Sugar cane is used as a delicacy in all of the inhabited islands of the Philippine group, but the growing and manufacture of it as a regular industry are confined to Negros, Mindoro, Cebú, Panay, Luzon and Leyte. In 1914-15 about 350,000 acres altogether were planted in cane, and the quantity of sugar exported during 1916 was about 300,000 tons.
The first care of the United States after its occupancy of the Philippines was the bettering of conditions in sanitation, education, banking methods, railway communication and deep water terminals. Apart from the primitive character of the sugar mills and the loss growing out of poor extraction of juice, open-kettle boiling and curing in earthen pots, the sugar producer was generally in debt to the buyer for advances that carried a high rate of interest. The government has taken steps to correct this evil and has made it possible for the farmer to get credit on reasonable terms, limiting its loans, however, to those who have Torrens titles to their property,[45] but the Filipino has been under the influence of the money-lenders too long for him to break his bonds entirely. Besides, his instinctive dislike for anything new is a hindrance to progress in this direction.
In addition to the measures just alluded to, a special law was passed in 1902, under which all Philippine sugars entering the United States paid 25 per cent less than the regular customs tariff. The Payne-Aldrich bill of August 5, 1909, provided for free admission of Philippine sugars up to 300,000 gross tons, and it stipulated that the small producer (less than 500 tons per annum) was to receive first consideration in the event of the importation exceeding 300,000 tons. Any excess coming into the United States would have been assessed the full tariff. During the life of this legislation, however, the largest production of the islands was that of 1913-14, which amounted to 265,000 tons, of which 225,000 tons were exported.[46] The tariff act of 1913, which became effective March 1, 1914, admits all Philippine sugars free of duty without any restriction as to quantity.
The religious orders were formerly large land owners in the Philippines, and the feeling of discontent that ultimately led to the insurrection of the Filipinos against Spain in 1896 was largely due to agrarian difficulties between the friars and their tenants. When the revolution came, the friars had to flee for their lives, and after peace was restored by the United States, the insular government felt that if they returned to their possessions they would be in constant danger from the hostility of the natives. It was, therefore, decided to acquire these lands and to that end Congress passed an act authorizing the Philippine government to issue bonds to the amount of $7,000,000 and to purchase the lands of the various orders with the money so raised. With one or two minor exceptions, all of these lands, amounting to something over 600,000 acres, were bought by the government and are being resold on long-term payments at a price that will reimburse the government. In disposing of this property preference is always given to the resident tenants.
OLD-STYLE SUGAR MILL, PHILIPPINES—SHOWING POOR CRUSHING
TINGUIAN CANE CRUSHER, LINGAYEN, PHILIPPINES
A measure was carried through the Philippine legislature approving the sale of the unoccupied portions of these friar estates to individuals without restriction as to acreage, and it was under the provisions of this act that large tracts of land were acquired by the interests connected with the Mindoro company in the San José estate in Mindoro and by the people associated with the Calamba estate in the Calamba, Santa Rosa and Biñan districts of Laguna province, Luzon.
Apart from these so-called friar lands, the public lands in the Philippine islands are held for sale or lease subject to the following conditions: Corporations can purchase or lease up to 1024 hectares, or 2500 acres, and individuals up to 64 hectares, or 158 acres. The terms of sale are a minimum of 10 pesos, or $5 per hectare, 25 per cent of which must be paid at the time the contract is entered into and the remainder within five years, with interest at 6 per cent, or leased at a minimum rental of 50 centavos, or 25 cents, per hectare per annum, leases running for fifty years.