In certain sections of the island where there was no cane cultivation, large tracts of land might be granted outright to persons engaging in sugar raising and manufacture. In such cases the capacity of the factory and the period of operation was agreed upon in advance, and as soon as the land was planted to cane, the title to it passed to the factory. If, however, the owners of the factory failed to act in good faith, the undertaking was declared void and the factory dismantled.
By 1911 twenty-nine large factories were in operation and nine others were being built. Every one of these establishments was new and equipped with the latest and most improved machinery.
It was officially announced in November, 1910, that no further charters authorizing the forming of new sugar companies or the extending of the operations of those already in existence would be issued, the reason given being the desire to limit the production to the requirements of Japan until such a time as an outlet could be found in the markets of the world. The measure was regarded as a temporary one.
The opposition of the native farmer to the new order of things was not overcome at once. Cane plantings decreased at first, but when the natives realized that cane paid them better than other crops, they gradually resumed cultivating it on the same scale as formerly, and the government bonus on Rose Bamboo cane helped matters still further.
As long as the manufacturers are far-seeing enough to pay the grower a fair figure for his cane, the supply will be forthcoming. Conversely, if too low a price is offered, the farmer will be driven to raise other crops, and, as the factory cannot purchase cane outside of its own district, lack of material will prevent it from running at full capacity, which means a heavy loss. So there is an excellent reason for maintaining the price of cane at a point which enables the grower to make a profit. Another potent factor, too, is that the price must receive the approval of the government. It is significant that the factories built between 1907 and 1911 have all been put up without government aid.
KOHEKIRIN MILL, FORMOSA
Irrigation in Formosa has not been developed to any extent and the crop depends upon the rainfall. In the southern part of the island the monsoons are fairly regular and plentiful rains can be counted upon between June and September, with a dry period from November to April. In the north climatic conditions are not so good, and consequently all of the large sugar enterprises are to be found in the south. Ploughing by the natives is poorly done with wooden ploughs, but the modern plantations use steam ploughs with excellent results. Cane is planted every year and there are no ratoon crops. Grinding usually takes 150 days, beginning in November and ending in May.
The old-fashioned mills turn out a soft brown or yellowish white, open-pan sugar. The modern plants make centrifugal sugar only, practically all of which goes to Japan, although shipments have been made to China, Korea, Hong Kong and even Canada. The molasses is consumed at home.
Just how much of the open-pan brown sugar is used in Formosa itself it is impossible to determine, but Willett & Gray’s figures for the crops, by years, since 1901 clearly show what strides the industry has made: