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and exports thereto, showing separately the imports of sugar, covering
the series of years named in your letter.

Respectfully, yours,
J. N. WHITNEY,

Acting Chief of Bureau.
Hon. R. F. PETTIGREW,

United States Senate.

Table showing the quantity and value of sugar imported into the United

States from the Hawaiian Islands during the years ending June -30, 1877 to 1896, inclusive.

Dutch standard in color

Year

Pounds

Value

1877... 1878. 1879 1880. 1881. 1882, 1883 1884 1885 1886. 1887.. 1888. 1889. 1890. 1891.. 1892. 1893....

30,642,081 30,368,328 41,693,069 61,556,324 76,909,207 106,181,858 114,132,670 125,148,680 169,652,783 191,733,175 218,290,835 228,540,513 243,324,683 224,457,011

79,657,426 262,612,405 288,517,929

1,035,600 324,726,584

1,848,000 274,219,828

$2,108,473 2,274,430 2,811,193 4,135,487 4,927,021 6,918,048 7,340,033 7,108,292 8,198,144 9,166,826 9,255,351 10,260,048 12,078,518 11,549,828 2,826,244 7,442,047 8,455,622

46,604 9,379,317

82,540 7,396,215

1894....

Free..
Dutiable
Free....
Dutiable
Free....
Dutiable

1895... 1896.... 1897.

165,400 352,175,269 496,175,000

7,443 11,336,796 15,336,000

Total...

3,998,000,000

170,302,000

I have added in my own figures the importations for 1897.

We have imported from those islands in the twenty-one years 3,998,000,000 pounds of sugar, upon which we have 7 remitted duties to the amount of $78,000,000.

I am of the opinion that if the Hawaiian Islands are annexed, they will produce most of the sugar used by the people of the United States and that the annexation of these islands means the destruction of the growing beet-sugar industry in this country. It means the turning over to Asiatic labor the production of $100,000,000 worth of sugar, that being the value of the sugar consumed by the people of the United States each year. It means an abandonment of the theory of protection, upon which the Republican party is founded and to which it owns its being.

But what more? While New England Senators will vote without hesitation for the destruction of the beet-sugar industry, what effect will it have upon their manufacturing industry? The Hawaiian Islands are in the Tropics. The Japanese laborer is a tropical laborer. He is a Malay. He is an artist. He is industrious. He can toil under a tropical sun. You can employ him for 20 cents a day as a skilled laborer, and from that to 30, never more. You can employ the men at from 20 to 30 cents a day and the women at from 8 to 20 cents a day. They are great manufacturers. I visited woolen mills and cotton mills in Ozaka, Japan, as great as any in this country. There are within 100 miles of Ozaka 16,000,000 Japanese. In that city there are 5,000 modern factories. They can produce everything that we can just as well as we can do it, and they are doing it to-day.

Annex these islands, and I advise any man who has money to purchase a woolen mill at once and start for Hawaii, import his labor from Japan, import his wool from Australia, and make woolen goods in competition with New England by labor worth from 20 to 30 cents a day, labor as good as theirs, labor as skillful. I visited a woolen mill in Ozaka last summer that employed 350 people. It was a modern mill; it had the latest possible improved machinery. They were making as good woolen goods as were ever made anywhere in the United States.

A man can take $100,000 and go to Hawaii, if this resolution is adopted, and make $100,000 a year. He can double it every twelve months with Asiatic labor. He will pay duty on his wool, but he will pay one-third for labor—and that is the principal cost the New England manufacturer has to pay —and drive the New England manufacturer out of the market. The freight charge from Hawaii to New York is only $5 a ton. You can get all the ships you want. That is what they pay for carrying sugar around the Horn, and that is what they would pay for carrying manufactured goods and landing them right at the door of the New England mills. It would bankrupt every one of them.

What limit can there be where there are 45,000,000 people to draw from in Japan? The Japanese will go to this island because it is in the Tropics, where people wear but little clothing, and it is adapted to the food they eat. There are 25,000 there already, and those who go will be drawn thither by kindred and friends. If you can put up a woolen mill, you can put up any other mill you choose, and where is your theory of protection?

Oh, I suppose the next cry will be, “On to the Philippines !” and you will take in 8,000,000 of Malays. But I shall not enlarge upon this subject. At a later time in this debate I shall go fully into the question of Asiatic competition. It is pertinent to this issue. I shall show what I saw in China and Japan, and the wages they pay and the goods they are turning out.

I do not know but New England has reached the point Old England has reached. Old England is interested, not in her manufacturers, but in her money lenders. Perhaps New England has reached a point where she is willing to sacrifice her laborers and live on her interest money, on her dividends on stocks, on her manipulation of the lines of transportation and accumulated capital. I half suspect it. The creditor never cares what becomes of the laborer. England cares not that her industries perish so she can maintain the gold

1 1

standard and her creditors can thereby reap more and more of an unearned increment. Perhaps New England has reached that point. Perhaps that is the cause of her indifference in regard to these questions, which certainly must encroach terribly upon her industries. * * *

Some have questioned the possibility of the production of beet sugar successfully in this country. Beet sugar was first produced in Germany in the latter part of the last century. France soon followed, but the industry did not prosper until Napoleon, desirous of making France independent, began giving large bounties to beet-sugar growers, which stimulated the industry so that improved methods were introduced, and, between 1815 and 1828, 103 factories were built in France, which produced 3,375 tons in 1828. In 1868 the production in France was 152,475 tons. Higher duties were producing their effect, and the next year there was produced 266,922 tons, an increase of 75 per cent. In 1879 the product was 370,000 tons; in 1889, 466,000 tons; in 1896, 780,000 tons. Tariff and bounty on exports have produced these results.

Germany has made greater progress than France, and this was caused by her system of bounties and rebates, and her production amounts to over 1,000,000 tons per annum.

Austria produces 900,000 tons, and pays $3,640,000 in bounties. All European countries give small bounties to beetsugar producers, and the result shows the wisdom of their course.

In 1879 the total product of beet sugar in Europe was 1,558,000 tons; in 1884, 2,360,000 tons; in 1889, 2,785,000 tons; in 1896, 4,675,000 tons.

We use 2,000,000 tons of sugar in the United States, and pay about $100,000,000 annually for it. We should produce every pound of that product in the United States.

I have read these figures of the growth of this industry in Europe to show that we can produce from beets all the sugar

used in this country if we will pursue a protective policy. I shall now briefly show what we have done in this direcStatement showing beet sugar production in California, 1888 to 1898,

tion:

inclusive.

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I contend that if the Hawaiian Islands are annexed and Asiatic labor is allowed to compete there will be no more factories built, and that those which are in operation will become unprofitable, because as the production of sugar in Hawaii approaches American consumption competition must wipe out the beet-sugar industry. The fact that they produce in Hawaii to-day enough to supply all the people west of the Missouri River, where all the beet sugar is produced, already menaces that industry and must result in its ruin, because that region, being nearest to Hawaii, is the region in which they will most effectively compete. They can sell the sugar in that country below the cost of producing it from beets and ultimately ruin the industry.

I ask the Secretary to read a very interesting letter on this subject with regard to the production of beets in California, written by Mr. Howard, who is president of the Alameda Sugar Company, of California. I requested him to write

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