e, -.~I11{..~ ~-:~~~"'F ~ '`"'~ l ri, ~s 4 A A; -, -:~.4 -i 4;.4..,: i. p A THEl Ntonl 'G.eogrp PKEIDENT ALEXANDER GRAHAM BELL VICEM-PRESIDENT W J MCGEE.- 1890 —1899 CHARLES J. BELL WILLIAM H. DALL DAVID'T. D)AY -HERBERT G. OGDEN H. S. PRITCHIETT,E LIZA R. -SCIDMNORE BOARD OF MANAGERS 1897-1900 MARCUS BAKER HENRY F. BLOUNT F. V. COVILLE C. HART MERRIAM WILLIS L. MOORE W. B. POWELL TREASURER HENRY GANNETT 1898-1901 A. GRAHAM BELL ~HENRY GANNET-T ~A. W.- GREELYJOHN HYDE,W J MCG-EE~ F. H. NEWELL' RECORDINIG SE~CRETARY — F. H. NEWELL CRREPONDING SECRETARY -'..I ELIZA -RUHAMAH-SCIDMGRE-" - SECRETARY'S OFFICE 0011.8 117-118, Corcoran Bluilding, Fifteenth andF Streets N.-W., Washingtonl TREASURER'S OFFICE U. S. Geological Survey, 1,330 F-St. N. W., Was~iIngton National-V O]eograpihic 1lagazine-Back NU.br Th le Society i5 prepared to purchase Vol0AjI I IIadTVo 1o 4.of Vol. J, 2and 4of Vol. II, 1 38 5 and 6 of Vol..-IV. -and fVI bera~or s9ubscribers having these volumes or shIgle number!to. dsp"Oseof equested -to' cojmnunicate w-ith Lhe Secretary., { Nl ~ IMbi I PI I"22a 1\"'l }N.'"1 v a'I 1, ' )') 3 ] I Iv ' T HE Nati onal Georaphic Xlagazinhe \'Vo.. l1 '>:'l t'i.\lY'. 1-!! No. "' THE ECO.NO).M\C ((CO)Nl ) ITON OF TH H PHII.IPPINES, \ l\ /M \. 1.. ';l. )\,,,x,,-.,, I;,,I /,.,',r i Jl,nt -II;i,,':I1 iI III t I IIt, 'I I L II, t iI.-.:L I,',Lu1, I' il t,, aIl I 11 1 1 i t t I l t I V t b I I l1 lt t I I v I, I tI i "I I Il t I I L' ) II I Iv I t[ I I ILLt t I I e t { I I t L I i I I I a I i v I I\ I tLtL r I It I I;1\ 1; ', r'(l i. t l tl I, I't-it i i li > il i ttIl (.it -.:\ i L \\ l tltl thllv t I'l l; l lltit '.ll. l.lt,I t il' l illl. il, ti, ll. i t i t lll,clV tI;ll I I I It I' ' tI II t till', i lL L;11 -;li -. LL 1'LLillt, t I Lt,' VllI. t1ll', iIt- tril,' 1-; lil l 'viit l lil i it tL-v i l: I,l t f\ I til, I ' t:IitIlrt '1' c tlt 1r 11, 1., ill:ltlililt i: it I 'lI lilt' I. i Ltl 'l I';'iil;ti. ( tI t l ' ll ~ili t I t,. - I l v I I t:it i II l I - trit l,.xt~tl~ -ili.- -t i; t il:ttil, l:,, l x':t I ',,r' I, IItll '; t I i- tl v, l till' lL- lt 1,'. 1 \v,' llt Lt. 't1l,' tIl:L l'L lt l ll'-:ll'LL',t} ltL lL;LLt 'l I I I I I ) i t;I t i I L. | t;it ii 11 I l: i- 1 L;I ItI v I 1; I t;l t i I I IL,:tv I I,v- 1I, rt ll i;tl I.X),, t,, oiv,,, ~11 tr,,,,'11.1 l l'tl' t- I,,'l.;1't -:, t-,, iwth i' t wltn-, ]),'lil Ill t \V '' 1': l l ' " " ) II'I.l'l-:l";I \\Vifil W 1 I hlt ':il{ },:trl(,v: 1ttl1 34 THE ECONOI(' (ONI)ITION (O) TIIE I'IILII''IXES iet with evelr success: and therie is toldav a (eriman i planter ill Bennuet cultiivatilg potatoct. I aml fillI convinced tlat ill..certailnlarts tile ie cou(ld 1te gwrown, atld at all events those frulits twlich ti leinand:a llil(c litnate. Atteilmts hav e beenl m:ade with tea to: lilmit(ed extent. andl the Iesults have s not bleell unfavorablle lhut to( all extensive planting-and this is- the onlv way ill wlhichl it is re(llllnerative-thle want of railways, g(oo(d roatis. alndi l:tlolers presenlts tlie greate.t d'ilicuitv. Not less anrttov ing is tile attitudle assumtie(l 1v the Spanisll tficials and tile Ititiliks. unless thle plalter is rea l to t(1a11-ce at tleir colliland. IThe pricil:l gricultul riclt 1 clt(,ts expolrtetd: e sutgar, iem1), tani ttlbacco. a;1d tot a less exttit citot'ee.l tlie (ltivation of wllich, however, lhas oflate t greatlv de('t Iasell. I lligo, Salnt-wood, alnl cop,lra: Ilist o(\t i(e left ttIlllllltioel(d. for t}hey 1may certaillv be exlpectedl to take t lliglher 1;l(' ill thie I'tiliin te il tle futulre t.lant is thle vase at preseit. Rice and maize are grown onlly -folr htoile' c',ons lltion.;andl (ve for this purpose tlie supply is not large enougl. Rice is imlported froill Saigon and 1ltlngkkr i ald coctl( fr.lava. althlougl tlue extremnel fertile soil of tlie plr litituift':ti'ould tlroduce all tilat is reltuiredat hoimne, anild elnoug4e to admlit olf a large exl)port trale as w ell. Formerlx vfrom lS. )( to l8(., atd ( erilthaps later-r-ice was exported( frtoti tle islantls. lbit ttie (lutiatity grai ually decreased until exlport.altioll cease( alttg(ethler. ti:tlt1 finllye til( gr;ainl Ieganll to 1,e imported. ''le ilil lies witlh til- misera:ile aidmtinistrationll of tile country. Tle planter l(t cal lolgerel (,lt te witll Rlangon. Saigolj. uld Bani:gktok. where tle authotrities Iknotw hiow to mleet tlte fillarers wlhle lle Iesst:rv. 1andl whle1rt shilis are tnot exiposed to eldtless lchicaitrt!. su(ch as- is practiced 1,v tli Manlila custollhlouse ofticials. For this reasonll mlost fi'reig vessels are ctaretful to steer cleri o' tlie latter lport. tSgar is chietly exlportel fr(oll tle Visavas isla:l ls.tall( t tie tal(le is alliost exclusively;il oil tlhe large'st Ipl:ce after MaItlil., situate (on tile isliant of Pl'tav. (eltm, tle third lare.st lolrt o thle arcthipelagto. does now tbut a simall tfild steadily eclitilg tradle itL.hell). i ' Tlie blest tolaceo griows ill tile itno.)th of liuzon. in tlhe plrovilnce Isal)ella, anlld tlhi soitthi of ( agltyalt, tli, nlost northern lrodvinee of tliat island,l ill t- vtalle ot ttlie Rio Grande (le Cagavan. The notrthlern rovilnces of Luizon. frlotl tlhe (; ilf of Lingaven, inl tle west, to tile Pacitic. arle separated from Malila bi a range of high mo'untaills, tile ('laralallo, over nwhichl tlere is. with tlie exception of a lpath anid thie telegralpht nio roat whalte\ver. IImuch less a TIIE ECONOMIC CONDITION OF THE PHILIPPI'NES.5 railway. The tobacco, therefore, is sent on covered boats, called larangaijanes," down the Rio Grande'to Alarri, and there slIill)ped by steamer to Manila. A flat-lottomed steamboat also runs from lIaglan. when thle water allows it; otherwise it goes 0onl ats filr s Tu'luero. Il ts t elints wt the trnsport from the _ L L1/ 14 N, I Imost southern tobacco center, Echague (which as the crow flies is only alout 150 miles), often takes as much as three weeks. Tolacco las also lteen plailted on the west coast of the northern part of Luzon and on the Visavas islands. This, however, is of inferior quality, and is mostly exported to Spain. Ili 3;. 11 1 )d1 1 C1 I tI I 1 I l II I'I/ I tl lt H im IIsllz l. III is il iI sS:;. I 1i;11 v,-I ll l - r, l:r},;> to il Il;( t.ll I t r. I.\ll {,,,t;II, t,,I]t{-ltttt-.,:rt1 ', t i>N. t{aIlll t t'll II.. tI..;lI,;L(;i,:;l '1,1,',t ' (1 l '.I/a. l.' f, rl/ IlI. 1 t i ls I I' ll'l;:l ' tl t.;iltitultl~ i ttl/'l'T';tr,. tJ{,' tli ~.-!t x';iriit' s1,',i ('{'s,,l' ti c ~'..'" (ltio ri.1i; - i ilili{,I,ii. —..\tl,~llitj. t,,? r,>w t}lic,Il;tit in;,tlt'r {l>ac,. is i;>v<, 'tI i Ii[i'Io'il l l -i.l l(' t'- l'lil. I.ik; its I. IttXer -Ik wI Ielativ,. ti w lilflf,:l;n il:t t1,,..,,t,',..I;,,,t i, tin' st!ili (It' til' r >l;lt iw l',~i'lll~, J)V tli } " l-.stulk<;<. io t1l- (.c tlt r,,(' \vtli'i}l;-:ti;ii is ti]{' l>],>-,,ii-.lt-n>. Tlic'{ liilK,.t -r,\vtl is (~}lt;uiu'.l i tlir vtilol<;}li,' amil rainv,li-~tri{'ts of t'lte l:{:ilip}inte,. lt(}l'.; artic'tllarly ill ('atlian,s,Sur..\1l,;v.".:i~l;ar. i,,it:,. MJariliflUi ln. ('~lu. ami t il, sIt,{',, tlit'.*i,;:ll ii'i'rilli.,rii'._ i-SialIIis;IS w ell;IS ill Ncv'-::z )S:llti.Ml ii aoill:t. I'i'l{' vatlua},lnzit,.I i{,-lil'l' is fi lul,{ inl til}' p,,ti-,l1>. 'f'r.,),l w-licl} }t is takeln },,l~',ir~, t}l' plant ha.-, lo,'1l I'rilit. a;s -{r 111 1%, ~tt {tll,,,l~.,,: iH{ xtt-\ ~{\lt { I! l '. fI I {1 I i I / 7'1/11'!. <').\t. 11 '( DITIN OF' T' I'III.I.INE'.s:;7 tlItree years the ldant IIa-L u.uallv attatitd I ucI gr,(vth thtat it can e c('ut down. tile leaves removed, tle (,reell epilermiis strippe tfroi) tle stelil. and t itllter tlie I ast-strilIs tor l ol it tit le tl ise r tl IIe etioes. selastratt ed sill. atv d taie ili, e l II li lrtIlle, witi tie p1 lp!y p rltill ol' tile Ia,;lilt r e. 'Tle 1l a-t-strils tllil.:"I I( I I: \tIa ' I: 1 ar ''. ' ItIh I F aI I m-\ IF\ II I' I; \\\\ F..: 1 11 F I:f ' I II Ir Ic \ r I ' a1 \I a F nit. I pu slp tleat llay iave rlte iit Iil le i e. ti i tli 't e rt Itl, t I Itt'e I l ll n 'ee dried ill tilt, still, i- t le readv ft or shlii - tiel lr. wr, li li uiiltt 1(ie ivoidled v th tite oid, tm,n etHcietlt stritppil~ II- ll; ch{ illes. It is,ti]lic'ult to);ta't'l-.tm)lll tile 11atives t'S anvtlluii nlo el, hlut \v ll Mie o ce pro ress ali('aied a ue ewral uootiln iadvia \v ill soonli 1e 1adiale i particular p:ltls atlso. Mattlilat t 1re s 1ll;1: so t lll' itC lteti 1 ill lualh v,l,'l lthes exs elled. ''le lp lricilpal article is ':ir wurret,{t ithl its igli'er alnd{ lower graels. ()Of less impllortanct e ar (tuiilot an1(1 tl(e silk-like luliz. fi i Vii tiI' TlI\'IllhI, 1 liIi IllI l 1XIX i cii11 iI'( I I I t11 t1 Ivi tl( i I itI i~tt i I i ii-i~i~ iii I II it til t i Iii i n c II I I I Ii Itt -IIIt -(III I ii ii I -IIIii i((I I w ti It I iA i:1 S.-) i Wi1i1I Iii li 1 I iii ut I I Iii It I I it (ii lilt hut1 ii i\ iil I1ll ~,I v I 'I ZI v I I II1 il i ll ci- iii- II ((r \\1 I ~lll~i' V I I I I I r I I Wl.; l.(.~11.:11] 11 ~r~ It IlI I I i I I I t It - ~(~(1)1111 ~ 1~ 11) 1(1. jii~lI; I; (1111-( I1' 2 t t];I I1'.1 I ) 7Tl1 ' '.'( <.\' (l0 I (L\1 7TION.\ (0F 1' TH111. I't l.IIP'I'IN.'.,' 3!' April the t)on \:is -(Iol(I iIn Lon d(ln at I.~. )uriniI tie l I(r kId(l iot'.ManIil]:l t li w rice w\ s - l.l ti. up ti) Ii.irlv C4i..\t tlie c\, tI' til \I;i it till li ti to C'. I I. II 1'1., 2;1 1 i. tl'. iii rtt II.1t It. t i(ill. wt rcr (exporteid..\'t cr tIl:lt tIl.crI is 1.,) I t' )l' t ),f tle cxpt altioll,,[' ( l, l ll, uA til tIi 2 T;tI ui lI 1, t (I'liii s l luitcr. iii I I ) the:1111milIt', to I I ii('i ll tli ~ i.rl tI-t (- till I,r~,,.,t- l c( tl~ l v~. }l'tI tr,,tI v fIi i rles -lo\ t li,\, it rl;: t,ooi, (.luriliL til, 1.-t. —i: ycar~s: 1'.,,/.. 7c.-......'y.41. l '!........................l.!.,;i! 'I 4l. 4 I i9....................... l-It.ii.:I re lti lit llr iii plutiti uI 1li\ thue itaf rclit oullitric^ iull }i"I is seel t)is t1. t; ull iui l i i tallt: l'litt. tatl-........ 1-//.55 4:14), ]'}ii:;iiltll. l.....' iul.4.4! 94. )u}:.\. tra;li;a................, " 1. IIs ii ( t s;l,, 1 i il,lil..I.. 1I l2 i; I i 7i l i rt. is 'tii. 1.iitilic lt i.i.r.,,. lit,ti.is,, iir a iiiuiil uIii'lalit \\,li\,l,, - ti tit iti i it. le i 'i ti!u ou t Ii l tiet lspt. i i tini d. iii uio IO t;ile it} litt 0.ti,l t;ttit hti eiSi,Ie. lli i - iI itt t, i \ lI,tori t j ti tIu I lit ts t fw arit i r illt e t-,i >' ti't' 'ti't',' -tott,,t' iti':tirS iS t ii i tl t,'i,,r,,t' titi ',uiit' ctlxt tXl,,,rt tr(:,t, i vl,',,' lt ~is~. to i,,r l -t i iltl wh h cri st. Ix',t-. 'I'l-I'}l.,.: t 'tl(,,co',,:ltxt t;:1HP r1 s:ld t:. llctr ti(.l(.,)l'F,)( l. l a rIt ): I I II t a I lI I,: I,. I I ' I,, II, ix 40 Till:' ECONOMI.( ' ()'.\I)IT].\ (If' TiIIE '1f11i'Y'15,' Tle arclhipelago is very ricll inll tiiller. lotwitlhstandlinlg tlhat tlhe exploita:tion fior l,uil(lingS 1urlose.- li,;s \bee\ oril on f)or ovt' ',('(} \v;1 'earS, l a l explortatioln wa: once Vr lVal(t': 1ol havel. nlew tplatttiol:)- ever lteen tlho(llit,of. Saplla-wo(o(,i f-rl dyeing purp<lt..- is altso a Iprlolul(ct of tle is-lalds. andl tlhere is a regular. tl l,.zhll:,,,;,11. t xls, ot trade (1,,le iIl it. tle -ac, tf tle ca1.tli is \v1l lllnown:1(dl 1l:a. leell freulueitlv I'I llIle ll I" lt] i.I t is I,' (,-,_:, I I I.:II,,I'I th{at tlhe a re:;1:, ml,(,iz tc,II t,,q,_l(,L't,1 l ('(,l,,t,d i,: i,, t}{(. 1,..\A c(, 1r iL- t(o the, Sp:1;,lil:, nitlt,,riti(: tl,, (,:.l '.,tl'l!v wie-t hlt], (,) tl, ax':tila,1hle;: 1lll,,;1,(1 is 1ultt' (ct'lti'ati,,':;,' a 11;1 ttttl' ol';'('t the(;amoutno t i'- Ic1) l ]cs. \\"lat I h Ilit ll(t Int 1e Inide (l, th is It lw ilti01tt1 (. nltl ' lwt elr'. t'li.- 1nis] a:t 1:treine]t to, 1},e rlizi 'lit to a1, e'dlli. ( 'attl~.-1,re. (i~{,_, t~:s },e~',.art'i, ], ( l{,,1, slwci, Itce.- tizI v f,,r ~t,;lm m ea r'-.. e'idletl ' with.:c,'.-s,r tlie ha-i,,.. xx',,lll1 lavxe died om t. )' late it l a ts Ie w',1,t,, t,,r,. },,lite l,la t to i,,,,t t tle th xte elielv 1,t;t}, (tlq'11,1]:lll{ '(: ltlt'.! Iut tle 1ltt'l, thlt r'attle t tr Ive alllljl..t,.x'rx 'w|i~t.', i' a w },,m ' tlh:1 (,'tttl,.-l,-hrcc}i1_ (m,: t. xttt.-.ive.-cnlc i-~ },,,S'il~l,...\ S1,:.l11 Itll e,',':r ll't't*I,;re illi,(,'t('{ Il'nl,,l Chllina TlHE ECONOMIC CONDITION OF Til'1' l'HILIIf'INES 41 for consumpttion by foreigners. It is 1)v lno means illnrolllale, however, tlhat in some provinces, at tany rate, thex would thrive well. Tlere are hut few goats. Of swine an(l poultry, on the other hand. there is a surplus, tlhe flesh of tlhe former espleciallv f'orming a tavorite tarticle of d(iet with tile natives. In1 addlition to tile small hut very tougti hlorses. resemldlilng thio-e of Java, tlhat most useful of ldomestic animals, the " caral;ao." o(r llack (grayl) Iiffalo. thrives atbilllantl. Tle white species is.also o(ccasionallv to le fo l. I the lluffatlo is e1mplloyLe folr 1llany luritposes —fior wmorkilg the lpmilps oln planlttiolls, for sugar r resses, and for draugLtt l purposes. In tlie nountaills tlie bultlal) is let with ill thle wild state. It is, however, uil(,uotiltedllv oilx the tlonlestie'species tliat lIas been neglected. Nvc-rtheleess, ill tile c(oulrse oft ears til e'ltgeleratimo lias beenl sO gre;t tat thlt tlere i ow exists a clear distinction I etweeii tile wild and( thle ldomestic uifftlilo. Tlhe wil(l atlilial has a miore ('ol[ipa't liea(l anld slhor t lholis. while tile (dloe stic ailnial lias a logtl liewtl ith lo iilg, lrona hiors. Neither tlle lorse lioI tlie }'iluttllo is inl tig ois ttl I llPilipiles,ioth hmavxe b'ell ilmpote(l by thle Slpanitardls.: SMiNFiAI.S hut tlie aralle land does not ftorm tlie onlv resource of tIhe c'miitrv, little regarded as it has mi-fortinatelv hitherto 1eea'l'lThere is anotlier and h( u itless not less valuable plrop)erty il th e mineral riches now slumblering beneath the ground. Tile islands vieldi pit-coal. iron, gold, silver, colper, etc., t)r tlhe most part if good lquality an11 recenitly p)etroleum las leen struck. ('areful and expert exploratioils lhave several times leen ulidertaken by engineers. vet never to tlhe extent necessary to t.tart lucrative mining, nor vet over a sufticientlv extensive area. The formier 'inspector general de montes," l)oil os ('Centeno, andi l1)oin Antonio Ilernallnilez are d(lservintg it o splecial mention for their work in tiis (direction. Coal is lprlbably spread( over thle wliole archlipelago. It Was tirst discovered ill 1S27, ill tile isla;nd )f ('elm; then ill Negros and Mindanao o'n the island of Luzon, iln C aarimes and Allbay, andl in maniv othler islands. The wealthl thus applears almost inexhlaustilble. Ti e coal ill (elbli is of tle liest qualitv, nlumeroius experimleits hlavi g slhowni it to lie eqlual to Newcastle coal. IIerlnantdez 1nmii fotilr se;amls runnlil g pIarallel fromi north to south at a small deptlh and 95 m iles lomg. In 1lS74 four further 42 Till2;: '.\F.\!l' <'.\1.IFJL\ I7IJ.V N ojt: l'1 IIIII'IlN<ES seiiiis W'tere [t)(l a(1 o)ut Illles 'fromi tlle( coast. leill ('1 Cmostela. lwhere D)ol Isaac ('oil-Ui worked tile Callri(dad ad EspleCra.iza collieries ili-a snall wa1. III Ali:av, oi lllmile soutlieast of ithe sml1oarlllarr of Sugi. is o f ti le (fi tie most extensive (f tlie 1lany seams which hav( e ieeii tfotnd(l ill Albi.v. It is.) or i var(ls dlee a.lll rtills l',w -a lmlllu listlllce. iF' lmn tl is lllll e. t'fllil Alif'eel ent 1Ilc es ioeir a distatce ift a Iile Ior Il ore. l:() tols o af coal were tduitr l a l racti cally tested oii solie steatmers. Acc(orlitn to tlle rclprts ()t tie ma ln.l-(of-walr lBe'i 'i,:/,il a1l(l ti e steam.-sips Bult,,, d111l ( w'h,,,,/i h,.. wlic experimentel witli tl al. tile t latter rese(lil)les that io Australia. witll thle advantage of l)eing less IlitittiIii( uIs. Tihs is illn irtieC(iiie t withll tle scienltifi( tl tilvse atil trials (tf tli( (coal mladle in IMadrid. Smtall w)orkigs were -be nu, lt ut ex])oit t till ( (irresl)lldil to t(lle te l e ol tlie coial fields ( could llot hi e l\oo)ke(l forl. as witl tlie fickle.o urve rnileni t aind aI'utli'nist rative ilist lla:liareet let. caita lists fealrel to firance such uIll(ertakil-gs. Esl)eciallv were foreiglliers:sul)jecte(d iv thle (governiillent to every ipossibl tlit(ildrance.. r() tlhat a lrofitablle return seete(l (Iluestionallle a(nd tile (ca.lit.al in estedl il ( later. 'Tl e Worlkilgs were collse(tlenltly very lilmlite(l.. all up to thlis dayv..\Australia a1(l J apaliX erxli))rt coal to Mallila-a state of thlings wticll. it illayi lie liil)e(il wi ll so()ll be changedl. Irlnl. alsoi lias leell foull(ld ill IlIali of tlie islanils. Thle best is tlhat ill Ilizn, il tilre pr(v\lces of Mlorollng. l Hag Biulacaii. Nueva I'ija, Pail paiii"a. adlitl (Camarines, whichl, accoldinlg to ('elltello. co-llipares I()st fitav-orally ill (tiuality withl that of Sweulede. Thle ore c(itaiils frlom 75 'to S() per centt tiure irol. atlnd is f(ulid il tihe ili(lst (ft ililimellse forests. so tlhat thlere is tlths 1a lperliatellet stillpply oif fuel. if' plroerly tse(l. hIt addition to tilis. thlere is of'tenl water-lpower il tlie neighbl)orhlood which cotld le p roitahllv utilized. In t!ie ablove-mentioned provinces ('eliteno (ldisc(ovred large masses )f alilost ture magnetic iron oxi(e (llie rr) ()xidulati(o iagnetic(). casi iluro). After what has Ieeln sai( alove,. it is not surp)risilg t(iat llyre also thlere hlas een lno thloro(iugrl xlploitatiolt. Iin thle province of BIulacan tlie lnatives imantiufacture a very primitive iron plowshlare and lp(ts for co'()king (caralhays). 1) it even here there lias been a gra(lluaI (leclinle sinice thle comimiencemient o) tilis century. ('ollpper exists il tile liprovinces of' Tayablas, Camarines Sur, an(l Anti(tue, ail(d oln MasI)ate' tlie b)est (.uality, however, inll tlie district of lel)alito (Liuz:)). ieatr \iancatva. Suyuc, Blumuan., and Agli:to. Hiere lines were work(d v tile (C'o)mpliafiia (.'ata THlE ECONO311C CONJ)IJ ON OY THE PIIILJP'INES 43 bro-Filipina., but abandoned after about teu years, iu spite of the wealth of miueral, oul account of the s9carcity of labor. The fir-St specimuen of b~lack copper was obtaiued iul 1864. 1 ui 1867 thle outpiut was 2,464 qouitals (2,231 cwt. 83 Il~s.) of flue coppe;iu 1876. 4.)20 quiutals (3.641 cwt. S lbs.). Tlbe waut of workmien thieu causeiltthe vielil to decijue, outil iul 1S75 the wnicsNere closed altogether. It is pirob abl ie that itold occurs i u every parit of the archipelago. III a small way it las heeu extra(ctedh by thre uatives for miuav years ilo certain places, particularly inl Luzoni. It is fouuld iulstratified aind in creeks, tromi winch the natives prefer to wash1 i t. The best kuownl sources are iu iaiuariues Norte, thle iulouutaills ot Maullbulao, Paracale, aud Labo aud the uortheru spurs of the (arahallo uouutaius,. Alluvial gold is- sail to exist largely iu Nueva Elcija, near the village of (iapau. iLu rayabas the metal is fouud iu the mouutaiiis in the ueighborhood of the villagec of' Autimuouo'u. In Miudauao, where gold has likewise beeu discovered, it is believed to lhe present in particularly p)rofitalile quantities'. Mindloro, Panay. as well as Some other small islands, are also places where the precious metal has been found. It 001', remains to iiiluire~ into the question whether it would pay to work gold mtines at all, for ats yet, at all events, no positive lprotf has been furnished of' gold mines beiing profitable, although (luring the last few v'ears the subj ect lots been mi-uch (liscussedl. In 1859)3 the Mambulao Gold Mining, Syndi~ica-te was formed inl London, engineeris were sent out. an(i workings were actually comminenced inl Mamliulao. D~ifficulties-, Iiowever, arose, the principial one 110 doubt being that a large hart of thle shares were not allotted, and time working capital was therefore too sniall. Iii general, the liarticillators slieculate(l oin the adlv`Antageous sale of a hart of their concession and the starting of a Iimnitei-fliabil itv company. Something of at gold, ever hiroke out inl Maiiila, anii onl all sides concessions were acquireid by Englishmien, soille Germans, aiid Swiss. Not oiie of these concessii)ns, however, seemmesi the result of a, sounil hoiii fide piroject. Time ob ject iii view was alwayvs the pro'Motion of coinphanies anil d ispiosal of' thise concession at a good priofit, leaving, all thle risk Jo tile slharehlolihers. It is lot imnpoissible thatr this' wiiulh actually iii sonmc cases have taken. place, amli theat it would have ileenl followed liy a speculation in shares similar to that onl a formier occasion ill 'Singapiore aind Hongkotig, tii tile detriment of' general trade. The rebellion of 1896' tortuiiatelv p~ut ail end 44 THIE EC('O.\NOM CON(.\ITJON OF THE P'1 IIIIPPINE\iS' to speculatiol. l uroplean ca;ital for suchl purl oses was not to e found (ltiring tble (disturlances, a(ld imethodical working ill somlie plr ovi'ces was equally imllpossible, quite apart froml the otller (lifficulties meltionedt ablove. ('eintelno fuirthler states tliat ilercurv was formlerlv found in various places. At tlhe eid of' tle last cellturv a bottle was sent to Manila frmil Mildlal.aco andli a secon('d frontc (C'aiz. In 1848 1CleI.rcur was dliscovcred ion (Casigurioil. in tlle lprovince of Albay, hut til( geineral opinionicl was tlhat thle fill(d was altcogetiler insigIlili(acllt. At all evellts. lnocne ol'tlhese discoveries appltears to have lw l e l l ' a m c ilclll)l'tlll't'..\t ti 1)e (gcinniccg otf tlie seveictics two lieds of galena vere disc('Vce'(1(ci il ( Celul. ill tlie leiuclclclbcoli of() tile villase oif (Consolaciclm. Specilliells Nwer, a Ical'.vzed at tlle ilint aIt Manila and sl oWci,(l. it is true. icnly 4, per Icet of' lead,. Iut also I ouncc e of goldl ad 2) oilncs of eilvc er lhunllsdredweiglht. Neverthleless, tlic, ls were ls (e ot of sutli(ielt signiticanc(ie to assurSe iprfitable \oirkic g lee, ti it o a ll si caele. sio tile lilles were again abandlioled. lThe ldeplirtmiclet of 1mines inl M:aila ldid certaily recomillendl further exploirationi i (Celibu. hut, so far -as I am awa.lre, active stepls were never tcaken. I i Maimbulao and. IParacale the cdls of galella ll rld-lea(l ore have lor tithan once been got readly f1,r w,rkilng andl are pliro1cliI very rich}. Tie workings, iollecvcl'r. have alway s b)en albanditilled( again- chiefiy, it may li siurlllisedl. otl:(icc(iut of ti ese Scc)lliaisil undertakings being insufticientl v pio vidlel withi capital frmin tie commencement aclidl becaCiuse (of tlie lack ot' tlse necessary circums)pection. Tilere is laturiallv al ciicndac;llce of stil liur ini this volcanic arclhipelag).o tialt which' o(.curs o)i tle Buiusan. in Albay; the Taal. in lcatanlg:ls. anld tlce Apo. inl Millidalao, being of fairly pure quality. R'eallY extensive ieds, wortlhy of exploitation, were founid vyears iag illn lite. ill tlie interior, not far fron D)ulag, and were worike(l oii a silall scale lby tile lnatives. In"818, 3,410 i(culs, at 8'2.5c)l per picul were explorted, and l)r Jagor states ticat tlt e rici palil il MIallnila ior this suililllphur ill tile fifties was fromll S1.5)() to 84A.5)(. ior tlce last twenty years. however, the sullpllll indu.ltrV lias lieelln wholly dead. A laba.ster is fiound in ('ctlamarinles Sui.:tl(l thlere is a }beautiiful mlarble at Bohcol and (iiciarl'as. 1;near Iloilo. (;ranlite of excellent quality is quarried at tlie othlecr sidle of tlce ayc' of Marivcles. opposite to Man\ila. 1 cc(k oil wafs;oud soice 'years a;l o icn ('elui and PIaragua and proiises to Ie of ilclol 'rtance. I have-neither seen samples lnor THlE ECONOMIC COND1TION OF TiHE PHIILIPPINE'S 45 c0!ml, across anv official report oil the matter, but I have receivel (direct iuforniation from various trustworthy Indians and inestizos. MANUFACTURES With the exception of the cigar manufacture, which until January 1, 18~8. was monopolized by the government, thle - islandls are not of industrial importance. Manila possesses two larg-e sugar refineries, some distilleries, and( rope C orks. Lately jrice mills and a flour mill have been set uIp in Luzon to mneet the requirements of the island. The hats made by the natives of strips of reen,'s in Baliuag also p~lay anl important part in the export tradle, being slihippedI largely to America and Paris. The cigar cases (petacas), likewise Mnaiufactured in Baliuag, are of less im-portance. Thmoughi of no kreat significance for thle trade, the ilang-ilang essence should be mentioned, the Philippines being the only lplace where it is prodluced. The essence is madle from the green blossom of the ilang-ilang, tree, one of the Anonacete (Asiona (adoratissnima according to Blanco, C~mnmga 4t THE I'('OX.OM1(' ('ONDIT7ON OF T'1'l PHIIILIPPINES (lotittfit according to H'ook). and finds its way lprincipally to Paris. It forls the lasis of all finer (uali.ty perfumes. and has iildeed,ecome a l alllimost illdislpensalae article ill tl(rlperfunler y trade. lThe distillation of tile essence and tile business generally connected with it are carrield.o exclusiv ely >hv Germans. Coach-buildilng is of' great importance in Manila. The home deiiiand is enormlous. as everv inlhallitanlt of any standilng las hlis carriage, and tlie wealthier mestizos excel in the luxury of their vellicles. Tihat soatl) atnd other such articles of popular use are lantu'actlured, it is scarcely ilecesslar to state. There are also three litllogralphic establishlllents, ownled b1y C(ermans. IBesides tlle Ialiutag industry taove referred to, tlie natives ulutlfaIctuire excellent llomlesllun fablics of cotton, hemp, silk, and liifia, tile tilbers of thle lIile-apl)le leaf. Pifia-clotlh embroidery is also a domlesticc ndutstry. These articles do not enter at:1ll iiito the export trade today, but tlhey may certainly be exIected to ( so heftre long, the more so if the industry continues to advance as it has done during the past year or so, as regards not onlly tle fabrics themselves, but also the designs and colors. S;omle coarse hemp textiles have already teen exported within tlhe last few years. ITle finer lhemp and heimp} and silk fabrics, tlhougth mucli lprized Iy ladies for dressmaking, have not yet entered into tile trade, not having so ftr fiund favor with thle larisian costuiilers.:A mIlst interesting display of the. lroduce of tile lh'liliplpines was mlade at tie exhibition (Exposicion Regiomal (le Filiiltnas) which was held att Manila by the government il 1,S )5. It is certain tli;it tlie lhili)ppines, whlose future is already assured tv their mineral wealtlh, will pllay a part in the industry (,1 tile comlillg! earis e(luall to, if o11t surpilassing, that of Japan. o'IO! Ei:('iK 'There seemls to Ile to bIe nlo doubt tlatt even before tlhe arrival oft' tile Spaniards thlese islands }lad relations withl the Malay alrcllielago ianld t lilna, and to a certain extent carried on barter, larticularly wiithi the latter country. IRegular trade, however, first began to dlevelop in 1571, wlien I.egaspi establislhed.himself in Malila. Tlie inlllhaitalts of Ct agavyan related to l)on Juan de Salcedo il 1572 tlat their cotton fabrics were broughit every year b,! (Chiniese tlld Japlaese vessels. Manila is without dloult tlie mIost advantageously situated A I~IL 48 THE )EU0NOMI1C( "CONI)1 'l0ON OF THE PHILIPPINES le rt am I Itra dillg place inthe Ea"St, aind formns the center of th e t -ade b~etwen.Ul (hi na,.1 apanl the Dotch archipehigo, and A ustra-tlia. Th'le position ot the ~,'PIiil.illinies is lik~ewise extr-emiely filvNorable for the wvest cosiast, of' A merica, and Manila should be tile Iattilral mlart Of eastern Asiai. That, it (does not already oceul~v this positionl is owNing(, to the had systemi ofadmninistration on1 the part of' the government. Had it been otherwise, 1 am exceedi iallv doolhtf~u iii wether 11 oigkong couild eveir have reachied its present state of i in portance inl the faice of Manila. Du)ring the northeaist-nionsoon miost ships going through the stratits to thina run right, across to louzon to get protection against thle str~ong ad~verse winds, It wNoold therefore be quite inl their Course to touch lit Manila, but they avoid -the port for the reason stiitedI above-the chicanery of' the customs officials. F'or the same reason the regular steamiers between Hongkong, aiid Australia steam right, past the Bayte of Manila without runnjingi inl. Passengers fromi Manila to Austratlia have therefore first to cross to 1hongk~ong, and then take pa,-ssage fromt there, returniiig again dir-ectly past Manila and Zamnboanga (so close to the latter that the p)eople may almost be recognized onl the shore), to the first touching place-Thursday island or Port After 1,572 trade commenced also between Manila and New Spain, which for hindividual Spaniards in Manila proved v'ery pirofitdble. Between 1,590.and 1595, however-, thle citizens of Manila petitioned several timies to thle King for liberty of trade, but. always in vain;the restriction oii commerce remained as before. InI 1610 the Seville merchants beg-ged that the trade between Manila and 'New ~Spain mighit lie closed, as they wanted to dlo business dfirect by the Cape with Manila without the interv-ention. of' the Amierican coloiiies. This was, nevertheless, im,possiblle, onl account principally, no doubt, of thle 'fact that the Acapulco silk trade gave occupation to over 14,000 persons in Mexico. Galleons were Sent everv- year from Manila to Navidad, and from 1602 to Acapulco, conta-ining merchandise to thle value of $250,000, the niaximum permnitted by the government, and bringing back~ double the price. Later this Joaxiniut ruse to 8300,1)00,and 1-l34 to $500,00). Finally tile ainotnt reached $ti00,01(, aind t h onine freight double the valtie. From Manila thle galleons. cale ianus, took spices, cotton fabrics, silks, etc., with goll articles and other liroiltcts (if China, India, and the Philippinies. Fifty thousand silk stockings are also especially THiE ECONOMIC CONDITON OF THE PHILIPPINES 49 mentioned. (Refer: Lord Anson's "Journey Roundtb-e World," 1749, and the description of Spanish commerce by J. C. S., D resd en, 1763.) The horne freight consisted chiefly of silver (oloihrs. and there were also passengers-7persons going to seek their fortune in the Philippines-and officials and soldiers sent out by the Madrid government as subst'itcttes. The merchandise yielded twice its value in Mlanila, and, as is recorded. sonietimes even fnur times, which in certain cases 11(1 (oubt have happened. The profit, however, dlid nut all go itio one pocket. but was (livided am.ong a number. The grovernment issued warrants (boletins restricting the shipping of cargoes to thie monasteries, pensioned officials, anid other privileged piersons, who then sold theni to merchants. In this manner the profits were distributed. Tlxe.fesult wyas that merchandise of verf higrh value wws shipped. and the 7iao often ~o packed with cargo that the gu ps had: to be stowed away. On the home journey there was often by-er $3,000,000O value on hoard. As these ships were maintained at the expense of the government, it is natural theat a portion of the shipping fees was reservedl for the royal exchequer. Generally the well-laden aoe sailed from Cavite in July,,steering north waruLto 300, where, taking advantage of the western windls, it mnade straight for the shores of California, then coasting sou~thw ar(1 to Acapulco. The voyage was always most (difficult andl dangerous and often very long, lasting sometimes six months or more. In later years the s'bips sailed more commonly through the Straits of San Bernardino, south of Luzon, though this did not shorten the voyage. Arrived at the California coast, they ran into San Lucas,, where they took in provisions andl receivedl information as to~,the movements of pirate in the waters —naturally a matter of great concern, considering the value of the cargo. The home voyage to MNanila was easier andh quicker, seldom occupying moure than two months. The ship sailed southward fr-om Acapulco to about 100 'N., whence it took the passage to the Marian (Ladrone) islands, and then further, through the Straits of San Bernardino, to Manila. As P the tine arrived when the vao miught be expected, nightly fires. were lighted on two high rocks, so that the vessel could find her way through the islands. (In old works the islands Guam andI Rota are mentioned.) TIhe noes were vessels of 1,200 tons or even more, and were manned as warships,and armed with 50 or 60 cannon. Not 50 TI7': E('O.\OMI(' CONDITION OF TIfE 1PHILIPPINES withstanding this. thel, witl their c ostli caro. sometimes fell a )pre to l)rivateers, pirates. and1( thle war-lhils of hostile powers. Inl.1lime. 174:. loird Arsoln o(l o.(ard tile (' Cetriso. captured the NAescstro S,,',rt ('o lid(fl,,nq/. a Iullch larger galleol. colmillanded 1,i 1i.lernlilo de 51Montero. off (.'ape ELspiritu Satit)o, o(-) tile Stmall coast. The captaiiln otf a galleonl, \wlo holre the title "elieral," received inl the Acapulco tradl e a ptercentage amotilitinng to al)out $40L.00() for ea:hl voyage. ''11e tir -t t oti(cer also was paid a colmmission. Toward tile eiil of thle last cenlttir the profits blegail to decline, decreasiig!mieore and more' sol lettimes tile shil)s even found tile market ill Acapulco perfectl fl.at. without ally (lelmaild. This was clliefly leca:ise of Aliericaln traders and English mierchalnits supplllling all thle reuilromeiets direct from Elurope': )ut smugglilng also pIlaed its ptart. T'I'llus it often happened that thle ships were unablle to return for long.periods of time. The last nto whicll left Manila inl 1811 did not return from Acapulco unltil 1815. In 1785 the Real Com pafiia de Filipinas ( Io-al Compllanyl of the Philippines) was started. having its seat il (Cadiz and with a capital of $ST000.)0)0). Tis company imore or less monollolized tlie whole trade until. on August 15, 1789, a decree was issued lernlitting European vessels to import Asian produce and to export o(ill such 'Spanisll. Pllilippline, and Aimerican produce ats V-he (omplafiia had imported. A second decree, dated October 15. 1803, delprived tile compafliia of still further privileges and declared the liarbor of Manila open to all nations. ('ertain rights, however. thle complaflia still retained. Ill 1814 absolute liberty of trade was allowed to tile whole world. As the result of the introduction of the new Codigo de ('omercio. July 15, 1833. tlhe privileges of tile complaflia ceased altogether in 1834. A year later the exportation of manufactured tobacco and cigars was also plermitted. Until tile close of the last century (1792) foreigners were not allowed to settle in Manila (although La Perouse, 1787, mentions the Freiinch merchant Sebir in connection with that town). As soon as tlle permission was granted tile first foreign houses were established. and the number has continually illcreased, so that today thle external trade is almnost exclusively in foreign hands. The year 1851 saw tile establishment of the Banco Espafiol Filipino; but by reason of bureaucratic formalities and the strict THE ECONOMIC CONDITION OF THE PHILIPPINES 51 limits imposed, transactions were much impeded. It is only in recent years that matters have improved, rendering a fair and easy banking business possible. Up to 1860 and still later banking transactions were therefore done almost wholly through two large American houses. Today we find branches of the Chartered Bank of India, Australia and China and of the Hongkong & Sahagllhai Banking Corporation doing the principal business. The consulado, established in 1772 and remgled on January 1, 1834, and the Junta de Comercio, founded on January 1, 1835. have done practically nothing at all for trade and shipping. The export and import trade, as already remarked, lies almost exclusively in the halnlds of foreigners, principally English, Germans, and Swiss. The retail and intermediate trade is done by the Chinese. The Spanish, in addition to the Compaflia General de Tabacos de Filipinas, which, however, pays but a small dividend, and some inland traders, own a number of provision stores and of millinery shops for town costumes. How greatly the trade done by foreigners surpasses that of the Spanish is seen from the accompanying tables, giving the external shipping trade and tolls. Since 1896 there has been no American house in Manila. The'traffic between Manila and the provinces is carried on mostly by means of 35 steamers and a large number of smaller sailing vessels. The sole railway runs from Manila to Dagupan, the port of Pangasinan, a rice-growing province on the west coast of Luzon, on the Gulf of Lingayen. The only large line of ships touching at Manila is the Compahia Transatlantica, from Barcelona to Manila, which, however, also has Liverpool as a shipping port, as the steamers would otherwise scarcely be able always to secure a full cargo. The chief profits of the line are no doubt earned from the enormous transport to and fro of officials and soldiers; in nearly every ship all berths are occupied. There is a brisk trade done with Hongkong through four or five steamers under the British flag, for the largest part of the goods goes via Hongkong, being transshipped. A steamer runs to Singapore, meeting the French mail steamer, by which the principal European postal traffic is carried on. Despite the fact that the foreign flag was everywhere at a? disadvantage and the Spanish, on the contrary. privileged, the former has always been the one really dominating. Though formerly foreign vessels were obliged to run in in ballast, they nevertheless took outward freight. The privilege allowed to the 52 THEI ECONOMIC ('ONDITION 0o TIlE PHILIPPIYNE'S Spallish fltg relemained inltact until 1872, and consisted at that time ill at ieduction of 25 per cent on the custoin-house charges. ''l'iis was 1rdually- diminisled( every year by 5 per cent, and in the last vear by 10 per cent at once. The foll bowin table shows the state of the shipping trade in Manila inlearlier years: 1827. 1828. 1829. Incorii- Outgo- Inr(ol- ()ltgo-, Incoln- Outgoing. iig. i l. ing. - in g. ing. Foreign shi s.... 96 98 99 89 146 145 Spanish sh ps... 34 29 1 3 38 41 43 Tota4....... 130 127 10 ]8 188 In 1868, 112 foreign vessels, aggregatting 74,054 tons, mostly in billast, elltered to take up cargo. and 93 Spanish vesesels entered and sailed with cargo. To show a comparison of the trade during the p4st two years, I have compiled the following table: 1896. 1897.: l ceiig. Outgoing. Incoming. I Outgoing. __ _ _ _ _ __ Foreigr..... 181 2(4,i808 175 251,43:9 204 301.1919 197 292-,19 Spanish...... 47 2541 49 95,802 48 84,3260 50 88,649 Total..... 228 357,409 224 347,241 252 385,525 247 380,868 At the colmmenlcement of thle centuryi the imports were far greater than tile exports; then the two became about equal, and finally the exported goods ranked first. In recent yvears tile exports have alw^'ty,"xceeded tlle ilmports by some 30 per cent, a very promising sign of the productive capacity of the country. The imports to Aragon in 1818 according to the duties paid. amounted toUnder foreign flag...................... $1,80,200 25 Under Spanish flag.......... 616,071 85 $2,2)6.272 10 THE ECONOMIC CONDITION OF THE kHILIPPINES 53 as against an exportation of261 piculs hemp, at the average price of - $4.00....... $1,044 00 555 quintals cordage, " " 50....... 2,775 00 5 quintals hemp rope, " " 125.00....... 625 00 84.5 cavans coffee, " 6.00..... 507 00 14,405 piculs sugar, " 7.00..... 100,83500 3.200 quintals indigo, " " 60.00...... 192,000 00 1,105 quintals liquid indigo,' " " 3.50..... 3,86750 18,825 piculs sapan-wood, " " 1.25...... 23,531 25 236 piculs shells, " 8.00....... 1,88 00 31 piculs tortoise shell, " " 350.00....... 10,850 00 3,410 piculs sulphur, " 2.50....... 8.525 00 2,610 piculs ebony, " " 1.75. 4,567 50 1,532 piculs hulled rice, " " 1.50..... 2,298 00 42 piculs shark fins, ' 16.00..... 672, 2.2;ti pliculs beche-de-mer, 2 ' 24.00....... 54,384 00 'i.tiS pIiculs birds' nests, " " 130.00....... 738 40 1.24 piculs white birds' nests, 3,200.00....... 301,568 00 1,332 piculs dried crabs, " 6.00....... 7,992 00 1,176 piculs pure cotton, " 22.00....... 25,872 00 310 piculs glue, " 2.50....... 775 00 1,192 piculs rattan, "" 4.50... 5,364 00 1,280 piculs wax, " ' 28.00....... 35,840 00 230 taels gold, " 13.00...... 2,990 00 1.391 trunks timber, " " 1.25....... 1,738 75 1,066 cavans cowry shells, " " 2.00....... 2,132 00 1,000 cavans salt, ".25....... 250 00 105 gantas cocoa, " 1.50.... 157 50 1,348 gallons rum,.- ".0...... 674 00 580 pairs plowshares, ".50...... 290 00 420 carpenters' axes, " ".50....... 10 00 3,353 buffalo hides, " ".37...... 1,257 37 3,153 cow hides (tanned) "..5...... 2,364 75 684 stag hides, " '.13.....' 88 92 1,280 mats,. ".30...... 384 00 731 buri mats, " 1.00....... 731 00 748 hats, " ".30...... 224 40 Various........................................ 6,333 95 12 riding horses, at the average price of 50.00....... 600 00 $806,945 29 There was, therefore, nearly three times as much imported as exported. The list of articles exported, with their prices, is interesting. Of the leading articles of today, sugar was the only one of importance, and even this came after white birds' nests and indigo. Comparing with this the table of Dr F. J. F. Meyen, on board the Prussian merchant ship Prinzess Louise, eleven 54 THE ECONOMIC CONDITION OF TIE PHILIPPINES years later, we find a great increase in exports-in the case of sugar tenfold, though with hemp. again. not figuring at all. He gives the exports as follows: 1S29. 1830. Sugar.............................1 20,274 piculs. 138,387 piculs. Indigo.......................... 11,809 13,863 " Sapan-wood.........1............ 11,675 ' 1, }4 " Hulled rice f 114,793 cavans. 197,486 cavans. Hulled rice...................., \ s. 1]04,357 lpi)iuls. 179,532 piculs. Unhulled rice (pa(ddyl...........:0 a ls 'i 28,027 pi'iuls. R un1............................. 1),551 gallons. 4,595 arobas. 4,257 arobas. lCiars................ 5,843 kilogrls. 48,-55 kgr. Thlie relmining less ilmportant articles are omitted. Since foreigners have ceased to be handliclapp)ed by Spanish discriminations. trade lhas steadily increased, even if not to tlhe extent it should; thle trade of the I'lililppines shouldibe twenty times whlat. it is toda(. At the end of the twenties. im)ports and exports were practically equal. Imports. Exports. 1827........................................ $1,048,(80 $1,093,690 1828..................................... 1,550, 1,475,034 Up to thle seventies botlh had been increased more than tenfold, tile exports consideral)ly exceeding the imports. In round 'niuimbers, tle trade for the years 1870, 1875, and 1880 may be stated as follows: Imiports. 1870................................. $14,000,000 1875.................................... 13,000,000 1880............................1...... 17,000,000 ~i... Explorts. $1 6,000,000 19,000,000 22,000,000 Tl'e only exception is the!ear 1872, when the exports stood at 161 million dollars and the imports at 22 million dollars. In 1892 tlhe exlorts Nwere 33 million dollars; the imports 2.5 million dollars. It is a difficult matter to give statistics of the imported goods, since there are innumleralde articles not entered separately at the custom-lhouse, l)ut placed for the purposes of duty in certain classes. Some of the leading goods may,however, be mentioned. From Enlgland, Manchester articles figure conspicuously, togetlier wit] a number of less important wares, such as lardware 4 THE ECONOMIC CONDITION OF THE PHILIPPINES 55 and leather goods. From Germany come better-class textiles, tricots, hardware, paper, leather, steel and iron, machinery, etc. From Switzerland are imported St Gall laces, muslins and silks. From France come Lyons silks, machinery for cigarette making, and paper. Austria contributes principally Vienna furniture and Bohemian glassware. Belgium sends glass and glassware, iron, paper, cement, etc., While Russia and America furnish kerosene, and the latter country also sends flour and tinned meats. Spain formerly exported little but wines and lprserved foods in tins. Within the last few years she las commenced sending to the Philippines other articles to compete with the wares of other countries. The Spanish goods are in every way inferior to those of foreign manufacture, and on account of their being free f-oni import duty the prices are considerably lower. In the following table the exports during the last five years are given. The minor articles have been omitted: Principdtl E.tpiors f.rom the I'ili)pineo from Jfr doimtry 1 to Dec(eni r 31, 1896 Iou t r tteieH. ST'Iion.. ('igr:. (opra. I /]i /l.<. l'tcut.. t'wl s., (~,tiittl.,. T'hou.snl.. l'icrtlsn. Piculs. 'o tretat iBritain........ i 793,1i>, 815.,o44 l19. 47,1:35,tt 3,:34o 3:3, Tro Unite li Statt -......... 542, 74 i;15, 4 i............. 132 i)....................... 'o Europe................. 774.x3j 5,1titfit 9L S I4,! i:32,il............ 5483,812 I'o A uistral ia.............................. 33,892 i2.. 14,S5 > l........................ 'o Chita, J.pian atn India..................... l7i,3)77:1, 1. 7 ll.71; 112.. 0, 323 3,:t,895 To Cana................................................................................... Total in 1896.........:.....:S.l, S 1, 1,8ttIs ) 1,4:14 21!itiL l9.,1t) 5>.,66:3 585,' )7 Total in 1895..............:.il94,76! 1,t, 4,-)!t I-..,27 225, i77 19n,27t:38,99!i 594,46;9 ota in 0184..........:..1,1tS 1,.)91.!t;2,I 1!S 11 9-4,3H) 14t1,117 75, 115 51(0,ft3.3 Total in 1893.............. 4,184-.296 1,282,l!4'.0 231,572 - 1:,844; 7,3588 188,404 Total in 18'-2..............:3,!,)4,otio 1,.581,lt 21,1 t1 24,(H1 1:1,414 4 52,432 I 29'2,536 I'(tlfex-1894, 189.5, tid 18:.6'.\rticles. I01. 503".. 1894. -1e __ --- —----------- -_ --- — — I ---- 4 --- Sugarr................................................................ $14,1 lt},tll I $12,2'B1,0(NtA ) i 812,590(,000 He p...................................................................... I1. l. 0fi,tiN 13,:17,(Ht) I 1,750,(( (Coffee..................................................................... i7. X) 8, t 412,000 Tobai-l o.............................................................. 2,tl,,) 2.7l)7,7. 50 2,:110,000 Cigars...........'..................................................... I;!,,inHt, I l,, ),000 Sapan-% o,)l......................................................... 7~,<N | 58,41 )1 1 2,000 (opra.........................................................,ti t [ 2,(!8,0t(HN 2,50(),i000 Various........................................................ z 4,1Xe 0i0,8(0 i 115,00 Total.............................I.................. $:2,771,- )xx $:: I,22)5.1 0 $:2,279, X00 'The exports from Manila alone, the most important place tobe considered, were during the past six years as follows: 56 THE ECONOMIC CONDITiON OF THE PHIILIPPINES Exports from Manila in the Years 1892-1897 Year. H eetmp. Cordage. Coffee. I Tohaceco. ('igars. Pioels. Pii,.l.. Pie... 1 Qi4nt als. Thosands. 1892..................................... 1,40S,444 1,3.54 21,411 2>4.063* 1 1:1,,395 1893..................................... l1. >4, 7;t; *,21Hi:,2) -, O, 72* 1330,320 1894...................................... 1,:322.(,l<> 1], IHI i',, I/ 194,5.40 * " 138,0 ) 189,5................................ 1.44i.,.. 3,774 I:,080 | 22,1,l* i 'l8,'20 189t;...................................... 1.3::,11 3,5l;II j 1.434 21 2,70>* 195),800 1897.............................,.74:3,873, 4,.478 319,883:* 183,735 8 2............... 2.3 4 *.,;,i5 223 _ 5.........., 44, _ t.... _ _t. _.50 frequen tl to iake advances, wtlicl certainly in/volves risk, thoug i. one is1 cautious w:ith whom one: deals the business is safe enougih. The main tiling in tile case of transmarine places j18st s.ging up is to know tle exact state of affairs a,d to be in a position to form a sound judgment at a moment's notice. The business between the importers and the Chinese retail dealers is done either by meas of accep4tace (pagare) at six months or, as is now more gen l a eral cash within four to six weeks. with 5 per cent discount; but, e unfortunately the four to six weeks are very often exceeded. Ins certolvencies frequently oc(irr among tile Chinese. Tlhe creditors usually prefer to come to n arrangement, for if once tile matter comes before a Spanish court it is the invariale rule that thoe creditealrs gethe usinessg at all. Fines (muritas), particularly in differences with te of a ustomhouse, are imptiose iform a ound judgost annoyig manner noti every possible occasion, the officials receivingrs a share of the fChine imosed. A ship wliicil, for instance, does not deliver precisely the number of bales stated in ther by manifest is fied for eac bale more or less k1,000. In every bill of ecntry theweight must be stated eforeha six eed, ared ifit is not correct a fine is infted. In this way there are a thundre Ch kinds of credicatoery pracced, all costing uch unnecessary expedit f or f oneyce the gatte reater part of whichl goes into tise pockets of the oficials.numFber of liles stated in thle maif est is fianed for eac baoye morey. * For thle mosqt paort to $1)avit~ for the mtonop~oly. THE ECONOMIC CONDITION OF THE PHILIPPINES 57 The tobacco monopoly, with all its heartless severity and imposts, was introduced in 1781, under the governor Don Jose Vasco y Vargas, the government, by no means for the first time, finding itself in a critical financial condition. The population guessed at what was coming and opposed the new measure, which was only carried out by force of arms. The law prescribed that every native might plant tobacco, but might only sell it to the government. In the tobacco districts every native had to grow a certain number of plants and devote all his attention to them. The collecting of Caterpillars was done by women and children, just as it is today. This might have been well enough had the people been able to enjoy the fruits of their labor; but the worst has still to be said. The tobacco was sorted, "'aforado" as it is technically called, and that unfit for use burned, so as -to prevent fraud, The principal matter in sorting was the.length. 18 inches and over was primera (first) class. 18-14 inches was secunda (second) class. 14-10 inches was tercera (third) class. 10-7 inches was quarta (fourth) class. Smaller but good -leaves were sometimes classed Go and 6. For valuing the tobacco the officials used a scale, a cording to which the planter received some 20 to 30 per cent of the real value. But he was not paid in cash. He received a certificate, a kind of treasury bond. Had the people had security for the payment of these bonds at an early date the latter would soqn, no doubt, have come into currency as paper money. But, far from this being so, no one would have them, knowing that five or six years might pass before they were redeemed. The tobacco planters lived under more miserable conditions than the worstkept slaves, and were glad if some noble philanthropist would give them half the value of their certificates, for who could say whether the purchaser was not risking his 50 per cent. Frequently the bonds were practically given away. In the cigar manufactories in Manila 30,000 workpeople were employed, and were always paid in cash; so that their lot was more enviable than that of the planters. That under this system, in spite of the enormous army of officials, a profit of four or five million dollars was annually yielded can be easily understood. l'he savior of the unfortunate tobacco planter was one of those Spaniards in whom there was still the blood of the hidalgo, the intendant-general Don Jos6 Jimeno Agius. In his report in 58 THlE ECONOMI1C CONDITIOIN OF THE PIIILIPP1NE8 1871 hie relentlessly exposed the condition of affairs under the monopoly and strongly advised its abolition, unless the government wished to (lestroy tobacco planting,altogether and bring about the absolute ruin of the planters. who were living in the greatest misery. Furthermore. hie showed that the necessarm' new buildings and planit in thme factories would protty well absorb all the profit of' time ensuin g year. T]his very competent,,and energetic, man could not carry his wishes into effect at the timme; lbt teni years later. im conjunction with time colonial minister. Fernando (le Leon v, Castillo, liewas able to bring about the abolitionl of the monopmolv, and on July 1. 1 882. the planters Werce frecd from their chains. On January 1, 188:3. the free mianufacture of tobacco was also allowed. The rate of duty was, howevcr, raised, tobacco and cigars pmaying an exhort duty, while thme iumplort dity was raised 5(0 p)r cent. 1In the first place. the treasu ryN bonds haod to hue redleeniel,,and this was done by means of auctions. whereby 81501)1)0 was redeemed nionthlv, prece(lemue b~eing, giemii to those holders who offered their hoods at the lowest rate. The governnient had even the impmudence to dleclare that ulenuanuls for mmorc than 80 her cent would not be regardled. The lirst 1 omdlmolders were readlv to take 45 antI 55 per cemut. but it was soon found that a number of holders were p~repatred to take vigorous steps. refusing to acceput less than 80 icr cent. This caused time government to hasten the redemption. 111(1 attlme close it hadl clearedl a sumi of two and one-half million uololars. Sinloe January 1. 1853. various cigar fjmctories have b~een estal)lisheul. of which, however. only a few turn out a reallv first-class article. Thme cig~ars manufactured liy rpanmy Chinese factories anuj% ini the liomies of time natives are of very inferior q~uality. A newv tariff was introulucedl in 1891. which professemh to be luaSed uponI mm (ILnty muf20 per cent. In reality, however, nearly all articles vielmiem immore, some even vielding over 10) iper cent on their valuie. Thmeni there were various,auhditional fees to pay on inmemits.,ammu thme exhort fees were also several times changed. Toulavy the puractice is as follows: In time import tariff, which in the case of somme,articles is himcrethsed by 20) per cent, are aduled harbuor Il ines, ammoumitimug to It) icr enit anmd 8 per cent of the vauuie of' the goodis, which is fixed hmy law. Spmanish goods pay omulv time hiarbuor mines mmmii time 8 per cenit of the value, thus gettingr imipuo the mmark~et to the dhisadnuvamtage of other huetter and originally elmeapi~ CChrodulce. THE ECONOMIC CONDITION OF THE PHILIPPINES 59 Of the products of the country the principal ones pay export duties as follows: Hemp..................................... $0 75 per 100 kilo., gross. Indigo..................................... 50 " Liquid indigo,............................. 05 " " Rice................................... 2 00 Sugar.................................... 10 Cocoanuts and copra....................... 10 " Tobacco from Cagayan and Isabella.......... 3 00 ". Tobacco from Visayas and Mindanao........ 2 00 " " Tobacco from other provinces............. 1 50 Manufactured tobacco................ 3 00 and all produce pays 81.50 per 1,000 kilo. harbor dues. In 1880 the harbor dues on both exports and imports were raised-at first by 20 per cent of the import duty and 1 per cent of the export value-for the purpose of building a new harbor. and this. with some few alterations, remains so to this day. The harbor is a long way from being finished; nor will it ever be finished if the present system continues, even though of late the work has been a little expedited. 'At a normal rate of work, what has been done could have been finished in one or two years. With the amount received through the increased dues, ten harbors could have been built; but probally the money no longer exists. The duty returns were, in1828........................................ $227,000 1829....................................... 2 9,115 1830.......................................... 228,061 In the last few years they have stood much higher, this being principally caused by foreign houses. For the past three years the returns were: 1895. 1896. 1897. From foreign houses.. $2,818,900 $3,106,100 $3,322,500 From Spanish houses.. 361,400 425,900 903,000 Total........... $3,180,300 $3,532,000 $4,225,500 Thus the foreign houses paid of the indirect duties, in1895..................................... 87 per cen t. 1896............................... 8 "8 1897....................... 73 Ol THE ECONOMIC CONDiIO7N OF THE PHILIPPINES lDuring recent years the Spanish figures have risen by reason of the increased export (inties on tobacco which thie Com'pafia 6Ceneral shipped for the Spanish monopoly. NECESSITIES OF THlE SITUATION Inow comne to thie question, `What imust be done in order to bring, tue produiction andi tradle of the colony into tile condition ill which they silouli lie? ' Thle answer follows fr-omi what has alre~Nav ibeell stalted. Before Ill, tile systemi of allinlinistration. niust be ciianged and coninerce lull] shippin)lg, indiustry and Illininig. as also phlanting. giveni free play, quite indiependient of the nationlalitv of tile ipersons concernedi. If the natives lare not Ilumerous enough to supp)lv' sufficient workmien, Cihinese cooiies siloull lbe b~roughlt ov-el ulllier governinfent supiervision, ill tile saliie wllv as is done ill Suinittra. The export liuties should lie wilholiv allolisiled an~d tile illipolrt duties ilut on a suitalile basis. TIhe iiariior work~s at Mallia, shouldi he comnpleted anil safe landing pilaces should be piroidledi fur- larger steamiers, and if not a free port, at all events a b~onded warehiluse is necessary. I loentioil first a111 pirincipally Manilla, wihicil will always remnain tile ceilter and lirincipial enlilprium. A beginning must iie made by opieThlng up Luzonl, by laysing d]own good roads and ciinstructing liridgues, of which today there is an absolute lack. Tlue waterwllvs sioldl~ lie coiitroiled, particularly those wilich can lie easily loads navigable. The construction of V96vays siiouli lie contillued, in iirier to connect tile interior provinces with Manila. Tlue muost ilolortant lille would lie one from Manila tilrougil Nueva Ecija, tile Caraballo mountains, the province of 'Nueva Vizcaya, into tue v'alley of tile Rio Grande dle Cagayan. 'I'len a buranchb of tile line alreadly existing from Mlanilla tol Daguplaii to the lproplosed naval port, Subig, which was recenltlv d ecided iuponi, but ilas not yet been constructed. Conlmliunication with tile Pacific coast,and numerous branch lines will also gradually be required. Only a few points can be toticieui upon here.A railway fromt Manila ria Mariquina toi Antipolo would be of great illllortance to 'Manila itself. It would pass through all extremiely wecll-ipopulalted country, which already supp~lies Manila with agricultural produce and articles for the native piopulation, and finally, after about 20 miles, ascending with a pretty steep) gradient, would reach Antipolo. / 'THE ECONOMIC CONDITION OF THE PHILIPPINES (1 Antipolo. a famous place of pilgrimage in the Philippines, lies on the west spurs of the cordillera, in the province of Morong. It enjoys a cool, agreeable climate, and therefore would without doubt form a very suitable health resort for the inhabitants of Malila, and indeed perhaps a climatic health resort in general. For Europeans working under great strain such a place would be invaluable, particularly during the hot season, wihen the night temperature falls so little that refreshing sleep is often quite out of the question. Nor is it absolutely necessary that Antipolo itself be chosen; a still more suitable spot might perhaps be found in the neighborhood; the chief point is to set about the matter in a practical way and properly carry through the scheme. Antipolo is frequently visited by foreigners. As far as the Pasig the route lies over what, for the Philippines, are-tolerably good roads, though miserably bad ones compared to those of English colonies., After crossing the river, a half day's journey further over roads which are nowhere good and in places are as bad as possible brings us through Cainta and Taitai to Antipolo. The effect of the journey is felt for hours afterward. In April, while the heat in Manila wasunbearable, I have had to put on a summer overcoat in the evening in Antipolo. For such undertakings as I have mentioned, and which can only be carried out by companies, it is absolutely necessary that concessions be granted with promptness and dispatch. Hitherto the custom has been to dally for years, until finally all interest in the matter was lost. Once a concession was actually granted for a railway to Antipolo, but the line was never constructed. It would take us too long to deal Nfith everything which would aid in bringing the country rapidly into a prosperous condition and lead to lucrative" undertakings. What should be done is in general to be gathered from a consideration of the present unsatisfactory state of affairs. If once the first step were taken, others would follow, not only in Luzon, but over the whole archipelago. I must not omit to give some particulars of Manila itself. At the place where the river Pasig, theoutlet of Lake bay, flows into the Bay of Manila, lies on the left bank the fortified part of Manila, which, being inclosed by walls, is called Intra Muros. It is inhabited by monks, officials, sordiers, and a few shopkeepers. Foreigners do not reside there, nor have they property in it. Running southward along the shore of the bay T11 ON( O/ It' ( Y )NP I 7'1(.N- W, I In, t; I. NN. II I-c I I:I re I I el ( I everY evel II c n t I n n, t N1 s I I I I 1.1 F 1.1 I I i t I. I I I I M I I n t I I I I I I't III I I v n., I I I r,: I I I I I I I I II I ),,-I I I I I I IY 1 I v I as. )II I I t I I - I I - t I Nv I Y I I I I I. I 1:1 I't -,I c( 'I I \v I 1.( I r - I V I' l" I I \v I r I I I I I I t I II - I I I I t~:rl,,~rs,,flit,',:~l~ll i';i,.t,,ri~.s:lr:~ls,,'l t(r. l"tlrltl, ' iort /~.,li tl,~. -1,t,r, ol1' tit~~ 1,:iv. i- 'i',,]~t,,.:l sttl,~l]'t cos:isti],,_, ot',;:,tir~.]lltS. '!'o tl,. c;lst:I',, MlIi:i.,_,: 1 'l'r,,zTo. 'I'llyt~4e arc tle,1:u'cs lp'ile 1, tl,( l(, I i,. I 'l tl, river.,,ii tI( ri-li t,I:,, k.;ti(- tl I st ili.ll rs. It;i ( 'ru z, ~JIIi;, |,. Ia I I i'Iltw l. I'l';ll lldli, S";,,ll,:l(, 'Tll, |(,l,,alati,,l todv is _ivc\l;it:I(l>(L, li(. ais at )r,~|l)r ',',' 1t. S 1,;,' ], ' ] (1,ll talN. t]is c,;l,,l ) e l t I'':ll'l-:is etxat(ct. tll Il,{ilig tlhe 1(l>til:itiol ot' tlhc -t{lnil)s. tle, 111uii}rel of' illhal,it:itsit is t,,',},:tv,l, gr,':tt r'. Ill tlIc true:-el sc ot' tli.o(rd,. Ma:,Iil: canII(ot 1,w said to be lilea;ltil'. ()I tlih eoltrtry, it is oit of' tlic Ilolre le:altilv of tro,4,)i (ll t()w lus. tli ll,,']l )ali anI l t a,,I d ilntcn l Iittc It fevers (1do 'c'cu1''. eV' II it' less ',fr( IlIIcntlv tlall, (lsc(\\lcr(. ('litole a, whi.I 1THE E'ON()1l ( '.T\')17 I(1> H Ol 7 '111 1't111,11'1'I.\'1, i;:; l>y tlt, (cxc.(llenlt w\;t(tr sil:lylv. T'ile wattr (colil's 1troi'l S~;itolll~, bi,,lt Ilitlit mlilt's (.int.llltl iS c(dlected ill tOlR r.,(,ir: It:;"ll.l1;1, 11<l1.l M, lte;11h(1 tl:'ll('' c, l tlol]'t'l to ll.il;. 1 lI k'( ~ ll chot \\~; l c; o 'l -'l'; 'illc-(c ].8 (). o"()r thlt. wa ttc'r -. l lv tilt v- c r I (I rs- -llerII ll r I 'ar1rit,,l(;11(l M olio,,r i ar1,( to I, tlll;,kc(ld. ()t' tllt'.'c tile lirst ill lli' wi{ll l(Il' t;1 I llIl (ot "i """'! to tilt; to tcl l t r til,l '[r ) ';.; l ti lt'.-.uccmlil -li' X't;li's laltl'. ld( til' wok ciT;ll'ild oit whei. no o(e l ls' til~llr t,)I' tr(- l-lill';ll,,tILt it. lolis~,s }lave to 1,wr ('rec'-te, I:ccrdill to certail rule's. l;iil (1owl1 ill oI'Id t o 'i to'" a i lst t i rt'l'uilellt cartl(ll;l;(ak -s. '1'licy are t)r t}i ' I ll()St )Lart tw\()-st)ri d twellill s, I}'low )t sto)ll' alnd;Ih\ mal,'t' ww,,,,,l(. \ ithl:'1 'anillizt'(t i,l'l r)(4,ll7. If tl(' Ir(,t' is tilet. til(,'t-ililIL, tIst 1,{w (' p1lankl s stl',Ilg t. i)ugl to) resist tl(e flail ()t tilt rml'. Silnce. lilllutry '2:,. 1S'!)L. tlit' tOwnl lhas l)eel ligrllte, 1)V an}d('tri('itv.;t11(1 tll(' tCl (ctric lighlt 1l1as also 1){,te ilntr-)(ltic{,l ill Th,~Ulil,,llises. ile ilnstallationl was tlolle ili t)al't Ihv anl.\lAliali:ill(l anldls 1)c'(_'11 t',tinltwd 1,v a (;tw'rill;an ('01111);.tlpa. A\S v.!(t tllere is,o.el(ectric trallnwav. n(or is electricity used illdustrially. lli- is pri(ilall 1y due1,) IoI dulht. to tile "Electricista" 64 TIE ECONOMIC CONDITION OF THIE 'PILIPPINES (Co!l pan y. which has not yet been able to make its electric power statitnl yield a goo(d divid(enll There are horse-car lines in the city. and a steaml street railway rusls to Malalbon,: large village s;tuated to the north. Besides the private vehicles, there are in the city a large numlber of hackney coaches. These are divided into three classes: thle carruajes (landau, with two horses), quiles (two-wheelers, closed, door behind. one horse), and carromatas (two-wheelers, drawn by one horse). The latter are also used in the interior, so fir as there are any roads. The transport of goods is carried on bIy means of two-wheeled carts, drawn each by a buffalo and holding some 1.000 kilos. Life for foreigners in the Philippines is quite agreeable, and particularly so in Manila, wlere there are comfortable residences; nor is there lack of company, excursions, and other sources of recreation. In other respects, also, creature comforts are by no means neglected, provided the requirements are not too high. If once'the city and its neighborhood were developed in the manner indicated, there would be little lacking to make life there thoroughly agreeable. Manila would then soon surpass all other tropical towns as regards health and comfort. What the future- may bring to the rich and beautiful Philipline islands it is difficult to say. It is, at all events, my sincere holpe tllat this insular ldomain may soon blossom forth into that degree of importance to which it is by nature entitled. A RECENT report of the British vice-consul at Hodeida on the Red sea contains some interesting information concerning the province of Yemen. Mocha, once its capital and the queen of tlhe lied sea, has now only ruins to show what its glory was in the fifteenth century. Zabud, also a city of note in ancient tinmes, is now a center of tlhe trade in hides and skins. Except weaving a kind of cloth, dyeing, making mats and ropes, and building sailing vessels, there are no manufacturing industries. All the food grains are cultivated, however, and but for the unsettled state of the province and the want of education, the inhabitants would, it is said, be rich and prosperous. Hodeida is connected with the outer world by a line of mail steamers, and a weekly niail is sent to the chief towns of the interior. It is also connected by telegraph with Mocha and Sana, and with foreign countries through Perim. The population of the province, is estimated at 3,000,000. -.,.,,, MANILA AND THE PHILIPPINES By MAJO( A. FALKNER VON SONNENBURG, Imperial German Army, Late Mili/atry.4ttchM at Mcanila After Admiral Dewey's splendid victory at Cavite, the neutral powers sent their ships as quickly as possible to Manila bay. It was expected that the quiet waters of the capital of the Philippines would become in the near future the scene of great military and naval activity, and that many still doubtful questions in modern warfare would there find a practical answer. It was only by chance that Germany had at that timle a relatively strong squadron at hand on the eastern station. The territory acquired in China only a few months before had made it necessary to assemble there two cruiser divisions, and as the news of the complete annihilation of the Spanish fleet became known, the admiral of one of these divisions had to go down from the Chinese and Japanese seas to the Philippines, The division was at that time engaged in drill and training in evolutions and target practice, and so it is easily to be understood - that the division commander would not wish to divide his squadron, but, on the contrary, would be glad of the opportunity to make use of the trip down to Manila for training and' evolutionary purposes. I do not believe that any order of the German government had been given to assemble a strong squadron at Manila. I understand that the leader of the division, who is fully responsible for the training of his men, had in this regard an absolutely free hand, as is usual in our navy and army. But besides these purely technical reasons, it was to be considered that hundreds of our countrymen, who lived outside of Manila, scattered over the Philippine islands as traders, planters, or engineers, might be in a very dangerous position. The insurrection of the Filipinos against the Spanish rule had become general, and rumors were heard that all the small ports, like lloilo, in the different islands, each of which contained a few of our countrymen, were besieged by the insurgents, and that their lives and property were in the greatest danger. Under these circumstances it was to be expected that after the arrival of the squadron in Manila bay ships had to be detached C,.. c,' 66 MANILA AND THE PHILIPPINES and sent to the small l)orts to look after the safetyof our countrymen and the women and children of otler nations. It was to be expected that of the five ships which were first concentrate(ain Manila bay two or three woul(l be always at sea., patrolling the islantis and visiting the places which were said to be in imlminent dallger from the Tagals. The tl'~ powers at war, America and Slain, could not do that. The former had to remain in front of Manila in her full strength and could not make detachments for purely humanitarian purposes, and the latter was so broken down by the fall of Cavite that she could hardly look after such matters. But there was still another reason for concentrating the division of Admiral von Diederichs in Manila bay, one worthy of sl)eeial interest and consideration. By such concentration on the quiet and well-protected waters of Marwetes bay, near Corregidor, the release from the navy of more than 1.700 trainled men from tihe different ships, the embarking and dischafging of necessary cargoes of ammunition alid provisioIns for the Ien iand officers could be easily done in a few days, whereas without concentration. it would have taken many weeks. On June 29, 1898, the German naval division of Admiral von l)iederichls had finished that'w ork. The admiral had sent home 1,700 of his ol(, well-trained sailors and gunners. lie hlad sent home two-thlirds of his best and most experienced officers and men, wllom hadl been with hlinm three years on the Asiatic station. lie hlad replaced them with recruits, with men who had hadl onily three months' land drilling, who had never been on' board a man-of-war before. who had never fired a gun, who were to be the sailors and gunners of conming years, but were inexperienced at this critical time. And now may I ask the question whether aly responsible flag-officer would or could do that if he had had the slightest idea, or belief, or wish, or intention, or instructions to meet an adversary in the near future? It was a tropical hot midday of June when I received my first impressions of MAanila and Manila bay. On board the German cruiser Pl'inzess Wilhelm we passed first the high and wonderfully situated island of Corregidor, which colninands thk two passages iinto the interior of the wide bay, and on0 the toi) of which powerful American fortifications may be erected in ilater days. Next the peninsula of Cavite, on our right, came nearer and nearer, and soon the tops of the masts 'p MANILA AND THE PHILIPPINES 67 of the American fleet behind it became visible;- not only these, but also the wrecks of the sunken Spanish ships came into view. The victorious American fleet was anchored on the'watery battlefield, and the spoils of her glorious fighting lay between her and the shore. In front, just before the city of Manila, was a great squadron of neutral ships. There were three German, two French, two British, and one Japanese men-of-war, while between them were anchored chartered steamers full of refugees of the respective nationalities which Admiral Dewey's humanitarian warfare and broad-mindedness had allowed to be brought out'of the besieged town, the only condition being that the Spanish vessels had to fly the flags of the respective countries which were responsible for their return tobthe American authorities after the surrender of the town. Behind the neutral fleet, whose size was changed almost every day by incoming or outgoing ships, the churches and towers of Manila, still four miles away, rose one by one odt of the sea, and then the palm and banana trees and the bamboo jungles became visible, inclosing, like another green ocean, the lower houses and buildings of the old city. Far away the delicate blue line of high ranges of hills bordered this wonderful tropic picture with its warlike foreground, but. peace seemed to rule everywhere on the beach. The steam launches of the neutral men-of-war rushed to and fro, cdrrying officers in white tropical dress who were making or returning calls. Boat drill was going on, and the yards of the neutral ships were hung with the laundry of their crews. Small Tagal sailing boats alongside the men-of-war were bargaining with stewards about the price of fruits and vegetables. Sometimes a vessel flying a strange and hitherto unknown triangular flag crossed the waters of the bay from Cavite to Malabon,filled with dark men-the Filipinos under their new colors. When the moon rose ifi her full tropical grandeur over the darkening sea, when the electric lights shone here'and there on the great iron and steel structures which rocked quietly in the phosphorescent waters of the bay like big whales, then flashed out the search-lights of the American fleet over from Cavite, then could you see also the dark red fire balls of exploding shells near Malate and hear the continuous crackling of musketry. Then you knew that there was war, that another of the Filipino 68 MA ilNILA ANI) THlE PHILIPPINES night attacks was,a~in on. m1id that again men were losing, their lives in the ba-imoo jungles andl rice fields round Mlanila. From the refugee steamers near by the~ound of Spanish guitars swelit over the quiet sea, and silvery clear voices of girls cou'ld he h eard and (Imeerry laughter! Th ere th ey dlaiicedl th ei r national dances, the Anudalusiana amd (asti Iai na, on the clirty decks of the vessels, lighted perhiaps hv only one snioky oil lamp, while officers of the (different navies formed the enthusiastic audience of the gracefuil perform ers. Quite a, different picture was to he seen in the hesiegred town, Manila, itself. The (lee) Pasig river, ruLnnin~g down from1- the large lake ( Lagna, (Ie flay) to the sea. (dividles the town into two parts, (iffering in their inhabitants., their buildings, their social life., and indeed in almost evervtlhdng. To the left of the river is the o(1( tovn Intra Muros1011. This.- p~urely Spanish town is surroun11ded hyI the walls of the fortress and covers a space of perhaips t hree-quarter-s of a ie square. Hlere the conquering SpaniardIs fis ete )O. er go. Mlassive( stone huildings, ilCudI i og the governiment house. thme archbldhioiI's lpalace, monasteries, andi cathedlrals, line the narrowv, dirtyv streets and squares. in which von iiieet scarcely any one hut monks, soldiers, aol (lark. piroud otficials. There is no modern, quick-runniun life ini that meliaival towin thleme are no shops no0 offices. no traile. One-third of' all the huildings are' the piroperty ot' the chur-ch or of time diftferent orders of monkK, and another thi d is coiIIIloseil of the govern meint houses aiii military e,,tahblmshments. H aying passedh the (Ifrk fortress (oors and the sleepysentries hefore them, -(You feel in a foreigi. long-past world. Here is the resileiice of thait administration which helieved that it could still he liossilble in (our time to separate a gifted native plolpula-tion of moore tham seve)I millions froum all that Inodern -culture t~:had lprodluceil. From jlis place issueil those om-inous decrees 1i which p~rohibited the importation of' any hooks or papers for the natives wvhichi had not th~e sanction of the church, ',limd did not allowv thme poor inan to raise more than oine crop of ric'e a year for his own suistemmance, even to pirevent huis coining to want. Here was -settled that division of the whole island of Luzon hetween the four eniormously wvealthy (nil powerful orders of A ugustinians, D~omninicans, Franiciscanis, and D~es Riecollets, and thme government could only silemrtlv approve such an arrangeinlent, knowingii well that in that country it could rule only hy and through the omnipotent monks. Like that of jnediay-vl lords, i MANILA AND THE PHILIPPINES 69 their rule was autocratic and absolute-an iron regime not only for the natives but for every government official who might 'hafe dared to cross the ways of the priestly lords. Since the days when the pious Spanish discoverer, holding; in one hand the sword and in the other the cross, took posses- - sion of these islands, 300 long years ago, has lasted this terrible misrule over this unfortunate people. But at last the reaction against that incredibly anachronistic administration took place. A highly gifted young Tagale, educated in Europe and having great poetical talent, was able by his songs and poems to excite his countrymen against the Spanish rule, aid when some years ago that man was arrested by the government and shot, without trial, on.the Luneta in Manila, the Filipinos began their first insurrection against the hated priest-government. Terrible atrocities were committed at that time on both sides, and there was hard fighting, too; but at last the Spanish government succeeded in overcoming the more open resistance. But the fire was notextinguished. A secret society, the "Katipuna." spread its membership over the whole island of Luzon, preparing another surprise! The murdered poet had acquired the fame of a national hero and martyr, and mysterious tales were told in all the Tagale villages that he lived still in th6 mountains in the interior, to conie down at the right moment to take the leadership of his people in the great fight for independence. And then the second insurrection began. The terrible scenes of cruelty were repeated, but again.without any decisive result. A sort of armistice was arranged at the end of 1897 between the young Tagale leader, Agninaldo. and the Spaniards,-and this continued until the beginning of the recent American-Spanish war and the glorious battle of (avite. Strange tales, indeed, these time-blackened government buildings in Intra Muros can tell. They knowlmany things about a flourishing Japanese colony that existed two hundred years ago in Manila town. Thirty thousand industrious Japanese once filled the streets of the old city, and the best-regiments of the Spanish government in those olden times were composed of Japanese warriors, but the narrow-mindedness and intolerance of the Spanish rulers drove out the followers of Buddha. The Japanese warriors, the Samurais, and the industrious and able workmen left this unfriendly and inhospitable country at the same time, and that long sleep began which was to end at last with the thunder of Admiral Dewey's guns. i i i.i,7 I - I / Z ~ 7. 70 MANILA AND THE PHILIPPINES -But we wvill leave-the old haunted town. It is an unwholesome place, full of evil spirits a0(1 horrible mnemories. We will pass the Pasig river, with its resting blockaded ships1 aird enter the noriern city of Binondo, fuill of' life and traffic and of the great blusiness houses of the white roan. The streets are crowded with Spanish voluntarios, who are very conspicuous in their swell ur iforms, filling all the caf~s and- beer-houses. The Spanish volunteers seemed to me to have quite a different-opinion about their military duties from that held by the Americans. The form~er refused with indignation to (10 (utiv in the trenches outside the town. They (dedlared to the captain-general that they were not willing to do such poor, 1p1ain, private-s~odiers' work, and that they preferred only to make the -' guard routine ' in the interior of the city, andi with old tastilian p~ridle they have (lone that tiresome, but rather safe work. I found the p~ublic buildings irr Binondo occupiedl by strong (letachrenets of well-d ressedi, well1-nourished, andl well-armied. young men, who -*helped themselves through tlre hardships of tire wtir by playing cards and smoking innumnerable cigarettes. We will leave themi to their innocent (doings insilie tire town and Nvalk to the circle of the wid ely extended sulburls of Ermita and Malate. The more, we advance, the mnore the character, of the streets changes- No rrrore the crow~d of people playing at soldiering; no more tire symptomis of untroubled safety. 'Ihe streets beconire absolutely emipty; all tire shutters of the houses are irernretically sealed rrrd the whristlirrg (If passing Mlauser bullets canr be hreard; sorretirres they strikrcthe walls (If the brick couirtrhiorrses (If tire wealthrv Manila ipeoiple with a sirort, dry noise, or -i erfiorate tlire rrriser-airle )ibarnb(I)irutso(f tire rati yes. Tireonly Ii virng beings you cror see are srrmrl 1 od~ies (If Siparrisir regulars, rrrlirr rrlesy ill tire nr)iddle of' tire enfiladed road — to tire ill-famed trencires. They look hrriggard arrd worn out, but they are brav-eimeni,aird(10 niot carie forwirlistling bullets. Silent, dull, and roireless as are tirese poor unfortunate privates and their subaltern officers of tire froirt, tirey do their duty scrupulously. For three irontirs they have lived in th~e trenches; they'sleep there, tirey eat there, they fight there, and they are buried there. The Siranrisir forces are widiely extended around the suburbs of tire townr in a circle of sixteen rrriles; rro carefully regulated relief servc;ice is irr ol'II~ra~oi, andl all mnilitary preparations give the impression of improvisations. In the trenches it is still MANILA AND THE PHILIPPINES 71 worse; the low ground has prevented the making of deep ditches, as water appears at a depth of from two to three feet, and so it was found necessary to bring out sand-bags and by other artificial means get the necessary height for the covering breastwork. Careless of the danger from whistling bullets are the Spanish soldiers lying in those miserable intrenchments; apathetic everywhere; no activity, not even the wish or the will to improve the very imperfect shelter; such wa;l the general impression upon a military expert; and the tropical sun sends down its fiery arrows to the marshy land, with its numberless small creeks and water ditches, and brews there the worst enemy of the soldier-sickness. A marshy ground, tropical vegetation, jungles of bamboo, and swampy rice fields are the condition of the land that the Spanish military leaders had to deal with. Thus modern long-range firearms can be used to their full effect only under very rare circumstances. The view is nearly always limited to a hundred yards or less, and is never so extended as to make the full use of such arms possible. The artillery is, practically speaking, absolutely dependent upon the very bad roads; driving across the fields, as in European or.American battlefields, is almost impossible. For the same reasons which do not allow the use of the higher sights of the rifles, the artillery fire can never develop that overpowering strength which we attribute to it in modern warfare. 'he batteries must therefore unlimber within the best range of the rifle shots, so that casualties in the artillery may be considered as disproportioned to its real effect. That cavalry in such a country had to remain nearly always in the rear, and that even reconnaissances are in most cases better performed by infantry, is easily to be understood. In brief, the: character of the country seems to be almost ideal for the kind of warfare which military men call " guerrilla fighting." Only a very methodical and slow warfare gives reliable and enduring results. Block-houses must be built from one line to the next, fortified points must be constructed on all river passages and strategical points, if the inhabitants of a large country make a serious and continued resistance. Spain had never taken such absolutely necessary military measures, and only in view of this can it be understood that with every Tagal insurrection the whole interior of the country was in the hands of the insurgents and Spanish rule was reduced to the maintenance of the seaports round the islands., 72.lA NIL. A A ND THE PHILIPPINES Tlle chronic wani t oif montev lll d terhaps llso of energy, the influence o( f tie tillonks and friars. whllo lmaty have l)een jealous of seeing anlotheir inlltuence tillan their own estallisliedl in the ilnterior of 1ll tlhese islandlls. ives explanaltioll ellough of tle fact tliat tili Slpllishl r1le la:s 1lexvr lee,1 1iwel\ l ir ill i tlat counltry ~ \ut a stroll), er, Illtr ellergetic.:iand ior111( giftel race, withi unlimited finallcial resolil(res. 1ay do ill tile future all thalit the fornerl mausters fliiledl to (1o ill hr/ie cntii's. If' tile Sanllisil g('veronmnll t i was weak from il tlie mlilitlary loillt of view, it was not less so 1'frml tlle stail(lloillt of di(plnitcy./, in tile colniliation and r1eal;aifticltion of tile lFililpinio natives. ()1nlv in religious order siucceededl. with its -incomplaralble kllowledge of thle 1illman helllart. with its lilne sychlllogical 1and dliploilmiatic llealls. ill leinllg loved a;il esteclliedl 1)v native andi govirillltrnmet alike. If tle friarl s al tlh varitOLus olrders of mollnks were hatedl witli all tlie enl ergy of a long-ll oppressied 'race, tite refilnel lpadres aitll lloli:ignllores o-' thle fallnmis siociet\v of tlhe.lesuits, remainiei immulllnli fr'tii all thlese savage feelingsl Thiey lead unlderstood tlhat it was llot tle liriest ill his religio. capacitsv 1ut tire priestly lord, tile priestlv laliidoiwnerl. wl ex-citedl tlie Filili{illos. a1ild so the.Jesilits never tried to accumi lte prlioperty! in the iilterior. Tlhey liuilt lup a magnificent scientifi( u)iserl'ato r, witll tlie lmoist valiablle inlstrumnlents of' astrolnonl y seisllilolgy, liagiletisil, iald mei ttecorlolgy. ThleI c onlnected their lobservIatorv with all tle otller illeteoroloigical stations in tile far east, andi save\d blv tleir iprompillt warnilngs llundreds of lives aiii1 imillions oi' (o;llars. When war tiuells ca'111e over' t-lie country thousantuls of p(iir. lhomeless, ian;dk T'lgale mlen, 'wollell and childrenl foundl a-ho liile ill tile wi(le courts alnd arcailes of the Jesuits' colleges. Th'lley liaid formi'ed a safeguard olf. liserables for tieir ownll safety witli this praiseworthy nercy. l'lle could ble sure that tiley would relmain undisturbed in their scientific work, althlough between thle fighting lines. The same illen that liveil il ti}e refilled atmlloslphlere of the highest intellectualitv understoo(l tile necessity of mercy. The satlle scrutinixing eyes tlhat real every iliorliing tile tales of the self-registering inllstrumllelts lunderst[olt also hiuman nature and huImIan hearts, atndl they llave givenl to the former rulers of tile islands a noble lesson. 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