In general, the regulations for Porto Rico were practically the same as those promulgated for Cuba and the Philippines. The one important difference was that trade between ports in the United States and ports and places in the possession of the United States in Porto Rico be restricted to registered vessels of the United States and prohibited to all others. It was provided that any merchandise transported in violation of this regulation should be subject to forfeiture, and that for every passenger transported and landed in violation of this regulation the transporting vessel should be subject to a penalty of $200.
This regulation should not be construed to forbid the sailing of other than registered vessels of the United States with cargo and passengers between the United States and Porto Rico, provided that they were not landed, but were destined for some foreign port or place.
It was further provided that this regulation should not be construed to authorize lower tonnage taxes or other navigation charges on American vessels entering the ports of Porto Rico from the United States than were paid by foreign vessels from foreign countries, nor to authorize any lower customs charges or tariff charges on the cargoes of American vessels entering from the United States than were paid on the cargoes of foreign vessels entering from foreign ports.
The regulations as to entering and clearing vessels and the penalties for the violation were the same as those fixed for Cuban ports in the possession of the United States. The tonnage dues were reduced, as in Cuba, to twenty cents per ton on vessels entering from ports other than Porto Rican ports in the possession of the United States, and two cents a ton on vessels from other ports in Porto Rico. The landing charge of $1 per ton was abolished, and the special tax of fifty cents on each ton of merchandise landed at San Juan and Mayaguez for harbor improvement was continued.
As in Cuba, the Spanish minimum tariff was to be collected. On most articles, however, this was much higher than the minimum tariff which was imposed by Spain in Cuba. The differential in Porto Rico imposed on goods imported from countries other than Spain was much smaller than in Cuba, so that under Spanish rule there was not a wide difference between duties on goods from countries other than Spain imported into the two islands. Under the operation of the President's orders imposing the minimum tariffs in both islands the effect would be to tax most articles much higher in Porto Rico than in Cuba. As in Cuba, a tariff was imposed on tobacco, manufactured tobacco, cigars and cigarettes equivalent to the internal revenue taxes imposed in the United States.
Richard Harding Davis says that there will be no such complications in Porto Rico as those which exist in Cuba for the United States troops there were not allies. They were men who came, were seen and conquered. The revolutionary leaders had no share or credit in their triumphal progress.
Now to examine into what Porto Rico offers for American enterprise and capital.
In the first place, United States Consul Hanna has been flooded with letters from fortune hunters. He strongly advised all of them to remain at home until the Americans were in complete control. Now, let us examine what one or two competent authorities have to say of Porto Rico, so far as American enterprise is concerned.
Here is the opinion of a man who has lived in Porto Rico for several years and who knows of what he is speaking:
"We take Porto Rico, too, at a time when everything favors increased prosperity. It has not been ravaged and wrecked, like Cuba, by war. Its foreign trade in 1896, amounting to $36,624,120, was the largest in its history, the value of the exports then, for the first time in over ten years, exceeding that of the imports. Of course the main trade has always been with Spain, but the trade with us stands next, and during the year in question was over two-thirds of that with Spain. Of late, it is true, our trade with Porto Rico has been relatively declining, being far less than it was a quarter of a century ago. During the reciprocity period of a few years since it increased somewhat, but after that it fell off again. It is important to note, however, that our exports to Porto Rico have kept well up of late years, the falling off in total trade being due to the decline of our imports, so that now the exports are not far from equal to the imports, instead of being much inferior as formerly. It is a noteworthy fact that the exchange from both countries is mostly of products of the soil. That is the case with ninety-nine hundredths of Porto Rico's exports to us, sugar and molasses comprising 85 per cent., with coffee coming next, and it is also true of over three-fifths of our exports to Porto Rico, among which breadstuffs and meat foods are prominent.