905 1996 1997 1999 1999 1910 1911 1912 100 90 K> 0K 0 80 70 60 50 40 K.301 20 -10 RINI> 0 K<1<0111 > UNITED STATES LuFRENCH EAST INDIESfIlllIIl UNITED KINGDOM LI]l CHINA AND HONGKONG~ CHAIRT XL. COUNTRIES PARTICIPATING IN THE IMPORT TRADE INTO THE PHIIAPPINE ISLANDS IN PER CENT OF TOTAL IMPORTS Customis Statistics The part which the (liff erent countries have iii the tradlI of the IPhilippines is u111(ergomng change. From Charts XI, and XIA it can be seen. that the relative share of tile Unitet,( States has greatly increased, while that of tile other thire' chief participating countries has decreased. InI tile last the'"teen years the share of tile United States in tile export tra(l1, from the Islands increased f romn about 20 per cent to over 40 pcI' cent, and that in the inport tradle from less than 10 per cent 1 I almost 40 per cent. InI considering tilese percentages it must I It remembered that the total trade of the Islands has increasc greatly. Tile actual share of countries is ind~icated in Charts X andl X1II1I. The, increased trade between the United St,!; andI the Philippines is largely due to free trade relation ' 1Free trade between the Philippines and the United States, witih certai limits 011 tobacco and sugar and on rice, was established in 1910. EXCHANGE 319 I % 1899 1900 1901 1902 1903 1901 1905 1900 1907 1909 1 1910 11 1912 UNITED STATES _L FRANCE -m —1- 1 UNITED KINGDOM fiL i CHINA AND HONGKONG li CHART XII. C(OUNTRIE S PARTICIPATING IN TIIE EXPIORT TRA)DE F(ROM TIHE PHlILIPPINES IN PER (ENT OF TOTAL EXPORTS Custolms Statistics \ coilparison( fnor tlhe years 1909 and 1912 illdicates tlle.sults of the )refelrellce giveli lh'lilippl))ile p)'o(lll(cts. ': tal imports........ rt.tal expo t.).... Total trade... i 'ports from United States I ports to United States.. Total trade with United States. FISC'AI EAl{ FISCAL, EA it ', I ' 1009 1912 ' 1 'A' 827,794,482 $54,549,980 960 31,044,458 50,319,83( _62 858,838,940 $104,86),816 78. $ 4,696,178.20,770,536 342 10,256,600 21,619,68(6 111.-14,952,778 $42,390,222 183.. - _- _ lWhile total Philippine exp)orts increased 62 per cent, those t( thle United States ilcreased 111 per cent. Total Philippine il 'ports increased 96 per cent, but the share of tlhe United t.ates increased 342 per cent. ECONOMIC CONDITIONS The importance of total Philippine trade with the United States in comparison with that of other countries is indicated below in figures from United States Customs reports:1 IMPORTS INTO TIHE1 EXPORTS F1R(. UNITED STATES UNITED STATES Philippines.....$23,257,000 $23,736,000 Austria-Hungary.... 16,713,000 22,388,000 Russia (in Europe)... 20,600,000 21,508,000 Spain...... 21,900,00 25,000,00( China..... 29,573,000 24,366,000 The growth of trade b'etween the United States and the Philippines is shown r- Chart XLIV (Insular Statistics). It will be noted that before the present tariff relations became, effective, exports to the United States exceeded imports from that country. In 1911 and 1_912 they were practically equal. This exchange of goods is very beneficial to both countries, as a study of the export figures will show. The United States is a large importer of tropical raw products for manufacture and an exporter of manufactured goods suitable for use in the tropics. The Philippines supply many of these raw materials and demand the manufactured products. Of the exports froml the Philippines to the United States almost 75 per cent anj raw or partly manufactured, and of the 25 per cent ready for consumption a large part are products of handicrafts wllich cannot be produced in the IUnited States. )f imports frol, the United States about 90 per cent are manufactured alll food products ready for consumption, and about 10 per ceit are raw and partly manufactured products. The volume ' the export trade from the United States to the Philippill in 1912 ($23,736,000) was slightly greater than its exports to all Africa ($23,507,000), or to Russia in Europe ($2 - 500,000); it was about the same as its exports to Chii 1 ($24,361,000) and to Spain ($25,000,000); it was alinl t twice the exports to Central America excluding Panarlai ($13,534,000); its exports to Brazil were one and one lu'f 1 Figures on page 319 are from the Insular Collector of Customs. EXCHItANGE times as great ($34,678,000), and to Mexico two and one third times as great ($52,800,000). In 1899 the exports from the United States to 54,550,000 "rico were $25,483,- COUNTRIES PARTICIPATING 000; in 1903 the ex- IN THE IMPORT TRADE INTO THE I)()rts to Cuba were PHILIPPINE ISLANDS. $21,761,000; in 11010 IN MILLIONS OF DOLLARS $1,l7() 1,0 0l,0; n191 1910 (000, 000 DROPPED) tholse to Japan were STATISTICS FROM REPORTS OF THE 21, 959,000. EJxports INSULAR COLLECTOR OF CUSTOMS $21,959,000. Exports 1 MUNITED STATES from the TUnited States *. UNITED KINGDOM to all Asia were less U than $20,000,000 ten l FRENCH EAST INDI... years ago. E. CHINA AND HONGKONG years ago. The IlPhililppines and D1 OTHERS8 the United States are o seen to be reciprocal - l)rod(lceirs an(1 consu() nis, witlh a rapidly in- C (l'easillg trade, furtlher strengtlienedl by tlce umut al eliminiatio, l of trade ( ikalriers (tariffs') raise(l -igaiust otf] erl colllltries. -20 -(I{()WTIH- OF FOREIGN The demanl d for man11 aituured products is [)idly increasinin tlhe Plilippines. Industrial I'lNpansion is causing la'iger exports, and tle 1)' rchasing power of the 1-ople tiius enhanced( ('-; ults in greater im- || 8 c | o a,, I, X~I )l'ltts for consumpll tionl. CHART XII 322 ECONOMIC CONDITIONS The per capita foreign purchasing power of certain tropical countries can be determined from the following table in terms of exports per capita: COUNTRIES PARTICIPATING EXlP(RTS IN THE COUNITRY I'PER CAIITA EXPORT TRADE FROM THE India... $ 2 PHILIPPINE ISLANDS. Philippines 4 IN MILLIONS OF DOLLARS (000,000 DROPPED) Java... 4 STATISTICS FROM REPORTS OF THE 5 Mexico. INSULAR COLLECTOR OF CUSTOMS \\ / UNITED STATES Porto Rico.. 3 r,^, ^ 0"o ^Cuba.... 71 E UNITED KINGDOM- - M^ FRANCE 0 Jm [[1-0 FRANCE? 0 The per capita export ()o E CHINA AND HONGKONG \ ^/^ 1 1 * 1 Cuba can be duplicatedl M OTHERS g l ~E ] G T' 8o, in tie Philippines. Since ~ 8 ^ cr r g3-large areas of unused 7H g-^a ^\^i 9 /ji I lands are available, ca)fx ^fc^^fc = — Tl| ital is being encouraged to enter, and Filipinos;trc proving themselves elicient laborers. I\IoiI-25 2-; X | ^ tH tS jL over, a large market f,' ^^I J~\tii 1| ~I ~Philipl)ille lprod(lucts c\ CiHAR XLII " o2 ists in tlle United Stat(s. D0)(FDMESTI C()M.MI'MMEI;Cl OFi TilE PHILII PINI' The amount of a cov, - vanced,and one- third of the net profits of thie venture. Thel( barrio Guiiixanou is one of the niost I ro)speromis comumunnities on this coast4 MONEY Ilarter, the exehiange of goods for goods, does not exist thle Philippines, to time extent one would at first suppose, C' siderimig the larg)e numb~er of prim.-itive people foun~d here. is still earriedl on iii trade with tile savages and semicivil"; I By Jacob ('. Lamng, Supervising Teacher,. Formolosa friendship are first performedl. It appears in all ilusiness withtes peopihe. (lie Cliristianus, that to sell a th~ing merely for the mioney is not hioiorabd.T must 1)e at least tue tiction of a bondI letween the parties. Iii )')urclhasiita, peopile will distiuigish between li)ater (" bailo ') and exeltaiige by me1am> nimlmey. "Ambiit "is aiioth~er wordI that is iused even in cash ipurchases andl0 Lially had the signiificance of a friendly act. "Palit "is the word for a~n Okomt! out purc'hase for cash. The relationship between the seller aiid the buyer W) thus lie deter~inieul. While these distinctions are imost marked iii the moutitu', traces of themn can he seeu aimong tilie Clir-istiaii populatioii. 2 From (lie ecuionuide relutuit of H. E. Stanton. EX(JiAM4E 841 - 341 lby a people are, those Most v aluedl by them. Thus throughout thle I'liilippimes rice wcas, anld someim~fles stnill is, ulsed as, money. (Corn1, pearl shell, and~ coeoiiiits are less ofteii so emplo~yedi. In addition to its,, valuee, rice( i's also portable, is not easily (lestroyedl, and can lbe, (livide d. Thiese are essential features of imoey, anid are possessed by metals inl thte) highest (leg-ee i When the Amiiericanis took ovei time gove(rimi I,,-at of the Philippinies two cutrrencies we~re, found1( - lie Mlexicani silver (lollar aiid thie Spaniishi-Filipino peso aimol fractional cnins. Tm vahie of these dlepended onl tile silver ill thlem. The coinat, of Europe andl the, UIJnted States is based oil gold, and( ais the, relative value of silver and( gold const~aithy- ci manges, time value of "\lex " in Unitedl States cturreiie futate ral.Wmi silver was clmeap), it took P2.66 to equal $1 in g)old, and wheii it was (lear it took only P1.98. The dlifferences in exchang e fromt (lay to day were oletrimiental to trade, andl a, new Philippinie currency I asedl on gold was therefore coiiied. The unit of v~aluie inl this currencey is a theoretical gold peso consisting of I 2_~5d graimms; of groldl niiiet~enths fine. This is half the amount in the tiieoretical gold (lollars of the United States. Ihus gold cloin is niever made. Thie Philippinie peso~ is silver, and the value of thte metal in it has usually been less thian the face value of time coinl. Time Full face value is guaranteed, however, by time "gol(l standardl fund, a reserve of over $7,500,000 kept by the government or that purpose. The Philippine peo5( therefore maintains a -onstant exchange value of $0.50 gold.2 1 Care must be taken to (listiuguish the mnere bartering of rice for other Products, from its misc as money. As money it performs the triimle function 4a medium of excbange, a measure of valuc, and, a sta]1(ardl of deferredl,,aymient. if rice is exchanged for another product,. but the, valute of both is intreckoned in pcsos, the exchange is mere ly bartcr. When micc acts as '"oney, it is not only readily receive(I in exchlange for goods ami given in exchange for othier goods, but tihevaluie of otber tihings, such as pigs, are reckedin it, and debts are contracted in its terms and are p~aidl with it. 2The value of silver rose a few years ago. The amount of silver in a hlifippine peso was for a time wortb more than $0.50, and people began ulpping pesos and fractional currency to Cbina. To stop this, the currency asrecoined and tile size an(1 amnount of silver made smaller. ECONOMIC CONDITIONS Philippine bills are silver certificates issued by the Treasurer of the Philippines upon actual silver or gold coinage deposited in the Treasury. About P26,000,000 worth are in circulation. There are also over P5,000,000 worth of notes of the Bank of the Philippine Islands and P20,000,000 worth of silver and minor coins in circulation. The per capita circulation is P6.82, CREDIT, INTEREST, AND BANKING The amount of money necessary for the commercial needs of a country depends upon (1) the amount used as a mediurm of exchange; (2) the amount held as a cash reserve by individuals to insure solvency; (3) the amount of credit given, and credit instruments (checks, notes, etc.) used. Professor Hadley 1 gives two distinct cases in which the use of little money and much credit makes itself felt. In very poor communities, where the obvious needs for consullption are great, money in the cash drawer seems an unnecessary luxury. P'eople are apt to spend all they have, and trust to getting more when more is needed. In this way they overreach themselves. They leave too little for effective use as a medium of exchange. By spending every cent they possess, they hamper production and exchange by constantly keeping their cash reserves at too low a figure; somewhat as the improvident operative, who spends every dollar before he has earned it, keeps lim.self constantly in the power of credit stores which charge him an unfairly high rate for his accommodation. In a community of this kind we find an inadequate supply of money, a very low level of prices for cash, a much higher level of credit prices, and a commercial system so uncertain and cumbersome as to prevent people from serving one another most effectively and from selling their products in outside markets at the best advantage. Another cause of scant money supply is exemplified in communities of active producers. Such people spend their money, not for immediate personal consumption, but for various forms of capital which will tend to increase their wealth in the future. It is not because they are poor that they keep themselves scantily supplied with money, but because they hope to be rich by means of its investment. Where farms, railroads, factories, and other forms of productive enterprise seem to insure their owners a return of ten per cent, the temptation to use too much 1 Hadley's " Economics." EX(CH ANGE money in purchasing means of pro(tction and leave too little to serve as a nledium of exchange is at timtes quite overwhelming. In such conmmllunities there is always an active attemplt to develop a credit system which shall serve the place of mloney. The first proposition is applicable to most parts of the lPhilippines, for tlere is found here a great leal of borrowilg andl extension of credit for consumption rather than for production. In retail trade tle " vale," or proliise-to-pay system, prevails and the results are exorbitant prices. Money lenders, tbuyers, andl storekeepers len(l money or advance products on promise of repayment in tobacco, ablaca, sugar, copra, rice, or other products at prices much below tleir market value. Such transactions net the leIder from 25 to 100 per cent interest, and the b)orrower is oftel as much in the power of tle lender as in the kasama system of land tenure. Even where tangil)le security is given, interest rates are lligl. The pawning of jewelry (ill whic form imuch of tle surplus wealtli of Filipinos has been kept) is a common way of securing credit. Even wlere mortgages are given o(, land, crops, animals, andi otlier properties, interest rates, in a.ll but the most a(lvanced commercial conmmunIities, have beeIn from 25 to 50 per cent onl yearly loans, and as mucll as 100 per cent on sliort-time loans in small amounts. In Manila, where a good banking alll credit system exists, loans oil real proplerty l)ear 8 per cent interest yearly. Interest is a legitimate thing. Capital is productive, and its share in producetion is ilnterest. No established agricultural activity in the Philippines can yield 25 per cent (much less 100 per cent) on the capital invested and provide a just share for labor, rent, and the profits of the manager. In view of the fact that mluch of the money borrowed and the credit extendled in the Philippines is used for consumption (fiestas, to tide,ver lack of food, and the like) it is well to consider some of ihe legitimate purposes for which capital may be borrowed. 1. The merchant may borrow on goods he has forwarded but on which he has not yet received payment; or on goods 844 ECONOMIC CONDITIONS for which he has paid, or for which he wishes to pay and which are in transit or in stock. The action in both cases is in anticipation of selling the goods for the purpose of buying more goods. 2. The manufacturer may borrow to improve his plant; for instance, a sugar mill. 3. The agriculturalist may borrow to purchase more implements and animals, to extend his holdings or improve his land, to purchase seed, and plant and harvest his crop. HIe mllay borrow on his crop either before or after it is harvested, in order to hold it for a higher price and at the same time lhave funds with which to cultivate his land again. In these instances wealth is borrowed for the purpose of producing more wealth, and earns interest. Credit is difficult to obtain, and interest rates are high in the Philippines because: 1. The amount of capital here is not great. 2. Much wealth is borrowed for consumption rather than for production. 3. Money lenders take advantage of the ignorance and antipathy of the borrowers. 4. Lack of clear title to lands, the chief form of wealth in the Philippines, prevents land from being good security for loans. 5. Lack of a banking and credit system results in wealth being hoarded instead of being used to finance productive enterprises. The first four considerations have already been discussed. As merchants stand between producer and consumer, and money between seller and buyer, so banks stand between lenders and borrowers. The moneys reserved by banks are: 1. Those given for safe keeping for a long time, and for which the bank pays interest (savings banks). 2. Surplus moneys used continually in business and to secure solvency. These are deposited and withdrawn at frequent intervals by individual owners but keep at a fairly steady level in the bank (commercial banking). EXCHANG'E84 345 Thus11 much surplus wealth of the community com-es, lll1er the control of the banks awl is lltilizalble for the basis of 'a credit system. The bank lborrows it from m-tanY lPeOlle, comb)inihies it, andl in turn loans,, a portion of it to produicers on security. Up to the last few years all the banks of the lPhilippiiies were to be found vii the ports of cntry andl were doingc a buslness coimected only with the export aild import tradle. 'Illc great Iprodllctive agricultural (listricts were, avid( still arc to a great extent, without banking' facilities o)f a Icgitijuate kid The government has takzen the leadl in thec extension of banlking by foundinig thec, Postal. Savinigs Bankingo System an(l the, -Agricultural Bank. The object of the former is to eliconiage savingc lby pro-(vi(linig a safe place to (leposit small sums of moniey at a lowN rate, of interest. rThe Agricultural Banik of the Philippine governiruent receives sumns on (leposit at interest from the Postal Savings Bank, provinces, municipalities, societiets, corlporati ( ns and private individuals, andl loans mon-ey onl agricultural lamlIs and crops alreadly gathered and Ttr il lie m1onley lo~aned must be lsedl onl the land for agricultural purposes. ileobject of this bank is to encourage agriculture by providing~ loan(us to farmers at a legritimate rate of interest. While, the coiinmerCial banks have la tely taken greater interest iii financial bank - inig, considcralble (litficulty is still exlperitcned~ il liinane~imio, sugar planiters who wish. to htold then' crop for hiighier lprices, and in securing funds for harvesiiig a( movilig thei ric~e alI(I other crops. P~rovincial cominercial banking systems wvith citeiter foreign or local capital arc urgently required in thel P'liihippimics-. It is possible that the Agricultural Banik will be allowed by law to enter this business. P INCE Theoretically, price is (leterminiei hby (lelmanld anml sup)ply. G-reat (lemandi tendIs to increase the piice of (aim article, and] small (lemand to lower it. 'Small supply tends to iicreans'e ipri(ce, anl large supply to lower it. This law is well illustrated by the dickering carried onl in the Philippines. The seller places 346 34~~~~~5I ( () N ft tIC (0-NDITI()NS his first quotation above what lie expects to get; the, purchaser begins with a figure lower than he is willing to give. The one lowers, 'the other raises, his offer until the price is, dletermilledl. Just after harvest, when rice is abundlant, the( price is cheap; at planting, when the demanad is great aiol the supply limited, the, pi-ice rises. In 1909 the production of radishes in 1Pasig was large, an(1 their price became low. Time next year few radlishes were planted, andl pr-ices advanced. In Laoag time occupation of silversmnithing was overcrowdlcd until. many smiths wemit to the Cagayan Valley, when tihe rcimun em-ation of those remaining was increased. ("opra 11low offers an example of ane article the increasedl supply of whlich has imot kept pace with the demand for it, s0 that its pI ceI has steadly risen. Th'le price of indigo is relatively lowv because of the coniIetition of large supplies of cheaper coal-tar colors. Time dise —ussioim of the price of abaca fiber in C1hapter V_ offers an excellen t, examUiple of the adjustment of pr-ice by supply and (leland. If' the price of ani article raises colmsidlerably above the cost of pro-( (luctioll, the resuilt is a large outlput in an-ticipation of Large prohits; but the supply beiiug increasedl above the demand, the 1)rice falls until increase in. the demand thus created. absorbs) the auglnemtedl supply. In turan, the lower price discourages pro-( dutction, atid the price again rises on 'account of smaller sop) ply. At a given time the Jpriee of an article is deteruinimed V)' (lenmand and supply, and in the long run the pr-ice approaclwn~ the, cost of the, article plus a reasonable profit. The nearer that free competition is approached, the non~ readily (lo demandl ani(l supply adjust themselves. Ignoraonec custom, amid monopoly tendl to prevent free competition. 'I'll lmigm rates of interest charged in the Phlilippinies are not 0111 time result of great demaiiul ini comparison with the availab' supply of capital. but are also the result of the ignorance, time people, who are taken advanitage of Iwv the, lenders. liie muense profits, were once made on articles traded to the wivil tribes. In selling to persons of wealth it is customary to clmarg~1 EX (CHANG( E 347 high prices. Ill some lparts of tle Islallds the law of supply and demand does not seem to operate, land prices are fixedl by tradition. Extraor(linarily high prices offered (do not seem to stimulate pro(ductioll. Prices set by the oldl tobaccl()lo mlollolpoly are still observed in certain parts of tlhe (agayanl Valley. An effective comll)ination of sellers or buyers is a molln(opoly. Monopoly price is set by suchll a comlbiationll. Int tlIe old government tobacco ()monopoly tlhe lbuying of toblac(co was fixed by thle officials. As explailne( in Chapter V, it is sometimnes thouglht that the low price paid for' a)baca was tle result of a combilation of buyers. At one time at trallspolrtati(on monopolly existed in tlhe lPhilippilies, plartic'ularly in tlhe alac'a regions. A farmler having broughlt lis )prod(uce to tlle coast ladl eitler to sell it at a low price to the steamlship representatives or to keep it, as no othler transportation could be liad to Manmila. In 1903, anl again il 1911-1912, slhortage in the crop cause(l large iml)ortations of rice. A few mlrclhants " cornelred tlhe supply andl advanced tlie price far above what supply an11( demand would lIave p1lacedl it. Tllis monoploly was brokle by the government, which implorted rice andl sold it at at legitimate profit. CHAPTER XIX STUMMA 5RY 1 C()MAIA RtISON AVITHI F()IMIE, EUI()IEAN CONIITIONS BEF(OE14 TIHE INI)USTRIAL REVOLUTI )N 'T'le economiic life of tle l'llilil)ppines is to-(ay pre(lominanltly ilational, witlh miclih of tlie ol(1 town\I economy tan(l evel (l(ioestic economl:l y remaininlg. T'le Ph'ilippilnes are anll agricultural country, witlh a extensive supplementary lihosehlold manlufa(cture. In manly respects colnditionls lere resenlllle tlhe agricultue, are, inauf ure, and commerce of Englatnd an(l tlie (Contilnent before tle industrial revolution, about a hllullred and fifty years ago.2 Until tlis period tlie general character of industry was mluch the same as ill tlie Middle Ages, or evel earlier. Blotlh agriculture and manufacturl e were ur1ised still by primitive methodls; tle farms were small and tle mlnner of cultivation unscientific. Indeed, iln many parts of England tlere still remained thle old( " commino fiells," which (lat(el back to the days of the Norman Colnquest, and before it, anl wlere cultivated by peasants wlho, iln manmy respects, la(d not progrlessed muclh farther than tleir villein ancestors. But tlhe peculiarity of tlhe tillage systemi was that eaclh villager had hils strips or patches of lanll i (lifferelt l)arts of the (omm1on field - not in jluxtal)ositio. T ls cust(o - doubtless;t relic of primitive timles - was tlie cause not only of endless inlconvenience but of tlhe slow (levelollmellt of the science of agriculture. Disputes were constantly arising concerning tlIe I Mr. Herbert W. Krieger assisted iln gathering listori(al (lata. 2 Adapted from II. (le B1. (ibilns's "IEcol(nomic andl Industrial IProgress." 349 ECONO0MIC' CONDITIONS lbounldaries of the stripjs or the Ictlhodl of cultivation, andI there was no opportunity for any one Who was cleverer thanl his fellows to follow out a course of heis own-I, or to in~dtilgc, in agricultural. expecrimednts. Much time was lost inl going fromn 01W, liehi to aniother. The (lolnestic system was very general in Englandl and onl the ("oiitineiit befor-e the chianges brou ght albolt by thle industrial revolution. Manufactures were closely associate(I with. agi11iculIture, and~ the craftsmen spun and wove with spinning wheel andl loom iii their own houses, to wluch very often a small piece of laud. was attachied. At one time the weaver lhadl furnished himiself with warp and weft, worked it up, andl iadl taken it to the market himself for sale; but by dlegrees this system head become too cumlbrous, andl the merchants theimselves gave out the yarn to the weaver, or in other cases got together a few looms in a, villagye alnd had them workedl urnder their own snperv ision. Aside from time many villages,, there were towns. Clitizensihil) in these towns dlepenlded on time possession of a homc andl landl. P~eople wvho lived. outside ta town were not grantcei manly righlts that its citizens lpossesse(I. Time occupations of time townsmen were, of course,, mror-( varied than th~ose of tile villagers. In addition to agriculturec. the townsmen carriedl onii mamnufactures and. trade. l1r radlm m was tile p~rincipal thing that marked off time life of the towimsmen as (listilict from that of time villagers. Articles of hmonli manufacture, such as cloth, leather, anuis, andl wood, mnet-'1I and leather goods, were sold; ]likewise foreign goods theat wNerv lbroimgh'lt to the towns froin the CIontinent were dlisp)layedl fie sale inl the towvis. lihe so-c'alled l mnmrk~et towns dlisposedl of the produncts o mnmuatre. rlime, mImarket towns sold umostly local producme Tovmfairs, hcldl at statell periO(1s, were quite imiportal) for a timie, and mmerclmants caine, froim far and~ near to (l-ispfl'm~ timeir gFoodls. Such fairs were held at (lifterent 1)eriodls so imuem~ cimants could attemld many of thmemn. SUMMARY 3TI 3151 THlE INDUSTRIAL REVOLUTION During the eighteenth century, the old common fields, with their minte parcels of land, were gradually inclosed and tllrnedl into the trim and well-ordered 1)rivate fields of the present day; but the 01(1 system was hardly yet deadl at the close of the eighteenth century, though rapidly becoming obsolete. The last century, however, was remnarkable for the growth auid progress of agricultural and stock-brcceling methods of a fewv pioneers. It was the beginningr, also, of the agre of the capitalist-farmer and of large holdings iii place of the peasant cultivator and his tiny patches. Indeed, without capital and large f arms it is (litffiut to see how improvemient couldl have taken place, at least with such rapidity. Improvemrent in. fimplemtents, the iu-trodluction of machinery, niew crops and rotation of crops, all received their impetus during this period. The first of the great m-echanical inventions of the industrial revolution had to (10 with the spinning andl weaving' of cloth. T1he first successful invention ahong this line was the sp:inning jenniy in 1 764, which was able to slpin eight threads at a time. lnmprovcnmcits omi this- machine greatly increasing its spil nning capacity were finally combimned~ in the nuile. There remained to be invented a weaving machine that couldl keel) pace with the increascel possilbilities in spinning. This was realized in the power loom. AIbout the same time, in Am-erica an apparatus was mnventedl that was able to separate the cotton secels fromn the, fiber- of the boll. Previously this hadI to lbc done laboriously hy hand. Cloth manufacture was now free to go forward unhamperedl, were, it not for one, (litficulty. It was found that the relpeatedl inventions had so lncreasedl the size of the, spinning mnachiinery that it could no longer be placed in the houses of laborers. It was almost unpossible to operate the machinies by bawl powver. Special buildings were constructed, an(i. horse powei was employed. Later the buildings were placed by the side, of streams and 352 1IEC ( 1)NOMI(C CONDITIONS water power utilized(. Tle first steam engine was used to supply )pnwer ill a cottnl mill in 1785. It had been used precviously for other purposes. It nwas now necessary for laborers to leave their homes and work in factories. They did not possess enouglh means to set nup their own factories, and capital was supplied by merchants w1ho 1ad been slueessftul or by the former owners of large estates. As domnestic manufacture was no longer profitable, II TMA POWER-AN 01 iRES9,the inisplIaed!and Wicrers gave up their simall lamdltoli gs aald went to tihe factory towns as wwge Emlaborers, or devoted tblemselves solely to the cultivation of their simall holdingls. (iftei they sold anid )became agrienltnral laloriners. Woods i in Engliad was wellnigh exaiusted at the loning of the indlistria revolution. As a result the smeltiig iof iro1 was on the decrease. The Isec of coa l ini te mdetion of tl ironm ore relieved the sitiation m lad stioiitd mew imetiholls of coal tiuinmimg. Its use ais st auiminig fuel caused factories tn be fominle ini i tihe proximlit of coal fields lMany camals wterm CO MII 354 ECONOMIC CONDITIONS built, and great cities sprang up along them. Later, the con, struction of steam railroads brought further change in the localization of the great centers of industry. Cities that had harbor facilities were now connected by means of railroads with mines on the one hand and the agricultural and sheepl raising sections on the other. The period of great inventions did not cease with the years immediately following the beginning of the industrial revolution, but have continued to the present time. The application of electricity to industry and the use of fuel oil for power are achievements of the modern age. Invention after invention is recorded annually in the history of the industrially progressive nations. The elements have been so completely mastered that the poorest laborer of to-day may in many respects live more comfortably and safely than could the lord of the manor in medieval ages. RESUME OF ECONOMIC ADVANCE IN THE PHILIPPINIES The Philippines are now going through an industrial revolution similar to that which took place in England, except that the impetus has come from without and that the achievements of other countries can be taken for guides and goals. At the beginning of the seventeenth century, Manila had come to be the commercial center of the Far East, and Manila merchants were in control of the commerce between the Orient and Spain and the western world. The period of brilliant success of Spanish effort in the East was brought to a close through the petty jealousy of the Spanish merchants at home. Only one vessel was permitted to ply between Mexico and the Philippines. The freight charges on this galleon were very heavy and served to raise the price of products to such a degree that an importer or exporter of goods for the Mexican and Philippine trade could realize a profit of several hundred per cent. Dating from the beginning of the seventeenth century, Spanish dominion both in Europe and in her colonies began S~-IJIA MMA R))Y ) ) O "-) to decline. After the Mexican trade ceased, the new outlet of Philippine trade was Spain itself. The route Ipasse(l1 via (~ape of Grood Hope. IProfits were now decreased, and trade became more exteiisive as it was iio longei- a mionopoly. Sonie few foreign business houses begran operations, in Manfila but undler many restrictions. The wider market open to Phiflippine products stinmulated ti e production of Nl anila I iemp, sugar, and tobacco for export. In l8337 MAanila became an open lport for the ships of foreign nations. The cultivation of the sitaple export crops 1eceane still more extensive, and coffee and several muinor crops, such as coconuts, madle their appearance. fn 1855 Iloilo and Zamboanga, an(l in 18th3 Cebu, became ports of entry. These concessions to foreign trade were accompanied by a liberalizing of the customs duties. Thle prices o)f the export crops had so increasedl that it became p~rofitable to the planter to iutrodluce the cultivation of them and to purclhase inuch of the rice reqiuircd for the food supply. Thle opening of the Suez Canal greatly stimulated the tradle relations of the Philippinies by shortenini-g the (histance lbetween Europe and thie East, andl gave the Philippine planters a.n opportunity to (compete with the mnoic favorably situate(, countries. Thle stagnant economic coli(lition oif the I. lilippines in time last decade of the ninctecemth century is mndicatedl by the dlead -level of foreigni trade which existed througch that pe-riod (see Chart XXXVNI). The economic adv1ance, of the past (lecade is likewise indicated by an increase in foreign trade, ne ver,)efore approached ini the history of thle IPhilippiines. It has m)een occasionei by the, remiovalI of in (luistrial. rcstricti on5 aiwl -ncouragemnent to eceni monic~ inldepe~ndenlce for tilme ii ioiv idhud And by the, oJpenliig of Ca mnarket (flhe Vi~tcel Stcates) for exmort products. Aorieultmnrc has been most affectedI, bumt mannacture (both factory ano l Iouseho ddl), forestry, m inii gi~, and Commnerce have also p)rog-ressed. ThI ilmdllstrial (friowtlh of the Philippines will continue and will be Imaseol oni its natural re~ources, its labor supply, and tihe -amount of available (capital. 356 ECONOMIC CONDITIONS PRSENT ECONiaMC T'ENDENCIES Houlsehold 1marullfacture depdleit ion agriullture will persist with the peasant-proprietor ailn share-tenlat systeles. The teIllndey is toward eolmmercalism and the collilissioI syster, and the perfecting of old artiIles and the introductioan of new wares for tlle United States market. The growth oIf facetories w ill occur in the larger ports of entry. At tle preselt tilme tle lippie are tlli es re hanlpered by WlVEill ~ COA IN BAOlSlt(I, UNITED STATES From /riglhas's ) COommwrial Geography" lark of ea1 d supply, or other 111euils of obtaining' powenr. IT Spanialrds began to searhl for gold when, I they cculpied thI Isla ids and later itcreSted thelj.selves in oth er i erabl (Gld Iliniig Ibecalne verY 1i1)ortYalI aftdler A Ierican ocuel} ti(ii, bIlt iftil recet tlIle sas rat;le gpeetlativl. At pr[e ' ent thee are somie suclessfllly operated gold Mines aln0 dredgiig- prohpertieS. Should hbonanza strikes" be mane _I_ o(f the Philippine mining regions, the resultant rsll mighlt 111 oup eert ain sars ey fpopllatel regions, ult CAlif6ofidaI Aulstralia., ad Alaska were setttled. Tl1eD a taller mlinr alleals lesiles g old 1in the Pldhfiipnes, aild tieesti haI SIUMMARY 357 also turned to them. Copper, iron, and materials for cement (so 1oich of whlfh is oow imported) exist in largest aIoiaill.ts. Their utilization and the growth of faetories here depend opon a local supply of coal. })08i.s l a * ] eell POE [BO T ioal. tias heeii discovered in several.I locaities in the FIslands andil t hesae it hlas leeatileclred as t id sou s thlfe c t goo. t,.6 6 iniporteltd panse 4 oal, opl)(I.ii wuhicl the Plidppinles Iioly largely depeld. As yet the. attemipts th ieve]() te dicreposits lave not been l suclesis erateil for factories y hbe foiiiil III the waterfalls oii rapids lioit seliously affeteil. y te dry seasfol. Te ele rleral ooils tnas f or idiseovereT d aiVe heen if sumch high gade as tuo itolieate thate teis feter1en6iii wuulil lie too valumable io bhiri as crudue fuel.,i Ili thme umoediliate fut re prola iiy ie aihoig thle llles a gliread followed-the enc protiluetoil of go46ls fur dtlraies- tWur i -oTfAAN FiALLii oR Coisiiuiitionl, such as fitaches afiM Cottoms aiuud thie workimig ntp ft raw materials, ueih as ahaca iilo rope aitil etpra iito coconuit oil. I i forestlry, caitalistict m ithokls Of large prodelt tiiiin wNIll Saoon sulpply duuiiestie denuauids, sid export will fo!llowi. In agrlrti r irlthe tendleney t6i lakrge e lates fii i certain eaui's will prohabh he offset hy the - geera desire of Filipinos E(( )NOMIC CONI)ITI()N S to become in~dependlent small farmers. It may be that ultlin'ately the creation of edlucatedl professional anl artisan classes will result in a movement away from the hand and the consolidlation of small jplots into larger holdings. On large anid small hioldings 1)etter methods anti miachiiiiery are grad uallv obtaining. The agiulua laborer is receiving economic iiidependence awl greater incentive to prodluce, andl the o1(1 bondage forms are breaking (lowil undler education aild en ligh1tei inuent. 6Greater production is taking place un1der the impetus of, plrofitablle market in the United States.1 Th'le value of thiat market and of thie Filipino as an agricultural laborer is lbein(i recognizeti in increased capitalistic agriculture. Foreign capli - tak paiticimlamly from the U3inted States, is being invete~ 10 large elstates jpurchasedl fromt private owners or leased from thle goverinnent. Increased comnnercial product, tints created, is being lnoveli liy an improvedl domestic transportation system; better steaic connections a re being made with foreign countries. The Philippines are a country of great potentialities. Moderm methods, labor econ oinically free, and sufficient capit-'11 are resulting in wider and better use of the abundant natur'd resources awl in greater production of wealth. 1 The U~nited States aninually iiipert~s over '-,600,000,000 worth of rarw troi~jcal prodlucts. APPENDIX I TABLES OF EQUIVALEN T WEIGHTS AND) MEASURZES' 1 [Conforminig to Act No. 1519 of the Philipphie Commnission] CUIT HIZE NC('Y P1 Philippinie Currency — $0.50 UIiititd States Currenicy 1(11( let er Inc' s meters Feet to AMeters I eIel I's Unis o mll- to t elt to meters to feet toto o k) t meters mete s' meters yards meters inch'les inches mIlIIjIes 1 25.4001 0.03937 2.54001 0).3937 0.304801 3.28083 0.914402 1.093611 1.600935 0.621317 2 50.8001 0.07874 5.08001 0.7874 0.609601 6.56167 1.828804 2.187222 3.21869 1.24274 3 7O. 2 W)2 0.11811 7.62002 1.1811 0.914402 9.842,50 2.743205 3.28083:3 4.821804 1.86411 4 101.60)02 0.15748 10.1602 1.5748 1.219202 13. 1213 33 3'). G57607 4.374444 6.4373 9 2.48548 5 127.0003 0. 196857 12.70003 1.9685 1.524003 16.40417 4.572009 5.468056 8.t t674 3.10685 6 152.403 0.23622 15.24003 2.3622 1.828804 19.68500 5.486411 6.561667 9. ()690 8 3.72822 7 177.800 0.27559 17.78004 2.7559 2.13360)4 22.96983 6.400813 7.69-5278 11.26543 4.34959 8 203.2004 0.3146 20.32004 3.1496 2.438405 26.24667 7.315215 8.748889 12.87478 4.9 709 6 9 228.6005 0.355433 22.86005 3.543.3 2.743205 29.52750 8.229616 9.842_500 14.48412 5.592:33 ARHEAS Square SqureSlae (mare Square, Square Square Square inhs et- den9- Sul la'uie io cei, feet to de ards meters t mersAc(res lice Units to mtr qare mees to to to I(el ohe-arso sitiare to sqt to square to oti ciiiti- square deen squatre s 1uare slicire kilo- squaier tae (i W hs meters in(lies mees feet mtr r(s Meters uiules 1 6.452 o.isso,5 9.29(0 0.10764 0.836 1.196 2.5900 0.3861 0 lt047 2471 2 12.903 0.3100 18.581 0.21528 1.t72 2.392 5.tIM~t 0.77-22 0 8094 4.942~ 3 19.355 0.49t)0 27.871 0.32292 2.508 3.588 7.7700 1.1583 1.'141 7.413 4 '25.807 0.6200 37.161 0.43055 3.344 4.784 10.:l6tS 1.5444 1.6d87 9.855 5 228 0.7750 46.452 0.53819 4.181 5.980 12.95001 1.93ts 0 01 '58 6 38.710 0.9300 55.7 42 0.64583 5.0t17 7.176 15.54t00 2.316 GO 242~81 14 246 7 45.161 1.0850 69.032 0.75,347 5.85:3 8.:172 18.130)0 2.7tt27 28982 17.'9) 8 51.613 1.240)0 74.323 0.86111 6.689I 9.568 20.7200 3.0888 3.2:175 19.768 9 58.6 1.3950 83.613 0.96875 7.525 10.764 23.3100 3.4 749 3(4i2'ii 1 By Dr. Alvill J. Cox, IBureau of Science. 359 ECONO)MII' CONDITIONS MASSES -` --- ----, ---—? --- —-—, --- —-- ----- ----— i -----—; ---- -— 1 2 3 4 5 6 7 8 9 Avoirdupois Epolllds to kilograinis 0.45359 0.90719 1.36078 1.8143 7 2.26790 2.72156 3. 17515 3.6i2874 4.08233 Kilograms to avoi rdulpois poll in ds 2.20432 4.40924 0.61:387 8.81849 11.02311 13.2277:3 15.432386 17.63698 19.84160 Quintals to avoirIdupois pollOlds 220.46 440.92 661.39 881.85 1,102.31 1,322.77 1,543.24 1,763.70 1,984.1 ( Metric tolls to avoi rdupois 2,204.( 4,409.2 (,61 '3.9 8,818.5 11,023.1 13,227.7 15,432.4 17,637.0 A rrobas too kilograIms 11.500 23.000 34.500 46.000 57.500 (;9.000 8(0.500 92.000 Kilograims to 0.0870 0.1739 0.2009 0.3478 0.4348 0.5217 0.6087 O. (6)956( Picllls (or picos) to kilograms 63.250 126.500 189.750 253.000 310.250 379.500 442.750 506. 000 569.250 Kilogramis to pieuls (01o pi(cs) 0.015 -81 0.03162 0.04743 0.06)324 0.07906 0.09487 0. 11068 0.12649 0.14230 19,841.6 1083.500 0.7826 =.. — -..............................=-.-=.__..._._....,...... _.___............ (, A PAITI' E S Units 1 2 3 4 5 6 7 8 1) (Gallons to liters 3.78543 7.57087 1. 35630 15.14174 18.92717 22.712061 26.49804 30.28,48 34.0689)1 Liters to gallons 0.26417 0.528,34 0.79251 1.05(;68 1. 32085 1.58502 1.84919 2.113.'( 2.37753 Bllshels l iters 0.352:39 0. 70479 1.05718 1.40957 1.7601960 2.114.360 2.46675 2.81914 3.17154:11(t,lit(ers to nbusliels 2.8377 5. (755 8.5132 11.3510 14.1.887 17.0265 19.8642 22.7019 25.53 97 (I all tifs to liters 3 (i 9 12 15 18 21 24 27 Li ters to gailtas 0.33 0.;7 1.00 1.33 1.67 2.00 2. '3 2.617 3.00 ('Cav.vals too liters 75 1 50 225. -300 375 450 525 600 (675 liters too ('1V,1 1 ) S 0.0133 0.0267 0.0400 0.0533 0.00667 0.08()0 0.09338 0.10(37 0.1200 - -__ __- I APPENDIX II [Figures on which certain of the charts are based] TA BLE A PHIL IPPINE: RI(C I Mi p TS Quantity Value in Quantity Nalule inl Q(2antity Value in Year in 1,0(0),000 10,(X) Year i ii,(0) 100N 1 0 1,(X) Yea in 1,000,00( 10,()0 kilos oll s ilos oolllars kil ( s kilos dollars 1877 23 IO(6 1889 85 38(6 1!01 178 549 1878 23 136i 1890 71 157 1902 21 6(i57 1879 594 249) 1891 72 182 1903 307 1006 1880 13 47 189)2 (2 107 1904 32! 1154 1881 5 29 1893 41 (;2 1905 255 745 1882 9 50 1894 44 56 1!90( 138 437 1883 54 143 18() 5 11 2 1907 112 366( 1884 108 283 1896 198 1 S 62 586 1885 42 123 1897 1(90 137 425 1886 63 204 1898 1910 184 532 1887 79 181 189)9 58 1 93 191 203 656 1888 82 199 1900 109 311 )1912 260 105( TABLE B ABACA EXSP IOIS Pri(ce P ri e Quantity in Vle r kilno Quantity ill pe erkilo) Xea,' kilos (celets kilos (clents gold) gold) 1877 37,291,312 $ 3,221,(!)99 8.(i 1894 96,4!97,799!) 7,240,938 7.5 1878 45,481,896 3,599),013 7.9 1895 107,333,95)1,521,509 6.1 1879 39,443,414 3,332,698 8.4 1880 50,850,77) 4,820,058 9.4 1899 5!),840,368 (,185,293 10.3 1881 59,388,4.59 7,908,874 13.3 1900 76,708,9(3( 11,3(9)3,883 14.8 1882 45,688,865 6,102,996 1 3. 1901 112,215,168 14,453.110 12.8 1883 49,154,803 6,583,252 13.3 1!902 109,9(68,7!92 15,841,316 14.4 1884 50,775,102 6,236,393 12.2 1903 132,241,594 21,701,575 16.4 1885 53,072,265 5,49)5,300 10.3 1904 131,817,872 21,794,960 16.5 1886 48,243,691 4,337,838 8.9! 1()905 116.732,848 22,146,241 19. 1887 74,382,803 8,157,310 10.9 190( 112,1(5,384 19,446,769 17.3 1888 81,690,267 8,105.289 9.9 1907 114,701,320 21,085,081 18.3 1889 72,210,738 10,399),783 14.4 1!)08 115,829,080 17,311,808 14.9 1890 47,229,770 6,927,249 14.6 190(9 149,991,8(i(; 15,833,577 10.5 1891 84,908,002 10,327,905 12.1 1910 170,788,629 17,404,922 10.1 1892 70,491,481 6,884,515 9 7 1911 165,649!.626 16,141,3401 9.7 1893 93,742,824 7,698,420 8.2 1912 154,047,000 16,283,510 10.5 361 362 ECONOMIC CONDITIONS TABLE C PARTICULARS OF SHIPMENTS OF COPRA 1 (Not including South Sea, Zanzibar, and other countries of production, for which statistics are not available) 1896-191( Sangir, Singarontalo, Penang ITols Tons Tons Tons Tons Tons Tn onsrns Tons 1896 19,511 8,770 6,000 5,778 39,440 3,677 33,4608 116,644 1897 5.630 4,076 4,000 2,678 30,5:)3 7,831 46,290 101],098 1898 3,086 8,226 6,000 5,515 35,303 37,192 15,094 110,476t 1899 46,011 12,012 10,486 3,900 52,182 23,905 12,253 160,74!9 1900 35,257 13,9882 10,296) 5,487 28,214 18,059 57,3(1 (18,6(5( 19001 27,i88 12,1 51 10,482 4,737 20,111 21,9160 28,854 131 9)39 1902 45,129 28,045 17,6(98 5,3f4 50,490 18,740 45,030 210,496 1903 15,406 9(,799 11,()53,;231 52,420 34,713 78,874 209,09!( 1904 29,71( 9,)125 11,746),120 42,070 33,578 38,383 170,738 1905 107,709 25,961 19),514 (6,580 58,915 1 7,740 49,715 280,134 1906 52,000 9,041 14,481 0,638 329,215 21,212 57,!00 201,087 1907 69,666 17,248 16,080 8,6t94 55,120 17,398 53,531 237,737 1908 94,740 21.591 24,047 11,927 76,550 36,457 89,6(98 12,331 367,341 1909 68,217 19,2506 20,706 9,390 71,105 34,520 103,669 28,026 354,889 1910 100,578 30,880 27,298 10,47 102,10 35,713 118,493 24,146 450,197 TABLE D PIILIPPINE COPRA 2EXPORTS2 Fiscal year Kilos Value Price per kilo 1899.... 14,047,239) $ 656,870 $0.046 1900.. 37,081,405 1,690,897.045 1901... 52,529,878 2,648,305.050 1902..... 19,686,785 1,001,56.050 1903..... 97,629,523 4,472,679.045 1904..... 54,132,951 2,527,019.046 1905... 37,556,575 2,095,352.055 190....... 66,157,993 4,043,115.061 1907.... 49,081,978 4,053,193.082 1908...... 76,419,677 5,461,680.071 1909)..... 105,564,781 6,657,740.063 1910.... 115,284,851 9,153,(51.079 1911..115,602,012 9,899,457.085 1912..... 169,342,000 16,514,749.098 1 Compiled by L. M. Fischel & Co. 2 Customns Statistics. APPENDIX II TABLE E PHILIPPINE SUGAR EXJPORTS1 Year Value Year Value Year Value 1877 $ 8,309,585 1888 $ 6,274,385 1902 $ 2,761,432 1878 7,4961,824 1889 9,0q98,548 1903 3,955,828 1879 6,840,510 1890 7,2660,798 1904 2,068,507 1880 10,265,788 1891 5,698,949 1(05 4,977,026 1881 11,035,833 1 892 7,76(6,326 1906 4,863,865 1882 7,972,780 1893 10,370,574 1907 3,934,460 1883 10,546,185 1894 5,474,422 1908 5,664, 666 1884 6,013,982 1895 6,068,485 190(9 4,373,338 1885 8,646,735 18(99 520,935 1910 7,040,690 1886 7,016,348 1900 3,000,501 1911 8,014,360 1887 6,153,511 1901 2,293,058 1912 10,400,575 TABILE F TO)TAL PHILIPPIINE TO(BACCO( EXPO(RTS -~~~~~~~~~~~~~~~~~r Year Quant;ity in Prce kilhs Year L"Quantity in kilos Price 1854 1855 1856 1857 1858 1860 1861 1862 1863 1864 18(65 1866f 1867 1873 1874 1875 1876 1877 1878 1879 1880 1881 1882 1883 1884 4,205, 1(63 2,523,484 5,476,729 6,298,243 3,838,303 938,(663 1,232,501 3,326,731 3,791,830 2,804,577 3,168,431 3,951,6(29 4,805,023 2,685,029 4,541,889 5,641,968 701,514 2,165,734 954,)00 10,706,001 2,118,571 2,784,334 7,343,390 4,16(0,084 2,046,563 $1,1 51,226 878,390 1,490,131 2,595,462 1,713,477 1,183,142 1,200,230 1,578,117 2,902,139 1,979,497 3,843,971 4,700,302 4,788,575 2,314,752 3,47(6,816 3,412,187 1,089,817 1,175,68(f 1,882,479 1,190,779 2,228,082 717,031 2,348,162 2,587,948 1,586,004 1885 1886 1887 1888 1889 18(}0 1891 1892 1893 '1894 1895 1899 1900 1901 19(02 1903 1904 1905 1906 1907 1908 1909 1910 1911 6,804,,54 5, 916 0(66 5,01(;,762 11,429,456 10,3(8,794 10,205,126 10,315,155 13,732,733 12,029,686 8,163,482 11,381,921 $2,291,320 2,009,095 1,558,260 2,450,552 2,254,881 2,469,634 2,151,137 2,535,000 2,433,700 1,575,544 2,2 76,092 2,212,714 2,181,279 2,217,718 2,501,4f17 1,881,7;0 2,013,267 1,996,038 2,38(,890 3,429,194 2,714,546 2,792,253 4,637,495 3,605,567 ----— x- -— -^ ---- — --- I --- —-- 1 Census Statistics. E1( )N()5I 'I ( CO)NDITIO(NS TABLE G( EXpPORTTS OF P)IIIIPIINE, lTOBACCO ( LiEAIF YearQua tity ini a ric l leer p Q.itity in ie per kilos kilo ilos kilo 18r4 4,205,163 $ 789,720 1885 5,831,379 i1,285,567 $0.220 1855 2,523,484 467,610 1 886 5,09,18 759,542.148 1856 5,476,729 1,136,1611 1887 4,289,043 (640,36(.149 1857 6,29)8,243 1,455,171 18889,741,651 1,341,()40.137 1858 3,838,303 876,551 1889 9,138,61 1,404,372.1 3 18600 9(38,663 157,382 1890 8,819, 589) 1,321,07'3.149 1861 1,232,501 226, 963 1891 ), 68,318 1,259!),230.138 1862 3,:326,7831 1,086,018 1892 12,136,370 1553,811.128 1863 3,791,83 0 1,086(,018 893 10,744,59)3 1,464,091.1 3 1864 2,804,577 1,241,977 1894 7,019),117 702,6i41.100 1865 3,1(8,431 2,216,843 1895 10,059,422 1,11,716.11) 18i( 3,951),629 2,540,571 18982,01(,757 450,750.223 1867 4,805,023 2,99,117 1899 6,05(.),115 91 7,536.151 1873 2,1685,029 1,414,686i $0.526 1(900 8316,277 989,439.118 1874 4,.541,889 2,210,33.48( 190 8,1S36127 956,451.117 1875 5,641,9!)68 2,471,432.438 192 824,(650.083 1876( 701,514 369,972.527 1903 9,410,887 9 13,815.097 1877 2,1(65,7:34 35(1,437.164 1904 8,682,859 1,031,832.118 1878 954,600 498,832.522 1905 7,868,280( 1,011, 1_2.128 187(9 10,706,001 129,0.30.012 1 90(1 9,738,885 1,468,839.150 1880 416,115 331,462.7196 1907 13,668,275 1 973,305.144 1881 1,513,185 593,941.392 1908 10,552,890 1,5-)2,123.150 1882 5,1658,615 1,960,123.346 909 10,729,159 1,674033.1 56 1883 3,a366,139 1,242, 138.369 1910 9,920,054 1,629},820.164 1884 1,24(,470 483, 565.387 1 91 12,487,152 1,868,723.149 TABLE II PHILIPPINEI. (;IAR EXIPORTS To all (Co iit ries 'Io the 1 United States Fiscal............. ___ _ yeAir Thousands Vaaloe P(lisan p lr iiousands Value Priie Ior 1899) 167,99)(1;$1,294,65:3 $ 7.71 1,810 $ 7,162 $ 3.(96 1900 219,098 1,18)9,942 5.43 532 1,885 3.54 19)01 14(),496 1,250,175 8.3(6 1,335 5 027 3.77 1(02 225,420 1,666 ((,822 7.39 46(4 8, 539 18.40 1903 11 9,721 9(47,246) 7.91:332 3,866 11.64 1904 104,803 96(18,86() 9.24 (9( 1,7()5 18.70 1905 106,571 9)( 8,022 9.(08 728 6, 79)0 (9..:'33 1()06 93,136 904.250 9.71 1,288 2 3,405 18.17 1907 116,71 19 1,051,621 9.01 1,59)3 26,067 16.36 1908 117,564 1,084,078 9.22 1. 3(;5 21,781 15.9!( 1909) 116,278 1,083,702 9.32 21696 43,818 1(6.25 1910 196,192 2,973,630 15.16 88,181 1,9192 909 22.60 1911 132,217 1,700,712 12.86 27.936 717,907 25.70 1912 175,320 2,660,061 15.17 71,973 1.619,326 22.50 APPENI)IX I 365 TABLE I VALUE OF TIMIPO)ITIS AND ElXPO)TS )OF THIE PIILIPPINE SI,SLANIDS FOR T, (CAI, ENI1AR YAEAI S 1872-1912 IN 100()),())( IARS Y-earll Importll sl'tS 1872 230 1873 1I5 1874 138 1875 119 187( 1 10 1877 184 1878 157 1879 15 1880 29 1881. 185 1882 190 1883 180 1884 18 1885 1 (; 188(0 157 1887 135 1888 157 1889 182 1 890) 133 IExlports T o'Ital 170 400 240 3875 174 312 185 304 13(; 24(i 155 8933 158, 315 10:325 211 440 219) 404 184 -74 230) 41(i 198 884 205 35 201 8 358 19 4 329 1 94 8351 257 439 210() 8 379) Ye\ar I m1)ports 189)1 1 8 1892 163 1 893 1 59 1894 142 1895 131 1899 1.1 1!)00 20(; 1 )0(1 303 1!)02 320 1 0)()4 3-, 1!()5:2) 1!)0; 258 1)07 288 1!08 309 1 )09 278 1)10 371 1 9)11 498 1-912 545 Exports Total 209) 377 192 355 222 381 10;5 307 188 319 140 277 198 394 232 5835 24 5(;534 8 %)2 %;8 4 332 002(;3 831 9 5 77 8:17 (1{25 328 (;837.310 588 397 7(8 -3}98 89( 503 10]48 NOTE,. I illess othellrwise stated, the figliirs inl Appelldix II ar1 tiakeln fro(, the Plililppin ('eists, 190%), and tlhe A.1.nlol,epor! ofItll I.sular Co(llc('/,r of ('u' Is, 19!)12. TABLE J PHILIPPINE FOREIG(N TRADE BY COUNTRIES (In thousands of dollars) TOTAL IM5PORTS United States... United Kingdom.. French East Illdies. Australasia Japan....... Germany.. China anid Hongkoln Spain.... France...... Other.... 1899 1,151 2,247 173 11 9 851 5,569 2.518 2264 2641 1910 1,658 3,946 544 260 1,211 8,338 2,091 486 2.067 1901 1902 2.856 3,787 6956 14,401 1,914 3,098 442 488 806 775 2,135 2.147 6,681 11,683 1 2,167 2.219 1,679 1,480 i 4.6401 1.951 1903 1904 3.773 4,633 4,2991 4128 4,599 9,205 589 1,101 607 803 1,869 1,601 5,132 13,617 2,417 2,009 1,154 1,180 8.53(9 4.944 1905 5,761 4,848 5,969 1,366 1,018 1,499 3,150 1,931 832 4.505 1906 4,334 5,224 3,854 1,524 657 1,361 2,959 1,787 834 3.265 1907 5,155 6,458 3,474 1,612 1,626 1.655) 3,066 1,757 851 3.132 1908 1909 1910 1911 1912 5,079 4,693 10,798 19,8120,770 6.1101 5,409 5,657 6,290 5,509 5,746i 4,275 5,455 7,416 9,575 2,046 2,499 2,302 2,720 3,126 1,1121 1,441 2,242 2,475 3,234 1,934 1,731 1,978 2.360 2,389 2,963 2,619 3,206 8 2,891 2,777 1. 654 1,340 1,387 1409 1,254 821 947 1,032 1,214 1,276 3.453 2.840 3.010 3.239 2.640 Total.... 13,18120.601 l302 76 32,02'9 32,978 33,221 30,879 25,79''28,786 30,918 27,7914 37,067 49,833,54,550 TOTAL EXPORTS United States... 3,541 3,635 2,572 7,872 9,503 11,103 15,668 11,579 12,079 10.332 10,254 18,794 16,814 21,619 United Kingdom.. 2,686 6,241 10,705 8,2801 7,400 10,123 8,2!91 7,500 8,749 8,871 5,847 5,844 7,548 7,481 France..... 534 1,392 1,934 955 3,004 2,127 1,492 2,703 2,690 3,906 4,261 6,484 6,686 10,071 Spain...... 1,078 1,320 1,655 870 758 966 1,434 1,803 1,790 1,720 1,990 1,973 2,179 2,485 Hongkongand China 3,130 5,859 2,716 6,094 6,254 2,782 3,368 2,959 4,587 3,965 4,239 2,259 1,545 1,407 Germany.. 52 98 82 175 128 107 130 459 2,690 602 492 891 647 1,752 Other....... 3,619 1,276 3.58 399 6.103 3,018 1,973 4.916 1,137 3,433 3,961 3.472 4,359 5,504 Total.... l.| 14,643222 2 4330 1,8230226 132,356 31.919 33,722 32,829 31,044 39,717 39,778 150,319 TABLE K PHILIPPINE IMPORTS FROM ALL SOURCES1 1907 1908 1909 1910 1911 1912 ARTICLES Per i Per P Per Per Per IAmount cent of Amount cent of Am ount cent of Amount cent of A mo unt cent of total total total total totaltotal ------- i ------ I ----- I ------- t a I Cotton and ilanu- I factures...... 8,416,246 28.3 8,011,834 26.0 6,944,978 25.0 8,522,307 23.1 $10,395,480 20.8 9,344,945 17.1 Iron and steel, eandl l mniianufactures. 2,544,992 8.7 2,164,707 7.0 1,933,032 7.0 3,305,695 8.9 5,887,227 11.8 6,031,603 11.1 Meat and dairy prod- | t uets........ 1,704,486 5.7 2,029,650 6.5 2,176,943 7.8 2,377,466 6.4 2,900,028 5.8 3,541,274 6.4 Flour........ 889,174 3.1 1,044,570 3.3 1,172,322 4.2 1,534,442 4.1 1,42,279 2.9 1,761,398 3.2 H Books, etc......;. 116,207 0.4 165,193 0.5 166,750 0.6 267,589 0.7 497,106 1.0 355,520 0.7 Leather anld manu- factures...... 479,134 1.6 671,962 2.3 494,138 1.8 760,463 2.1 994,191 2.0 1,025,807 1.9 Illuminating oils.. 790,447 12.6 806,112 2.6 614,334 2.2 1,142,250 3.1 998,678 2.0 1,207,180 2.2 Paper and manufac- tures....... 50S,754s t 1.7 '526,434 1.7 457,543 1.6 638,833 1.7 816,913 1.7 758,044 1.4 Rice........ 3,662,493 12.3 5,861,256 18.9 4,250,223 15.3 5,321,9621 14.3 6,560,630 13.1 10,569,949 19.3 All other products. 10,553,8899,5.6 _ 9,637,027 31.2 9,584,219 34.5 13,190,918 135.6 19,361,190 38.9 19,954,260 36.7. --- —---- o "49,83,722 10' ''54,549,980' 100 I $,665,822 100 X $30,918,745 100) $27,794,482 100 $37,061,925 100 $49,833,722 100 $54,549,980 100 1 Compiled from statistics in the Bureau of Customs. INIEX Abaca, 6, 7, 66-81, 148, 182, 197, 204, 205 Advance (nd debt system, 68, 92, 122,180,192, 193, 1) 19-202,250 -251, 283. See (lso IBonlded debtors Agrve fibers, 73, 125-127 Agiriuclttural implemellnlts, of Ncritos, 3; of iSubanuns, 5; of Mounta(in leoples, 9, 10; of Filipinos, 27, 38, 3!, 40, 54 Agricultural l nmafcinery, 28-29(, 39 -40, 41, 46-47, 158-162, 246 Agriculture, of Ne/ritos, 3; of Sublancns, 5-6; of Mountaino Peoples, 9-12; of Filipinos, 25-257, 301, 355, 357; location a(l character of, 136-14)3; odlv(nce it, 144-171, 336 Alcoll(iic beveral(gets, of Subantns, 6; of Filip.inos, 60,!3, 231. See.also Beverages Amusements, of Negritos, 4; of Stbanun1s, 8; of Filipinos, 237 Animals, 259-271. See also VWork animnals Aret, 172 Arrowroots, 58 ArtesiCn wells, 149 ArtisaIns, 308 Athletics, 23!9-240 B1alantie of tra1le,.316( IBanuanas, ol0 1 129, 130 Bainks, 222-225, 312, 342-345 Batter, 1; of Ne ritos, 4; of Siblo,1n(1, 6, 8; of Filipinos, 336-339, 340 lBeans, 12, 25 50, 57, 58, 62-.63 Beasts of lbrdlen. Scc \\ork allinmals Beetles, 86-87 Beriberi, 26 Beverates, of Strban un.s, 0; f Mou)ntain Peoples, 16-17; of Filipinos, 60 Bolllded debtors, 199-202, 246-249! Bontoks, see Mountain Peoples Bounty system, 98-101 Brokers, (8, 77, 122, 296-298, 301 Bud rot, 87 Bugnllos, 192 Busian system, see 1enlt system Buyers, see 1Brokers By-1product, 305 (Caciqluism, 23, (8, 215-216 (alamllities, 145 (Cilote, see Sweet potato Capital, 245, 311-312, 355 ( Cpitalists, 43 C;arabao), 259-260. See also A'Work animals (Carboiydlrates, (62 CaIssava, 58, 134 (1Ltcl, (livision (f, 274 Cattlte, 2(60 (6mnipa ca, 133 (hinese, 105, 255, '332-'3316 (Citirous fruits, 129, (ivilization, 21 (lea rilos,r 8 18, 76. See a(ls0o Kaigin (linmate, 138 Clot hilfg', of Negritos,, 3; o f S1ubantus, 6(; of Moulntat(i Peoples, 12; of Filipinos, 193, 236 C(mal, 352, 357 Cocktigliting, 238 Co(contt. 82-93, 197, 204 Coconut ill, 82 83 Coffee, 134, 155 Co.on, 5 (Coir filer, 82 (omlmercel 22, 117, 318- 345; f Ne gritos, 4; of S)ub(tanus, 8; of Mloount(tin Peoples, 18; of Frilipinos, 314-324, 354 355; ldomestic, 322 -323. See also Barter Counninal labor, see G(roup labor (Contract labor, 179 —183, 255-257 Coiperation, 43, 110, 181. See also (Group labor 370 EC()NOMI(C (OCOND)ITIONS Copra, 82-93 Corn, 5, 12, 25, 35, 48-55, 61 Cotton, 6, 7, 14, 155 Credit, 335, 342-344 Crop, division of, 194, 196-198, 204 -206 Crops, cultivation of (by Subanuns, 6; by Mountain Ieoples, 10; by Filipinos, 27); diversity of, 61, 80,167 -170; introduction of new, 135; rotation of, 162 (by Mountain Peoples, 12, 55, 63) Cultivation of crops, by Suban7uns, 6; by Mlountain Peoples, 10; by Filipinos, 27; systems of, 178-212 Death rate, 227-228 I)ebt and debt systems, see Advance and debt systeml, Bonded debtors, Kas'luna systemi Disease, 233-236 )ormestic animals, of Su)banl.s, 6; of Mlountain Peoples, 12; of Filipinos, 259-264 I)omestic commerce, 322-323 )roubgllt, 35, 37, 43, 52, 67, 80, 87 -88, 131, 146-152, 170 Dry farmilg, 147 )ry seasmn, 26, 43, 46, 58. See also )rought Education, 207-211, 208, 216, 242, 245. See also Ilndulstria i ist ruction Emigration, see IImigration Essential oils, 133 Estates, see Proprietary systen Exchange, 313-345. See also Comlmnerce Export crops, 36-37, 38, 66(-135 Exports, see Foreign trade Factory system, 302-307, 356(. See also Iltlustrial revolution Family, 226 Famine foods, 60-62 Fermented beverages, see Beverages Fertilizers, 163; used by Moluntain Peoples, 10; used by Filipinos, 43, 55 Fiestas, 182, 194, 198, 240 Filipinos, 23 ff. Fish, 25, 26, 50, 57, 230, 272-278 Fishing, by Negritos, 2; by Subanuns, 6; by Filipinos, 272-278 Floods, 142, 145 Food, of Negritos, 2-3; of Subanuns, 5-6; of Filipinos, 25, 50-53, 58 -65, 62-63, 17), 181, 193, 228-232, 275-278 Food crops, 25-65 Foods, rice, (orn, and wheat as, 25 -26; supplementary, 52, 57-58; of luxury, 58-62; famine, 60-61 Forage, 265 Foreign trade, 315-322 Forestry, among Mountain Peoples, 17; among Filipinos, 279-288, 355 Free trade, 112, 115 Fruits, 58-60, 100, 128-130, 225 Gambling, 238-240 Goats, 264 Granaries, of Subanuns, 7; of Mountain Peoples, 12; of Filipinos, 32, 53 Group economy, primitive, 22 (Group lalbor, 21; among Subanluns, 6( among Muountain Peoples, 10, 18; among Filipinos, 43, 198, 220-224 Guava, 129 Htaciendas, see Proprietary system Iandlicrafts, see iousehlold manufactutre IIarrow, 159 ilawaii, 256-257 IHenequell, 125 Hlired labor, 186 IIomesteads, 213-214 IHorses, 261-262 Hlousehold nmaifacture, 145, 186, 187, 206, 208, 295-301, 306-307, 350, 356. See Industrial revollutiol Hlsousing, see Shelter 11umInn needs, 20-23 Hunlting, by Negritos, 2; by Sutlanuns 6; by Mlountain Peoples, 9) If ga(os, see Moiutain Peoples I gorots, see Mountain Peoples IIang-ilano', 133 Imm11igratiolln, 176, 219, 290-294 Inports, rice, 33-38. See also Foreign tradle Improvidence, 5, 32, 36 Income, 186, 1)4, 202, 207 Industrial instruction, 245, 300, 309 Ind(ustrial revolution, 349-354 Insurance, 222-225 Interest, 122, 192, 204, 215, 342-345 INI)XN o71 Interleasing share system, 207-208 Iron work, see Metal work Irrigation, 14(-152; of Subanzuns, 10; of Filipinos, 26, 37, 43-44 Kaingin, 3, 5, 9, 26 Kapok, 127-128 Kasama system, 191-203 Labor, 217, 355; division qf, 21, 22, 304, 313 (among Negritos, 3, 21; among Subanuns, 6, 22; among Mountain Peoples, 10, 15, 16, 17; amongl Filipinos, 304); on share, 28, 68 (see Share system ); dignity of, 36, 243-246; agricultural, 102, 131, 172-215, 217-257; co:tract, 179-183, 255-257; hired, 186; village, group, fraternal, or companionship, 217-225; in common, 217 -225; efficiency of, 227-242; manual, 243-246;, reward for, 246-250; incentive to, 250-251; 1moility of, 251-254; planttion, 254-257; factory, 307-310 Labor unions, 309-310 Land, 172; pacels of, 143, 172-178, 184, 194, 349-354; tenure of, 172 -216, 218-220; owners.hip of, 173; titles to, 214; diminishing returns from, 214 Landlords, 177, 188-207, 211 Landowners, large, 36, 68, 77 (see also Planters, Proprietary system, Caciquism); small (see Small farmers and Peasant proprietors) Leaseholds, see Share system Locusts, 156 Looms, see Weaving Lumber, see Forestry Machinery, 78, 90, 103-105, 110, 124. See also Agricultural machinery an1d Factory system Maguey, see Agave fibers Malnutrition, 26 Mango, 129 Manorial system, 189-190 Manufactures, 22; of Negritos, 3; of Subanuns, 7; of M.ountain Peoples, 14-16; of Filipinos, 355, 356. See also Manlufacturing tad Ilouseholdl manufactures Manufacturing, 289-312 Markets, 112, 115, 330-336 MIeat supply, of Negritos, 2; of Subanuns, 6; of Mountain Peoples, 12; of Filipinos, 25, 50, 230, 269-270 Merchants, 22, 333; among L ountain Peoples, 18; camong Filipinos, 18, 32, 122, 301, 332-336 Metal work, of Subanuvns, 7; of Mountain Peoples, 15, 16 Middle class, 212 Mliddlemen, see Brokers Migrations, of Negritos, 4; of Su(an1uns, 5-(6; of Mlountain Peoples, 14; of Filipinos, 28, 47, 251-254, 2!91-295. See also Immigration Milk, 228 Millets, 58 Milingl, Iby Igjorots, 17; by Filipinos, 355, 36 35 7 Mo(ney, 22, 118, 330; of Mountain Peoples, 18; of Filipinos, 338 —342 Molopoly, 76, 97, 116-119, 122; price fixed by, 347 Mountain agriculture, 9-10 Mountain l'eoples, 9-19, 166, 218 Mulch, 147 Musical instruments, of Negritos, 4; of Suba(nuns, 8 National ec(onomiy, 23 Nelgritos, 2-4, 21 (Oranuges, 128 Ornalllllts, of Negritos, 3-4; of SubaInulns, 6, 8 1'almn starches, 58, 61, 62 Palcels, size of, 143, 172-178, 184, 194, 349-354 Peasant prIoprietors, 183-187, 207, 208-215, 226. See also Small farmers P'toples, primitive, 1-23 Pests, 38, 53, 67, 86-87, 133, 134, 153-158 l'ig, wild, 87, 1-31 l'inealpples, 128, 129 l'lantations, (68, 77. See also Lahr Plow, 159 l'opulation, density of, (60, 289-295 l ',ttery, of NeA(jgritos, 4; of Subanuns, 7; of rMountain IPeoples, 15 l'oltry, 225, 26;4 'o(wer, 109, 30)7, 352, 356-357 'rice, 32, 6(9, 70-76, 78-80, 92, 93, 122, 125, 131, 326, 345-346 372 ECO10{NO)MI CO()NID)ITIONS Private owniership, see Land Production, systems of, 21-23; cost of, 39, 107; f1actors of, 9l)i; division of, 313 Plofit, 39, 117 192, 335 Proprietary system, 178 —183,208 —21.5 'Irotein, 25, 57, 62 I'ublic la(dts, 213-214 Quality, illrease ill, 88, 100, 116, 119) —124 Railroads, 92, 326 Rtaitlfall, 138 Rainy season, 26, 46 Red weevil, 86i Rent, 187, 196. 198, 204-206, 219 Rent system, 187-188, 208 Responsibil ity, 210 Rhinloceros beetle, 86 Rice, 25-47, O 52, 021 2, 1!62, 187, 19- 197, 19.!), 218; c tultivttion1 of (by Sut1lbanlns, 5; by Molntaint Peoples, 9 -10; byf Filipinos, 26(; 27, 38; see also Ag(ricultulral iimi)lemelts aml( M:achillery); fermentation of, f(; (s 1mo1ley, 18; food value of, 25 -26(; m11illill of/, 32; thlrelshing of, 32; con.sumptllio1 of, 33; inmorts of, 33-38; short crop.s of, 38 (Cse also 1)1r g'llIt); il( crca iin p.rodulction of, 38 47; yieldl of, 44; extensive cdltivattion of, 45 47; price qf, 48 Rice colonies, 47 Rice fields, of 3ll ota(lil Peoples, 9 10; of Filipinos, 27 Rice lharvest, (a11o01. MioI(ltli. JP'coples, 10; (aonl( F'ilipinos, 28, 3(, 18;, 250 254 Rild(terpest, 35, 38, 2(60-271 Roads, 324-325 Rottation of cr(o)s, 162; by Mllont(tin Pcoples, 12, 55, 63 Rtlber, 130-132 S:()o, 134 Salt, 17 Salitttioll, 225, 233-236 Saviliogs, of 81u1 )(lban s, 7; of Filipinos, 186, 223, 250, 311 Scattered holdings system, 203 Schools, 65 Seed, selection of, 42-43, 54, 1604-1(17 Servanlts, see Labor and Bol(ledl lebtors Share systems, 188-207, 208-215, 274 Shelter, of Negritos, 4; of Subanut7s, 6(; of lMouLtain Peoples, 14; of Filipinos, 193, 232 —230 Silk, 132 Slaves, 97, 102, 199!. See Bonldedl ldebtors an11(1 Ksaall, systeml Small fLarmersl, 3, i7, -8, 77, 120 — 122. Sec tlso.'easa-lt p)roprietors and Teallnllts Soil, 136; exhaustion off, 162-164 Specula tion, 131 Splinning, among ttr /uba1t.1.s, 7; armolng 0Monlltail IT'eoples, 14 Stanl(lard of living, 228-242, 294 Starches, 133 Storag'e, se (Gra(1aries Subanuns, 5 - Slg-arl, 1(1,;60, 95 —114, 178 —181, 197 Sweett potatoes, 9, 1 2, 57 Swille, 201 202 Telnants, 177, 188-207. Scc also Small1 fa rmiers and Shatre system 'le111re, see ILanid teitre Telrkiaaln, 1 92 Tobacco, 5, 0, 15, 15-124, 183, 189 Tob()acc( o m1oiopoly, 35 To)wii ec((ionly, primlitive, 22 ITows, 22, 350 Trade, sece IBarter andl (C)lmnlmrce Traders, '33(-339; Waldcleric-, 18,:3'(1-3338 Tran1sportati(,1 311, 324, 32(;!f Subanunts, 8; of Moountaih n PIcoples, 16, 18; of Filipinos, 39, 69, 139, 324-'30; (1enters o)f, 330-332. Sec (also Raillrads, Itoatls, WTaterways Tuba,l 92 'lT'uriulluas, 222-224 '1yphools, 88, 131, 138, 145, 151 Irltan, see Illhinoero(0s lbeetle Vegetalles, 60, 6;2, 64-(5, 182 Village lab.or, 217 Volcainoes, 145 IND)EX 1.73 Wages, 28, 39, 110, 179, 183, 198 Wandering traders, 18, 386-338 Wants, diversified (120 Waste, 100, 126. 8ce also By-product Water, 1491 Waterways, 3290-330 Wealth, 20-23, 117;for ostentation, 3-4, 6, 8, 20, 31 1-312;of Negritos, 4; qf ASubanuns, 8; distribution qf, 22-23 (by Negritos, 2, 21; among MAountain Peoples, 23) WVeaving (loon), amiovg Subanuns, 7; anong1O Mountain Peoples, 14; aniony Filipinos, 66, 298 Woik animnals among Subanuns, 8; aivony Mountain Peoples, 1.2, 1.8 ainonq Filipmnos, 35, 37, 38-39,' 50, 196 1971 198, 208-215, 259-262, 265 271 Yams, 58, 62 -,I j % 113. 71 231 AA A 30 THE UNIVERSITY OF MICHIGAN DATE DUE MAR 2 9 1983 4 -V. UNIVERSITY OF MICHIGAN 111 jJ111111111111 1 11111111 3 9015 01284 3176 DO NOT REMOVE OR MUTILATE CARD 77777777711: 1 7T.,