Skip to main content

Full text of "Report of the Philippine commission to the secretary of war ... 1900-1915"

See other formats


This is a digital copy of a book that was preserved for generations on library shelves before it was carefully scanned by Google as part of a project 
to make the world's books discoverable online. 

It has survived long enough for the copyright to expire and the book to enter the public domain. A public domain book is one that was never subject 
to copyright or whose legal copyright term has expired. Whether a book is in the public domain may vary country to country. Public domain books 
are our gateways to the past, representing a wealth of history, culture and knowledge that's often difficult to discover. 

Marks, notations and other marginalia present in the original volume will appear in this file - a reminder of this book's long journey from the 
publisher to a library and finally to you. 

Usage guidelines 

Google is proud to partner with libraries to digitize public domain materials and make them widely accessible. Public domain books belong to the 
public and we are merely their custodians. Nevertheless, this work is expensive, so in order to keep providing this resource, we have taken steps to 
prevent abuse by commercial parties, including placing technical restrictions on automated querying. 

We also ask that you: 

+ Make non-commercial use of the files We designed Google Book Search for use by individuals, and we request that you use these files for 
personal, non-commercial purposes. 

+ Refrain from automated querying Do not send automated queries of any sort to Google's system: If you are conducting research on machine 
translation, optical character recognition or other areas where access to a large amount of text is helpful, please contact us. We encourage the 
use of public domain materials for these purposes and may be able to help. 

+ Maintain attribution The Google "watermark" you see on each file is essential for informing people about this project and helping them find 
additional materials through Google Book Search. Please do not remove it. 

+ Keep it legal Whatever your use, remember that you are responsible for ensuring that what you are doing is legal. Do not assume that just 
because we believe a book is in the public domain for users in the United States, that the work is also in the public domain for users in other 
countries. Whether a book is still in copyright varies from country to country, and we can't offer guidance on whether any specific use of 
any specific book is allowed. Please do not assume that a book's appearance in Google Book Search means it can be used in any manner 
anywhere in the world. Copyright infringement liability can be quite severe. 

About Google Book Search 

Google's mission is to organize the world's information and to make it universally accessible and useful. Google Book Search helps readers 
discover the world's books while helping authors and publishers reach new audiences. You can search through the full text of this book on the web 



at |http : //books . google . com/ 



i 




HARVARD LAW SCHOOL 
LIBRARY 






/f^^ 



^ SIXTH ANNUAL REPORT 



OF THE 



,5. Philippine Commission. 



1905. 



(IN FOUR PARTS.) 

Part 4. 



BUREAU OF INSULAR AFFAIRS s « WAR DEPARTMENT. 




WASHINGTON: 

GOVERNMENT PRINTING OFFICE. 

1906. 



CONTENTS. 



^ 



Page. 

Fourth annual report of the secretary of finance and justica. 3 

Administration of justice ^ 3 

Justice of the peace system 4 

New legislation relating to courts , 6 

Court of customs appeals 7 

Court of land registration 8 

Criminal code and code of criminal procedure 8 

Changes in the personnel of the courts 9 

Attorney-general's oflBce 10 

Insular cold-storage and ice plant 12 

Coinage and currency 14 

Agricultural banks 21 

Postal savings banks 22 

Customs service .• 23 

New legislation affecting the cutsoms 23 

Refund of duties on exports 23 

Increased economy in administration 24 

Harbor improvements 24 

Exports and imports 25 

The Dingley tariff and the shipping bill 26 

Japanese and Chinese immigration 27 

C^wt of collection 27 

Opium importation 27 

The new internal-revenue law 28 

Amendments to the internal-revenue law 28 

Oi^anization of the bureau of internal revenue 29 

Collections under the law 29 

Distilled spirits 30 

•^ Fermented liquors 31 

Tobacco products 31 

\^ Matches 32 

Licenses and other internal-revenue taxes 33 

\ Necessity for the internal-revenue law as a revenue measure 34 

The treasury and the auditor^s oflBce 35 

Congressional relief fund 40 

^ Friar land funds 40 

Insular funds disbursed for general government purposes 40 

Public works and permanent improvement funds 41 

Manila water supply and sewerage fund 41 

Proposed suspension of the land tax 42 

Insular budget for the year 1906 42 

Budget for the city of Manila 45 

in 



o-^^ 



\ 



IV CONTENTS. 

Fourth annual report of the secretary of finance and justice — Continued. Page. 

Financial condition of the provinces and municipalities 46 

Exhibit No. 1 . — Report of the attorney-general 53 

Exhibit No. 2. — Report of the superintendent insular cold storage and ice plant. 59 
Exhibit No. 3. — Supplemental report of the superintendent of the cold storage 

* and ice plant 69 

Exhibit No. 4. — Second annual report of the chief of the division of the currency. 71 

Exhibit No. 5. — Report of the collector of customs for the Philippine Islands. . 89 

Exhibit No. 6. — Annual report of the collector of internal revenue 157 

Exhibit No. 7. — Report of the auditor-for the Philippine Islands 245 

Annual report of the secretary of public instruction 371 

Bureau of education 371 

Teaching force 371 

Schools 374 

Enrollment and attendance 374 

School buildings 375 

School finances 376 

Bureau of architecture and construction of public buildings 382 

Bureau of public printing 388 

Bureau of archives, patents, copyrights, and trade-marks 1 394 

American Circulating Library Association of Manila, P.I 398 

The Official Gazet te 400 

Exhibit A. — Report of the superintendent of education 403 

Exhibit B. — Report of the chief of the bureau of architecture and constniction 

of public buildings 617 

Exhibit C. — Report of the public printer 625 

Exhibit D. — Report of the bureau of archives, patents, copyrights, and trade- 
marks 633 

Exhibit E. — Report of the acting Hbrarian of the American Circulating Library. 639 

Exhibit F.— Report of the editor of the OflScial Gazette 647 

Report of examination of coal deposits on the Batan Military Reservation, Batan 

Island, P. I., by H. L. Wigmore, first lieutenant, Corps of Engineers 655 

Extract from the Report of the Secretary of War for the year 1905 677 

Advance report, to the chief of the mining bureau upon the coal deposits of Batan 

Island, by W. D. Smith, geologist, mining bureau (August 12, 1905) 679 

Report of an examination of the coal deposits of Polillo Island, P. I., by H. L. Wig- 
more, first lieutenant, Corps of Engineers 702 



FOURTH ANNUAL REPORT OF THE SECRETARY OF 

FINANCE AND JUSTICE 

TO THE PHILIPPINE COMMISSION. 



WAB 1905— VOL 13 1 



BEPOET OF THE SEGEETABY OF FINANCE AND JUSTICE. 



Department op Finance and Justice, 

Manila^ November i, 1905. 
Gentlemen : I have the honor to submit a report on matters, legis- 
lative and executive, pertaining to the department of finance and 
1'ustice in the Philippine Islands during me fiscal year 1905, and 
ikewise covering, in certain bureaus, data subsequent to the close of 
that fiscal year. 

ADMINISTRATION OF JUSTICE. 

Aside from the justices of the peace, the judicial system established 
in the Philippine Islands has, during the past year, proved satisfac- 
tory. Since the return of the especially large number of judges who, 
during the fiscal year 1904, enjoyed tneir accrued leaves of absence 
away from the islands, the number of judges has been sufficient to 
hold the regular terms at times prescribed by law in all cases, with 
the exception of the anomalous situation that existed for a time in 
the supreme court. Owing to the absence of some of the judges of 
that court on leave and the existence of certain vacancies, there was 
no quorum of the court present between July 1 and December 1, 1904, 
hy reason whereof there was a large accumulation of business, atten- 
tion to which was called in the third annual report from this office. 
Early in December the court was able to resume its hearings and has 
made rapid progress in the disposition of pending cases. 

By reason of the decision of the Supreme Court of the United 
States, that the government had no right to appeal from the decision 
of judges of courts of first instance in criminal matters, a considerable 
number of cases in which such appeals had been taken, were, on 
motion, dismissed. It is hoped, but not yet demonstrated, that the 
supreme court will hereafter be able to keep substantially abreast of 
its business, particularly in view of the act of CongxesSj approved 
February 6^ 1905, whereby the government of the Philippme Islands 
was authorized to prescribe a compensation for the chief justice and 
associate justices of the supreme court of the islands not to exceed 
$10,500 for the chief justice and $10,000 for each associate justice per 
annum, and providing also that whenever, by reason of temporary 
disability of any judge of the supreme court, or by reason of vacan- 
cies occurring therein, a quorum of the court should not be present 
for business, the governor-general is authorized to designate a judge 
or judges of the court of first instance to sit and act temporarily as 
a judge or judges of the supreme court in order to constitute a quorum 
of the supreme court for business. This provision will enable the 
supreme court at all times to have a quorum and prevent a recurrence 

3 



4 BEPOBT OP THE PHILIPPINE COMMISSION. 

of the conditions which existed during the last year. In pursuance 
of the authority given by that act of Congress, the CJommission on 
April 1, 1905, passed Act No. 1314, increasing the salaries of the 
chief justice and associate justices of the supreme court to $10,000 
per annum. 

It is not believed that further legislation at this time is necessary 
to enable the supreme court to handle the business properly brought 
before it, aside n'om such provision as may be made in the new penal 
code to diminish the number of appeals in criminal cases. The 
amount of criminal business during the past year has, as before, been 
largely in excess of civil, owing mainly to the prevalence of disorders 
in certain provinces and the necessity for dealing with bands of out- 
laws and thieves. 

There has been some discussion in the Spanish and Filipino papers 
in regard to the assignment of judges for the different provinces 
either in aid of the regular judge when he has an excess of business 
or for the purpose of holding terms in his absence. The objection is 
made that the existing law gives administrative officers a right under 
certain circumstances to assign a particular judge to a term of court 
at which particular cases are tried, whereby the executive might be 
put in the attitude of selecting particular judges for particular cases 
m which the government is assumed to have more or less special in- 
terest. The complaint is absolutely groundless. As a matter of fact, 
assignments have been made in all cases to meet special exigencies 
caused by the absence of judges or to furnish to a judge aid in clean- 
ing up the docket in his district, or to utilize judges at large who are 
not needed in courts of first instance as judges in the court of land 
registration. While the objection to the present system is unfounded 
in fact, it may theoreticallv be valid. To meet this theoretical objec- 
tion a draft of a law will be submitted to the Commission, with a 
recommendation for its enactment, providing that the assignment of 
judges of the courts of first instance in the various provinces for the 
purpose of holding special terms or aiding another judge or foi^ per- 
forming the duties of the court of land registration shall be made by 
the chief justice of the supreme court when the necessity for any 
assignment shall be made evident through the proper channels. 

JUSTICE OF THE PEACE SYSTEM. 

Criticism has been made, doubtless justly, in regard to the adminis- 
tration of the courts of justice of the peace. Under the existing sys- 
tem a justice of the peace and auxiliary justice of the peace are ap- 
pointed for each municipality by the governor-general, with the 
approval of the Commission. The recommendations upon which the 
governor-general acts come from the provincial boaras, who might 
be assumed to have more knowledge of the fit men in the various 
municipalities than others could have. For a time a considerable 
number of justices of the peace thus appointed resigned and were 
excused and others appointed in their places owing to the onerous 
duties imposed under the existing procedure in criminal cases and the 
small fees allowed therefor. Of late this difficulty has not been so 
great as in the past, but complaints are frequent that justices of the 
peace abuse their authority and practice extortion upon the people. 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 5 

Whenever such extortion is proven, the justices of the peace have, 
after investigation, been dealt with and removed, but the complaints 
are still ouite general that justices of the peace instead of being pro- 
tectors 01 the people are their oppressors. Reform is needed. A 
scheme has been lavorably recommended by persons competent to 
judge providing that each province be divided into justice of the 
peace districts and for the appointment of a justice of the peace for 
each district with a salary amxed to the office, the payment of fees 
chared to be made not to the justice of the peace, but to the insular, 
provincial, or municipal treasurers, as might be provided. It is 
urged that with such a system a higher grade of men would accept 
the office and that it would tend largely to prevent the extortion and 
oppression which in some cases are now practiced. On the other 
hand, judges and lawyers equally competent to form an opinion are 
convinced that the new system would be worse than the old, in that 
the justice of the peace would no longer be an official at home in each 
municipality and easily accessible and who could issue process author- 
izing arrest immediately after the commission of a crime, but might 
be many miles away, and owing to the consolidation of municipalities 
territorial limits of single municipalities are now very large, and it 
mi^ht often occur that no justice of the peace would be available 
wimout traveling 20 or 30 or more miles to obtain a warrant, which 
would be impracticable during portions of the year and would fur- 
nish opportunities for the escape of criminals or intimidation of 
witnesses before access to a justice of the peace could be obtained; 
that suitable men could not be obtained for the positions without the 
payment of considerable salaries and travelinff expenses for the 
justices, and possibly a clerk for each justice; that neither the mu- 
nicipal, provincial, nor insular treasuries are in condition to bear the 
great expense thus added; that there would be great danger of 
picapleitos, of pettifoggers, having a little but dangerous knowledge 
of the law, securing the appointments, and that the extortion and 
oppression would be worse than ever before. It is probable that a 
great improvement could be made in the work of these home tri- 
bunals without entirely destroying the present system by authorizing 
and requiring judges of the courts of first instance to investigate 
and make recommendations as to suitable persons to be appointed 
justices of the peace; to hold sessions of instruction for the justices 
within their several provinces in the performance of their duties; 
to oversee the manner in which those duties are performed, and to 
take immediate steps to correct such abuses and cause those perpetra- 
tim^ them to be properly dealt with, coupled with a reform of pro- 
cedure in criminal cases, such as to make the duties of justices of the . 
peace less onerous than they now are. I recommend the latter course 
instead of the creation of justice of the peace districts, and shall pre- 
sent to the (Commission a draft of a law to accomplish tfiat result, 
with a recommendation for its passage. 

It ought to be remarked that upon the invitation of the governor- 
general the judges of the supreme court have met the CJommission 
and have expressed their views upon this important subject, and that 
they all concur in the recommendations above contained that the 

E resent system be not abolished, but that the reforms above indicated 
B made. 



6 REPORT OF THE PHILIPPINE COMMISSION. 

NEW LEGISLATION RELATING TO CX)URT8. 

Aside from the legislation above referred to, providing for an in- 
crease in the salaries of the justices of the supreme court and a method 
of securing a quorum therein, new legislation has not been of ^reat 
importance, the system having been already completely established 
by prior legislation. 

The procedure provided bv law for the condemnation of lands for 

Eublic use, while adequate for ordinary purposes, was found not to 
B sufficiently elastic and expeditious to meet the necessities in case of 
railroad corporations attempting to extend their lines through lands 
the titles to which are often uncertain. Great delay has been ex- 
perienced in such cases. To meet that difficulty, on November 13, 
1904, Act No. 1258 was enacted, making additional provisions in that 
respect such that, while the rights of owners of lands would be fully 
protected, yet ^eat public enterprises like railroads would not hie 
delayed through lone litigation over titles. The ownership of the 
lands is not necessarily to be decided in advance, but by virtue of the 

Erovisions of this act the values of the lands sought to be taken can 
e expeditiously ascertained and condemnation after due notice de- 
creed, but the money can be paid into court and the lands immediately 
occupied by the corporation seeking condemnation, leaving the titfe 
as between the several claimants, or the government if public lands, to 
be subsequently litigated between the parties in interest. This act, 
it is believed, will meet the whole requirements of the situation. 

The Moro government act, providing for the organization of a 
government for the Moros, contains special and specific provisions as 
to the codification of native and Moro laws and customs in such way 
that justice might be administered throughout that province in ac- 
cordance with such laws and customs. It was found, however, that 
there were no laws and custoilis of general application throughout the 
Moro Province, and that the laws were not written, nor did the same 
customs prevail in regions separated by but little distances. There 
was nothing to codify. Such rudimentary laws and customs as could 
be ascertained were in many cases so crude and barbarous and con- 
trary to all ideas of justice that it would have been a travesty to 
have attempted to act in accordance with them. On recommenda- 
tion, therefore, of the governor and the legislative council of the Moro 
Province, the subject of organization or courts and codification of 
laws in that province was dealt with anew in Act No. 1283, passed 
January 13, 1905, whereby the legislative council was authorized to 
amend the criminal laws of the Philippine Islands to suit conditions 
among the Moros and other non-Christian tribes, and to cause such 
laws to conform, when practicable, to the local customs and usages of 
such inhabitants, and for the substituting of laws so modified to ap- 
ply only in all civil actions to which each of the parties is either a 
Moro or a member of some other non-Christian tribe, and in all 
criminal actions as to such of the accused as are Moros or members of 
some other non-Christian tribe. In all other civil actions and in all 
criminal actions as to accused who are neither Moros nor members of 
some other non-Christian tribe the substantive criminal and civil law 
of the Philippine Islands will apply and be in force as in other prov- 
inces. The legislative council was also authorized to provide for 
tribal ward courts to consider and decide minor civil actions in which 



REPOBT OF THE SECRETARY OF FINANCE AND JUSTICE. 7 

the parties in interest, or any of them, are Mores or members of some 
other non-Christian tribe, and minor criminal actions in which the 
accused, or any of them, are Moros or members of some other non- 
Christian tribe. In each district of the province the governor and 
secretary of the district are made justices of tribal ward courts, and 
such number of auxiliary justices may be appointed as the efficient 
administration of justice may require. Appeals are allowed from the 
judgments of the tribal ward courts to a judge of the court of first in- 
stance. In case no appeal is allowed, however, the governor of the 
province is authorized to review the sentence of the tribal ward court. 
Justices of the peace are not given authority to try cases, the juris- 
diction of which is given to the tribal ward courts. These special 
provisions for the Moro Province are doubtless better adapted to the 
peculiar conditions there existing than those before prevailing. Ex- 
perience had demonstrated the necessity for the change. 

By Act No. 1313, passed April 1, 1905, the office of the attorney- 
general was reorganized in such manner as to secure more efficient 
working of the force authorized by law. 

For the purpose of economy, as well as efficiency in civil cases, 
laws have been enacted providing for the consolidation in some in- 
stances of the offices of nscal for two provinces, so that one fiscal, or 
prosecuting attorney, shall perform the duties of fiscal for both. 

The court of first instance for the province of Abra has been abol- 
ished, that province having been consolidated with the province of 
Hocos Sur. 

Controversies have prevailed all over the islands ever since the 
establishment of civil government as to the ownership and right of 
possession or administration of churches, convents, and cemeteries, 
m many cases the municipalities claiming the right of ownership 
or administration of such properties, in others the Roman Catholic 
Apostolic Church claiming such rights, and in others the so-called 
Independent Filipino Church. Those controversies so affected the 
general peace and good order of the community that it was deemed 
expedient to provide means for the expeditious and just settlement of 
all. For that reason, on July 24, 1905, Act No. 1376 was passed, 

S'ving the supreme court of the islands jurisdiction to determine expe- 
tiously the title to and right of possession of all such properties, 
under a procedure wherein all parties in interest should have due 
notice and whereby all defendants holding separate and distinct pos- 
session ofproperties in the same province might be embraced in one 
action. The parties in interest, however, are not obliged to avail 
themselves of the provisions of the law referred to, but have still 
open to them the ordinary procedure through the courts of first in- 
stance or court of land registration. This act was passed after most 
careful consideration and consultation with the Secretary of War. 

Various minor acts have been passed relating to times and places 
for holding terms of courts and affecting procedure, which are unnec-^ "^r '^ 
essary to be particularly referred to. ^: ■ 

COUKT OF CUSTOMS APPEALJ9. 

Since the decision of the so-called " insular cases " by the Supreme 
Court of the United States, questions relating to the right to assess , "^ 
customs duties at all on imports into and exports from the Philippine -' 



T 



i ei 



;tei 



- ^ 8 REPORT OF THE PHILIPPINE COMMISSION. 

\ ^ 

"^ Islands no longer arise. Likewise decisions have so fully been made 
y as to the classification of goods imported that appeals on that account 
^ are now very infrequent. It has been found, therefore, that a sep- 
: arate court of customs appeals was no longer necessary, and Act Tso. 
: - 1405 was passed on the 18fti day of October, 1905. abolishing the court 
and transferring all its functions to the court of first instance of the 
! ^ city of Manila, with the right to appeal to the supreme court on excep- 
ci tions in the same manner as in other cases, with a proviso that crim- 
inal prosecutions for violation of the customs laws shall be tried in the 
courts of first instance of the provinces where the oflfenses are com- 
mitted. 

CX)URT OP LAND REGISTRATION. 

The court of land registration has been in successful opei'ation 
ihroughout the year, and some estates involving very large areas have 
passed through that tribunal and the titles have been determined. 
The work of that court is shown by the fact that 676 applications 
have been received during the past year, making a total of 1,653 appli- 
cations filed since the beginning oi the court. The number of cases 
finally decreed during the year from September 1, 1904, to September 
1, 1905, was 526. Some or the cases involved large haciendas, where 
opposition was interposed by several hundred people. The judges 
of the court have not'oeen able unaided to keep aoreast of their work, 
but judges at large of the courts of first instance have been assigned 
to aid them wherever needed, and the work is not greatly in arrears. 

The question whether prescription runs against the government as 
to public lands has not yet been finally determined by the supreme 
court. The bringing of lands within the purview oi the court of 
land registration nas not proceeded at a satisfactory pace, owiug, in 
part, to the poverty of the people, who are unable to pay the very 
modest fees required by the land-registration act for securing the 
title, and in part to the fears entertained by many occupants of 
Jands that their titles are not good and that they would be declared 
bad by the court, and that therefore they woula be in worse condi- 
tion than before the matter was agitated. It will eventually be neces- 
sary, probably, to make the land-registration law compulsory, but the 
time has not yet arrived for such action. It is suggested, however, 
that provision might be made by law that in the administration of all 
estates real estate belonging to each deceased person should be brought 
under operation of the law oefore distribution-is decreed. This would 
tend gradually to bring all private properties under the operation of 
the law, as estates are settled through the courts. 

CRIMINAL CODE AND CODE OF CRIMINAL PROCEDURE. 

The committee referred to in the Third Aimual Report from this 
office, for the preparation of a code of criminal law and procedure, 
filed its report during the yeat, and after its reception it was printed 
and distributed to the bar and public generally, and public sessions 
were held for its discussion. Many suggestions of desired modifica- 
tions were made orally and in writing, and were briefed for use of the 
Commission. While the Commission was at Baguio, in April and 
May last, the code was taken up section by section and every sugges- 
tion that had been made carefully considered. The criminal cotle 



REPOBT OF THE 8E0BETARY OF FINANCE AND JUSTICE. V 

proper was all practically disposed of by the Commission, but there 
was not time, with the press of other duties, to complete the considera- 
tion of the code of procedure, and inasmuch as both of these are to be 
treated as part of one law and one code interdependent, the code has 
not yet been enacted. 

CHANGES IN THE PERSONNEL OP THE COURTS. 

At the date of the last report from this office there were two vacan- 
cies in the office of judge of the supreme court, occasioned -by the res- 
ignations of Hon. Charles A. Willard and Hon. John T. McDonough. 
Subsequently Hon. Joseph T. Cooper tendered his resignation. One 
of the vacancies was filled by the promotion of Hon. A. C. Carson, 
judge of the court of first instance of the eleventh judicial district, 
who assumed the duties of his office in December, 1904, and another 
has been filled by the reappointment of Hon. Charles A. Willard, 
formerly judge of the supreme court. Judge Willard entered upon 
his duties in the month of April, 1905. The remaining vacancy nas 
been filled by the appointment of Hon. James F. Tracey, of Albany, 
N. Y., who has not yet entered upon the performance of his duties, 
but is expected to reach Manila about December 1. Hon. Adolph 
Wislizenus, judge at large of the court of first instance, was, on De- 
cember 15, 1904, appointed judge of the eleventh judicial district, vice 
Hon. Adam C. Carson, promoted. On January 1, 1905, Hon. Charles 
S. Lobingjier, judge at lai^ge, was appointed judge of the twelfth judi- 
cial district, vice Hon. James H. Blount, who was made judge at 
large. On the same date Hon. James C. Jenkins, judge at large, was 
made judge of the third judicial district, vice Hon. A. F. Odlin, re- 
signed. On October 5, 1904, Hon. Amasa S. Crossfield, judge of the 
court of customs appeals, was appointed judge of the court of first 
instance in the city of Manila, vice Hon. Byron S. Ambler, resigned. 
On January 1, 1905, Hon. James Ross, of Illinois, was appomted 
judge at large to succeed Hon. Adolph Wislizenus, appointed judge 
of the eleventh judicial district. On the same date Hon. Ram6n 
Avancefia was appointed judge at large, vice Hon. James C. Jenkins, 
appointed judge of the third judicial district. On April 1, 1205, Hon. 
Wadiington L. Goldsborough was appointed judge of the court of 
land registration, vice QoiU-XLIL Williams, resigned. 

Judge Ross came to the islands in December, 11399, as a captain 
in the Forty-fifth U. S. Volunteer Infantry; was appointed gov- 
ernor of the province of Ambos Camarines on August 9, 1901, and 
served until July, 1903, when he was appointed supervisor of fiscals 
in the office of the attorney-general, which position he held until the 
1st day of January, 1905, when he was promoted to the bench. 

Judge Avancena is a native of the province of Hollo, and had been 
practicing law in the Philippine Islands for four years. He was ap- 
pointed assistant attorney to the solicitor-general and served in that 
position from January 17, 1902, to January 1, 1905, when he was pro- 
moted to his present position. 

Judge Goldsborough came to the islands in 1899 with the Forty- 
third U. S. Volunteers, and served as captain in that regiment 
until June 30, 1901; served as public prosecutor of the city of 
Manila until August 7 of that year, and as assistant chief of con- 
stabulary from August 7 to January 27, 1902; was appointed city 



10 REPORT OF THE PHILIPPINE COMMISSION. 

attorney of Manila in January, 1902, and held that position until 
April 7, 1903, when he was appointed assistant attorney-general and 
served in that capacity until his promotion to the bencH. 

It will be observed that all the promotions and appointments above 
stated were made from persons in service in the f nilippine Islands 
prior to their appointment, with the exception of Hon. James F. 
Tracey, appointed by the President as judge of the supreme court. 
The policy of making such appointments and promotions of persons 
who nave acquired a Knowledffe of the Filipino people and to a con- 
siderable degree of the Spanish language and of the local laws both 
as to procedure and substantive law, is believed to be a wise one, both 
because it secures to the judiciary persons whose qualifications are 
thoroughly well known and because it likewise is an incentive to all 
others m the judicial service or in the bureau of justice to fit them- 
selves for promotion by faithful and efficient performance of their 
duties. 

Hon. Warren H. Ickis, judge of the thirteenth judicial district, 
died in June, 1905, of disease contracted in the line of duty. The 
vacancy thus created has not yet been filled. Judge Ickis rendered 
faithful and efficient service, and his death is greatly regretted by all 
connected with the administration of justice in the Philippine Islands, 
as well as by the public at large, with whom he had been brought into 
official relations. 

Hon. Felix M. Rojas, judge of the court of customs appeals at the 
time of its abolition, has been recently appointed president of the 
municipal board of the city of Manila. 

ATTORNEY-GENERAL'S OFFICE. 

The report of the attorney-general, giving a detailed description 
of the work of the bureau of justice, is hereto annexed and marked 
" Exhibit No. 1." 

During the year 7 Americans and 77 Filipinos have applied for 
admission to the bar, of whom 7 Americans and 46 Filipinos passed 
the examination and were admitted. 

The number of civil cases on the docket of the supreme court was 
192 greater on September 1, 1905, than on September 1, 1904, while 
the number of criminal cases pending on September 1, 1905, was 
22 less than on September 1, 1904. The reduction in the number of 
criminal cases is owing, in part, to the dismissal of cases appealed 
by the ffovernment under the decision of the Supreme Court of the 
United States in the Kepner case. The failure or the Supreme Court 
to make a greater reduction is due in considerable part to the several 
months of enforced idleness for want of a Quorum. The court will 
doubtless be able to dispatch its business with greater rapidity when 
the full number of judges are available, whereby the work of pre- 
paring decisions and opinions can be expedited by division among a 
greater number of judges. 

The same disparity as to the increase in the relative number of 
civil and criminal cases pending exists in the courts of first instance 
as in the supreme court. The number of civil cases pending in all the 
courts of first instance on September 1, 1904, was 2,840, and on Sep- 
tember 1, 1905, 3,433. The number of criminal cases pending Sep- 
tember 1, 1904, was 1,930, and on September 1, 1905, 1,559. The 



REPORT OF THE SECRETARY OF BTNANOE AND JUSTICE. 11 

number of cases filed in those courts during the year ending Augjust 
31, 1905, was 3,171 civil and 5,378 criminal, while the number of civil 
cases disposed of during the year was 2,578 and of criminal 5,749. 

The foregoing statement of the condition of business in the supreme 
court would be incomplete without the following facts, which do not 
appear in the attorney-general's report : 

Included in the statement of cases pending in that court are 28 that 
were submitted and heard prior to July 1, 1905, decisions in which 
have not yet been announced. On the calendar for the months of 
July, August, September, and October, 1905, are 223 cases that have 
been submitted and heard, but not yet decided. Upon announcing 
the decisions in the 251 cases last above referred to, the apparent 
arrearages in the supreme court will have been to a considerable 
degree eliminated. It should also be remarked that of the 915 cases 
reported as pending on October 25, 1905, 51 are criminal cases which 
were pending in the court at the time of the change of sovereignty, 
on which action has been suspended owing to the fact that the prose- 
cuting officers have been unable to locate tne defendants, who were in 
most cases released from prison by the Filipinos during the revo- 
lution. 

There is a great disparity in the number of cases filed during the 
year in the different judicial districts, the number of such cases 
being comparatively small in the mountain district, as well as in the 
first, thirteenth, fourteenth, and fifteenth districts. In each of these 
districts the salary appertaining to the office of judge is less than in 
the other districts, ana in most of them there is a very large amount 
of difficult travel required in moving from one provincial capital to 
another by inadequate means of transportation, whereby much time is 
necessarily consumed. It is considered desirable that the remote 
provinces should have regular facilities for access to courts of first 
instance, even though the amount of business to be transacted therein 
is comparatively small. It also ought to be remarked that the judges 
of the mountain and first districts have performed much service in 
other districts where there was an excess of work during the year and 
the regular judges needed assistance. 

The fifteenth district presents special difficulties in the way of 
transportation of the judge and fiscal from either Capiz, Romblon, or 
Masbate, three of the places for holding court in that district, to 
Cuvo and Puerto Princesa, the places at which the court is required 
to he held for the province of Palawan, because there are no regular 
lines of transportation from either of the former places to the latter, 
so that oftentimes the judge and fiscal are required to come to Manila 
to secure transportation, unless boats are sent for the special service 
either of which alternatives involves much delay and expense. It is 
suggested that economy could be secured bv detaching the province 
of Palawan from the fifteenth district and providing that the ses- 
sions of court required by law to be held there should be presided 
over by a judge to be designated from time to time for that purpose — 
either a judge at large or a judge of the court of first instance for 
the city of Manila — and that the duties of fiscal be performed by a 
lawyer occasionally detailed for that purpose from the attorney- 
general's office, who could accompany the judge directly from Manila 
during the brief time when sessions are to be held to transact the small 
amount of business arising in Palawan. 



12 EEPOBT OP THE PHILIPPINE COMMISSION. 

Court fees collected in the supreme court during the year amounted 
to ?^,416.21^, and for fees, costs, and fines imposed in the courts 
of first instance, ^115,942.41 Philippine currency, and Pfs. 125.56 
Mexican currency. 

The statistics as to the court of land registration are elsewhere 
stated in this report. 

In the court of customs appeals during the year before its abolition 
61 cases were filed, of which 27 were customs appeals proper, 6 
criminal prosecutions for violations of the customs laws, and 28 con- 
denmation proceedings against seized property for violations of cus- 
toins laws. Of the total number filed 12 were withdrawn, 6 dis- 
missed, and 101, inclusive of cases pending before the beginning of 
the year, were decided. On September 1, 1905, 11 cases were pend- 
ing, which have been transferred to the court of first instance, as 
above stated. 

The office of the attorney-general was reorganized by Act No. 1313, 
as above stated, by virtue of which, in the opinion of the attorney- 
general, the efficiency of the office has been increased and the total 
expenses diminished. 

Three hundred and fifty-six written opinions have been rendered by 
the attorney-general's office to other omcials of the government, in 
accordance with law ; 290 cases have been presented to the supreme 
court by brief and 53 by motion, etc. ; 440 cases in the court or land 
registration, in which the government was interested, have been ex- 
amined and opposition presented in 216, and 829 petitions for pardon 
have been investigated and recommendations thereon made to the 
governor-general. 

INSULAR COLD-STORAGE AND ICE PLANT. 

At the date of the last report from this office Mr. J. F. Edmiston 
was performing the duties of acting superintendent of the plant, and 
since that time has been made superintendent, and has succeeded in 
largely reducing the expenses of operation and increasing the income 
from the sales of ice. 

The contract with the chief quartermaster, U. S. Army, Philip- 
pines Division, for cold-storage room has been renewed, but the price 
tor cold storage has been increased from 3^ cents United States cur- 
rency to 4J cents per cubic foot per month, in view of the diminished 
space required for that purpose by the army, the general expense 
remaining as great for the smaller space as tor the larger, and the 
diminution in "the cost of operation not being at all in proportion to 
the diminished space required. It is believed that the contract made 
is an equitable one. It, however, resulted in a material saving to 
the army and a consequent diminution of the income to the insular 
government. 

The operations of the plant for the year have been satisfactory. 
The gross revenue for the fiscal year from Julj 1, 1904, to June 30, 
1905, was ^06,356.37, and the total expenses, mcluding outstanding 
liabilities, were !P308,385.11, making the net earnings ^397,971.26, 
showing the most profitable year the plant has ever experienced. 
There was an increase during the year of ^103,407.56 in the gross 
revenues and a reduction of #r8,815.09 in the cost of operation. 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 13 

Owing to the diminished cold-storaffe space required by the army, 
more room became available for use of business concerns, if requirea 
for that purpose^ and space has been leased at reasonable rates to 
fjersons desiring it. The revenues from this source in the preceding 
fiscal year were ^839.76, while during the present fiscal year that 
revenue amounted to ^=36,925.83, making a gam of more than ^36,000 
in this item alone. Meanwhile the public has been largely benefited, 
because the only cold-storage plant in the business, aside from the 
government one, was heretofore able to maintain a monopoly in the 
price of meats, imported fruits, and vegetables. Other business es- 
tablishments have now engaged in competition, making use of the 
government cold-storage space, and the prices of those essentials to 
wholesome living are now about three-fifths of what they were one 
year ago. While one private establishment has lost a portion of its 
profits, the great consuming public has been very largely benefited. 
Sales of ice have likewise increased during the year by !P40,486.52. 
While the sales to the army, navy, and marines remained practically 
as during the preceding year, the sales to the bureaus of the insular 
government and to customers entitled to the special rate bv reason of 
connection with the government and cash sales have largely in- 
creased. Cash sales were made at the same price as the private plant 
in Manila charges, but the government plant does not make delivery, 
while the private plant does, so that the government plant is not in 
this respect competing at all with any private enterprise. The 
increase in the use of ice in the city of Manna and vicinity is appar- 
ently constant and will continue. There has been an increased in- 
come also from the sale of distilled water and miscellaneous items. 

The net earnings of the plant from the beginning have been as fol- 
lows, stated in Philippine currency : 

Fiscal year — 

1902 K38,100.28 

1903 267,710.68 

1904 215, 748. 61 

1905 397, 971. 26 

Total earnings 1,119,530.83 

The operation of the plant for the first three months of the fiscal 
year 1906 indicates that the net earnings will be approximately 
?=400,000 Philippine currency for that year. On this basis at the 
end of the fiscal year 1906 the plant will have paid for itself from 
its own earnings, ^nd will thereafter be an available asset, producing 
a steady and regular income. 

During the year the plant was offered for sale by advertisements 
published in the United States at an upset price of $1,000,000 United 
States money. While more or less negotiations have resulted, no 
sale has been made. In view of the necessity for cold storage at a 
reasonable price and an abundant supply of ice in the Tropics for 
the purfjoses of health and reasonable economy of living, the main- 
tenance of this plant by the insular government might fairly be con- 
fddered a public utility which the government may propery carry on 
in such manner as to prevent private monopoly in some of the prime 
necessities of life. ^ It perhaps might be as properly considered a 
governmental function as the maintenance of water supplies, gas and 
electric-light plants by cities of the United States and other countries. 



14 EEPORT OF THE PHILIPPINE COMMISSION. 

The administration of the plant for the past year as to its income 
and producing capacity removes the whole question from one of 
taxation and burden upon the people for the purpose of maintaining 
such an institution. It occasions no taxation, but, on the contrary, 
relieves taxation to a considerable degree by producing a large and 
reliable income. 

Mr. Edmiston is entitled to special credit for the increase of income 
and reduction of expenses. His report for the fiscal year and sup- 
plemental reports for the months of July and August, 1905, are 
nereto annexed and marked " Exhibits Nos. 2 and 3." 

COINAGE AND CURRENCY. 

In the last preceding report from this office it was stated that the 
new currency upon a gold basis had practically taken the place of 
the old and fluctuating Mexican, Spanish-Filipino, Chinese, and other 
foreign coins previously prevailing in the islands, and that the great 
work of elimmating the old currency had been substantially com- 
pleted. The means by which those results were accomplished were 
there fully set forth and need not be here repeated. The statement 
there made that — 

The government and the public are to be congratulated upon the speed with 
which these good results have been accomplished, and upon the comparative 
ease with which a fluctuating and cheap currency, to the amount of nearly 
W0,000,000, has been eliminated, in spite of the prejudices and conservative 
character of the people, and of the great inducements that always exist to 
make use of a cheaper currency instead of a better and more expensive one — 

has been emphasized by the experience of the past year. \Aniile the 
amount of old currency remaining in the remote nooks and comers 
of the archipelago was larger than at that time anticipated, yet it 
has now entirely passed out of circulation. All business transactions 
are in the new, the speculating and gambling in coin which formerly 
prevailed to so large a de^ee being entirely done away with. Com- 
mercial contracts, miportmg, exporting, buying, and selling within 
the islands are now all upon a uniform basis and a fixed, known 
standard, and the whole public and the government are able to fore- 
cast results, so far as such results depend upon the kind of money 
to be paid or received, as the case may be. Some important steps 
have been taken, however, during the past year. 

1. Certificates of indebtedness. — In order to meet the necessity for 
the purchase of silver for new coinage and to haye a fund for the 
maintenace of the parity of the new currency with gold the govern- 
ment was authorized to issue certificates of indebtedness to an amount 
not exceeding $10,000,000 United States money, at an interest rate 
of 4 per cent per annum and maturing in one year from the date of 
issuance. Under this authority such certificates were issued in series 
of $3,000,000 each up to the amount of $6,000,000. The new cur- 
rency system, however, was so thoroughly established that on May 1, 
1905, $3,000,000 of the certificates were retired and no others were 
issued in their place, and on September 1, 1905, $3,000,000 more were 
retired and others to the amount of $1,500,000 only issued in the place 
of those retired. The present amount of outstanding certificates, 
therefore, is $1,500,000, a reduction of $4,500,000 during the year. 
The several series of certificates have been sold at most favorable 
prices, varying with the demands for such obligations in the United 



KEPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 15 

States from time to tim6. The first series, maturing May 1, 1904, 
was sold at a premiimi of 2.513, making a net interest paid by the 
government of 1.487 ; the second series at a premium of 2.24, making 
a net interest of 1.76; the third series at a premium of 1.181, making 
a net interest paid of 2.819 ; the fourth series at a premium of 1.41, 
making a net mterest of 2.59; the final and now outstanding series 
of $1,500,000, maturing September 1, 1906, realized a premmm of 
1.64, making a net interest paid of 2.36. A great portion of the pro- 
ceeds of these certificates has been on deposit throughout the year 
in New York as a portion of the gold-stanaard fund, and has earned 
interest at the rate of not less than 2^ per cent on average daily bal- 
ances, so that the maintenance of this fund has, on the whole, been 
a source of profit to the insular government instead of a loss. In 
other words, the government has made money by borrowing and issu- 
ing these certificates and has maintained a fund for the purpose of 
the gold standard without any cost whatever. 

2. Ascertainment of seignorage and cost of new currency, — More 
complete data have now been received from the mints in the United 
States, from which the cost of the new currency from bullion pur- 
chased and from recoinage of Spanish-Filipino coins can be more 
accurately stated than before. Down to July 1, 1905, the net seign- 
iorage on silver coins from bullion purchased amounts to ^^,214,- 
064.68, Philippine currency, and the net seigniorage on nickel coins to 
?372,208.10, and on copper coins ^134,069.81, making a net seignior- 
age on all money coined xrom bullion purchased, less mint charges and 
transportation expenses, of ^=2,703,035.32. 

Up to June 30, 1905, there had been shipped to the San Francisco 
Mint for the purpose of recoinage the sum of ¥=15,713,000, Span- 
ish-Filipino coins. This amount, a small portion of which has not 
yet been reported upon from the mint, together with such coins on 
hand in the treasury on June 30, would, on the basis of that already 
reported from the mint, yield approximately ^14,158,446.70, Philip- 
pine currency. The Chinese, IViexican, and other foreign coins that 
nave been sold by the treasury for the purpose of export have yielded 
a profit to the treasury. Making a proper allow!;ance for the profit 
thus accrued, the gold-standard fund has received no seigniorage, 
but has sustained a loss of ^174,258, Philippine currency, on the 
redemption of Spanish-Filipino coijis up to July 1, 1905. In other 
words, the government, for the purpose of dealing on as favorable 
terms as possible with the people, paid that amount more for the 
Spanish- Filipino coin than it was worth as bullion. Had the govern- 
ment yielded to the urgent importunities that were pressed upon it to 
redeem the Spanish-Filipino and Mexican coins with the new coins, 
peso for peso, the Mexican dollars which have been exported by rea- 
son of the stringency placed upon them by local legislation would 
not have been exported, but would have remained in the islands, 
because they would have been worth far more here than anywhere 
else in the world. There would have been a loss to the government 
upon the Mexican pesos exported since the enactment of the leg- 
islation referred to of more than the entire sei^iorage which it 
has now received upon money coined from bullion purchased, or 
W,679,816.63. Upon the Spanish-Filipino ^ coins there would have 
been a further loss of ^1,920,292.51, which', together with the loss 
on the Mexican currency above stated, would have amounted to 



16 EEPORT OF THE PHILIPPINE COMMISSION. 

W,601,109.14. Such a loss would have been ruinous to the whole 
new system of coinage by wiping out the whole of the gold-standard 
fund not made up of borrowed money and creating a large deficit 
besides. Copper coins have been likewise redeemed, upon which the 
loss is liable to be approximately ^45,000, Philippine currency, more. 
Deducting the estimated loss upon Spanish-Filipmo and copper coins 
redeemed from the net seigniorage on the coinage of bulnon pur- 
chased there is approximately a net seigniorage profit of K|.500,000, 
Philippine currency, upon the entire process of coinage and recoin- 
age. Data are not yet available for making an exact statement, but 
the result stated is aporoximately correct. 

3. Additional currency received. — The total amount of new coin- 
age of all denominations in the islands down to June 30, 1905, 
amounted to IP'31,955,520, of which 1P28,160,667 were in actual circu- 
lation, including in this latter statement such pesos as were repre- 
sented in actual circulation by silver certificates. The amount of 
new coinage received in the islands during the fiscal year was 
^^12,126,000, and the increase in the circulation was ^19,103,540. 

4. Increased nse of silver certificates. — ^The amount of silver certi- 
ficates in circulation June 30, 1904, was ?^,000,000, and on June 30, 
1905, ^10,450,000, making an increase of ^4,450,000 during the fiscal 
year. 

5. Continued use of the gold-standard fund in the way of ex- 
change. — During the year exchange was sold by the treasury on the 
^old-standard fund in New York either by telegraphic transfer or 
demand drafts to the amount of $2,236,996.75, United States money, 
for which a premium of $43,777.50 was realized and credited to the 
gold-standard fund. 

No drafts were sold in New York upon the gold-standard fund in 
the Philippine Islands during the year. 

6. Extension of exchanges at the trea^sury. — $5,757,213.97^, United 
States money, were exchanged at the treasury for double that number 
of Filipino "pesos, and ^^3,571,699.09, Philippine currency, were ex- 
changed for one-half that number of dollars, United States money. 

The result of these exchanges has been not merely to furnish con- 
venient facilities for the public for such exchanges without cost, but 
also to establish the mutual interchangeability of the two currencies 
at par. 

7. Continued elimination of old currency. — During the fiscal year 
^=8,763,591.96 of the old currency were purchased at rates authorized 
by law and removed from circulation either by sale for export or by 
shipments to San Francisco for recoinage. 

8. Commercial elimination of old currenry. — Commercially ^,786,- 
247.90 of Mexican coins were exported during the year. 

The second annual report of Dr. E. W. Kemmerer, chief of the 
division of the currencv, is hereto annexed and marked " Exhibit 
No. 4," which contains full and interesting details as to the progress 
of the new currency system during the year, as well as a summary 
of operations from the beginning. Doctor Kemmerer is about to be 
separated from the insular service, because the work of instituting 
the new system has been completed. He has been of great aid in that 
work, riis investigations have been careful and exhaustive, his re- 
ports complete and accurate, and his scientific knowledge of the 



BEPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 17 

theory of maintaining a currency upon a ffold-standard basis with- 
out the use of gold as a circulating medium has been of great value. 

Proposed new legislation relating to coin deposit for payment of 
(filver certificates,— At the close of the fiscal year the amount of 
silver certificates in actual circulation was 1^10,450,000, as above 
stated. The act of Congress of February 6, 1905, authorizes the 
issue of larger denominations of silver certificates, which will un- 
doubtedly increase their circulation so that it may be reasonably 
anticipated that the amount of such certificates will gradually in- 
crease to 18 or 20 million pesos, and if the commerce of the islands 
should be largely increased and the construction of railroads should 
require much more currency than is now in circulation, the amount 
of such certificates would probably considerably exceed ^0,000,000 
in the not distant future. Silver pesos must be deposited and 
retained in the treasury for the payment of each certificate to its 
full amount. The facilities of the treasury for storage of silver 
pesos have already been taxed to the utmost and large amounts of 
them are being stored in the old mint building, where the expense 
of guarding is considerable and where the risks are greater than if 
the storage could all be in the treasury building itself. The insular 
treasurer has asked for an appropriation of ^75,000 foi^ the con- 
struction of additional vaults to furnish more storage space. It is 
undesirable to incur this expense if it can be satisfactorily avoided, 
as well as the expense that would hereafter be incurred for the 
construction of vaults in case the circulation of silver certificates 
continued to increase. The silver pesos so deposited are idle and 
unremunerative and a constant source of expense to the insular 

?;ovemment. The system is inelastic. In case there is a demand 
or increased currency in the form of paper money at any time 
there is no method of meeting it except to purchase more silver 
bullion irrespective of its market price^ and cause it to be coined 
and deposited in the treasury as a basis for the issuance of more 
certificates. Whenever the special demand for currency relaxes and 
there appears to be an excess of it in circulation there is no 
method of retiring it, but the money that the government has bor- 
rowed for the purchase of silver would still constitute an obligation 
of the government, together with the constant recurring expense for 
interest thereon, unless the government were able to recoup itself 
for such losses by securing interest upon the deposits in New York. 
If the government were compelled to purchase silver bullion in an 
emergency when silver stood at a high price the seigniorage accruing 
to the gold-standard fund would be very small or totally disappear, 
and tiie purchase might involve a loss to the government. On August 
23, 1905, the price of silver bullion prompt in London was 28| d. 
per ounce. A Filipino peso made from silver purchased at that 

1)rice laid down in Manila would cost the government 1.0065 pesos, 
eaving no seigniorage. Should silver rise* to 29i d. per ounce, 
which is not an unreasonable thing to anticipate, a silver peso would 
be worth as much as bullion as for money. Repeatedly since the 
present Commission came to Manila silver has oeen higher than 
29J d. per ounce. This was true in the months of October, Novem- 
ber, and December, 1900, and January, 1901. If silver were to ijise 
sufficiently above that price to yield a margin of profit, in addition 
WAR 1905— VOL 13 2 



18 REPORT OF, THE PHILIPPINE COMMISSION. 

to the cost of melting and transportation, it would be profitable to 
melt down our silver coins for bullion and for export. The govern- 
ment then would have no method of relieving the stringency of 
Philippine currency except to purchase more bullion for recoinage 
at a loss. While such emergency is not anticipated it is desirable 
that measures should be taken such as would protect the government 
against such a contingency should it arise. No methods of in- 
creasing the gold-standard fund are available except through the 
seigniorage resulting from coinage and through the premiums 
received from the sale of gold-standard fund drafts and interest 
upon that part of the gold-standard fund which is kept on deposit in 
banks in the United States. It is desirable that sate means should 
be devised for making a more rapid increase of the gold-standard 
fund, which now amounts, as above stated, to about $1,250,000, aside 
from monev borrowed on certificates issued in pursuance of authority 
given by Cfongress. 

Eliminating money borrowed on certificates, the increase in the gold- 
standard fund for the fiscal year 1905 was substantially $103,000. It 
is believed that great relief, combined with entire safety, might be 
secured if Congress would authorize the use of United States gold 
coin in part as a reserve for the silver certificates, such gold coin being 
full legal-tender money in the Philippine Islands, under Congres- 
sional legislation. The certificates would still be redeemable in full 
legal-tender coin of the islands. The reserve would be at least as 
strong if consisting in part of gold coin of the United States as if it 
consisted entirely of Pnilippine pesos. The government could then 
safely purchase silver when the market price was low and when the 
seigniorage would add materially to the gold-standard fund, but 
abstain from purchasing when the price of silver was high. In such 
case, if additional peso circulation were needed, it could be furnished 
by withdrawing a portion of the silver pesos from the certificate 
reserve, putting them in circulation and substituting gold coin in the 
certificate reserve. An excess or deficiency of silver pesos in circu- 
lation could be relieved by withdrawing pesos from circulation, put- 
ting them into the certificate reserve and taking out an equal amount 
of gold coin, which does not go into circulation in the Philippine 
Islands, or by the reverse process, as circumstances required. In 
case the price of silver became so high as to make probable the expor- 
tation of Philippine pesos they could be withdrawn largely from cir- 
culation, issuing gold coin instead, to such an extent that their scar- 
city in the islands would cause them to appreciate in local value and 
to become worth more as currency here than for shipment abroad, or 
for melting. Should a permanent deficiency in Filipino peso circu- 
lation exist silver could, at any favorable time, be purchased so as to 
make a permanent increase in the local circulating medium. A por- 
tion of tne gold coin consisting of this reserve against the certificates 
might be deposited in the United States in lawful depositories, where 
it would draw interest, and being substantially a permanent deposit, 
the highest rates of interest could be secured, probably 3 to 3| per 
cent, which w^ould make a very substantial income for the benefit of the 
gold-standard fund or the general funds, as might be deemed expedi- 
ent The continuing expenses of constructing new vaults for the 
storage of Philippine pesos would be unnecessary in this case. 



REPOBT OF THE SECRETARY OF FINANCE AND JUSTICE. 19 

The outstanding certificates ought not to be affected by such legis- 
lation, but as thej come into the treasuir in the payment of public 
dues and otherwise to the extent probably of more than ^500,000 
each month, they could be reissued and have stamped upon them the 
words " Payable in legal-tender coin of the Philippine Islands," or 
other equivalent expressions showing that they would be payable 
either in gold coin of the United States or in silver pesos at the elec- 
tion of the government. This procedure is especially desirable be- 
cause of the great expense of preparing the existing certificates, the 
cost of which has already been substantially $50,000. There is no 
difficulty in obtaining the gold coin for such purposes, because the 
insular treasury now has in its vaults upward of $3,000,000 United 
States gold coin, immediately available, and because the transfer of 
funds from the Treasury of the United States to the Philippine 
Islands for army and other purposes are mainly made through the 
insular treasurer by deposits m New York, and an indefinite amount 
of gold coin could thus bg deposited in New York to the credit of the 
treasurer of the Philippine Islands, the equivalent then being placed 
to the credit of the treasurer of the United States at Manila, so that 
no actual transfer of money would be necessary, but a sufficient 
amount to the credit of the gold-standard fund would be available 
at all times without expense. Should that portion of the scheme here 
outlined which relates to the deposit of United States gold coin at 
interest be not authorized, the relief would be considerable if the 
insular government were authorized to use gold as a certificate re- 
serve instead of pesos to a certain extent, because the elements of 
elasticity and the relief from the necessity of the construction of 
new vaults and the possibility of the government availing itself of 
the most favorable times for purchasing silver would constitute 
material improvement over pi'esent conditions. 

It is believed, however, tnat the government might properly be 
authorized to make the deposit in New York to secure the large 
earning^ upon the gold coin there deposited, a proceeding which 
would in no way affect the circulating medium of the Philippine 
Islands. 

It is recommended that Congress be requested so to amend that 
portion of section 10 of the act of Congress approved March 6, 1905, 
which is marked " Sec. 8," that the treasurer ox the Philippine Islands 
will be authorized to receive either standard silver Philippine pesos 
or gold coin of the United States at the treasury in sums of not less 
than ^^0 Philippine currency, or $10 United States gold coin^ and to 
issue certificates therefor in denominations already authorized bv 
law, provided that the amount of gold coin held in such reserve shall 
not at any time exceed 60 per cent of the total amount of certificates 
outstanding, and further provided, that the gold coin so held in 
reserve may be deposited by the treasurer of the Philippine Islands 
in authorized depositories of the funds of the treasurer of the Philip- 

Eine Islands in the United States on such security as may be approved 
y the Secretary of War. Should 60 per cent be deemed too large a 
portion of the reserve to be held in gold coin, it is then suggested 
that the limit be placed at 50 per cent 



20 REPORT OP THE PHILIPPINE COMMISSION. 

BANKS AND BANKING. 

No new banks have been established in the Philippine Islands dur- 
ing the year aside from a bank -Of ^50,000 capital, organized with 
local capital at Dagupan, in the province of Pangasinan. This bank 
was organized under the existing Spanish laws, the new corporation 
law, already prepared, not yet having been enacted. 

The funds of the insular government in the islaods not retained 
in the treasury vaults have Seen, as before, distributed between the 
three authorized depositories — the Chartered Bank of India, Austra- 
lia, and China; the Hongkong and Shanghai Banking Corporation, 
and the International Banking Corporation of New York — ^besides 
the sums deposited in authorized depositories in the United States. 
At the close of the fiscal year 1905 those funds were distributed as 
follows : 

The Chartered Bank of India, Australia, and China, ^^61,397.87. 

The Hongkong and Shanghai Banking CJprporation, ^134,125.72. 

The International Banking Corporation or New York, at Manila, 
1^2,327.85 Philippine currency and $29,520.50 United States cur- 
rency. 

No action has yet been taken by the Spanish-Filipino Bank look- 
ing to amendinent of its charter, as suggested in the third annual 
report from this office. It is believed to be greatly to the interest of 
that bank that such action should be taken. It is also believed that 
should such action be taken and the charter of the bank be brought 
into harmony with American banking principles that bank ought to 
be made an authorized depository for funds oi the government of the 
lliilippine Islands upon giving proper securities. 

The results of an examination made by the treasurer of the Phil • 
ippin« Islands, in accordance with law* into the condition of the so- 
called American Bank led to the conclusion that the institution was 
not being properly managed; that it had imperiled a large portion 
of its assets in unwise and worthless loans; that it was subject to no 
supervision by any board of directors; that the whole management 
was in the hands of the cashier, H. B. Mulford, and thnt a large num- 
ber of notes which on their face appeared to be regular and upon 
which the interest apparently had been promptly paid were fictitious. 
A more complete investigation of the responsibility of each individ- 
ual debtor of the bank, as shown by notes, disclosed the fact that 
thirty or forty of its apparent large debtors could not be located, 
nor was the cashier able to give any information as to who they 
were or their whereabouts except that he had always been able to 
reach them by mail. Under these circumstances the governor- 
e-eneral, on the I7th day of May, 1905, issued an order closing the 
bank, in accordance with law, and directed the treasurer to proceed 
Avith its liquidation. The management of the bank has proven to be 
grossly incompetent or dishonest; probably both. Prosecutions 
against the cashier for embezzlement are pending in the court of 
first instance in the city of Manila. A dividend of 25 per cent has 
been paid to depositors in the month of October, and further divi- 
dends will be paid later as the assets may warrant. 

It is exceedingly unfortunate that a bank under American manage- 
ment and bearing the title "American Bank " should have been so 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 21 

^ossly mismanaged. It injures the prestige of Americans in the 
islands, besides causing large losses to people who can ill afford to 
lose their savings. 

AGRICULTURAL BANKS. 

The desire for one or more agricultural banks, established for the 
primary purpose of advancing money to agriculturists mainljr upon 
the security of their landed property, is nearly universal in the 
provinces of the islands, and has long been so. The extreme need -of 
capital for this purpose is entirely manifest. The people have not 
money with which to employ the necessary labor to purchase the 
essential animals and agricultural machinery for developing their 
lands and carrying on the industry that lies at the basis of afl pros- 
perity of these islands. Abundance of capital for these purposes, 
available at reasonable rates of interest, would be the greatest of 
boons. The existing laws for the formation of such banks are ade- 
quate, and suitable provision has also been made for them in the new 
corporation law about to be enacted. But the existing and proposed 
laws only provide for establishing such institutions upon private 
initiative. It has been completely demonstrated that private capital 
will not enter the field, partly because of the uncertainty of land titles 
and of the vicissitudes to which agricultural enterprises here are 
subject from diseases of animals, occasional drought, and disasters 
caused by hordes of locusts. It is apparently useless to expect private 
capital at present to enter this most useful field without any govern- 
ment intervention. Nor are cooperative agricultural bants, which 
have been most successful in some parts of the world, apparently 
feasible here, because there is not sumcient capital among the people 
to enable them to establish such institutions from local resources. 
Nor has the insular government been in financial condition to enter 
upon the business of establishing directly such banks. The other 
demands upon the treasury have been so great that nothing was avail- 
able for such purposes. A scheme, however, has been worked out in 
Egypt, constituting a combination of private enterprise with limited 
Government aid, which, under circumstances somewhat similar to 
those existing in the Philippine Islands, has proven a great success. 
The Egyptian government at the outset set apart a small sum from 
its own funds tor an experiment in making loans to agriculturists 
among a people who were thriftless, poverty stricken, and loaded 
down Dy the exactions of usurers. The experiment was tentative and 
upon a very small scale, beginning in 1896. Gradually, however, as 
the success of the movement was demonstrated in limited localities, 
the work was transferred to the Bank of Egypt, and the capital 
was furnished through that bank; that is, by private individuals, 
until the advances became so large that it was deemed undasir- 
able to have so large a portion of me assets of the bank tied up in 
long-time loans. An agricultural bank for this special purpose was 
thereupon established and the loans carried by the Bank of Egypt 
were transferred to it. The new institution took over the business m 
the year 1902, and has gradually so extended its operations that the 
amount of loans at the end of the year 1903 was £2,186,746 Egyp- 
tian, and steps at that time were taken to increase the capital to 



22 BEPORT OF THE PHILIPPINE COMMISSION. 

£5,000,000 Egyptian. Under this system the government lends its 
aid in the collection of the principal and interest of the loans and 
guarantees the principal and a small rate of interest. While the 
rate of interest that might be charged to the borrowers is materially 
more than guaranteed oy the government, yet it is so low (9 per 
cent) that very great relief has been furnished to the landowners, 
large and small, and the rates of interest heretofore paid have been 
enormously reduced. Losses have been very few. Habits of industry 
Vid thrift have been largely developed among the Fellaheen when 
they were once released from the grasp of the usurers. The result 
has been not merely to furnish outlete for capital, but mainly to 
develop the country and improve the condition of small landowners. 
The system there established has grown up from very small begin- 
nings, and has advanced only as experience has demonstrated the 
wisdom and necessity for extension. 

It is doubtful whether the Philippine government could make 
guarantees such as the E^ptian government makes to its agricultural 
bank without express autnority from Congress. Without discussing 
that question at length it is sufficient to say that it is undoubtedly 
safer, if such a measure should be entered upon here, to have the 
prior authority of Congress. The details of legislation by the Philip- 
pine Commission to that end, should it be deemed expedient to take 
such action, need not be here stated. A draft of a law to accomplish 
these purposes has been prepared and will be submitted to the Com- 
mission should the necessary authority from Congress be secured. 
The inauguration of such a system here must be tentative and on a 
comparatively small scale at the outset and surrounded by the utmost 
safeguards, no loan being authorized to be made under any circum- 
stances until the title of the land offered as security has been favor- 
ably and finally adjudicated by the court of land registration. It is 
recommended that Congress be asked to authorize the establishment 
of an agricultural bank by private capital, the principal of which 
shall be guaranteed by the government of the Philippine Islands, and 
interest at a rate not exceeding 4 per cent per annum, with a limita- 
tion that the total amount which the government of the Philippine 
Islands shall be called upon to pay in any single year shall not exceed 
$200,000. The rate of interest allowed to te charged to borrowers 
should not in any case exceed 10 per cent ; the difference between the 
rate guaranteed by the government and the rate at which loans can 
be made would probably be sufficient to pay all expenses of operation 
under rigid governmental supervision, and likewise to pay a sufficient 
per cent to attract private capital. One of the large banks doing 
business in Manila has offered to undertake to finance such an enter- 
prise should it be deemed expedient to establish it. 

POSTAL SAVINGS BANKS. 

The people living in the vicinity of Manila, Iloilo, and Cebu are 
able to find places for deposit of their savings in the banks doing 
business there with small rates of interest. This does not reach 
the needs of the people throughout the islands, and a system of postal 
savings banks would be of the highest utility in encouraging nabits 
of thrift and enabling people to deposit their small savings in secure 
places whereon they could receive a reasonable rat© of interest and 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 23 

feel that they were safe from typhoons or robbers. A draft of a law 
for the establishment of postal savingjs banks throughout the islands 
has been prepared and will be submitted to the Commission at an 
early date, and its passage with such amendments as may be needed is 
recommended. 

CUSTOMS SERVICE. 

The receipts from the customs service still continue to constitute 
the larger portion of the revenues of the insular government, although 
the new internal-revenue law has become an important factor in that 
respect. 

NEW LEGISLATION AFFECTING THE CUSTOMS. 

On September 22, 1904, Act No. 1235 was passed, making minor 
and some important amendments to various sections of the customs 
administrative act, such as experience had shown were desirable. 
The removal of the requirements that manifests of cargoes for ports 
in the Philippine Islands from foreign ports should be certified by 
an American consular representative and the extension to corpora- 
tions or companies created under the laws of the United States or 
any State thereof or of the Philippine Islands, having a duly au- 
thorized officer resident in the Philippine Islands, of the privilege 
of obtaining a certificate of protection for vessels owned by such 
corporations or companies engaged in the coastwise trade are among 
the important modifications. 

Act No. 1341, passed May 4, 1905, threw open for the purpose of 
interisland commerce all ports and places in the islands to vessels 
licensed to engage in the coastwise trade and removed all fees and 
charges in the matter of entrv and clearance of vessels at all except 
entry ports. This act furnished an important and needed relief to 
interisland commerce and eliminated entirely the expense of main- 
taining customs officers at small ports. On June 15, 1905, Act No. 
1354 was passed, exempting vessels of less than 15 tons gross burden 
from taking out annual licenses or the pavment of any tee or charge 
whatsoever. While this act diminished the revenues to some extent, 
it was of ^eat benefit to owners of small boats and tended to encour- 
age and stimulate trade between the various islands and remote parts 
thereof. • 

The tariff revision law of 1905 was enacted by Congress on March 
3, 1905, to be effective May 2, sixty days after its passage. That act 
corrected some inconsistencies growing out of the former one, equal- 
ized certain rates of duty, and introduced qualifying ad volorem 
rates as a more' marked feature than the old tariff. The machinery 
schedule was entirely readjusted. The usual results ensued, in that 
especially large quantities of those goods upon which rates were 
to be increased were imported prior to the time the new law became 
effective, but the importation of other lines of merchandise upon 
which the rates of duty were to be lowered was postponed, 

REFUND OF DUTIES ON EXPORTS. 

In prior reports attention has been called to that part of the act of 
Congress of March 8, 1902, providing for the refund of duties paid 



24 REPORT OF THE PHILIPPINE COMMISSION. 

on articles exported to the United States and consumed therein, and 
its repeal has been repeatedly recommended. Three years' experience 
under that law has only emphasized the desirability of such a repeal, 
and it is earnestly recommended that Confess be asked to furnish 
the much-needed relief. No one in the Philippine Islands is bene- 
fited to the slightest degree by this act. It tates from the insular 
treasury export duties that have been placed therein and gives them 
to manufacturers of hemp products in tne United States, while it fur- 
nishes no such refund in cases of exports to other countries. The 
only persons benefited by such legislation are carriers of merchandise 
between the Philippine Islands and the United States and manufac- 
turers of hemp products in the United States. It is a bonus paid 
straight and direct by the treasury of the Philippine Islands to 
those two American industries. It has not increased or decreased 
the price of hemp which the Filipino producer receives, but does en- 
hance the profits of the two industries in the United States above 
referred to. It seems to be an exploitation of the industries of the 
Philippine Islands pure and simple for two industries of the United 
States. The Philippine government never recommended such legis- 
lation and has always oppo.-ed it. 

The amount of duties refunded under this act to manufacturers 
in the United States during the three years ending June 30, 1905, is 
$1,057,251.12^. That money is needed to the highest degree for the 
development and .maintenance of schools and other indispensable 
institutions of the government in the islands, and has been taken 
out of the meager insular treasury to enrich enterprises in the United 
States. 

INCREASED ECONOMY IN ADMINISTRATION. 

By certain consolidations and by increasing the proportion of 
Filipino employees at lower salaries than were paid to Americans 
the expenses of the bureau of customs have been reduced, and will be 
further reduced during the fiscal year 1906. The expenditures in 
that bureau for the fiscal year 1905 were $43,184.92 less than dur- 
ing the fiscal year 1904, and it is anticipated that during the fiscal 
year 1906 they will be about $100,000 less than 1905. Of the classi- 
ned customs employees at Manila 59 per cent are Filipinos, and of 
the unclassified employees all are Filipinos. 

HARBOR IMPROVEMENTS. 

A detailed report in regard to the improvements in the harbor of 
Manila will be made by the secretary of commerce and police, under 
whose charge that work is. It will only be remarked here that that 
work is approaching completion and will probably call ultimately 
for the construction of a new custom-house. Piers for the accommo- 
dation of commerce in the new harbor are already arranged for, 
and they will be completed within two years from this date. Manila 
will undoubtedly, when these works are completed, have the best 
harbor facilities in the Orient. The improvements that are being 
made in the ports of Iloflo and Cebii will likewise greatly facilitate 
commerce at those ports, both of which are very important in the 
commerce of the islands. 



BEPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 25 
EXPORTS AND IMPORTS. 

The exports of the two principal products of the Philippine 
Islands — ^hemp and sugar — ^have shown a material increase in the 
past year as compared with the fiscal year 1904. The increased 
price of sugar has doubtless been a factor in the increased export of 
that product. Hemp also has conamanded a good price and the 
exports have been large. 

The entire volume of exports for the year 1905, excluding currency, 
exceeded the exports for the previous year by $2,129,738. This is 
an especially good result in view of the ladron disturbances that 
have occurred in a few of the provinces and the prostration of agri- 
cultural interests by reason of the death of animals, referred to in 
the last previous report from this office. 

The total exports during the year were $32,355,865 in value as 
compared with $30,226,127 tor the'fiscal vear 1904, and the total value 
of imports was $30,879,048 as compared with $33,221,251 for the 
fiscal year 1904. The results show a balance of trade in favor of the 
islands of $1,476,817 for 1905. 

The hemp shipments for the last year were the largest in value 
and amount in the history of the islands. The exports of tobacco 
were not as great as for the fiscal year preceding, and the amount of 
this commodity that found its way to the markets of the United 
States is insignificant by reason of the prohibitive tariff in force in 
that country. 

The increase in imports from the United States has been chiefly in 
the line of cotton textiles, hardware, and machinery, as hereinafter 
appears. 

There was a very large increase in customs collections at the port 
of Cebii, owing, in part, to a disastrous fire that occurred in March, 
1905, which destroyed inmiense quantities of merchandise and sup- 
plies, thus compelling immediate new purchases and importations. 

There was a slight increase in customs collections durmg the year 
at Zamboanga, Bongao, and Balabac, and a decrease at Manila 
amounting to $316,469.08; at Iloflo, $73,386.26, and at Jol6, $775.77, 
caused mainly by decreased importations. 

The gross customs receipts for the fiscal year 1905 amounted to 
$8,263,444.25, a decrease of $170,424.01, or about 2 per cent, as com- 
pared with the previous fiscal year. The net receipts, however, show 
a greater percentage of loss, owing to the large exportation of hemp 
to the United States, the duties upon which are refundable as the 
products were consumed in the United States. 

The growth of commerce between the United States and the Phil- 
ippine Islands as to imports is shown by the following comparative 
statistics for the last three fiscal years: 

The total value of imports from the United States was in — 

1903 ?4, 108,944 

1904 • 4, 843, 207 

1906 5,a39,512 

A comparative statement of exports from the Philippine Islands to 
the United States for the same years shows — 

1903 $13, 863, 059 

1904 11, 102, 860 

1905 15, 678, 875 



26 BEPORT OF THE PHILIPPINE COMMISSION. 

The increased importations from the United States of various 
articles are shown by the following comparisons: 

The amount of textiles imported into the islands during the first 
half of the year 1902 from the United States, under the present tar- 
iff, No. 117, amounted in value to $74,214.36, while for the corre- 
sponding period of the calendar year 1905 they amount^ to 
$611,624.44. 

Illuminating oil imported from the United States in 1904 was 
valued at $246,519, and in 1905, $443,512. 

Hardware and machinery imported from the United States in the 
year 1904 amounted to $821,160 m value, and in 1905 to $1,447,387. 

Fresh meats imported into the Philippine Islands nearly all come 
from Australia. Mutton, pork, and hind quarters only of beef 
range in prices from 4 cents to 6^ cents per pound delivered in 
Manila frozen. Meat could not be produced in the United States 
and delivered in the islands at these prices, and it is improbable that 
in tlie near future the United States will be able to control the market 
in this line of importations. 

The details of all imports and exports will be found in full in the 
statistical portion of the report of the collector of customs for the 
Philippine Islands, which is hereto annexed and marked " Exhibit 
No. 5.'^ 

A large portion of distilled and malt liquors imported into the 
islands came from the United States. 

The importation of rice is a most important factor in the prosperity 
of the countrv. In the fiscal year 1903, $10,061,323 were carried out 
of the islands to pay for rice imported. In 1904 the maximum 
amount in the history of the islands was expended for that purpose, 
$11,548,814; while in 1905 the sum so expended amounted to $7,- 
456,738. This statement concretely shows the increased production 
of rice in the islands. Over $4,000,000 gold less were sent out of the 
islands during the last year for rice than during the preceding year, 
and $4,000,000 saved to the people here mean much. 

THE DINGLEY TARIFF AND THE SHIPPING BILL. 

The recommendations that have heretofore been made in reports 
from this office, and by the Commission in its reports to the Secretary 
of War, that Congress be requested so to modiiy its legislation that 
sugar and tobacco produced in the Philippine Islands may be admit- 
ted into the United States either free or duty or on more favorable 
terms than at present, is now renewed. The subject has been so re- 
cently and so thoroughly discussed while the Congressional party 
were here that further elaboration of the arguments would be useless 
in this report. The considerations urged in that behalf are all fresh 
in the minds of the Commission and of the Secretary of War. 

The act of Congress approved April 15, 1904, entitled "An act to 
regulate the shipping and trade between the ports of the United States 
and ports or places in the Philippine Archipelago, between ports or 
places in the Philippine Archipelago, and for other purposes," pro- 
hibits, after July 1, 1906, the transportation of merchandise (except 
supplies for the Army or Navy) and passengers between ports of the 
United States and ports or places in the Philippine Archipelago, 



BEPOBT OF THE SECRETARY OP FINANCE AND JUSTICE. 27 

direct or by the way of a foreign port, in any vessel other than a 
vessel of the United States. 

If this act should continue unmodified, it is believed that it would 
operate greatly to the disadvantage of the Philippine Islands by 
eliminating to a considerable degree competition in trans-Pacific 
freight or m freight from New York via Suez, and result in placing a 
heavy burden upon the coAimerce of the islands, both import and 
export, for the benefit of shipping companies in the United States. 
It is believed that the islands are in no financial condition to stand 
this additional burden. When the resources here are sufficiently 
developed and Congress shall have given to our agriculturists some 
aid by reducing the Dingley tariff on sugar and tobacco, and agri- 
cultural industries shall nave had time to recuperate and get mto 
normal conditions, it is possible that the advantages received would be 
such as to enable them to overcome the difficulties imposed by the ship- 
ping bill referred to. 

It is recommended that Congress be asked either to repeal that 
portion of the law which relates to commerce between the United 
States and the Philippine Islands or to provide that it shall not be- 
come operative until July 1, 1909, and not then unless prosperity shall 
return to the islands. 

JAPANESE AND CHINESE IMMIGRATIOlf. 

The number of Japanese admitted to the islands for the fiscal year 
1904 was 2,672, and m the fiscal year 1905, 1,204. The decrease un- 
doubtedly is owing to the Russian-Japanese war. 

The number of Chinese immigrants during the fiscal year 1904 was 
9,089, and in 1905, 8,886, nearly all of whom were Chinese who had 
before been in the Philippine Islands and who had returned to China 
temporarily and were readmitted to the islands in accordance with 
law. Some of them were Chinese merchants, some wives and minor 
children of resident Chinese merchants, and others Chinese laborers 
with return certificates. These statistics do not indicate that the 
number of Chinese in the islands is increasing at all^ on the con- 
trarv, it is believed that the number is steadily decreasing. 

The total immigration dues collected during the last fiscal year 
were-$39,422, of which all but $5,534 accrued from charges for labor- 
ers' return certificate and immigration dues from Chinese. 

COST OF CX)LI^CTION. 

The statistics contained in the report of the collector of customs 
(Exhibit No. 5) show the total cost of collecting customs revenues at 
the various ports and in the aggregate. The cost for one dollar of 
revenue collected still continues very low in comparison' with the 
percentage of expenditures to receipts in ports where a similar amount 
of business is transacted in the United States. 

OPIUM IMPORTATIONS. 

Importations of opium during the fiscal year 1905 amounted to 
268,128 pounds. That amount has never been exceeded except in the 



28 REPORT OP THE PHILIPPINE COMMISSION. 

year 1902, when 285,443 pounds were imported. The duties received, 
however, during the last fiscal year were greater than in any former 
year owing to the higher rate now charged. The value of the opium 
imported m 1905, added to the duty thereon, amounted to $1,217,274. 

It is apparent that the heavy duty upon opium has had little effect 
in diminishing its consumption, and tne problem of preventing the 
extension of the opium habit must be dealt with in ways other than 
through the customs. 

The figures given in the report of the collector of customs as to cus- 
toms revenues do not agree with those hereinafter stated in connection 
with the budget for the fiscal year 1906, as based upon customs reve- 
nues for the fiscal year 1905. The distinction, however, is only 
apparent and not real. The collector of customs, according to law, 
reports the total revenues collected, while the budget is based upon 
the net revenues collected after deducting reimbursable revenues, par- 
ticularly those accruing upon hemp exported to and consumed in the 
United States. 

THE NEW INTERNAL-REVENUE LAW. 

The third annual report from this office stated the circumstances 
connected with the enactment of the new internal-revenue law and 
the opportunities for public discussion that were furnished, and the 
general provisions of the law as finally enacted on July 2, 1904. It 
will be unnecessary here to recite any of the details there set forth or 
the considerations that led to the enactment of the law. 

AMENDMENTS TO THE INTERNAL-REVENUE LAW. 

Several minor amendments have been made to the law, mainly for 
the purpose of simplifying its operation and for meeting temporary 
difficulties that arose in its enforcement. 

On April 27, 1905, after public discussion, Act No. 1338 was 
passed, which made a few verbal changes and corrections of typo- 
graphical errors in the original text. Minor changes in the license 
tax rates and in the definitions of dealers and two or three license 
taxes, covering occupations which ought to contribute to the public 
revenues, but which had not been provided for in the original act, 
were provided for. Further exemptions from documentary taxes 
were made and more efficient provision was established for enforcing 
payment of the delinquent cedula or personal registration taxes. The 
important amendments incorporated in that act were those decreas- 
ing on and after May 1, 1905, the tax on rectified manufactured 
liquors from 30 to 20 centavos per proof liter and the extension of 
time from July 1, 1905, to January 1, 1906, when the tax on cigarettes 
weighing 2 kilograms or less per thousand should be increased from 
67 centavos to 1 peso per thousand. It had been found that the 
rectified manufactured liquors were being discriminated against in 
consumption in favor of those that had not been rectified by impos- 
ing a heavier tax upon the rectified and thereby making it more 
advantageous to sell the unrectified liquors. Analyses by the govern- 
ment laboratory in a great number of cases show that unrectified 
liquors produced in small distilleries, called " cauas," contain but a 
small percentage of poisonous elements. In order that the rectified 
and manufactured liquors might not be discriminated against, the 



BEPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 29 

tax rate was lowered to 20 centavos per proof liter, the same as that 
imposed upon um^ctified liquors. 

The postponement of the time when the increased tax should go 
into effect upon cigarettes was for the purpose of giving further time 
to enable manufacturers to adapt themselves to the new conditions to 
meet the requirements of trade. 

ORGANIZATION OF THE BUREAU OF INTERNAL REVENUE. 

The inauguration of an entirelv new system of taxation required an 
efficient organization that should reach every municipality in the 
islands. It was impossible to put a full and complete system of 
collection immediately into effect, and the collector of internal revenue 
was authorized to make preliminary regulations before establishing 
the permanent system and obtaining the necessary record books, office, 
and stamps, and preparing needed indispensable instructions to col- 
lectors. 

A permanent system was established in Manila and near-by prov- 
inces on January 1, 1905, and in the remaining provinces as soon 
thereafter as practicable. Every effort was made to make the book- 
keeping and other requirements imposed upon tax payers as lenient 
as possible and to impose the least practicable additional burden upon 
them. The work of inaugurating the new system rested necessarily 
upon the collector of internal revenue, Mr. John S. Hord, whose pre- 
vious experience in Porto Rico admirably qualified him for the work, 
and he has proved himself efficient and faithful in the performance oi 
his arduous duties. 

COLLECTIONS UNDER THE LAW. 

The law did not in any of its features go into effect until August 1, 
1904, and in some not until January 1, 1905. The statistics avail- 
able, therefore, for the fiscal year 190o cover but eleven months of a 
partial operation of the law and six months of its full operation. 
The total collections finally liquidated during the fiscal year 1905, 
including municipal and provincial taxes collected under the law, 
were ^5,200,383.95, and during July, 1905, ^^94,620.75, making a 
total for the full year of partial operation of the law ^5,995,004.70, 
practically 60 per cent of which was paid in the city of Manila and 
40' per cent in the provinces. By the provisions of the law these 
revenues for the whole twelve months down to July 31, 1905, were 
apportioned as follows : 

Insular W, 436. 554. m 

Provincial 1, 128, 718. 32 

MiHiieipal 1,429,731.42 

Based upon these statistics and those gathered from the United 
States and Porto Rico, the per capita of tax payments upon alcohol 
and tobacco products consumed are as follows: 



United Statee 

Porto Rico 

Philip|>ine Islands . 



Distilled 
spirits. 


Fer- 
mented 
liquors. 


Tobacco 
prod- 
ucts. 


Total. 


r3.20 


ri.ao 

.20 
.02 


n.i2 

.80 
.40 


r5.52 


1.00 


2.00 


.30 


.72 







30 REPORT OF THE PHILIPPINE COMMISSION. 

The per capita consumption of distilled spirits is ^eater in the 
United States and Porto Rico than in these islands, while the rate of 
taxes imposed in those countries is from two to four times as high 
as here. The consumption of tobacco products in the islands is 
greater per capita than in the United States or Porto Rico, but the 
tax rate on cigarettes in those two countries is approximately three 
times as high as in the Philippine Islands. The taxes on alcohol and 
tobacco products are important items in the scheme of taxation 
adopted. Even a small reduction in the rates now in operation would 
reduce the amount of total revenues collected to a greater extent than 
the entire elimination of several minor schedules. 

The total expenses of collecting during the period of eleven months 
was ^183,858.91, or 3^ per cent of the total revenues received. This 
statement, however, would be incomplete without taking into con- 
sideration the fact that much of the work of collecting in the prov- 
inces is done through provincial treasurers and their deputies, whose 
salaries and expenses are paid by the provinces. No data are avail- 
able for stating the proportion of the expenses incurred by the prov- 
inces that might properly be taken into consideration in ascertaining 
the total cost of the collection of the internal-revenue taxes. 

DISTILLED SPIRITS. 

During the eleven months ending June 30, 1905, taxes were col- 
lected on distilled spirits amounting to ^=743,975.94, and during July, 
1905, ^lll',730.28, making a total for twelve calendar months of 
f1^55,706.22. 

This collection was made on an output of 3,838,061 proof liters for 
domestic consumption. The output of tax-paid spirits in August, 
1904, the first month of the operation of the new law, was 93,405 
proof liters. The output during that month was naturally very 
small, as some of the distilleries had been run night and day during 
the two months prior to the law going into effect, so that as large an 
output as possible might be made without the payment of taxes. The 
output of tax-paid spirits in June, 1905, was 574,788 proof liters. 
Using the output during that month as a basis for calculation, the 
annual output of tax-paid spirits, in round numbers, would be 
7,000,000 proof liters. The spirits produced in the provinces sel- 
dom gauge more than 50 per cent proof, while those produced in 
Manila gauge from 60 to 70 per cent proof. The 7,000,000 proof 
liters, reduced to the usual drinkable strength at which it is sold, 
would mean between 12 and 13 million gauge liters. The Manila 
market was largely overstocked with manufactured liquors removed 
from the local rectifying plants before August 1, 1904, to escape the 
tax. The output of spirits and manufactured liquors from Manila 
rectifying plants continued to increase month by month from August, 
1904, to May 1, 1905, but early in June, 1905, several of the Manila 
rectifiers began an agitation having for its object a reduction in the 
tax rate on spirits, and the local wholesale dealers reduced the volume 
of their orders pending the outcome of the agitation. This is doubt- 
less one of the reasons for a reduction in output of the Manila rec- 
tifying plants shown in June and July by the collector's report. 

The collector of internal revenue, from the best statistics available, 
estimates that the total output of all distilleries during an average 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 31 

year before the internal-revenue law was enacted at less than 
10,000,000 proof liters. Tax is now being paid upon an annual out- 

Kut of 7,000,000 proof liters, equal to 70 per cent of the normal output 
efore the tax was imposed. The agitation for a reduction of the 
tax on distilled spirits is still going on and a yearly normal. output 
can not be expected until the agitation comes to an end and it is 
finally understood that the law is to stand in its essential details as 
enacted. 

It should also be remarked that immediately after the going into 
effect of the law the retail price of liquors was increased not merely 
by adding the amount of the tax, but by adding several times that 
amount. Such an increase necessarily diminished the consumption 
and affected the output. This policy is believed to have been most 
unwise and to have operated materially to the disadvantage of the 
distilleries in the city of Manila and to the advantage of the small 
and less expensive establishments in the provinces. A considerable 
portion of the trade heretofore controlled by the Manila distilleries 
was thus acquired by the provinces. 

In the provinces of Bulacan, Pampanga, and Tarlac, where dis- 
tillation from the juice of the nipa palm is extensively carried on, 
two new distilleries have been installed since the internal-revenue 
law was enacted, and two others that had not been operated for some 
time prior to August, 1904, are now in operation. In Manila two 
new rectifying plants are also in operation, making a total of 8 in 
the city of Manila against 6 on August 1, 1904. Crude spirits in 
immense quantities from the provinces of Bulacan and Pampanga 
are sent to the city of Manila tor rectification. 

FERMENTED LIQUORS. 

During the eleven months of the fiscal year 1905 when the law 
was in force there was collected as tax upon beer for domestic con- 
sumption W18,286.44, and during July, 1905, 1P14,009.60, making a 
total for the year of ^132,296.04, based upon an output of 3,307,400 
liters of beer. The output from the only brewery in the islands, 
located in the city of Manila, and which claims a monopoly for a 
series of years by a Spanish grant, during an average year preceding 
the imposition of the tax was 3,450,000 liters. This estimate of its 
output is based upon the actual known output of beer immediately 
preceding August 1, 1904, when the tax became effective. There has 
Been, therefore, very little diminution in the amount of beer con- 
sumed in the islands since the imposition of the tax. No domestic 
beer was exported from the islands, but the quality of the domestic 
article and the duties imposed upon the imported beers are such as 
apparently to insure the continued prosperity of the domestic product. 

TOBACCO PRODUCTS. 

The provinces of Cagayfin and Isabela produce the only tobacco 
fit for use in the manufacture of the better quality of cigars and 
cigarettes. In several provinces tobacco leaf is produced to a lim- 
ited extent, but it is believed to be of inferior quality. If the 
tobacco of the Philippine Islands is to attract foreign markets, it is 
necessary that immediate steps be taken to improve the character of 



32 REPORT OF THE PHILIPPINE COMMISSION. 

the seed used, the methods of cultivation, and means of preparation 
for market. It is not believed that the market for tobacco products 
has been, on the whole, injured by the new internal-revenue law. 
The largest wholesale and retail dealer in ciffars and ci^rettes in 
Manila, who is likewise a distributor for all the cigar and cigarette 
manufacturers, has recently issued a pamphlet to the trade entitled 
" The Cigar Question." Among other things in that pamphlet he 
says : " The demand for Philippine cigars and cigarettes has in the 
past two years exceeded the output, causing long and vexatious 
delays in filling orders." This dimculty is a real one, and it is not 
apparent, in view of the enormous domestic consumption of cigars, 
how the manufacturers of the islands can largely avail themselves of 
the markets of the United States for their products should those 
markets be opened to them by striking off the present insurmount- 
able tariff barriers. It will ble several years before measures can be 
made effective to produce a sufficient amount of tobacco suited to 
American tastes so as to affect the American market or materially to 
help the industry in these islands. 

In this connection, it should be remarked that the total output of 
cigars from all manufactories during the year ending July 31, 1905, 
was 150,910,950, of which 81,258,130 were for export. The normal 
annual consumption of cigars in the United States is seven billion. 
If it were possible to divert every cigar made in these islands to the 
United States, home producers would still practically have to sup- 
ply 98 per cent of the cigars consumed there. Most of the cigars 
exported from the islands to China and other markets (and China 
is the greatest market) are of a very inferior quality and could find 
no market whatever in the United States. In view of these facts it 
seems certain that if the Philippine cigars were admitted customs 
free into the United States the cigar manufacturers of that country 
would, for a long time to come, retain considerably over 99 per cent 
of the trade. 

The total taxes collected for twelve months prior to July 31, 1905, 
on cigarettes amounted to ^=1,996,131.57, 96 per cent of whidi was 
paid m the city of Manila and 4 per cent in the provinces, approxi- 
mately. The total output of cigarettes during that period was 
2,964,441,590, besides 14,910,265 exported. The Manila and pro- 
vincial markets were largely overstocked with cigarettes removed 
from the manufactories prior to August 1, 1904, to escape the tax. 
The result was that the cigarette market was dull during tne last five 
months of 1904, but beginning with January, 1905, and continuing 
down to the date of this report the volume of cigarettes removed from 
the manufactories, taken as a whole, has attained normal dimensions. 
The tax rate imposed upon cigarettes in the Philippine Islands is 
one-third of the rate imposed in Porto Rico and less than one-third 
of that imposed in the United States. The consumption of ciga- 
rettes in these islands, as statistics show, is enormous. 

MATCHES. 

It was the purpose of the internal-revenue law, in connection with 
the existing tariff upon the import of matches, so to equalize the bur- 
dens that the domestic manufacture, which is claimed to be a mo- 
nopoly under a Spanish grant, could not destroy foreign competition 
nor could foreign competition destroy the domestic industry. 



BEPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 33 

Diiring the twelve months ended July 31, 1905, the total revenues 
collected on domestic and imported matches was 1P175,053.39. The 
imported matches mainly come from Japan. Of the matches con- 
sumed in the islands during the year referred to 62 per cent was, 
manufactured in the islands and 38 per cent imported. The local 
match factory imports many of its raw materials, which are subject 
to duty; but it is apparent that it is holding its own against the 
imported article and that the intentions of the Commission of pre- 
serving an equilibrium between domestic and imported articles have 
been feirly well carried out. 

LICENSES AND OTHER INTERNAL-REVENUE TAXES. 

These taxes have been in effect since January 1, 1905, only. Dur- 
ing the seven months ending July 31, 1905, P211,316.78 were collected 
from license taxes on dealers in alcohol and tobacco products, 26 per 
cent accruing in Manila and the remainder in the provinces. Li- 
cense taxes are very low and impose little burden upon merchants. 

The taxes on merchants, manufacturers, and common carriers pro- 
vided in section 139 of the internal-revenue law of one-third of 1 per 
cent of the gross value of all commodities sold by merchants or manu- 
facturers is an exceedingly low one and has not proved burdensome to 
business. It went into effect on January 1, 1905, but has produced 
a larger income than was anticipated. The total collections for the 
seven months from January 1 to July 31, 1905, were ^514,021.87, of 
which 67 per cent was collected in Manila and the remainder in the 
provinces, showing that a very large portion of the business of the 
islands is transacted in the city. 

The taxes upon occupations and professions imposed by license 
requirements during the seven months from January 1 to July 31, 
1905, amounted to ?=1 10,705.45, 27 per cent of which was collected 
in Manila and 73 per cent in the provinces. 

The cedula or personal-registration tax of ^1 upon each indi- 
vidual subject to the tax (analogous to the poll tax in the United 
States, but utilized here for the purpose of furnishing a means of 
identification) resulted in the seven months from January 1 to July 
31, 1905, in the collection of ^1,341,022. It is estimated that 1,400,- 
000 cedulas should be sold. Of those sold 5.2 per cent were issued 
in Manila and 94.8 per cent in the provinces. The proceeds of this 
tax go entirely for the benefit of tne provinces and municipalities. 
During the seven months referred to legal proceedings to enforce the 
collection of the cedula tax had been taken against only 357 persons 
out of the approximately 1,400,000 persons involved. The tax is very 
small in amount compared with the requirements under the former 
regime. 

From documentary stamp taxes required by the internal-revenue 
law, P96,564.85 were collected during the seven months above re- 
ferred to when that tax was in force^ 67 per cent of which was paid 
in Manila and 33 per cent in the provinces, approximately. 

The report of the collector oi internal revenue is hereto annexed 
and marked " Exhibit No. 6," containing full and detailed informa- 
tion as to the operation of the law. It has attached to it a very large 
number of exhibits which are unnecessary to any statement of the 
operations of the law, but inasmuch as those exhibits contain a large 
WAB 1906— VOL 13 3 



34 REPORT OP THE PHILIPPINE COMMISSION. 

amount of valuable information as to various industries in the islands 
and the methods of producing alcohol and tobacco products, all of 
which information throws light upon the propriety and necessity for 
the internal-revenue law, ii has been decided to forward most of 
them in connection with the report as exhibits. Such full exhibits 
will not hereafter be necessary. 

NECESSITY FOR THE INTERNAL-REVENUE LAW AS A REVENUE MEASURE. 

During the fiscal year 1905 the most rigid economy was exercised 
in the making of appropriations and authorizing expenditures in 
every department and Dureau of the government. The appropriation 
for the bureau of education was diminished more than ^400,000 
below that for the fiscal year 1904. A saving to the extent of about 
^=100,000 was enforced in the bureau of customs. Like reductions 
were made in many other bureaus. When vacancies occurred they 
were either not filled for a considerable time or filled at materially 
lower salaries than those authorized by law. The number of em- 
ployees was diminished right and left. Appropriations for perma- 
nent improvements were nearlv all denied except such as were indis- 
pensable for the carrying on of works already under contract wherein 
great loss and loss of prestige would have been incurred if the work 
had been suspended, vSuch as the harbor works at Manila, improve- 
ment of the ports at Obti and Iloilo, and the construction of the 
Benguet road. Extraordinary measures of relief were resorted to. 
One million three hundred and seven thousand pesos were, by resolu- 
tions, under Acts 1046 and 1137, taken from the Congressional relief 
fund for carrying on the work of constructing the Benguet road, 
thus relieving the general revenues to that extent. 

On the 6th day of February, 1905, Congress passed the act which, 
among other things, authorized the issue of bonds for permanent 
improvements in the Philippine Islands. Long before the money 
could be realized from the sale of the bonds', and only three days after 
the passage by Congress of the act, the Commission passed Acts Nos. 
1294 and 1296, by wliich the auditor was directed to convert back into 
the general funds of the treasury the sums of ^=1,312,000 and ^314,960, 
making in all ^1,626,960 which had before been appropriated from 
general funds for the erection of a quarantine station at Cebu, im- 
provement of the port of Cebii, improvement of the harbor at Iloilo, 
the construction of light stations, improvement of Engineer Island, 
the construction and equipment of a marine railway thereon, and 
the making of other insular permanent improvements and various 
improvements in the city of Manila. Included in the funds so cx)n- 
verted back into the general funds were appropriations for many 
things more nearly in the nature of repairs than of permanent 
improvements; but everything that could, by any reasonable con- 
struction, be deemed permanent improvements was included within 
the sweep of the two acts referred to. Eveir dollar that could be 
put back into the general funds was placed there. Nothing was 
turned back from the appropriations beiore made for improvements 
of the harbor at Manila or the completion of the Benffuet road, 
because the appropriations for those two purposes had been com- 
pletely exhausted before February 9. All expenditures for perma- 
nent improvements after February 9, 1905, including some that per- 
haps could not properly be termed permanent improvements but 



BEPOBT OF THE SECRETARY OF FINANCE AND JUSTICE. 35 

more properly repairs, were provided for out of the bond issue. 
Those appropriations from the bond issue for the remainder of the 
fiscal year 1905 amounted in round numbers to ^5,300,000, nearly all 
of which would have been necessarily appropriated out of general 
funds had not the bond issue been available. 

As a result of all the economies practiced, and the relief of tne 
treasury from the payments for permanent improvements after 
February 9, 1905, the fiscal year was finished Avith a balance of 
^585,021.36 available for appropriation. Included in the receipts 
for the fiscal year 1905 were ?2,974,826.73 received from the new 
internal-revenue law for insular purposes. Had the internal-revenue 
law not been enacted there would have been a deficit at the end of the 
year amounting to f^,389,805.37, notwithstanding all the radical 
measures of relief above stated. 

In view of the added burden upon the insular treasury that is to 
accrue from* the payment of interest upon the public-improvement 
bonds already issued and soon to be issued, and the payment of the 
insular government's share of the interest upon bonds issued and to 
be issued by the city of Manila for sewers and waterworks, and of the 
burden that is sure to ensue during the construction period of rail- 
roads from the guaranty to be made by the government, it would 
seem that the situation would have been a difficult and dangerous one 
without the relief furnished by the internal-revenue law. 

Should the land tax be suspended or abolished in the near future 
it would be necessary to appropriate from the general funds of the 
insular treasury a very large sum to enable the provinces and munici- 
palities to get along; that is, to give them funds from insular sources 
to take the place ox the land tax. This proposition makes the neces- 
sity for the internal-revenue law imperative. 

THE TREASURY AND THE AUDITOR'S OFFICE. 

The final report of the auditor upon all accounts for the fiscal 
year 1905 is not yet available, but wnen completed will be annexed 
to this report and marked " Exhibit No. 7." 

The figures hereinafter stated, however, are based upon the ac- 
counts submitted to the auditor, and, although not in all cases in 
accordance with the final audited figures, are substantially correct, 
the only variations being in such of the accounts rendered as may 
hereafter be disallowed by the auditor. 

The several amounts in the treasury at the close of the fiscal years 
1901 to 1905, inclusive, are as follows, stated in money of the United 
States, old local currency being reduced to United States money at 
the ratios existing on each of the several dates : 

June 30, 1901 $6,222,912.78 

June 30, 1902 5, 995, 006. 49i 

June 30. 1903 10,633.693.13 

June 30, 1904 16,495,561.59 

June 30, 1905 13,387,012.52 

The several sums available for appropriation at the close of the 
fiscal years referred to are as follows : 

June 30, 1901 $3,919,420.00 

June 30. 1902 3,999,426.47 

June 30, 1903 6,849,321.28 

June 30, 1904 10,547,606.28 

June 30, 1906 3,810,907.76 



36 REPORT OF THE PHILIPPINE COMMISSION. 

But of the sum stated as available for appropriation on the 30th 
day. of June, 1905, only $292,510.68 appertained to the general fund 
of the insular government, the remainder belonging to the city of 
Manila, the Congressional relief, the gold standard, public works and 
permanent improvements, and Manila water supply and sewerage 
lunds. But $614.27 of the Congressional relief fund remained unap- 
propriated on June 30, 1905. 

The true sums available for appropriation from general funds for 
the years referred to, at the end of each fiscal year, were as follows : 

1901 $3, 900, 000. 00 

1902 4, 000. 000. 00 

1903 c ._ 2,173.000.00 

1904, a deficit of 270,299.76 

1905, available 292,510.08 

These figures demonstrate conciselj^ the proposition that the insular 
government for a considerable period has been making excessive 
expenditures in proportion to its income. Beginning with a surplus 
of a little less than $4,000,000 on June 30, 1901, it has expended all 
but a little over $290,000 of that surplus and nearly all the Con- 
gressional relief fund of $^i,000,000. In other words, the government 
has expended all its revenues between June 30, 1901, and June 30, 
1905, and between six and seven million dollars more. The pace has 
been too rapid. Large public improvements were entered upon to 
be paid for from current revenues, which ou^ht not to have been 
undertaken without relief furnished by authority for a bond issue. 
That relief has now come, and from this time onward it is believed 
that, with proper and necessarv reduction in expenses of admin- 
istration and the construction of permanent public works from pro- 
ceeds of bond issues, the government will be able properly to perform 
all its functions and continue to a considerable extent the construc- 
tion of permanent public improvements and still show a satisfactory 
and safe condition of the treasury at the end of each fiscal year. 

Had the act of Congress authorizing a bond issue for permanent 
improvements been so iramed as to allow the insular government to 
i*eimbiirse itself from the proceeds of the bonds, to some extent, for the 
moneys expended for. the three preceding years, for large permanent 
improvements, the treasury would have been in such condition that 
the reduction of appropriations for the bureau of education and other 
necessary expenditures would not have been required, but the act of 
Congrass did not authorize such reimbursement. 

The total receipts and disbursements of the insular government 
during the fiscal year 1905, excluding refundable collections and dis- 
bursements and all receipts and disbursements relating to the gold- 
standard fund. Congressional relief. Friar-land bonds, and city of 
Manila bonds or funds, but including in the disbursements interest 
paid on the Friar-land bonds, stated m money of the United States, 
were as follows: 

Receipts. 

Customs revenues, including Moro Province, collected in the Phil- 
ippine Islands $7, 793, 119. 28 

Customs revenues collected In the United States 548. 2«9. 64 

Postal revenues 136,590.00 

Internal revenues 1,499,408.25 



REPOBT OF THE S^^CRETABY OF FINANCE AND JUSTICE. 37 

Miscellaneous revenues : 

Bureau of coast guard and transportation $2, 615. 24 

Board of health 8,166.95 

Bureau of public lands ^ 22,170.10 

Bureau of government laboratories 5,368.55 

Bureau of agriculture 12, 234. 62 

Philippine civil hospital 21, 349. 83 

Civil sanitarium, Benguet 9, 764. 40 

Mining bureau 1.60 

Signal service 44, 372. 65 

Bureau of prisons 81,081.76 

Bureau of justice 789. 40 

Insular cold storage and ice plant 849,585.89 

Bureau of insular treasurer 3, 522. 21 

Bureau of archives 4,458.17 

Bureau of public printing 84,951.23 

Official Gazette 7, 329. 18 

Executive bureau 1,870.70 

Civil-service board . 12. 00 

Forestry bureau 2,084.24 

Bureau of Philippines Constabulary, Benguet road transpor- 
tation 1, 241. 10 

Notarial and Judicial fees 84, 633. 94 

Cable concessions - 27,723.44 

Interest on deposits 226, 391. 13 

Spanish seized funds covered into treasury 3, 750. 00 

Unassigned service and miscellaneous items 2,439.46 

Refundable export duties and surplus of auction sales un- 
claimed - 34, 6iS3. 71 

Total 11, 019, 97a 67 

The item of Spanish seized funds is an extraordinary revenue and 
should be deducted from the sum above stated to show the real revenue 
of the government, leaving the total real revenue $11,016,228.67. 

(In addition to the revenues above stated, refundable customs, in- 
ternal revenue, and forestry dues down to December 31, 1904, amount- 
ing to $1,786,339, were collected, but which do not enter into proper 
.c^tements of the real revenues of the insular government.) 

The entire revenues for the city of Manila amounted to $1,430,315.75, 
which, added to the insular revenues, make the total net revenues of 
the insular government and the city of Manila $12,446,544.42. 

The total net revenues for the insular government for fhe fiscal year 
1905 were, as above stated, $11,016,228.67, and for 1904, $9,631,270.38, 
showing an increase in the net revenues for the fiscal year 1905 over 
those of 1904 of $1,384,958.29, nearly all of which increase is due to 
the internal-revenue law. 

DISBURSEMENTS. 

The total disbursements for the insular service for the fiscal year 
1905, including items disbursed during the year on account of prior 
fiscal years, were as follows : 

The executive $612, 745. 16 

Department of tbe Interior ^ 939, 933. 70 

Department of commerce and police 3,379,379.50 

Department of finance and justice 1, 410, 082. 67 

Department of public instruction 1, 812, 906. 94 

Unassigned service 322, Oil. 35 

Support of provinces . 62,080.55 

Public works and permanent improvements 1,709,192.96 

Total 10,248,332.83 



38 REPORT OF THE PHILIPPINE COMMISSION. 

The total disbursements for the city of Manila during the fiscal 
year 1905 on account of this year and prior years were $2,552,009.41, 
making a grand total of $12,800,342.24 disbursements for the insular 
government and the city of Manila for the fiscal year 1905. 

The total disbursements of the insular government for the fiscal 
year 1904 amounted to $12,385,465,105. The total disbursements for 
the insular government for the fiscal year 1905 being $10,248,332.83, 
it appears that the insular disbursements for the fiscal year 1905, not 
including the city of Manila, were $2,137,132.27 less than for 1904. 
Including the disbursements for the city of Manila with those of the 
insular government, the total disbursements from the insular treasury 
general funds were $2,270,718.28 less for the fiscal year 1905 than for 
1904. 

The disbursements for the fiscal year 1904 marked, apparently, the 
high tide of disbursements, caused by excessive expenditures author- 
ized by appropriation bills passed during that and lormer fiscal years. 
The showing, however, would not by any means have been so favor- 
able for the fiscal year 1905 had it not been for the fact that after 
February 9, 1905, the disbursements for public improvements were 
made from the proceeds of the bond issue ifor permanent improve- 
ments. 

But the disbursements for the fiscal year 1905 contained great sums 
for permanent improvements, among which are the following : 

Bureau of architecture and public worljs $163, 703. 17 

Improvement, port of Manila 759, .532. 10 

UoHo Harbor improvement 37, 502. 795 

Cebti timber wharf 14,709.85 

Cebd Harlwr improvements 1,867.18 

Zamboanga wharf 1, 132. 875 

Cuyo wharf 565. 17 

Survey steamer, coast and geodetic survey 61,388.515 

Installation electric lights, Bilibid 4, 500. 00 

Quarantine service (launch) 3,987.50^ 

Cervantes and Bontoc schools 1,305.20 

Repairs to Pasig River walls 2, 307. 435 

Dredging Santa Cruz Estero 7,340.275 

Roads and bridges. Act No. 1 1, 166. 94 

Benguet road ^regular appropriation) 392,702.63 

Baguio improvements (regular appropriation) 3,008.39 

Jol6 wharf . 1, 186. 305 

Calbayog pier 3, 599. 455 

Anchorage, Zamboanga 5, 506. 73 

Bua school 191. 615 

licper hospitals and public works, board of health 24,088.99 

Abra River survey 713.14 

Caliraya River survey, Act No. 853 390.255 

Improvement of river front, city of Manila 21, 112. 69 

(Construction of tramway at Jol6 428.08 

Improvements on Engineer's Island, construction of vessels, light- 
houses, and marine railway 195,255.67 

Total — _ 1, 709, 192. 96 



i/ 



REPORT OF THE ftEOBETARY OF FINANCE AND JUSTICE. SS 

There were also the following extraordinary disbursements made 
during the year which will not appear in subsequent statements, but 
appropriations for which had been made prior to the fiscal year 1905, 
though the payments were made during that year : 

The St Louis exposition, excess of expenditures over receipts dur- 
ing fiscal year $169,204.72 

Honorary commission to the United States 33,953.63 

Expenses for the census 14,492.66 

Total 217, 651. 01 

The final result therefore is as follows : 

Total disbursements for the insular government, including city 
of Manila ■- $12, 800, 342. 24 

Total revenues of the Insular government, including city of 

Manila 12, 446, 544. 42 

Excess of expenditures over revenues during fiscal year 1905, 
amounting to 353, 797. 82 

There were, however, covered into the treasury during the fiscal 
year 1905 the following sums, and made available for appropriation 
from general funds : 

Act No. 729 $633,216.39 

Act No. 1246 6,000.00 

Act No. 1294 656,000.00 

Act No. 1361 35,328.92 

Refundable export duties and surplus on auction sales not 

claimed within the legal period 34,683.71 

Tptal 1, 365, 229. 02 

Act No. 729 covered into the treasury $633,216.39, undrawn appro- 

Sriations made for prior years and which had not been used. Act 
io. 1294 covered back into the treasury unexpended appropriations 
for permanent improvements, so that provision might be made for the 
continuance of the work out of the proceeds of the bond issue, and Act 
No. 1361 covered back into the treasury $35,683.71, available for gen- 
eral purposes. 

While these repayments to the treasury were not revenues, yet in a 
sense they were receipts. Adding the net general reveliues, insular 
and for the city of Manila above stated, $12,^:6,544.42, to the amounts 
covered into the treasury, as above stated^ $1,365,229.02, it results that 
the total receipts of the government during the year, including reve- 
nues and repayments, amounted to $13,811,773.44. 

The total disbursements of the insular government for the year 
being $12,800,342.24, as above stated, the result is that the disburse- 
ments of the insular government for the fiscal year were $1,011,431.20 
less than the total revenues and receipts. 

In the foregoing statements of insular revenues, no reimbursable 
items are included which are not in the nature of revenue proper; 
that is, no revenues are included which accrue only from reimbursa- 
ble or revolving payments like those of the insular purchasing agent. 

In the fiscal year 1904 there were expenditures m excess of both 
revenues and receipts amounting to $2,274,023.66. 
. The foregoing statements dealwith revenues and receipts on the one 
side and the disbursements on the other, and are totally distinct con- 



40 REPORT OF THE PHILIPPINE COMMISSION. 

siderations from those that arise from the amount of appropriations 
made during the several years concerning which .statements are made. 
The details of the receipts and disbursements of each bureau are all 
fully stated in the auditor's report. Deducting the earnings or 
receipts of each bureau from the amount of its disbursements will 
show the net cost of the operation thereof; but it is believed that no 
advantage will accrue to tne Commission or to any one interested in 
the details of the government finances by setting out those results 
item by item in this report. 

CONGRESSIONAL RELIEF FUND. 

The details of the expenditure of this fund appertain to the office of 
the governor-general and not to this office. Tne items, however, are 
all found in the auditor's report. At the close of the fiscal year 1904 
the amount to the credit of tne Congressional relief fund in the treas- 
ury was $1,232,895.99, and at the close of the fiscal year 1905 
$504,099.47, which last item includes undrawn appropriations and the 
amount available for appropriation. 

FRIAR-LAND FUNDS. 

During the fiscal year 1905 the sum of $3,698,524.50 has been 
expended from the proceeds of bonds authorized bv Confess and 
issued by the insular government for the payment oi the friar lands 
purchased, incidental expenses, and interest on the bonds. 

On June 30, 1905, there remained the sum of $4,115,057.16 subject 
to further expenditure for the purposes of the fund. The details of 
the transactions relating to this fund will appear in the report of the 
governor-general. It is proper, however, here to remark that since 
the close of the fiscal year 1905 the purchase of the friar lands has 
been completed and final payments for such purchases have been 
made, and that there remains a considerable sum realized from the 
sale of the bonds, the disposition of which will be provided for in an 
act subsequently to be presented to the Commission for its consid- 
eration. 

INSULAR FUNDS DISBURSED FOR GENERAL GOVERNMENT PURPOSES. 

During the fiscal year 1905 $85,470.35 were expended from the 
insular treasury for quarantine service. $120,820.47 for coast and 
geodetic survey service, and $289,749.08 tor the construction of light- 
nouses and light-house service. Each of these services are of a char- 
acter which in other insular possessions is carried on at the expense 
of the Government of the United States. A portion of the expense 
of the coast and geodetic survey of the Philippine Islands is borne 
by the Government of the United States, but the expenditures from 
the insular treasury are as above stated. At the rate at which the 
coast and geodetic survey work is being carried on it probably will 
require fifteen years to complete it. Tne work is vital and for the 
benefit of the commerce of the world. The quarantine service is 
likewise for the general purposes of all shipping, and so is the light- 
house service. While the insular government has carried forward 
the construction of new light-houses as rapidly as its facilities will 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 41 

admit, yet many new lights are needed which the resources of the 
insular government do not enable it to construct. 

It is suggested that the Congress of the United States be asked to 
make provision that all these services be paid for wholly out of the 
United States Treasury, and that the coast and geoaetic survey 
service be largely increased in order that the work may be more expe- 
ditiously completed. 

PUBLIC WORKS AND PERMANENT IMPROVEMENT FUNDS. 

Under the provisions of Act No. 1301, in accordance with the 
authority given by Congress in the act of February 6, 1905, bonds to 
the amoimt of $2,500,000 were sold for the purpose of realizing funds 
to be used in the construction of public works and permanent im- 
provements. The bonds are payable in thirty years from date and 
redeemable in ten years, bear 4 per cent interest, and were sold at a 
premium of $230,304.35. Treating them as ten-year bonds, because 
it is assumed that at the expiration of ten years, when the right of 
redemption exists, the Government will pay them off in full, partly 
from the proceeds of the funds to be accumulated for that purpose 
and the remainder by a new issue of bonds^ it appears that the bonds 
were sold on practically a 3 per cent basis. Practically the entire 
fund has been appropriated during the fiscal year for various public 
improvements by the following Acts : 

No. 1342 «, 898. 794. 08 

No. 1307 32,000.00 

No. 1357 55, 000. 00 

No. 1360 350,000.00 

No. 1378 1 24, (XK). 00 

No. 1379 100, 814. G2 

Total 5, 460, 008. 70 

The net withdrawals from the proceeds of the bond issue to J\me 
30, 1905, amounted to $925,773.58, leaving in the treasury subject to 
further withdrawal and appropriation the sum of $1,820,547.44, 
nearly all of which, as above stated, has already been npproprinted. 
The sum of $25,000 was advanced from the general revenue account 
for the payment of interest on the bonds. 

THE MANILA WATER JJUPPLY AND SEWERAGE FUND. 

Bv virtue of the authority given by Congress and of Act No. 1323 
of the Philippine C!ommission, bonds to the face value of $1,000,000 
were sold during the month of June, 1905, to secure funds for the 
construction of a new water supply and sewerage for the city of 
Manila. The bonds were sold as 10-30 bonds, like those of the in- 
sular government, and realized a premium of $95,625. Treating 
them as ten-year bonds, upon the same theory as above stated in con- 
nection with the insular government permanent improvement bonds, 
they were likewise sold on a basis of approximately 3 per cent. Both 
of these sales show that the credit of the insular government and of 
the city of Manila is very high in the United States, and there is no 
reason why it should not always be maintained on the same high 
standard. The bonds are absolutely secure and have special privi- 



42 BEPOBT OP THE PHILIPPINE COMMISSION. 

leges, such as exemption from all taxation by the Grovernment of the 
TJnited States or of any State or territorial division thereof, or bv 
either the insular, provincial, or municipal governments of the Phil- 
ippine Islands. They likewise have been made available, by order 
of the Secretary of the Treasury of the United States, for deposit in 
national banks as security for deposits of governmental funds in 
such banks. None of the money realized from the sale of these bonds 
was withdrawn during the fiscal year 1905^ and in the meanwhile 
remains in the banks wnere deposited at a satisfactory rate of interest. 

PBOPOSED SUSPENSION OF THE LAND TAX. 

For reasons unnecessary to be discussed here at length the tem- 
porary suspension of the land tax in the early future has been pro- 
posed and discussed to a considerable extent. The provinces and 
municipalities are already very short of funds to meet necessary 
expenses. If they were deprived of the land taxes they would be 
unable to carry on their respective governments without very.ffreat 
reduction in expenditures, and the schools in particular woufi be 
very largely without means for the payment oi teachers and other 
expenses unless provision were made irom some other source. 

The amount of land tax collected during the fiscal year 1905 in the 
provinces amounted to $1,351,079.13, of which $400,872.69 accrued to 
the provincial general fund, $203,689.85 to the provincial road and 
brid^ fund, $746,516.59 to the municipal funds, and in the city of 
Manila to the sum of $540,388.40. It undoubtedly is not contem- 
plated that the land tax should be suspended in the city of Manila. 
Such a suspension would render it impossible for the city to go on 
with the government as at present organized, to say nothing of the 
construction of permanent improvments. The question as to whether 
upward of $1,350,000 that the provinces would lose by the suspension 
of the land tax can be provided for in any way out of other revenues 
is not here discussed. The problem is suggested for such considera- 
tion as it may receive should the proposition to suspend the land tax 
be deemed worthy of further action. 

INSULAR BUDGET FOR THE YEAR 1906. 

By virtue of Executive order No. 14, dated April 1, 1905, a commit- 
tee was appointed for the purpose of inquiring into and thoroughly 
analyzing the organization of oureaus and offices of the insular gov- 
ernment with the view of determining the usefulness of each bureau 
or office, the possibilities of improvement therein by eliminating the 
duplication of labor, considering the equalization of salaries, the 
methods employed in bookkeeping, and, generally, to suggest any 
changes in office management tnat will tend to simplify methods of 
labor and be productive of economy and increased efficiency. 

The committee had not finished its work at the time when the regu- 
lar appropriation bills for the fiscal year 1906 would properly have 
been passed. To meet the contingency of providing the necessary 
funds for the various bureaus until the regular appropriation was 
passed. Act No. 1358 was passed, renewing for the fiscal year 1906 
the appropriations for each of the separate bureaus and agencies of 
the Government as for the fiscal year 1905. It was therefore imprac- 
ticable to prepare a budget with any degree of accuracy until the 



BEPORT OF THE SECRETARY OP FINANCE AND JUSTICE. 48 

report of that committee had been received and acted upon, the esti- 
mates revised in accordance with the action finally taken upon that 
report, and the appropriation bill passed. Before the final comple- 
tion of this report, however, those steps have been taken and rcjgular 
appropriation bills have been passed. It has been deemed wise to 
make all appropriations for permanent improvements for the present 
from the proceeds of the bond issue already made or to be hereafter 
authorizea. The appropriation bill for the regular service of the in- 
sular government for the fiscal year 1906 calls for $8,671,030.50, in- 
cluding the sums authorized by virtue of Act No. 1358, above referred 
to, as well as those for the remainder of the year under the reorgani- 
zation recommended hj the committee and in considerable part 
adopted by the Commission. 

By virtue of acts passed since the 30th day of June, 1905, down to 
the 1st day of November, appropriations have been made for inter- 
est upon the friar land, public improvement, and city of Manila 
bonds, as provided for by Act No. 1284, which constitute regularly 
recurring charges, and the amounts to be so expended are to be added 
to the appropriations for the regular service of the insular govern- 
ment, as above stated. 

The total appropriations for the fiscal year for insular use therefore 
may be stated as follows : 

For the regular service, appropriated by Act No. 1416, $8,671,030.50. 
By other acts passed between June 30 and October 31, 1905, $12,100. 
For interest d!uring the year upon the friar land bonds, $280,000. 
For interest during the year upon permanent improvement bonds, 
$100,000. For regularly recurring donations to Moro sultan and 
dattos, $7,225. Total, $9,070,355.50. 

For the city of Manila for the fiscal year 1906 the appropriations 
out of the insular treasury have been made for general purposes, in- 
cluding permanent improvements, and for the payment of interest 
upon $1,000,000 of water supply and sewerage bonds already issued 
during the year by virtue of the recurring appropriation bill, and for 
the bond issue sinking fund, $2,344,211.50. 

Some deficiency appropriations may be necessary for the general 
insular service, and possibly for the city of Manila. The amount of 
such appropriations can not be here stated or approximately esti- 
mated, out it is anticipated that very small, if any, additional appro- 
priations will be made. 

It is hoped that the estimate of revenues for the year hereinafter 
stated may prove to have been conservative, so that there may be a 
sufficient excess of revenues above the sums estimated to provide for 
any deficiency of appropriations that may be required during the 
year. The budget therefore will be presented upon the basis of ap- 
propriations actually made down to December 15, 1905, for the fiscal 
year 1906, and upon the theory that any further appropriations made 
for the year will be taken care of by excess of revenues above esti- 
mates. 

Included in the general appropriation bill are disbursments for 
several provinces whose financial resources are very limited, most of 
which are inhabited mainly by non-Christian people. 

In the appropriation bill for the city of Manila the sum of $380,675 
for permanent improvements is included. 

The receipts for the insular government during the fiscal year are, 
of course, to a considerable degree, matters of estimate. The total 



44 BEPORT OF THE PHILIPPINE COMMISSION. 

deposits of net revenues for the months of July, August, September, 
October, and November, 1905, amounted to $1,768,973.93, not includ- 
inff deposits on account of collections of the city of Manila or refund- 
able or reimbursable receipts or customs receipts in the Moro 
Province, which accrue to that province and not to the insular treas- 
ury. Included in this statement of income is the sum of $63,150.08 
received from the interest on the proceeds of the friar-land bonds, 
which will not hereafter be received. Deducting the interest from 
the total receipts, the total remains $4,705,822.89. 

Assuming tnat the revenues for the year will be twelve-fifths of 
what they have been for the first five months, the total net insular rev- 
enues for the year would be $11,293,974.96, to which should be added 
$63,150.08, received as interest on friar-land money, making the total 
revenue for the year $11,357,125.04. The amounts to be collected 
under the internal-revenue law can not be stated with accuracy, 
partly because of continued agitation in respect to its various schea- 
ules of taxation, which seriously affects the income. That agitation 
has now substantially ended, and results can hereafter be estimated 
with more certainty. The estimate above stated treats the total reve- 
nues for the year as probably being on the same ratio as for the first . 
five months, which is perhaps as fair a basis as can be suggested. 
The revenues for customs during those five months are slightly less 
than those accruing during the corresponding five months of the 
fiscal year 1905 and, of course, those accruing from the internal- 
revenue law are largely in excess of those received last year, because 
many of the provisions of that law were not effective until January 1, 
1905, and because of the special circumstances relating to alcohol and 
tobacco products stated in the foregoing portion of this report 

The municipal board of the city of Ilanila estimates the revenues 
of the city for the year to be $1,553,194.57. 

The revenues available for appropriation, therefore, may be thus 
estimated : 

Insular revenues for the year $11,357,125.04 

City of Manila 1,553,194.57 

Total estimated revenues for the year 12,910,319.61 

Grand summary, fiscal year 1906, 

Total estimated revenues for the insular government and the 
city of Manila $12,910,319.61 

Total appropriations for the insular government and the city 
of Manila 11,414,567.00 

Showing an apparent surplus of 1,495,752.61 

Should such a surplus materialize at the end of the year it will all 
be needed. 

Additional permanent improvement bonds and bonds for the com- 
pletion of the water supply and sewerage system of the citv of Manila 
must be issued. The added interest and sinking fund burden will 
be very heavy and must be provided for. Both of these issues are 
unavoidable in the near future. During the construction period of 
the railroads, bids for which are to be opened soon, very large calls 
will be made for the pajrment of interest to be guaranteed on the 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 46 

bonds for the construction of the road. The government should be 
ready to meet these demands, and ought to have a surplus not only 
for that purpose but to meet other contingencies that may arise. 
This is indispensable for general safety, for the maintenance of the 
credit of the government, and for the purpose of making ready to 
meet the obligations incident to the guaranty of the railroad bonds. 

It is impossible to make any estimate as to what simi will accrue 
to the treasury during the year from repayments from former ap- 
propriations. Nearly all anticipated repayments for the fiscal year 
have already been made and enter into the foregoing statemente of 
revenues for the first five months. There is no basis for making an 
estimate as to further receipts in that respect, and the auditor is 
unable to furnish data that will be helpful. Whatever benefit, if 
any, that may accrue to the treasury from that source is not included 
in the estimate here presented. 

* It is believed that the reduction of expenses has not j^et been com- 
pleted, and that next year will show a still further material reduction. 

Further comments upon some phases of this budget will be found 
earlier in this report in connection with the suggested suspension of 
the land tax. 

BUDGET FOR THE CITY OF MANILA. 

The revenues for the city of Manila for the fiscal year 1906, as esti- 
mated by the municipal board, as above stated, amount to$l,553,194.57. 

The appropriations for the city of Manila, as above stated, are 
$2,344,211.50, including permanent improvements, sinking fund, and 
interest on bond issues, but not includmg expenses of the new water 
supply and sewerage system provided for from the proceeds of the 
sale or bonds. 

The balance of the appropriations for the city above the estimated 
income is provided for oy payment from the general funds of the 
insular government of 30 per cent of the expenditures of the city, as 
provided by law. The statement of the budget of the city of Manila 
will therefore be : 

Revenues $1, 553, 194. 57 

30 per cent of expenditure to be paid by the insular government- 703, 263. 45 

Aggregate income 2, 256, 458. 02 

Total appropriations 2, 344, 211. 50 

Showing an apparent deficiency of 87,753.48 

Deficit June 30, 1905 12,420.59 

Probable deficit June 30, 1906 100,174.07 

The estimated income for the city of Manila is less than for the 
fiscal years 1904 and 1905, resulting from the fact that in 1904 the 
internal-revenue collections from distilleries, manufacturers of 
cigars and cigarettes, tobacco manufacturers, and brewers located in 
the city accrued to the city. The same condition existed in part dur- 
ing the fiscal year 1905, while during the present fiscal year the whole 
revenue goes mto the insular treasury to be apportioned to the vari- 
ous provinces, including the city of Manila, m proportion to popu- 
lation. 



46 REPORT OP THE PHILIPPINE COMMISSION. 

FINANCIAL CONDITION OF THE PROVINCES AND MUNICIPALITIES. 

The following summary shows substantially the condition of the 
provincial and municipal governments, but certain minor license 
taxes are paid to the municipal treasurers and do not apjpear in this 
statement, which covers only such provincial and municipal funds 
as the provincial treasurers primarily collect and control : 

Abra Province, — Cash balance July 1, 1904: Provincial fund, W,783.32, 
1,571.40 pfs. ; Congressional relief fund, W,857.24, 561.34 pfs. ; total, «,640.56, 
2,132.74 pfs. Refund of provincial expenditures, ^P680.68. Revenues collected : 
Provincial. M,616.21, 251.97 pfs. ; municipal, 1^11,379.55, 412.82 pfs. Refunds of 
forestry and internal-revenue collections: Provincial, K,958.14; municipal, 
M,058.14. Appropriations for province, 1^18,716.75. Provincial expenditures. 
«7,781.96. Balance transferred to Ilocos Sur March 31, 1904 : Provincial fund. 
^227.57; Congressional relief fund, '^3,699.25, 2,130.90 pfs.; total, ^3,926.82, 
2,130.90 pfs. Cash balance June 30, 1905 : Provincial fund, ^.590.84. 

Albay Province. — Cash balance July 1, 1904: Provincial fund, 1^17,912.72, 
1,383.67 pfs.; Congressional relief fund, =^^,671.56; total, ^72,584.28, 1,383.67 
pfs. Refunds of provincial expenditures, ?^,786.89. Revenues collected: Pro- 
vincial, «01,627.57, 5,282.61 pfs.; municipal, ¥=176,129.02, 12,595.11 pfs. Re- 
funds of forestry and internal-revenue <*ollections : Provincial, ^34,811.90; 
municipal, P43.508.09. Loans to province, ?^5,000. Provincial expenditures, 
W58,773.83. Cash balance June 30, 1905 : Provincial fund, ¥=34,276.48 ; Tobaco- 
Ligao road, '¥62,274.95 ; Congressional relief fund, ^33,402.83 ; total, =¥129,954.26. 

Amhos Camarines Province. — Cash balance July 1, 1904: Provincial fund, 
¥^,461.46, 27,927.55 pfs. Refunds of provincial expenditures, ¥«,624.06, 271.21 
pfs. Revenues collected : Provincial, ¥=50,736.65, 4,622.40 pfs. ; municipal, ¥^,- 
446.34, 5,927.63 pfs. Refunds of forestry and internal-revenue collections: Pro- 
vincial, ¥23.727.49; municipal, ^27,444.86. Appropriations for province, P12,- 
000. Provincial expenditures. ¥99,484.11. Cash balance June 30, 1905: Pro- 
vincial fund, W,976.36, 453.83 pfs. ; Congressional relief fund, =¥4,285.05 ; total, 
«3,261.41, 453.83 pfs. 

Antique Province. --Balance July 1, 1904: Provincial fund, ^4,876.79, 1,932.18 
pfs. ; Congressional relief fund, ¥^14.10, 79.84 pfs. ; total, ¥^,190.89, 2.012.02 pfs. 
Refunds of provincial expenditures, ¥967.19, 9.63 pfs. Revenues collected: 
Provincial, ¥13,184.33, 504.71 pfs. ; municipal, «7,476.11, 88ai0 pfs. Refunds 
of forestry and internal-revenue collections: Provincial, Wl,015.80; municipal, 
«3,240.43. Provincial expenditures, ¥^3,271.81. Cash balance June 30, 1905: 
Provincial fund, r7,419.20; Congressional relief fund. =¥358.28; total, ¥7,777.48. 

Batadn Province.— Cash balance July 1, 1904: Provincial fund. ¥^,222.26, 
178.28 pfs. Refunds of expenditures, K,105.24. Revenues collected : Provincial, 
W5,205.75, 816.03 pfs. ; municipal, ¥^27,152.93, 1,074.81 pfs. Refunds of forestry 
and internal-revenue collections : Provincial. f*8,884.99 ; municipal, ^10,472.51. 
Appropriations for province, ^2,130.80. Provincial expenditures, ¥^6,387.82. 
Cash balance June 30, 1905 : Provincial fund, ^,393.90, 1,419.47 pfs. ; Congres- 
sional relief fund, ¥=459.53; total, ^7,853.43, 1,419.47 pfs. 

Batanffos Province. — Cash balance July 1, 1904: Provincial fund. ¥24,004.52, 
3,860.04 pfs.; special school fund, ¥^9,514.66; total, ¥t>3,519.18, 3,860.04 pfs. 
Refunds of provincial expenditures, ¥^,879.24. Revenues collected: Provincial, 
«10,659.03, 349.50 pfs. ; municipal, ^116,493.19, 1,905.89 pfs. Refunds of for- 
estry and Internal-revenue collections: Provincial, ^29,954.93; municipal, ^35,- 
314.74. Provincial expenditures, ^182,075.64. Cash balance June 30, 1905 : 
Provincial fund, ¥^0,297.68; school-bulldlng fund, «5,379.38; total, ¥^5,677.06. 

Benguet Province. — Cash balance July 1, 1904: Provincial fund. 1^1,699.74, 
129.85 pfs. Revenues collected: Provincial, ^313.66. Refunds of forestry and 
internal-revenue collections : Provincial, ^1,496.58 ; municipal, 1^1,855.60. Appro- 
priations for province, 1^0,841.05. Provincial expenditures, ¥=19,555.20. Cash 
balance June 30, 1905 : Provincial fund, «,672.83, 1,127.47 pfs. 

Bohol Province.— Cash balance July 1, 1904: Provincial fund, 1^17,656.21, 
16,806.67 pfs. Refunds of provincial expenditures, ¥=2,508.12. Revenues col- 
lected : Provincial, «6,683.56, 3,395.94 pfs. ; municipal, ¥=41,756.47, 7.486.97 pfs. 
Refunds of forestry and Internal-revenue collections: Provincial, ¥28,309.65; 
municipal, ¥=34,264.78. Provincial expenditures. ^50,168.59, 126.50 pfs. Cash 
balance June 30, 1905, provincial fund, ¥^17.872.87, 30,346.27 pfs. 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 47 

Bulacdn Province, — Cash balance July 1, 1904: Provincial fund, ^3,564.55, 
32aS5 pfs.; Congressional relief fund, ^2.28; total, ^73,566.83, 326.85 pfs. 
Refunds of provincial expenditures, ^,444.94, 6.10 pfs. Revenues collected: 
Provincial, W6,745.96, 1,280.91 pfs. ; municipal, W47,974.20, 5,564.95 pfs. Re- 
funds of forestry and internal-revenue collections: Provincial, f^7,175.34; 
municipal, TO2,720.03. Loans to province, W0,000. Provincial expenditures, 
W44,20a41. Cash balance June 30, 1905: Provincial fund, f^7,792.30; Con- 
gressional relief fund, P39.43; total, ^=57,831 .73. 

Cagaydn Province. — Cash balance July 1, 1904: Provincial fund, ^15,786.81, 
29,700.88 pfs. Refunds of provincial expenditures, ^11,109.40. Revenues col- 
lected : Provincial W9,023.27, 2,015.62 pfs. ; municipal, n03,888.89, 5,947.26 pfS. 
Refunds of forestry and internal-revenue collections: Provincial, f^,155.49; 
municipal, K8,231.56. Provincial expenditures, ^89,124.77. Cash balance June 
30, 1905 : Provincial fund, W,544.75, 26,478.97 pfs. ; Congressional relief fund, 
^154.87 ; total, W,699.62, 26,478.97 pfs. 

Cdpiz Province.— Cash balance July 1, 1904: Provincial fund, f^,564.78, 
745.56 pfs.; Congressional relief fund, ^=54.18; total, ?«,618.96, 745.56 pfs. 
Refunds of provincial expenditures, W,157.17. Revenues collected: Provin- 
cial, ^49,259.09, 1,730.18 pfs. ; municipal, ^=59,788.31, 2,806.53 pfs. Refunds of 
forestry and Internal-revenue collections: Provincial, K2,434.89: municipal, 
^26,379.37. Appropriations for province, ?10,000. Provincial expenditures, 
Ml,971.87. Cash balance June 30, 1905, provincial fund, W.736.05. 

Cavite Province.— Csish balance July 1, 1904: Provincial fund, ^22,005.70. 
Refunds of various expenditures, 1?=1,293.94. Revenues collected: Provincial, 
W2.14S.19, 648.81 pfs. ; municipal, ^130,517.58, 913.34 pfs. Refunds of forestry 
and Internal-revenue collections: Provincial, M0,222.17; municipal, ?23,523. 
Appropriations for province, Wl,575. Loans to province, ^25.000. Provincial 
expenditures, «12,463.97. Cash balance June 30, 1905: Provincial fund, 
^48,057.43; Congressional relief fund. ^,225.52 ; total, f^56,292.95. 

Ceba Province.— C&sh balance July 1, 1004: Provincial fund, f«,453.35, 
61,102.86 pfs. Refunds of various expenditures, ^13,761.19, 115 pfs. Revenues 
collected : Provincial, f^,586.22, 17,204.75 pfs. ; municipal, 1^159,995.56, 22,482.68 
pfs. Refunds of forestry and Internal-revenue collections: Provincial, 
^5.183.74; municipal, W5,695.02. Loans to province, ?60,000. Provincial 
expenditures, M67,593.98. Cash balance June 30, 1905: Provincial fund, 
M06,976.66; Congressional relief fund, «32.08; total, M07,108.74. 

Ilocos Norte Province. — Cash balance July 1, 1904: Provincial fund, credit. 
r7,150.51; debit, 13,782.73 pfs.; Congressional relief fund, «2,090.43; total, 
W4,939.92, 13,782.73 pfs. Refunds of provincial expenditures, ^4,497.64. Reve- 
nues collected: Provincial. f^,262.72, 0.03 pfs.; municipal, f49,153.25, 445.99 
pfs. Refunds of forestry and Internal-revenue collections: Provincial, 
W4,079.22; municipal, ^27,455.49. Appropriations for province, W5,976.42. 
Provincial expenditures, ^8.583.14. Cash balance June 30, 1905: Provincial 
fund, f«,784.25; Congressional relief fund, «4,124.65; total, «0,908.90. 

Ilocos 8ur Province. — Cash balance July 1. 1904: Provincial fund, W7,826.46, 
13,05a69 pfs.; Congressional relief fund, W01.92; total. W8,228.38. 13,058.69 
pfs. Refunds of various expenditures. ^,241.90. Revenues collected: Provin- 
cial, W2,583.09, 8,155.26 pfs.; municipal. Mll,145.20, 11,044.24 pfs. Refunds 
of forestry and internal-revenue collections: Provincial, P27,651.39; municipal, 
W3,506.77. Transfer from Abra Province, K,926.82, 2,130.90 pfs. Provincial 
expenditures, M10,544.56. Cash balance June 30, 1905: Provincial fund, 
n5,586.81, 163 pfs.; Congressional relief fund, ft5,475.40; total, Ml,062.21, 
163 pfs. 

JloHo Province.— CsLBh balance July 1, 1904: Provincial fund, 1^43,525.12. 
9,684.98 pfs. Refunds of provincial expenditures, f^,525.05. Revenues col- 
lected: Provincial, «14,832.43, 5,963.58 pfs.; municipal, «33,321.09, 12,008.64 
pfs. Refunds of forestry and internal-revenue collections: Provincial, 
W6,524.74; municipal, W4,735.98. Provincial expenditures, «63,303.82. Cash 
balance June 30, 1905: Provincial ^und, «6,173.39, 4,253.30 pfs.; Congres- 
sional relief fund. ^217 ; total, W6,390.39, 4,253.30 pfs. 

Isabela Province. — Cash balance July 1, 1904: Provincial fund, M4,672.04, 
13.675.77 pfs. Refunds of provincial expenditures, «,631.93, 39 pfs. Reve- 
nues collected: Provincial, «5,981.55, 80.68 pfs.; municipal, ^"43,914.90, 
1,039.18 pfs. Refunds of forestry and Internal-revenue collections : Provincial, 
«2,519.97; municipal, ^14.221.30. Provincial expenditures, «1,907.73. Cash 
balance June 30, 1905: Provincial fund, debit, W,261.71 ; credit, 7,894.58 pfs. 



48 REPORT OF THE PHILIPPINE COMMISSION. 

La Laguna Province. — Cash balance July 1, 1904 : Provincial fund, W9»298.01, 
<n568.19 pfs. Refunds of various expenditures, n,4t$9.98. Revenues collected: 
Provincial, W09,662.21, 3,878.87 pfs. ; municipal, ^194,284.78. 10,219.37 pfs. Re- 
funds of forestry and internal-revenue collections: Provincial, ^23.154.82; mu- 
nicipal, «1,108.76. Provincial expenditures, W07,549.08. Cash balance June 
30, 1905: Provincial fund, »74,3G3.19, 8,464.60 pfs.; Congressional relief fund, 
«90.97 ; total, ^74,654.16, 8.464.60 pfs. 

La Vnidn Province. — Cash balance July 1, 1904: Provincial fund. r2,884.02. 
10,597.26 pfs.; Congressional relief fund, ^4,1 10.81 ; total, ^6,994.83, 10,597.20 
pfs. Refunds of provincial expenditures, 1^1.949.25. Revenues collected: Pro- 
vincial, «8,893.08, 641.61 pfs ; municipal, ^0,960.18, 2.065.69 pfs. Refunds of 
forestry and internal-revenue collections: Provincial, W7,352.85; municipal, 
^20,775.12. Provincial expenditures, W9,471.21. Cash balance June 30, 1905 : 
Provincial fund, K.l 15.92, 12,829.58 pfs.; Congressional relief fund, W06.55; 
total, W,522.47, 12.829.58 pfs. 

Lepanto-Bontoc Province. — Cash balance July 1. 1904: Provincial fund, 
W.153.55, 2.858.78 pfs. Refunds of provincial expenditures, ^^7.96. Revenues 
collected: Provincial, ^147.60; municipal. 1^13,592.04. 145.77 pffe. Refunds of 
forestry and internal-revenue collections : Provincial, ^,204.31 ; municipal, 
W,396.72. Appropriations for province, ^28.227. Provincial expenditures, 
W2,380.77. Cash balance June 30, 1905 : Provincial fund, ^7,059.88, 119.70 pfs. 

Leyte Province. — Cash balance July 1, 1904: Provincial fund, K4.864.40, 
4,826.75 pfs. Refunds of various expenditures, ^3,906.66. Revenues collected: 
Provincial, f^,287.09, 3,583.09 pfs. ; municipal, W30,801.46. 3,88a09 pfs. Refunds 
of forestry and internal-revenue collections: Provincial, W2,854.77; municipal, 
^60,829.79. Provincial expenditures, «35,011.98. Cash balance May 31, 1905: 
Provincial fund, M,792.14; school-building fund, ^1.650.50; total, «1,442.64. 
June account not received. 

Masbate Province,— Cash balance July 1, 1904: Provincial fund, W,056.26, 
517.29 pfs; Congressional relief fund, ^812.71. 734.49 pfs.; total, W,868.97. 
1,251.78 pfs. Refunds of provincial expenditures, 1^1,460.63. Revenues col- 
lected: Provincial, 1^11,818.21; municipal, «7,889.92. Refunds of forestry and 
internal-revenue collections: Provincial, W,138.35; municipal, M,246.65. Pro- 
vincial expenditures, ^22,704.70. Cash balance June 30, 1905: Provincial fund, 
K,853.70 ; Congressional relief fund, P^378.66 ; total, ^6,732.36. 

Mindoro Province. — Cash balance July 1, 1904: Provincial fund, W2.39, 
3,975.73 pfs. ; Congressional relief fund, ^^.530.97, 1,297.54 pfs. ; total, ^543.36, 
5,273.27 pfs. Refunds of provincial expenditures, ^1,302.83, 24 pfs. Revenues 
collected: Provincial, M,952.93, 512.61 pfs.; municipal, «9,792.08, 1.426.11 pfs. 
Refunds of forestry and internal-revenue collections: Provincial, ^,711.90; 
municipal, W,595.25. Appropriations for province, ^37,269.05. Provincial ex- 
penditures, ^64,692.44. 101.45 pfs. Cash balance June 30. 1905 : Provincial fund, 
W,213.35 ; Congressional relief fund, ^1,184.09 ; total, K,397.44. 

Misamis Province. — Cash balance July 1, 1904: Provincial fund, ^,721.84, 
7,525.89 pfs. Refunds of provincial expenditures, K.350.72. Revenues col- 
lected : Provincial, «5,759.45, 3,210.35 pfs. ; municipal, f«l,075.48, 4,244.94 pfs. 
Refunds of forestry and internal-revenue collections: Provincial, ^18,269.02; 
municipal, f21,571.44 Provincial expenditures, ^^,561.66. Cash balance June 
30, 1905 : Provincial fund, W4,512.38, 93.20 pfs. 

Xueva 6cija Province. — Cash balance July 1, 1904: Provincial fund, W5,- 
188.59, 413.81 pfs. Refunds of provincial expenditures, «.187.29. Revenues 
collected : Provincial, K^,934.05, 1.845.61 pfs. ; municipal, f^,650.40. 2,251.66 
pfs. Refunds of forestry and internal-revenue collections: Provincial, W8,- 
792.28; municipal, K2,491.62. Provincial expenditures. P69.355.54. Cash bal- 
ance June 30. 1905: Provincial fund, P22,144.66; Congressional relief fund, 
W.935.76; total. «5,080.42. 

Nueva Vizcaya Prot?/nce.— Cash balance July 1, 1904: Provincial fund, 
1^2,972.98, 739.31 pfs. ; provincial building fund. W,913 ; total, W,885.98, 739.31 
pfs. Refunds of provincial expenditures, W)20i84. Revenues collected: Pro- 
vincial, W25.58 ; municipal, W4,646. Refunds of forestry and Internal-revenue 
collections: Provincial, W.336.22; municipal. ^),375.33. Appropriations for 
province, «0,000. Provincial expenditures, ^27,021.91. Cash balance June 30, 
1905: Provincial fund, «,544.83, 51.90 pfs. ; provincial building fund, W,585.70; 
total, «,130.53, 51.90 pfs. 

Occidental Negros Province. — Cash balance July 1, 1904: Provincial fund, 
«1 ,649.90, 1.918.42 pfs.; Congressional relief fund, «.404.74, 152.82 pfs.; sec- 
ondary school fund, M9,388.95; total, ^42,443.59, 2,071.24 pfs. Refunds of pro- 
vincial expenditures, ^4,846.01, 52.66 pfs. Revenues collected: Provincial, 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 49 

ri04,487.33, 5,491.66 pfs. ; municipal, W42,131.90, 6,346.68 pfo. Refunds of for- 
estry and internal-revenue collections: Provincial, ^46,204.81; municipal, 
Wl,986.21. Provincial expenditures, W49,004.56, 1,014.22 pfs. Cash balance 
June 30. 1905: Provincial fund, f^8,227.11, 566.73 pfs.; CJongressional relief 
fund, W,212.78; secondary school found, «8,103.61; total, W7,543.50, 566.73 
pfs. 

Oriental Negros Province. — Cash balance July 1, 1904: Provincial fund, 
K4,914.33, 3,084.31 pfs.; Congressional relief fund, «1,957.36, 5,707.43 pfs.; 
total, W6,871.69, 8,791.74 pfs. Refunds of provincial expenditures, W,475.72. 
Revenues collected : Provincial, f^,196.95, 6,888.80 pfs. ; municipal, ¥^,533.15, 
8,100.48 pfs. Refunds of forestry and internal-revenue collections: Provincial, 
Kl,791.03; municipal, ^28.141.65. Provincial expenditures, «9,087.61. Cash 
balance June 30, 1905: Provincial fund, «,468.60, 7,741 pfs.; Congressional 
relief fund, r6,37a02, 12,745.97 pfs. ; total, W4,846.62, 20,486.97 pfs. 

Pampanga Province. — Cash balance July 1, 1904 : Provincial fund, W4,325.43, 
7,623.61 pfs. ; Congressional relief fund, W3.14 ; total, W4,408.57, 7,623.61 pfs. 
Refunds of provincial expenditures, W4J11.70, 4.62 pfs. Revenues collected: 
Provincial, M09,363.06, 905.40 pfs. ; municipal, M69,278.16, 1,379.30 pfs. Refunds 
of forestry and internal-revenue collections : Provincial, K9,528.83 ; municipal, 
W5,066.21. Provincial expenditures, Wn,029.67. Cash balance June 30, 1905: 
Provincial fund, W14,129.01. 

Pangasinan Province, — Cash balance July 1, 1904: Provincial fund, W6,- 
085.43, 9,295.41 pfs. Refunds of provincial expenditures, «7,055.35, 98.13 pfs. 
Revenues collected: Provincial, «20,452.20, 1,042.78 pfs.; municipal, K52,- 
105.33, 3,076.60 pfs. Refunds of forestry and Internal-revenue collections : Pro- 
vincial, W5,607.88; municipal, ^6,551.89. Provincial expenditures, W72,- 
003.52, 52.69 pfs. Cash balance June 30, 1905: Provincial fund, «7,795.62, 
26,190.19 pfs. 

Palawan Province, — Cash balance July 1, 1904: Provincial fund, K,654.76. 
Refunds of provincial expenditures, W,062.78. Revenues collected: Provincial. 
^1,479. 24 ; municipal, W0,774.87. Refunds of forestry and internal revenue col- 
lections: Provincial, IP'4,550.23; municipal. W,286.22. Appropriations for prov- 
ince, ^10,000. Provincial expenditures, «7,066.30. Cash balance June 30, 1905, 
provincial fund, W,609.51. 

Rlzal Province,— CMh balance July 1, 1904: Provincial fund, W2,912.71, 
3,150.18 pfs. Refunds of various expenditures, W,599.46. Revenues collected: 
Provincial, r71.331.43, 269.04 pfs. ; municipal, «39,165.56. 4,263.51 pfs. Refunds 
of forestry and internal-revenue collections: Provincial, W9,884.74; municipal. 
W5,478.51. Provincial expenditures, W6,258. Loans repaid, K.OOO. Cash bal- 
ance June 30. 1905: Provincial fund, ¥^,669.42; Congressional relief fund, 
W2.39 ; total. «5,751.81. 

Romblon Province. — Cash balance July 1, 1904: Provincial fund. «5,215.53. 
150.08 pfs. ; Congressional relief fund. Pl,247.04 ; total, W6,462.57, 150.08 pfs. 
Refunds of various expenditures, TO95.37. Revenues collected: Provincial, 
W8,327.01, 1.961.55 pfs. ; municipal, «9,280.64. 2,950.88 pfs. Refunds of for- 
estry and internal-revenue collections: Provincial, W,541.36; municipal, 
W,547.40. Loans repaid, «,000. Provincial expenditures, K6,289.98. Cash 
balance June 30, 1905 : Provincial fund, n5,285.93, 304.04 pfs. ; Congressional 
relief fund, «J00.72 ; total, ^16,986.05, 304.04 pfs. 

Samar Prot;<nce.— -Cash balance July 1, 1904: Provincial fund, ^4,464.82, 
3,70a24 pfs. ; Congressional relief fund, ^618.76 ; total, ^75,083.58, 3,798.24 pfs. 
Refunds of provincial expenditures. P5.443.85. Revenues collected: Provincial. 
M6,502.49, 56 pfs.; municipal, ^7,374.72, 56 pfs. Refunds of forestry and 
internal-revenue collections : Provincial, ^36,805.65 ; municipal, 1^42,175.01. Pro- 
vincial expenditures, «60,873.75, 48.90 pfs. Cash balance June 30, 1905, pro- 
vincial fund, W,970.04. 135.30 pfs. 

Sorsogon Province. — Cash balance July 1, 1904: Provincial fund, W,583.99; 
special school fund, ^,331.02 ; Congressional relief fund, P546.23 ; total, «6,- 
461.24. Refunds of various expenditures, M3, 727.35. Revenues collected: Pro- 
vincial, f^.015.33; municipal, «18,658.09. Refunds of forestry and internal- 
revenue collections: Provincial, K0,437.14; municipal. W6,571.47. Loans to 
provinces (Act No. 1298), «0.000. Provincial expenditures, W5,054.39. Cash 
balance June 30, 1905, provincial fund, «8,822.25. 

Surigao Province, — Cash balance July 1, 1904: Provincial fund, W.432.57, 
956.49 pfs.; Congressional relief fund, n06.08; total, ^538.65, 956.49 pfs. 
Refunds of provincial expenditures, W,482.03, 20 pfs. Revenues collected : Pro- 
vincial. «7.402.22. 4,113.67 pfs. ; municipal, «9,997.75, 5,158.47 pfs. Refunds 

WAR 1905— VOL 13 4 



60 BEPORT OF THE PHILIPPINE COMMISSION. 

of forestry and internal-revenue c<)Ilections : Provincial, W6,318.10 ; municipal, 
W7,744.64. Provincial expenditures, ?^,108.10. Cash balance June 30, 1905 : 
Provincial fund, «9,80a87, 1,847.35 pf s. ; Congressional relief fund, W14.84; 
total, M9,981.71, 1,847.35 pfs. 

Tarlac Proi?ince.— Cash balance July 1, 1904, provincial fund, 9^443.42. 
Refunds of provincial expenditures, «,476.44. Revenues collected: Provincial, 
^47,616.08, 54aT4 pfs. ; municipal, *«4,897.30, 2,115.08 pfs. Refunds of forestry 
Mid internal-revenue collections: Provincial, f4,898.12; municipal, M,074.04. 
Provincial expenditures, W9,367.24. Cash balance June 30, 1905: Provincial 
fund, W9.182.38; Congressional relief fund, «82; total, «9,464.3& 

Tayahas Province,— Cash balance July 1, 1904: Provincial fund, «7,986.37, 
12,222.75 pfs. ; Congressional relief fund, P39.68 ; total, «8,026.05, 12,222.75 pfs. 
Refunds of various expenditures, Wl,627.78, 7.48 pfs. Revenues collected : Pro- 
vincial, 1^163,896.04, 5,084.88 pfs. ; municipal, «14,331.79, 7,50a96 pfs. Refunds 
of forestry and Internal-revenue collections: Provincial, K6,295.07; municipal, 
«1,352.91. Provincial expenditures, M67,842.52. Loans repaid, W,000. Cash 
balance June 30, 1905 : Provincial fund, »T^1,012.80, 9,222.69 pfs. ; Congressional 
relief fund, W,680.92 ; total, ^77,693.72, 9,222.69 pfs. 

Zatnbales Province, — Cash balance July 1, 1904: Provincial fund, «,602.96, 
11.50 pfs.; Congressional relief fund,' M3.20; total, W,616.16, 11.50 pfs. Re- 
funds of various expenditures, W,615.31. Revenues collected : Provincial, W3,- 
506.17, 841.09 pfs. ; municipal, Wl,636.04, 234.09 pfs. Refunds of forestry and 
Internal-revenue collections: Provincial, M4,555.82; municipal, W,924.21. Ap- 
propriations to province, 1^1,212. Provincial expenditures, ^^,609.20, 691.54 
pfs. Cach balance June 30, 1905: Provincial funds, K,935.28; Congressional 
relief fund, «,728.49 ; total, rr,663.77. 

Moro Province,— Cash balance July 1, 1904: Provincial fund. «56,603.76, 
108.30 pfs.; Congressional relief fund, ?^02,759.78, 445.58 pfs.; total, ^459.- 
363.54, 553.88 pfs. Refunds of various expenditures, K,186.99, 123.15 pfs. 
Revenues collected : Provincial, K52,594.64, 6,094.02 pfs. ; municipal, ^84,649.81. 
1,102.96 pfs. Refunds of forestry and internal-revenue collections: Provincial, 
«27,835.12; municipal, M,055.83. Appropriations for province, ^612. Pro- 
vincial expenditures, ^^3,325.64. Cash balance June 30, 1905 : Provincial fund, 
«00,252.72, 761.33 pfs.; Congressional relief fund, K18,598.53; total, f^l8,- 
851.25, 761.33 pfs. 

Note. — The Item "Revenue collected, provincial," in the above statement 
includes customs revenue to the amount of K63,083.60, of which amount W06.40 
is refundable revenue. The expenditures of the customs service In Moro 
Province for the fiscal year ending June 30, 1905, amounting to W5,152.70 (ex- 
clusive of I. P. A. supplies and refundable funds) were advanced by the insular 
government and are refundable by Moro Province. 

The balance in the provincial treasuries, as above stated, includes 
provincial funds only. Municipal funds not deposited with provin- 
cial treasurers and amounts due to muriicipalities are not taken into 
consideration. Nor is it feasible to state tne expenditure of munici- 
palities any further than to say that they cover substantially all rev- 
enues collected by the several provincial treasurers as contained in the 
foregoing statement, together with the minor municipal income from 
licenses and other small taxes. The funds of the municipalities have 
substantially all been sj)ent, but the auditor does not deal with the 
accounts of mimicipalities, and hence complete reports can not be 
stated in that respect. 

During the fiscal year 1903 the total revenues of the provinces and 
municipalities, stated in money of the United States, old local currency 
being reduced to United States money at the rate of 2.20, amounted 
to $2,715A05.53; in 1904, to $3,243,956.40, and in 1905, to $3,064,- 
552.86. During the fiscal year 1904 there were likewise returned to 
the provinces and municipalities from the forestry refund $141,138.76. 
Durinff the fiscal year 1905 the provinces and mimicipalities received 
from tne refunds of forestry and intemal-revnue taxes $1,052,074.70. 

The effect of the internal-revenue law has been to diminish the 



REPORT OF THE SECRETARY OF FINANCE AND JUSTICE. 51 

amount of taxes collected in the provinces and municipalities for 
their own immediate use, but largely to increase the sum returned to 
them as refunds from the insular treasury. The data, however, are 
not yet sufficient to determine the exact enect of the internal-revenue 
law upon the finances of the provinces and municipalities, because a 
material portion of that law was not in effect imtil January 1, 1905, 
and none of it until August 1, 1904. It will require further demon- 
stration to indicate whether the provinces and mimicipalities have, on 
the whole, lost or gained by the establishment of the new system. 
During the year $97,280.03 have been appropriated from insular 
funds for the provinces; $90,000 have been loaned to provinces, and 
$3,500 of loans to provinces have been repaid. The cash balances 
in the provincial treasuries on June 30, 1905, were $707,824.29, and 
Congressional relief fund, $162,721.40. 

B^pectfully submitted. 

Hbnry C. Ide, 
Secretary of Finance and Justice. 

To the Philippinb Commission, 

Manila^ P, /. 



EXHIBIT No. 1. 
EEFOET OF THE ATTOEHEY-OENEEAL. 

Office of the Attorney-General for the Philippine Islands, 

Bureau op Justice, 

Manila, October IS, 1905, 
8ir: This report covers the work of -he courts of the Philippine Islands from 
September 1, 1904, to Au^^ust 31, 1905. 

I. — SUPREME COURT. 

The following statistics furnished by the clerk of the supreme court show the 
work of that tnbunal during the year, and the condition of the docket on August 31, 
1905: 

Number of cases pending September 1, 1904: 

avil 216 

Criminal 544 

Number of cases filed during year ending August 31, 1905: 

avil 257 

Criminal 470 

Number of cases decided during said year in which opinions have been tile*^ : 

Civil 32 

Criminal 353 

Number of cases otherwise disposed of: 

Civil '. 32 

Criminal 139 

Number of cases pending September 1, 190f : 

Civil 408 

Criminal 522 

Number of applicants for admission to the bar: 

Americans , 7 

Filipinos 77 

Number who passed the bar examination: 

Americans 7 

Filipinos 46 

Fees received during said year, in Philippine currency, P"9,416.29? 

This report shows that there are now on the docket 408 civil cases as against 216 
one year ago, and 522 criminal cases as against 544 of one year ago. The criminal 
business has been reduced by 22, while the civil business has increased by 192 cases. 

II. — COURTS OF FIRST INSTANCE. 

The following table contains the record of the courts of first instance throughout 
the archipelago, including Manila. This record shows: 



I on the docket on Sept. 1, 1904 

I filed daring the year ending Aug. 81. 1906. 

Cases decided during said rear 

Oues otherwise disposed of daring said year 

Osses on the docket on Sept 1,1906 



Civil. Criminal. 



2.840 
3.171 
1,676 
902 
8,438 



1,930 
5,378 
3.281 
2,468 
1,559 



In addition thereto there is a statement showing the amount of money collected 
by Uie various courts during the year. 

53 



54 



BEPORT OP THE PHILIPPINE COMMISSION. 



Reports from clerks of court September /, 1904, to September 1, 1905. 



Manila 

First diatrlct: 

Gaf^ay&n, Tugaegarao 

Isabeia, Ilagan 

Second district: 

Ilocoe Norte, Laoag 

IlocosSur, Vigan 

Mountain district: 

Benguet, Bagnio 

Nueva Viscaya, Bayombong 

Lepanto Bontoc. Cervantes 

Third district: 

PangasinAn. Lingay^n 

Union, San Fernando 

Zambales. Iba 

Fourth district: 

Pampanga, San Fernando 

TArlac, jf Arlac 

Nueva Ecija, San Isidro 

Fifth district: 

Bulac&n, Malolos 

Rizal. Paslg 

Sixth district: 

Cavite, Cavite 

LagHna, Santa Cruz 

Bata&n, Balanga 

Seventh district: 

Tayabas. Lucena 

Tayabas Boac. Marinduque 

Batangas, Batangas 

Mindoro, Calap&n 

Eighth district: 

Ambos Camarines, Nueva C4cere8. 

Albay, Albay i. 

Sor8og6n. Sor80g6n 

Ninth district: Doilo, Hollo 

Tenth district: 

Negros Occidental, Bacolod 

Antique, San Jofl6 

Eleventh district: 

Cebd.Cebd 

Negros Oriental, Dumaguete 

Bonol. Tagbilaran 

Twelfth district: 

L«yte, Tac loban 

S&mar, Catbalogan 

Thirteenth district: 

Moro Province, District of Lanao, 
Illgan 

Moio Province, District of Dapitan. 

Surigao, Surigao 

Mlsamis, Cagay&n 

Fourteenth district: 

Moro Province, Zamboanga 

Moro Province, DiHtrict of Jol6, 
Jol6 

Moro Province, District of D&vao, 
D&vao 

Moro Province, Tawi-Tawi Group, 

Bongao 

Fifteenthdlstrict: 

C&piz, CApiz 

Rombl6n, Rombl6n 

Masbate, Ma^bate 

Palawan, Cuyo 

Palawan, Puerto Prlncesa 



Civil cases. 



Total 2,840 



514 



164 
31 



149 



3 

1 
9 

167 
74 
81 

61 
109 
35 

122 
52 

55 
46 


59 
11 
30 
11 

58 

65 

33 

226 

96 



150 
6 
5 

145 
27 



953 

80 
45 

133 
78 

9 

5 

80 
65 
20 

45 
45 
43 

66 
62 

61 
91 
29 

48 
9 

28 
8 

189 
174 
65 
180 

107 
35 

80 
16 
8 

118 
41 



8,171 



10 
4 

67 
48 

6 

5 

41 
25 I 
10 , 

82 ; 

21 

l^ 

85j 
23i 

47 I 
69 , 

7 ! 

34 


14 : 
ll 

86 
99 , 
32 
111 

66 
25 

28 
9 
4 

126 



32 



1,676 902 



&<S 



915 

178 
70 

183 
69 

6 

1 
6 

191 
114 
82 

49 
72 
58 

158 
75 



57 
19 

25 
12 
22 
15 

78 
71 
55 
212 

105 
25 

152 
9 
5 

124 
15 



Criminal 






P-DO 



6 

4 

50 
20 
9 

68 
80 
146 

122 
12 

52 
85 


75 

2 

126 

14 

11 
82 
41 
138 

124 
71 

87 
1 
10 

90 
20 



528 

181 
52 

96 
106 

13 
18 
14 

226 
118 
32 

117 
186 
222 

184 
110 

154 
847 
120 

128 
15 

289 
29 

142 

196 

76 

282 

249 
46 

198 
70 
19 

175 
267 



4 19 

10 

8 I 57 

7 95 



4 

16 

4 

28 

1 



47 

82 

16 

5 

102 
44 
37 
10 
2 



3,433 1,930 5,378 



513 



25 

74 
59 

6 
12 
11 

121 
35 
19 

61 
42 
104 

114 

84 

104 
75 
80 

78 

2 

185 

14 

118 
99 
59 

296 

125 
62 

117 
51 
22 



175 



3,281 






78 

66 
53 

49 
45 

8 
6 

4 

78 
29 
9 

60 
187 



27 



251 
62 

111 
12 

168 
14 

7 
119 
40 
99 

127 
62 

66 
13 
6 

78 
110 



7 
3 
16 
25 

15 

17 

3 

1 

67 
14 
21 
14 
2 



2,468 



1,569 



REPORT OF THE ATTORNEY-GENERAL. 



55 



Report from clerks of court September i, 1904^ to September i, 1905 — Continued. 

CASH RECEIVED. 



Manila 

First district: 

Cagav&n, Tuguegarao 

Isabela, llagan 

Second district: 

nocos Norte, Laoag 

Ilocos Sur, Vigan 

Mountain district: 

Benguet. Baguio 

Noeva Visoaya, Bayombong. 

Lepanto Bontoc, Cervantes. . 
Third district: 



PangasinAn, Lingay^n . 
Union, San Fernando. . 



Zambales, Iba 

Fourth district: 

Pampanga, San Fernando 

TArlac, l^rlac 

Nueva Eclja, San Isldro 

Fifth district: 

Btilac&n, Malolos 

Rizal, Pasig 

Sixth district: 

Caritc, Cavite 

Laguna, Santa Cruz 

Bata&n, Balanga 

Seventh district: 

Tayabas, Lucena 

Tayabas Boac, Marinduque 

Batangas, Batangas 

Mindoro, Calap&n 

Eighth district: 

Ambos Camarines, Nueva Cuceres 

Albay. Albay 

Sor8G^6n, 8or8(M:6n 

Ninth district: Hollo, Iloilo 

Tenth district: 

Negros Occidental, Bacolod 

Antique, San Joe6 

Eleventh district: 

Cebd, Cebti 

Neffros Oriental, Dumaguete 

Bohol , Tagbilaran 

Twelfth district: 

Leyte, Taeloban 

SAmar, Catbalogan 

Thirteenth district: 

Moro Province, Di^itrict of Lanao, Iligan . . . 

Moro Province, District of Dapitan 

Surigao, Surigao 

Misamis, CagayAn 

Fourteenth district: 

Moro Province, Zamboanga 

Moro Province, District of Jol6, Jol6 

Moro Province, District of DA vac, DAvao. . . 

Moro Province, Tawi-Tawi Group, Bongao. 
Fifteenth district: 

CApiz, CApiz 

Rombl6n, Rombl6n 

Masbate, Masbate 

Palawan, Cuyo 

Palawan, Puerto Prinoe^H 



Philippine 
currency. 



Mexican 
currency. 



r24,036.9S 



926. 
631, 



198. 
791 



288. 
247. 



120. 



728. 
288. 



783. 

3J3.60 
208.00 
742.80 
.634.58 



967. 
,147. 
332. 

842. 
510. 
406. 
462. 
32. 



79 
00 
28 
00 

00, 

78 
70 
80 i 
70 I 



Total 116,942.40 j 



$90.66 



8.00 



The amount of money collected by the various courts of first instance during the 
twelve months included in this report was P"115,942.40, and Mexican currency, 
125.56 pesos. This includes fines, costs, and fees. 

The foregoing table is based upon the written reports submitted by the clerks of 
the courts of first instance throughout the islands. The figures have been verified 
three times and are as accurate as it is possible to make them under present condi- 
tions. This statement also shows a condition similar to that which exists in the 
supreme court, namely, that the courts have made distinct gains in the criminal cases 
and lost in the civil cases. 



56 REPORT OF THE PHILIPPINE COMMISSION. 

On September 1, 1904, there were 2,840 civil cases pending, and at the end of the 
year there were 3,433, showing an increase of 593; the criminal docket shows that 
on September 1, 1904, there were 1,930 cases pending, and on September 1, 1905, 
there were 1,559 cases, a decrease of 371 cases for the twelve months. 

in. — COURT OF LAND RBGISTRATION. 

The following statement, based upon a report to me by the clerk of the court of 
land registration, shows the following: 

Number of cases filed from organization of court to August 31, 1904 977 

Number of cases filed from September 1, 1904, to AugiSt 31, 1905 676 

Total number of cases filed up to August 31, 1905 1, 653 

Cases decided from — 

February 4, 1903, to August 31, 1903 63 

September 1, 1903, to August 31,1904 236 

September 1, 1904, to August 31, 1905 526 

825 

Number of cases pending August 31, 1905 828 

Amount of fees collected during said twelve months, 1*'3 1,400. 10. 

IV. — COURT OF CUSTOMS APPBAU3. 

The following report shows the business transacted by the cimrt of customs appeals 
during the year covering this report: 

Number of cases filed 61 

Appeals 27 

Criminal cases 6 

Condemnation proceedings 28 

Number of cases withdrawn 12 

Number of cases dismissed by court as defective 6 

Number of cases dismissed on motion of defendant 1 

Number of cases decided , 101 

Number of cases pending Septeml er 1, 1905 (of the total number of cases filed 

during the above periwi ) 11 

V. — BUREAU OF JUSTICE. 

I have but few comments to make on the work of this bureau during the past 
year. In my report of last year I recommended that the offices of supervisor of 
fiscals and assistant supervisor of fiscals be abolished, and that the number and sal- 
aries of the assistant attorneys of the office be also changed, so that the office would 
consist of an attorney-general, a solicitor-general, assistant attorney-general, and 
eleven assistant attorneys. It was recommended that these assistant attorneys be 
paid salaries not exceeding $3,000 per annum. A law adopting these recommenda- 
tions was passed by the Commission on April 1 of this year. This law has already 
yielded beneficial results. 

The flexible plan thus inaugurated has many advantages. It enables the Com- 
mission to employ lawyers at salaries ranging from $3,000 per year down. Under 
this plan, young men can be given places m the service at low salaries, and after 
they Decome valuable they may be promoted to good salaries without disturbing the 
r^t of the office. Under the former plan, promotions could not be made except as 
vacancies occurred; and it frequently happened when vacancies occurred, that the 
next person in line did not deserve promotion. Under such circumstances, when a 
new man was employed it had the effect of disturbing and discouraging all of those 
who were receiving a smaller ealary Under the present scheme, promotions depend 
solely upon the character of the work of each individual. As before stated, the 
present system has yielded onlv good results. 

The present office force is efecient, harmonious, and in every way satisfactory; a 
spirit of loyalty and enthusiasm permeates the whole bureau, and whatever success 
tne bureau may have achieved is due largely to the foregoing facts. 

There have been ready for some time manuscript for the second volume of the 
opinions of the attorney-general and solictor-geneiil. It is needless to discuss the 
necessity for the publication of these opinions in book form; the need that existed 



BEPORT OF THE ATTORNEY -GENERAL. 57 

when the law was passed and the first volume issued now exists. The pubhcation 
and distribution of the first volume has eliminated inquiries on all subjects covered 
by the opinions contained therein. This is not true of the opinions rendered durine 
ttie last two years, only a portion of which have been published in the Official 
Gazette. The Official Gazette is of temporary assistance only, and in no manner 
u^ee the place of the regular publication m book form. In the first place the syllabi 
are not well prepared, and it is without index. Furthermore, the officials are care- 
less in the preservation of this publication, and when opinions are wanted for refer- 
ence the Gazettes containing them are frequently not available. It is, therefore, 
earnestly urged that there be included in the appropriation bill for this year a sum 
sufficient to cover the publication of the second volume of the opinions of this office. 

Pursuant to directions given by the governor-general and yourself, when you were 
leaving Manila for Baguio this year, the work ot amplifying the proposed new Code 
of Criminal Procedure, which had been begun by certain members of the judiciary, 
has been carried to completion. The result of our labors in the form of this proposed 
Code of Criminal Procedure is transmitted herewith. I have also placed a copy of 
this code in the hands of the governor-general and each of the American Commis- 
sioners. 

It will be found upon examination that this code is an amplification of General 
Order 58, and is basea upon the criminal codes of New York, Texas, Ohio, Tennessee, 
and California. After completing the first draft the work was submitted to several 
members of the Manila bar, who were sufficiently interested to examine and criticise 
it The persons to whom copies were sent made a large number of valuable sugges- 
tions, mc^ of which have been incorporated in the proposed* code. The original 
comments and suggestions of said lawyers are forwarded herewith. 

Some months ago you requested that I submit to you any suggestions that I might 
have on the subject of reforming the present justice of the peace system, in com- 
pliance there\*ith, I hereby place in your hands my ideas on the subject, which 
iiave been reduced to the form of a proposed law. These ideas have been gathered 
from the opinions of the judges of the courts of first instance, provincial governors, 
fiscals, and other officials throughout the Archipelago. Special attention has been 
given to the subject by Judge Chas. 8. Lobingier, of the twelfth judicial district, 
who submitted his views in the form of a propped law for the reorganization of the 

i'ustice of the peace system. Many of these views are included in the draft forwarded 
lerewith. In fact, the main features of the law were suggested by the present Sec- 
retary of War, Hon. Wm. H. Taft, while he was governor of these i.slands. In his 
report for 1903, after pointin||^ out the defects of the present system, he said: 

** There are several remedies recommended, but in my judgment the best one is 
that of dividing the province into comparatively large districts, and appointing a 
justice of the peace for each district with a living salary. This will dignify the 
office, will secure the best man in the district and will give a much better character 
to the administration of justice in what ought to be the people's court." 

The Secretary of War reiterated this view in his recent speech at the Motropole 
Hotel, on August 11, 1905, as follows: 

** Another reform that ought to be instituted, in my judgment, is the abolition of 
the present system of justices of the jieace and a provision of law by which in each 
province there shall be a much smaller number of justices of the )>eace than now 
and by which they shall be paid a certain annual stipend which will certainly make 
the office more desirable and secure more desirable incumbents. The justices of the 
peace are the judges for the common people and the attractions of the office ought 
to be increased so as to secure men worthy to exercise this important function." 

The salient features of the proposed justice of the peace law^ transmitted herewith, 
are: 

First. That the justices of the peace are to be placed under the supervision and 
control of the courts of first instance. 

Second. That the provinces are to be divided into justice of the peace districts. 

Third. That the justices are to be paid salaries instead of fees. 

Fourth. That the municipal secretaries are to be ex officio clerks of the court. 

Fifth. That the judicial functions of the municipal presidents are to be taken from 
them and vested in the justices of the peace. 

It will also be observed that we have reduced the amount over which the justices 
of the peace have jurisdiction from 600 to 400 pesos. 

It should be stated in this connection that the present draft of the justice of the 
peace law was made after consultation with several of the members of the supreme 
court and other judges and members of the Manila bar. 

All the recommendations which I desire to make in regard to the work of this 
boreaa or the judiciary are contained in the proposed laws above mentioned. 



58 • REPORT OF THE PHILIPPINE COMMISSION. 

I wish to call yoar attention to the fact that there is still one vacancy in this office 
which should be filled. Under the reorganization act of April 1, 1905, this bureau 
was ffiven one additional man. That position has not been filled. I wish also to 
say that while the office force has been increased in numbers, the actual running 
expenses have been materiall}^ reduced. 

In conclusion, attention is invited to the following statistics of the work of this 
bureau for the year ending August 31, 1905: 

Written opinions rendered by the attorney-general to the chief executive, 

heads of^the four departments, chiefs of bureaus and other officials 356 

Cases in the supreme court in which this office presented brief and argument. 290 

Cases in the supreme court in which this office appeared by motion, etc 53 

Cases in the court of land registration in which tnis office appeared and op- 
posed registration 216 

Cases in the court of land registration examined by this office but no opposi- 
tion presented 224 

Petitions for pardons passed upon 829 

Permanent appointments of employees in the bureau of justice 83 

Temporary appointments of employees in the bureau of justice 7 

Official communications written or receiving the attention of the office and 

disposed of, other than opinions, cases, pardons, and appointments 3, 070 

Requisitions made on the bureau of public printing for printing and binding. . 398 

Requisitions made on the insular purchasing agent for supplies 67 

Very respectfully, 

L. R. VViLFLEY, AUomey-General. 
Hon. Henry C. Ioe, 

JSecreiaiy of Finance and Jtuiice. 



EXHIBIT No. 2. 

BSPOKT OF THE SUPEEIirTEKDEHT IHSULAE COLD STOEAOE 

Ain) ICE PLANT. 

The Insular Cold Storage and Ice Plant, 

Manila, P. /., August 16, 1905. 
Sir: I have the honor to submit the following report covering the operation of the 
insular cold-storage and ice phuit for the period from July 1, 1904, to June 30, 1905. 
The gross revenues for the twelve months were P"7()(5,356.37 and expenditures 
P"308,3S5.11, including coal to the value of P'20,616.75, which was consumed but for 
which payment has not vet been made. The net earnings were therefore P"397,971 . 26, 
making it the most profitable year that the plant has yet experienced. As compared 
^th the fiscal year preceding, there is a gain of P'182,222.65, due to an increase of 
P"103, 407.56 in the gross revenues and to a reduction of P'78,815.C9 in the cost of 
operation. 

sources of revenue. 

Cold storage, — The contract with the chief quartermaster of the Philippines for cold- 
storage space to be used by the Subsistence Department of the United States Army, 
in effect during the fiscal year of 1904, was renewed unchanged for 1905. Under the 
terms of the contract, the Army leased six large and three small rooms with a total 
storage capacity of 299, 1 19 cubic feet at a monthly rate of 7 centavos Philippines cur- 
rency per cubic foot. Room No. 5, containing 42,418 cubic feet, which was subdi- 
vided and fitted up as a sales and issue room in May, 1904, and occupied for a few 
weeks of that fiscal vear, was rented during all of 1905 at a rate ?°2,500 per month. 
The total revenues for space rented to the Army were therefore correspondingly 
increased. 

The United States Navy did not renew its contract for room 11, having effected 
arrangements with the Army to obtain meats and supplies from that source. This 
represented a loss of 1*"598.74 per month. 

Heretofore the revenue from cold-storage space rented to private firms and indi- 
viduals has been unimportant. In the preceding fiscal year the total was only 
P"839. 76. No efforts were made to secure this patronage because of the disinclination 
of the government to engage in competition with a local industry. At the banning of 
the fiscal year^ however, the local refrigerating plant, liaving practically a monopoly 
of the retail meat business, advanced prices excessively high. In view of these con- 
ditions and for the public benefit it was deemed that the plant was justified in engag- 
ing in competition to the extent of leasing storage space at a reasonable rate to any- 
one desiring it. As a result, the revenues from this source reached a total for the 
year of 1»'36,925.83, representing a gain of ^-36,086.07. The extent to which the 
public has benefited is evidenced by the fact that the retail prices of to-day average 
about three-fifths of those prevailing a year ago. 

The total revenues from cold storage were F'319,887.78, as compared with . 
?'266,391.84 for the preceding year. 

Sales of ice. — These sales were increased 1^40,486.52. While the sales to the Army, 
Navy, and marines, and to coupon customers remained practical Iv unchanged, the 
following increases were shown: From deliveries to the bureaus of the insular gov- 
ernment, ^"3, 469. 24; from deliveries to customers entitled to the special rate by 
reason of connection with government service, P'13,883.69, and from cash sales at 
the plant, P"23,166.22. The last item represents a gain of 47 per cent and is encour- 
aging in that the majority of the sales are made to the public at a rate in« excess of 
that charged by the private ice factorv here. It shows that, notwithstanding the 
difference in price, the product of this plant is preferred by a large number of patrons 
and that the ice-using habit is undoubtedly growing upon the native population. 

Distilled water and ynisceUaneous. — The revenues from both of these sources were 
greater than for 1904. The former shows a gain of y4,847.97 and the later F4,577. 13. 

expenditures. 

Salaries and wages.^By a reduction in the force of employees and by the substitu- 
tion in a number of positions of Filipinos for the higher priced Americans, the cost 

• 69 



60 



REPORT OF THE PHILIPPINE COMMISSION. 



of labor was reduced from the total for 1904 by ¥"25,428.31. 
were made and the respective salaries paid are as follows: 

[In United States currency.] 



The substitutions that 





Positions. 


Salaries per annum. 




Americans. 


Natives. 


Electrician 




$1,600 

1,200 

1,200 

1,200 

840 

780 

780 

720 

780 


1900 


Assistant engineer 


1,200 
600 


Machinist 


Do 


600 


Oiler 


240 


Do --- 


240 


Do 




240 


Water tender 




240 


Issue clerk 




800 



The native skilled labor employed in the above positions has exceeded our expec- 
tations. It is no exaggeration to state that tho work has been fully as well performed, 
while its cost has been considerably less. The unskilled laborers also have proven 
satisfactory. They readily grasp what they are taught, and make good firemen, oil- 
ers, and handy men around the engine room. At one time their irregular attendance 
was the source of considerable inconvenience, but this has long since been obviated. 
The employees can now be depended upon to be present every day in the year. 

Coal. — Exclusive of labor, coal is by far our greatest item of expenditure. For this 
reason, our efforts have been specially directed to securing the greatest degree of 
efficiency from the coal consumed in order to reduce its yearly cost. Asa result of 
these efforts, the plant, notwithstanding the increased demand upon it by reason of 
the greater amount of space refrigerated and ice manufactured, was operated with 
2,836 tons less than during the year preceding. This reduction in the consumption, 
together with a contract price lower by 11 c^ntavos a ton, effected a saving of 
f 39,421.69. 

The following table shows the consumption by months: 



April . 
May.. 
June . 



Tons. 
564^ 
678i 
5651 



Consumed 6,814} 

Loss 37 



Total 6,851i 



Tons. 

July 618t 

August 584i 

September 549j 

October 589} 

November 587} 

December 582} 

January 604} 

February 494 

March 495J 

A series of experiments were made during March, April, and May with the vari- 
ous grades of coal to be obtained in the l(x»l market to determine their relative 
efficiency. No tests of this nature had before been attempted, consequently we had 
no data available as to whether the Tagawa lump coal supplied us by the insular 
purchasing agent under contract was for a fact tne most economical that could be 
obtained. For the purpose of comparison, however, this coal was accepted as the 
standard, and, in order that the conditions under which the tests were made might 
be as nearly similar as possible, it was burned on alternate days with the other coals — 
during March with the Cardiff, during April with the Wallsend, and during May 
with the West Wallsend. The coal first named is imported from Wales and the 
latter two from Australia. The results of the tests were as follows: 




March Ta^wa lump 

Cardiff 
April 



May. 



Tarawa lump.. 

Wallsend 

Ta^rawalump.. 
West Wallsend. 



Average ^^ 
daily con- ^'"^^^ 
sumption. 



Tom, 
16 
18 
18 
18 
18 
18 



lbs. 

686 
1,610 
1,280 

624 
1,148 
1,889 



r-12.98 
15.84 
12.98 
12.87 
12.9i< 
13.76 



Total 
cost per 
diem. 



T^ll.66 
217.80 
241.06 
231.67 
240.29 
258.78 



KEPORT OF INSULAR COLD 8TORAOE AND ICE PLANT. 



61 



The following table, prepared from the above data, shows their relative values: 



Goal. 


P-_. 1 Calorific 
^^^- 1 power. 


Effi- 
ciency. 


W««t W(vll«find 


Percent, 
106.98 
122.08 
100.00 
99.16 


Percent. 
98.86 
118.86 
100.00 
101.86 


Percent. 
92.9 


Cardiff 


97.4 


Tsf awa lump 


100.0 


WiUlsend 


102.7 







REMARKS. 

Dnrine the year the roof of the building was reijainted by the bureau of architec- 
ture and is now watertight. Of the transportation equipment, all of the wagons, 
two of the lorchas, and the launch have been overhauled and put in good condition. 
Another lorcha is in the slipway undergoing repairs and will shortly be completed. 

The slipway referred to was built in Octol^r of 1904 at a total cost of ^"581. All 
repairs to the lorchas since then have been made at the plant, and as a result nearly 
four times the original cost of the slipway has already been saved. 

Authority was granted by resolution of the Philippine Commission, dated March 
15, 1905, to transfer the surplus wagons and horses to Bilibid prison and to the city 
of Manila. Arrangements nad been effected by which the latter was prepared to 
furnish transportation whenever needed at a reasonable rate, thus rendering it unnec- 
eeeary to maintain an eauipment at this plant in excess of its ordinary requirements. 

Attached hereto are the following exhibits: 

Exhibit A. — Copies of the two contracts with the Subsistence Department, United 
States Army, for cold-storage space. 

Exhibit B. — Copy of the contract with the Subsistence Department, United States 
Army, for ice. 

Exhibit C. — ^Tabulated statements of the earnings, expenditures, collections, and 
ice sales for the fiscal year. 

Exhibit D.^^tatement of the earnings and expenditures of the Insular Cold Stor- 
age and Ice Plant by fiscal years. 

In conclusion, the writer desires to express his appreciation of the very valuable 
assistance rendered by Mr. J. J. O* Donovan, the chief engineer. Mr. O* Donovan 
was appointed as assistant engineer May 1, 1902, and promoted to his present posi- 
tion on July 1, 1904. During the year that he has been in charge of his department 
it has been operated at far less cost than before and has at the sam^ time been main- 
tained in a high state of efficiency. The plant is fortunate in having secured the 
services of so capable a man. 

Very respectfully, J. F. Edmiston, 

SaperxTdendent, 

The Sbcrbtary of Finance and Justice, 

Manila, P, L 



Exhibit A. 

ASTICLSB OF AOBBEXEHT FOB FTTRNIBHIirO COLD-BTORAOE SPACE TO BUBBIBT- 
BHCS DBPAB TMBKT, VHITED STATES ABMT, BT THE IHBT7LAB OOVEBBMENT 
OF THB PHUJPPniE ISLANDS. 

This asreement entered into at Manila, P. I., this first day of July, nineteen hun- 
dred and four, between Jno. L. Clem, colonel and assistant quartermaster-general. 
United States Army, of the first part, and the insular government of the Philippine 
Islands, of Manila, P. I., of the second part; witnesseth. 

That the said Jno. L. Clem, colonel and assistant quartermaster-general. United 
States Army, for and in behalf of the United States of America, and the said insular 
ffovemment of the Philippine Islands, covenant and agree to and with each other as 
tollows: 

I. That the said insular government of the Philippine Islands shall, and by these 
presents does hereby, demise, let, rent, and lease to the United States of America 
the rooms numbered 1 A, 1 B, 1 C, 2, 3, 4, 6, 7, and 8 in the Insular Cold Storage 
and Ice Plant,. Manila, P. I., two hundred and ninety-nine thousand, one hundred 
and nineteen cubic feet, to be used by the Subsistence Department, United States 



62 REPORT OF THE PHILIPPINE COMMISSION. 

Army, for the storage of fresh meats and subsistence supplies, to have and to hold 
the same from the first day of July, nineteen hundred and four, to the thirtieth day 
of June, nineteen hundred and ^ye^ inclusive. 

II. That the said insular government of the Philippine Islands agrees to maintain 
at all times in each of the rooms aforesaid such temperature as is required by 
the Subsistence Department, not less than eighteen degrees Farenheit, and to keep 
at all times in serviceable condition the loading and unloading devices, carrying 
rails, elevators, and scales, appertaining to said plant, and to furnisned the use as well 
as the necessary mechanics to operate the same free of charge, whenever the devices 
can be used to facilitate and expedite the movement of stores in and out of cold 
storage. 

III. That the insular government of the Philippine Islands shall furnish the 
insulated lighters and steam tug of the said Insular Cold Storage and Ice Plant to 
receive ex ship, Manila Bay, allfn^sh beef and mutton to be kept in cold storage for 
the Subsistence Department, but the said insular government snail not be required 
to furnished the labor, checkers, etc^ , necessary to bring the same to the scales or 
elevator at the outer doors of the cold-storage side of the plant, or to move the same 
from one room to another whenever necessary for the convenience of the Subsistence 
Department. 

IV. That the insulated lighters and steam tug of the Insular Cold Storage and Ice 
Plant shall be used to deliver fresh meat to transports in the harbor of Manila and 
to the Subsistence Department on the Pasig River; but the said insular government 
is not to be required to furnish the checkers and labor required for such services; the 
Insular Cold Storage and Ice Plant to deliver the fresh beef, mutton, and other stores 
at the scales or foot of -elevator, at the outside door of the cold-storage room ; 
provided, that the Insular Cold Storage and Ice Plant shall not be compelled to fur- 
nish its steam tug or insulated lighters for the transporation of beef or mutton to 
United States transport or other government vessels in the harbor of Manila when 
the quantity to be transported is less than one (1) ton. 

V. The superintendent of the Insular Cold Storage and Ice Plant shall receive 
from and give receipts to the Sul)sistence Department for the subsistence stores and 
fresh meat to be placed in cold-storage when delivered at the scales or foot of elevator 
at the outer doors of the cold storage side of the plant, and the unit specified shall be 
the Quarter of beef, specifying whether fore or hind quarter, the carcass of mutton, 
the Dox, and the crate. Tne receipt for boxes and crates will state their gross 
weight and the name of the stores **said to be contained therein." 

VI. The Subsistence Department, through its authorized representative stationed 
at the Insular Cold Storage and Ice Plant, shall receive from and give receipt to the 
Insular Cold Stocage and Ice Plant for all subsistence stores and fresh meat taken out 
of cold-storage and delivered by the plant at its scales or foot of elevator at outer 
door of the cold-storage side of the plant. 

VII. The management of the cold-storage rooms aforesaid, the regulation of the 
temperature required by the Subsistence Department, and the operation of all the 
machinery and plant used for producing cold and for transporting meat and other 
supplies from the river front to the rooms where they are to be stored, and for return- 
ing the same to the river front when needed, shall tie under the control and manage- 
ment of the superintendent of the Insular Cold Storage and Ice Plant. 

VIII. That in case any beef, mutton, or other stores belonging to the Subsistence 
Department shall be lost by perils of the sea or marine disaster within the harbor of 
Manila, while being transported to or from the Insular Cold Storage and Ice Plant, 
the insular government shall not be liable for any loss or damage so sustained by the 
subsistence department. 

IX. That in case the building belonging to the insular government, in which the 
cold-storage space hereby leased is contained, should be destroyed by ^re^ earth- 
quake, or typhoon, or other casualty, or so materially injured by any of said causes 
tnat it becomes impracticable for the said insular government to complete this con- 
tract, this contract shall thereupon close and be determined without liability for 
dama^ on the part of either party; provided, that in the event of an accident to the 
machmery or appliances, due to any imperfection in said machinery or appliances, 
or to the carelessness of the employees of the said Insular Cold Storagie and Ice Plant, 
which renders it impossible to maintain the temperature of the cold-storage rooms 
at a degree of cold low enough to preserve the meat and other stores belonging to 
the Subsistence Department, the insular government shall provide cold storage else- 
where for said supplies, or pay to the Subsistence Department the money value of 
such of the said supplies as may be so damaged as to be unserviceable, the amount 
to be determined by a miUtary board of survey. 



rep6rt of insular cold storage and ice plant. 68 

X. That the said party of the second part reserves the right to cancel this contract 
should the said Insular Cold Stora^ ana Ice Plant be sold. 

XI. That for and in consideration of the above covenants and agreements the 
United States shall pay to the said insular government of the Philippme Islands, or 
its agent, the sum of beven (7) cents per cubic foot per month, Philippine currency. 

XII. That payment shd^H be made at the end of each calendar month, or as soon 
as practicable thereafter, at the office of the disbursing quartermaster at Manila, P. I., 
in the funds furnished for the purpose by the United States. 

XIII. That neither this lease nor any mterest therein shall be transferred to any 
other party or parties, and in case of such transfer the United States may refuse to 
carry out this lease either with the transferor or the transferee, but all rights of action 
for any breach of this lease by said insular government of the Philippine Islands are 
reserved to the United States! 

XIV. That no member of or delegate to Congress, nor any person belonging to, or 
employed in, the military service of the United States, is, or shall be, admitted to 
an V share or part of this lease, or to any benefit which may arise herefrom. But 
this stipulation, so far as it relates to members of or delegates to Congress, is not to 
be construed to extend to this contract. 

XV. That this lease shall be subject to approval of the commanding general. 
Division of the Philippines. 

In witness whereof the undersignjed have hereunto j>laced their hands the date 
first hereinbefore written. 

J NO. L. Clem, 
Colonel and Asst. Quartermaster-General^ U. S. Army, 
Witness: 

Robert Lee Strayer, 

Insular (Government op the Philippine Islands, 
By Henry C. Ide, Secretary of Finance and Justice, 
Witness: 

Jackson A. Due. 

Headquarters Philippine Division, 

Manila, August !£, 1904- 
Approved, by command of Major-General Wade: 

W. J. Glasgow, 
Captain, Thirteenth Cavalry, Aid-de-Camp, 

■ Acting Assistant Adjutant-OeneroL 



ABTICLEB OF AOKEEMENT FOB FirBNIBHINO COLD-STORAGE SPACE TO THE 
SUBSISTENCE DEPABTMENT, UNITED STATES ABMT, BT THE INSULAB OOV- 
EBNMENT OF THE PHILIPPINE ISLANDS. 

This agreement, entered into at Manila, P. I., this first day of July, nineteen hun- 
dred and four, between Jno. L. Clem, colonel and assistant quartermaster-general, 
United States Army, of the first part, and the insular government of the Philippine 
Islands of the second part, witnespeth: 

That the said Jno. L. Clem, colonel and assistant quartermaster-general. United 
States Army, for and in behalf of the United States of America and the said insular 
eovemment of the Philippine Islands, covenant and agree to and with each other as 
follows: 

I. That the said insular government of the Philippine Islands shall, and by these 
presents does hereby, demise, let, rent, and lease to the United States of America 
three (3) rooms containing forty-two thousand four hundred and eighteen (42,418) 
cubic leet, said three rooms being subdivision of the room known as No. 5 in the 
Insular Cold Stora^ and Ice Plant at Manila, P. I., to have and to hold the same, 
with all the hereditaments and improvements thereunto belonging, from the first 
day of July, nineteen hundred ana four, to the thirtieth day of June, nineteen 
hundred and five. 

II. That the said rooms are to be used by the Subsistence Department of the 
United States Army as a place for the issuing and storage of fresh meat and such 
other stores as may be required to be kept in cold storage. 

III. That the said insular government of the Philippine Islands agrees to maintain 
in each of the said rooms actually in use such temperature, not lower than eighteen 



64 REPORT OF THE PHILIPPINE COMMISSION. ' 

(18) degrees, Fahrenheit, as the Subsistence Department may require, and to furnish 
the use of and to keep at all times in serviceable condition the carrying rails apper- 
taining to said rooms. 

IV. That in case the building belonging to the said insular government of the 
Philippine Islands, in which the cold storage space hereby leaskl is contained, should 
be d^royed by fire, earthquake, typhoon or other casualty, or so materially injured 
by any of the said causes that it becomes impracticable for the said insular govern- 
ment of the Philippine Islands to complete this contract, this contract shall thereupon 
cease and be determined without liability for damage on the part of either party: 
Provided, That in the event of an accident to the machinery or appliances, due to 
imperfection of said machinery or appliances, or the carelessness of the employees 
of the said Insular Cold Storage and Ice Plant, which renders it impossible to main- 
tain the temperature of the said rooms at a decree of cold low enough to preserve 
the meat ana other stores belonging to the Subsistence Department, the insular gov- 
ernment of the Philippine Islands snail provide cold storage elsewhere in the city of 
Manila for said meats and other stores, or pay the Subsistence Department the 
money value of such of the said meat and other stores as may be so damaged as to 
be unserviceable, the amount to be determined by a military board of survey. 

V. That the said insular government of the Philippine Islands shall have the right 
to cancel this agreement should the said Insular Cold Storage and Ice Plant be sold. 

VI J 

VII 

VIII 

IX. That the United States reserves the ri^ht to quit, relinquish, and give up the 
said premises within the period for which this lease is made or may be renewed, by 
giving to the said insular government of the Philippine Islands or its agent ninety 
(90) days' notice. 

X. That for and in consideration of the above covenants and agreements the United 
States shall pay to the said insular government of the Philippine Islands or its agent 
the sum of two thousand ^ve hundred ($2,500) dollars and no cents per calendar 
month Philippine currency. 

XI. That payment shall be made at the end of each calendar month, or as soon 
as practicable thereafter, at the office of the disbursing quartermaster at Manila, P. I. , 
in the funds furnished for the purpose by the United States. 

XII. That neither this lease nor any interest therein shall be transferred to any 
other party or parties; and in case of such transfer the United States may refuse to 
carry out this lease either with the transferor or the transferee, but all rights of action 
for any breach of this lease by said insular government of the Philippine Islands are 
reserved to the United States. 

XIII. That no Member of or Delegate to Congress, nor any person belonging to, or 
employed in, the military service of the United States, is, or shall be, admitted to 
an^ share or part of this lease, or to any benefit which may arise herefrom. But 
this stipulation so far as it relates to Members of or Delegates to Congress is not to be 
construetl to extend to this lease. 

That this lease shall be subject to approval of the commanding general, Division 
of the Philippines. Erasure of all of Articles VI, VII, and V^III made before signing. 
In witness whereof the undersigned have hereunto placed their hands the date 
first hereinbefore written. 

Jno. L. Clem, 
Colonel and Assistant Quartermaster' General U. S, Army, 
Witness: 

Robert Lee Strayer. 

Insular Government op the Philippine Islands, 
By Henry C. Ide, Secretary of Finance and Justice. 
Witness: 

Jackson A. Due. 

Headquarters Philippines Division, 

Manila^ Au^ist IS^ 1904* 
Approved, by command of Major-General Wade. 

W. J. Glasgow, 
Captain Thirteenth Cavalry ^ Aid de Campy 

Acting Assistant Adjulant-GeneroL 



REPORT OF INSULAR COLD STORAGE AND ICE PLANT. 65 

Exhibit B 

ABTICLEB OF AOBEEMENT FOB FITSNISHINO ICE TO THE SUBSISTENCE DEPABT- 
MENT, VHITED STATES ABMT, BT THE INSULAB OOYEBNHENT OF ^ THE 
FHILIPFINE ISLANDS. 

This agreement, entered into at Manila, PhUippine Islands, on the first day of 
May, 1904, between CJolonel Henry G. Sharpe, assistant commissary-general, United 
States Army, for and in behalf of the United States of America, party of the first 
part, and the insular government of the Philippine Islands, party oi the second part, 
witnesseth: 

I. That the said party of the second part agrees to furnish as much ice per day as 
may be required by the Subsistence Department, United States Army, Pnilippmes 
Division, not to exceed two-thirds (§) of the capacity of the Insular Cold Storage 
and Ice Plant owned and operated by the party of the second part, at Manila, which 
ice shall be pure and merchantable and maae from distilled water, and shall be 
delivered at the following places: Ist. On the loading platform of the plant; 2d. 
Launchers side at plant's dock; 3d. At wharf in front of the captain of the port's 
office; 4th. At ship's side, Manila Harbor; and the said party of the secona part 
shall deliver ice at the places above enumerated without additional cost and at such 
other places within the city limits of Manila as may be designated by the said party 
of the first part. 

II. That the said party of the first part hereby agrees that for each pound of ice 
so delivered and received by the party of the first part it will pay fifty cents United 
States currency per one hundred pounds to the party of the second part, payable 
monthly at the office of the depot commissary, Manila, Philippine Islands. 

III. That no Member of or Delegate to Congress, or any person belonging to or 
employed in the military service of the United States, is or shall be admitted to any 
share or part of this contract or to any benefit which may arise therefrom. 

IV. That this contract shall be subject to the approval of the commanding general 
of the Philippines Division, and shall be in force from the first day of July, 1904, to 
the tiiirtietn day of June, 1905, inclusive, or such less time as he may direct, or 
unless the insular government transfers by sale, or otherwise disposes of said plant, 
then this contract shall terminate on the oate such transfer is effected. 

In witness whereof the undersigned have hereunto placed their hands on the day 
first hereon before written, Henry C. Ide, secretary of finance and justice, having 
been authorized to execute this contract by virtue of a resolution of the United States 
Philippine Commission, adopted on the fourth day of April, 1904, reading as follows: 
**Be it resolved by the United States Philippine Commission that the secretary of 
finance and justice be hereby authorized to contract with the United States of Amer- 
ica for furnishing ice to the United States of America from the Insular Cold Storage 
and Ice Plant for the period of one year from the first day of July, 1904, to the 
thirtieth day of June, 1905, inclusive, upon such terms and conditions as shall seem 
to the said secretary of finance and justice expedient." 

Henry G. Sharpe, 

CoLj A, C. G.f U, S. Army f for and in 

behalf of the United States of America, 
Witness: 

W. H. Eldridge. 

Insular Government of the Philippine Islands, 
By Henry C. Ide, Secretary of Finance arid Justice. 
Witness: 

Jackson A. Due. 

Headquarters Philippine Division, 

Manila^ May S, 1904, 
Approve*!, by command of Major-General Wade. 

W. A. Simpson, 
Colonel and Assistant Adjutant-General^ 

Adjutant' General. 

WAR 1906 — VOL 13 5 



66 



BEPOBT OP THE PHILIPPINE COMMISSION. 



Exhibit C. 

Detail of business transacted by the Insular Cold Storage and Ice Plant during the fiscal 

year ending June SO^ 1905. 

SALES OF ICE. 



Month. 



1904. 

July 

August 

September 

October 

November 

December 

1905. 

January « . . 

February 

March 

April 

Biay 

June 

Total 



Army,nayy, 
and marines. 



no, 497. 68 
11.688.68 
10,268.20 
11,061.42 
11,166.22 
U, 810. 79 



11,MQ.61 
10,729.42 
11,817.85 
10,462.81 
18,406.74 
14,201.14 



188,661.91 



Officers 

and 

civilians. 



r*, 878. 56 
6,944.56 
6,786.64 
6,819.79 
6,777.88 
7.009.88 



7,004.67 
6,072.06 
6,961.26 
7,661.88 
8,602.08 
8,414.25 



85,891.98 



Govern- 
ment 
bureaus. 



r-1,608.80 
1,660.85 
1,686.50 
1.721.85 
1,670.20 
1,716.80 



1,692.00 
1,567.56 
1,818.16 
1,851.90 
1,884.70 
1,847.20 



20,649.60 



Cash sales. 



^•8, 788. 50 
4,258.69 
8,866.70 
5,698.45 
6,561.86 
4,885.48 



4,788.60 
4,169.30 
6,776.06 
10,551.60 
10,831.00 
7,558.05 



Coupons, 



r-4,688.40 
4,390.00 
3,930.35 
4,129.60 
8,817.10 
4.187.20 



3,400.40 
3,854.85 
4,166.60 
4,500.00 
4.919.00 
4.818.20 



72,498.17 50,146.10 



COLD STORAGE— WATER-MISCELLANEOUS. 



Month. 



1904. 

July 

August 

September 

October 

November 

December 

1906. 

January 

February 

March 

April 

Biay 

June 

Total 



Subsistence 

department. 

United States 

Army. 



^25,140.82 
23,488.88 
28,488.83 
28,438.88 
28,438.88 
28,438.38 



28,488.33 
23.488.38 
23,488.83 
28,488.38 
23,438.88 
28,438.33 



282.96L95 



Sundry 
persons. 



^222.78 
146.86 
956.58 
2,34L44 
8,289.68 
2,799.34 



4,740.23 
3.910.90 
3.66L08 
4,890.76 
6.675.23 
3,843.05 



^,925.88 



Water. 



^869. 72 
879.06 
966.84 
976.06 
926.40 
896.66 



1,176.84 
987.96 
1,324.76 
1,068.40 
1,265.77 
1,220.88 



Electric- 
ity. 



12,519.29 



^•451. 89 
627.96 
688.88 
564.79 
591.60 
560.99 



564.00 
468.65 
680.16 
475.46 
511. 18 
614.92 



6,289.96 



Other 
sources. 



r-19.89 
387.02 



6.00 
5.00 



3.00 
4.50 
24.80 
10.00 
19.00 
33.50 



511.71 



Total. 



r-63,646.48 
64,160.42 
52,870.97 
66.666.65 
67,085.71 
57,289.87 



58,327.58 
64,633.01 
60,503.64 
64,340.64 
71,542.98 
66.889.62 



706,356.37 



Statement of expenditures for the fiscal year ending June 30, 1906, 



1904. 



July. 



August. September. October. November. 



December. 



Salaries and wages 

Incidental expenses 

Office supplies 

Electrical supplies 

Coal 

Ammonia 

Forage 

Care and maintenance, build- 
ings 

Care and maintenance, land 
transportation 

Care and maintenance, water 
transportation 

Care and maintenance, ma- 
chinery 

Insular purchasing agent's 
commission 

Improvement of plant 



r-18,404.10 
199.00 
21.80 



n3,418.31 r-13,488.54 



22.00 
45.12 
58.00 



836.44 

12.88 

72.22 

43.66 

2,049.78 

822.77 



106.05 
147.81 



r-13,681.29 
46.46 
25.50 



Total 



16,962.66 



4,847.00 
663.11 

15.96 

370.45 

32.80 

I 

4,827.27 

1.026.96 



1,080.46 
1, 146. 11 



21,535.00 



n8,663.40 

57.97 

266.09 

8.64 



173.01 
381.56 
806.70 
878.28 



897.56 
23.00 
201.69 
400.80 
1,387.74 
2,398.77 



1,890.61 
189.12 
139.69 
609.16 

1,330.64 

398.40 
6,911.86 



r-13,650.59 

29.08 

LOO 



24,726.98 17,668.53 



39,997.71 



28,960.47 



6,700.09 
6,433.75 



41.76 

12,76 

61.00 

936.80 

1,317.92 



28,174.74 



EEPOBT OF INSOLAB COLD STOEAGE AND ICE PLANT. 



67 



Statement of expenditures for the fiscal year ending June 30 j 1905 — Continued. 



Salaries and wages 

Incidental expenses. . . 

Office supplies 

Electrical supplies 

Coal 

Ammonia 

Forage 

Care and maintenance, 

• buildings 

Care and maintenance, 

land transportation. . 
Care and maintenance, 

water transportation . 
Care and maintenance, 

machinery 

Insular purchasing 

agent's commission. . 
Improvement of plant. 



n8,682.28 
64.84 
183.48 



Total . 



1905. 



January. 



r-14,421.11 
41.67 
41.94 



1,697.06 

'i,'676.*86 

122.89 

481.16 

121.80 

1,229.88 
539.66 



February.' March. 



r-18,224.63n8,206.94 



20,726.06 
'*'*766.'i6 
183.70 
164.37 
908.16 
489.76 
2,282.53 



1,675 tons of coal consumed but unj 
Total expenditures, 



19,649.23, 39,870.34 
for. 



18.94 
14.01 



772.62 
50.87 
209.77 
285.11 
1,189.91 
286.61 



15,947.87 



April. 



8.00 
16.85 



n2,752.51 
62.87 
29.00 



4,208.68 

2,420.25 

823.16 

.82 
31.20 

.50 
927.08 
791.31 



21.928.28 



May. I June. 



n2, 722. 96 r-161, 155. 66 



2,261.72 

*i,'666."86 

296.86 

88.26 



876.64 
452.91 



808.87 
126.06 



5,900.00 



266.60 
180.28 
28.91 
282.75 
768.15 



17,761.631 21,141.63 



Total. 



949.65 

868.61 

66.64 

62,928.60 

18,281.45 

9,542.86 

1,152.86 

2,019.73 

2,806.44 

16,234.84 

10,853.16 
5,911.86 



287,768.36 
20,616.76 



808,885.11 



Collections during fiscal year ending June SO, 1906 ^ deposited with treasurer of the Philippine 

Islands, 



1 

Ice. 


Water. 


Cold storage. 


Miscellane- 
ous. 


Total. 


«8,060.61 


^753. 92 


rT24,888.28 


«e2.41 


^58,960.17 


27,637.67 


862. 12 


23,670.04 


891.96 


52,651.78 


28,069.63 


1,184.00 


24,264.88 


826.70 


64,345.21 


27,889.28 


1,212.48 


800.18 


869.84 


80,271.78 


28,462.80 


980.68 


25,246.92 


564.79 


55,204.69 


29,804.08 


962.40 


50,148.83 


601.60 


81,516.91 


28,948.92 


924.66 


26,196.10 


558.99 


66,622.67 


27,879.76 


1.154.84 


28, 176. 14 


570.50 


67,281.24 


29,434.63 


1,068.96 


24,857.98 


493.45 


66,849.97 


86,201.11 


1,451,16 


29,591.87 


531.66 


67,776.30 


85,308.99 


1,885.65 


27,882.66 


488.96 


64,966.25 


86,671.95 


1,386.62 


30,108.26 


587.68 


68,554.41 


863,768.98 


13,162.29 


315,775.63 


6,188.53 


698,890.28 



1904. 

July 

August 

September 

October 

November 

December 

1906. 

January 

February 

March 

April 

MAy 

June 

Total 



Ice statement, showing quantity manufactured and sold during fiscal year ending June SO, 

1906, 



Total of 
ice manu- 
factured. 



Pounds. 
2,529,300 
2,826,600 
2,556,300 



1904. 

July 

August 

September . . . 

October I 2,817,300 

November 2,768.400 

December I 2.682,900 



1905. 

January 

February ... 

March 

April 

}f^y 

June 



Total. 



2,858,600 
2,488,700 
2,790,000 
8,899,800 
8,606,600 
8,571,200 



Army, I Officers 
navy, and land civil 
arines. ians. 



84,882,200 



Ice sold. 



Pounds. 
1,049,763 
1,168,368 
1,026,820 
1,108,142 
1,116.822 
1,181,079 



1,156,961 
1,072,943 
1,181,736 
1,048,281 
1,840,674 
1,420,114 



18,866,192 



Pounds. 
620,530 
669,060 
644,265 
641,965 
637,400 
6n,275 



666,805 
584.255 
667.476 
099.925 
808,216 
772,625 



Govern- 
ment 
bureaus. 



Pounds. 
169,830 
166,035 
163,660 
172, 185 
157,020 
171,680 



109,200 
155,755 
181,350 
186,190 
188,470 
184,720 



Coupon 
custom- 
ers. 



Pounds. 
477,150 
457,430 
392,090 
408,615 
387,970 
377,115 



864,565 
326,275 
897,090 
448,765 
479,686 
465,886 



8,068,665 |2, 054, 985 14,981,926 



Cash 
sales at 
plant. 



Pounds, 
268,667 
292,194 
270,095 
855.155 
362,668 
814,208 



809,085 
271,180 
422,675 
681,345 
665,895 
469,806 



4,622,862 



Miscella- 
neous. 



Pounds. 
11,650 
16,950 
22,266 
24,796 
24,325 
23,055 



19,668 

12,900 

15,630 

28,865 

29,415 I 

42,406 



Total. 



Pounds. 

2,587,390 

2,754,997 

2,518,686 

2,710,848 

2,686,190 

2,788,407 



2,686,274 
2,423,806 
2,865,955 
3,042,871 
3,511.704 
8.844,907 



271,828 



83,870,937 



68 REPORT OF THE PHILIPPINE COMMISSION. 

Exhibit D. 

Staiement of the earnings and expenditures of the inmUar cold storage and ice plant by 

fiscal years. 

Fiscal year 1902: 

Revenues from cold storage P'SSS, 143. 64 

Revenues from sales of ice 243,341.06 

Total revenues .' 626,484.70 

Expenditures 388,384.42 

Earnings ^238,100.28 

Fiscal year 1903: 

Revenues from cold storage 365, 338. 08 

Revenues from sales of ice 289, 402. 66 

Revenues from other sources 9, 647. 60 

Total revenues 664,388.34 

Expenditures 396,677.66 

Earnings 267,710.68 

Fiscal year 1904: 

Revenues from cold storage 1 266, 391. 84 

Revenues from sales of ice 326,661.09 

Revenues from sales of water 7, 671. 32 

Revenues from other sources 2, 224. 66 

Total revenues 602,948.81 

Expenditures 387,200.20 

Earnings 215,748.61 

Fiscal year 1905: 

Revenues from cold storage 319, 887. 78 

Revenues from sales of ice 367, 147. 61 

Revenues from sales of water 12,519.29 

Revenues from other sources 6, 801. 69 

Total revenues 706,356.37 

Expenditures 308,385.11 

Earnings 397,971.26 

Total eammgs 1,119,530.83 



EXHIBIT No. 3. 



8XJPFLEMEHTAL REFOBT OF THE SUFEEnTTEHDEHT 
COLD STOBAGE AHS ICE FLAHT. 



OF THE 



Dbpabtmbnt op Finance and Justice, 
Bureau op Insular Cold Storage and Ice Plant, 

ManikLy P. /., September £lj 1905, 
Sir: I have the honor to submit herewith a supplemental report in the form of a 
number of tabulated statements showing the busmess transacted by the Insular Cold 
Storage and Ice Plant during the months of July and August, 1906. 

The gross revenues for the two months were ^120, 001.06, or P" 12, 296. 16 greater 
than for the corresponding period of last year. Practically all of this amount is 
accounted for by the increi^ed sales of ice, the sales at the plant alone representing 
a gain of ^9,001.91, or 112 per cent. The revenues from cold-storage space rented 
to the Subsistence Department of the United States Army showed a reduction by 
reason of the smaller space occupied by that department under the contract for the 
current fiscal year, but this loss was nearly made up by the rentals from space leased 
to sundry persons. The sales of distilled water show the very encouragmg growth 
of 68 per cent, or ^l, 196.08. 

Very respectfully, J. F. Edmiston, 

Superintendent, 
The Secretary op Finance and Justice, 

Manila, P. L 

Tarlb I. — Statement of revenues. 



July. 



From sale* of ice to— 

Army, Navy, and Marines 

Officers and civilians - , 

Qovemmen t bureaus rr.. 

Cash customers at plant 

Coupon customers 

From cold-storage space rented: 

Subsistence Department, United States Army, 
Sundry persons 

From miscellaneous sources: 

Sales of electric current 

Incidentals , 

From sales of distilled water , 

Total 



ni,619.87 
7,U7.54 
1,846.15 
7,646.70 
4,436.20 



19,507.48 
8,840.84 



506.49 
3L70 



1,192.78 



67,742.25 



August. 



n2,794.89 
7,066.28 
1,866.60 
9,393.40 
4,623.80 



19,507.48 
4,553.81 



Total. 



542.46 I 
262.00 



1,761.10 



^•68,305.93 



47,409.61 



1,341.64 
2,943.88 



62,258.81 120,001.06 



Table 11. — Statement of expenditures. 








July. 


August. 


Total. 


Salaries and wages 


ri2,722.e2 


n2,603.47 


7^,826.09 






Incidental expenses 


101.00 


187.57 
10.36 
8.60 




Office suDolies 




Electrical current 






Anhvdrons ammonia 


5,509.85 
6,291.13 






6,490.00 
1,356.66 
850.86 
160.35 
484.59 
10.00 
964.11 




Tonge 




Carelind maintenance, machinery . , , .... , 


2, 184. 15 




Care and maintenance! land transportation 




Care and maintenance, water transportation 






Care and maintenance, buildings and grounds 


91.02 
1,416.07 










26,099.70 




28,816.84 


28,U0.46 


Ttotal 


51,426.79 







69 



70 REPORT OF THE PHILIPPINE COMMISSION. 

Table III. — Excess of revenues over expenditures. 



Qrosa revenues . 
Expenditures. . . 



July. 



r57,742.25 
28,315.84 



Augtist. 



r62,288,81 
28,110.46 



Net revenues . 



29,426.91 I 39,148.86 



Total. 



ri20,001.06 
61,425.79 



68,575.27 



Table IV. — Net cash receipts^ deposited with the insular treasurer. 



July. 



Au^Rt. 



Total. 



From sales of ice 


1»^,076.72 


^32,622.67 

23,381.58 

1,337.78 

763.19 


^67, 699. 29 


From cold storage 


27,309.98 


50,691.51 
2,311.16 


From sales of distilled water 


978. 88 


From miscellaneous sources 


t 640.92 


1,304.11 


Total 


63,900.96 j 


58.105.12 


122,006.07 



Table V. — Quantity^ expressed in pounds, of 


ice 7nanufaa 
July. 


lured and sold. 




August. 


Total. 


Ice manufactured 


8,016,800 


3,406,800 


6, 423, 600 






Ice sold to— 

Army, Navy, and Marines 


1,161,937 
684,100 
184,616 
441,996 
458,165 


1,279,439 
676,340 
186,660 
447,875 
648,380 


2,441,376 


OflScers andf civilians 


1,369,440 


Government bureaus 


371, 175 


Coupon customers 


889,870 


Cash customers at plant 


1,001,646 






Total 


2,980,812 


8,182,504 


6,063,406 







EXfflBIT No. 4. 

SECOND AVHUAL BEPOBT OF THE CHIEF OF THE DIYISIOH OF 

THE CirBBEVCT. 

Trbasuby Bureau, Division of the Gubrbncy, 

ManUa, P, /., September i, 1906. 
Sir: In accordance with the requirements of section 11 of act No. 938^ United States 
Philippine Commission, which provides that "the chief of the division of the cur- 
rency shall be required to make to the insular treasurer an annual report covering 
the a^urs and business of the division in detail," I have the honor to submit the 
following report for the period from July 1, 1904, to September 1, 1906: 

CXETIFICATBS OF INDEBTEDNESS. 

During the period covered by this report, the third and fourth series of certificates 
of indebtedness, each amounting to 13,000,000, have been retired, and a fifth series, 
amounting to $1,500,000, has been issued in their place. The indebtedness incurrea 
bv the Philippine government for the purpose of providing funds for the introduction 
of the new currency and the maintenance of the parity has thus been reduced during 
the calendar year 1905 from $6,000,000 to $1,500,000. 

The terms and results of the five series of certificates of indebtedness bo far issued 
may be briefly sommarized as follows: 

Philippine eerHfiocUes of indebtedness. 



Number. 


Date of series. 


Denomi- 
nation. 


Amount 
issued. 


Rate of 
interest. 


Maturity. 


Rate of 

pre- 
mium. 


. Net 
interest 
paid. 


I 


May 1.1908 
Sept. 1,190S 
May 1,1904 
Sept. 1,1904 
Sept. 1,1905 


•1,000 
1,000 
1,000 
1,000 
1.000 


18,000,000 
8,000,000 
8.000,000 
8,000,000 
1,600,000 


PercenL 


May 1,1904 
Sept. 1,1904 
May 1,1905 
Sept. 1,1905 
Sept. 1,1906 


PercenL 
2.518 
2.24 
1.181 
1.41 
1.64 


Percent. 
1.487 


n 


1.76 


m 


2.819 


IV 


2.59 


V 


2.86 







In speaking of the proceeds of the certificates of indebtedness it should be noted 
that the principal part of the gold-standard fund— a fund constituted largely from 
the proceeds of the certificates of indebtedness — has been on deposit throughout the 
year in New York Cit^ and has earned interest at the rate of 2^ per cent on avera^ 
daily balances. The interest being earned, together with the premiums realized, is 
at present more than sufficient to cover the government's interest obligations on the 
certificates. 



COINAGE OF PHILIPPINE CUBRBNCT FROM BULLION PUBCHASED. 

As stated in the last annual report of this office, 9Jiy statement of the expenses 
connected with the coinage of the new currency requires that the money coined 
should be separated into two distinct parts — (1) that coined from bullion purchased, 
and (2) the recoinage, or that coined from local currency collected in the islands 
and shipped to the San Francisco mint for recoinage. 

The reports frofn the United States with reference to the expenses connected 
with the coinage of Philippine currency from bullion purchased nave not, at this 
diate, all been received, although the data at hand are sufficiently complete to permit 
an approximation close enough for practical purposes. 

From July 1, 1904, to July 1, 1905, there was purchased 549,374.99 ounces of fine 
silver, costing, at the average price of $0.5(5227 i>er ounce, the sum of $308,898.34. 
As yet no returns have been received from the coinage of this bullion. 

More complete returns from the coinage of the silver bullion previously purchased 
show that the 13,520,895.83 ounces purchased yieldeda total of n7,339,267. 70 in Phil- 

71 



72 



BEPORT OF THE PHILIPPINE COMMISSION. 



ippine silyer coins. The mint chai^ges for the coinage of this sum were P'417,416.12, 
and the expenses connected with its transportation to the islands, including packing, 
freight, and insurance, were approximately ^49, 134.32. This rives a gross seignior- 
a^ (face value less cost ol bullion) of approximately P2,593,286.40, a net 
seigniorage (face value less cost of bullion and mintage expenses) of approximately 
1^2,191,373.11,0 and a net seigniorage, less transportation expenses, of approxi- 
mately r2, 142,238. 79. If to this amount there be added P'71,825.89, representing 
the net seigniorage on the later purchases of silver bulHon estimated on the basis of 
former reports, we have a total net seigniorage, less transportation expenses, on sil- 
ver coins minted from bullion purchas^, of r2, 214,064. 68. 

Four hundred and ninety-nine thousand nine hundred and sixty-two pesos and 
ninety centavos (P'499,962.90) in nickel coins had been coined up to July 1, 1905, 
the cost of the bullion consumed in the making of which was ^119,293. 10, the mint- 
age charges were F5,399.60, the expenses connected with transportation F3,874.81, 
giving a ^^ross seigniorage of P380,669.80, a net seigniorage of ^376,082.91, ^ and a 
net seignioraee, less transportation expenses, of ^372,208.10. 

There had been coined up to July 1, 1905, the sum of ^467,183.87 in copper coins 
(inclusive of F19,200 received July 10, 1905). The cost of bullion consumed was 
approximately ^300,279.08, the mintage charges were P" 15, 009. 95, the transportation 
expenses were approximately ^17,949.64^ giving a gross seigniorage of approximately 
1^166,904.79, a net seigniorage of approximately P'152,019.45, ^ and a net seigniorage, 
less transportation expenses, of P" 134,069. 81. 

These nguree show a gross seigniorage on all money coined from bullion purchased 
uj) to July 1, 1905, of F3,227,391.22,<' a net seigniorage of ^"2, 791,919. 16, * and a net 
seigniorage, less transportation expenses, of P2, 720, 342. 59./ 

RBCOINAGB OP LOCAL CUBBENCY. 

Up to July 1 of the present year there had been shipped to the San Francisco mint 
for the purpose of recoinage into Philippine currency the sum of Pfs. 15,713,000 local 
currency. 

The reports so far received concerning the weight and fineness of Pfs. 14,648,000 
of the above amount show the following results: 

Spanish- Filipino currency shipped for recoinage. 



Character of money. 



Average 
discrep- 
ancy from 
legal flne- 

sllver 
content. 



Peeopieceso ! Pf8.3, 827, 269. 00 

50-cent pieces 9,677,000.00 

20-cent pieces 1,088,800.60 

10-cent pieces 201,618.60 

Miscellaneous 8,811.80 



Percent. 
0.2445 
.4189 
1.6999 
8.2058 
1.1828 



Standard 

ounces 

produced. 



Ounces. 

8,068,267.66 

7,883,862.13 

786,638.88 

151,242.23 

10,692.81 



Philippine- 
currency 

equivalent at 
416 grains, 

0.900 fine, to 
the peso. 



r3, 540, 681. 18 

8,6-20,496.19 

907,730.07 

174,628.69 

12,223.68 



Total. 



14,648,000.00 ' I 11,400,603.70 ' 13,165,654.66 



a A few old Spanish pesos were included among the Spanish- Filipino pesos (Alfonsinos) shipped, 
and, being heavier than the Alfonsinos. would make the discrepancy in the weight and nneness of 
the latter appear slightly less in the table than it actually was. 

The amount shipped to the mint, but as yet unreported upon, and that on hand 
June 30, together amounting to Pfs. 1,124,973.75, would yield upon the basis of the 
above returns 869,096.21 ounces of standard silver, or an amount sufficient to coin 
Fl,002,881.73, making a total realizable from the Pfs. 15,713,000, local currencv, 



a Inclusive of P'15,502.83 additional profit on proof coins. 

fr Inclusive of P'812.71 additional profit on proof coins. 

^J Inclusive of ^124.61 additional profit on proof coins. 

<* Inclusive of P'86,530.23 estimated gross seigniorage on later purchases of silver 
bullion. 

* Inclusive of ^"72, 443.69 estimated net seigniorage on later purchases of silver 
bullion. 

/Inclusive of ^71, 825.89 estimated net seigniorage, less transportation expenses, 
on later purchases of silver bullion. 



BEPOBT OF THE DIVISION OF CURBENOT. 



73 



shipped, and that on hand June 30, 1906, of approximately 12,269,699.91 ounces of 
standard silver, which would yield approximately ^14,158,446.70. 

The cost of the local currency shipped to the mint for recoinage and of that on hand 
June 30, 1905, has been approximately F13,792,707.49, and the expenses connected 
with the recoinage and the shipment of the money to and from tne San Francisco 
mint, according to the latest reports, have been approximately ^437,968.90, making 
the total expenses approximately P'14,230,676.39. If to the estimated proceeds of 
the recoinage, ^14, 158,446. 70, there be added the estimated profits on Mexican and 
Chinese currency sold to the banks for the purpose of exportation — that is, ^16,420 — 
the total proceeds would be F14, 174,866.70, representing a loss of P'174,258 on the 
redemption of Spanish-Filipino silver coins up to July 1, 1905. 

In the process of redeemmg the local currency there has been purchased at various 
rates the sum of Pfe. 82,963.61 Spanish-Filipino and foreign copper coins, costing 
approximately F73,257, and 15, 448 J pounds of Igorot copper coins, at the rate of 40 
centavos per pound, costing ^6, 179. 30, giving a total of 1^79,436.30 expended in 
purchases of copper coins. 

None of this copper coin has as yet been disposed of. On the basis of its sale as 
copper bullion at a net price of, say, 25 centavos per pound, it would yield about 
^33,492. The total cost of the coins was approximately P'79, 436.30. Inhere would 
therefore, on that basis, be a net loss on the redemption of copper coins of ^45,944.30. 
Adding this amount to the ^174,258, representing the net loss to July 1, 1905, in the 
purchase of local silver coins, we arrive at an estimated net loss on the purchase of 
local currency to July 1, 1905, of ^220,202.30. 

The Government's net profit on the coinage of Philippine currency from bullion 
purchased was estimated at ^2, 720,342.59. If we deduct from this sum the esti- 
mated net loss on the recoinage we arrive at a net seigniorage profit of ^2,500, 140.29 
on the entire process of coinage and recoinage up to July 1, 1905. 



PHILIPPINE CURRENCY RECEIVED. 



The new Philippine coins b^an to arrive in Manila from the Philadelphia and San 
Francisco mints in June, 1903, and were first placed in circulation the latter part of 
July of the same year. The total amounts of the various denominations of Philip- 
pine coins received to July 1, 1905, and the amounts in circulation upon that date 
are given in the following table: 



Character of money. 


Received. 


In Treasury 
vaults. 


In circulation. 


Number of 
coins in circu- 
lation. 


Certlflcatesa 


WO, 000, 000. 00 

25,227,000.00 

3,054,000.00 

1,594,000.00 

1,138,500.00 

499,250.00 

359,100.00 

88,670.00 


6^9,955,770.00 

c 12, 757, 018. 00 

352,000.50 

210,420.20 

201,031.10 

227,107.95 

69,675.11 

31,830.14 


no, 044, 230. 00 

12,469,982.00 

2,701,999.50 

1,383,579.80 

932,468.90 

272,142.05 

299,424.89 

56,839.86 




Pesos 


12,469,982.00 


60-cent pieces 


5,403,999.00 
6,917,889.00 
9,324,689.00 


20-cent pieces 


lO-cent pieces 


&^ent pieces 


5,442,841.00 


l-cent pieces 


29,942,489.00 
11,367,972.00 


|-oent pieces 




Total 


51,965,520.00 


28,794,858.00 


28,160,667.00 


80,869,871.00 





a An itemized statement with reference to silver certificates is given in the next table. 

b Including T^,550.000 in reserve vault, r'367,720 in the treasury's general cash, and r'48,050 mutila- 
ted certificates withdrawn from circulation. 

c Inclusive of ^10,450,000 deposited in reserve vault against an equivalent amount of silver certifi- 
cates in circulation and in treasury's general cash (inclusive of mutilated certificates). 

During the Spanish regime a frequent source of complaint on the part of the public 
was the inadaptability of the denominations of the country's currency to trade 
demands, and this was especially true in the case of minor coins, the frequent scarcity 
of which was often a cause of much inconvenience. The Philippine gold-standard 
act, in order to guard against the rise of any such diflBculty in the case of the new 
currency, went so far as to provide for the interchangeability of all classes of Philip- 
pine coins on demand at the insular treasury and at each of tne thirty-nine provincial 
treasuries in the islands. The present circulation, as to denominations, therefore, 
probably represents a fairly close adaptation to trade demands. The great number 
of small coins in circulation is striking evidence of the petty character of a large part 
of the islands' domestic trade. 



74 



BEPOBT OF THE PHILIPPINE COMMISSION. 



SILVBR CERTIFICATES. 



The amounts of sOver certificates, in circulation and in the reserve vaults of the 
treasurer at the end of each quarter since October 6, 1903 (the date they were first 
placed in circulation), and on August 31, 1905, have been as follows: 





T2 certlflcatea in— 


r5 certificates In— 


P-IO certificates in— | Total In— 


Date. 


Circula- 
tion. 


Vaults. 


Circula- 
tion. 


Vaults. 


Circula- 
tion. 


VaulU. , «rc»'»- 


Vaults. 


1903^. 

December 

March 


^212, 000 
490,000 
880,000 

980,000 
1,020,000 
1,390.000 
1,500,000 

1,500,000 


^788, 000 
1,510,000 
1,890,000 

1,360,000 

1,810,000 

940,000 

1,500,000 

1,500,000 


^286,000 

670,000 

1,060,000 

1,180,000 
1,400,000 
1,700,000 
1,760,000 

1,800,000 


n, 716, 000 
8,380,000 
8,660,000 

3,470,000 
3,260,000 
2,950,000 
4,250,000 

4,200,000 


r960,400 
2,860,600 
4,100,000 

5,070,000 
6,000,000 
7,060,000 
7,200,000 

7,200,000 


r3, 039 600 
1,189,400 
1,100,000 

2,980,000 
2,060,000 
8 940 000 


PI, 457, 400 
4,020,600 
6,000,000 

7,230,000 
8,420,000 
in iftn nnn 


r5, 642, 600 
5,979,400 
6,040,000 

7,800,000 
6,610,000 
7,830,000 
9,550,000 

9,500,000 


June 


1904-6. 

September 

December 

March 


June 


3,800,000 in 4i)n onn 


1905-«. 
August 31 


3,800,000 


10,500,000 



Since the last annual report of this office Congress has authorized an increase in 
the maximum denomination of Philippine silver certificates from P^IO to P'SOO. The 
issuance of the larger-denomination certificates has been temporarily held in abey- 
ance awaiting the outcome of certain proposed legislation now pending in Congress 
with reference to the silver-certificate reserve. 



GOLD-STANDARD FUND. 



The operations of the gold-standard fund during the fiscal year ending June 30, 
1905, may be briefly summarized as follows: 

Operations of gold-standard fund. 





Fund in Manila. 


Fund in 

New York, 

United States 

currency. 


Item. 


United States 
currency. 


Philippine 
currency. 


DRBIT. 

Balance June 80, 1904 


S799,527.09 


r3, 460, 782. 48 
12,126,000.00 
11,514,427.95 


12,106,877.27 


New coin received 


Currency exchanges 


11,285,849.541 


500,000.00 
6,504,383.09 


Transfers with Army and Navy, etc 


Certificates of indebtedness, fourth series 




3,042,300.00 


New York exchange 


3,000.00 
37.60 


4,467,993.50 
43,702.50 
641,215.73 
126,635.44 




Premiums on New York exchange 




Bale of local currency ." 




Interest on gold-standard fund in New York 




64,805.09 


Proof sets sold 




8,673.00 


Refund on coinage accounts 


40,000.00 




60,000.00 


Refund on nickel blanks 




13,091.45 


Redemption of silver certificates In New York 


960.50 






Miscellaneous 


748.17 


6,376.00 








Total 


12,129,374.634 


32,270,406.77 


11,306,505.90 






CREDIT. 

Currency exchanges 


5,757,213.97* 
5,602,549.73 


23,571,699.09 

3,666.72 

7,647,762.38 

6,179.30 




Transfers with Army and Navy, etc 




Local currency puicnased 




Igorot copper purchased 






New Yorx excnange 




2,236,996.75 


Certificates of indebtedness 






6,000,000.00 


Interest on certificates of indebtedness 






240,000.00 


Bullion account 






525,000.00 


Redemption of silver certificates in New York 






960.50 


M^scellaneons . . . ^ , ^ . ^ . ..... 


171. 11 


18,370.86 








Total 

Balance June 80, 1905 


11,269,934.814 
869,439.82 


31,247.678.36 
1,022,727.42 


9,002,967.25 
2,308,648.65 








12,129,374.684 


82,270,405.77 


11,306,606.90 



BEPORT OF THE DIVISION OP CURBENCY. 



75 



The status of the gold-standard fund at the end of each month durine the fiscal 
year 1904-5 and for the two months following, as shown by the records of the division 
of the currency, has been as follows: 

Status of the gold-standard fund. 



Date. 



July. 



1904-5. 



Fund in Manila. 



United States Philippine 
currency. currency. 



$1. 

August 

September 1, 

October 2, 

November 2, 

December , 2, 

January i 1, 

February ! 

March , 

April. 
May.. 
June . 



July.... 
August. 



1906-6. 



019, 
917, 
899, 
379, 
408, 
822, 
101, 
516, 
497, 
204, 
014 



244.53 
203.09 
783.43 
676. 18 
648.25 
366.09 
128.60 
646.23 
442.14 
378.61 
082.26 
439.82 



906,095.66 
532,917.45 



r698, 
2,316, 

606, 
1,962, 
1,968, 

973, 
2,084, 
1,619, 
1,001, 

841, 

832. 
1,022, 



443.74 
194.51 
492.87 
672.59 
894.96 
093.31 
714.75 
417.78 
631.43 
751.89 
099.95 
727.42 



766,630.46 
108.984.39 



Fund in 

New York, 

United States 

currency. 



1: J. 1108,562.85 
[,782,183.08 
J. 187,770.24 
J 1160,689.86 
J J 61, 648. 70 
J '»78,045.08 
:: ^«5,616.08 
1,407,407.42 
,H03,045.76 
:■ ;a9,248.62 
ij«8,762.08 
.1 :i08,&18.66 



2,491,928.06 
a 101, 991. 85 



Total fund 
(fl=-r2), 

Philippine 
currency. 



P6,754, 
7,714, 
8.781, 
10,843, 
10,879, 
11,573, 
11,608, 
12, 197. 
12,402, 
5,889, 
6,997 
7,368, 



068.50 
966.78 
600.21 
101.67 
888.86 
915.66 
204.11 
525.08 
607.21 
006.15 
768.58 
701.86 



7,666,667.68 
1,373,762.99 



aThe heavy decline in the gold-standard-fund balance in New York for August 31 is largelv 
nominal. The proceeds of the fifth series of certificates of indebtedness were received in New York 
September 1, while the fourth series was paid off August 81. 



The amount of the gold-standard fund under normal conditions should be fairly 
constant. The large variations in the total amount of the fund during the past two 
years has been the result of temporar^^ conditions incidental to the withdrawal of the 
old currency from circulation and the introduction of the new. Now that the greater 
part of the certificates of indebtedness has been retired and that the recoinase of the 
old currency has been nearly completed, it may be expected that the fund will in 
the future remain fairly constant, payments in New York being made only in 
response to approximately equivalent receipts in Manila, and vice versa. 

The wide variations the table shows in the proportions of the fund held in Manila 
and New York, respectively, have little sijmificance, being largely the result of trans- 
fers with the Army and Navy. The Philippine government is fortunate in being 
able to keep the fund divided between New York and Manila in about such propor- 
tions as meet its convenience, by means of transfers with the military ana naval 
authorities. 

OOLD-STANDABD-PUND DRAFTS. 

Prom October 10, 1903, the date of the enactment of the Philippine gold standard 
act, to August 31, 1905, the record of drafts sold on the gold-standard fund is as 
follows: 

Drafts on the gold-standard fund. 

[Exchange sold in Manila on the gold-standard fund in New York.] 



Date. 


Sold to banking institu- 
tions. 


Sold to commercial firms 
and individuals. 


Total sold. 


Premiums 


Telegraphic 
transfers. 


Demand 
drafts. 


Telegraphic 
transfers. 


Demand 
drafts. 


realized. 


1908-4. 
October 


$100,000.00 

50,000.00 

800,000.00 

60,000.00 


$100,000.00 
100,000.00 
60,000.00 




$1,500.00 


$601,600.00 

160,000.00 

396,588.66 

60,000.00 


T^, 272. 60 
2,626.00 


November 






$27,000.00 
10,000.00 


18,588.66 


8,385.87 


January 


1,360.00 


Pebmary 








March .'. 


976,666.66 

500,000.00 
260,000.00 




10,000.00 
10,000.00 
46,000.00 
60,867.48 


20,110.79 
10,481.62 
23.627.26 
51,829.82 


1,000,110.79 
540,431.52 
368,627.26 
322,696.80 


22,351.66 


April 


20,000.00 
60,000.00 
220,000.00 


11,981.48 


Ky.:::. 


7,741.92 


Jnne 


5,221.97 








.Itotal 


2,220,000.00 


840,000.00 


162,867.48 


126,067.66 


3,838,966.03 


67,880.40 



76 



REPORT OF THE PHILIPPINE COMMISSION. 
Drafts on the goldslcuidard fund — C!ontiiiued. 



Date. 


Sold to banking institu- 
tions. 


Sold to commercial firms 
and individuals. 


Total sold. 




Telegraphic 
transfers. 


Demand 
drafts. 


Telegraphic 
transfers. 


Demand 
drafts. 


realized. 


1904-5. 
July 




$60,000.00 
186,000.00 
140,000.00 
40,000.00 


$3,000.00 


$18,419.87 


$81,419.87 

186,000.00 

166,713.29 

98,076.38 

2,233.25 

183.62 


n, 243. 79 


August 




2,775.00 


Septeniber 






26.713.29 

68.076.38 

2,233.25 

183.62 


2,600.70 


October 




40,000.00 


1,771.14 


November 




33.60 


December .... 








2.76 


Janu&ry 










February 








6,000.00 
8.809.85 
6,417.47 
58,678.14 
29,064.68 


6,000.00 

8,309.85 

276,417.47 

648,578.14 

765,064.88 


75.00 


March 








124.66 


April 


$260,000.00 
660,000.00 
600,000.00 




20,000.00 


6,171.28 


May 


40,000.00 
236,000.00 


13,853.69 


June 




15,225.96 








Total 


1,300,000.00 


701,000.00 


63,000.00 


212,996.55 


2,236,996.75 


43,777.50 






1905-6. 
July 


800,000.00 
400,000.00 


60,000.00 
200,000.00 




76,765.79 
60,116.70 


436,765.79 
860,116.70 


8,801.48 


August 


200,000.00 


17,401.76 







The Philippine currency received by the gold-standard fund in payment of the 
above-mentioned drafts was withdrawn from circulation as provided in section 7 of 
the Philippine gold-standard act. 

On November 2, 1904, the secretary of finance and justice issued an order reducing 
the premium rates charged in New York for gold-standard drafts on Manila from ll 
per cent on telegraphic transfers to three-fourths of 1 per cent, and from three-fourths 
of 1 per cent on demand drafts to three-eighths of 1 per cent. The order was issued 
under the authority given in section 7 of the Philippine gold-standard act, which 
declares that the premiums charged for exchange on the gold-standard fund ** may 
be temporarilv increased or decr^ised by order issued by the secretary of finance and 
justice should the conditions at any time existing, in his judgment, require such 
action.** The object of the reduction in the rates was to prevent the settlement of 
favorable trade balances by the importation of United States pai)er currency in lieu 
of remittance by gold-standard-fund drafts, it having been possible theretofore to 
transfer funds from the United States to Manila more cheaply by the shipment of 
United States paper currency of lai^ denominations than by the purchase of gold- 
standard-fund drafts. 

No drafts have yet been sold in New York on the gold-standard fund in Manila, 
although during the latter part of the calendar year 1904, when the banks were making 
heavy purchases of local currency for exportation, there was a rapid rise in Manila 
of exchange rates on New York and Lonaon, and exchange stood for a short time at 
very nearly the point at which purchases of drafts in New York on the gold-standard 
fund in Manila would have been profitable. 

The reason why local exchange rates on gold-standard countries have been for most 
of the time since the American occupation so uniformly low, or ** unfavorable" to 
the islands, is probably to be found in the heavy disbursements continually being 
made by the military and naval authorities of funds derived from sources outside <S 
the islands themselves. These disbursements, whether the funds are obtained by 
direct importation of United States currency from the United States, as was formerly 
the custom, or through transfers from the gold-standard fund in Manila in exchange 
for money placed to the credit of that fund in New York, represent a continual influx- 
of currency into the islands* circulation, which takes place regardless of trade require- 
ments, which tends to keep exchange low, and for which the only outlet is to be 
found in the purchase of gold-standard-fund drafts, unless it is absorbed by an ever- 
increasing trade demand. 



BEPOBT OF THE DIVISION OF CUBBENCY. 



77 



PHILIPPINE CURRENCY AND UNITED STATES CURRENCY EXCHANGES. 

The following exchanges of Philippine carrency and United States currency have 
been made by the insular treasurer, pursuant to section 7 of the Philippine gold stand- 
ard act, since October 10, 1903, the date of the passage of that act: 

Currency exchanges. 





rter ending— 


Sold. 


Bought. 


Qua 


United States 
currency. 


Philippine 
currency. 


United States 
currency. 


Philippine 
currency. 


December SI . 


1903-4. 


$484,281.38 
811,606.70 
749.283.46 


n, 242, 076. 36 
2.761,691.66 
3,304,756.66 


$621,038.18 
1,880,795.83 
1,652,377.78 


T96S, 462. 76 


March 31 


1, 623, 013. 40 


Jtiiie30 


1,498,566.92 




• 




Total... 


2,045,021.54 


7,808,428.68 


3,664,211.79 


4,090,043.08 




1904^. 




September 30. 


847,482.07 
1,488.262.89 
2,349,416.101 
1.122,062.91 


4,815.476.82 
5,721,988.32 
5,802,107.77 
7,232,131.18 


2,407,738.41 
2,860,991.66 
2,901,068.88* 
8,616,066.69 


1.694,964.14 
2.876,506.78 
4,698,882.21 
2,244,126.82 


December 31 


March 31 


June 30 - - 






Total... 


6,757,213.974 


23,571,699.09 


11,786,849.544 


11.514,427.95 




1905-6. 


July- August.. 


618,096.41 


4,762,735.08 


2,376,367.54 


1,226,190.82 





a In addition to the above sales of United States currency there was sold during the year, at a pre- 
mium of 1.6 per cent, 17.896 United States gold coin, under the provisions of paragraph 3. section 7, 
act 938. 

The greater part of the above transactions represent exchanges for the Army, Navy, 
and dinerent departments of the Philippine civil government. 

The Philippine treasury is a United States Grovernment depositary. All funds to 
the credit of the Army and a large part of those to the credit of the Navy are held in 
United States currency, and accounts are kept in that currency. Disbursements, 
however, are largely made in Philippine currency by stamping checks drawn in 
United States currency with the woras "payable in Philippine currency." Every 
such check appears as an exchange of Philippine currency for United States currency, 
although, it will be seen, the exchanges are in reality merely nominal ones. Accounts 
of different departments of the civil government, on the other hand, are all kept in 
Philippine currency, and United States currency received is exchanged with the gold- 
Btandard fund for Philippine currency when covered into the treasury. 

WITHDRAWAL OP LOCAL CURRENCY FROM CIRCULATION. 

A detailed statement of the difficulties experienced by the Philippine $^)vemment 
in withdrawing the old currency from circulation, and of the means adopted to effect 
the retirement of that currency, was given in the first annual report of the chief of 
the division of the currency. 

The taxation provisions of the local currency taxation act, the principal features of 
which were described in the above-mentionea report, began to become operative on 
October 1, 1904, and came into full effect on January 1, 1905. In November, 1904, 
an announcement was published ur^g the public to exchange their local currency 
for Philippine currency, and explaining the provisions of the local currency taxation 
act. This announcement, which was supplementary to one previously published, 
was translated into the various languages and dialects, and about 120,000 copies were 
posted throughout the islands. 

On June 30, 1904, pursuant to the provisions of an executive order issued January 1 
of that year, the government discontinued the redemption of loc^ currency as 
money and on September 30 discontinued receiving it in payment of government 
dues. On Septemoer 29 the governor-general issued an oraer directing the insular 
tieaflurer and every provinci^ treasurer in the Philippine Islands to purchase Span- 



78 REPORT OF THE PHILIPPINE COMMISSION. 

ish-Filipino coins until January 1^ 1905, at their bullion value, to be determined from 
time to time by the eovemor-general. The order further declared that for the pur- 
pose of facilitating *'the substitution of Philippine currency for all forms of currency 
now circulating in the Philippine Islands, the provisions of this order for the redemp- 
tion of Spanish-Filipino currency are hereby extended to Mexican currency, Chinese 
subsidiary silver coins, and all foreign copper coins now circulating in the Philippine 
Islands, all of which shall be redeemed at the same rates and upon the same condi- 
tions as those above provided for Spanish-Filipino money." The provisions of this 
order have been extended from time to time since January 1, 1905, and are still in 
force. Spanish-Filipino coins, although containing from 8 to 12 per cent less silver 
to the peso than the Mexican dollar, had. prior to the time of the above order, regu- 
larly circulated at par with that coin. Shortly after the issuance of the order, how- 
ever, as had been expected, the market vidues of the two kinds of coins separated, 
that of Mexican currency being thenceforth determined by its value for exportation 
and that of Spanish-Filipino currency by the government's official rate for ita pur- 
chase as bullion. 

Section 9 of the local currency taxation act declared that — 

No check, draft, note, bond, bill of exchange, or any contract whatsoever, 
payable in local currency, shall be exempted from the payment of the stamp tax 
provided for in sections six and seven of this act, unless the contract for which 
exemption is claimed shall be roistered with the collector of internal revenue 
or his deputy before October first, nineteen hundred and four, and a certificate 
be attached thereto by the collector of internal revenue or his deputy certifying the 
exemption; and no deposit of local currency shall be exempted from the payment of 
the tax on bank deposits * * * unless the exemption is obtained as nerein pro- 
vided * * * prior to January first, nineteen hundred and five. 

Pursuant to the above requirement, contracts payable in local currency amounting 
to Pfs. 7,365,653.85 (exclusive of government bank deposits) were reported by the 
collector of internal revenue as tiaving been registered m his office prior to October 
1, 1904, and exempted from the payment of the local -currency tax. Of this amount 
about Pfs. 3,500,000 represented msurance policies, Pfs. 1,840,000 bank deposits and 
overdrafts, Pfs. 900,000 book accounts, and Pfs. 700,000 bonds and other similar obli- 
gations. The total number of certificates of exemption issued was 684. 

The law imposing prohibitive taxes on local-currency transactions, although pasjsed 
in the face of an almost unanimous opposition on the part of the business community, 
proved eminently successful. The dates upon which the various taxes imposed were 
to become effective were so far distant that the law had little immediate effect. The 
trade of the islands continued, as before, to be transacted for the most part in local 
currency. Philippine currency was a drug on the market, and continued for some 
time to pile up in the banks and to be brought to the insular treasury in large quan- 
tities for the purchase of gold-standard-fund drafts. From January 28, 1904, the date 
of the passage of the local currency taxation act, until the latter part of June of the 
same year the value of the Mexican dollar in Manila, as measured by sterling 
exchange rates, was for over four-fifths of the time above the value of its fine-silver 
content in London and above the value of Hongkong currency in Hongkong, the 
difference at times amounting to as high as 7, 8, and even 9 per cent. 

The forepart of June, however, the business community began to realize that the 
time for adjusting theiraffairs to the new currency basis had arrived, and it was sur- 
prising to see in what a short time the adjustment was accomplished and with what 
little disturbance to business. Between June 9 and June 15 sterling exchange rates 
in Manila declined nearly 5^ per cent as compared with a decline of less than one- 
third of 1 per cent during' the same period in Hongkong. The London market price 
of silver was the same for both dates. This sudden decline in sterling exchange rates 
was the first positive sign of any important influence upon exchange rates exerted by 
the taxation measures soon to become effective. 

Sterling exchange rates in Manila, however, continued above sterling exchange 
rates in Honckong until the 2d of July, 1904. About the middle of June the mem- 
bers of the Manila Chamber of Commerce passed resolutions in favor of transferring 
their business to a Philippine-currency basis, and the Chinese Chamber of Commerce 
shortly afterwards adopted similar resolutions. Before the 1st of August the banks 
had practically discontinued making forward exchange contracta in local currency, 
and very few ready transactions in that currency were then being made. Bv Sep- 
tember 1 all the banks were quoting exchange rates in the new currency ana local 
currency had ceased to be an important factor in foreign-exchange transactions. 



BEPOBT OF THE DIVISION OF CUBEENOY. 



79 



The decline in the use of local currency is well shown in the following figures rep- 
resenting the local-currency current-account credit balances (^exclusive of government 
deposits) of the four principal Manila banks on certain specified dates: 

June 30, 1903 Pfs. 8, 305, 102. 82 

September 30, 1903 7,538,204.96 

December 31, 1903 5,671,352.27 

March31, 1904 6,287,039.01 

June 30, 1904 3,309,737.36 

July 31, 1904 2,645,686.34 

August 31, 1904 1,803,620.49 

SeptemberSO, 1904 408,475.01 

October 31, 1904 50,538.21 

November 30, 1904 38,274.95 

December 31, 1904 729.00 

With the beginning of the year of 1905, the collector of internal revenue issued in- 
structions to his deputies smd agents throughout the islands enjoining a rigid enforce- 
ment of the local currency taxation act. The circulation of local currency in the 
petty trade of the islands quickly ceased, and the Chinese and natives flocked to the 
insular treasury and to various provincial treasuries to exchange their old currency 
for the new. 

The forepart of February of the present year the collector of internal revenue sent a 
circular letter to all provincial treasurers inquiring to what extent local currency was 
being used in the business of their respective provinces, and to what extent, if any^ it 
was being held for speculative purposes. The reports received showed that by the mid- 
dle of February local currency had practically ceased to be used,except to a small extent 
in a few of the more remote jparts of the interior, and that, with the exception of a few 
sections, almost none was being held for speculative purposes. Subsequent inauiries 
made by the collector of internal revenue and by the insular treasurer showea that 
bv June of the present year the circulation of the old currency had entirelv ceased, 
although in a few provinces small amounts were still being hoarded in the hope of a 
higher price. The progress of the work of eliminating the old currency from circu- 
lation and introducing the new can best be read in the statistics which follow pertain- 
ing to the withdrawal of the old currency from circulation. 



OFFICIAL RATES OF EXCHANGE. 



The official rates for the redemption and receipt of local currency, as fixed from 
time to time bv the governor-general since the introduction of the new currency, 
have been as follows: 

Official rates for redemption of local currency. 



Date on which rate be- 
came effective. 


Rates 

in terms 

of selling 

price of 

Philippine 

peso. 


Rates 
in terms 

of buying 
price of 

local peso. 


Date on which rate be- 
came effective. 


Rates 

in terms 

of selling 

price of 

Philippine 

peso. 


Rates 
in terms 

of buying 
price of 

local peso. 


JnlylS, 1908 


Pfs. 1. 19 
1.15 
1.10 
1.12 
1.18 
1.10 
1.18 
1.10 


ro.840 
.870 
.909 
.893 
.885 
.909 
.885 
.909 


October 1.19046 

December 22, 1904 

January 9, 1906 


Pfs. 1.18 
1.14 
1.20 
1.26 
1.80 


T0.M7 


August 1, 1908 


.877 


January 1, 1904 


.838 


January 29, 1904 


April 1 1905 


.800 


April 12, 1904 


May 1, 1905 


.770 


May 28, 1904 


Junel5 1906 


.770 


July 1, 1904a 


July 24, 1906 


Augu.st 1, 1904 











«From July 1. 1904, to September 30, 1904, local currency was received in payment of government 
dues, but not directly redeemed by the government. 

6 On October 1, 1904, local currency ceased to be receivable for government dues, and from that 
date forward has been purchaMcd as bullion at official rates based upon the bullion value of Spanish- 
Filipino currency. 

c Redemption of local currency temporarily discontinued. 



80 



REPORT OF THE PHILIPPINE COMMISSION. 



LOCAL-CURRKNCY EXCHANGES. 



The following table shows the local currency purchased and sold by the insular 
treasurer each month since the passage of the gold-standard act: 

Philippine-currency and local-currency exchanges. 



Date .a 



October 10-31 . 

November 

December 

January 

February 

March 

April 

Miiy 

June 



1903-4. 



Total (1903-4). 



July 

August 

September . 

October 

November . 
December. . 

January 

February . . 

March 

April 

May 

June . .♦. 



1904-5. 



July.... 
Ausrust. 



Total (1904-5) 

1905-6. 



Sold. 



Local cur- 
rency. 



Pf8,89, 

207, 

86, 

24, 

14. 

6, 

6, 

20, 

6, 



428.90 
436.78 
080.53 
079.46 
680.10 
217.94 
843.50 
988.84 
886.40 



410,142.44 



4,790.70 



640.00 

655.00 

724.82 

19,760.80 

102,061.89 

51,053.50 

126,146.12 

112,500.00 

120,600.00 

60,200.00 



599,121.88 



17,500.00 
21,800.00 



Philippine 
currency. 



r86,689.06 

128.067.46 

248.651.90 

388,979.41 

658,086.83, 

1,401,548.27 

2,772,842.21 

130,762.29 

1,720,784.89 



7,486,800.82 



ft 2, 474, 917. 87 
471,483.77 
488.998.12 
134.831.50 
125.946.78 
655,919.68 
421,249.71 
646,224.73 
747,169.19 
686,883.17 
548,269.84 
396,980.07 



Bought. 



Local cur- 
rency. 



Pfs. 42, 

147, 

285, 

488, 

787. 

1,544, 

3,051, 

146, 

1,897, 



077.42 
266.09 
949.70 
626.52 
984.40 
317.46 
395.66 
014.38 
717.77 



8,801,299.39 



62,796, 
621, 
538, 
153, 
143, 
748, 
483, 
681 
867, 
746, 
648, 
482, 



686.20 
666.80 
622.28 
960.61 
619.23 
871.41 
768.96 
712.70 
136.07 
992.69 
546.71 
064.81 



7,647,762.88 i 8,768,591.96 



Philippine 
currency. 



^77,764.25 
180.380.22 
30,405.30 
21,464.56 
18,076.48 
6,652.68 
6,628.81 
18.901.56 
6,851.28 



868,624.68 



4,289.55 



58L82 
555.08 

603. ei 

16,737.55 
94,887.00 
46,695.22 
114,365.76 
101,227.84 
111,304.18 
54,857.67 



546,456.28 



I 



68,202.48 
166,029.66 



86,385.57 
198,395.70 ; 



16,012.50 
19,809.00 



a The dates refer to the months during which the purchases of local currency referred to were cov- 
ered into the insular treasury and not the months during which that purchased by the provincial 
treasurers was received from the public. 

b Prior to July 80, 1904, local currency purchased was first taken up into the general-treasury 
fund and later transferred to the gold-standard fund when shipped to San Francisco for recoinage. 
Since July 30, 1904, all purchases of local currency have been paid for directly out of the gold-standard 
fund. The large purcnases for July, and the discrepancy between the figures for July, 1904, given 
above, as compared with those given for the same month in the last annual report of this office, are 
explained by the fact that all local currency in the general fund vras transferred to the gold-standard 
fund on July 30. 1904. 

<;See footnote a under following table. 



The great bulk of the local currency purchased consists of Spanish-Filipino coins 
which are regularly shipped to San Francisco for recoinase. The sales of local cur- 
rency above referred to represent sales of Mexican and Chinese coins to local banks 
for exportation to China. 



BEPOBT OF THE DIVISION OF CUBBENCY. 



81 



The rates at which purchases and sales were effected during the fiscal year 1904-6 
are shown in the following tables: 

Local currency purchased and sold during the fiscal year 1904^-6, 



Purchased. 


Sold. 


Rate. 


Amount. 


Ck)et. 


Rate. 


Amount 


Ck»t. 


1.30 


Pf8.98,730.98 

157.388.20 

1,489,954.03 

587,623.82 

438.84 

12,855.97 

2,587,660.97 

63.12 

2,952,663.42 

2,649.41 

1,118,693.20 


r75,946.97 

125,906.68 

1,124,961.64 

455,528.36 

874.00 

11,179.11 

2,226,009.53 

65.55 

2,612,986.60 

2,865.54 

1,012,448.65 


1,488 


Pf8.724.32 
19,750.30 
1.12 
21,000.00 
10,700.00 
87,690.70 
21,600.00 
20,200.00 
16,100.00 
18,000.00 
92,294.99 
88,000.00 

100,245.00 
40,000.00 
82,500.00 
68,615.60 
72,899.80 


r 508. 61 


1.26 . 


1.18 


16, 787. 55 


1.20 


1.14 


.98 


L18 


1. 13i 


18,502.20 


1.16 


i.m 


9,448.12 


1.15 


1.13 


88,854.60 


1. 14 


1.12 


19,196.48 


1 136 


1.111 


18,076.06 


1.13 


1.11 


18,603.61 


1.12 


l.lOi 


16, 289. 59 


LiO 


1.10 


88,864.16 




1 094^ 


80,205.96 
91, 967. 89 


Total pur- 
chased.... 


8,768,591.96 


7,647,762.88 


1.09 


1.081 


86,781.61 




1.081 


29,981.55 




i:S*.::::::::::::. 


68,810.78 




1.07 


68, 180. 64 




Total sold... 








599.121.88 a 545, 455. 28 



a In July, 1904, Pfs. 4,790.70 belonging to the general-treasury fund was sold for P'4,239.55. This item 
appears in the table of local-currency sales and the table of local-currency exchanges. It does not 
enter into the gold-etandard fund account given on pages 8 and 9, since the operation was entirely 
outside of the gold-etandard fund. 

LOCAL-CURRENCY SHIPMENTS. 

The shipments of local currency to and from the islands for the period from July 
1, 1903, to September 1, 1905, are shown in the following table: 

Local-currency shipments from July i, 190Sj to September 1, 1905. 



Date. 



July 

August 

September.. 

October 

November.. 
December . , 

January 

February.., 
March 



1903-4.ft 



Commercial- 



Imports. 



Pfs. 22,100.00 
697,978.00 
71,069.00 
6,670.00 
367,270.00 
279,626.00 
726,000.00 



AprU, 
May.. 
June.. 



Total (1903-4). 



July 

August 

September. 

October 

November. 
December . 
January ... 
February . . 



1904-^. 



2,168.703.00 



Exports. 



Pfs. 2, 930, 000. 00 

1,780,700.00 

1,630,500.00 

1,506,700.00 

358,600.00 

363,480.00 

44,000.00 

667,500.00 

276,000.00 

2,100.00 



56,770.00 



9,368.860.00 



887,420.60 
10,000.00 
1,197,600.00 
1,683,065.00 
1,022,750.00 
1,183,984.00 

643,701.00 
486,606.96 



Governmental 
export8.a 



Pfs. 600,000.00 
400,000.00 



1,666,000.00 
1,090,000.00 
1,230,000.00 
1,810,000.00 
1,000,000.00 



7,686,000.00 



1,102,000.00 
430,000.00 

1,055,000.00 
960.000.00 
250,000.00 
175,000.00 
600,000.00 

1,000,000.00 



oThe exportations made by the government all refer to shipments of Spanish-Filipino money to 
San Francisco for recoinage. 

ft From January' 1 to June 30, 1908. there was a net commercial exportation of Mexican currency from 
the islands amounting to approximately Pfs. 8, 500,000. 

o Including Pfs. 1,350 Banco Espafiol-Filipino notes. 

WAR 1906— VOL 13 6 



82 



EBPOBT OF THE PHILIPPINE COMMISSION. 



Xocorf-currCTicy shipments from July i, 1903^ to September i, i^5— Continued. 





Date. 


Commercial— 


Qoyemmental 




Imports. 


BxportB. 


exports. 


March 


1904-5. 




PfB.229,4S8.10 
181,041.40 
191.028.00 
119,717.96 


Pf8.900,000.00 
600,000.00 


April 




k^.::::::::::: ::::::;::::::::;:::::::::::::: : 




715,000.00 
850,000.00 


June 










Total (1904-6) . 




7,786,247.90 


8,027,000.00 




1906-6. 




July 




140,096.10 
182,685.00 


100,000.00 
150,000.00 


Atunut -- --- 










Grand total 




17,472,981.00 


16,963,000.00 







IGOKOT COPPER COINS. 

For a number of years there existed a practice among certain of the sava^ tribes 
inhabiting the mountains of Lepanto-Bontoc and Nueva Vizcaya of extracting cop- 
per from the surfeoe deposits of nearly pure copper found in those regions and of 
pounding it out into round, flat diAa to circulate as money. These copper pieces 
worked their way quite extensively into the petty trade of central and northern 
Luz6n, and considerable quantities found their way into more remote parts of the 
islands. 

On January 13, 1905, the governor-general issued an order declaring that — 

'*In view of the presence in circulation of a considerable number of counterfeit 
copper coins, some of which have been made by the Igorrotes in northern Luz6n, 
it IS hereby ordered that the insular treasurer ana each provincial treasurer or deputy 
provincial treasurer shall, on and after this date and until further order, purcnase 
all copper coins which have been in circulation within the Philippine Islands, but 
are not the coins of any country, at forty centavos per pound avoiraupois." 

Up to June 30, 1905, 15,448^ pounds of these copper coins had been purchased by 
the government, at a cost of F6,179.30. 

PHILIPPINB-CUBRBNCT CIRCULATION. 

The circulation of Philippine currencv at the end of each month since October, 1903, 
as estimated by the chief of the division of the currency, is given in the following 
table: 

PhUippine^urreriqf circuUaion, 



Date. 



Amoontin 
drculation. 



Ixicreeae(+) 

or 
decrease (-). 



Date. 



Amount in 
clroulatiop. 



Increase (+) 

or 
decrease ( — ). 



1908-4. 

November 

December 

January 

February 

March 

April 

May 

June 

1904-6. 

July 

August 

September 



f% 908, 068 
8,910,898 
6,484,296 
6,288,827 
7,402,868 
6,718,799 
8,226,114 
9,067,127 



10,481,966 
12,862,617 
14,268,799 



- r82,666 
+1,678,902 
+ 749,682 
+1,168.641 

- 688,669 
+1,607.815 
+ 881,018 



+1,424,828 
+1.880,662 
+1,891.182 



October 

November . . 
December. . . . 

January 

February ... 

March 

April 

May 

June 

1906-6. 

July 

August 



n6, 968, 048 
18,008,984 
20,766,524 
24,449,679 
26,712,966 
27,044,715 
28,839,477 
28,064,738 
28,160,667 



27,460,628 
27,291,621 



I 



+T»-1,709,244 
2,040,941 
2,761,540 
8,684,154 
2.268,277 
331,750 
1,794,761 
784,739 
165,929 



- 700,089 

- 169,097 



BXCHANOB RATES. 



Appended to this report will be found a series of tables covering the period from 
January 1, 1890, to June 30, 1905, showins for each month (1) the highest, lowest, 
mean, and average price of bar silver in London; (2) the average bullion value of 
the Mexican peso; (3) the highest, lowest, mean, and average rate of sterling 



BEPOBT OF THE DIVISION OF CUBEENCY. 



83 



exchange in Hongkong, and (4) the highest, lowest, mean, and average rate of 
sterUiig exchange in Manila. 

The tables have been prepared to meet the need frequently felt of some reliable 
information concerning tne value of the island's currency in the past, as an aid to 
the equitable adjustment of leases, insurance policies, and other contracts of long 
standing, and as a necessary means to the formation of an intelli^nt judgment con- 
cerning the volume of the island's trade, both domestic and foreign, and concerning 
taxes, wages, and prices during the last decade and a half of the island's history. 
The tables will incidentally prove of value, it is believed, on account of the light they 
throw on a number of mooted currency problems. 

During the entire period covered by the tables, Hongkong has been a free market 
as r^aras the importation and exportation of Mexican currencjr. From March 20, 
1877, to Auj^st 19, 1898. the importation of Mexican currency into the Philippines 
was prohibited, althougn Isurf^e amounts were frequently smuggled into the islands 
by tne connivance of Span&h officials. Long l>Bfore 1890 gold had disappeared 
m>m circulation in the islands. From March 20, 1877, to August 19, 1898, the 
islands' currency, by reason of the limitation placed upon its supply, circulated at a 
value usually considerably above that of the Mexican dollar in the free port of 
Hongkong. From August 19j 1898, until January 14, 1904, there were no restrictions 
to the free movement of Mexican currency to and from the Philippines, except for a 
short period during the Boxer uprising in China, when, from November 12, 1900, to 
August 31, 1901, there was a 10 per cent dutv on the exportation of Mexican cur- 
rency from the islands. Since January 14, 1904, the importation of Mexican currency 
into the islands has been prohibited. 

The figures given in the appended tables were, for the period from January 1, 1890, 
to September 1, 1903, prepared from the dailj records of the Manila branch of the 
Hongkongand Shanghai Banking Corporation, which the manager of that institu- 
tion, Mr. H. D. C. Jones, has courteously placea at the disposal of this office. The 
rates from September 1, 1903, to June 30, 1905, are based upon daily reports received 
by the chief of the division of the currency from all three of the ieaain^xchange 
banks of Manila. Manila quotations from September 1, 1904, are for Philippine 
currency. Sterling rates have been given instead of New York rates, because ster- 
ling rates are the dominating rates in Manila, most of the exchange operations being 
effected through London, and because New York quotations are not available, except 
for a very short part of tne period under consideration. 

All of which is respectfully submitted. 

E. W. KSMMERER, 

Chirf of the Dwinion of the Currency. 
The Trbasurbr of thb Philippine Islands, 

Manila, P. J. 



The Ixmdon price of silver , and Hongkong and Manila sterling exchange rates, 1890-1905, 



London price of stand- 
ard Rllver.a 


Aver- 

value 
flne- 
silver 
con- 
tent of 
Mex- 
ican 
dollar. 


Sterling rates In Hong- Sterling rates in Manila, 
kong. four months' four months' bank 
bank paper. paper. 


Year. 

High. 

1 


I-w. Mean, hi-; 


High. 


Low. 

d. 
88 
871 

v,\ 

401 
391 
4U 


Mean. 

d, 
381 

37f 

40t 
40A 

'^ 

45| 

Jot 

42A 


^a^^High. 


Low. 


Mean. 


Aver- 
age. 


1890. d, 

January 44{ 

February 44* 

March 44| 

April 48 

May 47* 

June 49 

Au|uit"!;.*!!| fAk 
September .... 54i 

October 61A 

November i 481 

December 49| 


d. d. 1 d. 
441 44i 1 44* 

4Si 44A 44A 
Sri 442' 44S 
481 . 45} 45A 

46 461 46 1 

s?, i k 

60 52 58A 
48J 49M 491 


d. 

37 1 

88A 

39 

40 

1 

V 


d. 
40 

a 
1 

481 
411 
43 


d. d. 
38i 401 
37H 39i 
37 1 391 
SSn! 401 
40} 1 41 
40H 4U 
42yl 44 
45 1 47- 
454!' 46; 
42 43 
41 42 
41H 44 


d. 

m 
^\ 

39 
40 
40 
4U 
44J 
44 
4U 
411 
42 


d. 
391 

89} 
404 

461 
461 
4% 
411 
48 


d. 

W 

m 

4lX 

42 1 

k 
111' 


Year 644 


48H 49J^ 47HI 40A' 46* 


87J 


m 


40h| m 89 1 48i 


«» 



a The sUver quotations here given are based upon the closing quotations of each day as tele- 
graphed to the Manila branch of the Hongkong ana Shanghai Banking Corporation by the London 
ofllce o< that institution. 



84 



REPORT OF THE PHILIPPINE COMMISSION. 



The London price of silvery and Hongkong and Manila sterling exchange rates, 1890-1905 — 

Continued. 



Year. 



High, 



1891. 
January . . , 
Febraary . , 

March 

April 

Blay 

June 

July 

August . . . . 
September. 
October . . . 
November. 
December . 

Year. 

189aLa 
January . . . 
February.. 

March 

April 

Blay 

June 

July 

August 

September. 
October ... 
November. 
December . 

Year. 

1896. 
January . . . 
February . , 

March 

April 

May 

June 

July 

August . . . . 
September. 
October ... 
November. 
December. 

Year. 

1894. 
January . . . 
February . 

March 

April 

Biay 

June 

July 

August 

September. 
October .., 
November. 
December , 

Year 



London price of stand- 
ard silver. 



d. 

481 

461 

46i 
46 

It* 
St 



481 



Low. 



d. 

m 

461 



m 



431 42 

HI* s* 



891 

m 

39A 



481 



841 
34} 
84J 
84{ 
821 



871 



88| 



8U 
8U 



82i I 81* 



381 I 80 



811 , 80i 

30H m 

27} 27 



811 



27 



Mean. ^^«'"- 
age. 




46i 



89ii 



841 



291 



28H 



45A 



89t 



Aver- 
age 
value 
fine- 
silver 
con- 
tent of 
Mex- 
ican 
dollar. 



5§* 



«8A 



881 




85H SIj^ 



Sterling rates in Hong- 
kong, fou" months' 
bank paper. 



High 



d, 

41J 

4U 

89 

88) 

88J 

891 

891 

m 

881 
88i 
87J 
37* 



41J 



87i 
86 

85! 

SI 

83} 
384 
84} 
88* 
88* 



&34f 



821 
82* 
82* 
82* 
821 
82* 
30* 
80 
291 



28* 



82* 




28*i 24H 27* 



Low. 



d. 
41 
88 

PI 

87* 
87* 
881 
881 

88* 
871 
87* 
871 



87| 



861 
86* 
881 



^1^ 

821 

88 

83 

32* 

82* 



b821 



82* 
32| 
81* 
82 
82 
28 
28i 
29* 
29 
281 
27* 
27* 



27* 



231 



Mean. 



d. 

U 

88A 
88A 

88* 



38 



891 



b38A 



80 



St 



Aver- 
age. 



Sterling rates in Manila, 
four months' bank 
paper. 



High. 




88H 43* 



^^S^ 



80H 




40 



38* 
38 
38* 
38 
871 
86} 
37* 
37 
37 



40 



361 
85* 
86 
86* 
36* 
361 
83* 



33* 
321 
32 



86* 



26A 25A| 82 



Low. 



d. 

42* 

40 

40 

401 

St 
SJ 

40* 

40 
40 
40 



40 



89* 



88 
87* 
361 
361 
361 
87 
36 



86 



86* 

86* 
85* 
86 
36^ 
34 
83 
83 
88 
82* 
82* 
82 



Mean. 



d. 

48 

41* 

40* 

40* 

40* 

40* 

40* 

SI 

s* 

40 



82 



80 

81 

80 

80 

80 

80 

30 

80* 

30* 

30* 

29 

28 



41* 



89* 
894 
88* 

88* 



87} 

861 
87 
87 
86* 



38 



Aver- 
age. 



d. 



40* 

SI 

40* 
40* 

SI 

40 
40 



40* 



89* 
39* 



36 

87A 

86* 

87 

87 

36* 



87H 



86* 
86* 
86* 

St 



88* 

82} 
82* 
82 



84* 



86* 
86* 



86U 
86,{ 

82* 
32 



m\ 



81 

81 

30* 

80 

80 

80 

304 

80| 

80* 

80* 

29* 

28* 



11" 

30* 

30 

80 

30 

80A 

30j 



80A 



a Hongkong rates for the first six months of 1892 are for four months' bank paper; for the last six 
months of 1892 and thereafter are for telegraphic transfers. The highest, lowest, mean, and average 
rates for the first six months were, respectively, 37*, 38*. 35^, and 88*. 

h Figures refer to six months ending December 31, 1892. 



BEPOBT OP THE DIVISION OP CUEBENCY. 



85 



The London price of silver j and Hongkong and Manila sterling exchange rates, 1890-1905 — 

Continued. 



Year. 



London price of stand- 
ara silver. 



1895. 
January . . 
February . 

March 

April 

May 

June 

July 

August 

September 
October .. 
November 
December 

Year.. 

1896. 
January . . 
February . 

March 

April 

MAy 

June 

July 

August ... 
September 
October .. 
November 
December 

Year.. 

1897. 
January . . 
February . 

March 

April 

Miiy 

June 

July 

August ... 
September 
October. . . 
November 
December 

Year.. 

1890. 
January . . 
February . 

March 

April 

May 

June 

July 

August ... 
September 
October .. 
November, 
December, 

Year 

1899. 
January . . 
February . 
March...., 




811 



2»ij 



2»A 



IL 



291 30H 



281 

27i 
26f 
231 
231 
26} 
26 
25it 



23} 



26i 

IT 

26| 
27 



25 



27j 



26?} 



30» 



27A 




27A, 27, 



26ii; mk 



27i 



m 



Aver- 
age 
value 
fine- 
silver 
con- 
tent of 
Mex- 
ican 
dollar. 



25ii 



26A 



231 



Sterling rates in Hong- 
kong, four months' 
bank paper. 



High. 



d. 

24 

231 

251 

26J 

26J 

26 

26J 

1^ 

261 
26f 
26 



261 



261 
25« 

26i 
261 
26i 
26i 
25« 
251 
26* 
26* 



26« 



24J 
24} 
231 
23i 
221 
231 
231 
231 



261 



221 



23* 
221 
221 
221 
221 



^Al ^1 




22U 



23A 



28* 



Low. 



d. 

28* 

23i 

28l 

25i 

251 

25» 

25* 

25* 

25* 

26i 

26 

25* 



28i 



25* 
251 
25* 
26* 
26 

26* 
26* 
251 
26* 
25f 
25* 



26* 



251 
25| 
26* 
24 
23* 
23* 
22* 
22* 
21* 
21* 
22* 
23* 



21* 



Mean, 



'Aver- 
age, 



24i|j 25J* 



Sterling rates in Manila, 
four months' bank 
paper. 



High. 



d. 

28 

28 

28 

28 

27* 

27 

27 

27 

27 

27* 

27* 

28 



26* 
26* 
26* 
26* 
26* 
26* 

^ 

26* 
25* 



25*« 



25* 
I 
23; 



28A 



28A 




22 I 22}| 




26*1 



23*g 



221 
22A 



31 



27* 

27* 

27* 

27 

26* 

24 

23* 

23* 

24 

24* 

24l 

25 



27* 



22A 23* 



22. 
221 

23,- 



23/, 



22§J 



22* 
22* 
22* 



24Ti 
24A 



Low. 



d. 

28 

28 

28 

27* 

27 

27 

27 

27 

27 

27* 

27* 

271 



Mean.-;;^!;-. 



28 

27* 

27* 

72 

27 

27 

27 

27* 

27* 

27* 



27 



27* 



d. 
28 
28 
28 

P 

27 
27 
27 

27* 



27* 



28 
28 
80 
31 
31 
31 
31 
30 
30 
30 
30 
27* 



27* 



27* 

27* 

27 

26* 

24* 

23* 

28* 

22* 

23 

231 

23* 

25 



22* 



30* 

81 

31 

31 

31 

30* 

30 

30 

80 

28* 



29* 



27* 

27* 

27* 

26*g 

25* 

23* 

23* 

23 

23* 

23*8 

24i 

26 



24i 
24* 
24A 




28 

29i 

30l 

31 

31 

31 

31 

30A 



28* 



29A 



27* 
27* 
27* 
26} 



23* 



24* 
26 



26A 



26 
24H 

^ 
22* 
22* 
22* 

if* 

24 
24A 



23H 



24* 



86 



REPORT OP THE PHILIPPINE COMMISSION. 



TIte London price of »ilver, and Hongkong and Manila sterling exchange ratCHy 1890-1906 — 

Continued. 






f^PUf mimtlisr' hank 




a Manila rates for 1901 and thereafter are for telegraphic transfers. 



BEPOBT OP THE DIVISION OP CtrBBBKCT. 



87 



The London price of mlver^ and Hongkong and Manila sterling exchange rates, 1890-1905 — 

Continued. 



Year. 



High, 



London price of stand- 
am ellver. 



Low. 



Mean. 



Aver- 
age. 



Aver- 
age 
value 
fine- 
silver 
con- 
tent of 
Mex- 
ican 
dollar. 



High. 



Sterling rates in Hong- 
kong, four months' 
bank paper. 



Low. 



Mean. 



Aver- 
age. 



Sterling rates in Manila, 
four months' bank 
paper. 



High. 



Low. 



Mean. 



Aver- 
age. 



1908. 

August 

September. 

October 

November . 
December . 

Year. 

1904. 
January ... 
February . . , 

March 

AprU 

May 

June 

July 

August — 
September. , 
October . . . . 
November., 
December.. 

Year. 



1905. 
January . . . 
February.. 

March 

April 

Irfay 

June 



271 
28| 
271 
26A 



281 



26 
27 
27 
26} 



27i 



284 



281 

i 

26 
27 



Half year. 28f 



25 



2in 



251 
25i 



264 
261 
27A 



24A 



25A 



251 

P 

25H 



27t 



d. 

224 

22* 



20H 



d. 
211 

i 



25A 



241 



21A 



221 



181 



201 



20H 



284 



181 



26H 



26A 



22* 



26« 



26H 



27A 



28A 



24A 



It* 



28 

it 

28 
284 
284 
224 
221 
1244 
241 
241 
244 



28A 20f 



22A 



22A 



241 



214 



22 



244 
244 
24f 
241 
244 



24i 
24f 
24f 
241 
24l 
244 



2141 



2241 



2241 



244 



244 



d. 
2l{ 



& 



2ir 

201 



20H 



20H 



284 



28A 



244 
241 



244 
241 



244 



244 



a Manila rates from September, 1904, forward are for Philippine currency. 



EXHIBIT No. 6. 

EEPOET OF THE GOLLEGTOE OF GTJSTOMS FOE THE PHILIPPINE 

ISLAKES. 

Office of the Collector of Customs for the Philippine Islands. 

ManUttj September 16, 1906, 
Sir: In accordance with your instructions of July 12, 1905, I have to submit here- 
with my fourth special report of the operations of the Philippine customs service 
from July 1, 1904, to June 30, 1905, together with a supplemental report covering the 
operations down to August 31, 1905, to accompany the fourth annual report of the 
department of finance and justice. 

Respectfully, W. Morgan Shuster, 

Collector of OuMomsfor the Philippine Islands, 
Hon. Henry C. Ide, 

Secretary of Finance and Justice, Philippine Commission^ Manila, 

[TnclOBures.] 

FOITBTH SPECIAL EEPOET. 

Office of the Collector of Customs for the Philippine Islands, 

Manila, September 16, 1906, 

Sir: The third special report of this office, in its narrative portion, covered the 
period from October 8, 1903, to September 1, 1904, the financial and statistical state- 
ments, including the entire period of American occupation of these islands. This 
report will cover the fiscal year 1905, and in supplemental form the months of July 
and August, 1905. The statistical tables will, as usual, cover the entire period of 
American occupation to date. 

After the lapse of four years the formative ^riod of the customs service is believed 
to be passed, and the working of the system is now on such a permanent and well- 
orgamzed basis that an extended reference to r^ulations and other matters relating 
to the building up of the service is not deemed necessary. As required by law, cer- 
tain annual re^fulations have been promulgated from time to time. 

On Septemlier 22, 1904, the Philippine Commission enacted Act No. 1235, amend- 
ing certain sections of the customs administrative act. These amendments were of 
considerable importance. One removed the requirement that manifests of cargoes 
for ports in the Philippine Islands shipped from a foreign port be certified by an 
American consular representative. Experience had shown tnat, as carried out, this 
requirement had but httle practical effect and tended to inconvenience shipping inter- 
ests." At the present time manifests of foreign cargoes are prepared and sworn to by 
the master or agent of the vessel upon arrival at a port in the Philippine Islands. 

Most important of all the amenctments made in the act mentioned was that with 
reference to section 117 of Act No. 355, extending to corporations or companies created 
under the laws of the United States or any State thereof, or of the Philippine Islands, 
with a duly authorized officer of such corporation or company residing in the Phil- 
ippine Islimds, the privil^e of obtaining a certificate of protection for vessels owned 
by such companies or corporations to engage in the general coastwise trade. 

The practical effect of Act No. 1230, paceed September 9, 1904, providing for free 
entry of merchandise imported by the insular government when tne articles are of 
such a character that local competition is impracticable, has been that duties are paid 
only in exceptional cases by the insular government. Merchandise imported by it 
is ordinarily entered on the usual government free entry. This does not include 
merchandise intended for the government but imported by private individuals. 



90 REPOBT OP THE PHILIPPINE COMMISSION. 

On March 30, 1905, this office, after having made careful study of the changed con- 
ditions surrounding the coastwise trade of these islands, made the following recom- 
mendation to the honorable secretary of finance and justice: 

"After careful consideration of the whole subject of supervision of local vessels, and 
in view of the increasing insular revenues provided by the internal-revenue law, it 
is recommended by this office that all coastwise entrance and clearance fees be abol- 
ished; and further, that all coastwise subports in these islands be declared open to 
the trade of regularly licensed local vessels, except such ports as, for special reasons, 
may be temporarily or permanently closed by the governor-general. 

"It is realized that this step is a somewhat radical one; similar recommendations 
have been made to this office by various collectors of customs and other customs 
officials during the past two years, but in the opinion of the undersigned the adop- 
tion of this measure heretofore would have been premature, to say the least. 

"Conditions are now believed to be such that the step can be taken with compar- 
ative safety, and the advantages accruing to the coastwise vessels will of course be 
very deciaed. 

* « » » «*« « 

"One other feature recommends the adoption of the above general plan. If the 
coastwise entrance and clearance fees are abolished it will be possible lor this office 
to do away with a large number of subinspectors at outside ports, thus effecting a 
saving to the government of about $16,000 per year. This would reduce the net loss 
to the customs revenues to less than $25,000 per year. It is the opinion of this office 
that the benefits to be derived by the coasting trade would fully compensate the 
insular government for the loss of the above revenue." 

Pursuant to this recommendation, Act No. 1341, passed by the Philippine Com- 
mission May 4, 1905, threw open for the purposes of interisland commerce all ports 
ahd places m the islands to vessels licensed to engage in the coastwise trade, and 
removed all fees and charges in the matter of entry and clearance of vessels at all 
except entry ports. 

Act No. 1354, enacted June 15, 1905, amended certain provisions of the customs 
administrative act, by exempting all vessels of less than fifteen tons gross burden 
from taking out annual licenses or the payment of any fee or charge whatsoever. 
This iMjislation is a great benefit to owners of small tloats throughout the islands, 
and will tend to encourage and stimulate trade between the various islands and 
remote parts thereof, by abolishing the annual tax on small boats capable of trans- 
porting merchandise. The question was purely one of dispensing with the revenues 
from this source. 

TARIFP-RBVISION LAW OP 1905. 

The customs bureau was called upon to put into operation the tariff-revision law 
of 1905, enacted by Congress March 3, 1905, with the proviso that it would become 
effective on May 2, sixty days after its passage. 

While the law does not change the method of tariff taxation, it is an improvement 
over the prior law, in that some inconsistencies growing out of the former have been 
remediea and certain rates of duties equalized. Prominent among the changes were 
the readjustment of the machinery schedule and a greater use of ad valorem quali- 
fying rates. 

The normal condition of customs circles has been affected by the enactment of the 
new tariff law, for the reason that an unusual quantity of those goods upon which 
rates were to be increased was imported prior to the time the law became effective, 
while importations of other lines of merchandise on which it was understood the 
rates of duties would be lowered were postponed. 

REFUND OF DUTIES ON HEMP EXPORTS SHOULD BE REPEALED. 

It is earnestly recommended that that part of the Act of Congress of March 8, 1902, 
providing for tne refund of duties paid on hemp exported to the United States be 
repealed, as three years* experience has failed to show that the producer of hemp in 
the Philippine Isliuids has benefited thereby, while on the other hand the revenue 
is affected to the extent of $486,575.56 (fiscal year 1905). 

The only ones who profit by the law are the manufacturers using the hemp in the 
United States. It is a fact that this apparent benefit or bonus given to hemp ship- 
ments to the United States has not affected or increased the price of the staple which 
the Filipino producer receives, as the Manila price of the staple is the same for con- 
signments to the United States as for those destined for other parts of the world. 

In this connection attention is directed to the fact that the legislation on this sub- 
ject was without the approval or suggestion of the insular government 



REPOBT OP THE COLLECTOR OF CUSTOMS. 91 

On October 5, 1904, the Philippine Commission passed Act No. 1239 amending Act 
No. 864, by chaiiging the membership of the court of customs appeals and providing 
for appeals in customs criminal cases when a division of opinion occurred between 
the judges of the court 

On September 14, 1904, the Secretary of War made a ruling extending the period 
for the refund of duties paid on hemp exported from eighteen months to two years, 
and the Philippine Commission, by resolution, on an application submitted by a 
local export concern, held that this extension was not to oe retroactive. 

POKT OP MANILA. 

Contrary to expectations based upon conditions which existed six or eight months 
ago, the general ousinessof the port of Manila, as reflected by importations, has been 
in a fairly satisfactory condition, although by no means flourishing. While the fiscal 
year shows a net decrease of collections as compared with the corresponding period 
for the preceding year, the difference is inconsiderable and the causes for same 
readily ascertainable. Chief among these were the agitation concerning and the 
subsequent enactment of a new tarm law, which of course have had a direct influ- 
ence on customs receipts. There has been no revival or improvement in commercial 
lines, and hence the importations have been limited to meet the actual wants at the 
present time; in other words, the lack of improvement in business centers has pre- 
vented anv surplus importations which might be based upon future contingencies. 

A fact, towever, which may be considered significant and undoubtedly will tend 
to improve conditions is the increased current crops of the islands' staples, particu- 
larly sugar and rice. Especially is this true of the rice crop, which greatly exceeds 
that of any recent jear. As was pointed out in the third spKBcial report of the under- 
signed, so long as it is necessary for millions of dollars to be expended annually for 
the purchase of rice for consumption by the natives, when this staple shoula not 
only be produced in sufficient quantities to meet the home needs, but constitute an 
item for export, then business conditions must be affected and the average native 
denied the opportunity of purchasing other articles which he may need for his per- 
sonal comfort. 

CUSTOM-HOUSE. 

A considerable reorganization of the force of the Manila custom-house has been 
made for the purpose of bringing working expenses within the greatly reduced 
appropriation from which they will have to be met. 

The consolidation of several of the smaller divisions is planned, together with a 
reduction in the number of the outdoor force. This step is not believed to be wholly 
advisable, but is rendered necessary for the reasons above stated. The force of 
inspectors has been reduced from 34 to 29, and the force of guards from 105 to 100. 
In making these reductions the best employees have been retained, and although at 
times the inspectors are not sufficient in number to properly discharge all vessels and 
check their cargoes, yet this deficiency is scarcely noticeable, due to the increased 
efficiency of the force, and the ^t that it has been found practicable for Filipino 
guards to assume'the responsibility of dischai^ng bulk cargoes. 

During the past year the inspectors' division has checked the discharge of 558 
cargoes, of which 99,514.31 tons general merchandise were also checked at the custom- 
house wharf and handled by the arrastre division. The dischai*ge of vessels is only 
a portion of the work of this division. The weighing of certain export cargoes is 
superintended and checked at the warehouses for the purpose of accurate certifica- 
tion. During the fiscal year of 1905 the division has superintended the lading' of 
167,271 tons of export cargo. 

Unqualified success has been the result of the "running check system," which was 
adopted two years ago for the dischai^^ of merchandise from general cargo vessels. 
Notwithstanaing the vigorous opposition with which this measure was met and the 
various attempts to defeat its purposes, eveix to the extent of attempted boycott by 
the local Chinese merchants, it is now acknowledge! by the public in general to be 
one of the most beneficial measures ever adopted at this port, and has probably had 
more influence in removing the complaints that Manila was one of the worst ports 
in the world than any other {governmental measure of its kind. 

In the line of economy it is proposed to consolidate the general-order stores and 
bonded warehouse division with the arrastre division, and to place all the warehouses 
in charge of well educated Filipinos who will operate under the direct and personal 
supervision of two or three efficient Americans who possess long and practical expe- 
rience in this branch of the service. It is believed that this system will be of great 
benefit and that changes in the personnel will be reduced to the minimum, since 



92 REPOBT OP THE PHILIPPINE COMMISSION. 

experience has demonfltrated that the force of Filipino employees is not subject to 
the rapid changes which have heretofore been noticeable in the force of American 
employees. 

The warehouses during the past year have been greatly improved by the addition 
of platforms, shielded by half-roof sheds. These puitforms permit the discharge and 
receipt of merchandise even in rainy weather and have been important factors not 
only m the reduction of arrastre expenses, but also in facilitating prompt deliveries. 
The ravages of wind and weather are gradually telling on some of the warehouses, 
especially those which have been built since American occupation, and within a year 
or two extensive repairs will be required. Within the past year white ants have been 
discovered in a few of the warehouses and they have done considerable damage, 
especially to the supporting timbers. No damage to merchandise from this source 
has been reported to this office. 

ARRASTRE PLANT. 

Attached hereto, marked "Appendix D," is a complete report by the deputy sur« 
veyor of customs of the operations of the "arrastre system'* at Manila during the 
past year. The report demonstrates continued and increasing good r^ults f»-om this 
undertaking. 

One of the most important factors in the economical and successful conduct of this 
work has been the greatly increased efficiency of the Filipino arrastre laborer. A 
large proportion of these men, in fact a majority of them, may be considered as reg- 
ular customs employees, since they apparently depend solely upon the arrastre work 
to earn their living. A year ago tneir awkward attempts to handle freight were 
noticeable, whereas to-day it is a positive pleasure to see them handle with ease large 
cases of goods, which a year ago would have required double the number of 
laborers. 

HARBOR MASTER. 

The work performed bv the harbor master and his assistants in connection with the 
collection of license fees during the past year has been of great value. The difficult 
task of keeping navigation in the Pasig River free from obstruction, and doing justice 
to all concemSl in the berthing and mooring of vessels, is one but little appreciated 
by the public in general, but of paramount importance to those directly involved. 

The space usually allotted to steamers in the river has recently been very much 
restricted on account of repairs to the retaining walls on both sides of the river below 
the Bridge of Spain. Temporary provision has been made for small steamers by 
allowing them to berth in front of Fort Santiago in the place usually assigned for the 
exclusive use of sailing vessels. Judging from appearances, the new wall in front of 
the Intendencia buildmg, on the south side of the river, is nearing completion, and 
when this space is made available the congestion in the river will be somewhat 
relieved. 

This office has on several occasions invited attention to the fact that the govern- 
ment is appropriating to its exclusive use long stretehes of wharfage which, if made 
available for the use of commercial vessels, would be of incalculable benefit. 

CANAL. 

One of the most important minor works necessary to improve the facilities for 
shipping at this port is the widening of the "canal " which connects the Pasig River 
with the inner basin of the "new harbor." This canal is, without exception, the 
most dangerous place in or about Manila Bay. Collisions are of constant occurrence. 
This canal is responsible for more damage to launches and lighters than all other 
causes combined at this port. The south half of the canal should be widened to cor- 
respond with the north end. It is believed that this would put an end to numerous 
accidents which are constantly occurring and which, as time goes on, will otherwise 
undoubtedly increase. 

FISHING CORRAUB. 

This office has supervision over the fishing corrals, which are established along the 
beaches within the limits of the city of Manila. Formerly, during the Spanish 
regime, the captain of the port of Manila had jurisdiction over all corrals (weirs) 
established in the bay of Manila. The method of procedure in the location of fish- 
ing corrals by this office is as follows: 

It is required that a written application be made in which shall be stated the exact 
locality desired, together with the depth of water in which it is proposed to plant 
the corral. If, upon application, it is found that the location will not interfere with 



REPOBT OF THE COLLECTOB OF CUSTOMS. 93 

Other corrals which have previously been established, the application is approved by 
this o^ce and license issued. The original application is then delivered to the 
harbor master and under the supervision of his office it is located. 

Corral licenses are issued for only six months, since that is the time during which 
they mav esilely be established on the east side of the bay. None, excepting such 
as are planted in very shallow water, are established until the month of October — 
most of them not until November — and they are operated during the northeast mon- 
soon period. In the spring they are taken up and many of them transferred to the 
Bata^ coast where fishing is followed during the southwest monsoon. 

The importance of the fishing industry in the bay of Manila is little appreciated 
by the general public. As a matter of fact, it is one of the most valuable mdustries. 
It is impossible to give the exact value of the fish caught annually in the corrals of 
Manila Bay, but an approximate idea may be had from the operations of a fishing 
society which had its headquarters at Navotas. This company was formed originally 
for the purpose of marketing its products in an economical manner. It represented 
a majority of the corral owners of Manila, Navotas, Malab6n, and otner near-by 
villages. The value of the fish marketed annually by this society amounted to, 
approximately, P"1,500,00C. Add to this the immense quantity of fish caught in 
other corrals and in seines, it becomes easy to believe that the total value of fish 
caught in the bay and marketed at the port of Manila is nearly F'3,000,000. 

MANILA HARBOR WORK. 

The port improvements at Manila have progressed rapidly during the past year, 
and a large amount of new land has been reclaimed along the **Malecon Drive.'* 
At the same time the deepening of the inner harbor has been actively proceeding so 
that the time is now in sight when Manila will have the best harbor facilities in the 
Orient. 

It is believed, however, by this office that the present plan for entering the inner 
harbor through the existing 740-foot opening between the two breakwaters should 
be changed by closing up said entrance and having all vessels enter and leave the 
inner harbor around the southern extremity of the south breakwater. The present 
depth of water in the channel around the south breakwater is 28 feet at low tide, so 
that it would require to be dredged only a few feet to give a channel depth equal to 
the deepest parts of the inner harbor. This change'would give a number of valuable 
protected berths which are at present practically useless in rough weather and would 
offer no inconvenience whatever to shipping. The cost of this work would be incon- 
siderable as compared with the benefits to be derived. Early consideration of this 
matter is respectfully ui^ged. 

PORTS OP ILOfliO AND CEBl^r. 

The gross collections of customs at the port of Cebd for the last fiscal year were 
1782,787.59, as against 1634,817.09 for the previous fiscal year; while at Iloflo the 
figures are: Fiscal year 1905, $531,266.01; fiscal year 1904, |604,652.27. 

A considerable item of the customs collections at the port of Cebd is represented 
by export duties on hemp, which are refundable. No nemp shipments are made 
from tne port of Iloflo. At both Iloflo and Cebii there has been a large increase in 
exports, the gain in value for the last fiscal year over the preceding year being 
$801,835 and $1,751,519, respectively, while, on the other hand, the imports at the 
port of Iloflo have fallen off m value to a great extent. At Cebii, however, the value 
of imports for the last two fiscal years was practically the same. 

PORTS OP ZAMBOANOA AND J0L6. 

The customs business at the port of Jol6, as represented by its gross receipts from 
that source, was about the same for the last fiscal year as for the corresponding 
period preceding, there being a difference, representing a decrease, of but $775.77 
for the latter period. The gross customs collections at the port of Jol6 for the two 
years were: Fiscal year 1905, $75,300.28; fiscal year 1904, $76,076.05. 

Zamboanga is the only port that shows a decided increase of customs receipts for 
the last fiscal year, as a result of what may be accepted as improved trade conditions. 
As against $41,120.20 for the fiscal year 1904, the gross collections at the port of 
Zamboanga for the last fiscal year were $54,359.92. 

PORTS OP BONGAO AND BALABAC. 

These ports were originally not created for the purpose of yielding revenue, but to 
serve as a preventive force against possible violations of the revenue law, and it was 



94 REPORT OF THE PHILIPPINE COMMISSION. 

not expected that they would develop to any appreciable extent. However, the 
receipts at Balabac were several times greater than for the fiscal vear 1904, and the 
gross receipts at Bongao were somewhat Uirger than those realized for the same period 
preceding. 

PORT OF JDRATA. 

Acting upon the request of the Moro council, the Philippine Commission, on July 3, 
1905, by Act No. 1366, established a port of entry at Jurata, on the island of Cagaydn 
de Jol6. The reasons that caused this step were similar to those relating to the estab- 
lishment of ports at Bon^[ao and Balabac, as it was believed that a port of entry at 
the extreme southern point of the islands might tend to promote a legitimate trade 
and prevent smuggling to a certain extent. A competent customs oflficer, a native of 
these islands, who, besides speaking fluently both English and Spanish, understands 
some of the native dialects, has been selected for the collectorship at Jurata, and is 
now on his ,way to that point. It is not to be expected that the government will 
receive any considerable revenue from the source of customs receipte at the port of 
Jurata, and it is doubtful, based upon experience derived from similar ventures at 
other points in the islands, if the receipts will equal the necessary expenditures. 

STATISTICS. 

While trade conditions and customs revenues have not been all that could have 
been hoped for, there is little cause, all things considered, for discouragement, and. 
on the other hand, there are many indications of a gradual restoration to normal 
conditions. 

Notwithstanding quite serious ladrone disturbances in some portions of the islands, 
which during the past year have greatly interfered with the productive industries, 
exports of the two chief products, hemp and sugar, have shown a material increase, 
and tobacco and copra, the two next important articles of export, have suffered only 
a slight decline compared with the exports for the previous year. The entire 
volume of exports for the year 1905 exceeds the exports for the previous year by 
$83,625, notwithstanding the above-mentioned troubles and a considerable decline 
in the volume of imports. 

It will thus be seen that a healthy balance of trade in favor of the islands has been 
not only maintained but increased, and that, after all, is the real test of commercial 
prospenty. 

From the standpoint of trade relations with the United States, there is the favor- 
able showing of a very considerable increase of imports therefrom, notwithstanding 
the general shrinkage of about $4,000,000 in the entire volume of import trade oi 
these islands. 

For the third consecutive year since American occupation the balance of trade con- 
tinues with the islands; in other words, for the last fiscal year there were exported 
commodities, consisting of staples, aggregating in value a sum greater by more than 
$1,000,000, United States currency, than the total value of imports for the correspond- 
ing period. An examination of the character of the exports reveals the fact that 
hemp shipments for the fiscal year ending June 30, 1905, were the lar^t in the 
history of the islands, and more gratifying still is the fact that of the entire value of 
exports of this article more than one-halt went to the United States. Sugar, too, 
shows a material increa^, the exports for the last fiscal year exceeding by more than 
$2,000,000 in value those of the preceding year. If the exports of the three principal 
staples produced in the Philippines — hemp, sugar, and tobacco — continue to show a 
marked increase each year, tnen it may be accepted as a fact that the islands have 
recovered from the unsettled conditions which have existed for a period of ten years 
past, and are now well on the road to a permanent prosperity, which will tend to 
develop many of the latent resources and vastly improve the present conditions and 
methods prevailing with reference to the production of tne important crops of 
agriculture. 

The exports of tobacco were not as great as for the fiscal year preceding, and, as 
might be expected, the proportion of tnis staple which found its way to the markets 
of the United States was insignificant, in view of the prohibitive tariff in force in that 
country. 

Next to the bare necessities of life, consisting of rice and fish, the average native 
requires a certain amount of cotton goods for his use and that of his family during 
each year, and if the manufacturing interests of the United States can command this 
trade they will gain an appreciable market for the outlet of the surplus supply of 
textiles annually manufactured there. 



BEPORT OF THE COLLECTOB OF CUSTOMS. 



95 



The increase in importe from the United States has been chiefly in the lines of 
cotton textiles, hardware, and machinery, the increase in the imports of cotton tex- 
tiles from the United States being more than 100 per cent during the past year. 
Thus far this increase has been chiefly in piece goods, but it is reasonable to suppose 
that as the demands of this market become better understood the increase will extend 
to made-up articles also. 

The value of cotton goods imported from the United States during the fiscal year 
1904 was $319,666, and in the year 1905 reached $764,088, the greater part of the 
increase taking place during the first six months of the year 1906, or the last half of 
the fiscal year. 

The statistical tables (in Appendix A), showing the importation of cotton piece 
goods under tariff para^phs 117 and 118, during the first six months of 1902 and 
of 1905, respectively, quite vividly illustrate the increase in cotton textile trade with 
the United States. 

Statistics show that the ports of Manila, Iloflo, and Jol6 have suffered some decline 
in customs receipts during the fiscal year 1905, as compared with the previous fiscal 
year, but that the other ports have had a marked increase in revenues. 

The greatest increase, |l49,970.5?, United States currency, is shown at the port of 
Cebd. This is accounted for to some extent by the fact that on the ni^ht of March 
11, 1905, Cebii was visited by a disastrous fire, which swept over the business portion 
of the city and destroyed immense quantities of merchanaise and supplies, which had 
to be promptly replaced, the result of which was a laige increase in the import duty 
collected. The increase in import duty alone during tne three months following the 
month in which the fire at Cebii occurred amounted to $116,001.79, United States 
currency, as shown by the following table: 

Import duties collected at Cebd. 



Month. 


1904. 


1906. 


April 




- . - ♦. 


$40,685.07 
29,666.01 
38,941.38 


196, 194. 38 


Miiy 


88, 660. 61 


June 


40,898.29 








Total 


109,241.49 


225,243.28 







The value of the property destroyed by this fire was estimated to be above 
$1,000,000, only a comparatively small part of which was covered by insurance. 
Immediately^ following the fire there was a substantial increase in export duty col- 
lected, notwithstanding the fact that a considerable amount of hemp ready for export 
was destroyed by the fire. 

The increase at Zamboanga amounted to $13,239.75; at Bongao to $339.54; and at 
Balabac to $2,532.75. 

The decrease in total collections at Manila amounted to $316,469.08; at Iloflo to 
$73,386.26, and at Jol6 to $775.77, all accounted for by decreased importations. 

A complete set of comparative statistical summaries for the fiscal year ended June 
30, 1905, and for the entire previous period of American occupation of these islands, 
together with full explanatory notes, is hereto attached, marked ** Appendix A." 

Great credit is due the chief of the statistical division of this oflBce for the prepara- 
tion of these data, and for the painstaking and accurate work which has made them 
available. 

ORQS8 CUSTOMS RBCBIPTS. 

It is believed to be a fact worthy of special comment that the total collections of 
customs from all sources throughout the Islands for the fiscal year ended June 30, 
1905, amounted to $8,263,444.25, or a decrease of but $170,424.01, a fraction more 
than two per cent, as compared with the preceding fiscal year. 



96 



REPORT OF THE PHILIPPINE COMMISSION. 



A D1CEA8UREMENT. 



Tho following is a statement of the vessels in the Philippine Islands admeasured 
during the past fiscal year: 



Port. 



Aparri 

Bongao 

Balabac 

Batangas 

CAplz 

Cuyo 

Catbo]<^ran-S&mar . . , 

Cebii 

Dumaguete 

Iloilo 

Jol6 

Legaspi 

Manila 

Nueva CAceras , 

Puerto Princesa 

Surigao 

8or9^6n 

San Fernando-Union, 

Sublc-Zambales 

Tacloban-Leyte 

Zamboanga , 

Total (21 ports) 



2,685 



Amount of 
fees (Phil- 
ippine cur- 
rency). 

r908.31 

48.00 

185.00 

198.00 

45.00 

39.00 

58.98 

2,602.40 

942.00 

975.01 

264.00 

168.70 

13,942.42 

66.00 

139.21 

40.26 

37.60 

1,732.10 

7.50 

614.50 

336.00 



23,194.89 



SIGNAL LETTRRS AND OFFICIAL NUMBERS FOR PHILIPPINE VE88ELH. 

The system of si^n^l letters and ofiScial numbers for vessels of the Philippine 
Islands, as outlined m the second report of this office, has been continued, and up to 
the present time 3,669 documented vessels have been assigned official numbers, 379 
of which have also received signal letters. 

Lists of the vessels to which the assignments of signal letters have been made from 
July 1, 1904, to June 30, 1905, have been published in customs administrative cir- 
culars Nos. 364 and 384, copies of which are nereto attached, marked * ' Appjendix B. * * 

Alphabetical list of vessels assigned official numbers since July 1, 1904, is attached 
hereto, marked "Appendix C," which, taken in connection with the list published 
in the previous report, makes a complete list of all vessels thus documented in the 
Philippine Islands up to June 30, 1905. 



INTERNAL REVENUE TAXES ON MATCHES. 

Under the operation of section 108 of Act No. 1189 (internal revenue law) the work 
of collecting internal revenue taxes on imported matches devolved upon this bureau. 
Suitable regulations were promulgated for the guidance of all collectors of customs, 
and from August 1, 1904, the date on which the law cited became effective, until the 
close of the last fiscal year, the following amounts were collected as internal revenue 
taxes on imported matches at the several entry porta. 



Port. 


In stamps. 


In money. 

1^14,886.67 

1,680.00 

3,880.00 

1,299.93 

60.00 

66.64 

41.83 


Total. 


Manila 


1^,600.00 

8,396.00 

600.00 


1^48,486.67 


Iloilo 


5, 276. 00 


Cebii 


4,480.00 


Joi6 


1,299.93 


Zamboanga 




60.00 


Balabac 




66.54 


Bongao 




41.33 








Total 


37,896.00 


21,814.47 


59,710.47 





At first these taxes were collected in currency, and subsequently the paj^ments 
were made by the presentation of duly canceled stamp vouchers representing an 
amount equivalent to the taxes due on a particular entry. All funds collected under 
this head have been accounted for pursuant to an arrangement made with the col- 
lector of internal revenue. 



BBPOBT OF THE COLLECTOR OF CUSTOMS. 



97 



PHILIPPINB MASINE EXAMINATIONS. 



Pursuant to section 17 of Act No. 780 of the Philippine Commission, the ** Board on 
Philippine Marine Examinations" has been regularly convened during the paet vear. 

Up to June 30, 1905, the following *' licenses" and "certificates of service" had 
been issued by this board: 

LICENSES. 





Citizens of the— 




Rank. 


Philippine Islands. 


United States. 


Total. 




Original. 


Re- 
newed. 


Original. 


Re- 
newed. 




Masters 


10 

1 

9 

17 

62 

26 

20 

28 

157 


S3 
8 
9 
5 
187 
102 
52 
64 


11 
7 
5 


15 
2 
1 


69 


Chief mates 


18 


Second mates 


24 


Third mates 


22 


Patrons 


5 
6 
4 
8 


2 
3 


196 


Chief enffineeTs 


186 


First assistant engineers * 


76 


Second assistant engineers 




95 


Kngipf^rs limited to bay and river 




157 












Total 










788 















CERTIFICATES OF SERVICE. 










Citizens of— 




Rank. 


Spain. 


Great 
Britain. 


Ger- 
many. 


China. 


Total. 


Masters 


42 
9 
1 
4 

29 
8 
3 


3 

1 


1 
1 




45 


Chief mates 




11 


Second mates. r - 




1 


Patrons 









4 


Chief engineers 


1 






80 


Flret assiRtant engineers 




1 


9 








1 


4 










Total 











104 







1 





The above shows a total of 892 licensed marine officers in the Philippine Islands 
on June 30, 1905. 
Of these, 726 are citizens of the Philippine Islands. 

PERSONNEL. 

The following table of changes in the personnel of the customs service at the port 
of Manila during the fiscal year ending June 30, 1905, shows some improvement over 
previous years, but the standard of permanency desirable in a line of technical duties 
requiring a high degree of efficiency as well as the strictest integrity, has not yet been 
attained: 

Separations. 



Month. 



1904. 

July 

Aogust 

September 

October 

November 

December 

1906. 

January 

February 

March 

April 

May 

June 

Total 



Re- 
signed. 



I 



Dls- ' Trans- 
charged, f erred. 



137 



27 



'NumberofUj ^^ f 
I month. 



monthly. 



615 
625 
613 
620 
617 
611 

618 
584 
615 
621 
602 
616 



20 
20 
23 
30 
15 
15 

18 
13 
9 
28 
14 
20 



7,367 



220 



WAR 1905--VOL 13- 



98 REPORT OF THE PHILIPPINE COMMISSION. 

The monthly average of employees for the fiscal year 1905 was 613. During that 
period the number separated from the service through resignation, discharge, trans- 
fer, or death was 220, or 36. per cent of the average monthly force. During the year 
the resignations alone amounted to nearly 25 per cent of the entire personnel. 

These frequent changes have the effect of seriously impairing the efficiency of the 
service, presenting a difficultjr not encountered to anythmg like a similar extent in 
the United States. The subject merits serious consideration with a view to some 
form of remedial action. 

Chinese and Japanese immigration. 



Chinese . . 
Japanese . 



Fiscal 


Number 
of immi- 


year. 


grants. 


1908 


8,762 


1904 


9,069 


1905 


8,886 


1903 


1,072 


1904 


2,744 


1905 


1,285 



There has been a decided decrease in the number of Japanese immigrants arriving 
at ports in the Philippine Islands during the last fiscal year as against the number for 
the corresponding period preceding. This change is undoubtedly caused by the 
present war in which Japan is involved, for the statisties for the fiscal year 1904 show 
that Japanese immigration into the Philippine Islands had greatly increased — in 
fact, more than doubled that of the fiscal year ending June 30, 1903. 

Under theojjeration of the Chinese-exclusion acts there has been, of course, no par- 
ticular change in this class of immigration, and aside from the admission of the wives 
and minor children of resident Chinese merchants domiciled in the Philippines, the 
immigration of that nationality consista almost altogether of Chinese returning to the 
islands. In this respect Chinese immigration differs from that of any other nation- 
ality, because those who arrive from year to year have ordinarily maintained a pre- 
vious residence in these islands. 

The immigration records for the year show that 335 wives and minor children of 
resident Chinese merchants were admitted at the port of Manila, aa against 245 for 
the fiscal year preceding, an increase of 36} per cent. In the or^mic law relatinj^ to 
the exclusion of Chinese no provision was made for the admission of wives or minor 
children of resident Chinese merchants, but the Supreme Court of the United States 
decided that the lawful wife and minor children of^a resident Chinese merchant are 
entitled to admission. It has been noticed that for the past year Chinese merchants 
have been extremely anxious to bring into these islands their children, especially 
boys, who previously resided in China. 

The following tables show the transactions of the immigration division of the 
Manila custom-house for the fiscal year ended June 30, 1905 : 

Number of merchants' affidavits for Chinese received and indorsed 909 

Number of merchants* affidavits for Chinese received and rejected 204 

Total received ." 1,113 

Number of Chinese laborers' applications received 7,583 

Number of Chinese laborers' return certificates issued 7, 008 

Receipts for laborers' return certificates ^.. P'35,040 

Receipts for immigration dues from Chinese 32, 736 

Receipts for immigration dues from aliens 11,068 

Total emigration and ( estimated) immigration dues 78, 844 

Total number of passengers entered the port : 

American 13, 304 

British -,.. 466 

German 87 

French 74 

Spanish , 571 



REPOBT OF THE COLLECTOB OF CUSTOMS. 99 

Total number of passengers entered the port — Continued. 

Bussian 16 

Anstrian 11 

Italian 26 

Greek 11 

Jajmnese 1,204 

Chinese 8,184 

Filipino 1,223 

East Indian 209 

Swiss 24 

Korean 1 

Others 144 

Total 25,664 

Total number of ships boarded 591 

Total number of ships with passengers 324 

Total number of persons held for "special inquiry*' 802 

Number of persons deported: 

Chinese 40 

Others 302 

Total 342 

Total number of landing certificates issued .• 480 

Total number of certificates of residence issued '. 6 

Total number of wives and minor children of resident Chinese admitted: 

Fiscal year 1904 246 

Fiscal year 1905 336 

Total number of Japanese admitted: 

Fiscal year 1904 2,672 

Fiscal year 1905 1,204 

SUPERVISION OP GOVERNMENT VESSELS. 

It is gratifying to note that Congress has acted in line with the recommendation 
contained in the last special report of this office by giving the necessary customs 
su|)ervision over vessels of the United States Government entering the ports of the 
Philippine Islands. The provision of the law is found in paragraph 393 of the tariff- 
revision law of 1905, and reads: 

" That United States Government vessels, whether transports of the Army or 
naval vessels, when coming from the United States or a foreign port to the ports of 
the Philippine Islands, shall be subject to the same inspection by customs officers of 
the Philippine government, for the purpose of determining whether they have on 
board articles ot merchandise dutiable under the laws of the Philippine Islands, as 
such United States Government vessels are subject to by customs officers of the 
United States Government when such vessels enter ports of the United States from 
foreign countries for the purpose of determining whether such vessels have on board 
articles or merchandise dutiable under the laws of the United States." 

The effect of this is to make customs supervision over all incoming vessels from 
foreign ports uniform. Authority now exists for the proper surveillance of Govern- 
ment vessels in the interest of protecting the revenue. 

COST OP COLLECTION. 

As has been pointed out in previous annual reports, the rate of cost of collecting 
the customs revenues in the Philippine Islands continues to be considerably less than 
that prevailing at the corresponding large ports in the United Stat^ which bear a 
comparison with the transactions of Manua. An examination of the customs receipts 
and expenditures at the ports of San Francisco, Baltimore, and Chicago for the same 
period will afford a decidedly favorable comparison for Manila. 

• PROPORTION OP FILIPINO EMPLOYEES. 

The policy of the government to employ Filipinos as far as practicable in the dif- 
ferent oranches of work is illustrated in this bureau by the following table showing 



100 



REPORT OF THE PHILIPPINE COMMISSION. 



the personnel of the Manila custom-houee by fiscal years ended June 30 from the 
date of American occupation: 





Claarifled. 






Unclassi- 
fied. 


Total 
employees. 




Salaries over 
91.200. 


Salaries $1,200 
and ander. 


Total classified. 




Ameri- 
can. 


Fili- 
pino. 


Ameri- 
can. 


FUI- 
pino. 


Ameri- 
can. 


ph!o. ^i*p*"°- 


Ameri- 
can. 


Fill- 
plno. 


1899a 


4 
8 
21 
48 
68 
76 
90 


i" 

2 
2 
2 
3 


16 
45 
94 
120 
132 
144 
104 


48 
92 
186 
204 
220 
216 
269 


20 
53 
116 
168 
200 
219 
194 


48 




20 
58 
116 
168 
200 


48 


1900a 


92 
187 
206 
222 
218 




92 


1901 


74 
111 

98 
178 


261 


1902 


317 


1903 


»20 


1904 


219 391 


1906 


272 


146 


194 418 



a During these years United States troops were employed in customs work, hence small number of 
regular employees. 

Of the total classified customs employees at Manila about 59 per cent are Filipinos; 
of the unclassified 100 per cent are Filipinos; and of the total customs employees at 
Manila over 68 per cent are Filipinos. 

• 

GIFTS SENT TO UNITED STATES. 

Complaints have recently been received by this office of alleged cases of gross over- 
valuation at ports in the United States of small quantities of native textiles and other 
articles sent oy mail as presents from people in the Philippines to friends in the main- 
land territory. 

One instance has been reported of a waist pattern costing P"5 on which duties were 
assessed amounting to $7.20; another piece of goods costing F'l.SO was charged $2.^0 
at Philadelphia. These cases arise as a general rule under the ad valorem clauses of 
the United States tariff, and seem to be especially prevalent at the eastern ports. 

The matter is somewhat annoying to people in these islands, who usually send 
these articles not by way of trade, but as gifts. It is unpleasant to have the recipient 
of a gift pay more in duty than the article itself is worth, and as the ad valorem rate 
of duty on this class of articles is not supposed to exceed 60 per cent, it would appear 
that there is some error in the transaction. 

It is rare that such cases are of sufficient importance to warrant their submission 
to reappraisal, even if the recipient (often a woman) were aware of the technical 
right involved. 

This office would be entirely willing, for the convenience of all concerned, to make 
collections of representative Philippine textile products, ascertain the correct market 
values and certify the same, and forward the sets to the Secretary of the Treasury of 
the United States, provided such action would be agreeable to that Department. 

It is, therefore, recommended that communication be had by the War Department 
with the Secretary of the Treasury with a view to ascertaining whether such action 
by this office will be acceptable and of utilitv in securing correct appraisal of these 
native products sent from the Philippines to the United States. 

This office will in return notify people residing here to include in any suoh pack- 
ages mailed by them to persons in the United States a statement, in the nature of an 
invoice, showing the actual market value of the article purchased. This, together 
with the samples and values certified by this office to the Treasury Department 
should enable a more accurate appraisal to be made, thus avoiding in future such 
overvaluations as may occur under the present conditions. 

NATURALIZATION OF ALIENS IN THE PHILIPPINES. 

There are a number of aliens, principally Spaniards, at present residing in these 
islands and engaged in the exercise of their profession or conduct of their ousiness, 
who are desirous of becoming citizens of the United States, especially certain of 
those aliens who are employ^ as marine officers in the coastwise trade. Many of 
these aliens have lived years in the Philippines, have here their residence, interests, 
and families, and are desirous of continuing here. During the period allowed by the 
treaty of Paris, and extended by the protocol of April 28, 1900, for the choice between 
continuing subjects of Spain and becoming citizens of the Philippine Islands, many 



REPORT OF THE COLLECTOR OF CUSTOMS. 



101 



were deterred from selecting the latter merely because of the uncertainty with which, 
with or without reason, they believed the future status of the Philippines to be 
enshrouded. Having now become convinced of the purposes of the United States in 
these islands, they are desirous of acquiring the rights of either American or Filipino 
citizens here. 

So, also, there are many natives of the Spanish peninsula who have at all times 
desired to be citizens of the Philippine Islands, but having been absent therefrom 
during some portion of the period covered by the treaty of Paris and the protocol 
above mentioned are debarred from citizenship in the Philippine Islands under the 
decision in the Bosque case. (1 Philippine Reports, 88. ) 

There is no tribunal in these islands authorized to admit aliens to either -American 
or Filipino citizenship. 

Section 2165 of the Ke vised Statutes of the United States prescribes that **an alien 
may be admitted to become a citizen of the United States" by declaring on oath, 
etc., "before a circuit or district court of the United States, or a district or supreme 
court of the Territories, or a court of record of any of the States having common law 
jurisdiction and a seal and clerk * * *.** 

Waiving the question of whether, in the absence of that portion of section 1 of the 
act of Congress of July 1, 1903, reading: 

"The provisions of section eighteen hundred and ninety -one of the Revised Stat- 
utes of eighteen hundred and seventy-eight shall not apply to the Philippine Islands," 
the supreme court of these islands would be considerea a "supreme court of a Terri- 
tory'* within the meaning of Revised Statutes 2165 et seq. is evident that the latter 
section does not apply to these islands under the existing laws. 

It is hardly to be supposed that the present coastwise laws permitting certain 
aliens to serve as marine officers on Philippine vessels will continue indefinitely, 
hence it would seem to be simple justice to give these aliens whose career and homes 
are in these islands an opportunity to become naturalized either as American or 
Filipino citizens. 

For these reasons, this office suggests that the Philippine Commission recommend 
to Congress the early passage of an act^ substantially authorizing the supreme court 
of the Philippine Islands to admit aliens to become citizens of the United States 
under the provisions of Title XXX of the Revised Statutes, et seq., and authorizing 
the supreme court of the Philippine Islands and the courts of first instance Shaving 
a seal and clerk) to admit aliens to become citizens of the Philippine Islanas, hav- 
ing all the rights of such citizens under section 4 of the act of Congress of July 1, 1902. 

W. Morgan Shuster, 
Collector of Customs for the Philippine Islands. 



Appendix A. 
STATISTICAL BEPOBTS. 

Amount of textiles under tariff No. lS7y now No, 117, imported into the port of Manila 
during the first half of the calendar year 1902. 

[United States currency, 6.8 per cent.] 



(Country. 



Belgium 

France 

Qermany 

Italy 

Netnerlands 

Spain 

Switzerland 

England 

Scotland 

United States 

China 

East Indies (British) . 

Hongkong 

Japan 



Total 1,805,610 



Kilos. 



14,370 

4.416 

23,828 

30,987 

16,464 

143,868 

49,769 

965,095 

88,986 

118, 788 

44,650 

301,104 

4,689 

3,646 



Value. 



112. 670. 85 

3,121.95 

14,522.50 

17,284.96 

11,960.49 

121,311.98 

41,385.40 

623,887.49 

66,665.72 

74,214.36 

23,859.05 

160,145.80 

2,971.60 

2,532.82 



1,176,024.87 



Duty. 



$3,541.11 

859.13 

5,377.86 

5,664.92 

3,289.42 

28,580.30 

10,767.04 

172,594.34 

16,294.37 

20,875.46 

6.893.50 

54,874.12 

794.95 

846.52 



331,058.04 



102 



REPOBT OF THE PHILIPPINE COMMISSION. 



Amount of textiles under tariff No, 117 imported into the port of Manila during the first 
half of the calendar year 1906. 

[United States currency, 80 per cent.] 



Country. 



Kilos. 



Value. 



Duty. 



Belgium 

France 

Germany _ 

Italy I 

Netherlands 

Spain 

Switzerland 

England 

Scotland 

United States 

China 

East Indies- 
British 

French : 

Japan 

Total 



1,880 


$1,248.49 


$885.66 


5,050 


4,413.92 


1,036.19 


8.051 


2,468.82 


525.45 


41,314 


22,920.44 


7.481.99 


t 23,864 


15,688.22 


4,436.72 


155,871 


132,488.28 


28.4^2.98 


40,089 


38.534.10 


8.162.00 


1,069.225 


725,619.84 


183,396.27 


28.460 


21,068.66 


6, 122. 18 


711.767 


511.624.44 


127,738.15 


136,818 


87.096.67 


21,897.80 


297,845 


144,938.47 


42,988.13 


11 


9.00 


1.89 


9,083 


7,187.23 


1,754.48 


2,528,763 


1,710,801.58 


432,778.69 



Amount of textiles under tariff No. 128^ now No. 118^ imported into the port of Manila 
during the first half of the calendar year 1902. 

[United States currency .003 per cent.] 



Country. 


Kilos. 


Value. 


Duty. 


Belgium 


870 

576 

4,584 

890 

3,027 

4,828 

78.143 

18,217 

52 

840 

824 

88 


$1,049.18 

829.34 

4,784.25 

251.90 

8.040.35 

6,268.72 

78.512.00 

14,807.19 

81.44 

865.64 

291.81 

42.50 


$277.07 


^'rance 


112.22 


Qemiany , . . 


1,812.10 


Italy 


58.60 


Spam 


1,141.69 
1,842 65 


Switzerland 


E^ngland 


26.697.68 

4,225.72 

17.60 


Scotland ... 


United States 


Fjwt- Tndi^Hi (Pritiih) 


176. 12 


Hongkong .' 


89.08 


Japan . 4 . . 


9.24 






Total 


106,884 


105,274.82 


36,459.52 







AmourU of textiles under tariff No. 118 imvorted into the port of Manila during the first 
half of the calendar year 1905. 

[United States currency 14 per cent.J 



Country. 


Kilos. 


Value. 


Duly. 


France 


602 

262 

359 

14,202 

584 

2,787 

90 

79 

8 


$1,088.16 

281.97 

261.14 

15,765.00 

486.65 

3,010.64 

197.88 

260.29 

8.00 


$291 96 


Qermany 


76 08 


Switzerland 


46 35 


E^igiand . . 


6,166.26 
167.68 


Scotland 


United States 


780 91 


China 


39.70 


East Indies (British) 


86 00 


japan ......! '.....,.. 


3.89 






Total 


18,878 


21.244.23 


6. 598. 82 







Should this rate of increase be maintained for any considerable length of time the 
final result will readily be seen, and the oftrrepeated assertion that there is a field 
here for the extension of trade in the cotton manufactures from the United States 
will have been verified in the most substantial and unmistakable manner. 



REPOBT OF THE COLLECTOR OF CUSTOMS. 108 



ILLUMINATING OIL. 



There has also heen a sahstantial growth in trade with the United States in 
illaminating oil, as will be seen bv reference to table submitted herewith, though 
Rifflsia appears to have been making some inroad of late. The illuminating oil 
imported from the United States in 1904 was valued at $246,519, and in 1905 at 
$443,512. 



HABDWABE AND MACHINERY. 



By reference to the statistical tables it will also be seen that substantial increase 
has been made in trade with the United States in the line of hardware and machin- 
ery; the trade in 1904 amounting to $821,160, and in 1905 to $1,447,387, with every 
indication of continued increase. 

PAPEB, AND MANUFACTURES OP. 

In the line of paper, and manufactures of, there has also been considerable increase 
shown in trade witn the United States, and the same is true of distilled liquors, but 
there has been a slight shrinkage in the imix)rtation of malt liquors from tne United 
States, and idso in flour, considerable quantities of flour having been imported from 
Australia during the year just closed. 

As duties on exports are mereljr nominal, the chief source of revenue coming from 
duties on imports, it will be readily understood that a lai^e shrinkage in the volume 
of imports and the maintenance of a heav^ balance of trade in favor of products of the 
islanas means a corresponding reduction m customs revenue, which, however, is no 
indication of commercial dissSter or financial depression, but quite the reverse. 

The measure of customs receipts is by no means the true measure for determining 
the d^ree of commercial prosperity. The relative volume of exports and imports 
constitute the safer guide, ana the showing in that respect is steadily but surely 
improving, with evidence of growing realization of the fact tnat the productive industry 
is Uie key to permanent prosperity, it being evident that the natural resources of the 
islands are abundant to support in comfort at least five times the present population. 

The hemp exports for the fiscal year ended June 30, 1905, have been the largest 
daring the nistory of the Philippine Islands, being about three times the average 
value of yearly exports during the five-year period from 1890 to 1894, inclusive, under 
Spanish rule. 

Substantial increase has also been shown in the exportation of sugar. 

Copra, coffee, ylang-ylang oil have shown a decrease. 

In the year 1890 the value of coSee exported was $1,588,416, and in 1905 only $2,552. 

FRESH MEATS. 

Australia practically controls the Philippine trade in the line of fresh meats, and 
on account of closer proximity and higher prices ruling in the United States, Australia 
is likely to continue to monopolize the Philippine market. 

The price of mutton, pork, and hind quarters only of beef ranges from 4 cents to 
6J cente per pound, delivered in Manila in a frozen condition. The meat is of excel- 
lent quality. Nothing short of correspondingly low prices would be likely to transfer 
trade in this line from Australia to the United States, natural conditions being all in 
favor of the nearer market. 

In the line of distilled and malt liquors, the United States practically controls the 
Philippine market, and encouraging increase is shown in the trade with the United 
States m the line of canned fruits, of which large quantities are consumed in the 
Philippine Islands, notwithstanding the abundance of native fruit of tropical varieties. 

The increase in the home production of rice and the consequent re<luction in the 
importation of this necessary article of food is an encour^ing sign of the times which 
gives rise to the hope for still greater improvement in this respect. 

There is an abundance of suitable soil in the Philippine Isl^ds for the production 
of all rice necessary to supply the home demand, and the importance of giving 
greater attention to this proauctive industry should so impress itself upon the people 
as to encourage them to an effort in the way of industrial productive development 
which would entirely shut off the importation of rice. 



104 



REPORT OF THE PHILIPPINE COMMISSION. 



CUSTOMS BEVBNUES. 

The following tables show by ports the customs receipts and expenditures at all 
entry ports during the five fiscal years ended June 30, 1905; also gross customs 
receipts and expenditures by fiscal years during the entire period of American occu- 
pation and customs receipts by sources. 

The tables do not include revenue derived from duties on Philippine products 
imported into the United States nor collections from business firms at Manila for 
payment for overtime of customs employees and storekeepers of bonded warehouses. 

The tables are summaries of financial reports of collectors of customs sent monthly 
to the Secretary of War, Washington, D. C. 

Oiistoms coUeetions at all entry portSj during Jit^ fiscal years ended June SOj 1905, 
[Kxpressed in United Staten currenoy. I 



Port. 


190L 


1902. 


1908. 


1904. 


1906. 


Manila 

Cebii 


«7,62S,00ft.73 
498,860.98 
735,172.75 
87,395.22 
14,704.64 
18,674.68 


$7,250,809.86 
650,676.42 
612, 128. 95 
61,074.86 
10,298.13 
43,136.30 
814. 11 


97,862,271.64 
829,486.09 
702,686.24 
74,266.67 


$7,131,379.86 

634,817.03 

604,652.27 

76,076.06 


$6,814,910.78 
782, 787. 60 


Hollo 


631.266.01 


Jol6 


76, 300. 28 


SlaHl 




Zamboan^a 


65,396.92 
6,699.46 


41,120.20 
1,692.41 
1,718.77 

645.28 
1,223.00 

743.39 


64,869.93 


AparrI 




Puerto T'rlncesa 






Cape M.'lville 




1 




Boiigao 




1 


1, 662. 64 


Balabrc 








8, 267. 12 










Total 


8,982,813.85 8,628,938.12 


9,640,706.92 


8,498,868.26 


8,268,444.26 



Collections at coastwise porti< are not include*!. 

Customs expenditures at all erttry ports during fire fiscal years ended June 30 ^ 1906. 
[Expressed in United States current'y.] 



Port. 


1901. 


1902. 


1903. 

$402,405.17 
24,129.95 
38.335.31 
9,865.29 


1904. 

$476,589.55 
31,501.13 
30,088.84 
10,812.08 


1906. 


Manila 

Cebii 

Dotlo 

Jol6 

Siaal 


$170,763.19 
14,255.18 
34,095.87 
5,500.97 
2,009.24 
4,426.44 


$845,903.99 
23,029.99 
47,535.69 
7,939.46 
2,123.61 
6, 252. IK 
810. 24 


$480,698.73 
27,566.46 
85,268.23 
11.736.81 


Zamboanga 

AparrI 


9,294.35 
4,066.60 


8,982.22 
K53.00 
1,672.84 
1,533.87 
1,430.26 


7,75i.6i 


Puerto Princesa . . .,. , . , 






Bongao ' 




4,732.78 


Baiabac 






2,640.30 


Cape Melville. 
















Total 


231,050.89 


433,589.16 


488,086.67 


663,463.79 


620,278.87 







Customs roUections for months of July ^ 1904 and 1906^ hy ports. 





Port. 


1906. 


1904. 


Manila 




$681,120.22 
82,612.99 
60,060.86 
6,068.98 
7,481.91 
639.98 
148.18 


$676, 988. 98 


Cebil . . . . . 


38,668.66 


Iloi lo 


84, 146. 64 


Jol6 


1,092.78 


Zamboanga 


2,817.11 


Baiabac 


249.62 


Bongao . 


19.26 


Puerto Prlncesa -- 


6.00 











Total 


738,018.06 


662,824.06 







As will be seen, the customs collections for the month of July, 1905, exceed collec- 
tions for corresponding month of previous year $85,194.01. 



BEPOBT OF THE COLLECTOR OP CUSTOMS. 



105 



Customs coUections for months of August^ 1904 and 1906 y by poi'ts. 





Port. 


1905. 


1904. 


Manllft 





9515,658.06 
63,698.97 
76,504.28 
&,851.12 
6,896.83 
532.28 
663.87 


$526,416.67 

51,251.18 

73.924.68 

10,224.12 

5,896.05 

73.80 


Ilollo 


Cebtl 


Jol6 


ZamboangA ,..,.,....,, 


BoDfao 


Balabac 


10 62 


Puerto Princeaa - - - - - 


18.24 










Total 


669.799.91 


666, 816. 31 









Customs collections for August, 1905, exceed the collections for the corresponding 
month of the previous year ^,484.60. 

Customs collections for the first eight months of the calendar year 1905 aggregated 
$5,898,524.42, and for the corresponding period of the previous year $5,49o,0&.49, 
thus sliowing that the gross collections for the first eight months of the year 1905 
have exceeded the collections for the corresponding period of the previous year 
$402,514.93. 

Refundable export duties have been collected at only two ports, as follows: 



Port. 


1902. 


1908. 


1904. 


1905. 


Total. 


Manila 


$85,346.83 
85,717.86 


$410,646.48 
116,281.67 


$378,218.07 
84,220.76 


$876,195.12 
110,380.44 


$1,200,401.45 


Cebtk 


846,600.78 






Total 


71,064.69 


526,928.10 


462.433.83 


486,676.56 


1,547,002.18 







The total amount of refundable export duty collected on Philipi)ine products 
exported to the United States for consumption tnere, under the provisions of act of 
Congress approved March 8, 1902, was, up to June 30, 1905, as will be seen by above 
table, $1,547,002.18 United States currency. 

CURRENCY IMPORTS AND EXPORTS. 

By observing the statistical tables of imports and exports it will be seen that the 
importation of silver currency has practically ceased and that there has also l^een a 
great decline in the exportation of silver coin. 

Ordinarily under normal conditions exports and imports of currency represent 
merely the balance of trade, but it has not been so in the Philippine Isliuids, w^here 
in former years Mexican currency was as much an article of commerce as were hemp, 
rice, tobacco, or cotton textiles.^ 

Latterly, since the substitution by the Philippine government of the stable Philip- 
pine currency for unstable Mexican currency, which was such a menace to conmierce, 
exports of silver coin have represented almost exclusively merely an exchange of the 
unstable for the stable currency, based upon gold, and the change has been a welcome 
one to all lines of legitimate business. 



Gross customs receipts^ i 



r sources^ three fiscal years ended June SOj 1903^ 1904^ and 1905 ^ 
ai all ports in tlie Philippine Islands. 



Sources of receipts. 



Import duty 

Export duty 

Harbor-improvement tax 

Tonnage tax, coastwise 

Tonnage tax. foreign 

Pines and seizures 

SUxrage and cartage 

Imnugration dues 

Chinese certificates of residence . . . 
Chinese certificates of registration . 

Admeasurement fees 

Auction sales 

Various other sources 



1908. 


1904. 


1905. 


$7,678,837.18 


$6,740,117.56 


$6,664,096.98 


1,867,843.31 


l,2,'i3,507.67 


1,082,286.40 


146,006.89 


187,424.17 


218,441.89 


118,741.99 


108,576.21 


103,680.39 


70.068.24 


70,641.86 


62,587.88 


20,629.41 


30,843.00 


9,494.07 


16,600.86 


12,660.58 


7,497.59 


11,988.96 


20,069.00 


28,420.00 


14,820.86 


19,265.87 


18,437.60 


1,642.02 


28,503.58 


463.00 


7,682.18 


8,718.82 


9,141,62 


12,288.91 


6,873.49 


6,204.18 


76, 877. 68 


61,680.00 


68,692.80 



Total 9,640,706.92 8,493,868.26, 8,263,444.25 



Collections at coastwise f)ort« are ml included. 



106 



REPORT OF THE PHILIPPINE COMMISSION. 



TottU cu&loms collections and expenditures at all entry ports by fiscal years during American 
occupaHon^ August j?0, 189S, to June SO, 1906. 



Year. 


Collections. 


Expend! tureft. 


1899 




$8,106,880.34 
6,542,289.18 
8,982,818.85 
8,528,988,12 
9.540,706.92 
8,498,868.26 
8.263,444.25 


$82,624.24 
103, 898. U 
281,050.89 
433 589 16 


1900 '. 


1901 


1902 


1908 


488,086.67 
563,468.79 


1904 !.-!!..-!!.!!!*!!"-!! !! 


1906 




520,278.87 









Total I 62,458,440.92 



2,872,486.76 



Collections at coastwise ports are not included, bein^ represented in separate tables 
following. 

Customs expenditures^ itemized^ for all ports^ fiscal years ended June SO, 1998, 1904, 

and 1906, 



Item. 



Salaries and vrttgeB 

Rentand supplies 

Permanent repairs 

Miscellaneous expenditures 

Total , 



1908. 



$417,812.45 
81,066.42 
31,476.14 
8,281.66 



1904. 



1905. 



$447,792.15 $454,283.17 

19,088.12 ; 16,812.88 

29,324.61 1 17,877.75 

67,264.01 81,296.58 



488,086.67 j 663,468.79 



620,278.88 



The following tables show the receipts and expenditures in all coast-inspection 
districts during the two fiscal years ended June 30, 1904 and 1905: 

Fiscal year 1904* 



District. 



Aparri 

Batangas 

CApi2 

Catbalogan . 

Cuyo 

Ck>tabato.... 

D&vao 

-Duma^ete . 
Subic 



Rombi6n 

San Fernando . 

S&n Jo86 

Sor80g6n. 
Surf 



Surigao . 
Siairi .... 



Tacloban . 



Total 49,380.70. 48,822.60, 8,706.68 



Receipts. 



$4,131. 
8,838. 
1,960. 
4,026. 
1,040. 

446. 

608. 
4,096. 
1,176. 
4,306. 

787. 
6,231. 
1.267. 
4.205. 
3,787 
25. 
7,433. 



Expendi- 
tures. 



Excess of 
receipts. 



48 
983.81 
972.80 
782.87 
388.68 
941.51 i 
774.35 
068.02 
160. 62 
426.43 
848.68 
706.84 
708.94 
185.98 
598.04 
962.87 
690.18 



$1,829.01 



1,292.28 



1,624.83 



1,019.21 
1,197.98 



1,848.42 



'I 



Excess of 
expendi- 
tures. 



$149.84 
1,022.15 



347.88 
1,496.40 
166.78 
962.08 
975.15 
119.66 
661.82 



441.70 



1,937.07 



8,178.48 



Aparri 

Batangas 

C&piz 

Catbalogan . 

Cuyo 

Cotabato . . . . 
D&vao. . 



Fiscal year 1905. 



District. 



Receipts. 



$4,413.98 

6,817.61 

418.15 

743.28 

127.82 

6.50 



Expendi- 
tures. 



$2,010.83 

5,678.02 

686.86 

1,000.01 

467.03 



Excess of 
receipts. 



$2,408.15 
139.59 



6.50 

919.' ie' 



Excess of 
expendi- 
tures. 



$273.71 
256.73 
329.21 



Dumaguete 8, 192. 17 

Subic : I 179.61 



7,273.01 
744.00 



664.49 



REPORT OF THE COLLECTOR OP CUSTOMS. 



107 



Fiscal year 1906 — Continued. 



District. 


Receipts. 


Expendi- 
tures. 


Excess of 
receipts. 


Excess of 
expendi- 
tures. 


Legaspl 


$5,816.18 


$4,666.00 


$1,150.18 




Rom blSn 




San FemRndo 


8,065.24 

137.28 

471.27 

28.40 

18,473.21 

2,476.80 

1,115.53 

787.80 


5,748.25 

807.79 

443.84 

585.99 

8,975.26 

2,626.86 

1,440.22 

1,056.67 


2,316.99 




San Jo66 


$670.61 


Surigao 


27.93 




Slafff 


662.59 


Tadoban -. 


9,497.95 




Hollo 


160. 05 


Puerto Princesa 




324.69 






268.87 








Total 


57.259.78 


44, 199. 13 


16.461.45 


3,400.85 







The customs collections in coastwise districte shown in the foregoing tables are not 
included in the tables of receipts and expenditures at entry ports. 

IMPORTS AND EXPORTS. 

The following tables show the imports and exports of the Philippine Islands by 
fiscal years during the period of American occupation to June 30, 1905, illustrating 
the growth and fluctuation of the import and export trade by ports, countries, and 
articles: 

Summary of imports into the Philippine Islands^ by ports, for the seven fiscal years ended 

June SO, 1906. 

[Values represented in United States currency, gold and silver coin included.] 



Port. 






Twelve months ending June— 






1899. 


1900. 


1901. 


1902. 


1903. 1904. 


1905. 


Manila !$12,914,818 

Iloilo 1 420,418 

Cebd 302.181 

jol6 


$20,889,174 

1.235,445 

850,988 

84,429 

14.826 

19,494 


$28,586,988 

2,336,918 

1,430,863 

326,295 

80,597 

57,250 


$36,604,675 

1,931,800 

2,124,188 

249,693 

156,064 

38,524 


$29,097,688 

2,582,883 

2,895,092 

274.801 

249,371 


$28,784,286 

2,477.670 

2,662,961 

269.510 

152,372 


$26,071,700 

1,817,576 

2,684,413 

274, 110 


Zamboanga 


187,878 


Siasi. .-" 




Bongao 






2,430 
4,315 
1,509 
2,478 


4,466 


PneRo Princeea 














Cape Melville .... 














Balabac 












9,845 
















Total 


13.687,417 


28.(M3,856 


32,818,411 


41,104,944 


35,099,835 


34,327,481 


30,999,988 



Grovemment free entries are not included. 

Valxte of imports from the United States, by ports, for the set en fiscal years ended Jane SO, 

1906. 



Port. 


1899. 
$1,702,536 


1900. 


1901. 


1902. 

$3,787,499 

103,825 

127,982 

3.436 

12,369 


1903. 


1904. 

$4,548,868 

107,282 

167,393 

4,789 

14,432 

32 

69 

379 


1906. 


Manila 


$1,643,846 
9,089 


$2,845,900 

36,658 

148,946 

2.097 

1,098 


$3,772,944 

141,375 

175.304 

4,212 

15,109 


$6,477,480 


Cebd 


177,631 


Hollo 


141 


8.485 


170,672 


Jol6 


3,069 


ZnmHoAxura 






10,370 


Bongao 






180 


Balabac i 










110 


Puerto IMnceaa 










Staai 1 




46 




182 






CapeMeivllle .... 






28 



















Total 


1,702,677 


1,656,420 


3,084,746 


4,035,243 


4,108,944 


4,843.207 


5.839.512 



Government free entries are not included. 



108 



REPORT OF THE PHILIPPINE COMMISSION. 



Summary of exports from the Philippine Islands^ by ports, for the seven fiscal years ended 

June SO, 1905, 

[Values represented in United States currency, gold and silyer coin included.] 



Port j 1899. 

1 


1900. 


1901. 


1902. ' 1903. 


1904. 


1905. 


Manila $13,692,592 

Hollo 1,732,632 

Cebd 616,078 

Jol6 


$17,180,846 

2,076,244 

2,377,606 

99,995> 

4,041 

28,808 


$21,622,444 

1,512,046 

3,093,714 

230, 8?2 

25,090 

47,096 


$20,462,688 

2.517,814 

3,913,297 

128,832 

103,320 

31,136 


$29,670,376 

4,108,028 

5,614,245 

209,228 

172,447 


$30,608,303 

2,833,324 

3,489,224 

120, 117 

77,643 


$27,393,308 

3,796,181 

6,663,913 

138,365 


ZcLmboanira i 


110, 573 


8n^.T.:::::?:::::::::::: 




BoDgao ! 




111 

460 

1,859 

2,264 


4,765 


Puerto Prlncesa 














Cape Melville t 











Balabac \ 








9,725 




1 








Total 16,041,302 


21,766,440 26,431,262 


27,167,087 


39,674,818 


37,083,186 


37,116,810 



Government free entries are not included. 
Valy£ of exports to the United StaieSy by ports, for the seven fiscal years ended June SO, 1905. 



Port. 



ManUa $2,672,439 

Cebii 

Iloilo 868.465 

Jol6 

Zamboanga 



1900. 



$2,448,474 

1,178,686 

476,627 



1901. ! 1902. 



$2,170,122 $5,089,826 
312,427 2.489,017 
89,472 I •293,354 



1903. 



1904. 



$9,603,475 
3,104,871 
1,264,463 



46 



260 



Total ! 3,540,894 



4,102,787 I 2,572,021 I 7,871,743 , 13,863,059 



$9,060,846 

1,684,567 

354,488 

2,600 

460 



11,102,860 



1905. 



$10,316,333 
2,914,398 
2,448,144 



15,678,876 



Comparative summary of imports into the Philippine Islands, by countries, during the three 
fiscal years ended June SO, 1905. 

[Duties and values represented in United States currency.] 



Country. 



United States 

East Indies, French 

England 

China 

East Indies, British 

Spain 

Germany 

British Australa^sia 

All other Asia 

Japan 

Slam 

France 

Switzerland 

Russia 

Belgium 

Mexico 

Hongkong 

Scotland 

Italv 

Netherlands 

Austria-Hungary 

East Indies, Dutch 

Persia 

Quebec, Ontario 

Sweden and Norway ... 

Denmark 

British China 

Ireland 

British Columbia 

Turkey in Asia 

Turkey in Europe 

Korea 

Canary Islands 

Malta 

East Indies, Portuguese. 
Portugal 



1903. 



Values. 



108,944 
629,093 
903,270 
717,617 
287,882 
621, 196 
998.922 
618, 140 
633,806 
701, »17 



,182,901 
480,612 
286,856 
218,985 
875, iM5 

,674,456 
259,885 
149, 512 
163,405 
105,089 
83,106 



7,421 
6,133 
6,734 
4,019 
3,761 
8,-677 
7,717 



276 
296 



Duties. 



$842,668 

902,402 

1,340,742 

1,001,478 

663,731 

729.471 

556,706 

40,795 

87,053 

241,571 



334,440 
122, 149 
133,888 
54,181 



206,779 
61,503 
50.490 

117,801 
32,764 
23,038 



1904. 
Values. Duties. 



$4,843,207 
9,357,048 
3,954,064 
3,278,296 
2,577.440 
2,017,203 
1,600,878 
1,101,092 
1,087,584 
803,314 



1,180,504 
479,685 
238,772 
276,262 
297,004 
770,393 
170, 381 
118,316 
91,264 
92,657 
18,309 



4,453 

757 

766 

954 

1,904 

2,836 

3,763 



8,310 
2,045 
4,699 



3,700 

3,616 

213 



2,082 
247 



$849,209 

1,321,047 

946,868 

666,916 

627,405 

• 662,272 

424,612 

55,609 

160,981 

274,313 



295,133 
109,245 
93,799 
62,464 



1905. 



Values. 



$5,889,512 
6,968,614 
4,612.637 
2,949,071 
2,007,614 
1,932,078 
1,498,898 
1,366,662 



1,018,983 
902,566 
832,607 
444,970 
802,646 
299,155 



108,487 
43,538 
40,816 
76,628 
32,701 
6,741 



4,360 
226 
656 



2,417 
899 
31 



244,997 

232,641 

152,802 

103,139 

94,348 

79,175 

76, 179 

20,344 

6,900 

6,213 



1,133 
37 



296 



3,640 

3,215 

1,100 

819 



Duties. 



$1,106,677 

1,063,772 

1,099,146 

671,230 

692,059 

657,982 

389.778 

62.435 



195 I 
83 
67 1 



216.635 
154,663 
227.327 

96,334 
126,220 

58,043 



65,990 
44,923 
70,114 
27.734 
22,653 
36,337 
11,624 
825 
316 



1,800 
498 
606 
629 
225 



88 
24 
34 



BEPOBT OP THE COLLECTOB OF CUSTOMS. 



109 



Comparative summary of imports into the Philippine Islands, by countries, during the three 
fiscal years ended June SO, 1905 — Continued. 



Ck)untry. 


1903. 1 1904. 


1905. 


Values. 


Duties. 1 Values. 


Duties. 


Values. 


Duties. 


Nova Scotia 




1 




$40 


$15 


Brazil 


$24 
29 
106 


83 








West Indies, British 


82 

148 


$6 


$3 






Cuba 


5 
2 


1 


French China ...■ 








Dutv on reliqnidation 








756 
















Total 


85,099,835 

8,766,848 
31,383,992 


7,678,948 i 3M..S27 4«1 


6,786,605 


80,999,988 

1,688,623 
29,316,865 


6,664,430 


Of above- 
Free of duty 




2,714,183 
81,613,298 


Dutiable 

















Currency is included. Government free entries are not included. 

During the fiscal year 1905 the United States has been second only to French East 
Indies in the value of merchandise imported therefrom, and for the first time in the 
history of the Philippine Islands the United States stands first in the amount of duty 
paid on merchandise imported therefrom. 

Value of merchandise (currency included) entered free of duty during the four fiscal years 

ended June 30, 1905, by ports. 

[Represented in United States currency.] 



Port. 


1902. 


1908. 


1904. 


1906. 


Manila 


$10,845,244 

307,928 

82,240 

33,777 

6,654 

51 


$3,484,926 

27,497 

230,246 

818 


$2,676,118 

22,127 

12,068 

664 


$1,676,182 

4,994 

2,012 

537 


Cebii 


noilo 


Jol6 


Siasi 




Zamboanfi^ 


22,362 


8,122 


826 


Bongao 


24 


Puerto Piincesa 






66 
28 




Balabac 






48 









Total 


11,226,894 


3,766,843 


2,714,188 


1,683,623 





Government free entries are not included. 

Summary of merchandise {currency included) entered free of duly during the four fiscal 
years ended June 30, 1905, by countries. 



Country. 



1902. 



Hong-kong , 

Chinese Empire 

Mexico 

United States 

Japan 

East Indies, British 

Australia 

Spain ■. 

East Indies, Dutch 

Siam 

England 

Italy 

East Indies, French- 

France 

Netherlands 

Germany 

Belgium 

Switzerland 

French China 

Scotland 

Austria-Hungary 

British China 

East Indies, Portuguese. 
Egypt 



$9,220,817 

61,682 

26,000 

64,810 

143,879 

1.295,807 

139,887 

34,729 

1,415 

66 

63,087 



2.008 



19,827 

1,992 

69 

24 

1,446 



160,000 



$1,002,585 

1,095,522 

875,245 

238,168 

156,076 

143,692 

127,702 

67,374 

15,868 

13,966 

10,970 

9,295 

6,967 

5.473 

4,464 

1,242 

883 

796 

327 

183 

70 



Total 11,226,894 i 3,765,843 



1904. 



$399,715 

850,568 

297,004 

423,626 

199,709 

51,466 

269.698 

42,498 

348 

136 

6,337 

9,028 

154,924 

4,495 



1906. 



$47,682 
452,837 



188,928 
270,689 

89,344 
601,889 

62,968 
2,116 



6,817 



2,448 
*i.'852" 



142 I 
194' 1. 



2,966 

10, 148 

832 

2,060 

317 

1,076 

2 

2 

441 

10,068 



2,714,188 1.6 



Government free entries are not included. 



110 REPORT OF THE PHILIPPINE COMMISSION. 

GOVERNMENT FREE ENTRIES. 

Government free entries include among various other articles the following: 

Cement pounds. . 10, 436, 186 

Coal tons.. 154,050 

Rice pounds. . 3, 615, 558 

Sugar do 1,826,408 

Timber feetB. M.. 1,895,596 

Timber pieces (size not given) . . 623 

The opening of the Luzon Sugar Refinery in March of this year has already had 
some innuence in reducing the importation of refined supir, and is likely to exert a 
still greater influence in the future. This sugar refinery is the only one m operation 
in the Philippine Islands, and it had been closed down for several years, in conse- 

?|uence of which the people of the islands depended entirely upon foreign countries 
or the refined sugar used here. 

Machinery has recently been received and buildings are being erected for a cocoa^ 
nut oil refinery, which enterprise promises to make cocoanut raising more profitable. 
Building opierations and harbor and street improvements \)\ Manila during the 
past two years have been unprecedented in the history of the islands, and as a result 
importation of cement, lumber, iron, hardware, and building material has greatly 
increased and is likely to continue to increase for some time to come. 

DUTIES ON SUPPLIES FOR THE INSULAR GOVERNMENT. 

Under Act No. 875 of the Philippine Commission, passed September 9, 1903, which 
provides for the w)llection of duties on goods, wares, and merchandise imported into 
these islands for the use of the insular, provincial, or municipal governments, the 
following duties have been collected up to the close of the last fiscal year, 1905: 

Fiscal year 1904 $107,338.13 

Fiscal year 1905 23,581.99 

Total to June 30, 1905 130,920.12 

It is seen that the insular government paid in duties in the fiscal year 1905 
$83,756.14 less than was paid in the previous fiscal year, the result of which reduced 
groFS customs receipts to that extent without loss to actual net revenues, partially 
accounting for the apparent decrease in customs receipts in the year 1905 compared 
with the previous year. 

The decrease in duty paid by the insular government during the fiscal vear 1905 is 
the result of Act No. 1230, passed by the Philippine Commission September 9, 1904, 
amending Act No. 875, which reads as follows: 

** Section 1. Section one of Act No. 875, entitled *An act providing for the collection 
of duties on ^oods, wares, and merchandise imported into the islands for use of the 
insular, provincial, or municipal governments,' is hereby amended by adding at the 
end thereof the words * except as hereinafter provided.' 

"Sec 2. Section two of said Act No. 875 is nereby amended by adding at the end 
thereof the following words: ^And provided further^ That this act shall not apply to 
scientific apparatus and books and other merchandise importeci for the insular gov- 
ernment or any bureau thereof, or for a provincial or municipal government, wnen 
the articles imported are of such character that local competition therefor would be 
imjiracticable and order for the same must necessarily be placed outside of the Phil- 
ippine Islands. In each case of importation the collector of customs for the Philip- 
pine Islands shall determine whether the articles are or are not entitled to free entry 
under this proviso, subject to the supervisory direction of the secretary of finance 
and justice. ^" 



BEPOBT OF THE COIiLECTOB OF CUSTOMS. 



Ill 



COASTWISE COMMERCE — PRODUCE AND MERCHANDISE SHIPPED. 

Staiemeni of produce and merchandise shipped from all entry ports in the Philippine 
Islands in vessels engaged in the coastwise trade during the calendar year 1904- 

[This report covers coastwise trade onlv, but embraces all classes of merchandise carried between 
ports in the Philippine Islands on coastwise vessels.] 



Article. 



Hemp bciles. 

Rice kilos. 

Copra do... 

Tobacco do... 

Timber cubic feet. 

Lumber Mfeet. 

Coal kilos. 

Charcoal do... 

Pirewood cubic feet. 

Brick kiloe. 

Tiling do... 

Swine number. 

Cattle do... 

HorscH do... 

Machinery kilos. 

General merchandise do. . . 

M Isoellaneous do . . . 



Ports to which shipped. 



Balabac. Bongao. 



16,420 
7,880 



7,816 
2,024 



27,600 



Cebii. 



48,690, 
1,028, 

1,071, 



1, 

10, 

444, 



4 
5,01?; 
4,278, 



Hollo. 



10, 



990 

300,981 

10,704 

271,266 

9,600 

160 

288,180 

2,410 

18,647 

618,475 

445,285 

6 

558 

80 

48,949 

925,060 

991,860 



Article. 



Ports to which shipped. 



Jol6. 



Manila. 



Puerto 
Prin- 
cesa. 



Zambo- 
anga. 



Total. 



Hemp 

Rice 

Copra 

Tobacco 

Timber 

Lumber 

Cool 

Charcoal 

Firewood 

Brick 

Tiling 

Swine 

Cattle 

Horses 

Macbiner>' 

General merchandine . 
Miscellaneous 



bales, 

kilos.. 

do... 

do.... 

.cubic feet. 

Mfeet. 

kilos. 

do... 

..cubic feet. 

kilos. 

do.... 

...number 

do.... 

do.. 

kilos 

do.... 

do.... 



7,514 

361,904 

260 

710 



1,574 



2,761 
156,018,279 

850 i 

168,704 30 
20,660 107,255 

427 I 

8,809,170 



1,067 

586,681 

32,888 

400 

6,556 

70 



9,062 
18 
148 
41 



24,645 I 4,720 
92,476 ' 



170 



147,485 
I 82,885 



600 

1,669 

1,150 

111 

24.856 

28,290,589 



22,995 
859 



1.200 I 286,770 



6,661,177 , 25,000 I 424,620 



48,643 

210,911,964 

1,074.489 

849.620 

147,870 

665 

10,114,274 

2.410 

49,184 

620,951 

4.921,917 

2,194 

1,978 

456 

78,529 

87,685,100 

16,898,581 



COASTWISE COMMERCE — PRODUCE AND MERCHANDISE RECEIVED. 

Statement of produce and merchandise received at aU entry ports in the Philippine Islands 
in vessels engaged in the coastwise trade during the calendar year 1904* 

[This report covers coastwise trade onlv, but embraces all classes of merchandise carried between 
ports in the Philippine Islands on coastwise vessels.] 



Ports from which received. 



Article. 



Balabac. 



Hemp bales 

Rice kilos.. 

Copra ! do — 

Tobacco do — 

Timber cubic feet.. 

Lumber M feet.. 

Coal kilos.. 

Charcoal do — 

Firewood cubic feet.. 

Brick kilo-.. 

Tiling do.... 

Swine num'ber.. 

Cattle do.... 

Horses do.... 

Machinery kllofl.. 

General merchandise do.... 

Miscellaneous do — 



I 



1.258 



5,200 
20,240 



Bongao. 



Cebil. 



24,978 
2,086 



62 



16,400 
12,190 



221,787 

4.541,167 

3,297,081 

228,966 

8,040 

128 

1,400 



8,651 

7,000 

372,668 

266 

223 

127 

6.218 

2,068,880 

5,160,588 



Hollo. 



1.186 

2,509.741 

11,704 

926,460 

119,X)00 

120 

248,000 

1,550 

314,416 

2,600 

38,778,872 

712 

1.105 

179 

10,005 

1,753,580 

4,626,781 



112 



REPOBT OF THE PHILIPPINE COMMISSION. 



Statement of produce and merchandise received at all entry ports in the Philippine Islands 
in vessels engaged in the coastwise trade during the calendar year 1904 — Continued. 







Ports from which received. 




Article. 


Jol6. 


Manila. 


Puerto 
Princesa. 


ZoLm- 
boanga. 


Total. 


Hemp 

Rice 


bales.. 

kilos.. 


13 

456,819 

11,806 

6,865 

50 

83 


962,668 

1,376,161 

15,439,164 

8,125,065 

266,856 

8,990 

48,624 

270,156 

609,347 

1,000 

6,860,860 

16,093 

2,601 

903 

650 

496,765 

6, 109, 901 




480 

1,206,868 

7,164 

6,476 

4,800 

573 

940.000 


1,176,084 


27,226 


10,143,217 


Copra 

Tobacco 

Timber 


do.... 

do.... 

cubic feet.. 

Mfeet.. 

kilos.. 


18,768,985 


226 


9,288,636 
392,746 






9,894 


Coal 


200,000 


1,432,924 




do.... 

....cubic feet., 
kiloe. . 


800,000 
2,130 


1,071,706 


Kirpwood 




610 
18,600 
37,340 


980,063 


Brick 




29,100 


Tiling 

Swine 


do.... 

number.. 

do.... 

do.... 

kiloe.. 

do.... 

do.... 


10,900 

336 

86 

2 

46 

136,740 

99,400 


736 


46,046,427 
16,406 


Cattle 




i9i 

6 


4,166 


GEorses 




1,217 


Machinery 

General merchandise 




16, 918 


30,480 


620,630 
220,890 


5,046.675 
16,249,935 









Comparative summary of merchandisey goldy and silver imported into the Philippine Islands 
during the three fiscal years ended June SOy 1906. 

[Represented in United States currency.] 



No. 



19 
361 



Articles. 



Agricultural implements: 

Mowers, reapers, and 
parts of 

Plows . cultivators, and 
parts of 

An other, and parta of. . 
Aluminum, and manufac- 
tures of 

Animals: 

CatUe 

Horses 

Mules 

Hogs 

Sheep 

Another , 

Articles brought in baggage 

Artworks 

Bones, hoofs, horns, etc 

Bee-keepers' supplies 

Blacking: 

Stove polish 

All otner 

Books, music, maps, etc: 

Books and maps for use 
in schools 

All other 

Brass, and manufactures of: 

Pigs and bars 

Manufactures of 



BreadstuiTs: 

Bread and biscuits 

Barley 

Bran, middlings, etc. . . 

Com 

Com meal 

Oats 

Oatmeal 

Macaroni, vermicelli, 

etc 

Rye 

Wheat 

Wheat flour 

Preparations of 

All other 



Total breadstuffs . 



1908. 



Value. 



994 

6,395 
22,462 

2, 645 

729,004 
27,197 
9.322 
8.797 
2,275 
8.871 
2,518 
533 
24,111 



23 



16,^ 



28,844 
78,402 

12,534 

99,981 



96,036 

219 

19,231 

47 

164 

9,665 

3.282 

71,656 



90 

727.950 

2,387 

26,011 



912.087 



Duty. 



116 



133 

688 



458 
215 
213 

10,248 
147 

22,393 



1904. 



Value. 



S301 

3.906 

5,686 

4,060 

834,560 

64,849 

18,597 

1,436 

5,850 

4,072 

617 

1,378 

18,416 



Duty. 



$12 

48 
122 

318 

29,402 

2. 765 

380 

136 

665 

1,099 

1,366 

363 

11,401 



1905. 



Value. 



9666 

10,694 
54,321 

6,562 

772,812 

44,679 

13,899 

560 

275 

2,162 



I 



5 I 
2,747 



1,424 I 



1,032 
22,019 



16,168 

36 

497 

2 

16 

273 

614 

26,920 



6 

70,200 

1,291 

6,447 



122,400 



24 
9,:i96 



129.092 
134.021 



10,783 ' 
165,392 I 



7 
1,281 



146 
14,105 

1,028 
32,338 



Duty. 



3,769 
24,406 

' 8 

10 
11,180 



89,237 
142,671 

4,149 I 
155.864 I 



S14 

306 
787 

567 

60,228 

2,975 

686 

61 

30 

493 

18 

1.069 

15.996 

2 

1 
1,672 



49 
19,006 

330 
29,863 



48,696 

616 

46,900 

678 

1,066 

46,115 

4,237 

77,306 



87 

842,908 

14 

27,810 



1,096,332 



8,787 
51 

1,002 
17 
64 

1,614 
376 

28,856 



7 

73,372 

2 

6,871 



120,019 



31,940 
106 
43,565 
1,716 
887 
56,068 
2,517 

86,598 

8 

24 

727,691 

2,093 

26,922 



979,935 



6,947 

12 

914 

88 

67 

1,862 

445 

83,804 



2 

60,019 

268 

3,844 



107,212 



BEPOBT OP THE COUiECTOR OF CUSTOMS. 



113 



Cbmparative summary of merchandise, gold, arid silver imported into the Philippine Islands 
during the three fiscal years ended June SO, 1906 — Continued. 



No. 



40 
41 
42 
48 
44 

46 
46 



Articles. 



47 
48 
49 

SO 
51 
52 



54 
66 



56 
57 



58 



69 
60 
61 
62 
63 
64 
66 

66 
67 
68 
69 



Bricks: 

BuUding 

Fire 

Bristles 

Brooms and brushes 

Cider 

Candles 

Cars, carriages, etc.: 

For steam railways 

For other railways 

Cycles, and parts of 

All other, and parts of. . 
Celluloid, and manufac- 
tures or 

Cement 

Crockery 

Clays and other earths 

Coal and coke: 

Coal- 
Anthracite 

Bituminous 

Coke 

Clocks and watches: 

Clocks, and parts of — 

Watches, and parts of . . 

Cocea .• 

Coffee 

Copper, and manufactures 

Ingots, bars, etc 

Manufactures of 

Cork: 

Cork stoppers 

Another 

Cotton, and manufactures 
of: 

Cotton, raw 

Manufactures of— 
Cloths— 

Closel V woven . . 
Loosely woven.. 

Wearingapparel 

Carpets 

Yam and thread 

Quiltings and nlques... 
velveteens ana cordu- 
roys. 

Tulles and laces 

Knit fabrics 

Waste, cops and mill... 
All other 

Total cotton goods. . 

Chemicals, drugs, and dyes: 

Acids. .% 

Ashes, pot and pearl . . . 

Copper, sulphate of 

Dyes 

Mineral waters 

Medicines, patent 

Opium 

Roots, herbs, etc 

Quinine, etc 

Vanilla beans 

Another 

Earthen and stone ware 

Chinaware 

Eggs 

Fertilizers: 

Natural 

Manufactured 

Fl reworks 

Fans 



1908. 



Value. 



18,644 

2,929 

560 

17,137 

1,136 

125,265 

1,176 

3,918 

20,170 

67,276 

85,014 

62,348 

4M 

5,660 



37,580 

399,499 

8,177 

17,066 
95,817 
196,044 
74,018 



64,667 
109,868 

16,269 
12,686 



66,079 



3.620,278 

813,692 

267, 188 

359 

641,163 

46,788 

33,817 

118,098 

516,219 

9,679 

151,565 



Duty. 



$564 

201 

28 

3,698 

183 

25,885 

1 

588 

4,643 

9,041 

10,483 

2,017 

234 

794 



2,063 

81,185 

110 

5,205 
18.716 
35,491 
29,117 



6,500 
20,492 

1,099 
1.846 



1904. 



Value. 



13,182 

6,200 

5,420 

9,439 

720 

94,714 

1,648 

2,820 

15,800 

87,916 

68,187 
140,252 



10,916 



569,256 
2,912 

8,414 
65,129 
178,651 
61,841 



69,298 
81,047 

14,679 
9,168 



1,377 



1,000,021 
242,801 
89,860 
138 
168,573 
27,799 
11,652 

39,291 

170,942 

397 

69,447 



42,614 



2,433,224 
659,262 
199,697 
463 
779,910 
23,186 
13,786 

50,470 
594,308 

16,636 
149.910 



Duty. 



$199 

140 

260 

1,748 

130 

19,466 

271 

600 

4,518 

9,148 

16,726 
4,679 



1,810 



43,662 
107 

2,220 
18,039 
35,836 
26,227 



5,929 
14,090 

908 
1,061 



646 



669,064 
173,213 
67,811 
260 
189,981 
11,887 
6,836 

18,876 

178,740 

597 

64,912 



6,284,370 ' 1,821,198 



16.220 

9,192 

258 

7,840 

69,278 

29,019 

721,561 

24.494 

8,327 

181 

224,886 

93,766 

50,188 

294,414 



25,005 
14,439 
28,067 



1,166 

568 

40 

748 

590 

7,563 

367.576 

3,371 

904 

159 

44,094 

62,424 

29,228 

725 

181 , 
18,776 I 
10,766 



4.962,854 | 1,882,823 



14,268 

4,359 

33 

9,858 

47,960 

25,182 

770,596 

17,470 

6,398 

218 

229,727 

69,308 

31.016 

282,074 



29,560 
4,949 
11,972 



216 
5,754 
5,343 



1905. 



Value. 



$1,306 
7,802 
6,218 

11,167 
456 

56,294 

44,083 
60,318 
9,848 
94,113 

42,761 

286,495 

689 

4,569 



622,127 
6,721 

9,496 
71,451 
149,666 
79,064 



45,110 
150,876 

16,269 
4,502 



Duty. 



$86 

196 

218 

2,116 

77 

12,927 

5,045 
2,680 
2,006 
10,291 

16,028 

8,980 

88 

610 



48,602 
169 

2.896 
14,293 
88,240 
29,677 



4,066 
26,861 

950 
486 



82,911 i 1,650 



8,357,606 
780,544 
68.952 
201 
997,619 
8,730 
26,600 

65.161 
764,109 

11,095 
276,445 



891,842 

202,459 

20,784 

126 

233,034 

4,562 

11,317 

17,346 

270,747 

342 

90,466 



6,429.873 j 1,744.675 



1,091 


8,715 


258 


1,542 


2 


5,492 


1.628 


6,142 


1.102 


54,401 


7,345 


47,186 


B8,422 


8,50,385 


2,796 


10,960 


1,223 


10,043 


184 


41 


43,267 


195,866 


28,459 


71.626 


18,611 


26,203 


699 


268,224 



649 

28,742 

1,925 

21,334 



765 

122 

525 

1,875 

741 

13,269 

866,895 

2,200 

1,844 

39 

84,249 

31.816 

16,699 

469 

6 

162 

1.883 

9,004 



WAR 1905— VOL 13 8 



114 



REPORT OF THE PHILIPPINE COMMISSION. 



OamparcUive summary of merchandise^ gold, and silver imported into the Philippine Islands 
during the three fiscal years ended Jurte SO, 1905^-Ck>ntmned, 



No. 



90 
91 

V2 
98 
363 
364 
865 
366 
367 
95 



96 



99 



100 
101 



102 
103 



104 
105 

106 
107 
108 



103 
110 

111 
112 
113 

114 
116 
116 

117 
IIH 
119 
120 



122 



12S 
124 
125 
126 
127 
128 
129 
130 
131 
132 

138 
134 
135 
136 



Articles. 



Fibers, vegetable: 

Esparto, rushes, etc 

Flax, hemp, etc., raw . . 
Manufactures of— 

Yams and twines . . 

Bags for sugar 

Carpets 

Coraage and rope . . 

Cloths and damasks 

Velvets and plushes 

Knitted goods 

Tulles and laces 

Wearing apparel ... 

All other 

Total fibers 

Fish, including shellfish: 
Fresh, other than sal- 
mon. 
Dried, smoked, or 
cu red- 
Cod, haddock, etc.. 

Herring 

All other 

Pickled- 
Mackerel 

All other 

Salmon- 
Canned..., 

Another 

Canned fish, other than 
salmon and shellfish- 
Caviar 

Another 

Shellfish— 

Ovsters 

All other shellfish.. 
All other fish and fish 
products. 

Fodder 

Fruits and nuts: 
Fruits- 
Apples, dried 

Apples, green or 
ripe. 

Prunes 

Raisins , 

Another 

Preserved fruits- 
Canned 

All other 

Nuts 

Gums and resins: 

Rosin 

Tar 

Turpentine and piich . . 
Turpentine and spirits 

of. , 

Caoutchouc and gutta- 
percha 

Glass and glassware: 

Glass packages, paying 
duty separate from 
contents, no value . . 

Window glass 

All other 

Glucose and grape sugar . . 

Glue 

Grease, and soap stock 

Gunpowder , 

All other explosives 

(vames and toys 

Hair, and manufactures of 

Hay 

Hides and skins: 

Goatskins 

Hides of cattle 

All other 

Honey 



1908. 



Value. 



$78,858 
512 

21,437 

12,609 

1,069 

21,899 

163,022 

173 

1,241 

522 

5,987 

39,177 



257,648 ' 



11,867 

530 

24,010 

460 
8,526 

71,971 
4,761 



1,177 
207,186 

7,201 
67,943 
24,956 

14.049 



40 
5,051 

56 
12,502 
60,758 

54,176 
4,715 
67,024 

974 

6,049 

109 

12,644 

83 



10,357 

14,964 

251,153 

2,769 

16, 971 

2,240 

206 

11, 610 

130, 920 

1,059 

36,782 

029 

48,218 
18,991 
2,283 



Duty. 



128,068 
94 

5,838 

6,808 

325 

4,644 

39,824 

49 

347 

154 

2,558 

14,879 



75,620 



66 



1,006 

82 

2,702 

48 
1,325 

17,554 
835 



304 
52,223 

1,147 
7,275 
6,977 

210 



3 

946 

1,746 

18,763 

1.384 

24,059 

192 

274 

4 

1,887 

5 



35,074 

6,503 

91,167 

637 

2,799 

86 

71 

6,604 

21,882 

894 

700 

87 

4,591 

2.169 

199 



1904. 



Value. 



Duty. 



1906. 



Value. 



^,513 
156 

17,570 

380 

839 

83,527 

102,477 

49 

233 

1,076 

5,396 

88,267 



194,957 



310 



14,387 

1,032 

22,940 

302 



30,019 
3,302 



1,757 



7,089 

54,713 

3,737 

62,718 



296 
9,289 

225 
14,648 
63,529 

49,926 
4,489 
64,900 

1,390 
1,807 
1,268 

25,089 



$23,764 
12 

4,915 

1,627 

305 

7,322 

23,784 

18 

96 

90 

1,424 

11,641 



51,238 



11,382 
176,356 

3,227 

11,386 

356 

1,806 
43,138 
97,980 

2,479 
76,248 

321 

9,186 

3,094 

681 



22 



800 

159 

2,796 

82 
480 

11,086 
964 



217 
24,058 

1,447 

5,237 
1,085 



13 



16 

1,134 

716 

13,532 
2,088 
28,149 

111 
96 

64 

2,161 
1 



25,129 

5,540 

68.801 

1,037 

2,028 

2 

263 

17.126 

17,428 

710 

1.531 

76 
827 
330 

53 



$70,346 
996 

23,991 

19,126 

651 

32,668 

61,757 

6 

114 

294 

1,496 

49,826 



261,064 



594 



11,273 

310 

28,507 

826 
176 

41,608 
658 



1,856 
90,623 

7,548 
69.703 



66,748 



842 

161 

7,390 

54,960 

40,292 

1,129 

63,613 

1,885 
2,039 
. 190 

15,216 



10,244 

124,021 

1,748 

12,986 



4,267 
70,188 
75,999 
628 
80,676 

14 

21,260 

966 

1,921 



Duty. 



$22,547 



7,264 

8,017 

187 

9,024 

16,992 

2 

29 

43 

479 

18,348 



81,882 



23 



605 

25 

2,854 

49 
15 

11,717 
19 



158 
22,818 

1,142 

4,979 

82 

1,675 



601 
866 

11,142 

241 

19,601 

82 
65 
8 

1,587 



23,611 
4,260 

55,198 

597 

2,414 



1,448 

19,197 

13,693 

279 

1,974 

2 

1,019 

60 

150 



BEPORT OF THE COLLECTOR OF CUSTOMS. 



115 



Comparative summary of merchandise^ goldy and silver imported into the Philippine Islands 
during the three fiscal years ended June SO, 1905 — Continued. 



No. 



187 
188 

140 
141 
142 
143 



144 
146 
146 
148 
149 
ISO 

161 
152 

163 
164 
156 
166 
167 
158 
160 
160 
161 

162 
163 
164 



166 
166 
167 
168 
169 

170 

171 



172 

173 
174 
176 

176 
177 
369 
370 



Articles. 



1908. 



1904. 



Value. 



Total iron and 
steel 



Machinery and machlnefi: 

Cash registers 

Electrical machinery. . . 

Laundry machinery 

Metal working 

Printing presses and 

parts 

Pumps and pump ma- 
chinery 

Sewing machines and 

parts 

Shoe machinery 

Steam engines and 
parts- 
Locomotives 

Stationary 

Boilers and parts of 

engines 

Typewriter machines. . . 

Sngar machinery 

Other machinery. 

Detached parts of 



Total machinery . 



I Nails and spikes: 
its' Cut 

179 Wire 

180 All other, including 

tacks , 

181 Pipes and fittings , 

182 Sales , 

188 Scales and balances 

184 Stoves and ranges 

186 All other iron and steel 

manufactures 



Grand total iron and 
manufactures of . . . . 



t21,763 
268, 1«9 

2,721 
9,158 
82,262 
12,381 



Hops 

Hats and caps 

Ink: 

Printers' 

Another 

Instruments, electrical 

Incandescentelectric lamps 



Iron and steel, and manu- 
factures of: 
Fine articles— i 

Needles and pins.etc 27, 419 

Allother 19,084 

Plglron 5,813 

Bariron 54,062 

Bars and rods of steel . . 43, 164 

Hoops. band8,and scroll. 1,126 
Rails for railway»— 

Iron 10,764 

Steel 646 

Sheets and plates- 
Iron J24,597 

Steel 27,884 

Structural iron and steel 69,897 

Wire and wire cables. . . | 19, 648 

Builders' hardware , 24, 218 

Saws I 6,302 

All other tools 76,083 

Car wheels I 89 

Castings, not elsewhere 

specffled ' 26,753 

Cutlery- 
Table 6,721 

Allother 60,893 

Firearms 13,458 



716,991 



3,063 

7,378 

81 



28,399 
19,626 
119,348 



8,845 
36,113 

45,183 

20,714 

3,693 

219,962 

79,698 



687,629 



680 
43,000 

11,626 
39.534 

24,892 
16,376 
5,854 

466,709 



Duty. 



Value. 



$870 
108,827 

265 
2,629 
9,335 
2.586 



$17,170 
118,862 

2.288 
8,617 
54,532 
6,078 



Duty. 



1905. 



Value. 



Duty. 



$586 I 
63,816 I 



2,355 I 
8,418 I 
1,584 



$14,688 
102,612 



I 



7,644 
4,204 

319 
8,800 
6,380 

319 

568 
45 

33,297 
3,378 
7,897 
1,932 
3,872 
898 
13,061 
25 

3,337 

2,389 
19,007 
2,421 



119,684 



603 

494 

6 



5,498 
1,125 
6.568 



355 
2,210 

1,985 

4,230 

56 

81,138 

14,207 



91 
8,757 

1.592 
6,302 
4.292 
1.449 



146,919 



26,396 
4,181 
6.450 
60,595 
58,852 
1,397 

7,608 
249,089 

237,126 
19,681 
49,580 
34,403 
14,989 
5,934 
125,488 
1,363 

24,040 

4,106 
67,794 
71,118 



7,387 



10,839 I 

5,472 

161 

431 
21,034 

87,364 
3,163 , 
7,336 I 
3,447 I 
2,481 
969 
19,789 
120 



20.-282 
9.103 
16.676 
81.903 
28,180 
341 



2,891 

1,715 
19,856 
21,729 



227,116 

246,744 

14,372 

163,527 

40,893 

25,160 

3,285 

106,684 

5,800 



4,503 
46,914 
9,962 



1.069,090 



2,340 
19,632 



8,791 

21,399 

122,109 
53 



20,143 
43,148 

47,617 
48,631 
17,646 
285.624 
136,993 



774,026 



166,990 1,116,903 



467 
1,295 



1,629 
1,433 



6,659 
11 



643 

2,828 

1,996 

9,800 

298 

35,861 

25,099 



87,919 



2,610 
184,834 



641 
11,757 
39,268 
50,553 



22,143 
43,290 

107,686 
84,696 
10.455 
266,403 
119,469 



893, 195 



4,"568 
44,806 

21,184 
94,566 
13,406 
15,811 
10,022 

375,978 



1,902,491 357,691 I 2,412,936 



532 

8,785 

3,160 
12,762 
2,333 
1,869 
1,440 



1.363 
38,739 

21, 175 
106,656 
10,633 
12,721 
10,412 



63,745 439,3 



339.543 i 2,646.123 



$492 
39,041 



1,619 , 170 

9,962 I 2,816 

77,636 8,122 

7,394 1,982 



5,094 
1,723 
999 
14,492 
3.498 
46 



26,333 

41, 121 

2,314 

28.801 

3,464 

5,046 

478 

16,659 

300 

13,449 

2,253 
15,028 
8,146 



184, 144 



505 
19,278 



64 
2,209 
4,650 
3,081 



577 
5,674 

10,251 

6,698 

295 

31, 96;^ 

16,978 



102,023 



223 
7,a')2 

3,172 
1:^,593 
1,785 
2.035 
1,286 

66,533 



381.846 



116 



REPORT OF THE PHILIPPINE COMMISSION. 



Comparaiire summary of merchandise, gold, and silver imported into the Philippine Islands 
dnriiKj the three fiscal years ended June SO, y.WJ— Continued. 



No. 



Articles. 



186 ! 
187 

188 I 
!H9 I 

I 

190 
191 
192 



193 
191 
19n 
196 



197 

198 I 

199 I 
■200 ' 
201 

202 I 



Jewelry 

Lamps 

Chaudeliers 

All othei manufactures of 

gold or silver 

Lead, and manufacturen of; 

l*iffs, bars, and old 

ripe 

All other manufactures 

of 

Leather, and manufactures 
of: 
Unmanufactured- 
Sole leiither 



Upper leather 

All other upper 

All other unmanu- 
factured 

Manufactures of— 

Boots and shoes i 

Harness and sad- | 
dies 

Trunks, valises, etc. 

All other 



Lime . 
Malt., 



Malt liquors: 
Beer— 

203 In wood 

2(M Inbottlesfi 

2u6 All other malt liquors . . 

Total malt liquors. 

Marble and stone, and i 
manufactures of: I 

371 Marble, rough, in .slabs 

j or blocks 

372 Marble, wrought, chis- I 

eled, etc 

206 Stone, paving, un- I 
I wrought 

207 Building stone 

208 All other 

'209 Matches , 

Metal and metal compo- ] 
sitions: 
Tin— 

210 In sheets, bars, and 

I ingots 

211 I Manufactured arti- I 

cles, tin 

373 Metal and metal com- | 

positions 

374 Manufactures of. . . 
Musical instruments: 

212 Organs 

213 Pianos 

214 All other 

Oilcloths: 

215 For floors 

216 I Another 

' Oils: 

Animal oils— 

217 Fishoil 

218 Lard oil 

219 Whale oil 

220 All other 

Mineral oils— 

221 Petroleum, crude . 

222 All other crude 

mineral 

Refined or manu- 
factured— 
228 Naptha 

gasoline 
224 Ken)«*one. 

trolcum 



Value. 



$217,307 , 

28,668 
305 

40,916 

7.441 
2,080 



I 
and ' 

pc- i 



8,631 



1,034 

494 , 
1,387 j 



Duty. 

S8,648 
8,193 

12, 152 

1,234 
292 



214 

29 
200 



Value. 



1258,928 , 
14, 7.^9 

80 i 



14.422 
3,542 I 

12,729 I 



Duty. 



$46,027 
3,210 I 
17 



Value. 



$160. 165 
2:1, 582 



Duty. 



$30,600 
5,5U 



,575 



2,182 i 
533 , 



4,029 



15, 112 



4,661 
2, 695 



14,544 



67,895 I 



7,737 



1,823 466 

"i,'i35": 69' 

I 

88,126 14,282 



541,363 103,0-14 



18,8.51 
7,816 
57,937 
347 
37, 259 



4,477 I 
2, 120 

12,496 I 
15 t 

16,630 ' 



344, 382 

16,149 , 

5.295 

36,625 

317 « 
51,696 , 



68,925 
3, 0.55 

2, o;;3 

9,718 

12 

2,'^. 502 



2,604 

150 

5, 426 

74,461 i 

356,605 ' 

10,560 I 

1,916 
41, 145 I 
212 I 
31,696 



6, 026 



698 
405 



4,833 



602 

13 

298 

9,101 

65,495 

2, 095 

648 

9,620 

6 

14,471 



1 282 


17 

108,562 

6,4.55 


2,601 
269, 697 
38,113 


1,413 '. 
70,138 
6. 573 


1 




452,292 ; 
3.5,557 1 


261,241 
27.491 1 


64,519 
4,402 


1 488, 131 


116,034 


310.411 


78, 124 


278. 782 


r>8, 921 



3,957 I 

2,244 ' 

961 
36 I 
10,316 
104,736 



8,701 I 

44,687 I 

6,477 I 
5,031 

159 
17,119 I 

35,297 

I 

317 I 
31,455 I 



2,128 
2,792 



1,109 


2,504 


640 


3,754 


948 


207 


2,928 


729 


1,476 


416 


61 
10 .. 


619 


rvl 


I - 




3,1.V> 1 
180,687 


9,177 
105,866 


865 
177,215 


9.294 
40,486 

1 


928 
67, 419 



767 

9,322 

1.771 ' 
1,697 

30 i 
3,225 
7,494 I 

42 I 
3,503 

800 
166 



2,341 

928 I 
2,762 I 

5, 357 
r>.52. 55' 



I 



I 



136 
322 



1,849 j 

1,520 ' 

!,956 
',534 

,167 
1,091 
1,502 

798 
1,613 

277 
1,218 

135 
!,666 

392 

348 



I 



1,223 , 

6,188 , 

306 ! 
2,175 

253 
4,455 

7,720 I 

I 

120 
2.912 I 

5-! 
699 

19 . 
308 



13, 106 

37,886 

6.075 
1,520 ! 

672 
19,690 
19,332 

402 ' 
36,127 



1.225 

6,306 

1,087 
276 

170 
4,010 
4,911 

64 
4,175 



3, 758 
38 
2,802 ' 



499 



475 



a A small quantity of beer in bulk imporic 
beer. 



1,113 14,126 2,155 13,447 2,909 

271.r>S7 1K'\-I:i5 I 186,363 79.', 897 341.21^8 

frnni CtTuiany in iron ca.sks included witlf l)ottle<l 



REPORT OF THE COLLECTOR OF CUSTOMS. 



117 



Comparative nummary 6/ Tnerchmidise^ gold^ and mlrer imported into the Philippine Islands 
during the three fn^cal years ended June SO, 1905 — Coutinued. 



No. 


Articles. 


1» 








Value. 




Oils— Continued. 

Mineral (.ik— Cont'd. 
Rehned or manu- 
factured—Cont'd. 




225 


Lubricating, 






paraffin oil ... 


«24,677 


226 


Residuum and 






mineral tar... 


4,418 



1904. 



227 
22M 
229 



231 
232 

233 

234 
235 



236 
237 



23S 



239 
375 



376 
377 



378 



379 
380 



381 



240 
241 
242 



243 
244 
245 

246 
247 

248 

249 
250 
251 
2.52 
2.13 

254 
256 

256 
257 
258 
259 
260 

261 
262 
263 
2W 
266 



Vegetable oils 

Cotion-seed oil I 

Linsoed oil 

Olive oil 

Volatile oresscfltial I 
oiLs- 
Peppermint oil . 
All other essen- 
tial oils 

All other vcKetable 

oils 

PaintM.pigments.andcolors: 
Carbon gas and lamp- 
black :. 

Zinc and oxide of 

All other 

Paper, and manufacturers 
of: 

In sheets 

Another 

Manufacturers of— 
Paste and carton 

picrre 

Wrought 

Paper for printing 

purpofjes 

Wrapping paper 

Blank books and 

headed paper 

Writing paper and 

envelopes 

Wallpaper 

Straw paper and 

strawboard 

Sand or glass paper. 



Total . 



ParafiQnand wax 

Perfumery and cosmetics . . 

Plated ware 

Provisions: 

Beef products — 

Beef, canned 

Beef, fresh 

Beef, sal ted or pick- 
led 

Beef, cured 

Beef, jerked 

Beef tallow 

Hc^pnxlucts — 

Bacon 

Hamsandshoulders 

Pork, canned 

Pork, fresh 

Pork, salted or pick- 
led 

Lard 

Lard products and 

substitutes for 

Mutton 

Oleomargarine 

Imitation butter 

Poultry and game 

All other 

Dairy products- 
Butter 

Cheese 

Milk 

Cx)ndensod milk 

Rice 



28 
40,989 
46,977 



36,256 



1,686 

16,946 

127,319 



Duty. 



93,333 

166 

2 
3,883 
10,757 

900 
18,890 
4,837 



1,656 

6,242 

35,779 



Value. 


Duty. 


«48,064 


$6,010 


15,396 


483 


24 
32,668 
41,836 


3 
3,570 
9,431 



1906. 
Value. I Duty. 



S37,190 
10,546 



$4,315 
461 



1,238 
14, 5H6 
142.009 



14,082 
4,863 ' 



1,864 

5.613 

47,H93 



37,142 
34,064 



3 i 
4,287 
37,169 



1.799 I 
14,549 
145,833 1 



4,604 
7,493 



10 
5,023 
4,626 



1,509 
4,980 
36,963 



12,997 
247,241 



14,060 
1,591 

92,269 
6,136 

29,015 

76,607 
880 

19,736 
2,703 



603,235 



137, 430 
83,308 
67,582 

20,686 
82, 155 

838 

811 

813 

3,101 

7,768 

165,130 

10,062 

5, 728 

1,204 
185,894 

2,501 
4,614 
6.638 
55,220 
13,390 
127, 110 ' 

48,401 I 
43,959 I 



3,475 
58.795 



3,507 
282 

12,493 
4,032 

3,355 

10,508 
59 

4, 752 
261 



101,519 



16,561 
40,110 
19,740 



55 

2 

29 

124 

910 

21,089 

l,-236 



la') 
20,305 



314 



1,115 

8,801 

1,131 

20, 872 

4,419 
4,595 



3,844 
261,243 



2,819 

73,820 
26,305 

26,584 

74,728 
322 

24,223 
6,030 



835 
73,016 


633 
250,120 


122 
1,282 


452 

488 


8,496 
7,043 


89,571 
55,906 


2,963 


30,546 


10,578 
53 


71,770 
140 


3,677 
489 


11,618 
8.811 



77 
77,820 



22 
110 



11,393 
17,019 



4,463 



11,018 
22 



3,201 
472 



490,806 108,664 | 516,061 125,647 



9, 874 
29,960 
12,029 



100,637 
75,474 
77,519 



23,433 
204,262 



247. 366 
10.061.323 



35,510 
1,53:>,593 ' 




69,311 I 

67,677 

36,382 



11.506 
491,289 



2.643 



461 
421 I 



30 
16 



6.603 



307 



20,649 2,397 

148,914 , 19,998 

1,625 I 242 

24,928 



145 

197,988 j 

10,804 I 
31,239 ' 
819 , 
23,714 ' 
4, 478 
95,042 

82. 736 

46, «>t;8 

3,778 

233, mi 

,156,738 



13 
21,967 

1,660 



134 

4,066 

569 

12,450 

8,907 
4,700 



33.494 
1,311,496 



118 



BEPORT OF THE PHILIPPINE COMMISSION. 



Comparative summary of merchandise, gold, and silver imported into the Philippine Islands 
during the three fiscal years ended June SO, 1505— Continued. 



No. 



267 
268 
269 

270 

271 

272 
273 
274 
275 
276 

277 

278 
279 
280 
281 
282 



283 
284 

285 

286 

287 



292 
293 

294 

295 

296 
297 
298 
299 

800 
801 



302 
303 

304 
306 
806 
807 
809 
310 

311 
812 
313 
814 
315 
816 
317 

318 
8l9 



Articles. 



Rubber: 

Belting, hose, and bag- 
ging 

Boots and shoes 

Another 

India rubber, scrap and 

old 

Samples with commercial 

value 

Salt 



Cottonseed 

Clover seed 

Flax and timothy seed . . 

All other 

Shells and mother-of-pearl . 

Silk, and manufactures of: 

Raw 

Manufactures of— 
Yam and thread . . . . 
Velvets and plushes, 

Tulles and laces 

Knit fabrics 

Another 



Total . 



Spices: 

Pepper 

All other 

Soap: 

Common , 

All other , 

Spermaceti and spermaceti 
wax 



I Spirits, distilled: 

288 . Brandy 

I Whisky— 

289 Bourbon (Scotch) . 

290 ' Rye 

291 An other distilled 



Total spirits . 



Starch 

Stereotype and electrotype 

plates 

Straw and palm leaf , 

Sugar and molases: 

Molasses 

Sirup , 

Sugar, raw 

Sugar, refined 

Candy and confection- 
ery 

Tea 

Trees, plants, and moss . .. , 
Tobacco, and manufactures 
of: 
Unmanufactured- 
Leaf 

Another... 

Manufactures of— 

Cigars 

Cigarettes 

Plug (chewing) .... 
Powder and snuff . . 

Another 

Varnish 

Vegetables: 

Beans and pease 

Onions 

Potatoes 

V^etables, canned — 

Dried pulse 

Another 

Vinegar 

Vessels: 

Steam 

Sailing 



Value. 



113,097 
13,666 
63,244 



3,636 
20,985 

940 
6 

350 
10,845 
22,191 



75,144 

111,683 

40,958 

76,838 

1,872 

359,376 



666,871 



12,338 
7.940 



8,499 
29,472 



6,670 



33,286 

41,826 
101,717 
130,854 



307,681 



4,072 

260 
2,897 

444 

3.662 

329 

144,966 

42,473 

46,777 

766 



3,206 
107 

1,194 

5,430 

39 

8 

1,583 

11,716 

85,616 
91,218 
128,679 
108,700 
9,868 
99.530 
3,093 

24,705 
17,415 



Duty. 



1904. 



Value. ! Duty. 



$2,024 
2,806 
8,875 



2,172 
11,164 

19 
1 

22 

950 

6,428 



$31,262 
7,150 
70,096 

84 

378 
5,176 

10 



20 
7,674 
16,366 



$2,545 
1,549 
8,689 



386 
1,681 



1 

518 

4,788 



22,419 

28,708 

18,467 

33,315 

814 

150,868 



254,591 



2,784 
2,765 

1,316 
7,710 

1,164 



23,023 

26,561 
58,293 
168,468 



276,336 



1,211 

93 
5,597 

70 

426 

184 

74,101 

15,225 

41,417 

2 



2,434 

178 

342 
8,668 

150 

22 

2,259 

1,892 

16,036 



10 
21.179 

1,857 
34,803 

1,643 

1.505 
2. 121 



590 

238,228 
25,610 
29,309 
2,022 

260,381 



616,040 



12,807 



10,837 
23,947 



768 



22,396 

16,172 
82,542 
106,468 



227,578 



4,365 

7 
437 



4,998 
'i94,'66i" 



27,400 
36,601 

928 



2,646 
105 

516 

6,066 

34 

98 

4,260 

17,802 

70,909 

106,109 

173,327 

71,774 

8,455 

73,264 

1,614 

18.324 
19,503 



142 

69,193 

11,473 

18,206 

851 

112,106 



196,970 



2,983 
2,390 

1,313 
6,134 

125 



13,352 

11,188 
42,176 
146,144 



211,860 



1,808 

1 
2,541 

82 
304 



90,604 

10,643 
30,642 



3,079 
120 

71 

6,274 

74 

303 

10,018 

2,906 

9,525 



15,406 

1,074 

23,455 

971 

231 
2,096 



1906. 



Value. 



$31,837 
8,827 
56,194 



149 
6,109 



14 



4,798 
16,454 



84 

161,341 

59,670 

23,373 

1,978 

234,275 



480,721 



8,974 
5,712 

14,716 
29,703 

4,636 



26,468 

4,144 
79,496 
159,698 



269,706 



4,625 



500 

780 
3,003 



159,741 

21,951 

37,957 

1,196 



5,627 
90 

275 

3,616 

10 

642 

4,739 

13,313 

67,130 

92,872 

201,483 

59,182 

2,106 
98,960 

2,192 

72,063 
16,502 



Duty. 



$2,524 
1,820 



17 
1,475 



234 
4,997 



40,386 
26,865 
10,504 
775 
104,517 



183,086 



2,144 
1,745 

1,420 
7,840 

662 



14,622 

2,673 
47,854 
161,446 



226,695 



2,000 



102 
216 



63,994 

8,223 
27,996 



4,674 
102 



3,166 

19 

1,033 

11,653 

1,858 

9,515 



13,126 

237 

27,177 



283 
3,489 



BEPOBT OF THE COLLECTOE OF CUSTOMS. 



119 



Comparative summary of merchandise^ gold, and silver imported into the Philippine Islands 
during the three fiscal years ended June SO, 1906 — Continued. 



No. 


Articles. 


1903. 


1904. 


1905. 


Value. 


Duty. 


Value. 


Duty. 


Value. ' Duty. 


3?0 


Whalebone 


$34 
29,632 


$1 

11,625 


«281 

11,492 




$8 


321 


Walking sticks, umbrellas, 
etc 


$5,298 


9,026 ' S3,536 








«?? 


Wines: 

In bottles 


56,224 
154,419 
49.269 


36,374 
102,802 
36,095 


29,364 

202,458 

34,841 


19,944 
110,624 
16,488 


29,882 20,234 


823 
324 


In other coverings 

Sparkling liquors 

Total wines 


126,493 , 80,335 
36,713 1 17,901 




258,912 


174,271 


266,663 


146,956 


193,088 1 118,470 




Wood.andmanufacturesof: 
Unmanufactured- 
Timber— 

Pine wood, un- 

planed 

Sawed 


325 


4,146 
2,406 
2,480 
7,113 

172,645 

345 
196 

8,983 
2,695 
1,212 


40 
22 
18 
69 

6,282 

6 
19 

882 
159 
69 








37!6 








3?7 


Hewn 


709 
80,640 

260,803 
' 18, 008 


8 
1,360 

9,069 
227 


1 


328 
329 
330 


Logs and other. 
Lumber- 
Boards, deals, 

and planks... 
Joistsandscant- 

lings 


96,117 2,687 
334,832 12,249 


831 


Shingles 

Shooka- 

Box 


905' 45 


33? 


31,485 
4,171 
4,186 
342 
2,249 


1,448 
130 
144 
20 
249 

25,416 
2,715 

26,553 

8,412 

6,858 
2,898 
24,064 


4,560 121 


333 
334 


Another 

Staves 


948 
465 


30 
20 


335 


Heading 




336 
337 


All other 

Manufactures of— 

Ordinary cases in 

which imported 

goods are packed. 

Doors, sashes, and 

blinds 


9,056 

2,856 

531 

72,668 

505 

14,371 
15,179 
79,096 


1,308 

14,561 

135 

24,942 

16,441 

13,089 
5,436 
28,942 


6,586 


1,429 
32,849 


338 


7,700 

86,090 

699 

8,029 
4.466 
96,967 


464 

67.315 

57 

8,493 

7,508 
78,539 


296 


339 
340 
341 


Furniture, not else- 
where specified .. 

Hogsheadsand bar- 
rels, empty 

Trimmings and 
moldings 


17,253 

121 

2,188 


342 
344 


Wooden ware 

All other 


2,286 
20,764 




Wool, and manufactures of : 
Raw 




345 


7,425 

8,986 

10,686 
86,705 
8,192 

116,057 

111,181 


484 

1,395 

4,807 
12,618 
1,206 

40,688 

36,663 


4,641 

4,023 

15,877 
41,920 
4,277 

128,105 

88,086 


280 

1,410 

5,884 

15,113 

1,041 

48,006 


7,976 

2,511 

20,286 

23,821 

3,967 

fiO.QAI 


513 


346 


Manufactures of— 
Carpets 


878 


347 


Flannels and blan- 
kets 


7,061 


348 
849 
850 


Wearing apparel . . . 

Woolen yam 

Cloth, spun or 
twilled 


8,348 
1,886 

17,866 


361 


All other manufac- 
tures of 


»0.942 1 73.907 


26,774 




Total wool 

Zinc, and manufactures of. 
Gold and silver: 
Gold— 

In ore 








280,182 


96,261 


281,429 98,126 


188,469 


62,815 


852 
358 


20,466 
222 


6,062 
6 


22,450 


6,876 


21,222 


5,-616 


354 


In bullion 






2,699 
82,550 

694 
196 




356 


Gold coin 


57,985 
1,983,485 




1,772 
1,080,947 






368 


Silver- 

In coin 










Philippine currency 

Spanish-Filipino paper. 

money 














1,411 








Copper coin 








12,500 
25,000 

118.168 






United States currency. 












869 


All other articlee not else- 
where specified 


228,664 


110,996 


104,989 


29,894 


33,914 




Grand total, importa- 
tions 








35,099,842 


7,678,948 


34,827,481 
2,714,183 


6,736,50 J.999.988 


6,664,480 




Of above, free of duty 


3,765,843 






1,683,623 













120 



REPORT OF THE PHILIPPINE COMMISSION. 



Export and import values for period of American occupation (currency included) . 

Total value of imports, August, 1898, to June 30, 1906 $211,031,930 

Total value of exports, August, 1898, to June 30, 19Qh 205, 220, 404 

Excess of imports over exports 6, 811, 626 

Export and import values for period of American occupation (currency excluded). • 



1900. 



Imports $13,116,667 

Exports 14.640,162 



$20,601,436 
19,821,^47 



1901. 



$30,276,200 
23,222,348 



1902. 



$32,029,367 
24, 544, 858 



1903. 

982,978,445 
33,150,120 



1904. 



$33,221,251 
30.226,127 



1905. 



$30,879,048 
32,355,865 



Total Imports, period of occupation to June 30, 19a5, exclusive of currency $193, 102, 304 

Total exports, period of occupation to June 30, 1905, exclusive of currency 177, 960, 827 

Excess of imports over exports 15, 141 , 477 

Note.— The foregoing tables showing, by ports, the value of commodities imported to and exported 
from the Philippine IslandH, by fiscal years, during the period of American occupation, are sum- 
maries of monthly reports on Forms 3 and 4, division of customs and insular affairs, fractions of dollars 
tind government free-entry merchandise not included. 

Comparative summary of exports {currency included) from the Philippine Islands during 
the four fiscal years ended June 30, 1906. 

[Values represented In United States currency.] 



Countr>'. 



bnited States 

England 

Spain 

Hongkong 

Japan 

France 

East Indies (British). 
British Australasia. . . 

Chinese Empire 

British Africa 

French China 

Austria-Hungary 

Germany 

British China 

Belgium 

East Indies (Dutch).. 

Netherlands 

Italy 



1902. 



ily.. 
lebec 



Quebec, Ontario, etc 

Gibraltar 

Russia 

Scotland 

Hawaiian Islands 

British Columbia 

All other Asia 

Guam 

German Oceania 

East Indies ( French) 

Korea 

Aukland Islands 

Uruguay 

Switzerland 

Russian China 

Turkey in Africa, Egypt. 

Guatemala 

Canary Islands 

Argentine Republic 

Aden. 



Bermuda 

Malta, etc 

Greece 

Nova Scotia 

Paraguay 

East Indies (Portuguese) .. 

Spanish Africa 

Spanish Oceania 

Portugal 

Frencn Africa 

Mexico 

Denmark 

German Africa 

Sweden and Norway 

All other Africa, Morocco . 



Total 27,167,087 



,871,743 

,280,478 

869,876 

,799,128 

,346,517 

955,828 

672,614 

486,530 

295,322 

122,073 

120,180 

88,787 

75,626 

65, 191 

46,829 

27,442 

20,212 

17,830 

7,679 

6,812 

12,128 

3,721 

3,687 

3,648 

3,265 

2,481 

1,934 

1,578 

1,400 

1,310 

1,246 

1,008 

906 

889 

411 

321 

160 

140 

119 

48 

7 



1903. 

$13,K"Ki. Li&lf 

8,7yiM;i?J 

7r>T..-JJ0 

7,*^i,'^ 

1, :.>:». .>Ctt 

3,6^[, 116 

<I*t^l. WW 

:^H0, 251 

^U% ^^ 

IJ, ow 

1*3,353 



394,258 

137, 103 

26,198 

44,061 

13, 177 

6,167 

9,499 

28,147 

2,787 

5,910 

2,030 

128,332 



1904. 



109,317 
710 
130 

2,700 
457 
678 

1,952 



4,128 
699 
718 



2,970 



$11,102,860 

10,253,615 

1,156,866 

7,166,148 

1,204,514 

2,127,366 

1,518,238 

441, 114 

1,213,399 

52,458 

110 

253,453 

107, 144 

291 

65,264 

30,468 

209,763 

32,249 

8,476 

8,874 



3,095 
1,130 
2,618 
7,187 



9,419 
368 
646 

6,726 
218 

2,443 

2,041 



2,382 

1,382 

622 

160 

1,950 



4,684 
480 
163 
900 
80 
24,775 
1,035 



89,674,818 



7,804 
HI 



1,786 



40,481 

73 

180 

200 

134 



87,033,186 



1905. 



$16,678,876 

8,668,823 

1,436,627 

6,116,737 

548,607 

1,491,763 

723,490 

442,922 

1,621,087 

830 

275 

87,282 

130,118 

20 

43,720 

24,182 

73,032 

69,316 

7,102 

6,831 

3,230 

3,465 

8,105 

3,467 

3,133 

887 



U,306 
2,080 
1,819 
7,040 
843 



20,092 



760 

6,670 

740 



1,696 
*26,"i4i 
"2*940 



7,900 



4,976 



444 



37,116,810 



BEPORT OP THE COLLECTOR OF CUSTOMS. 

Chief articles of imports^ by values. 



121 



Articles imported from— 


1900. 


1901. 1 1902. 


1908. 


1904. 


1905. 


Flour: 

All countries 


$899,408 
88,707 

5,925,146 
»1,488 

688,416 
477,665 

804,807 
177,075 

461,619 
M,440 

160,954 


$501,199 $685,970 
856,198 1 642,672 

9,441,047 1 6,965,978 


$727,950 
686,291 

6.284 370 


$842,908 
838,056 

4,962,354 
319,6^6 

310.411 
221,682 

227,578 
84,977 

490,806 
102,864 

485.435 
246,519 


$727,591 


United States 


613, 987 


Ctotton goods: 

All countries 


6, 386, 962 


United States 


94,665 167,887 '889;303 

1,042,594 ! 547,517 ' 488,131 
856,806 466,257 397. .S82 


764,088 


Malt liquors: 

All countries 


278,782 


United States 


215,895 


Distilled spirits: 

All countries 


411,859 1 510,258 
218,767 j 238,181 

474,994 668,705 
77, 192 280, 192 

451,849 ' 497,689 


807,681 
120,656 

508,235 
134,701 

6.52. .VS? 


269,706 


United States 


102, 499 


Manufactures of paper: 

All countries 


515,061 


United States 


141,232 


Illuminating oil: 

All countries 


792,897 


United States 


22.748 1 218,312 , 825,576 
1,861,948 2,088,110 1 1,902,491 


443.512 


Iron and steel and manufac- 
tures of: 
All countries 


716,190 
88,527 


1 
2.412.936 1 2.646.12S 


United States 


287.ftS7 431. 8»« 465.7*20 1 821.160 1.147.387 






Total imports: 

All countries 


1 1 1 , 

23,043,856 \ 32,818,411 41,1(M,944 35,099,835 34,327,481 i 80,999,988 
1,666,420 1 3.084.745 4.(«5.'243 4.10R.&14 , 4.843.207 5.839.512 


United States 






1 









Chief articles of exports^ by ixdues. 



Articles exported to— 


1900. 


1901. 


1902. 


1908. 


1904. 


1906. 
S22.146.241 


Hemp: 

All countries 


$11,893,883 
8,446,141 

* 2, 999, 161 
21,000 

1,690,897 


$14,453,110 
2,402,867 

2,293,058 
93,478 

2,648,305 
4,460 

2,217,728 
5,027 


$15,841,316 $21,701,575 
7,261,459 1 12.314.812 


$21,794,960 


United States 


10,631,591 12,954,515 


Sugar: 

All countries 

United States 


2,761,482 
293,354 

1,001,656 

.7 

8,501,467 
8,615 


3,955,828 
1,835,826 

4,472,679 
9,178 

1,881,768 
46,162 


2,668,507 4,977,026 
354,144 2,618,487 

2,527,019 ' 2.095.352 


Copra: 

All countries i 


United States 


9,231 

2,013,287 
1,857 


14,425 


Tobacco and manufactures 
of: 
All countries 


2,175,762 
1.892 


1,996,038 


United States 


6,820 






Total exports: 

All countries 


21,766,440 
4,102,787 


26,431,262 27,157,087 
2,572,021 1 7.871.743 


39,674,318 
13,868,059 


37,088,186 
11,102,860 


87,116,810 


United States 


15, 678, 875 











Rice imparted into the Philippine Islands during (he fiscal year 1905^ by ports. 



Port* 


Pounds. 


Value. 


Duty. 


Manila 


844,027,583 

143,885,971 

66,092,797 

4,W6,934 

4,170,239 

189,560 

72,262 


$4,504,494 

1,947,769 

868,252 

77,172 

59,786 

2,908 

1,857 


$797, 446 


Cebii 


885, 5CI5 


Hoik) 


153,830 


Jol6 


13,614 


Zamboanffa 


10.460 


Bongao 


406 


BalftW . . . 


235 






Total 


568,285.846 


7,456,788 


1,311,4% 







OPIUM IMPORTS. 



Afl the opiam qaeetaon has elicited much attention. lately, it seems in place and 
timely to give some detailed statistics concerning the traffic. 

The following table shows the quantity imported each year durine the period of 
American occupation, together with the value thereof and the duty collected thereon. 



122 



REPORT OF THE PHILIPPINE COMMISSION. 



StcUement of opium, imported into the Philippine Islands during the fiscal years 1899^ 1900, 
1901, 1902, 190S, 1904y and 1905. 

[Value and duty represented in United States currency.] 



Year. 


Pounds. 


Value. 


Duty. 


1899 


17,477 
162,617 
221,683 
286,443 
269,473 
249, 770 
268,128 


1266,810 
476,244 
619,338 
819,626 
721,561 
770,696 
860,381 


964.686 


1900 


132,392 


1901 


187, 020 


1902 


263,406 


1903 


357, 576 


1904 


338,422 


1905 


866,893 






Total 


1,464,490 


4,613,046 


1, 710, 294 







As will be seen, the hiehest point was reached during the year just closed. In the 
year 1905 the value and duty of opium imported aggregated |l, 217,274 United States 
currency. During the period of American occupation the aggregate value and duty 
of opium imported reached the enormous sum of $6,223,339 United States currency, 
or aoout $1 per each man, woman, and child in the Philippine Islands, the value ana 
duty for the period of seven years being as great a tax upon the people as the entire 
amount of duty collected fi*om all other commodities during one averajje year. As 
there are onlj; a few more than 50,000 Chinepe inhabitants in the Philippine Island?, 
even the possibility of the sale having been confined to Chinese consumers is pre- 
cluded, as if that were the case the tax would have amounted to more than $24 
United States currency annually per Chinese inhabitant. 

On November 15, 1901, the new tariff, which increased the rate of duty on opium 
50 per cent, went into effect, but, as the statististics show, had no effect in the way of 
reducing the importation, which continued to increase notwithstanding the increased 
duty; but through the increase in the rate of duty the customs revenues were increased 
up to June 30, 1905, $364,460.67. 

Again, May 3, 1905, the new tariff increased the rate of duty on opium from $3 and 
$3.50 to $4 and $5 per kilogram, respectively, for crude and prepared. It is improb- 
able that this second increase in rate of duty will have any appreciable effect upon 
the quantity imported, though it is too early for the effect to be shown in the statistics. 

The value of opium imported during the period of American occupation and for 
the year 1905 has been greater than the value of wheat flour, malt Jiquors. paper and 
manufactures of, distilled spirits, or illuminating oils, and is next in value to the 
value of rice and cotton manufactures, thus beinff third in the list of imports. 

It is apparent that with free trade ^tablished between the Philippine Islands and 
the United States, the import trade in many important lines would immediately be 
diverted to the United States, with beneficial eifect upon the people of the Philip- 
pine Islands and of the United States, thus promoting commercial interest of both 
sections. 

The following table shows the tobacco exported from the port of Manila during 
the first six months of the year 1905, by grades, and gives the average price per 
pound of each of the grades: 

Tobacco exported first six moiUhs 1905. 





Dutv 
kilos. 


Pounds. 


Value. 

1295,561.40 

6,096.85 
69,936.47 


Average 

Duty. price per 

, pound. 


Tobacco grown in the provinces of CagayAn, 
Isabela. and Neuva ViHcaya, Luz6n 

Tobacco grown in the Visayasand Mindanao 
Island 


SI. 60 

1.00 
.75 


8.211,649 

122,688 
1,545.260 


1 
921,896.98 90.092 

567.67 .049 


Tobacco grown in other provinces 


5|267.95 1 .045 






Total 




4,879,497 


371,584.72 


27 722 60 .076 









REPORT OF THE COLLECTOR OF CUSTOMS. 



123 



Tobctcco exported during JuLy^ 1906. 





Dutv 
kilos. 


Pounds. 


Values. 


Average 

Duty. price per 

pound. 


Tobacco grown in the provinces of Cagay&n, 
Isabela, and Neuva vlscaya. Luz6n 

Tobacco grown in the Viaayas and Mindanao 
Ta)Rnd 


$1^50 

1.00 
.76 


1,229,349 

286,663 
2,410,848 


$101,616.26 

11,760.00 
114.420.74 


1 
$8," 881. 96 1 to. 062 

1,075.74 ' .049 


Tobacco grown in other provinces 


8,217.10 ( .047 








Total 




3,876,360 ' 227.796.99 


17,673.79 .058 













Note.— Prior to January 1, 1906, no statistical record was kept of the relative quantities of the 
different grades of unmanufactured tobacco. 

CIGAKS AND CIGARETTES EXPORTED ON PERMITS. 

In addition to the quantity of manufactured tobacco regularlj^ exported, as shown 
by export entries and reported as exports, considerable quantities of cigars and cig- 
arettes have been taken on board vessels destined for foreign ports upon permits 
upon which a fee of yO.SO per thousand for cigarettes and F"! per thousand for cigars 
has b^n charged. 

During the past five months a statistical record of ci^rs and cigarettes so sent has 
been kept, from which it is shown that during the said period 276,684 cigarettes and 
787,872 cigars have been exported from this port of Manila in this way. 

Assuming that for the previous seven months the quantity thus exported was 
approximately in same proportion, the quantity exported during the fiscal vear would 
be 663,970 cigarettes and 1,890,893 cigars, the aggregate market value of which would 
be approximately $20, 128 United States currency. 

The monthly average of cigars thus sent is about 150,000 and of cigarettes about 
50,000. 

In addition to the foregoing, a great many cigars and cigarettes are taken on board 
of outgoing vessels in small quantities for personal use of passengers, and also a great 
many are sent in small quantities by mail which do not apj>ear on customs records. 

Generally the cigars and cigarettes taken on board in this manner are of better 
grade and higher market value than the average of cigars and cigarettes regularly 
exported, as shown by export entries. 

Exports^ by articles^ during three fiscal yeofrs ended June SO^ 1906, 
[Value and duty rtpresented in United States currency.] 



Articles. 


19( 
Value. 

$1,280 

92 

8,383 


)3. 

Duty. 


19( 
Value. 

$2,510 
3,533 


M. 

Duty. 


190 
Value. 

$1,280 
437 


5. 
Duty. 


Animals: 

Horses and mules 


•11 


$26 
4 


$6 


All other 


2 


Animal products 


19 




Bamboo, and manufactures of: 
Hats 






79,500 

1.099 

38 

673 

6,854 

50 


20 


Mats and mattings 










24 


All other " 












Bejuco, and manufactures of: 
Bejuco 


............1........... 






10 


Hate 


::::::::::::i:::;::::::: 






1 


Furniture 


... . ......1..... 








All other 


............|. .......... 






9 
3,865 

17,760 




Books, maps, and engravings 

Burl, and manufactures of: 
Hats ... 


2,122 


1 


4,755 


1 


3 

4 


Mate 










1,049 ' 20 


Cacao .... . . 


11 
1,378 

U,878 




109 





210 
2,552 




Coffee 


2 


2,793 


6 


6 


Chemicals, drugs, dyes, etc.: 
Indigo 


217 




1 


Tintarron .... 


1,940 
2.M:« 


42 
3 




All other 


3,855 


10 


741 

47,966 
23 
10«* 




Copper, and manufactures of: 
Old copper 


1 


- 


All other 


12,070 
207 


65 26.119 


130 
3 
61 


Earthenware, stone, and chiua.. 
Fertilizers 


1 


.V>9 
1,'232 





124 



REPORT OF THE PHILIPPINE COMMISSION. 



Exports J by articles^ during three fiscal years ended June 30 ^ J 90S — Continued. 



Artidea. 


1908. 


1904. 


1905. 


Valu6. 
$21,701,675 


Duty. 


Value. 
$21,794,960 


Duty. 
$1,051,855 


Value. 


Duty. 


Fibers, and manufactures of: 
Hemp 


$1,065,062 


$22,146,241 

188,219 

357 

125 

47,049 

19,804 

3,382 

387 

5,856 

3,797 

9,335 
3,202 

9I9 


$963,046 


Maguey 


1,295 


Cotton, raw 










2 


All other unmanufactured . . . 


173, 776 

504 

7,771 

385 


1,576 

9 

193 

20 


161,634 
4,955 
30.767 


1,205 

61 

1,011 




Bags 


491 


Cordage 


701 


Twine 


89 


Jusi textiles 








Siuamav textiles 










44 


All other manufactures 

Fish: 

Trepang 


18.201 

6.856 
12,648 


160 

86 
45 


7,258 

4,617 
30,664 

1 

963 

2,527,019 


30 

26 
99 


54 
64 


All other 


28 


Fruius and nuts: 

Bananas 


52 


Cocoanuts . 


63 
4,472,679 


i 

151,390 


323 
94,935 




Copra 


2,095,352 
400 


65.866 


Betel nuts 


16 


Candle nuts 


1 


8 
1,949 
5,534 

47,051 

33,454 

10,211 

352 






All other nutM 


5W 
409 

7,302 

41,186 

12,618 

651 


21 
4 

67 
345 

'J 


37 

42 

407 

274 

95 

1 


53 
9,910 

27,561 

14,017 

11,840 

1,500 

1,381 

93 

24,523 

1,910 
30 


2 


All other fniits, green, ripe. . . 
Gums and resins: 

Almaciga 


128 
282 


Copal 


173 


Glue 


82 


Pitch 


14 


Gutta-percha 


6 


Rubber 


1 








All other 


111,872 


^ 


24,109 


38 


82 


Glass and glassware: 

Empty bottles 


,0, 


All other 


724 
618 


58 
6 


3,&12 
70 


i58 

1 


1 


Grease 




Hats, all other, not elsewhere 
specified 


23,013 

2,056 
22,875 

i*329" 


5 


Hides: 

Hides of cattle 


46,023 


208 


47, 127 


239 


15 


Hides of carabao 




All other 


29, 622 

1,101 

165 

2,746 


118 
197 


325 
3,838 

100 
3,756 


1 

14 

3 

262 




Horns, bones, and hoofs 


12 


Iron ore 




Scrap iron 


8,524 

76 

4,000 


819 


Pearls 




Other jewelry and precious stones 
Knitted goods 












300 

6,784 
119 

18,084 

5,716 

140 
40 
356 




56 

4,223 
1,619 

81,494 

9,690 

48 






Leather: 

Unmanufactured 


52 


39 

1 

135 
40 


1,715 


14 


Manufactures of . 




Iron and steel, and manufactures 
of i . 


57 
39 


445 




Metal, compositions and manu- 
factures ^ 




Oils: 

Olive oil . . . 







Animal oils 




1 1 


Cocoanut oil . . 


3 


73 

1,804 

103,247 

2,424 

18,794 


1 
81 
14 
14 

24 






Candlenut oil 




Hang-ilang oil v 


104, 139 
2,300 

1,125 


14 
96 

1 


100,349 

87 


13 


All other '.. 




Parafiln and wax: 

Paraffin and stearin 




Beeswax 


5,740 

1,055. 

886 


9 


All other 










2 


Perfumery and cosmetics 

Meats, salted, pickled • ... 


8,278 




1,875 
23 




1 








Cheese 


28 
2,151 








All other meat and dairy prod- 
ucts' 


2 


1,114 


4 


5 
7,06H 
32,527 

5,065 




Rice husks 


501 


Seeds: 

AJonjoli 


137,369 
7,428 


36 
169 


84,625 

26,888 

175 

2,560 

80,932 

8.600 

14,866 

154 

41 


35 

480 
5 
43 

125 
4 

88 


6 
82 


Sesame 




All other 


3,988 

89,585 
6,343 

25,025 
1,684 

54 
34 


71 

157 

5 

124 


13,028 

92,608 
12,392 
11,832 


i99 


Shells: 

Mother-of-pearl 


176 


Tortoise shell 


3 


All other 


115 


Silk manufactures of 




Soap: 

Common 


1 




23 




Another 







REPORT OF THE COLLECTOR OF CUSTOMS. 



125 



Exportiff bi/ articles J during three fiscal years ended June 30 ^ 1905 — Continued. 



Articles. 


1903. 




Value. 

$10 .. 


Duty. 


Spicea 




Starch 




Salt 


42 . 

21 !.. 
20,162 ' 
713 




Spirits and wines: 

Rum 




All other distilled 


§117 


Wines 


1 


Molasses 




Sugar: 

Raw or brown 


3,955,828 , 
2,380 
1, 128 1 


140,927 


Refined 


81 


Candy and confectionery 


11 



1904. 



Value. 



Duty. 



S30 

68 

4,542 
1,639 

988 
24 

2,668,507 

18 

2,967 



Tobacco: 

Unmanufactured 

Stems and trimmings. 

(-igare 

Cigarettes 

Plug 

Another 



902,610 120,206 ! 1,021,949 



947, 144 
20,699 



11,806 



Total tobacco . 



Vegetables: 

Beans and dried pease 

Potatoes 

All other vegetables 

Wood: 

Cabinet ware, etc 

All other manufactured 

Mahogany 

Sapan 

All other unmanufactured . . 

Zinc in blocks 

All other articles, not elsewhere 

specified 

Reexportation: 

Provisions 

All other 

Gold and .silver: 

Gold in ore 

Gold in bullion 

Gold in coin 

Silver in coin 

American bills 

Cop|>er coins 

Philippine paper money 

Spanish bank notes 



1,881,768 



41 

40 

1,727 

2,2as 

2,419 



19,617 
520 



861 



HI, 104 



29,782 

3,190 

997 

81,685 j 



1,839 
95 
11 

261 



12,586 

218 

9,965 



2,013,287 



757 
'254" 



, 6,748 
11,030 



69,462 I 
100 I 



179,490 I 
6,977,741 

361,005 
1,962 
4,000 



46,725 

21,400 

360 

108,718 

139,960 
14,599 

3,086 



67,000 

4,118,496 

2, 427, 707 

185,365 

8,600 



Grand total..., | 39,674,318 | 1,605,891 | 37,033,1^5 



94,163 

io' 



116,956 



18,300 

405 

11 



135,360 



1906. 



Value. 



Duty. 



$21 



384 
30 
335 

4,977,026 

2*725' 



1,005,404 

120 

968,022 

16,404 



6,088 



3,062 

1,622 

4 

326 • 

3,640 I- 

41 I 



217 

2 

105 



586 

I 

273' 

.640 ' 

3, 161 

4,514 

27, 142 

32,930 

3,165 

40.898 

1,166 
136,069 



3,250 

76,670 

4,143,319 

539,166 

1,050 



:L 



750 



S4 

7 

142,220 
4 



101,175 

14 

16,952 

595 



490 



1,996,088 I 119,226 



302 

1,898 

1,022 

25 

153 

5 
638 



1,390,919 , 37.116.810 , 1,300,660 



Comparative summary of vessels doing the carrying trade for the Philippine Islands during 
the three fiscal years ended June SO^ 1905. 



Country. 



Domestic .. 
American . . 

Belgian 

British 

Dutch 

French 

German 

Spanish 

Norwegian . 
All other. . . 



Total. 



[Values represented in United States currency.] 



1908. 



$140,266 

600,361 

6,635 

18,979.540 

189,059 

141, 177 

8,232,336 

6,795,989 

3,014,242 

2,000,240 



Imports. 
1904. I 

9304,990 ' 
1,796,244 ' 
36,675 1 
16,819,986 



35,099,836 



1906. 

$48,954 , 
{,098,301 I 



1903. 



144, 156 I 
6,675,000 ' 
4,879,839 I 
1,218,248 
2,452,344 ' 



920,510 
6,224 
217,209 
526, 828 
477,060 
667,637 
37,841 



34,327,481 I 30,999,< 



8667,500 

929, md 

29,284,519 



Exports. 
j 1904. 

.i $99,612 
8, 167, 408 



1905. 



$101,893 
3,504,636 



926.032 
2, 150, 530 
2,523,175 
1,168,865 
2,023,904 



25,798,427 

160, -299 

422, 151 

2,009,441 

2.5;H9,639 

406, 678 

2,429,530 



139 

;78 I 



29,276.078 

"'"i57,'923 

1,065,999 

2,181,455 

811,011 

17.815 



39,674,328 37,033,185 I 37,116,810 



It will be noticed that there has been a material increase in the quantity of mer- 
chandise carried between the Philippine Islands and foreign ports in American vessels 
during the past three years, this increase applying about equally to unportand export 
trade. 



126 



REPORT OF THE PHILIPPINE COMMISSION. 



Staiement of foreign vessels engaged in trade between the Philippine Islands and foreign 
ports during the fiscal year 1906^ showing name, flag, and registered tonnage. 



Name of vessel. 



Flag. 



Power, 



Abbey Holmes British Steam 

Adolph Obrig ; American . . Sail 

African Prince • British Steam 

Afghanistan do do.. 

Acnimemnon do do . . . 

Ausa Craig do do... 

Alta American .., Sail 

Alcinous British j Steam . . 

Albenga German do . . . 

Alf Norwegian do... 

Alicante Spanish — do . . . 

Amberton British i — do... 

An Pho do do... 

Antenor do do.., 

Argo ' do do ... 

Ardandeorg do do... 

German do... 

British do... 



Armenia 
Ardova 

Ashmount do . 

Atlantis American . 

Atholl British 

Augsburg German... 

Australian British 

Austria Austrian .. 

Auchenblae ' British 

Ba toum ' do 

Battersea Bridge do 

Beaconshire do 

Beatrice • do 

Bezwada do 

Borderer do 

Bourbon French 

Breid Norwegian 

Brl.sgavia i German . . . 

Breiz Izel '. i French 

Brinhildc German . . . 

Bunuan American . 

Calchas British .... 

Cape Breton do 

Carlisle do 

Cecelia 

Cebi\ 

Changsha 

China 

Chingtu 

Chionshan 

Chiengmai 

Claverly 

Claverburn 

Commerce 

Constante 

Coptic 

Coronation 

C. L6pez y L6pez 

Couldson 

Craigeam 

Croydon 

Dagheston 

Daphne 

Devonshire 

Dagniar 

Doric 

Dott 

Dragoman 

Eastern 

Edward Seawall 

Edendale 

Eliamy 

Elge 

Else 

Emma Luy ken.. 

Empire 

Essen 

Eskdale British 

Expansion American . 

Feronia British 

Floreston do 

Forest Dale do 

Forest Hall do 

Gaaden German 

Gaelic British 



German . . . 
American . 
British .... 
American . 
British .... 

....do 

German . . . 
British .... 

....do 

American . 
Italian . . . . 
British.... 
do. 




do. 
....do... 
....do... 
....do.. 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do... 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 

Sail 

Steam . 

do.. 

do.. 



Spanish do. 

British I.... do.. 

do I do.. 

do I do.. 

do I do.. 

Gennan do .. 

British do. 



do., 
do., 
do., 
do., 
do.. 



German 
British 
Norwegian 
British 
do 

American ..1 Sail 

British I Steam . 

do ' do.. 

Norwegian . do . . 

German do.. 

do do.. 

British do.. 

German i do.. 

...do.. 

Sail.... 

Steam . 

....do.. 

...do.. 

....do.. 

....do.. 

....do.. 



TCMI- I! 



Name of vessel. 



1,996 
1,302 
8,182 
2,190 
4,461 
2,166 
1,289 
4,278 
2,769 
1.958 
2,865 
3,527 

966 
3,562 
1,907 
2,103 
3,469 
2,270 
2.034 

960 
3,031 
3,200 
1,783 
4,879 
2,597 
2,621 
2,170 
2,323 
2,139 
3,270 
2,835 

998 

645 
4,163 
3,074 

871 

644 
4,278 
2,501 
1,363 
2,208 

64H 
1,463 
3, 186 
1.459 
1,282 

767 
1,901 
2,518 

621 
1,671 
2, 744 
2,475 
2,395 
2,762 
1,947 
2,409 
2,212 
1,290 
2,363 

921 
2,936 

630 
2,214 
2,272 
2,916 

717 
1,747 

708 

903 
1,109 
2,843 
1,861 
1,926 

512 
1,930 
2,236 
2,285 
1,999 
1,702 
2,690 



Gala 

George T. Hay 

GiangBee 

Golden Shore 

Gulf of Venice 

Haddon Hall 

Halvard 

Hawk 

Heathbank 

Heathcraig 

Heathford 

Heathglen 

Hindustan 

Himera 

Holstein 

HoKivie 

Hyades 

Indra 

Inga 

Indradeo 

Indramayo 

Indrani 

Indrapura 

Indrasamha 

Indravelli 

Indra wadi 

Iniogen 

Isla de Luz6n 

Isla de Negros 

Isla de Panay 

Islesworth 

Itaura 

James Nesmith . . . 

Jessie Burns 

J. B. Leeds 

J . Bustamante 

Juno 

Kaifong 

Kamar 

Kelvin 

Kennebec 

Kenil worth 

Kish 

Knight of Saint 

George. 

Korea 

Lahaina 

Legaspi 

Lewis Luc ken - 

back. 

Lincolnshire 

Loongsang 

Lord Antrum 

Louise Roth 

Louisiana 

Lowther Castle . . . 

Lyra 

Magallanes 

Manaton 

Manchuria 

Manor 

Maristow 

Massapaqua 

Mathilda 

Mauban 

Menelaus 

Minnesota 

Michall Jebsen ... 
MinasdeBatan... 

Minerva II 

Mis.*<iKsinpl 

Missouri 

M. Struve 

Mongolia 

Monserrat 

Montrose 

Nan Yang 

Natuna 

Neil Macleod 

New Orleans 

Ningpo 



Flag. 



Norwegian . 

British 

....do 

American .. 

British 

....do...... 

Norwegian . 
American .. 

British 

....do 

do 

do 

do 

do 

German 

British 

American .. 

British 

Norwegian . 

British 

do 

....do 

do 

do 

do 

do 

do 

Spanish — 
American .. 

Spanish 

British 

do 

American .. 

British 

American .. 

Spanish 

American .. 

British 

Norwegian . 

British 

do 

American .. 

British 

do 



American , 

....do 

....do 

do 



British 
....do. 
....do. 
....do. 
American .. 

British 

American . . 

do 

British 

American .. 

British 

....do 

do 

Norwegian . 
American .. 

British 

American do.. 

German ' do.. 

American .. do. 

do 

....do 

....do 

German ... 
American . 
Spanish ... 
British .... 
German . . . 

do 

American . 
British .... 
do 



Power. 



Steam . 

Sail.... 

Steam . 

Sail.... 

Steam . 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 

Sail.... 

Steam . 

Sail.... 

Steam . 
....do.. 
....do.. 
....do.. 
....do.. 
....do.. 

Sail.... 

Steam . 
....do.. 



Ton- 
nage. 



...do.. 
SaU.... 
Steam . 
...do.. 



...do.. 
...do.. 
...do.. 
...do.. 
Sail.... 
Steam . 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 

do.. 

do.. 

do.. 



Sail. 

Steam . 

...do.. 

...do.. 
....do.. 
....do.. 
....do.. 

...do.. 
....do., 
do. 



:t: 



626 
1,647 
1,199 

626 
1,884 
2,677 
1,066 
53 
2,085 
2,780 
2,436 
2, 759 
2.389 
2,a51 

985 

209 
2,932 
3,923 

579 
3,457 
3,370 
3,226 
3,161 
3,366 
3,152 
3,369 
2,463 
2,580 

126 
2,087 
1,715 
3,362 
1,632 
2,210 

207 

461 

483 
1,025 

949 
2,266 
3,301 
2,146 
3,147 
2,967 

5,651 
994 
563 

2,574 

2,567 
1,092 
1,954 
2,212 
1.343 
2,961 
3,516 

8:12 

2,628 
8,750 
1,868 
2,268 
1,935 
2,230 

790 
3,006 
13,328 

9.31 
1,215 

494 
6,181 
6,077 

966 
8,760 
3,350 
2,883 
1,060 

458 

634 
2,268 
1,228 



REPORT OF THE COLLECTOR OF CUSTOMS. 



127 



Statetnent of foreign vessels engaged in trade between the Philippine Islands and foreign 
ports during the fiscal year 1905, showing name, flag, and registered tonnage — Cont'd. 



Name of vessel. 



Nithdale 

Norwood 

Nubia 

OakbuTD 

Onsang 

Oscarll 

Otterspool 

Pakho 

Palma 

Paul Revere 

Peareth 

Pera 

Petrel (launch) . 

Peri 

Petrarch 

Pha Nang do 

Poona I British 

Polaris American .. 



Power. 



British Steam.. 

....do , 8aU 

Qerman Steam .. 

British '....do.. 

do I do... 

Norwegian .1 do . . . 

British '....do... 

do I do .. 

do ' do.., 



Ton- 
nage. 



American . 
British .... 

.-..do 

American . 
British .... 
German . . . 



Sail. 

Steam .. 

...do... 

...do... 

Sail 

Steam .. 

...do... 

...do... 

Sail 

Steam . . 
do.., 
do.., 



Pollux 
Port Denison 

Pleiades 

Profit 

Pronto 

Prussia American ., 

Putney Bridge British 

Quang Nan French 

Queen Adelaide... British 

Queen Alexander.! do do ., 

Queen Helena do ' do.. 

Radmonshire do ; — do . . 



Norw^ian . 

British 

American .. 

Norwegiail . do . . 

.do do.. 

Sail.... 

Steam . 

...do... 

.do. 



RasBera do, 

RasMora do 

Reigate do 

Riverton do 

Romulus American . 

Robert K. (tug- i do 

boat). ' 

Rubi , British.... 

Sagami do 

Sambia ' (Jerman ... 

Samar { American . 

Sanda ' British 

Satsuma do 

Scandia German... 

Schleswig do 

Schuylkill British.... 

Begismund Qerman... 

Seneca , British — 

Selsdon do 

Sellasia do 

Selum ' Norwegian 

Serbia ' German . . . 



.do. 

.do.. 

.do.. 

.do.. 

.do.. 

.do.. 



...do.. 
...do.. 
...do.. 
Sail.... 
Steam . 
....do.. 
....do.. 
....do.. 
...do.. 
...do.. 
....do.. 
...do.. 
...do.. 
...do.. 
...do.. 



1,860 

1,578 

2,268 

2,510 

1,787 

If 999 

1,814 

1,229 

4,913 

1,640 

1,830 

4,916 

20 

896 

1,251 

1,021 

4,877 

717 

779 

2.188 

2,932 

715 

837 

1,131 

2,147 

710 

1,835 

I 2,788 

! 2,755 

' 1,889 

2,499 

2,162 

2,503 

2,236 

467 

322 

1,612 

2,668 

3,623 

1 673 

( 1,406 

2,690 

I 3,185 

783 

3,343 

3,300 

I 3, 170 

2,461 

I 2,263 

' 865 

I 2,344 



Name of vessel. 



Flag. 



Shawmut American . . Steam . 

Shadwell I British L...do.. 

Shashing do ' do.. 

Shaoking ' do ' do.. 

Shimo«a ; do ] do .. 

Siberia American do .. 

Biam : British ...d«.. 

rflldra Norwegian . do.. 

Skuld I do I... .do.. 

Sofola ; British do.. 

Sommerfield 1 Qerman do . . 

S.P.Hitchcock American.. Sail 

Spezia | German Steam 



St.Bede I British 

StFilllans ; do 

St. George do 

St. Hugo do 

St.Nicholas do 

Stassfurt Qerman... 

Starching British — 

Sungkiank do 

i Sverre Norwegian 

Taming i British 

Taishan ' do 

Taiyuan | do 

Tean ' do 

Telemachus do 

Texan \ do 

(jerman ... 

Dutch 

British .... 

do 

American . 

British .... 

do 

do 

do 

Norwegian 

British .... 

American . 

Qerman ... 

British .... 

do 

do 

American . 

German ... 

British .... 

do 

do 

Japanese . . 

British .... 

do 



Thoedor Nille. 

Tiimahi 

Titanla 

Toyle , 

Tremont 

I Troop 

I Tringganu 

, Tslnan 

I Ujlna 

Ulo 

Umballa 

Venus 

Verona 

Vulcan 

Wathfleld 

Weehie 

Wm. F.Garmes. 

Willehead 

Woodford 

WongaFell 

Wray Castle 

Yawata Mam . . 

Yuensang 

Zaflro 



do.. 

do.. 

do.. 

do.. 
...do.. 
...do.. 
...do.. 
...do.. 
Sail.... 
Steam . 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
Sail.... 
Steam . 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 
...do.. 



Ton- 
nage. 

6,195 
2,592 
1,357 
1,807 
2,699 
5,665 
992 
2,097 
1,747 
3,436 
1,671 
2,086 
2,649 
2,287 
2,307 
2,966 
2,290 
2,284 
2,082 
1,307 
1,021 
1,076 
1,350 
1,121 
1,469 
1,346 
1,340 
5,636 
2,385 
2,470 
2,183 
2,690 
6, 195 
1,526 
600 
1,460 
3,426 
884 
3,426 
' 608 
I 3,036 
^ 2,207 
I 1,944 
1,227 
1 972 
3,012 
' 1,860 
I 2,582 
2.717 
2,366 
1,128 
1.611 



Total, 263 vessels. 

In the forgoing statement American vessels are treated as foreign vessels. 

Several of the vessels in the list have entered a dozen or more times during the 
year. This is especially true of the vessels regularly engaged in the Hongkong- 
Manila trade, some of which vessels average two round trips per month. 

Vessels entered and cleared at all entry ports in the Philippine Islands during the period 
of American occupation, with tonnage of same, by fiscal years ended Jutie SO, 1899-1906, 

NUMBER OP COASTWISE VB88EL8 ENTERED. 



Port. 


1S99. 


1900. 


1901. 

1,792 

2,171 

3,685 

49 

124 

5 


1902. 


1908. 


1904. 

2,103 

8,381 

2,756 

97 

161 


1905. 


Manila 


683 
108 
218 


1,28 

612 

1,347 

39 

92 

18 


1,660 

3,558 

6,008 

80 

132 

3 

41 


2,023 

3,398 

4,099 

46 

96 


1,932 


Hollo 


3,567 


Cebd 


2,876 


jol6 


126 


Zamboanga 




342 


giasl 






Aparri 




242 


87 
4 

16 
1 
4 




Bongao 








24 


Puerto Princesa 














Balabac 












25 


CaDeMelYille 


























Total 


1,009 


3,288 


7,826 


10,482 


9,904 


8,598 


8,882 







128 



REPORT OF THE PHILIPPINE COMMISSION. 



Vessels entered and cleared at all entry ports in the Philippine Islands during the period 
of American occupation^ with tonnage of same, etc, — Continued. 



TONNAGE OP COAST^VISE VESSELS ENTERED. 



Port. 


1899. 


1900. 


1901. 


1902. 


1903. 


1904. 


1905. 


Manila 


149,129 
41,091 
27,828 


240,897 
77,887 
100,676 
6,562 
29,569 
2,934 


341,853 
137,864 
145,726 
12,206 
20,871 
649 


828,671 
205,290 
165,485 
20,169 
30,832 
1,821 
5,569 


888,468 
194,947 
168,718 
11,505 
20,177 


441,320 
184,060 
193,174 
21,168 
36,193 


421,760 


Hollo 


176,512 


Cebii ....* 

Jol6 


191,596 
19,388 


Zaniboanga 




28,068 


Siasi 






Aparri 




46,167 


12,162 

192 

2,909 

10 

181 




Bongao 






1,796 


Puerto Princesa 












Balabac 


1 








169 


Cape Melville 






















1 




Total 


218,048 


458,465 


659,169 


757,787 


829.982 


891,804 


889,221 







NUMBER OF COASTWISE VESSELS CLEARED. 



Manila 

nollo 

Cebii 

Jol6 


728 

! 146 

205 


1,810 

585 

1,642 

44 

87 
18 


1,831 

2,232 

4,225 

49 

131 

6 


1,742 

3,584 

5,263 

84 

44 


2,045 

3,435 

4,206 

44 

98 


2,116 

8,362 

2,875 

105 

163 


1,940 

3.585 

2,985 

142 


Zamboanga 

Siasl 




370 


Aparri 


264 


103 
4 
16 
2 
4 




Bongao ' > 




28 


Puerto Princesa ' 










Balabac 








28 


Cape Melville ' 












1 






1 




Total 


1,074 

1 


3,686 


8,474 


10,854 


10,092 


8,750 


9,018 



TONNACJE OP COASTWISE VESSELS CLEARED. 



Manila 

Iloilo 

Cebii 

Jol6 


165, 161 
44,665 
28,036 


255,104 
82,784 
104, 701 
6.836 
30,326 
2,934 


354,940 
139,303 
147,596 
12,773 
20,952 
743 


359,859 
202,012 
151,850 
21,570 
30,976 
1,271 
6.205 


389,355 

196,763 

169,892 

10,884 

19,654 


465,201 
182,278 
196,360 
20,106 
87,020 


421,978 
173,448 
197,075 
18,628 
27,359 


Zamboanga 




Slasi 




.\parri 




45,890 


11,608 

192 

2,909 

12 

135 




Bongao 


-1 1 


1,824 


Puerto Princesa | 




Balabac 




192 


CapeMelville ' 




















Total 1 


237,852 


482,685 


676,307 


773,243 


832,438 


905,821 


840,504 



NUMBER OP VESSELS ENTERED FROM FOREIGN PORTS. 



Manila 


239 
24 
14 


412 
47 
54 

30 
18 
6 

...i.. 


521 
70 

71 
64 
27 
28 


577 
86 
73 
41 
41 
4 


662 

my 

118 
49 
45 


655 
113 

no 

35 
39 


558 


Hollo 


90 


Cebii 


128 


jol6 


25 


Zamboanga 




33 


Siasl 






Aparri 










Bongao 


1 






19 
2 
3 
4 


51 


Puerto Princesa 


1 








Bnlabac 








9 


Cape -Melville 




















Total ! 


277 


573 


781 


822 


9-9 


980 


889 







REPORT OF THE COLLECTOR OF CUSTOMS. 



129 



Vessels entered and cleared at all entry ports in the Philippine Islands during the period 
of American occupation, vnth tonnage of same, etc. — Continaed. 



TONNAGE OF FOREIGN VESSELS ENTERED. 



Port. 


1899. 


1900. 


- 1901. 


1902. 



912,982 
87,627 
88,438 
16,496 
28,877 
2,428 


1908. 


1904. 


1905. 


Manila 


280,^ 
26.865 
14,419 


&12,068 

55,589 

60,180 

7,958 

2,563 

2,094 


814.241 
77.808 
91,015 
25,344 
8.174 
15,847 


1.179,349 
115,843 
169,257 
28,547 
31,164 


1,247,969 
121,188 
152,028 
22,779 
28,177 


1,057,689 


Hollo 


128,198 


Cebd 


186,488 


jol6 


18,089 


Zambooiura 




82,4:.7 


suS™!!:.. !;»!!;!!::!!..... 






Aparrl 










ROngaO ........T...^.--r.-..rrT 










845 

1,214 

22 

779 


800 


Puerto Princesa 












Balabao 










68 


Gaoe Melville 



























Total 


822,180 


670,337 


1,081,924 


1,131,848 1.524.160 1.574. 986 


1,428,109 






' 







NUMBER OF VESSELS CLEARED FOR FOREIGN PORTS. 



Manila 


238 
27 
8 


848 
52 
48 
87 
18 
6 


460 
76 
75 
68 
24 
26 


514 
92 
62 
87 
87 
5 


649 

la-s 

113 
49 
39 


m 

117 
105 
87 
32 


562 


Iloilo 


93 


Cebd 


112 


jol6. 


27 


ZnObOanffa . r . r . . . r r r . . 




31 


8SS^.r.:..;::.::.:.;;.:.:! 






Apairi 




1 
















9 
2 
4 
5 


98 


Puerto Princesa 














Balabac 












11 


Cape Melville 




























Total 


278 


508 


728 


747 


956 


954 


934 







TONNAGE OF FOREIGN VESSELS CLEARED. 



Manila 


291,649 
85,769 
9.132 


501,522 
62,755 , 
59,147 j 
7,929 i 
2,567 , 
2,094 ! 


762,980 
81,585 
94,780 
24, 157 
7,892 
15,750 


881,985 
94,419 
86,456 
15,095 
23,978 
8,035 


1,198,987 


1,222,356 


1,067,759 


Hollo 


115,216 
168,516 
28,511 
80,747 


121,081 
145,625 
24,435 
25,868 


135,046 


Cebd 


175, 174 


jol6 


18.912 


Zainboanga 




29,864 


gfaifi r. 






Aparri 




278 






Pongfaou 




1 


798 

1,214 

29 

782 


561 


Puerto t*rince8a 










Balabac 




1 





80 


Cape Melville 




















Total 


836,550 


636.084 1 


977,094 


1,104,968 


1.542,200 


1,541,188 


l,417,89ti 







FOREIGN SHIPPING. 

Vessels entered at the port of Manila from foreign ports during fiscal year ended June SOy 

1905 J and tonnage thereof. 



Country. 


Flag. 


With cargo. 
Vessels. Net tons. 


In ballast. 


VesselH. 


Net tons. 


8AIUNO. 

British Australasia 


American 

do 


1 1 1,640 






Cbineae Empire 


i 


1,302 


Caroline Islands .' 


do 


1 


1 


40 


French East Indies 


do 


2 1 494 
13 16,315 
2 2,543 
1 1,076 




United States 


do. . . . 






British Australasia 


British 

Norwegian 






Do 













Total 


18 22,068 1 2 


1.342 













WAR 1906— VOL 13 



130 



REPORT OF THE PHILIPPINE COMMISSION. 

I year ended June SO, 



Vessels entered at the port of Manila from foreign ports during 
1906 f and tonnage </i«r«o/— Continu< 



Country. 


Flag. 


With 


cargo. 


In ballast 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


8TBAMBR8. 


American 

do 


28 


27,818 






Chinese Empire 


1 
2 


644 


Hongkong..* 

Hollo 


do 


16 
24 
64 

16 

170 
20 


8,488 

467 

488 

188.959 

4,879 

2,677 

187,264 

16,089 

24,747 

1,199 

8,687 

19,861 

4,495 

282,811 

45,758 

6,740 

1,863 

2,108 

991 


846 


do 




Japan 


do 






United Stales 


do 






Japan 


Austrian 






British Africa 


British 






British Australasia 


do 






British East Indies 


do 


6 

4 
2 


15,148 
11.966 
4,216 


Chinese Kmnlre 


do 


Dutch East Indies 


do 


England 


do 


French East Indies 


do 






Qennany 


do 






Hongkong 

Japan 


do 


12 
11 


85,880 
28,778 


do 


Russia 


do 


Russian China 


do 






Scotland 


do 






8iam 


do 






Spain 


do 


1 


1,747 


(ml ted States 


do 


86 
15 


96,542 

2,470 

5,028 

8,074 

12, 114 

14,215 

5,061 

1,261 

10,028 

22,036 

783 


> ... 


East Indies: 

Dutch 


Dutch 






French 


French 






Japan 


do 






British Australasia 


German 


1 


8,012 


British East Indies 


do 


England 


do 






France - 


do 






French East Indies 


do 






Germany 


do 






Japan 


do 






HomrkonflT 


do 


1 


1,290 


United States 


do 


13 

1 


11,242 
1,671 
4,788 
2,866 
2,566 
2,097 
7,144 
5,945 
3,746 
1.294 

83,692 
460 




Honjrkonir 


Italian 






British Australasia 


Japanese 






Honirkomr 


do ..i 






Japan 


do 






British AustnJaida 


Norwegian 

do 






Chinese Empire 






French East Indies 


do 








do 


1 


1,968 


Scotland 


do 




England 


Snanish 






SpSn 


do 














Total 


496 


979,317 


42 


104,912 





Vessels cleared for foreign ports from the port of Manila during fiscal year ended June SOy 

190Sy ana tonnage thereof. 



Country. 


Flag. 


With cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


SAILING. 

British Australasia 


American 






} 

1 
10 


994 


French East Indies 


do 






494 


Honflrkonsr 


do 


1 
2 
1 


207 

8,388 

896 


2,146 
9,618 


United States 


do 


Auckland 


British 


British Australasia 


do 


1 

1 


1.647 


Dutch East Indies 


Norwegian 






1,076 










Total 


4 


4,491 


15 


15.975 







BEPOBT OF THE COLLECTOB OF CUSTOMS. 



131 



Ves9el$ cleared for foreign ports from the port of Manila during fscal year ended June SO^ 
1906, and tonnage thereof'---Contmn€la, 



Oomitry. 


Flag. 


With cargo. 


InbaUast 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


8TRAMBB8. 

British Africa 


American 

do 


1 


1,578 






East Indies: 

British 


4 
80 

1 
1 


6,281 


French 


do •.. 






28,661 

2,190 

186 


Dutch 


do 






0^ii>fl#e Empire 


do 






Fnffii^n«i . 


do 


1 

84 
4 
1 
28 
2 
14 
8 
8 
1 


2,885 
89,648 
U,518 

6,500 
180,818 

8,524 
28,967 

9,447 
20,717 

2,966 




Hongkong. . . , 


do 


7 


7.180 


jApah . . .7. 


do 


Spain 


do 






United States 


do 






British Africa 


British 






British Anfftralasia 


do 


14 
12 
10 


84,562 
24,824 
15,094 


British East Indies 


do 


Chinese Empire 


do 


Cehd .* 


do 


Dntch East Indies 


do 


7 


16,728 


Egypt 


do 


1 
5 
7 


1,868 
17,868 
18.926 


Enjrland 


do 






France 


do 






French East Indies 


do 


14 
18 


28,066 
28,277 


Homrkons: 


do 


185 

1 

7 

81 

1 


272,824 

8.485 

18,890 

84.478 

2,470 


Souo.:.^.::. ::::.::;:::::;:::;;::::: 


do 


Japan 


do 


10 
1 


24,766 
61686 


United States 


do 


Hongkong 


Dutch 


French East Indies 




2 

1 


1,707 
996 


Hongkong 


do...-. 






Hollo 


do 


1 
1 


712 
8,074 




United States 


do 






British Australasia 


German 


2 
8 

1 

6 
8 
5 


8.886 

5,862 

906 


Brf tiifh East Indies 


do 


18 
8 


10,987 
7,280 


Chinese Empire 


do 


East Indies: 

Dntch 


do 


9,926 
8,202 
8,884 


French 


do 






Hnturlronflr. 


do 


8 
2 


28,570 
5,794 


Japan ; 


do 


Hmigkong 


Italian 


1 


1,671 


British Australasia 


Japanese 


2 
2 


4.782 
4,782 


Hongkong 


do 






Bri^h A nstralasia 


Norwegian 


1 
2 
4 

4 
8 


2.442 
1.781 
2,709 
2,996 
6,826 


Chinese Empire 


do 


5 

1 


4,842 
887 


French East Indies 


do 


HoTigirong 


do 


japui ..r. 


do 






United States 


do 


1 
18 


1,968 
82,566 


PJnglRnil 


Spanish 














Total 


882 


778,826 


161 


268.467 







RECAPITULATION. 





Entered. 


Cleared. 




Vessels. 


Net tons. 


Vessels. 


Net tons. 


f^illflff 


20 
588 


28.410 
1,084.229 


19 
548 


20.466 
1,037.298 


Steam^ 




Totol 


558 


1,067.689 


562 


1.067.769 





132 



BEPORT OF THE PHILIPPINE COMMISSION. 



Vessels entered at the port of Cehii from foreign ports during fiscal year ended June SO, 1906, 

and Umntige thereof. 



Country. 


Fla«. 


With 


cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


8AIUNG. 

British Australasia 


American 

do 


1 


1,641 






PhiliDDine Islands 


1 


2,086 


United states 


do 


1 
1 
1 


642 
1,647 
1,999 




British Anstmlasia 


British 






United States «• 


do •. 














Total 


4 


6,929 


1 


2,086 




American 

British 




STEAMERS. 

French East Indies . . , , . . ^ . . 


15 

5 
2 
8 

4 

1 

23 

1 


18,030 
12,247 
2,480 
8,063 
4,513 
1,901 
23,867 
1,930 






British Aii8trala><ia 






British East Indies 


do 


1 


Chinese Empire 

French East Indies 


do 


1 


8,061 


do '. 


Qermany 


do 


;"*"!!!! ■■""" 


Uonflrkonsr . 


do ,.. 


1 


3,344 


Japan 


do 


Philippine Islands 


do 


22 


62,462 


RuaEoa 


do 


3 

I 


6,803 
2,207 
5,428 




United States 


do 




French Kast Indies r , r 


French 

do 




Japan 


1 
1 


8,075 


Biitish East Indies 


German 


12 
5 

1 
1 


8,419 
7,109 
1,521 
1,123 


767 


French East Indies 


do 




Germany 


do 




Honirkonflr 


do 




Philippine Islands 


do 


1 


2,386 


French East Indies 


Nonvegian 

do 


6 

1 


4,450 
1,194 




Japan 





Philippine Islands 




i 


i,te8 












Total 


90 


101,285 


28 


77,138 



Vessels cleared for foreign ports from the port of CefrA during fiscal year ended June SO, 

190Sj and tonna/fe thereof 



Country. 


Flag. 


With 


cargo. 


In ballast. 


Vessels, 


Net tons. 


Vessels. 


Net tons. 


SAIUNQ. 

British AustralfifdA 


American 






1 


1,641 


British Africa 


do 


1 


2,086 


French East Indies 


do 


1 
1 
1 
1 


494 


United States 


do 






642 


Hongkong 

Philippine Islands 


British 






1,647 


do 






1,999 










Totol 


1 


2,086 


6 


6,428 




American 


STEAMERS. 

British East Indies 






7 


7,144 


United States , 


do 


1 


6,077 


British EAi*t Indlps 


British 


1 
1 
2 


767 


Chinese Empire 


do 






1,121 
4,144 


Dutch East Indies 


do 






England 


do 


» 4 


16,474 




do 


2 


8,982 


Fiance 


do 


6 
22 


17,649 
22,834 


Hongkong 


do 


6 
2 
9 


6,286 
4,868 


Japan 


do 


Philippine Islands 


do 






16,726 


United States 


do 


11 


28,901 


French East Indies 


French 


5 

1 


4 480 


Hongkong 


.... do 






997 


United States 


do 


1 
4 

1 


3,075 
2,901 
2,886 




British East Indies . 


German .... 


8 


6,188 


England 


do 


French East Indies 


do 


1 


887 


Hongkong 


do 


4 


4,381 




Norwegian 


6 

1 


4.460 
1,194 


Hongkong 

United States 


do 






do 


1 


1,958 










Total 


56 


104,586 


51 


62,079 



BEPOBT OP THE COLLECTOR OP CUSTOMS. 



138 



Vestels cleared far foreign ports from (he port of CeM during fiscal year ended June 30, 
1906 f and tonnage thereof— Continued. 



RECAPITULATION. 





Entered. 


Cleared. 




Vesaels. 


Nettoaa 


Veasete. 


Net tons. 


Sailing 


5 

118 


8,016 
178.418 


6 
106 


8.609 
166.666 


Steam 




Total : 


123 


186,438 


112 


175,174 





Vessels entered at the port of IloUo from foreign ports during fiscal year ended June SO, 

1906, and tonnage thereof. 



Qonntry. 


Flag. 


With 


cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


SAILING. 

UnitedStatee 


British . . 


1 


1,999 


1 


1,820 




American 

do 


STBAMBBS. 

Honirkonff 


3 


2,005 








1 


5,077 


Australia 


British 


6 
1 
1 
2 
26 
3 


16,117 
3,152 
1.072 
2,361 

26,654 
6,012 


l?*-itTn*Hfif , 


do 






Chinese Em^re 


do 


3 


6.740 




....%do 


Hopgi^ong. 


do 


2 
1 
5 


8.768 
2,284 
15,606 


Japan ..7. .. . 


do 


Manila 


do 


Russia 


do 


8 

1 

4 
11 


6,808 
2,618 

8,616 
7.961 


United States 


do 






East Indies- 
French 


French 






British 


German 






French 


do 


1 

1 
1 
1 

1 


985 


HOY^l^Ong . X X . . . . a . X . X . . 


do 






964 


Manila 


do 






908 


Zamboanga 


do 






1,046 
1,901 


C!h1n«H>^ l^plfS^ 


Norwegian 






£a«t Indies, 'French 


do 


6 

1 


4,443 
1,629 




Hongkong, ,,,... 


do 






Manila 


do 


1 


624 


Scotland 


do 


2 


1,298 












Total 


70 


85,636 


18 


88.888 







Vessels cleared for foreign ports from the port of lloUo during the fiscal year ended June SO, 

1906, and tonnage thereof 



Country. 


Flag. 


With cargo. 


In ballast 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


BAILING. 

United states 


British 


2 


3,819 








Ameiiciin . r , . . , . 







STBAMSBS. 

East Indies. French.., 






2 


1,920 


Hongkong.' 


do 


2 

1 


1.218 
6,077 


United States 


do 






Australia 


British 


2 
2 
2 

1 
2 
6 
1 
2 
1 


6,089 
6,618 
3 817 


Cebd 


do 


1 
3 


1.970 
3,235 


Chinese Empire 


do....* 


East Indies, "hutch 


do 


1.980 
3.383 
7,248 
2,223 
4,870 
2,754 


HlMt TndiMi, Fi^nnh . . 


do 






Hongkong 


do 


24 


24,628 


Jaio 


do 


ManlU 


do 






United states 


do 


9 

1 


27,074 
8.485 


Zamboanga 


do 



184 



BEPOBT OF THE PHILIPPINE COMMISSION. 



VeweU cleared for foreign ports from the port of Hoilo during the fiscal year ended June 30 y 
1906f and tonnage i/ier^o/— Continued. 



Country. 


Flag. 


With cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. 


Netton^ 


STEA MSRs— oontinaed. 
KMFt Tndi^ Flinch .... 


French 






8 
10 


2,906 
7,194 


Rftft Tndf4«f>i British ... 


Qf^nnan 


2 

1 


1,584 
908 


Chinese Empire 


do 


East Indies, French 


do 


1 


1,046 


Honglcong 


do 


1 
1 


985 
964 


JapMi . . .T 


do 






F4Wt IndiWt French 


Norwegian 


1 


645 


Chinese Empire 


do 


8 

4 


2,8i5 
2,877 




Honsrkonsr 


do. 


1 
1 


887 


T Abnan ...... ^. ...... . . . .. 


do 


715 


United States 


do 


1 


1,902 










Total 


54 


78,682 


87 


52,595 







BBCAPITULATION. 





Entered. 


Cleared. 




Vessels. 


Net tons. 


Vessels. 


Net tons. 


Sailing 


2 

88 


8,819 
124,874 


2 
91 


8,819 
181,227 


gt^nT; 




Total 


90 


128,198 


98 


185,046 







Vessels entered at the port of JM from foreign ports during fiscal year ended June SO, 

1905 y and tonnage thereof. 



Country. 


Flag. 


With cargo. 


In ballast 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


STEAMERS. 

East Indies, British 


American 

British 


1 

1 

1 

18 


87 
8,467 

56 
8,485 






British Australasia 






East Indies, British 


do 






Do 


German 






Philippine Islands 


do 


8 


4,760 


Do 


Norwegian 


1 


1,194 








Total 


17 


18,279 


8 


4,760 







Vessels cleared for foreign ports from the port of Jol6 during fiscal year ended June SO, 

1906, and tonnage thereof. 



Country. 


Flag. 


With cargo. 1 In ballast 


Vessels. 


Net tons. 


Vessels. | Net tons. 


SAIUNO. 

East Indies, British 


American 






1 
1 40 




American 








STEAMERS. 

East Indies. British 






1 

1 
1 
1 


87 


East Indies, French 


do 






888 


East indies' British 


British ....: 






56 


Philippine islands 


do 






8,457 


Kwrt TnrHM British , . , 


German 


10 


6,000 


Philippine Islands 


. . .do 


ii 


7,245 


Do 


Norwegian 


1 


1,194 








Total 


11 


7,194 


15 


11,678 







BEPOBT OF THE COLLECTOB OF CUSTOMS. 135 

Veuds cleared for foreign ports from the port of Jol6 during fiscal year ended June SO, 
1906, and tonnage thereof— Couiimxea, 

RECAPITULATION. 





Entered. 


Cleared. 




Vessels. 


Net tons. 


Vessels. 


Net tons. 


Sailing 






1 
26 


40 


Steam 


26 


18,089 


18,872 






Total 


25 


18,089 


27 


18,912 





Vessels entered at the port of Zamboanga from foreign ports during fiscal year ended 
June SO, 1905, and tonnage thereof 



Country. 


Flag. 


With cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


8TKAMBR8. 

East Indies, British 


American 

British 


1 
3 


87 
8,235 






Bfitf<ih AniftmliyvlA 


3 

1 


4,882 


British China 


do 


1,468 


East Indies, British 


do 


2 
2 
10 
7 

1 


267 
2,922 
6.645 
4,170 

844 


Honflrkonff. 


do 






KMtTndf»4, Br<t<«h , 


German 


1 


1,046 


II^AtTnillpfljn^tOh 


do 


Japan .' 


Norwegian 

do «... 


1 
1 


i,i93 


Philippine Islands a 


1,198 












Total 


26 


28,160 


7 


9,277 









n Original port of departure unknown. 

Vessels cleared for foreign ports from the port of Zamboanga during fiscal year ended 
June SO, 1905, and tonnage thereA)f 



Country. 


Flag. 


With cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. 


Net tons. 


STEAMERS. 
F,Mt T»^d««ft, T4Htl«h , 


American 


' 




1 
8 


87 


British Australasia 


British 


1 
1 


1,468 
1,463 


6,867 


British China 


do 




Ea^rt Tndl4»fi, British 


do 


1 
1 


120 


Hongkong 


do 


1 
1 
9 


1,469 
2,364 
5,627 


1,460 


PhiHppine Inlands 


do 




East Indies, British 


German 


2 
6 
1 
1 
2 


1,708 


Eafft Indlesi Dtitch 


do 


8,680 


Foreign port via Hollo 


do 






1,046 


East Tndi^, British 


Norwegian 






844 


Philippine islands^ , 


do 






2.886 












Total 


18 


12,276 


18 1 17.688 











* a Final destination unknown. 



RECAPITULATfON. 





Entered. 


Cleared. 




Vessels. 


Net tons. 


Vessels. 


Net tons. 


Steam 


33 


32,437 


81 


29,864 





136 



BEPORT OP THE PHILIPPINE COMMISSION. 



Vessels entered at the port of Bongao from foreign ports during fiscal year ended June SO, 

1906, and tonnage tjiereof. 



Country. 


Flag. 


With cargo. 


Inhallast 


Vessels. 1 Net tons. 


Vessels. 


Net tons. 


8AIUNO. 

East Indies, British 


American 

British 

Dutch 


88 226 

11 56 

1 14 


1 


6 


East Indie«i British 




East Indies, Dutch 











1 


Total 


50 , 296 

1 


1 


5 







Vessels cleared for foreign ports from the port of Bongao during fiscal year ended June SO, 

1905, and tonnage tnereof. 



Countrj-. 


Flag. 


With 


cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels, 


Net tons. 


SAILING. 

Kflwt Indl4>« Briti«h 


American 

British 


56 
17 


327 
89 


28 
2 


126 


East Indies, British 


19 








Total 


73 


416 


25 


145 









RECAPITULATION. 





Entered. 


Cleared. 




Vessels. 


Net tons. 


Vessels. 


Niet tons. 


Sailing 


51 


800 


96 


561 







Vessels entered at the port of Balafnic from foreign ports during fiscal year ended June SO, 

1906y and tonnage thereof 



Country. 


Flag. 


With 


cargo. 


In ballast. 


Vessels. 


Net tons. 


Vessels. | Net tons. 


SAILING. 

British North Borneo 


American 


9 


68 


1 
i 

1 








1 



Vessels cleared for foreign ports from the port of Balabac during fiscal year ended June SO, 

1905, and tonnage thereof. 



Country. 


Flag. 


With cargo. 


In ballast. 


Veswla. 1 Net tons. 


Vessels. 


Net tons. 


SAIUNO. 

British North Borneo 


American 


11 " 80 
















RECAPITILATK 


)N. 










Entered. 


Cleared. 




Vessels. 


Net tors. 


Vessels. 


Net tons. 


Sailing 

Steam . . 


:::::::::::::::::::: 


9 


68 


11 


80 














Total 





9 


68 


11 


80 









BEPORT OF THE COLLECTOR OP CUSTOMS. 



137 



Ceri^icaieii of protection istued in the Philippine Islands froip, January i, 1900, to June SO, 
1905, under the provisions of Tariff Circular No, 81. 



Port. 



Number 
of certifi- 
cates. 



ManUa 

IloUo 

Cebd 

Zamboanga 

Jol6 

Aparri 

Bonsao 

Balabac .... 

Total. 



2,211 

892 

2,022 

101 

66 

62 

19 

4 



5,877 



Staiemeni of immigrants arriving at aU ports in the Philippine Islands during' tlie two fiscal 

years ended June SO, 1905. 





Fiscal year 1904. 


Fincal year 1906. 


Port. 


Ameri- 
can. 


Euro- 
pean. 


All 
other. 


ToUl. 


Ameri- 
can. 


Euro- 
pean. 


All 
other. 


Total. 


Manila 


13,115 
19 
9 
6 
2 


1,516 
10 

8 

20 
6 

1 


12,309 
216 
318 
290 
123 

8* 

6 
14 


26,989 

244 

335 

316 

131 

1 

3 

5 

14 


13,304 
20 
4 
3 
6 


1,286 
19 
16 
6 
8 


10,965 
244 
308 
176 
70 


25,564 
288 


CebU 


Iloilo 


827 


Jol6 


184 


ZnmhoAnga . 


79 


Puerto Pi^ncesa 




Bongao 








16 


16 


Cape Melville 












Balabac 






1 




52 


58 










Total 


13,151 


1,560 


13,277 


27,988 


13,388 


1,327 


11,831 


26,496 







Statement of Chinese immigrants arrived at and departed from the port of Manila during 
the period from January 1, 1899, to June SO, 1905. 



Calendar year 1899 

Calendar year 1900 

Calendar year 1901 , 

Calendar year 1902 

Calendar year 1903 

Half year, January 1 to June 30, 1904. , 
Fisoil year 1906« 



Total to June 30. 1906 

Excess of arrivals over departures. 



Arrived. 



13.306 
9,768 

10,309 
9,789 
7,426 
4,632 
8,886 



64,118 



Departed. 



9.468 
10,668 
7,294 
6,660 
8,068 
4,112 
7,716 



68,766 
10.363 



a Statistics for 1906 are for all ports. 

It will be noticed that during the past year the arrivals of Chinese exceed the 
departures 1,171. Considering the fact that the total number of Chinese inhabitants 
of the Philippine Islands is only about 50.000, it will be noticed that they are much 
given to traveling back and forth between China and these islands, from one-sixth 
to one-fifth of the entire number making the trip each year, the greater number as 
steerage passengers. 

CHINESE AND JAPANESE IMMIGRATION. 

The following table shows the total number of Japanese and Chinese arriving in 
the Philippine Islands during th& three fiscal years ended June 30, 1905: 



1903. 



Japanese 1.123 

Chinese 1 i 8,762 



1904. 



1906. 



2,770 I 1,235 
9,089 I 8.886 



The number of Japanese arrived during the year exceeded the number departing 
by 408. 



138 



REPORT OF THE PHILIPPINE COMMISSION. 



Statement of passengers departing for foreign ports from aU ports in the Philippine Islands 
during the fiscal year ended June SO^ 1906. 

[Paasengera departing on United States transportB not included.] 





Destined foi^ 




Nationality. 


United 
States. 


Eng- 
land. 


Hong- 
kong. 


Amoy. 


Singa- 
pore. 


Spain. 


France. 


Ger- 
many. 


Other 
country. 


Total. 


AmerloanB 

FilipinoB 


56 
2 


4 
1 
1 

9* 


1,781 

899 

132 

80 

8,601 

334 

28 

18 

64 

3 

442 

2 

4 

73 


*3,'327* 


82 
51 

\ 

112 

22 

4 


3 

45 

405 

3 


1 
6 
2 
6 


i' 


83 

56 

8 

7 

174 


1,910 
668 


Spaniards 


551 


Qermans 


1 

1 


101 


Chinese 


7,715 


English 


1 







33 


399 


French 








12 
1 

36 

5 

872 


44 


Scandinavian .... 




1 

i' 








20 


East Indians 


16 




55 
1 
13 








171 


Russian 


i 






10 


Japanese 










827 


Cuoan 






2 






4 


Irish 
















4 


Portuguese 








3 








is 


94 


Polii£' 














Scotch 






6 
184 














6 


Ail other 




7 




17 




5 




88 


251 




.... 




Total 


76 


24 


7,051 


8,935 


316 


459 


20 


1 


899 


12,775 



Of the passengers departing, 1,255 were females and 11,520 males; 408 were mider 
15 years of age; 1,108 were over 45 years of age, of whom 751 were Chinese and 41 
English. 



Appendix B. 

AlphaheUoal list of names of seagoing vessels documented in the Philippine Islands to which 
official numbers and signal letters were assigned^ covering Ute period from July 1, 1904^ 
to and including June SOy 1906, 



Vessel. 


Rig. 


Gross 
tonnage. 


Official 
number. 


Signal letters. 


Home port. 


Alia 


Sail 


1,481.66 
120.59 
568.87 

78.77 
411. 11 
411.11 
1,068.21 
411.11 
177.93 
151.10 
4U.11 
875.71 

53.87 
320.86 

60.51 
168.86 

96.75 

86.50 
1,074.96 
124.15 
411.11 
482.66 
411.11 
221.21 
411.90 
411.11 

31.13 
411.11 
411. 11 
154.82 
411.11 
139.87 
113.41 
411.11 
411. 11 


173050 
172773 
172688 
171273 
172921 
172922 
172764 
172923 
173466 
172610 
172924 
172887 
173532 
173617 
172601 
173004 
172914 
173156 
171650 
172884 
172925 
173046 
172926 
172898 
172927 
172928 
178514 
172929 
172930 
178054 
172931 
172790 
171366 
172932 
172933 


M.C.N.L 

M.C.K.H.... 

M.C.J.V 

M.C.N.V 

M.C.K.S 

M.C.K.T 

M.C.K.G 

M.C.K.V 

M.C.N.W.... 

M.C.K.B 

M.C.K.W.... 

M. C.K.N 

M.C.P.D 

M.C.P.G 

M.C.J.W 

M.C.N.H 

M.C.K.Q 

M.C.N.R 

M.C.N.T 

M.C.K.L 

M.C.L.B 

M.C.N.K 

M.C.L.D 

M.C.K.P 

M.C.L.F 

M.C.L.G 

M.C.P.B 

M.C.L.H 

M.C.L.J 

M.C.N.P 

M.C.L.K 

M. C.K.J 

M.C.P.F 

M.C.L.N 

M.C.L.P 


Manila. 


Angelita 


do 


Do. 


Ascenci6n 


Steamer 

do 


Do. 


Avante 


Do. 


Balabaco 


do 


Do. 




do 


Do. 


Bun-uan ............................ 


do 


Do. 


Bmmangaa 


do 


Do. 


Calilayan 


Sail 


Do. 


Cannencita 


do 


Do. 




Steamer 

Sail 


Do. 


Dolores 


Do. 


Frutos 


do 


Hollo. 


Qarcia Pitogo 


Steamer 

Sfldl 


Manila. 


Oerardo..... 


Do. 


Gill 


do 


Do. 


Gil L6pe2 


Steamer .... 
do 


Iloilo. 


Hawk 


Manila. 


J. Bufftamante . ....... x . . 


do 


Do. 


Kahahayan 


do 


Do. 


Leytea 1 


.. .do 


Do. 


Loyola , 


Sail 


Do. 


Luz6n a 


Steamer.... 
do 


Do. 


Mactan 


Do. 


Marlnduque « 


do 


Do. 


Masbatea 


do 


Do. 


Mercurio 


Sail 


Hollo. 


Mindanao o 


Steamer 

do 


Manila. 


Mindoroo 


Do. 


N. S. deGracia 


do 


Do. 




do 


Do. 


Nueva Zaraoroza 


Sail 


Do. 


Nuevo Rosario 


do 


Do. 


Palawan a 


Steamer 

do 


Do. 


Panaya 


Do. 



a Insular coast guard vessel. 



BEPOBT OP THE COLLECTOB OF CUSTOMS. 



139 



AlphabeUcal list of names of seagoing vessels documented in the Philippine Islands to which 
official numbers and signal letters were assigned, covering the period from July i, 1904, 
to and including June SO, 1905 — Ck>ntinuea. 



Vessel. 


Rig. 


Gross 
tonnage. 


Official 
nnmber. 


Signal letteiik 


Home port. 


Paul Revere. 


Steamer.... 
do 


78.59 
178.00 
411. U 
254.08 
411.90 

85.88 

96.22 
411.11 
180.11 
102.00 

93.20 
885.06 
112.04 

70.84 


172915 
172964 
1729S5 
172986 
172987 
178204 
172938 
172989. 
172980 
178075 
178084 
172611 
173655 
172649 
172940 
172577 
172941 
172942 


M.C.K.R 

M.aL.Q 

M.C.L.R..,,, 

M.C.L.8 

M.C.L.T 

M.C.N.8 

M.C.L.V 

M.C.L.W .... 

M.C.N.G 

M.C.N.Q 

M.C.N. J 

M.C.K.D 

M.C.P.H 

M.C.K.F 

M.C.N.B 

M.C.J.T 

M.C.N.D 

M.C.N.P 


noilo. 


Picketa 


Manila. 


Polllloa 


do 


Do. 


RAnsero 


do 


Do. 


B<Hni>16na 


do 


Do. 


Roeurio 


Sail 


Cebd. 


Rover a...... 


Steamer.... 

do 

do 


Manila. 


SAmara 

8anJo86I 


Do. 
Zamboanga. 
ManiU. 


SanJos^li 


do 


Han Lulu de GninAVftxiRAn .......... 


Sail 


Do. 


danNicoUs .'...7. 


Steamer.... 
Sail 


Do. 


Santa Maria 


Do. 


flantlf<m«^Trtpirf«d 


bteamer.... 
do 


Do. 


Sentinela 


Do. 


Serantes 


do 


161.78 
411.11 
74.55 


Do. 


Tablasa 


do 


Do. 


Troya 


do 


Do. 









alnsalar coa^t guard vesBel. 
Appendix C. 

Alphaheiical list of coastwise vessels documented in the Philippine Islands to which official 
numbers were assipned during the period from August i, 1904^ to June SO, 1905, including 
vessels marked * in letters R and T omitted from last special report. 



Venel. 


Rig. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


A. D.Padua 


Sail 


9.95 
5.85 
5.82 

11.45 

12.44 

58106 
8.80 
6.47 
5.06 
6.22 

10.77 

79.86 
5.85 
8.35 
7.66 
7.61 
5.16 
5.04 
5.02 
6.47 

84.95 

5.09 

1,481.56 

7.38 

40.41 

12.72 

120.59 

6.60 

5.58 

47.00 
9.44 
5.88 
6.04 
8.69 
5.34 
7.84 
8.78 

20.68 
5.85 

48.43 
5.28 
8.96 

22.48 
9.70 

15.31 


173591 
178538 
178024 
178027 
173135 
178586 
172868 
178556 
173190 
178026 
178588 
173065 
178416 
178448 
178405 
178273 
172869 
172851 
173449 
172897 
172674 
178573 
173060 
173438 
172678 
173294 
172773 
178249 
178497 
178162 
178468 
178321 
178878 
178515 
173635 
178619 
173592 
172881 
178282 
178208 
178560 

"mm 

173435 
178606 


P. Cabajug 


• 
Cebd. 


Abad 


do 


J. Bacul 


Do. 


Adela 


:::::dS:::::::::::: 

do 


p.Sales 


Do. 


Adoracl6n 


A. Badilla 


Do. 


Anrie 


Steam launch.... 
Sail 


A. Samson 


Manila. 


Agno -^,^ 


M. Rivero 


Do. 


Agnila 


.?!^do;:::::;::::: 


E. Ganon 


Iloilo. 


Agustin 


do 


P. Reyes&Co 

G. Olvido 


San Pemando. 


ADeen 


do 


Cebd. 


Albor 


do 


P. Albores 


Do. 


Alejandra 


do 


J. Guidote 


Nueva CAceres 


Alejandro 


Lighter 


Z. Lichauco 


Manila. 


Alerta 


Sail 


L. Pelicitas 


San Pemando. 


AlertoViaJera 


do 


8. dePerio 


Do. 


Alfonso XIII 


do 


Salooo 




Alfred 


do 


C. Raroque 


San Pemando. 


Alfredo 


do 


I. Maca& 


Iloilo. 


Alice 


do 


P. S. Marcelo 


Manila. 


Allsto 


do 


U.Cerina 


San Pemando. 


Alma , 


do 


P. a Marcelo 


Manila. 


Alpine Bagle 

Alonso 


Steam launch.... 
SaU 


J. H. Greefkens 

F. Alonso 


Do. 


Alta 


do 

do 


D.H.Ward 


Manila. 


AynburAyan , 


P. Lozano 


San Pemando. 


American Bagle... 


Steam launch.... 
do 


J. H. Greefkens 

M.N. Job6 


Manila. 

San Fernando. 


Angelita 


Sail 


J. PonMi 


Manila. 


Angelita 


Boat 


J.Baca 


Do. ' 


Angelita 


Sail 


M. Tabora 


Do. 


Anita 


do 


J. Rodilgues 


Do. 


Anita Araneta 


do 


E. Araneta 


Iloilo. 


Antipdo 


do 


P. Imperial 


San Pemando. 


Api^. 


do 


y. Quejada 


Do. 


Apoionio 


do 


AiYafier.'..:.....::: 


Oroquleta. 
Cebo. 


Arador 


do 


P.Arador 


Arellano 


do 


J. Arellano 




Argao 


do 


A. Mifiosa 


Cebd.' 


Afloncidn 


do 


P. Floranza 


!M- 


Asanci6n. 


do 


J. Pico 


Anreia 


do 


M. Eyeno 


Tacloban. 


Amora 


do 

do 


J.Vaflo 


Cebd. 


Ave del Paraiso . . . 


F. Hermosura 

8. Planco 


San Femandif. 


Ave Maria 


do 


Cebd. 


Ave Maria 


1 do 


M.Cardona 


San Pemando. 


Ayama 


1 do 


A. Bongabong 


Cebd. 



140 



REPORT OF THE PHILIPPINE COMMISSION. 



Alphabetical list ofcoadrvise vessels documented in the Philippine Islands to which official 
numbers were assigned during the period from Auaust i, 1904^ to June 30, 1906, including 
vessels marked * in letters R and T omitted from last special report — Continued. 



Rig. 



Gross 


Official 


tonnage. 


number. 


6.13 


178648 


184.69 


173170 


411. 11 


172921 


11.40 


173192 


16.84 


172867 


6.12 


173188 


7.54 


173173 


18.97 


178166 


6. 44* 


173139 


6.09 


172967 


6.48 


173103 


7.61 


173420 


17.51 


173066 


7.18 


173361 


7.79 


172846 


18.11 


173214 


6.74 


173472 


5.76 


172728 


10.41 


178471 


9.75 


172854 


5.92 


172847 


5.09 


178257 


21.41 


178255 


6.24 


172954 


9.02 


173188 


21.82 


172858 


16.83 


178049 


11.47 


178062 


11.46 


172799 


9.10 


178224 


27.20 


173462 


12.25 




7.90 


172746 


7.49 


172767 


14.26 


178077 


39.88 


173164 


5.65 


172877 


20.81 


178167 


9.98 


172791 


14.83 


172792 


7.10 


178176 


6.35 


178278 


6.22 


173111 


11.83 


173125 


7.52 


173100 


7.45 


178102 


6.45 


173003 


5.93 


173178 


6.87 


173507 


5.35 


173059 


5.68 


172965 


6.64 


172909 


6.62 


173089 


6.88 


172768 


10.24 


172908 


7.27 


172841 


6.64 


173256 


21.81 


172900 


9.58 


173238 


6.35 


173300 


7.85 


173305 


6.16 


172857 


19.96 


173106 


7.07 


172972 


7.19 


17270) 


5.36 


173588 


6.08 


173444 


7.34 


172840 


6.86 


173114 


6.23 


172953 


9.40 


173168 


16.69 


172752 


6.16 


173581 


6.80 


173567 


7.01 


173074 


9.13 


173276 


6.98 


173061 



Name of owner. 



Home port. 



B 

Balabac. 

Baluyos . 



Banea No. 
BanoaNo. 
BaaoaNo. 
Banca No. 
BancaNo. 
Banca No. 
BancaNo. 
Banca No. 
Banca No. 
Banca No. 
Banea No. 
BancaNo. 
BancaNo. 
BancaNo. 
BancaNo. 
BancaNo. 
BancaNo. 
Banca No. 
BancaNo. 
Banea No. 
BancaNo. 
Banca No. 
BancaNo. 
Banca No. 
Banca No. 
BancaNo. 
BancaNo. 
BancaNo. 
Banca No. 
Banca No. 
BancaNo. 



SaU 

Barge ... 
Steamer. 



SaU.... 
.....do. 
Banca. 
.....do. 
.....do. 
.....do. 
....do. 
....do. 
.....do. 



699 

1243.... 
1897.... 
1898.... 
1731 .... 
10210... 
10442... 
10696... 
U3M... 
11466... 
11649... 
11716... 
11719... 
11859... 
15205... 
16929... 
16982...! 
16004...! 
16017...! 
16048... 
16101...; 
16104... 
16105...' 
16111... 
16120... 

16188...' do 

16146 do 



do 

do 

.do 

.do 

.do 

.do 

.do 

.do 

.do 

-do 

.do 

.do 

.do 

.do 

.do 

.do 

.do 

.do 



16158. 
16178. 
16176 . 
16186. 



BancaNo, 
BancaNo. 
BancaNo. 
Banca No. 
Banca No. 
BancaNo. 
Banca No. 
Banca No. 
Banca No. 
BancaNo. 
BancaNo. 
Banca No. 
BancaNo. 
Banca No. 
Banca No. 
BancaNo. 
BancaNo. 
BancaNo. 
Banca No. 
BancaNo. 
BancaNo. 
Banca No. 
BancaNo. 
BancaNo. 
Banca No. 
BancaNo. 
- Banca No. 
Banca No. 
Banca No. 
BancaNo. 
Banca No. 
Banca No. 
Banca No. 
BancaNo. 
BancaNo. 
BancaNo. 
BancaNo. 
Banca No. 
Banca No. 
Banca No. 
BancaNo. 



16205. 
16221. 
16222. 
16228. 
16248. 
16251 . 



.do. 
.do. 
.do. 
.do. 



16262. 
16276. 
16277. 
16284. 
16307. 
16387. 



16427. 
16442. 
16448. 
16470. 



16513. 



16577. 
16593. 



16646. 



16770. 
16777. 
16819. 
16844. 
16888. 
16896. 
16897. 



16927. 



16946. 
16961. 
16969. 
16962. 
16998. 



.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 



U.L6pez 

Manila Navigation Co. 
Philippine govern- 
ment. 

E. Dojig 

J. Banas 

Q. Morales 

B. Pulido 

R. deQuzm&n 

do 

B. Cuadra 

V. de Jesila , 

P. Marcelo 

F.San tofl 

C. Viardo 

Ayala&Co 

I. Samson 

B. Vlnta 

F. Velazco 

F. Roldan 

I. Ureta 

F. Gonzales 

8. Vergara 

D. Tengson 

I. Ureta 

G. Santos 

P. Bernardo 

C. Sevllla 

A. Celedonlo 

A. Ponce 

J. de Velasco 

P.Gabriel 

F. Roldan 

P. ToTentlno 

A. O. de Reynolds 

B. Francisco 

Philippine Lumber 

and Development 
Co. 
C.San Luis 

E. Adriano 

do 

.....do 

G. Valencia 

A. del Rosarlo 

F. EncamacI6n 

D. Montaya 

C. Faustlno 

E. Punsalan 

G. Alfon*) 

F. Rlcafrente 

Q. de Borja 

G. Santiago 

G. Tacuncruz 

B. Banzon 

A. Martinez 

S. Baltazar 

B. Banzon 

C. Borja 

J. Tlongson 

P. Contreras 

C. Santo TomAs 

A. Mateos 

C. PailSranlban 

8. Banzon 

T. R. Yangco 

B. Vinta 

M.Tongco 

C. Aullo 

E. Poblete 

D. Cosunji 

B. Taparan 

C. delos Santos 

V. Aldaba 

E. Luna 

V. Olano 

F. lAderaa 

M. Angeles 

P. Velazco 

P. Andres 



BataagBJS. 
Manila. 
Do. 

Cebd. 

Do. 
ManUa. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Da 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 



Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 
Do. 



BEPOBT OF THE COLLECTOB OF CUSTOMS. 



141 



Alphabetical list of coasLwise vessels documerUed in the Philippine Islands to which official, 
numbers toere assigned during the period from August i, 1904^ to June SO^ 1905 ^ indtttting 
vessels marked * in letters R and T omitted from last special report — Con tinned. 



Veasel. 


Rig. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


BancaNo. 16996... 


Banca 


6.87 
7.40 

22.68 
8.14 

17.47 
7.84 
6.85 
6.01 

14.27 
5.77 
6.04 

16.11 
5.11 
5.83 
6.01 
8.72 

16.73 

16.80 

12.48 
8.52 
6.00 
6.68 
5.32 
6.11 

17.01 
9.58 

13.81 
6.67 
6.33 
6.06 

16.87 
9.92 

19.13 

18.12 
• 16.87 
7.64 
9.61 
8.46 
5.94 
10.22 
5.65 
9.96 
6.17 
9.60 
5.88 
6.00 
20.36 
6.01 
5.62 
5.61 
8.05 
6.17 
6.09 
6.47 
19.89 
21.15 
14.47 
14.44 
12.69 
6.08 
6.89 
6.25 
6.11 
11.45 
5.41 
5.27 
9.86 
5.22 
10.49 
15.83 
9.96 
17.75 

18. as 

5.11 
19.49 
18.72 

7.02 
20.68 


172981 
172974 
172729 
172901 
172796 
172766 
172860 
173058 
173169 
173140 
173499 
172803 
178M7 
172977 
173213 
172739 
172794 
172947 
173055 
172910 
172886 
178223 
172876 
173324 
173096 
172996 
173058 
173097 
173165 
173237 
178112 
172702 
172688 

17/684 
172685 
172736 
172882 
172946 
172899 
172957 
172959 
172958 
172978 
172996 
172989 
172988 
173035 
178063 
173064 
173073 
173126 
173147 
178182 
173148 
173176 
178212 
173209 
173210 
173211 
173235 
173239 
173247 
173248 
173252 
173275 
173281 
173299 
173357 
173411 
173419 
173457 
173424 
173451 
17&174 
173479 
173480 
173481 
173486 


M. Fajardo 


Manila. 


Banca No. 16997... 


do 


S. Austria 


Do. 


Banca No. 17024 . . . 


do 


R. Luna 


Do. 


Banca No. 17033 . . . 


do 


J. RebuUIda 


Do. 


Banca No. 17034 . . . 


do 


P. Pedro 


Do. 


BancaNo. 17068... 


do 


I. de Silva 


Do. 


Banca No. 17060 . . . 


do 


L. Roque 


Do. 


BancaNo. 17070... 


do 


F. Vergara 


Do. 


Banca No. 17094 . . . 


do 


C Bumanlafir 


Do. 


Banfia No. 17098 


do. 




Do. 


BancaNo. 17119... 


do 


J. Domlngues 

P. Reyes 


Do. 


BancaNo. 17183... 


do 


Do. 


BancaNo. 17160... 


do 


E. Papa : 


Do. 


Banca No. 17165 . . . 


do 


A. Salvador 


Do. 


Banca No. 17170 . . . 


do 


J. Aguirre 


Do. 


Banca No. 17201 . . . 


do 


A. Saldafla 


Do. 


Banca No. 17217 . . . 


do 


P. Pedro 


Do. 


Banca No. 17229 . . . 


do 


R. Mendoza 


Do. 


Banca No. 17233 . . . 


do 


A. Luna 


Do. 


Banca No. 1T284 . . . 


do 


P. Bemab6 


Do. 


Banca No. 17238 . . . 


do 


L. Beltran 


Do. 


Banca No. 17244 . . . 


do 


D. Garcia 


Do. 


Banca No. 17246 . . 


do 


J.Medel 


Do. 


Banca No. 17254 . . . 


do 


R. Keyser 


Do. 


BancaNo. 17267 .. 


do 


E. Riu 


Do. 


Banca No. 17258 . . . 


do 


M.J086 


Do. 


Banca No. 17/62 . . . 


do 


F. Kaharlan 


Do. 


Banca No. 17282 . . . 


do 


F.Custodlo 


Do. 


Banca No. 17287 . . . 


do 


V.Custodlo 


Do. 


Banca No. 17309 . . . 


do 


C. Herrera 


Do. 


Banca No. 17444 . 


do 

do 

do 


V. Baltaear 


Do. 


BancaNo. 17462... 


J. Raymundo 


Do. 


Banca No. 17464 . . . 


Philippine Lumber 
and Development 
Co. 
do 


Do. 


BancaNo. 17456... 


do 

do 


Do. 


BancaNo. 17456... 


do 


Do. 


BancaNo. 17466... 


do 


P. S. Faustino 

I. AragonciUo 

P. Reyes 


Do. • 


Banca No. 17469 . . . 


do 


Do. 


BancaNo. 17471... 


do 


Do. 


BancaNo. 17478... 


do 


E. Ong Tengco 

D. Aguiiar 


Do. 


BancaNo. 17476... 


do 


Do. 


Banca No. 17477 . . . 


do 


G. Angeles 


Do. 


Banca No. 17478 . . . 


do 


F. Hilarlo 


Do. 


BancaNo. 17479... 


do 


A. Salvador 


Do. 


BancaNo. 17480... 


do 


M. Pitallo 


Do. 


BancaNo. 17482... 


do 


M. Franco 


Do. 


BancaNo. 17488... 


do 


F. Raymundo 

A. Luna 


Do. 


Banca No. 17488 . . . 


do 


Do. 


BancaNo. 17493... 


do 


G. Antonio 


Do. 


BancaNo. 17495... 


do 


E. San Luis 


Do. 


BancaNo. 17498... 


do 


A. Banzon 


Do. 


Banca No 17501 . . . 


do 


J. Z. deOcampo 

M.G.Angeles 

F. Escalada 


Do. 


BancaNo. 17606... 


.....do 


Do. 


Banca No. 17610 . . . 


do 


Do. 


BancaNo. 17511... 


do 


V. Yfiiguez 


Do. 


Banca No. 17618 . . 


do 


R. Bautlsta 


Do. 


BancaNo. 17619... 


do 


F. de los Santos 

8. Mariano 


Do. 


Banca No. 17620 . . . 


do 


Do. 


Banca No. 17626 . . . 


do 


L.J. Araullo 


Do. 


BancaNo 17626.. 


do 


do 


Do. 


Banca No. 17632 . . . 


do 


S. Roxas 


Do. 


Banca No. 17535 . . 


do 


P. Pascual 


Do. 


Banca No. 17586 . . . 


do 


J.Cruz 


Do. 


BancaNo 17644. 


. ...do 


do 


Do. 


BancaNo. 17559... 


do 


A.San Jos4 


Do. 


Banca No. 17666 . . 


do 


R. de la Cruz 


Do. 


Banca No 17571 


do 


G. Mangahas 


Do. 


Banca No 17672 


do 


F. Hilario 


Do. 


BancA No 17681 


do 


T. Nlbungco 


Do. 


BancaNo 17582. . 


do 


G. deGuzmAn 

G. Vicencio 


Do. 


Banca No. 17590 . . . 


do 


Do. 


BancaNo 17699 . 


do 


C. Gonzales 


Do. 


Banca No 17607 


do 


T. Talampas 


Do. 


Banca No. 17611 . . 


do 


B. Soriano 


Do. 


BancaNo. 176U... 


do 


T. Palumbarit 

A. Luna I 

do 


Do. 


BancaNo. 17619... 
Banca No. 17620 . . . 


do 

do 


Do. 
Do. 


Banca No 17822 


do 


H. Reyes 


Do. 


BancaNo. 17828... 


do 


F. Kaharian 


Do. 



142 



REPORT OF THE PHILIPPINE COMMISSION. 



AlphabeUoal Ktt of coastwise vessels documented in the Philippine Islands to which ojficial 
nibmbers were assigned during the period from Auaust i, 1904^ to June SO, 1906 ^ including 
vessels marked * in Utters R and T omitted from last special report — Oontinoed. 



Venel. 


Rig. 


Orofls 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


Banoa No. 17024 . . . 


Banca 


9.34 
5.06 
5.68 
18.11 
6.01 
7.88 
7.08 
9.96 
7.62 
6.11 
12.13 
12.18 
12.18 
9.45 

12.18 
9.45 

12.18 
12.18 
6.86 
7.60 
411.11 

6.87 
6.88 
6.80 
6.77 
80.95 
25.68 
20.20 
6.62 
6.86 
5.77 
6.82 
6.20 
6.28 
5.28 
6.37 
7.44 
5.29 
5.88 

6.08 

7.00 

9.64 

8.71 

18.14 

1,068.21 

16.80 

411. 11 

108.77 

5.38 

6.28 

17.48 

47.81 

177.93 

7.29 

12.21 

10.61 

7.28 

6.01 

10.77 

11.03 

7.91 

16.78 

20.07 

8.46 
10.68 
14.84 
14.75 
16.71 
16.60 
16.82 
47.61 
86.17 
27.74 


178490 
173608 
178524 
173627 
178679 
173589 
178601 
178602 
178640 
178688 
178141 
178142 
178148 
178801 

178144 
178802 

178145 
178146 
178899 
178600 
172922 

178540 
178274 
178621 
178407 
178205 
178428 
178029 
178421 
172835 
173309 
173021 
178519 
172986 
172828 
172870 
178338 
173886 
178432 

172787 
172888 
178564 
173625 
173217 
172764 
178628 
172923 

172678 
178612 
173087 
173506 
172744 
173466 
172780 
178246 
178641 
173186 
172710 
173296 
178882 
178441 
172754 
172766 

173088 
173528 
178529 
173530 
172848 
178078 
173048 
172686 
172798 
172709 


P. Tionson 


Manila. 


Banoa No. 17029... 
Banca No. 17630 . . . 


do 

do 


C. Villacarios 

A. Aquino 


Do. 
Do. 


Banca No. 17631... 


do 


A. Luna 


Do. 


BaDca No. 17640... 


do 


N. Alejandro 


Do. 


Banca No. 17643... 


do 

do 

do 


0, Knnqw^ - 


Do. 


Banca No. 17649... 
Banca No. 17650 . . . 


O. Pagsanghan 

T.Sison 


Do. 
Do. 


Banca No. 17658... 


ao 


A. Moraga 


Do. 


Banlota 


Sail 


P. Molt 


(^bd. 


Barge No. 7 

Barge No. 8 


Banre 


B. Fem&ndez 

do 


Manila. 


.f:X 


Do. 


Barge No. 9 


.::.:do:::::::::::: 


do 


Do. 


BaigeNo. 9 


.,...do 


Agno Tug and Light- 
er Co. 

B. Fem4ndex 

Agno Tug and Light- 
er Co. 

B. Femdndez 

do 


Do. 


Barge No. 10 


do 


Do. 


Barge No. 10 


do 


Do. 


Barge No. 11 


do 


Do. 


Barge No. 12 


do 


Do. 


Bartolome 


Sail 


8. J. Reyes 


Hollo. 


Basak 


do 


Tayoo 


Jol6. 


Basil an 


Steamer 


Philippine govern- 

ment. 
R. Balinato 


Manila. 


Batorrillo 


Sail 


Cebd. 


Bella Antonia 


do 


A.Oganiia 


San Fernando. 


Beiola 


do 


i). Berola 


Oroquieta. 
Manila. 


Bamardo 


do 


R. Veloria 


Bestrafia 


do 


P. VAsquex 


Cebd. 


Betrocolo 


do 


M. Calafat 


Aparri. 
Manila. 


BJcol 


Steam launch 

Sail 


Q. Curry 


Biga 


P.Zabarte 


Do. 


Blanca Flor 


do 


J. Arsgon^s 


Aparri. 

8au Fernando. 


Bonansa 


do 


U. Martinez 


Botero 


do 


L. Botero 


Cebd. 


Bnaron 


do 




Oroquieta. 
Hollo. 


Buen OonseJo 


do 


H. Liboon 


BuenVlaJe 


do 


P An^^n 


IlSlo?^* 


BaenViaJe 


do 


8. Sumbrilla 


Buena Fortuna .... 


do 


P. Bemaldo 


Tacloban. 


Buena Fortuna. . . . 


do 


E. Caampued 

R. Carbajal and oth- 
ers. 
A. Peralta 


San Fernando. 


Buena Fortuna 

Zambalefia. 
Buena Suerte 


do 

.... .do 


Do. 

Aparri. 
Do. 


Buena 8uerte 


do 


C. Ragunjan , . , , 


Bnenaventura. . . - », 


do 


B. Azarias 


Nueva Caoeres. 


Buenavista 


do 


F. Arquillo 


Aparri. 
Cebd. 


Bulldog 


do 


M. Llorente 


Bunuan 


Steamer 


I.Tambunting 

C. Cemagala 


Manila. 


Buflcahalla 


Sail 


Cebd. 


BuBuanga 


Steamer 


Philippine govern- 
ment. 
ManilaNavigationCo. 
V.C. Snares 


Manila. 


C 


Banre 


Do. 


Gabo Bojeador 

Cabuguason 


sZff: :::..::: 


Aparri. 
Cebd. 


do 


S.Rillo 


Cadix 


do 


G. de la Cruz 


Hollo. 


Calapan 


Lighter 


J. Franco 


Aparri. 
Manila. 


Calilayan 


8a!i.„. ..:::::.::; 


A.MAxino 


Camncaoan 


do 


H. Camacho 


Aparrt 


Gandelaria 


do 


M. Sales 


Cansojong 


do 


N.Cabrera 


Cebd. 


Cantemplora 


do 


Q. Pfttnlnl 


Do. 


Capitana 


Banca 


S^Malajacan 


Batangas. 
San Fernando. 


Cannellto 


Sail 


S. Fery 


Carmen 


do 


T.Bautista 


Do. 


Carmen 


do 


J. Gorospe 


Aparri 
Manila. 


Carmencita 


Steam launch .... 
do 


T. Samsha w 


Carolina 


M. Earnshaw and 

others. 
M.Oculal 


Do. 


Carolina 


Sail 


Cebd. 


Ca^co No. 4 


Casco 


8.Zubeldia 


Manila. 


Casco No. 6 


do 


do 


Do. 


Casco No. 6 


do 


do 


Do. 


Ca8CoNo.81 


do 


V. Saguinsin 


Do. 


Casco No. 38 


do 


M. Rodriguez 


Do. 


Casco No. 127 


do 


Z. Naval 


Do. 


Casco No.179 


do 


E. Soriano 


Do. 


Casco No. 220. ... 


do 


Q. Pascual 


Do. 


CaaooNo.221 


do 


C. V.Cruz 


Do. 



REPOBT OF THE COLLECTOR OF CUSTOMS. 



143 



Alphabetical list of coagttuise vessels documented in the Philippine Islands to which official 
numbers were aligned during the period from Avf/vst 1^ 1904, to June SO, 1906 y including 
vessels marked * in letters R and T om'Utedfrom last special report— Contiaued. 



Veasel. 


Rig. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


CkBCO No. 227 


Casco 


18.51 
48.08 
16.62 
44.65 
38.60 
17.98 
44.47 
35.56 

9.46 
12.87 
49.89 
86.47 
25.64 
29.72 
54.25 
28.69 
81.14 
28.99 
80.56 

8.59 
32.13 
31.05 
28.43 
20.72 
80.89 
44.07 
30.56 
39.12 
29.97 
81.35 
29.04 
11.98 
26.26 
29.42 
32.87 
19.16 
28.81 
89.14 
26.55 
89.49 
26.13 
27.34 
66.24 
81.14 
51.62 
29.62 
83.07 
31.86 
18.47 
86.71 
24.98 
10.82 
54.07 
66.72 
58.10 
56.82 
16.64 
34.04 
16.35 
48.49 
24.18 
60.81 
18.20 
62.17 
19.89 
22.68 
32.82 
56.88 
18.00 
22.03 
13.84 
81.68 
17.72 
15.78 
19.42 
60.25 
46.39 
26.87 
12.82 
41.44 


172908 
172804 
172964 
178118 
172708 
172962 
178090 
173279 
178174 
172802 
172861 
172888 
178626 
172996 
172848 
172992 
172727 
172740 
172878 
172994 
172688 
172784 
178106 
172912 
178091 
172879 
172793 
172999 
173574 
172968 
173153 
172806 
172944 
173690 
173263 
173062 
172770 
173177 
173277 
172978 
178620 
173154 
173104 
173002 
172880 
173208 
172919 
172781 
172842 
172712 
172716 
172689 
172679 
172889 
173072 
172998 
172918 
173151 
178060 
173115 
173113 
173127 

172771 
172839 
172907 
172849 
172850 
173124 
173044 
1?2885 
172751 
172951 
172966 
172796 
173116 
173117 
172766 
172735 
172762 


D.TomAs 


Manila. 


Ca8CoNo.284 


do 


F.Panglllnan 

A. R. Cruz 


Do. 


Ca8CoNo.280 


do 

do 


Do. 


CaacoNo.SM 


L. FemAndez 


Do. 


Casco No. 890 


do 


D. Bernardo . 


Do • 


CaacoNo.400 


do 

do 

do 


M.Dy-Inco 


Do. 


Casco No. 449 


P. Bernardo 


Do. 


Casco No. 609 


F.Turla 


Do 


Casco No. 1027 


do 

do 


M.Dy-Inco 


Do. 


Casco No. 1004 


8. Saguf nsin 


Do 


Casco No. 1182 


do 


C. Vivas 


Do 


Casco No. 1288 


do 


8. Mercado 


Do. 


Casco No. 1387 


do 

do 

...do 


M. Dy-Inco 


Do. 


Casco No. 1611 


C. Rivera 


Do. 


Casco No. 1584 


L. Fem4ndez 


Do 


Casco No. 1578 


do 


R Mercado 


Do 


Casco No. 1608 


do 

do 


R. Rodriguez 


Do. 


CasooNo.1616 


T.Ej6rcito 


Do 


Casco No. 1683 


do 

do 


I.Santos 


Do. 


Casco No. 1641 


G. Santos 


Do 


Casco No. 1697 


do 


R. Mercado 


Do. 


Casco No. 1729 


do 

do 


Ayala&Co 


Do. 


Casco No. 1807 


P. Umpin 


Do 


Casco No. 1834 


do 

do 


D. T. Santos 


Do. 


Casco No. 1921 


J. Bernardo 


Do. 


Casco No. 1942 


do 


A. de Mesa 


Do 


Casco No. 1950 


do 


H. Sarino 


Do. 


Casco No. 1957 


do 


£. Soriano 


Do 


Casco No. 1978 


do 


P.Reyes 


Do. 


Casco No. 1980 


do 


G. Pinlac 


Do 


Casco No. 1903 


do 


P.Javier 


Do. 


Casco No. 2066 


do 


G. Santos. 


Do 


Casco No. 2098 


do 


M. de la Cruz 


Do. 


Ca80oNo.2101 


do 


R. Mariano. 


Do 


Casco No. 2115 


do 


P. Landas 


Do. 


Casco No. 2128 


do 


J.Santa Maria 

R. Mercado 


Do 


Casco No. 2131 


do 


Do. 


Casco No. 2150 


do 


L. Rivera. 


Do 


Casco No. 2166 


do 


M.Lopez 


Do. 


Casco No. 2160 


do 


A . Bana-ag 


Do 


Casco No. 2181 


::::.do:;:::::::::: 

do 

do 


M. de la Cruz. 


Do. 


Casco No. 2209 


T. Mendoza 


Do. 


Casco No. 2216 


L. R. Yangco 


Do. 


Casco No. 2237 


do 


D. Bemarao 


Do 


Casco No. 2258 


do 


R. Soriano 


Do. 


Casco No. 2265 


do 


F.delos Santos 

B. Baltazar 


Do 


Casco No. 2271 


do 


Do. 


Casco No. 2279 


do 


T. Ayala 


Do 


Casco No. 2308 


do :.. 


8. Cuenca and others. 
L Ramos ... 


Do. 


Casco No. 2312 


do 


Do 


Casco No. 2819 


do 


C.Se villa 


Do. 


Casco No. 2869 


do 


V Dionicio 


Do 


Cawo No. 2368 


do 


ManilaNavigationCo. 
M Lino . 


Do. 


Casco No. 2870 


do 


Do 


Casco No. 2371 


do 


C. Pacbeco 


Do. 


Casco No. 2372 


do 


A. Luna 


Do 


Casco No. 2374 


do 


Q. Baluyot 


Do. 


Casco No. 2377 


do 


T Asuncion. 


Do 


Casco No. 2378 


do 


A. Dionicio 


Do. 


Casco No. 2382 


do 


V. Bernardo 


Do 


Casco No. 2387 


do 


D. Fernandez 

J.Morente 


Do. 


Casco No. 2403 


do 


Do. 


Casco No. 2407 


do 


A.Dairit 


Do. 


Casco No. 2409 


do 


V Villonffco 


Do 


Casco No. 2414 


do 


B. L. Isip 


Do. 


Casco No. 2424 


do 


B Reyes 


Do 


Casco No. 2426 


do 


A.Barla 


Do. 


Casco No. 2427 


do 


do 


Do. 


C^MCoNo.2481 


do 


L. M . Sonsrco 


Do. 


Casco No. 2489 


do 


F.Nabon 


Do. 


Casco No. 2448 


do 


D. de los Santos 

C.Pineda 


Do. 


Casco No. 2282 


do 


Do. 


Casco No. 2456 


do 


G. Garcia 


Do. 


Casco No. 2461 


do 


J. No vera 


Do. 


Casco No. 2468 


do 

do 

do 


C. Quicho 


Do. 


Casco No. 2466 


A. Josd 


Do. 


Casco No. 2466 


. .do 


Do. 


.Casco No. 2468 


do 


L. G. Rivera 


Do. 


Casco No. 2471 


do 


F. Carlos 


Do. 


CaseoNo.2478 


do 


L. Manapat 


Do. 



144 



REPORT OF THE PHILIPPINE COMMISSION. 



Alphabetical lisl of coastwise vessels documented in the PhiUppine Islands to wkiclt officiaf 
numbers were assigned during the period from August i, 1904, to JuneSO, 1906^ includintj 
vessels marked * in letters R and T omiUed from last special report — Continued. 



VesKl. 



Ciuioo No. 2474 

Cmco No. 2476 

CaiicoNo.247« 

CaacoNo. 2478 

CascoNo. 2480 

Ca«coNo. 2481 

CascoNo. 2482 

Cauco No. 2485 

CaacoNo. 2486 

CaacoNo.2488 

Calico No. 2489 

Casco No. 2490 

Casco No. 2494..... 

CaacoNo.2496 

Casco No. 2512 

Casco No. 2613 

Casco No. 2514 

Casco No. 2516 

Casco No. 2616 

CascoNo. 2517 

Casco No. 2618 

Casco No. 2.'il9 

Casco No. 2620 

Casco No. 2621 

Ca«5oNo.2622 

Casco No. 2628 

Casco No. 2624 

Cataggaman 

Cauayan 

Cebd Water Boat.. 

Chas. H. Treat 

ChaU 

ChiaoChay Cbin Po 

Chiong 

Chumica 

Colon 

Columbia 



Conant 

Concepci6n 

Concepcl6n 

Concepci6n 

Concepcl6n 

Concha 

Concha 

Conching 

Conchita 

Conegero 

Con80laci6n 

Consolac!6n 

Con8oIaci6n 

Consolaci6n 

Consuelo 

Consuelo 

Coraz6n de JeeVis 
Coraz6nde Maria 

Coraz6nde Maria..' do 

Cordoba Casco... 

Corredora ' Sail 

Corregidor Steamer 



Rig. 



Casco.. 

do. 

do. 

....do. 
....do. 
....do. 

do. 

do. 

....do. 
....do. 

do. 

....do. 
....do. 
....do. 
....do. 
....do. 

.do. 

.do. 

.do. 

.do. 

.do. 

.do. 

.do. 

.do. 

.do. 

.do. 

.do. 



Gross Of&cial 
tonnage, number. 



Sail. 



do 

do 

Steam launch . 

Lighter 

Sail 

....do 

....do 

Steam launch . 
....do 



Sail 

....do 

....do 

....do 

....do 

Steam launch . 

Sail 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

do 

do 

do 



Culing 

Cumu 

Cuyo 

Dagundun 

Dagupan 

Dalagan 

Dalenat 

Darigavos 

DeOalipa 

Deja 

DelaPaz 

DelaPac 

Diday 

Dlligente 

Dioecoro 

Dlvina Suerte . . 
Divino Infante . 

Doce 

Dolores 



Sail 

do.. 

do.. 

do.. 

Lighter. 

Sail 

do.. 

.....do.. 

do.. 

.....do.. 
....do.. 

do.. 

.....do.. 

do.. 

do.. 

do.. 

do.. 

Casco — 
Sail 



16.80 
32.23 
11 41 
18.82 
13.82 
68.87 
48.12 
22.86 
19.07 
66.70 
64.77 
13.63 
61.82 
81.11 
12.86 
36.14 
11.86 
48.87 
10.82 
6.74 
20.84 
46.60 
21.66 
11.63 
16.02 
66.81 
18.08 
7.83 
8.63 
25.46 
40.44 
134.79 
12.88 
18.44 
6.78 
9.54 
61.62 

5.93 
6.73 
11.22 
10.48 
10.28 
47.96 
10.38 
5.54 
7.41 
5.77 
18.02 
22.21 
8.07 
7.22 
6.68 
6.81 

14.06 ; 

9.67 
12.07 
6.46 
11.79 
411. 11 



172769 
172788 
172701 
172760 
178425 
178110 
172S88 
178187 
178615 
178410 
178108 
172698 
17M55 
178128 
172726 
172724 
172768 
172869 
172911 
172982 
178099 
178412 
173464 
173470 
178488 
178489 
173680 
173626 
172782 
178216 
178128 
172690 
172948 
178635 
173042 
172979 
178848 

173618 
173032 
178238 
173242 
173648 
173067 
178H9 
173609 
178684 
178486 
172808 
178028 
173234 
173622 
172717 
178397 
173342 
173207 
178314 
173607 
172809 
172924 



6.10 


178630 


5.80 


172904 


6.61 


178894 


6.85 


173622 


71.28 


172745 


6.59 


173853 


7.12 


172781 


19.27 


173261 


6.10 


173617 


6.61 


172814 


14.41 


172800 


16.87 


173409 


8.04 


173677 


10.24 


173543 


16.30 


173220 


8.25 


173393 


8.25 


173828 


85.17 


178008 


376.71 


172887 



Name of owner. 



M. Mercado 

G. Linson 

M. Tongco 

A. Valencia 

J. Hernandez 

A. Luna 

E. Goeeco 

B.L.l8ip 

J. Alejandro 

R.Santos 

A. Luna 

D. Santo Domingo 

J. Pascual 

L. M. Heras 

E.del Castillo 

R. Bautista 

F.delRosario 

P.Gabriel 

J. Yojoico 

J. Castalone 

A. Santos 

F.A.Gaza 

G.Malinee 

I. Naval 

T. Bernardo 

D. Tomacruz 

M. Santos 

S. Corpus 

H. Camacho 

M.Llorente 

Manila NavigationCo 

G. Lichauco 

D. Alvarado 

F. Chiong 

F.Cacayuan 

G. W. SImmie 

Atlantic, Gulf, and 

Pacific Co. 

J. Fonacier 

8. delMundo 

J. Pico 

V. F. Sanchez 

V. Pulanes... 

A.V.Valencia 

M.Villanueva 

O. Asores^ I 

■T. Guidote ' 

J. Conegero ' 

R. Borromeo 

L. Pelayre | 

J. Pico 

R. Arquillo 

M. Hunt 

P.delaCruz 

R. Floresca I 

D. Guano 

C. Verano 

M.Bondoc 

S. Agmalen 

Philippine Govern- 
ment. 

R. Diongson 

L. Daliuag , 

V.Gabayan 

V. Dagundun 

J. Franco , 

S.Medina 

H. Camacho , 

N. Rodriguez , 

M.Galipa 

F. Deja 

T.Daroy 

J. Cajulis , 

G. L(»ada 

N. Arbotante 

D. Jagua 

M. Naranjo 

E. Pacquing 

J.N. Reyes.. 

F. Reyee 



Home port. 



Manila. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 
Aparri. 

Do. 
CebA. 
Manila. 

Do. 
Aparri. 
Cebd. 
Aparri. 
Manila. 

Do. 

Aparri. 

Batangas. 

AparrT 

San Fernando. 

Batangas. 

Manila. 

Do. 
Iloilo. 

Nueva CAceres. 
Dumaguete. 
Cebd. 

Do. 
Aparri. 

San Fernando. 
Tacloban. 
Batangas. 
San Fernando. 
Cebd. 

San Fernando. 
Cebd. 

Do. 
Manila. 

Cebd. 

Aparri. 

Puerto Princesa. 

Oroquieta. 

Aparri. 

Iloilo. 

Aparri. 

San Fernando. 

Oroquieta. 

Cebd. 

Surigao. 

MardU. 

Dumaguete. 

Cebd. 

Do. 
San Fernanda 

Do. 
Cebd. 
Manila. 



REPORT OF THE COLLECTOR OF CUSTOMS. 



145 



Alphabetical list of coastwise vessels documented in the Philippine Islands to which official 
numbers were assigned during the period from August 1, 1904^ to June SO^ 1905, including 
vessels marked * tn letters R and T omitted from last special r^iport— Continued. 



Ve«el. 


Rl«. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


Dolores 


Sail 


28.99 
7.40 
9.68 
6.52 
6.95 
5.67 
186.33 

88.24 
6.56 
7.14 
126.68 
9.12 
5.32 
8.24 
8.65 
5.41 
8.78 
6.06 

26.23 
6.04 

82.98 

7.47 

8.73 

250.22 

5.62 

25.00 

7.46 

17.49 

5.61 

9.67 

14.65 

5.69 

6.33 

7.23 

7.44 

7.02 

10.18 

5.96 

8.46 

6.62 

11.07 

16.73 

30.76 

5.88 

5.81 

8.00 

8.62 

9.08 

5.78 

41.02 

7.56 

6.51 

27.86 

63.87 

166.29 

12.32 

24.15 

820.86 

7.03 

9.43 

10.00 

9.05 

168.86 

96.75 

6.36 

8.19 

8.24 

41.32 

82.50 

8.25 

64.69 

167.80 

7.31 

8.12 

36.50 

6.63 


178012 
172827 
178326 
173840 
173040 
178688 
172680 
173304 
173416 
173664 
173359 
178315 
173403 
173642 
173218 


B. Lagura 


Cebil. 


Don Ruflno 


do 


S. Revillane 


B^ngas. 
San Fernando 


Dorotea 


do 


H. R. Spencer 

L. Caluya 


Dos Amigoe 


do 


Dos Jennanas ..... 


do 


S. Agravante 

Sheik A. Badaha 

Manila NavijrationGo. 

Macondray^^Ck) 

S.UmipIff.. 


Iloilo 


Dtimiata 


do. . 


Jol6 


E 


Barge 


Manila. 


EaDd A 


Steam launch 

Sail 


Do 


Elena 


San Fernando 


Elena 


do 


Q. Gonzales 


Manila. 


ElVaraderoIII.... 


Banre 


L. Osorio 


Kncamacl6n 


Si: .:::::::::::. 


J. Encamaci6n 

Angok 


San Fernando. 


Euan 


do 


Balabac. 


Emeeto 


do 


A. Montinola 


Iloilo. 


F>wn 


do 


M. Llorente 


Cebd. 


BBcay 


do 


172812 
173122 
173542 
172894 
173670 
172703 
178271 


L. Luza 


Do. 


Esperanza 


do 


M. Cuanang 


Aparri. 
CebiS. 




Gasoline launch.. 
Sail 


j.Mack 




M.Calafat 


Aparri. 

Puerto Princesa. 


Estefafia 


do 


R. Baguiao 


Ettrella 


Steam launch 

Sail 


L. Osorio 


Manila. 


Estrella 


I.Tugadi 


San Fernando. 


Estrella del Bur 


do 


178447 
172718 
173215 
172966 

173606 


P. CJonsul 


Do. 


Eugenia 


Lighter 


R. Soriano 


Manila. 


Engenlo Antonio. . 


SaTl 


E. Antonio .. 


Tacloban. 


Steam launch.... 
Sail 


Philippine Lumber 
and Development 
Co. 

P. Javelona 


Manila. 


P. Javelona 


Cebd. 


Fannie 


Steam launch 

Sail 


173171 


B. P. Tavlor . 


Iloilo 


Felicidad 


172823 
172824 
173843 
178418 


C.Elena 


Legaspi. 
Do. 


FeUddad 


do 


S.Fallente 


Felicidad 


do 


A. Ponce 


San Fernando. 


FeIioi6n 


do. .. 


E.Guitche 


Iloilo 


Felipe 


do 


173637 


D. CAceres 


Do. 


Felixberto 


do 


173191 
172976 
173646 
173500 


C Dejaresco 


Cebd. 


Feliza 


do 


A.Tna 


Manila. 


Feli» 


do 


P.Yuson 


Batangas. 
Manila. 


Feria 


do 


E.P.BorJa 


FemAndez 


do 


178352 
173569 
172817 
172863 
172758 
172722 


V.PernAndez 

A.Fairla 


Dumaguete. 
I*nerto Princesa. 


Fernando 


do 


Ferrer 


do 


V.Salgado 


Cebii. 


Fidel 


do 


F. Dominguez 

M. Earnshaw 


Do. 


Filipinas 


Steam launch .... 
Lighter 


Manila. 


Flamefto 


F. Flamefto 


Do. 


FlordeHayo 

Flores 


Sail 


172826 
173082 
173329 
173551 


P.Magallanes 

R. Loma 


cfg""'- 


do 


Flores de Maria . . . 


do 


A. Cayquep 


San Fernando. 


Floring 


do 


p.vei<3». :::..:::::: 


Cebrt. 


Flnvial 


do 


172949 


M.Kalata 


Aparri. 

San Fernando. 


Fortuna 


do 


173469 
173066 
173566 
173656 


F. Caracas 


Franclaco 


do 


A. Osorio 


Manila. 


Francisco 


do 


M. Torrico 


Iloilo. 


Franco 


do 


N. Recelosa 


Cebd. 


Frisco 


Steam launch 

Sail 


172706 


G. E. Wolf 


Manila. 


FrutoB 


17a'>32 
173129 
172779 
173010 


F. de la Cruz 


Iloilo. 


G : 


Barge.., 


Manila Navigation Cx). 
H. Camacho . . . : 


Manila. 


Qamat 


Sail 


Aparri. 
Cebd. 


G4ndara 


Casco 


J. Lobregat 


Garcia Pitogo 

Generoso 


Steamer 


173617 
173627 
173043 
172834 
173653 
173004 
172914 
173085 
173189 
173406 
173033 
173534 
173650 
172714 


L.y Martinez 

F. Redriano 


Manila. 


Sail 


Hollo. 


Germinal 


do 


p. Paraggua 


Aparri. 
Dumaguete. 


Ger6ninia 


do 


G. Tabuadoc 


Gemndio f.. 


do 


G. Fermi 


Nueva C&ceres. 


Gil I 


do 


J. Rodriguez 


Manila. 


Gil L6pex 


Steamer 


Gil L6pez 


Iloilo. 


Godoy 


Sail 


B. Escalona 


Cebii. 


Gold 


. ..do 


D. Juano 


Do. 


Goleta 


do 


Diain 


Balabac. 


Good 


do 


T. Madrid 


Manila. 


Gorin 


do 


C. Rodriguez 


Cebil. 


Guess 


do 


M. M. Kaad 


Puerto Princesa. 


GuU^rrex 


Steam launch 

Barge 


T.. CrlRdo ... 1 


Manila. 


H 


1731 30 Manila N a vf nation Co 


Do. 


H.Sato 


Fishing boat 

Sail...: 


172969 
178539 
173156 


Q. Chico 


Do. 


Halad 


P. Halad 


Cebd. 


Hawk 


Steam launch .... 
Sail 


J. G. White A Cx> 


Manila. 


Heliotropo 


173422 S. EncarnaciAn 


Aparri. 



WAB 1905— VOL 13 10 



146 



BBPOBT OF THE PHILIPPINE COMMISSION. 



Alphabetical list of coastwise vessels documented in the Philippine Islands to which official 
numbers were assigned during the period from August i, 1904^ to June 30 ^ 1905 ^ including 
vessels marked ♦ in letters R and T omitted from last special report — Continued. 



Vessel. 



Hennosa ... 
Hingafao... 
Homobono . 
I. 



. Murakamy. 

Ida 

Ignacio 

liualdad 

Ilagan 

Hang 

llluminuda . . . 
Ilaxninada.... 
Industry 



Infanta. 

lone 

IrlK 

Isabela . 
Isabelo . 
Ivy 



J. Bustamante. 



J6re« 

Jesucristo 

Jilaitan 

Joaquinito 

Jopama 

Jos6 

Josef a 

Joselin 

Juana 

Juana 

Juan Bautista 

Juanita , 

Juanita 

Juauito 

Juanito , 

Julia 

Juliana 

K 

K.Tada 

Kababayan , 

L 

La A8unGi6n 

Lacab 

La Elecci6n 

La Hija Florencia. 

La Inmaculada 

La Libertad 

Lambayao 

Landugan 

Lapac 

La Paz 

LaPerla 

La Perla del 

Oriente. 

LaPurisima , 

La Purisima Con- 

cepci6n. 

La VIrgen 

Leyte ; 



Libertad. 
Lipay.... 
Lirio .... 
Lirio .... 
Listo .... 
Loay 



Rig. 



Sail 

....do 

....do 

Baige 

Fishing boat . 

Sail 

....do 

....do 

....do 

....do 

....do 

do. 



Lolin 

Lope 

Loreto 

Lorraine , 

Los Hermanos. . 

Lonrdes , 

Loyola , 

Luciano , 



Steam launch . 



Sail 

Fishing boat . 

Sail 

....do 

do 

Lighter 



Steamer. 



SaU 

.....do 

do 

do 

do 

Lighter 

Sail 

....do 

do 

do 

Lighter 

Sail 

do 

Steam launch . 

Sail 

do 

do 

Baige 

Fishing boat . . 

Steamer 

Baige 

Sail 

do 



.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 
.do. 

.do. 
.do. 



....do... 
Steamer . 



Sail. 



do.. 
....do.. 
....do.. 

do.. 

do.. 

....do.. 
Lighter. 
SaU. 



.do. 
.do. 
.do. 
.do. 
.do. 
.do. 



Gross 


Official 


tonnage. 


number. 
178246 


7.86 


10.59 


178512 


6.94 


173006 


165.72 


173181 


5.94 


172971 


5.16 


172896 


22.56 


173198 


6.76 


172815 


8.88 


172777 


6.13 


173198 


6.95 


178616 


8.08 


172748 


82.62 


173347 


9.08 


172829 


6.62 


173446 


6.89 


173018 


7.10 


178019 


7.98 


173575 


14.16 


178169 


1,074.96 


171660 


9.84 


178662 


8.69 


178492 


5.18 


178087 


18.47 


178624 


10.08 


178567 


81.81 


172728 


5.97 


173665 


9.88 


178614 


9.81 


178076 


9.59 


178631 


148.48 


173303 


6.26 


178020 


8.66 


178395 


88.96 


173046 


7.89 


173094 


10.75 


178568 


14.98 


172718 


60.08 


172675 


6.31 


172970 


124. 16 


172884 


58.85 


172676 


21.22 


173595 


6.56 


172905 


21.12 


178898 


6.96 


178187 


9.50 


178263 


18.84 


178206 


7.83 


1?2811 


10.17 


178402 


7.91 


173654 


68.79 


173868 


13.80 


173647 


14.90 


173428 


5.89 


173646 


6.81 


178186 


8.05 


172801 


411.11 


172926 


5.16 


173516 


6.88 


173458 


5.06 


178467 


8.78 


178662 


9.72 


178272 


5.10 


178017 


22.84 


173286 


134.79 


172691 


6.60 


173006 


14.67 




7.11 


178478 


6.58 


172871 


12.87 


173290 


432.66 


173046 


9.45 


172818 



Name of owner. 



Home port. 



R. Mendoxa 

V. Poblador 

H. Tupas 

Manila Navigation Co 

Q. Chlco 

P. 8. Marcelo 

J. Osorio 

L. Juanico 

H. Camacho 

S.Gallera 

J. Gonzales 

E. Betita ; 

AtlanUcGulfandPa- > 

ciflc Co. I 

P. Aman 

G. W. Langford i 

T.Irig 

A.Bragat 

J. Sollman 

California- Manila 
Lumber Commer- 
cial Co. 

Compaflla General de 
Tabacos de FUipi- 
nas. 

M.J6re« 

F. Carolino : 

M. CoUJan 

M. Ortega 

P. del Villar 

J. Flameflo 

L. Marquez 

R. de Leon y G 

R. Certesa 

D.Olvldo 

M.Ungson 

N. Bo«ro 

E. Palao 

J.Rodriguez 

£. Toledo 

Palopalo 

D. delos Reyes 

ManUa Navigation Co 

Q.Chico 

T.R. Yangco 

Manila Navigation Co 
L. Avila 

E. Umayam 

S. Dejaresco 

A. I-ntong 

R. Lete 

B. Modesto 

G. Pifiaflor 

H.Omar 

R. Lapac 

I. Casiano 

A. Pastoriso 

D. Joven 



A. Gime 

F. Marasigau . 



V. Sumalpong 

Philippine govern- 
ment 

A. Cabaraban 

P. Afionuevo 

M. Cutaran 

M. Enriquez 

J. Cablldo 

I. Lagura 

W.M. Brandt 

G. Lichauco 

F, Paraggua 

Ballon yCa 

P. Azcurre 

I. Torrefranca 

W. Ahem 

F.Reyes 

L. A^am 



San Fernando. 
Hollo. 
Cebd. 
Manila. 

Do. 

Do. 
Cebrt. 

Do. 
Aparri. 
Cebtf. 

Nueva CAceres. 
Hollo. 
Manila. 

Legaspl. 
Manila. 
Cebd. 

Do. 
San Fernando. 
Manila. 



Do. 



Hollo. 

San Fernando. 

Dumaguete. 

San Fernando. 

Tacloban. 

Manila. 

Cebd. 

Aparri. 

Manila. 

Cebd. 

Manila. 

CebiS. 

Puerto Prlncesa. 

Manila. 

Batangas. 

Balabac. 

Sor80g6n. 

Manila. 

Do. 

Do. 

Do. 
Cebd. 
Aparri. 
Hollo. 
Cebd. 

San Fernando. 
Tacloban. 
Cebd. 
Balabac. 
Nueva C&ceres. 
Manila. 
Batangas. 
San Fernando. 

Batanlnras. 
Do. 

Surigao. 
Manila. 

Oroquieta. 

Manila. 

Aparri. 

Tacloban. 

San Fernando. 

Cebd. 

Aparri. 

Manila. 

Aparri. 

Sor80g6n. 

Nneva C<Lceres. 

Hollo, 

Cebd. 

Manila, 

Cebd. 



BEFOBI OF THE COLLECIOB OF CUSIOHS. 



147 



Alphabetical Hd of eooitunse vessels documented in the FkUiippine Islands to which official 
numberswere casigned during the period from August 1, 1904^ to June SO, 1906, induding 
vessels marked * in letters R and T omitted from last special report — Continued. 



VeaBel. 


Big. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port 




8all 


14.60 
7.16 
6.80 
U.21 
22.66 
41L11 

60.08 

20.96 

69.30 

86.42 

221.21 

106.78 

6.37 

6.80 

6.27 

6.03 

6.78 

n.6i 

7.44 
8.47 
6.78 
6.60 
12.74 
41L90 

6.78 
46.87 

8.74 
12.00 
411.11 

7.19 
6.39 
72.78 

1L09 

7.17 

17.68 

118. 14 

6.87 

6.49 

81.18 

12.86 

•6.12 

6.88 

6.16 

411.11 

411.11 
1L20 
6.74 
6.64 
88.48 


178266 
172774 
178368 
173367 
172696 
172926 

172677 
172747 
172772 
172700 
172898 
173098 
172864 
178684 
173644 
178678 
178219 
172784 
178528 
178086 
178876 
178456 
178632 
172927 

173864 
173158 
173188 
178386 
172928 

172818 
173626 
17826D 

178228 
173041 
178442 
172780 
172945 
178028 
173514 
173569 
178491 
173636 
178879 
172929 

172980 
178016 
178018 
1786U 
173096 
178262 
178061 

173054 

178070 
178489 

172853 

172856 
172788 
178162 
178817 
173350 
172916 

172985 

178161 
173362 
178417 

173487 


C. Ollva 


Manila. 


Lnlltiuiftn 


do 


H. Camacho. 


Aparrl. 
Manila. 




do 


P.IWadi 


Luneta 


do 


D. Quiafio 


San Fernando. 


Liix6n 


Steam launch — 
8teamer 


Q. E. Wolf.. . . 


Manila 


Lu26n 


Philippine govern- 
ment. 
Manila Navigation Co 
F. Signenza 


Do. 


M 


Barge 


Do. 


M.delCtmnen 


Steam launch 

St^Ampr 


Do. 


Mabillfl 


T. RTYangoo 


Do 


Macsnlay 


Steam launch 

Steamer 

do 


B. Baldwin 


Do. 


Mactan 


T. R Yanirco.. 


Do 


Madali 


Do 


Madlofl 


Sail 


E. TiOgumba 


CebiS. 


MandiDff 


do 


B. Mandinir 


Do 


Manere 


do 


D. Manere 


Batangas. 

Dumaguete. 

CebiS. 


Mansarn 


do 


B. Sarmiento 


MaquinUla 


do 


C. Cublo 


Manratunfat 


do 


H. Camacho 


Aparrl. 
Oroquiete. 
Dumaguete. 
San Fernando. 


mJ3v T^ 


do 


T. Amora 


Maria Concepci6n. 
Maria Fortuna .... 


do 


J. Gamil 


do 


B. Bonifacio. 


Maria Joeefti 


do 


A. Muyco 


Hollo. 


Marie Luisa 


do 


R. H«n 


Nueva C^Lceres. 


Marinduque 

Mariposa 


Steamer...^ 

Sail 


Philippine govern- 
ment. 
P.Cefri 


Manila. 

San Fernando. 


MaiBballean 


do 


C.H. Henderson 

L. Oppus 


Manila. 


Martir 


do 


Cebd. 


Mary 


do 


M. Pascua 


San Fernando. 


Masftate 


Steamer 


Philippine govern- 
ment. 
J. Cabel 


Manila. 


Matiffom 


Sail 


Cebd. 


MatnoR 


do 


E. Ubaldo 


Tacloban. 


Maud 


Lighter 


Padg Steamer and 

Lighter Co. 
P. Cayao 


Manila. 


M^TitniL , . , 


Sail 


Puerto PrinoeML. 


May 


do 


V. Olvido 


Hollo. 


Media Luna 


do 


W. Horstman 


Do. 


MeiDDon 


Lighter 


F. H. Hilbert . - 


Manila 


Mercedes 


Steam launch .... 
do 


Manuel P4rez 

F. Sales 


Do. 


Mercedes 


Cebil 


Mercurio 


do 


F. Sanz 


Hollo. 


Mercurio 


do 


C. Aurelio 


Aparrl. 

San Fernando. 


Micaela 


do 


J. TifLlt^Tar 


Migrefio 


do 


A. Migrefio 


Cebd. 


MlHano 


do 


M. Carambas 


Ban Fernando. 


Mindanao . . . . x 


Steamer 


Philippine govern- 
ment, 
do 


Manila. 


Mindoro 


do 


Do. 


Misericordiosa 


Sail 


V. Piwa 


Cebil. 


Molocabac 


do 


E Abong 


Do. 


Money 


do 


D. Alvarado 


Aparrl. 
Manila. 


Mont 


Steam launch 

do 


E.Rocha 

J. J. Borres 


Monren 


Hollo. 


N. 8. de Goncep- 

dAn. 
N.8.deGfacia.... 


Sail 


22.01 

154.82 

10.40 
8.67 

18.47 

16.46 
7.56 

76.68 
5.91 
6.96 
6.17 

6.07 

6.28 
7.49 
6.66 

6.13 


P. Laaala 


Manila. 


. St^Am^r 


M. Anlveraario and 
other. 

G. Rafanan 


Do. 


N. 8. de Lourdes. . . 


Sail 


Aparrl. 

San Fernando. 


N. 8. de 8alyaci6n 


do 


Natlvidad. 
N. 8. de la Asun- 


do 


A. de Lemos 


Manila. 


ci6n. 
N. 8. delaPas 


do 


F. Jaca 


Do. 


N. 8. dclaPaz 


do 


L Gonzalo 


Aparrl. 

Cuyo. 

San Fernando. 


N. 8. delaPaz 


do 


M. San Juan 


N. 8. delaPas 


do 


J. Encamacl6n 

R. Pangalinan 

C. Ragudo 


N. 8. de la Paz 


do 


Aparrl. 
Do. 


N. 8. de la Pas y 


do 


Buen Viaje. 
N. 8. de lajB Mer- 


do 


F Elicaf&o 


Subic. 


cedes. 
N. 8. del Carmen. . . 


do 


E. Gimenez 


Aparrl. 

San Fernando. 


N.S.deIC«mnen... 


do 


A. Olorosisimo 

H.Pichay 


N' 8. del Carmen 


do 


Do. 


Antonio. 
N.8.del Mar Can- 
tiTa. 


do 


R. Bolseco and other . 


Do. 



148 



REPORT OF THE PHILIPPINE COMMISSION. 



Alphabetical list of coastwise vessels documented in the Philippine Idands to which official 
numbers were assigned during the period from Augusi 7, 1904^ to June SO, 1905 ^ including 
vessels marked * in letters R and T omitted from last special report — Ck)ntiniied. 



Vessel. 



N.S.del Pilar Sail... 

N.S. del Remedio do 

CSomerclante. I 

N.S.del Ro«ario..J do 

N.S.del Rosario...' do 

N. 8. del Rosariode ! do 

Hani. 

Nable 

Naguilian 

Nate 

Na vegan te — 
NegTOfl 



Steam lannch . 

Sail 

....do 

....do 

Steamer 



Oros 

Otofio 

P 

P.Reyes .. 
Paclencia. 

Pacita 

Padonda.. 

Pa«ue 

Palawan.. 



Panay 

Pasanito 

Pasig 

Partriarca 

Jos«. 
Patrocinlo .. 
Paul Revere 

Panline 

Payat 

Payo 

Pax 

Pelagia 

Pefiafrancia . 
Pefiasuerte . . 

Pepe 

Pepe 

Pepito 

Petrel 

Picket 



San 



Sail 

do 

Bnrgc 

Steam launch . 

Boat 

Sail 

do 

do 

Steamer 



do.. 

Sail 

Lighter. 
Sail 



Sail. 



.do. 



.do. 



Nellie Sail 

Nena Steam launch .. . 

New York do 

Nijujachi ; Boat 

Niluhlchi I do 

Nijuku I do 

Nifto I Sail 

NifloJeads ' do { 

Nomia do 

Nueva Esperanza do 

Nueva Luna do 

Nueva Zaragoza...' do 

O I Barge 

echo I Sail 

Oliveroa ' do 

Ol vldo do 

Ondarroa do 

Oriente Steam launch 



do 

Steamer 

Sail 

....do 

do 

Steam launch . . . 

Sail 

Steam launch . . . 

Sail 

do 

do 

Steam launch . . . 

do 

Steamer 



Polillo 

Pontanoea — 

Porfirio 

Port Arthur ; do . 

Portuguesa Casco 

Powerful Steamlaunch. 



Preciosa.. , Sail 

Prima vera do 

Progreso j Gasoline launch. 

Puilficaci6n | Sail 

Q Barge 



Official 
number. 



R do... 

R. Kabanguefio . . . Sail 

*R. Melliza steamer. 

I Sail 



12.40 
6.21 

7.14 
6.31 
6.10 

14.61 

7.64 

65.03 

U.39 

411. 11 

6.01 j 

61.00 : 

20.33 I 
5.27 ! 

5.30 j 
6.22 I 

n.46 I 
8.07 

12.22 ! 

19.86.1 
9.44 
189.87 

82.52 
6.06 
8.28 
5.75 
7.27 

35.64 

1LC2 

19.95 

82.46 

63.61 

9.91 

10.25 

9.46 

6.66 

411.11 

411.11 
6.15 
8.59 
15.37 

8.89 
78.59 

6.16 
10.70 

6.87 
10.58 

6.16 
24.69 

6.28 
10.91 
13.00 
22.11 
14.42 
178.00 

411. 11 
5.43 
6.12 
19.94 
21.16 
51.83 

7.01 
12.02 
7.74 
6.70 
82.70 

81.04 

4S.01 

249.29 

6.62 



178460 
173826 

172716 
178462 
173869 

172693 
172778 
173254 



17-2931 

172862 
173098 
172692 
172961 

172960 
172962 
173264 
173241 
173307 
173587 
173318 
1?2790 
172681 
178665 
178493 
173685 
173001 
173349 

173086 
178975 
1?26K2 
178221 
172721 
178346 
173478 
173682 
172932 

172983 
1727^0* 
172757 
173533 

172865 
172915 
172895 
172785 
172983 
172984 
173195 
173000 
172743 
173150 
173396 
173119 
173157 
172934 

172935 
173545 
173613 
173088 
173184 
172917 

172866 
178461 
173476 
173660 
173133 

173182 
173482 
170237 
170274 



S.Camangian 

L.Fave8 

F. Vaxgues 

I. Garcia and other. . 
P.Tabungao 

L. Fem&ndea , 

H.Camacho 

M.N.J0B6 

C.Rayray , 

Philippine govern- 
ment. 

P.S. Maroelo 

R. Soriano 

G.Lichauco 

Philippine OMstwise 
Transportation Co. 

do.rr. 

do 

J. Quicho and others . 

T.Arls 

M. Domingo 

P.deJesds 

J. Encamaci6n 

J.Barbaaa 

Manila Navigation Co 

P. Reyes and other . . . 

L. Baugan 

P.Olvido 

F.Mendizabal 

Atlantic, Gulf and 
Pacific Co. 

F.Plngay 

B. Marti 

Manila Navigation Co 

V.Reyes 

S.Cuencft. 

M. Gorospe 

H.Daud 

Y.Bofll 

Philippine govern- 
ment, 

do 

A.Pasano 

M. Eamshaw, etc 

A.Noble 

E.Empa8i8 

J.Boraman 

P.S.Marcelo 

H. Comacho 

P.Rodulfo 

B.M6Jica 

B. BarrientOH 

J. Robles 

F. Raouifio 

M. Vilianueva t 

J. J. de Jesus 

J.P.Wilson 

J. G. White «fc Co 

Philippine govern- 
ment. 

do 

A. Pontanosa 

H. Atendido 

C. Concepci6n 

do 

Manila Steamer and 

Transportation Co. 

A. Libres 

S. Aville 

P. Fonun 

A. Celera 

Manila Navigation 

Co. 

do 

M. Dantesand others. 

C. B. Munllo 

L. Radasa 



Home port. 



San Fernando. 
Do. 

Tacloban. 
San Fernando. 
Tacloban. 

Manila. 

Aparrl. 

Manila. 

San Fernando. 

Manila. 

Do. 
Do. 
Do. 
Do. 

Do. 

Do. 
San Fernando. 

Do. 

Do. 
Hollo. 

San Fernando. 
Manila. 

Do. 
San Fernando. 

Do. 
Hollo. 
Manila. 

Do. 

Cebd. 
Manila. 
Do. 
Cebd. 
Manila. 
San Fernando. 
Balabac. 
Iloilo. 
Manila. 

Do. 
Sorso^6n. 
Manila. 

Do. 

Cebd. 

noilo. 

Manila. 

Aparri. 

Legaspi. 

Manila. 

Cebd. 

Legaspi. 

Apam. 

Manila. 

Batangas. 

Manila. 

Do. 

Do. 

Do. 
CebiS. 
Aparri. 
Cebii. 

Do. 
Manila. 

CebU. 

San Fernando. 

Batangas. 

Iloilo. 

Manila. 

Do. 
Do. 
Cebd. 
Do. 



BEPOBT OF THS COLLECTOR OF CU6T0Md. 



ud 



Alphabetical list of coastwise vessels documented in the Philippine Islands to which official 
numbers were assigned during the period from August 1, 1904, to June SO, 1906, including 
vessels marked * in letters R and T omitted from last special report — Continoed. 



Vertel. 


w«. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port. ' 


^Rafaela.. 


Sail 


46.68 

6L83 
8.29 
6.65 

83.57 

5.07 

98.89 

254.08 

21.91 

21.51 

9.50 

8.78 

5.27 

7.43 

11.76 

14.48 

59.26 

6.81 

9.18 

17.22 

8.82 

8.63 

6.16 

5.78 

5.29 

5.62 

42.31 

7.20 

42.83 

9.94 

6.52 

14.70 

7.42 

5.06 

114.87 

46.69 

10.05 

9.59 

25.85 

11.00 

5.56 

5.54 

6.16 

15.81 

49.41 

6.90 

48.18 

5.97 

322.51 

83.69 

8.88 
6.06 
6.10 

11.65 

9.12 

5.46 

49.54 

4U.90 

858.94 
14.97 
62.44 

9.57 
153.11 

7.25 
35.88 
27.81 

6.69 
96.22 

14.12 

56.72 

8.27 

9.08 

21.13 


170856 

170882 
172089 
173547 
170857 

171443 
172882 
172986 

170684 
173194 
170447 
171163 
173196 
172207 
171561 
170280 
171863 
171081 
178868 
172216 
171995 
172618 
178311 
178639 
173436 
178827 
170358 
171888 
1726T2 
172822 
178201 
173243 
173244 
173649 
171603 
172968 
170850 
171187 
171299 
171381 
171901 
170532 
172034 
170113 
171855 
173454 
170029 
171407 
171680 
170785 

171824 
173107 
170744 

172738 
170563 
170874 
170859 
172987 

171255 
171068 
170480 
1785^ 
170255 
171757 
173204 
171293 
178621 
172988 

178892 
178101 
172880 


PhUippine Shipping 

Co. 
T. Osmefia 


Hollo. 


• RftflM^I^ .... 


do 


Cebd 


^Ralaela 


do 


M. Abanls 


Catbalogan. 
Cebd 


Rambler. 


do 


B. I/agura ..... x.. 


• Ramona 


do 


Luxon Steamer and 

Sail Lighter Co. 
P. M&laga 


Hollo. 


• Ramona 


do 


Do. 




do 


V.Isaac 


Ajparri. 
Manila. 




Steamer 


Philippine govern- 
ment. 
M. Calafat 


*R&pido 


Sail 


Aparri. 
Cebd. 


RILpido 


Lighter 


J. M. Switzer 


^Recuerdo 


sill .^::::::::::: 


M. Belino 


Batangas. 
Do 


* Recoerdo 


do 


S. Uballa 


Recuerdo 


do 


C. Diaz 


Cebd. 


*Red11lAfl 


do 


B. Redillas 


Do. 


*Redala 


do 


A. Redulla 


Do. 


*Regadera 

• Reginita 


do 

Steamer 


J. M. Switzer & Co.... 
J. Barbeza 


Do. 
Manila. 


*Regl8tio 


Sail 


J. Galves . . . 


Subig. 

!^an Fernando 


Reg&tro 


do 


R. Bautista 


* R^nediadora .... 


do 


C.Hlbo 


Ceba. 


•Remedlo 


do 


M.ViUandeva 

J. de Le6n 


Manila. 


* Remedlo .... 


do 


Do 


Remedio 


do 


G. Cache 


San Fernando 


Remedlo 


do 


B. Augustin 


Do 


Remedio Agoo 

Remedio Vlajero.. 
* Remedies 


do 


G. Dalao 


Do. 


do 


M. Paroqui 


Do. 


do 


M. B. Asensi 


Iloilo. 


*Remedio« 


do 


M. Mercaida 


Sorsog6n. 
Manila. 


* Remedies 


Steam launch 

Sail 


J.S. Michael 


Remediofl 


P.Calolot 


Cebd. 


Remedios 


do 


P. Villena 


Do. 


Remedies 


do 


E. Pascua 


^n Fernando. 


Remedios 


do 


J. Cabildo 


Do 


JRemedios 


do 


G. Leanders 


Batangas. 
Manila. 


*Remigio 

Rentafflntemas . . . 


Lighter 

SSP*::;:::::::::: 

do 


Rocha&Co 


L. R. Yangco 


Do. 


* Resarreocion 


0. Juarez 


Tacloban. 


• Resurreccion 


E. Amoy 


Cebd. 


* Resurreccion 


do 


C. Oliva 


Manila. 


• Resurreccion 


do 


I*, de la Paz 


'"%. 


* Resurreccion 


do 


C. Nacieru 


* Relna lieicedes. . 


do 

do 


D. Umandap 


Aparri. 
Cebd. 


*Ricafort 


8. Ricafort 


«Ricardo 


Llffliter 

do.!!.'.!!.. !! 


M.B. Asensi 


Manila. 


^RtqiY^fft 


T. RabadUla 


Iloilo. 


Rita 


P. Quilente 


Aparri. 
Manila. 


*RiBal 


Steamer 

Sail 

Steamer 

Lighter 

SaU 

do 


T. R. Yangco 


• RIflU 


D. Umandap 


Aparri. 


*RobertK 


H. knisi..." 


Manila. 




Manila Tug and 

Lighter Co. 
A. Robillos 


Do. 


*Robill08 


Cebti. 


Ricalloeas 


K. Fahlla 


Iloilo. 


*Rodulfo 


do 


M. Rodulfa.. 


San Jofl^ de Buena* 


Roge 


do 


G. Villaflor 

C. Rabaya 

R. Baraclau 

P. Vasquez 

Philippine govern- 
ment 
Compaftia Marltima. . 
C. Valero 


visU. 
Aparri. 
Cebd. 


«Rose8iana 


do 


♦ RomAn 


do 


Do. 


* Romana. 


do 


Iloilo. 


Rombl6n 


Steamer . . 


Manila. 


* R6mulQs 


..^..do 


Do 


* Rninxindo 


i,ight9r 


Do. 


♦ Rona 


do 


Eclipse Lighter Co . . . 
R. Adiong 


Do. 


Roque No. 8 


SaU 

Steamer 


Cebd. 


*Ron 


A.Roa 


Do. 


*R0«k 


A^ll 


A,T,Agnif 


Batangas. 
CebA. 


Rosario 


do 


Y.Ortiz 


* Roeatio Biilliante 


do 


M. Bragadoand others 
C. Abad 


Manila. 


Roeenda Cleto 


do 


Aparri. 
Manila. 


RoTer 


Steamer 


Philippine govern- 
ment. 
F. Qnema 


Rnbl 


Sail 




8. de la Rama 

R, T^caro 


Steam launch — 
Sail 


F. ^ma and others . . 
C. Alpay 


Manila. 


Sagnap 


do 


173587 
173011 


D. Loma 


SagTa4]oCoras6n.. 


do 


I. Sarmiento 


Do. 



150 



REPORT Ot THE PHILIPPINE COMMISSION. 



AJj>habeiictU list of cocutwite vessels documented in the Philippine Islands to which official 
numbers were assigned during thtperiodfrom AugtuA i, 1904^ to June SO^ 1906, indudtng 
vessels matted * in letters R and T omitted from last special report — Continaed. 



Ve»el. 



Salaciui 

Salanga .... 
Salomaffue . 
Salyacion .. 



8alTaoi6n 

8alvaci6n 

Salvaci6n 

SalTaci6n Etema. 
8alyaci6n Humana 
8alyaci6n Tres 

Hermanos. 
Salvador 



Samaon No. 2 . 
Sanjuchi 



SanJufo 

San, unachi. 



San,uhlchi 

San, urokn 

Sanjusan 

Sanorla 

Sanson 

Santander 

Santiago Carolina 
Santiago deOaUcia 
Santiago . 
Santiago . 
Santiago . 
Santisuna Trinidad 
Santisima Trinidad 

San Augustin 

San Aleio 

San Andrte 

San Andrte 

San Andres Con- 

feeor. 
San Andrte Donato 

San Antonio 

San Antonio 

San Antonio 

San Antonio 

San Antonio 

San Apolonio 

San Daniel 

San Emiliano 

SanEsteban 

San Felipe 

San Florencio 

San Francisco 

San Francisco 

San Francisco 

San Francisco de 

Aflis. 

San Gabriel 

San Ignacio Arzaga 

Sanlsidro 

Sanlsidro 

Sanlsidro 

San Isidro Bay 
San Jo66 



SanJo86 

San Jo86 

SanJoiȤ 

San Jofl6 

San Jos6 

San Jos6 

SanJo86I 

SanJos^II 

SanJos^Castrence. 
San Jos6 deCanton . 

San Jofl6 Jesos 

San Jnan 

SanJoan 

San Jnan 

San Juan Bautlsta. 
San Juan Bautlsta. 
San Juan Bautlsta. 



Rl«. 



Sail. 



.do. 
.do. 
.do. 

.do. 
.do. 
.do. 
.do. 
.do. 
.do. 



.....do... 
Steamer. 



Sail.. 
Boat. 



do 

do 

do 

do 

do 

Sail 

do 

Lighter 

Sail 

do 

do 

do 

do 

do 

do 

do 

do 

Steam launch . 

SaU 

do 



.....do. 
.....do. 

do. 

do. 

do. 

do. 

do. 

do. 

do. 

Barge . 
Sail.... 

do. 

do. 

do. 

do. 

do. 



do 

do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

Steamer 

....do 

Sail 

....do 

....do 

....do 

....do 

....do 

....do 

....do 

....do 



Gross 


Official 


tonnage. 


number. 


5.47 


173404 


15.60 


173604 


6.56 


1785U 


49.71 


172987 


5.84 


178089 


8.68 


178270 


10.72 


178854 


9.47 


178387 


5.16 


173481 


5.00 


178267 


6.07 


173180 


4U.U 


172989 


6.87 


178629 


8.06 


173284 


6.60 


178285 


8.19 


178288 


9.93 


173287 


8.95 


178286 


8.78 


173283 


7.18 


178007 


12.68 


173401 


212.88 


178846 


5.67 


178388 


5.97 


173885 


76.08 


178092 


12.24 


178280 


10.06 


178322 


18.88 


173360 


6.90 


178568 


6.94 


172890 


7.68 


173651 


19.78 


178134 


14.71 


173882 


8.08 


178871 


6.11 


178440 


11.00 


172776 


5.08 


172882 


6.81 


172844 


17.02 


173120 


7.08 


178450 


13.20 


178197 


5.76 


173641 


U.76 


178429 


66.67 


173508 


15.81 


178186 


82.59 


178487 


6.77 


172997 


16.46 


173057 


10.01 


173079 


7.12 


172845 


18.84 


178014 


10.65 


173509 


9.67 


178088 


7.67 


178468 


6.64 


173520 


7.74 


178488 


14.47 


172697 


6.60 


172816 


14.14 


178280 


7.18 


173240 


7.12 


173823 


6.28 


173361 


6.71 


173820 


180.11 


172980 


102.00 


178075 


14.28 


173341 


8.26 


178414 


9.17 


178418 


6.28 


172769 


5.06 


172892 


5.28 


178571 


7.66 


178026 


5.02 


173380 


8.11 


178389 



Name of owner. 



H. Mahamed 

F. Salanga 

C.Serrano 

Pasig Steamer and 
Lighter Co. 

D.Arceo 

E.CorRino 

M. Arroyo 

J.Baldivie«) 

B.Ce80 

T.ToIentino 



C.Alyares , 

Philippine goTem- 

ment. 

A. Samaon 

Philippine Coastwise 

Transportation Co. 

do.rr. 

do 

do 

do 

do 

B.Sanoria 

H.Tassin 

Figueras Hermanoe . . 

F.Carolina 

P.Monle 

C. Valero 

N.Bnriques 

R. Siping 

C. Feria and others . . . 

C.Antonio 

A.Ragaza 

E.Goro6pe 

A. Samson 

F. Peree and others. . . 
R. Castro 



L. Donato 

H. Comacho . . 
M.Cacayuan . 

B.Uido 

R.Abeleda ... 

A.Fabis 

A.Datay 

P.AUvlo 

Gil AndU.... 

E.Riu 

G.Dumpor ... 
F. Baltazar . . . 
F.Arquillo... 
£. Atienssa . . . . 

H. Sonico 

P. Reynoso . . . 



P.Sagaral 

I. Arzaga 

M.Solde 

J. Nolasco 

G. Pelaes 

M. Sumaraga 

D. Dario .• 

H. Sabljon 

V. Erasmo.. 

£. Parochaand others 

E. Pagiligan 

C. Pitas 

J. Bone 

F. Malcampo 

M. P6rez 

L.Castrence 

P. Pascua 

B. Escobar 

E. Ragasa 

A. Tapauan 

D. Presto 

A. Catorre 

P. Villena 

J.Galban 



Home port 



Balabac. 

Manila. 

San Fernando. 

Hollo. 

Do. 
San Fernando. 
Iloilo. 
San Fernando. 

Do. 

Do. 

Doilo. 



Cebd. 
Do. 

Do. 

Do. 

Do. 

Do. 

Do. 

Do. 
Balabac. 
Manila. 
San Fernando. 

Do. 
Manila. 
Nueva CAceres. 
San Fernando. 
Manila. 
Aparri. 

Do. 

Do. 



San Fernando. 
Do. 

Do. 
Aparri. 

Do. 
Cuyo. 
Manila. 
San Fernando. 
Cebd. 
Iloilo. 

Do. 
Manila. 
Cebd. 
Manila. 
Aparri. 
BljinUa. 
Aparri. 
Cuyo. 

Cebd. 

Ban Fernando. 

Dumaguete. 

San Fernando. 

Oroquieta. 

Puerto Prlnoesa. 

Manila. 

Cebd. 

Dumaguete. 

San Fernando. 

Batangas. 

Aparri. 

San Fernando. 

Zamboanga. 

Manila. 

San Fernando. 

Do. 

Do. 
Aparri. 

Do. 
Puerto Princesa. 
Cebd. 
San Fernando. 

Do. 



REPORT OF THE COLLECTOR OF CUSTOMS. 



151 



Alphabetical list of coaftunse vessels documented in the Philippine Islands to which ojficial 
numbers were assigned during the period from August i, 1904, to June 30^ 1905 ^ including 
vessels marked * in letters B and T omitted from last special report— Continued. 



Veasel. 


Rig. 


Gro88 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


Sftn Juan Caste- 


Sail 


10.97 

62.21 

6.34 

6.44 

5.12 

93.20 

6.32 
8.06 
7.72 
6.22 
6.53 
7.06 
7.52 

11.65 

7.74 
18.66 
16.07 
9.66 
7.98 
12.40 
6.08 
9.68 

10.03 
9.96 
9.67 
29.40 
14.69 

8.12 
9.89 
6.60 
7.38 
8.46 
6.79 
10.06 

9.68 
6.49 
7.10 
6.96 
7.68 
9.79 
8.74 
6.44 
7.70 
5.87 
5.48 
8.32 

11.11 
8.93 
7.74 
6.35 
5.44 
7.85 
9.30 

10.22 
8.06 

12.40 
8.78 
9.48 
6.08 
7.83 
7.88 
7.06 
6.77 

28.39 

12.71 
9.90 
6.16 
8.27 
6.06 
7.14 
9.87 
6.91 


173366 

173291 

173561 
173268 
173281 
173034 

1783?2 
178377 
172872 
172866 
172891 
173376 
173890 

178438 

172761 
173181 
172920 
178308 
178572 
173676 
173883 
178229 

173313 
173298 
173344 
173427 
173306 

173319 
173434 
173480 
173623 
172878 
173884 
178833 

170414 
172758 
172991 
178812 
173502 
173884 
172787 
172797 
122906 
173069 
173160 
178163 
178297 
178381 
173391 
178484 
178494 
178513 
178874 
173310 
178880 
172913 
172696 
172862 
173258 
178568 
172874 
173121 
178266 
172819 
173373 
172806 
172741 
172711 
172760 
172776 
173293 
173226 


C. Castellano 


San Fernando. 


Iiano. 
San Juan de Saha- 


do....; 


G. R. 8y-KIa 


Manila. 


gun. 
San Julio 


do 


J. Gorospe 


San Fernando. 


San Lorenw). 


do 


P. L4Mano 


Do. 


San Lorenzo 


do 


D. Al varado 


Aparri. 
Manila 


San Luisde Guina- 


do 


V. L. Evangelisto.... 
J. Quintela 


San Marcellno 


do 


San Fernando 


San Marcelo 


do 


A. D^racia 


Do. 




do 


C. H. Merseburg 

R. Madarang 


Iloilo. 


San Miguel 


do 


Subic. 


San Miguel 


do 


F. Agapinan 


Aparri. 

San Fernando. 


San Miguel 


do 


A.delosReyes 

S. Dasalla 


San B»guel Aro- 

angel. 
San Miguel Maba- 

tic. 
San Modesto 


do 


Do. 


do 


R. Cardoea 


Do. 


do 


M. Ranada 


Aparri. 
Manila. 


San Napciflo 


do 


C. Arafias and others. 
R.B.Scott 


SanKicolAs 


Steam launch 

Sail 


Do. 


San Nicolto 


R. Paslon and others. 
L. Bnflag 


San Fernando. 


San NicolAfl 


do 


I*uerto Princesa. 


SanKicolftfl 


do 


P. Sampayan 


San Fernando. 


SanNicoIftfldePaz. 


do 


S. Ungfia'. 


Do. 


San NicolAsde To- 


do 


M. Cayao 


Puerto Princesa. 


lentino. 
San Pablo Atento . 


do 


A. Atento 


San Fernando. 


San Pedro 


do 


N. Sison and others. . 
P. Arafias 


Do. 


San Pedro Araftafl . 


do 


Do. 


San PedroAtrevido 


do 


E. Atrevido 


Manila. 


San Pedro Erange- 

lista. 
San Pedro Ilocano 


do 


P. Naungagan 

J. Unate and others . . 


San Fernando. 


do 


Do. 


San Pedro de Lapo. 
San Pedro de Tavoc 


do 


Do. 


do 


P. Acierto 


Do. 


San Pedro Telnio. 


do 


P. Arquillo 


Iloilo. * 


San Rafael 


do 


A.Tifia 


San Rafael T/AZO . . 


do 


M. Lazo 


San Fernando. 


San Rate«l Rubia- 


.do 


R. Rubianes 


Do. 


ne8. 
San Regino. ....... 


do 


C. Abarca 


Tacloban. 


San Roque 


do 


E. Ragasa ^ . . . ^ . . 


Aparri. 
Do. 


San Ro<iue 


do 


C. Abad 


San Roque 


do 


L. Califlores 


San Fernando. 


San Roque 


do 


E. de Guia 


Manila. 


San RoqueCurimao 
San Vicente 


do 


B. Quitoriano 

C. Lagundim 




do 


Aparri. 
Manila. 


San Vicente . 


do 


B. de Vela 


San Vicente 


do 


J. Duldulao 


Aparri. 
Do. 


San Vicente . 


.. .do 


F. Rabanal 


San Vicente 


do 


D. Umandap 


Do. 


San Vicente 


do 


A. deGuzm&n 

F. Acierto 


Do. 


San Vicente 


do 


San Fernando. 


San Vicente 


do 


B. Quitoriano 

V. Ramirez 


Do. 


San Vicente 


do 


Do. 


San Vicente 


do 


P. Abio 


Puerto Princesa. 


San Vicente 


do 


V. Rueloe 


Aparri. 


San Vicente 


do 


8. Abionag 


Hollo. 


San Vicente Bantay 
San Vicente Ferrer 


do 


J . Gorospe 


San Fernando. 


do 


P. Naungayan 

L. CoBtalesand others. 

S. de la Fuente 

I. de la Cruz 


Do. 


San Vicente Iloco . 


do 


Do. 


San Vicente Vigo.. 


db 


Manila. 


Santa Ana 


do 


Aparri. 
Do. 


Santa Ana 


do 


F. Ifurung 


Santa Ana 


do 


A. SAnchez 


Iloilo. 


Santa Bemabela . . 


do 


A. Bundoc 


Puerto Princesa. 


Santa Bemalda 


. . .do 


A. Bundac 


Hollo. 


Santa Catalina .... 


do 


A. Fejero 


Dumaguete. 


Santa Catalina 


do 


A. Alconcel 


San Fernando. 


Santa Clara ....... 


do 


E. Burgos 


CebiS. 


Santa Clara 


do 


J. QuilTopras 


San Fernando. 


Santa Dominira. . . 


do 


A. Lanagon 


CebiS. 


Santa Elena 


do 


B. de la Cruz 


Aparri. 


Santa Filomena 


do 


L. Arlegui 


Do. 


Santa In^ 


do 


J. Gorospe 


Do. 


Santa Iiabel 


do . -. 


H. Camacho 


Do. 


SanUlMbel 


do 


J. Andrada 

P.Bundac 


San Fernando. 


SantaJuana 


do 


E>uepto Princesa. 



152 



EBPOBT OP THE PHILIPPINE COMMISSION. 



Alphabetical list of coasttdse vessels documented in the Philippine Islands to which official 
numbers were assigned during the period from August i, J904t to June 30 f 1906 y induding 
vessels marked * in letters R and T omitted from last special report — Continued. 



Vessel. 



Rig. 



Sftnta Lucia ' Steam launch 

Santa Lucia Fes- Bail 

tejo. 
Santa Maria I do 



Santa Maria do... 

Santa Maria Mag- do . . . 

dalena. 

Santa Mesa Barge . . . 

Santa Petrona Sail 

Santa Rosa Steamer. 

SantaRoaa Sail 

Santa Victoria do . . . 

Santo Domingo do . . . 

Santo Domingo do . . . 

Santo Niiio do . . . 

Santo Nifto do... 

Santo Rosario do . . . 

Santo Santiago do . . . 

Santo TomAa No. 2. do . . . 

Seis Herman(» do . . . 

Seno ! do ... 

Seliorito do . . . 

Sentinel i Steamer . 



Serafln ... 
Sevilla ... 

Slbul 

Slguenza . 
sSju 



Sail 

do 

Steamer 

Lighter 

Fishing boat. 



Troy. 
Tuguegarao . 
iJgkuV.'.'.'.'.V. 



Steamer . 



Gross 
tonnage. 



Silvestre Sail 

Simbad do 

Slnabbaran I do 

Sinajon | do 

Singsing do 

Sixta I do 

SIxto I do 

Socorro t do 

Sofia I Steam launch 

Sol I Sail 

Sol de Maria — do 

Sor80g6n i do 

Steam Launch No. , Steam launch 

18. 

Sterling , do 

Suav 8ai 1 

Siuiagao I Banca 

Suterafia j Sail 

Swift Steam launch 

Tablas Steamer 



Tabotabo Sail. . . . 

•Talyo do . 

Tttla-Tala do . 

Teodula do . 

Teofista ' do . 

Teresa do . 

Teresa do. 

Teresa do . 

Teresa No. 2 do . 

Tigues do . 

Timaua do. 

Timbok Campong do . 

Tinapay do. 

Toleao' do. 

Tomampus do . 

Tommy do. 

Torreno do. 

Traveller do . 

Traviesas i do . 

Tres Hermanos j do. 

Tres Hermanos I do. 

Tres Hermanos do . 

Trinidad do. 

Triunfante do . 



Sail.... 
Barge . 
Sail.... 



18. 



112. 
16. 

10. 

8. 
88, 

7. 

6. 

6, 

6. 

5. 

6. 

6. 

6. 

8. 

5. 

5. 

5, 



8.66 

5.87 

126.85 

192.69 

6.34 

6.83 
6.92 
9.88 
6.79 
11. 12 
13.42 
16.30 
7.61 
35.95 
6.06 
8.25 
8.98 
20.58 

5.32 
12.07 
6.12 
5.62 
35.76 
411.11 

16.16 

415.64 

5.67 

6.49 

11.67 

8.19 

7.84 

5.62 

8.27 

6.82 

6.67 

5.69 

5.01 

7.29 

9.52 

6.10 

9.80 

11.59 

7.95 

10.57 

20.95 

14.51 

30.43 

17.52 

74.55 

7.56 
110.61 
30.28 



Official 
number. 



172687 
173296 

172742 
173665 
173603 

172902 
178662 
178866 
173316 
172893 
172836 
173331 
173068 
172990 
173506 
173581 
173657 
173355 
173081 
173544 
172940 

178836 
173694 
173501 
173109 
178289 

173646 
173453 
172786 
178022 
172943 
172K25 
163466 
173031 
172694 
173865 
173445 
172749 
172980 

172707 
173568 
173605 
173282 
172704 
172941 

173598 
170984 
173477 
173172 
173696 
173030 
173084 
173222 
173649 
172821 
173443 
173400 
173015 
17-2810 
173498 
172766 
173636 
172732 
172831 
172876 
178179 
173518 
173009 
178466 
172942 

172783 
173496 
173071 



Name of owner. 



R. Mercado. 
P. Festejo.. 



Home port. 



Manila. 

San Fernando. 



P. Raguindin Aparri. 

R. Lagdameo Manila. 

P. de Lemofl Do. 



A. F. Allen and others. 

J. Desanito 

R. Reyes 

P. Singson 

£. Rafanan 

E. Ragaza 

F. Domingo 

F.Ck)rpu8 

H. Camacho 

R.Santos 

M. Carrilla.... 

K. Duque 

J. Alvares 

C.Ceno 

A. Quintenar 

Philippine govern- 
ment. 

J. Singson 

G.SevIlla 

T. R. Yangco 

J.Oaspar 

Philippine Coastwise 
Transportation Co. 

S. Bacaltos 

V. Balao 

H. Camacho 

P. Sinajon 

C. Baluyot. 

L. Zuleta 

E. Jeressa 

C. Rlcafrente 

J. Flamefio 

C. Castellano 

J. A. Acierto 

G. C6rdoba 

San NicolAs Iron 

Works (Limited.) • 

F.Gonzales 

P. Toledanes 

G. Luarca 

D. Campantero 

P. Ballesteros 

Philippine govern- 
ment. 

B. Estrelor 

B. Havener 

Tanbiling 

C. E. Schwebel 

G. Cortes 

V. Lecares 

N. Europeo 

F. Bacla-ag 

A. Deogrades 

G. Tobiraa 

F. Tabelona 

Suab I 

C. Tinapay 

P.Loay 

R. Tumampus 

M. Eamshaw <Sc Co . . . 

L. Canlaa 

R.B.Scott 

J. Lobregat 

B. Estevan 

A. Asencio 

LMorfa 

J. Lobregat 

D. Oabellza 

Philippine govern- 
ment. 

H. Camacho 

Mani la Navigation Co . 
S. Corpuz 



Do. 
San Fernando. 
Manila. 
San Fernando. 
Aparri. 

Do. 
San Fernando. 
Aparri. 

Do. 
ManUa. 
San Fernando. 
CebiS. 
Hollo. 
Cebd. 

Do. 
Manilcu 

San Fernando. 

Cebti. 

Manila. 

Do. 

Do. 

Cebil. 
Aparri. 
Do. 
CebiS. 
Manila. 



Iloilo. 

Batangaa. 

Manila. 

San Fernando. 

Manila. 

Hollo. 

Manila. 

Do. 
Iloilo. 
Batangas. 
Iloilo. 
Manila. 

Do. 

CebH. 

Manila. 

Balabac. 

Batangas. 

Cebd. 

Batangas. 

Cebit. 

Do. 

Do. 

Do. 
Iloilo. 
Balabac. 
Cebrt. 

Do. 
Tacloban. 
Manila. 
Cebil. 
Manila. 
Tacloban. 
Iloilo. 

Do. 
Oroquieta. 
Cebd. 
Aparri. 
Miinila. 

Aparri. 
Manila. 
Aparri. 



BfiPOBT OV THE COLLECTOR Of CtTStOMS. 



15a 



AlphahetiGcd litt of ooagtwise vessels documerUed in the Philippine Islands to which official 
numbers toereassiffned during the period from August i, 1904, to June SO j 1905, including 
vessels marked* in letters R and T omitted from last special report — Continued. 



Vessel. 


Rig. 


Gross 
tonnage. 


Official 
number. 


Name of owner. 


Home port. 


V 


Banre 


110.61 

41.03 

9.80 

15.64 

85.43 

6.67 

6.89 

7.05 

6.04 

6.69 

9.84 

9.00 

10.23 

84.81 

6.84 

8.99- 

140.68 

16.06 

6.61 

.8.58 

8.30 

6.36 

17.58 

6.50 


178496 

172807 

178202 

173426 

173261 

173080 

173260 

172837 

173469 

173292 

173475 

173610 

173408 

172699 

178598 

173269 

173387 

173548 

172726 

173510 

173227 

173200* 

172820 

173599 


ManilaNayigationCo. 

D. Leyson 

E. Tlnson 


Manila. 


Valencia 


Ca8(X> 


Cebii. 


VaM*m«» 


Sail 


Do. 


VAsquez , 


do 


F. VAsquez 


Tacloban. 


Veloa 


do 


J. Lacson 


Hollo. 


Venoedor 


.. do 




Cebd. 


Vencedor 


do 


R. Retodo 


Iloilo. 


Venus 


do 


M. Ranada 


Aparri. 

San Fernando. 


Vlajero 


do 


A. Domondon 

J. Andrada 


Victor^ 


do 


Do. 


Victoria 


do 


J. Bayat 


Batangas. 
Manila. 


Victoria 


do 


M. TBjonera 


Victorina 


do 


D. Plores 


Do. 


V^frfli^Tit^ 


Steam launch.... 
Sail 


T. R. Yangco 


Do. 


Viilaceran . 


J. Villaceian 


Cebd. 


Villaflor 


do 


P. Villaflor 


Iloilo. 


VillannevA 


Ldffhter 


F. Hermanos 


Manila. 


ViUanueva No. 2 . . 


Sail 


J. Vafl6 


CebiS. 


Vi8itaci6n 


do 


F. Guerrero 


Aparri. 

San Fernando. 


Vitaliana 


do 


P.Obosa 


VlTO 


do 


A. Owe 


Puerto Princesa. 


Voluntfti 


do 


N. Butalid 


Cebd. 


Yortei 


Casco 


8. Oquifiena 


Do. 


YlUBQD 


Sail 


Yusup 


Jol6. 









The foregoing liste, in connection with the list published in the third special report 
of the collector of customs for the Philippine Islands, embraces all the vessels docu- 
mented in the Philippine Islands up to and including June 30, 1905. 



Appendix D. 

Officr op the Deputy Surveyor of Customs, 

IN Charge of Arrastrb Plant, 

Manila, August 16, 1905. 

Sir: I have to sabmit herewith the report of the operations of the Arrastre plant 
for the fiscal year ended June 30, 1905. 

The work of the plant and the service given the importers have been continued on 
the lines eetablished in the eight and one-half months of the previous fiscal year, 
after the purchase of the plant by the government and its operation by the customs 
service, since October 16, 1903, as fully detailed in the report of last year. Better 
service, however, has been given and better results secured, guided by the experience 
then obtained. 

On July 1, 1904, the reduced rates ordered by you were put in force and have 
since obtained, viz: From t^l.50to^l.25a ton for warehouse deliverv, and ^1 to 
yt).90 for wharf delivery. Under the stimulus of the lower charge for wharf delivery, 
aided by the quicker dispatch there possible, there has been a marked increase m 
the proportion of merchandise stored on and delivered from the wharf as compared 
with the warehouses. As shown by the figures below, the proportion has doubled, 
increasing from 0.168 per cent in the last half of the fiscal year 1904 to 0.327 per cent 
in that of 1905. 

Further improvoments have been added to the plant, decreasing the cost of opera- 
tion and increasing the facilities to the importers for taking delivery of their mer- 
chandise. Additional platforms at the warehouses for both'receiving and delivering 
have been constructed, the track of the tramway partially relaid with heavier rail 
and its roadbed improved, one warehouse materially repaired, metal-roof awnings 
built over many of tne receiving and delivering platforms for protection of merchan- 
dise against rain, and considersible paving and guttering done iA making new drive- 
ways to the platforms. A hand-power derrick crane has been erected in the yard 
for handling galvanized roofing iron and heavy machinery, the use of which has 
saved to the importers 25 to 30 centavos a ton on roofing iron, reducing the cost of 
that article to purchasers. Altogether ^6,962.43 were expended in repairs and im- 
provements to the plant, besides about !^5,000 due but not paid, the bills not yet 
Deing presented. 



154 



REPORT OP THE PHILIPPINE COMMISSION. 



The business transacted by the Arrastre plant for the year, being the handling of 
all the general importations coming to the custom-hoose, is shown Dy the following: 

Tons. 

Merchandise delivered from wharf 31, 430. 16 

Merchandise delivered from warehouses 68, 084. 16 

Total tonnage of merchandise landed at custom-house 99, 514. 31 

Merchandise given pas^ delivery not landed at custom-house 42, 375. 08 

During the previous fiscal year ended June 30, 1904, an estimate based on the 
record of the eight and one-half months of the operation of the Arrastre plant by 
the custom-house shows that there were landed 97,000 ton and that there were 
given pas^ delivery 72,800 tons. The marked decrease in the merchandise given 
pas6 delivery is due to the better and more rapid discharge of cargoes in the bay under 
the '* running check'' regulations of the customs service, so that much merchandise 
which formerly was reqmred to touch at the custom-house wharf for pas6 delivery 
i8 now given ship's-side delivery, a considerable saving to importers. 

The operations of the Arrastre plant are shown in more detail by the following, 
giving the amount of merchandise handled in tons by periods of six months: 



January to 
June. 1904. 



July to De- 
cember, 1904. 



January to 
June, 1905. 



Wharf delivery 

Warehouse delivery , 

Total 

Expense of operation 

Percentage ox merchandise delivered f rom- 

Wharf 

Warehouse 



10,802.54 
88,999.62 



12.880.01 
29.876.65 



49,802.16 



42.756.66 



r47,688.77 



.168 
.882 



^87,807.80 

.801 
.699 



18,650.14 
88,207.51 



56,757.65 



^36,585.10 

.827 
.678 



The cost per ton for handling the imported merchandise within the custom-house 
has been reauced by one-third. 

Due to improved methods and the bettering of facilities, a greater volume of work 
has been accomplished with an actual reduction of employees. The number of the 
administrative force and clerks has been reduced from 9 to 8, of the skilled and semi- 
skilled employees from 57 to 48, and of laborers (average) from 140 to 80. The maxi- 
mum number of laborers employed at any one time was 175, as against 332 in the pre- 
vious fiscal year. 

There has been no trouble in securing laborers nor in obtaining good results. The 
experience of the Arrastre plant shows no difficulty over the question of Filipino 
labor. Under a right system— which me^ns chiefly a very Large, constant, and 
repeated superintendence, joined with firm but fair treatment-^^ood results are 
obtained. The majority of the Arrastre laborers are Pampangans. The wages paid 
are the same as for last year — ^90 centavos a day — except that a limited number of the 
best and most steady are paid yi a dav. 

The operation of the Arrastre }>lant by the custom-house has saved the following 
amounts to the importers of Manila during the past fiscal year, as compared with 
what they would have paid under the old system: 

By reduction of rate for warehouse delivery from P'1.50 to ^1.25 ^17, 021. 04 

By reduction of rate lor wharf delivery from ^1 .50 to PI 15, 715. 08 

By further reduction of wharf rate from P"! to ^0.90 3, 143. 01 

By abolition of the charge on pas6 deliveries 21, 187. 54 

By the Arrastre plant making deliveries from warehouses and han- 
dling the sample packages 49, 757. 15 

Total 106,823.82 

A very large additional saving has been effected for the importers by reducing the 
time of discharging lighters at a wharf, thereby eliminating the expense of demur- 
rage, which formerly exisited. They have also saved by reducing the force of repre- 
sentatives necessary for transacting custom-house business, and in a number of other 
ways. 



REPORT OP tHE COLLECTOR OF CUSTOMS. 155 

The statement of finances of the Arrastre plant for the year from July 1, 1904, to 
Jmie 30, 1905, is as follows: 

DBBITB. 

Treasurer's balance July 1, 1904 1 ^8,780.16 

Disbursing oflScer's balance July 1, 1904 1,777.24 

Cash balance July 1, 1904 3,162.74 

Total balances July 1, 1904 P-13,710.14 

Gross cash receipts 115,936.10 

Refunded 55.18 

Arrastre collections, net 115,880.92 

Miscellaneous sources 11. 92 

Total debits 129,602.98 



Reimbursement to general fund, government of PhiUppine Islands !^14, 000. 00 



Labor P-16,674.20 

Salaries 43,808.75 

Supplies 5,502.22 

Plant 6,962.43 

Overtime 783.00 

Total expenditures 73,730.60 

Treasurer's balance June 30, 1905 33,767.18 

Disbursing oflScer's balance June 30, 1905 6,253.48 

Cashbalance June 30, 1905 1,851.72 

Total balance June 30, 1905 41,872.38 

Total credits 129,602.98 

As stated above, there are bills payable, not yet presented, to the amount of about 
r5,000. 
It is only a question of time when a considerable portion of the machinery of the 

Slant will have to be replaced. Most of the machinery — such as three of the steam 
errick cranes and one locomotive — is old and of an obsolete pattern, having been 
purchased under the Spanish regime. It is a constant source of expense for repairs. 
At least two steam cranes should be replaced before long and an additional one pur- 
chased, and the old locomotive also replaced. This expense, which can not be post- 
poned many months, will entail a very large expenditure, and renders necessary the 
gradual accumulation of a considerable surplus. 

Notwithbtanding the lowering of the charge a year ago, the reduction of expenses 
which has been effected the p^ year has rendered possible a fair profit There is 
absolutely no objection nor dissatisfaction with the present charge on the part of 
importers, owing no doubt to the savings effected for them, as stated above. It is 
recommended, therefore, that no change be made in the present charge and that the 
surplus be allowed to continue, so as to purchase the new machinery when needed. 
Respectfully, 

Clifford D. Ham, 
Deputy Surveyor of Cu9tom$. 
The CoLLBCTOR OF Customs 

FOR THE Philippine Islands. 
(Through office of insular surveyor. ) 



EXHIBIT No. 6. 

AKHUAL REPORT OF THE COLLECTOR OF nSTTERHAL REYEVUE. 

Department op Finance and JusncE, 

Bureau op Internal Revenue, 

Oppice op the Collector, 
Manila^ P. /., September 26, J 90S, 

Sir: Complying with instructions of July 12, 1905, I have the honor to submit 
herewith report of the operations of this bureau from August 1, 1904, to July 31, 
1906. This includes the first year's enforcement of act 1189 of the Philippine Com- 
mission known as ** the internal-revenue law of nineteen hundred and four;" the 
collections and other statistical information herein being segregated, for future ease 
of reference, into two periods, (1) for the last eleven months of the fiscal year ended 
June 30, 1905, and (2) for the month of July, 1905. 

The intemal-reyenue law was enacted bv the Philippine Commission on July 2, 
1904; the taxes on the manufacture of alcohol and tobacco products, and on banks 
and bankers and insurance companies were made effective on August 1, 1904, the 
remaining taxes to become effective on January 1 , 1905. It was not practicable to 
prepare in anticipation the necessary record books, stamps, and forms for use in the 
collection of the taxes. Therefore on August 1, 1904, a temporary system for the 
collection of the taxes was provided in accordance with the provisions of section 152 
of the law, which reads as follows: 

"Until the collector of internal revenue shall have the proper books, stamps, and 
forms ready for distribution, the methods provided for the administration of this act 
shall not be required; and he is empowered to make such teipporary regulations and 
arrangements for the collection of the taxes imposed by this act as will not imduly 
embarrass or interrupt the business of the persons affected thereby." 

On January 1, 1905, the stamps, forms, and record books were ready and the per- 
manent system was installed on that date in Manila and in the near-by provinces, 
and as soon thereafter as practicable in the more distant of the provinces. 

In some of the more remote islands the permanent system is not as yet in thorough 
working order, but what remains to be done it is believed will be accomplished 
within the next few weeks. Internal-revenue taxes, under the permanent system, 
are now beine collected in every municipality from the Batan group of islands, across 
the channel from the Japanese island of Formosa, to Balab^ and the Sulu Archi- 
pelago, near the coast of Borneo. From some of these towns the mail facilities are 
as^et so inadequate that it takes a report of collections about as long to arrive in 
this ofiSce as it would take to go twice around the world. Besides the city assessor 
and collector of Manila there are 815 provincial treasurers and their traveling and 
stationary deputies engaged in the collection of these taxes. Over 90 per cent of these 
collectors of taxes are native Filipinos and all have had to be instructed in the pro- 
visions of the law and in their duties under a system of tax collections entirely new 
to these islands. Many reports of taxes erroneously collected have been returned 
for correction. But these administrative difficulties are being surmounted one by 
one, and as the days ^ by the provincial treasurers and their deputies show a con- 
stant increase in efficiency. 

Under these adverse conditions it is not to be expected that final reports of all 
taxes collected during the last fiscal year would be in this office on the date of the 
making of this report. Even when the system is in perfect running order through- 
out the Philippine Islands it will not be possible before or much before the end of 
the calendar vear to make a final report of the taxes collected during the preceding 
fiscal year, 'therefore it has become necessary in this report to give the tax collec- 
tions for the months during which reports of such collections were received in this 
office and not for the months during which the collections were actually made. The 
report of actual collections will be compiled hereafter and will show somewhat of an 
increase on the figures given herein. 

157 



158 



REPORT OF THE PHILIPPINE COMMISSION. 



1 nrk '_ 



Z -J) f_ i" 



OLD TAXBB RBPBALBD BY ACT NO. 1189. 

During the Spanish r^me internal-revenue taxes were collected on (1) contract 
for the sale of opium, (2) lotteries, (3) coinage of money, (4) urban property, (6) 
forest products, (6) documentary stamp taxes, (7) c^ulas personales or poll taxes, 
and (8) industnes of all kinds. Of these taxes the first three were suspended upon 
the American occupation and have not been revived; the fourth, the tax on the 
rental of urban property, was amended after the American occupation and was finally 
abolished by Acts Noe. 183 and 223 of the Philippine Commission and replaced by the 
real estate tax. The remaining four taxes, in a somewhat amended form, remained in 
operation until repealed by the ** internal-revenue law of 1904," which substituted 
other taxes in lieu thereof. A full report on these obsolete taxes will be found in 
Appendix A of this report 

The Spanish Uovemment in these islands derived P'7,000,000, or something more 
than one-half of its income from internal-revenue sources, from the c^ulas per- 
sonales, or poll tax; under the present law the annual revenue from cMulas will 
not exceed I*" 1,500,000. The tax rates in the present law on forest products are only 
about half of the rates obtaining prior to its enactment The number of documents 
previously subject to tax has neen greatly reduced and most of the documents 
remaining subject to stamp taxes have been at lower rates. All receipts for small 
sums have been entirely exempted from documentary taxes. All articles, except 
forest products, when exported, are exempted from taxation. 

The most radical change made by the new law has consisted in the shifting of the 
bulk of the taxes on industries from articles of necessary consumption to articles of 
luxurious, or optional, consumption, and in the entire exemptions from insular 
taxation which are given in the new internal-revenue law to the multitude of petty 
trades and callings followed by the very poor, and to the small stores and provision 
booths scattered triroughout the islands. The old industrial tax law imposed a com- 
paratively high rate of license tax on retail dealers in rice and other provisions and 
an infinitesimal tax on the manufacture and sale of tobacco and alcohol products; 
the new law exempts agriculturists, exporters, and very small dealers in commodities 
and imposes a percenti^ tax on the value of the sales made by the larger dealers, 
and also imposes an adequate tax on the manufacture and sale of alcohol and tobacco 
products. 

Before the enactment of the new internal-revenue law one-third of all the indus- 
trial taxes were paid in Manila and two-thirds in the provinces. Exclusive of the 
taxes on alcohol and tobacco products the taxes on the manufacture and sale of all 
other commodities are now being collected in the proportion of two-thirds in Manila 
and one- third in the provinces. Of the taxes on the manufacture of alcohol and 
tobacco products 83 per cent is now being paid in Manila and 17 per cent in the 
provinctes. 

RiSUMi OF ACT NO. 1189. 

The ''internal-revenue law of nineteen hundred and four '' imposes ncense taxes 
on dcMBders in alcohol and tobacco products, taxes at specific rates on the manufacture 
and sale for domestic consumption of distilled spirits and manufactured liquors, fer- 
mented liquors, manufactured tobacco and snuff, cigars, cigarettes, and matches of 
domestic production or imported, percentage taxes on the deposits, capital employed, 
and circulation of banks, aocumentary taxes, mostly at specific rates, on certain enu- 
merated objects, poll or c^ula personal taxes, percentage taxes on premiums received 
by insurance companies, taxes at specific rates on InmcKer and at ad valorem rates on 
other forest products cut or gathered in the public forests or forest reserves, license 
taxes at specific rates and taxes on output at ad valorem rates on valid perfected mining 
concessions granted prior to April 11, 1899; ad valorem taxes on sales of commodities 
and receipts of common carriers and specific occupation taxes on certain enumerated 
professions, pursuits, and trades. It is provided that the revenues from the c^ula 
personal, or poll, taxes shall be apportioned one-half to the province and one-half to 
themumcipalityin which they are collected; that certain license taxes on theaters, etc., 
shall accrue intisu^t to the treasuries of the municipalities in which they are collected, 
and that of the remaining revenues 10 per cent snail be apportioned to the various 
provinces and 15 per cent to the various municipalities, in the proportion of their 
respective populations, and that the remaining 75 per cent shall constitute insular 
revenues. 

It also provides for the oraanization of the bureau of internal revenue within the 
department of finance and justice, for the appointment by the governor-general of a 
collector of internal revenue as chief of the bureau, for the appointment by the col- 
lector, with the approval of the secretary of finance and justice, of a field inspection 



BEPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 159 

force of internal-revenue agents, ^^augers, and storekeepers, and for the assesBment 
and collection of the various taxes by the city assessor and collector of Manila and 
by the various provincial treasurers and their deputies under the general superin- 
tendence of the collector of internal revenue. 

ACTS AMENDATORY OP ACT NO. 1189. 

Act No, 118f. — ^This act was passed by the Philippine Commission on June 8, 1904, 
in anticipation of the enactment of the internal-revenue law, and provided for the 
preliminary listing of all manufacturers of alcohol and tobacco products and matches, 
lor ascertaining tne rate of output from each manufactory, and for the taking of 
inventones of stocks of liquors, cigars, cigarettes, etc., on the premises of each 
manufactory. 

The enforcement of this act devolved upon the actine collector of internal revenue 
through the provincial treasurers. The assessment data obtained was very frag- 
mentary and of little permanent value, due to the fact that under the Spanisn 
industrial tax law the assessments were made on the estimated capacity of the stills, 
cigarette machines, etc. No official figures showing actual output were therefore 
available. 

Ad No. 1251, — This act was passed on November 3, 1904, in view of the claims of cer- 
tain distillers that distilled spirits were subject to duplicate taxation, i. e., at about 1 
centavo per gallon on the capa<;ity of their stills under the industrial tax (which to 
this extent continued in operation until December 31, 1904) and at 20 or 30 centavos, 
as the case might be, on the output of each proof liter of spirits under the new law. 
Act No. 1267 therefore repealed the industrial tax provisions on distillers who operated 
their stills between the date of the passage of the act, November 3, 1904, and the 
end of that year. Stores in which these distillers sold their products were also 
exempted from the industrial license taxes during the same period. Some of these 
distillers had paid their taxes in advance up to the end of the year and claims for 
refund of taxes overpaid, amounting to ^3,911.97, have been received in this office. 
No provision is made in Act No. 1267 for the refund of industrial taxes overpaid. A 
separate report with recommendations will be made on this matter. 

Ad No, lSS8.—Th\B act was passed on April 27, 1906, and amended sections 68, 74, 
87, 88, 107, 109, 112, 116, 118, 121, 122, 126, 126, 143, 144, and 146 of Act No. 1189. The 
changes made were sucl\. as nine months* experience in the enforcement of the law 
had demonstrated to be necessary. Nearly all were of minor importance, a few being 
mere verbal changes and corrections of typographical errors in the original text of 
the law. A few cnanges were made in the license tax rates and in the definitions of 
. dealers, and two or three license taxes were added. Further exemptions from docu- 
mentary taxes were made, and provision was made for the enforcement of the pay- 
ment of the delinquent c^ula, idustrial and documentary stamp taxes for 1904 and 
years prior thereto. The only important amendments were those decreasing, on and 
after May 1, 1906, the tax on rectified manufactured liquors from 30 centavos to 20 
centavos per proof liter, and the extension ol time from July 1, 1906, to January 1, 
1906, when the tax on cigarettes weighing 2 kilograms or lees per M should be 
increased from 67 centavos to ^1 per M. The internal-revenue law original! v pro- 
vided that crude spirits containing more than 4 parts in 1,000 of amyl, aldehy^le, or 
methyl alcohol should not be sold for consumption as beverages until rectified and 
the noisonous substances removed. It was then believed that the output of prac- 
tically all of the primitive stills — called cauas — in the provinces contained an excess 
of these poisonous substances and would have to be rectified. The tax rate was 
originally fixed at 20 centavos per proof liter of crude spirits and 10 centavos per 
proof liter additional for the rectification of such spirits and their manufacture into 
liquors. The total tax rate between August 1, 1904, and April 30, 1906, paid by the 
Manila rectifiers was therefore 30 centavos per proof liter. Over two hundred sam- 
ples of crude spirits from the cauas in the provinces were sent by this office to the 
Dureau of government laboratories and, on analysis, proved to not contain an excess 
of the poisonous substances mentioned above. Their sale for use as beverages could 
not therefore be prohibited, notwithstanding the fact that in other respects these 
crude spirits, called vino de nipa, vino de coco, etc., w^ere inferior to the rectified 
and manufoctured liquors. These crude spirits only paid a total tax of 20 centavos 
per proof liter, whereas the better kind of liquor paid 30 centavos. In order that 
the rectified and manufactured liquors might not be discriminated against the tax 
rate was lowered to 20 centavos per proof liter. 

Ad No. LS70. — ^This act was passea on July 7, 1906, and amended section 139 of Act 
No. 1189 by striking out the wonls "for domestic consumption.*' These words were 
not necessary to convey the intention of the legislators and confused certain middlemen 



160 REPORT OF THE PHILIPPINE COMMISSION. 

and others who mistakenly claimed exemption from the tax on the value of the sales 
of domestic products made by them in these islands. 

In addition to the above acts other acts have been passed by the Philippine Com- 
mission which affected the provisions of Act No. 1189, but only in a temporary manner, 
such as the extension of time for the payment of certain c^ula taxes without sur- 
charge, distribution of certain revenues, etc. 

ORGANIZATION OF BUREAU — TKMPORARY SYSTEM. 

The organization of the office force and the selection of men properly qualified 
to fill the positions of internal-revenue agents in the field was b^un in the month 
of Julv, 1904. By August 1, 1904, several thousand copies of the internal-revenue 
law, English and Spanish text, had been sent to a)l provincial treasurers and their 
deputies, and to the presidentes of the various towns. Preliminary instructions in 
English and Spanish, in circular form, were also printed and furnished to all internal- 
revenue officers. These instructions contained all neceesaiy information regarding 
the taxpayers* records of operations and frequent transcripts therefrom, and internal- 
revenue officers were also instructed as to the manner of liquidation of accounts and 
assessment and collection of taxes in cash pending the preparation of the necessary 
record books, forms, and stamps required bv law. Tables for the reduction of spirits 
from gauge to proof liters were also printed and distributed; these tables show the 
equivalents in American proof liters of the readings of the Cartier and Gay Lussac 
alcoholmeters heretofore in use in these islands. During the months of August and 
September the designs for the internal-revenue and documentary stamps and the 
copy for the more urgent record books and forms were prepared and furnished the 
puolic printer. By the end of October most of the internal-revenue agents had been 
appointed, instructed in the provisions of the law and of the temporary regulations 
for its enforcement, drilled in their work by actual experience in the local manufac- 
tories, and detailed to their work of enforcing compliance with the law and regula- 
tions, on the part of internal-revenue collectors and taxpayers in Manila, and in the 
more important of the provinces. By December 31, 1904, the stamps, c^dulas, record 
books, and forms were ready, and the installation of the permanent system was made 
in Manila and in the nearby provinces on January 1 , 1905, and in the remaining 
provinces as soon as practicable thereafter. The temporary expedient adopted for 
the collection of the taxes on alcohol and tobacco products (the only taxes which 
accrued and were paid before January 1, 1905) merits little description, especially as 
it is now obsolete. But it served its purpose, over one million pesos being collected 
between August 1 and December 31, 1904. In order to not harass manufacturers of 
alcohol and tobacco products, they were directed to keep in any blank book that 
best suited their convenience a daily record of all liquors, cigars, etc., manuftu^red 
and sold for domestic consumption in black ink, and for export, in red ink. They 
were also directed to keep their record book and the transcript therefrom posted 
promptly up to date. The internal-revenue agents and other officers called at fre- 
quent and irregular intervals on all manufacturers, checked their stock on hand, 
balanced their record books, credited all cigars, etc., removed for export, assessed 
the taxes due and liquidated all accounts by entering on the record book and on the 
two copies of the transcript sheets the amount of taxes due since the previous liqui- 
dation. The manufacturer at once took these liquidation sheets to the nearest col- 
lecting officer, paid his taxes in cash, got one of the liquidation sheets back receipted 
and left the other copy with the collecting officer, who entered it in a book kept for 
the purpose and then forwarded it to this office for audit and file. A description of 
the procedure followed in the collection of taxes under the permanent system will 
be found near the end of this report. 

COLLECTIONS. 

The reported collections during the last eleven months of the fiscal year 1904-5 
were P'5,200,383.95: during July, 1905. P" 794, 620. 75— a total reported collection for 
the year of 1^5,995,004.70. Of this total, r3,557, 282.05, or 59.34 per cent, were paid 
in the city of Manila, and P'2,437,722.65, or 40.66 percent, were paid in the pi^vinces. 
By the provisions of Act No. 1189 these revenues will be apportioned as follows: Insu- 
lar, ^3,436,554.96; provincial, n, 128, 718.32; municipal, r 1,429, 731. 42. In Tables 1 
to 4 of Appendix W, to this report, the tax collections for the year will be found segre- 

§ated by months and articles, by taxes collected during the fiscal year 1904-5 and 
uring the month of July, 1905, by insular, provincial, and municipal revenues, and 
by schedules and percentages of collections under each schedule in Manila and in the 
provinces. The statistical charts in the frontispiece to this report show in a graphic 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 161 

manner the movement in the collection of the various taxes from month to month 
and the importance, relative, of certain tax collections in these islands and in other 
countries. The per annum ^r capita tax payments on alcohol and tobacco products 
consumed are as follows: Distilled spirits — tJnited States, P'3.20; Porto Rico, ^1; 
Philippine Islands, ^0.30; fermented liquors — United States, P'1.20; Porto Rico, 
^-0.20; Philippine Islands, P'0.02; tobacco products— United States, P'1.12; Porto 
Rico, f^O.80; Philippine Islands, r0.40; total— United States, f^5.52; Porto Rico, 
P'2; Philippine Islands, ^0.72. Not only is the per capita consumption of distilled 
spirits greater in the United States and Porto Rico than it is in these islands, but the rat© 
of tax imposed in those countries is from two to four times as high there as it is here. 
This will account for the very small per annum per capita tax collected in these 
islands on distilled spirits, as shown on the chart. The consumption of tobacco 
products in these islands, mostly cigarettes, is greater per capita than it is in the United 
States or in Porto Rico, but the tax rate on cigarettes in those two countries is three 
times as high as it is in these islands. Therefore, notwithstanding the greater per 
capita consumption of cigarettes in these islands, the per annum per capita tax pay- 
ments here on tobacco products are only one-half of yrhat they are in Porto Rico and 
only a little over one-third of what they are in the United States. The taxes on 
alcohol and tobacco products in these islands are the all important items in the 
scheme of taxation adopted. Even a small reduction of the existing very moderate 
tax rate, now in successful operation, would reduce the amount of the total revenues 
now being collected to the same or a greater extent than the entire elimination of 
several of the minor schedules would reduce such total collections. 

DISBUBSBMENTS. 

By Acts Nos. 1225 and 1361, Philippine Commission, there were appropriated for the 
use of this bureau during the fiscal year 1904-5, in the enforcement of Act No. 1189, 
the following sums: For salaries and wages, ^142,653.92; for contingent expenses, 
P'53,244.59; total, ^195,898.51. Of these amounts there were expended during the 
eleven months ended June 30, 1905, the following sums: For salaries and wages, 
^"132,749.46; for contingent expenses, ^-51,109. 45; total, P"183,858.91. These dis- 
bursements were made as follows: Office expenses of the collector of internal reve- 
nue, including salaries and wages, furniture and supplies, etc., P'87,133.26; field force, 
including salaries and wages to internal-revenue agents and gangers, traveling, and 
other contingent expenses, P'64,863.41; office of the city assessor and collector of 
Manila, including salaries and wages of office force and inspectors actually engaged 
in the collection of taxes under Act No. 1189, city transportation, etc., f^31,862.24; 
total, P"183,858.91. In section 4 of Act No. 1189 it is provided that— 

»«» » ♦ The expenses of maintaining the office ot the collector of internal rev- 
enue, including all subordinates and employees of that office, shall be an insular 
expense to be Dorne by the insular government. But all expenses incurred by pro- 
vincial treasurers, in pursuance of duties imposed upon them by this act, shall be 
borne by the several provincial treasuries." 

And in section 151 it is provided — 

**That the cost to the city of Manila of collections under this act, aside from the 
salary of the city assessor and collector, shall be reimbursed to the city of Manila 
from the insular treasury." 

Therefore, the total collections under Act No. 1189 for the eleven months ended 
June 30, 1905, being P'S, 200, 383. 95 and the total expenses during the same period being 
P'183,854.91, the cost of collection of these taxes to the insular government is 3i per 
cent. Data is not available in this office as to the total expense the provinces are at 
in the enforcement of the internal-revenue law. It is known, however, that the 
greater portion of the time the provincial treasurers and their deputies are engaged 
in the collection of the land taxes and the municipal taxes and in the discharge of 
their other duties. 

DISTILLED SPIRFTS. 

Tax rate, roUedion, output. — From August 1, 1904, to April 30, 1905, crude spirits were 
taxed in sections 74, 87, and 88 of Act No. 1189 at the rate of 10 centavos per proof 
liter if intended for industrial purposes, 20 centavos per proof liter if intended for 
consumption as beverages, and 30 centavos per proof liter if rectified and sold as 
manufactured liquor. These provisions of law were amended by Act No. 1 338, effective 
May 1, 1905, since which date crude and rectified spirits and manufactured liquors 
all pay at the same tax rate — 20 centavos per proof liter. During the eleven months 

WAR 1905— VOL 13 11 



162 



BEPOBT OP THE PHILIPPINE COMMISSION. 



ending June 30, 1905, taxes were collected on distilled spirits amounting to P743, 975.94; 
during July, 1905, P"lll,730.28; total for the year, r855, 706.22 This collection was 
made on an output of 3,838,061 proof liters for domestic consumption. Crude spirits 
were removed under bond for rectification in Manila, without the prepa3m[ient of the 
tax, as follows: From the province of Bulacan, 2,853,498 proof liters; from the prov- 
ince of Pampanga. 576,521 proof liters; total, 3,430,019 proof liters. Very nearly one- 
half of these crude spirits have been rectified, manufactured into liquors, sola, and 
the tax paid thereon, and are included in the 3,838,061 proof liters given above as 
removed for domestic consumption. No spirits of domestic production were exported. 
The output of tax-paid spirits in August, 1904, was 93,405 proof liters; in June, 1905, 
it was 574,788 proof liters. Using the June, 1905, output as a basis for calculation, 
the annual output of tax-paid spirits in round numbers would be 7,000,000 proof 
liters. Act No. 1189 taxes spirits below proof in proportion to their strength, and not at 
the same rate as proof spirits, as is done in the United States. The bulk of the 
liquors removed from the Manila distilleries gauges from 60 per cent to 70 per cent 
proof; in the provinces spirits seldom gauge more than 50 per cent proof. Two- 
thirds of the domestic spirits now being consumed in these islands come from the 
provincial distilleries. The 7,000,000 proof liters, given above as the present annual 
rate of output, reduced to the usual drinkable strength would mean somewhere 
between twelve and thirteen million gauge liters. The following table shows the 
output each month, August 1, 1904, to July 31, 1905, of proof liters of tax-paid spirits 
from the Manila rectifying plants and from the provincial distilleries: 



Output during — 



1904. 

August 

September 

October 

November 

December 

1905. 

January 

February 

March 

April 

May 

June 

July 



Manila. 



Proof lUeri. 
36,332.00 
47,697.76 
80,381.87 
69,592.33 
102,611.38 



106,863.66 
135,138.57 
166,428.27 
136.393.60 
247,067.70 
223,460.95 
185,770.00 



Provinces. 



Proof litert. 
57,072.95 
126,026.80 
124,163.70 
204,365.05 
218, 187. 56 



183,127.46 
69,744.70 
207,988.90 
164,634.70 
236,803.70 
351,826.60 
372,881.40 



Total. 



Proof iaer$. 
98,404.96 
178,724.56 
204,646.67 
273,967.38 
815,798.88 



289,491.11 
194,883.27 
374,417.17 
801,028.20 
483,371.40 
574,787.56 
668,661.40 



The Manila market was largely overstocked with manufactured liquors removed 
from the local rectifying plante before August 1, 1904, to escape the tax. The most 
noticeable feature abfout the above table is the almost constant increase in the output 
of spirits and manufactured liquors from the Manila rectifying plants, from month to 
month, from August, 1904, to May, 1905, during which month the Manila rectifiers 
sold a little more than half of the total liquors consumed in these islands. But 
between May and July, 1905, the output from the Manila rectifying plants shows 
a decrease, while the output from the provincial distilleries continues to increase 
from month to month. Since May 1, 1905, the tax on the rectified and manufactured 
liquors distilled in Manila has been at the same rate as it is on the crude spirits 
distilled in the provinces — 20 centavos per proof liter. The reduction in the Manila 
output can not, therefore, be caused by the tax. 

Eiarly in June, 1905, several of the Manila rectifiers began an agitation, having for 
its object a reduction in the tax rate on spirits, and the local wholesale liquor dealers 
reduced the volume of their orders pending the outcome of the agitation. It is 
believe<l that this is the true reason for the reduction in the output from the Manila 
rectifying plants. As near as this office can estimate from the roistered capacity, 
under the **indufltria" tax regulations, of the various stills in these islands, and from 
other data considered reliable, the total output of all the ptills during an average 
year, liefore the internal-revenue law was enacted, was something less than 10,000,000 
proof liters. The tax is now being paid, at the present rate of collection, on an 
annual output of 7,000,000 proof liters, equal to 70 per cent of the normal output 
before the tax was imposed. It is believed that within a few months after the matter 
of the tax rate, now pending, is finally fixed, subject to no further change, the out- 
put of proof liters of spirits in these islands will reach the 10,000,000 mark, and that 
this will happen whether the existing tax rate is lowered, left as it is, or even increased 
in a moderate degree. 



BEPORT OF THE COLLECTOR OF INTERNAL REVENUE. 163 

Distribution of distilleries and methods pursued. — On August 1, 1904, t;here were in 
operation in Manila 6 distilleries, and in the provinces, as near as could be learned 
from the reports of the provincial treasurers, there were 43 more distilleries, of which 
about 10 or 12 were not in operation. There were also in operation at that time 441 
cauas, a species of primitive still. The distilleries were located in Bulacdn, Cdpiz, 
Cebu, I locos Sur, Pampanga, Pangasindn, Tarlac, and Manila. The cauas were 
locatM in Albay, Ambos Camarines, Batadn, Cagayan, Cdpiz, Ilocos Sur, La Laguna, 
La Union, Moro, Pangasinan, Palawan, Sdmar, Surigao, Tayabas, and Zambales. 

Distillation from grain of any sort is almost unknown in these islands. Rice is 
used to a limited extent by Chinese distillers in the province of Tarlac. In the 
province of Ilocos Sur sugar is used almost entirely, and a good quality of rum is pro- 
duced. In the provinceo! Tarlac su^r mixed with boiled rice is used. In the provmce 
of Pampanga four of the eight distillers use sugar or molasses as raw material. In 
the province of Bulacan molasses is used to a limited extent during the two or three 
months each year when the tuba from the nipa palm is out of season. In the prov- 
ince of Bataan and in some of the southern islands sugar, molasses, or cane juice hari 
to a limited extent been used. In Manila, before the passage of the internal-revenue 
law, nearly one-half of the spirits produced were distilled from sugar. Toward the 
end of 1904 the price of sugar went up and the price of tuba from the nipa palm came 
down, and since that time there has been little original distillation from sugar in 
Manila, all of the rectifiers buying crude spirits from the provincial distillers in 
Bulaciln and Pampanga. To-day over 90 per cent of the spirits produced in these 
islands are distilled from the tuba, or sap, of the nipa palm and cocoanut palm. The 
provinces of Albay, Ambos Camarines, and I^ L^una produce most of the spirits 
from the sap of the cocoanut palm. There are 130 cauas in these three provinces, 
but their individual capacity is small. They run by fits and starts, supplying only the 
local need^ and the a^^gate annual output of *' vino de coco," as tnese spirits are 
called, will not exceed half a million proof liters per annum. The nipa palm provinces, 
in the order of their importance, are as follows: Bulacdn, Pangasindn, Pampanga, 
Cagaydn, C^piz, Surigao, Sdmar. Distillation from the sap of the nipa palm to a 
limited extent is also carried on in a few other provinces. The nipa palm regions — 
called **nipales** — are limited to a narrow strip of swamp land along thecoast where 
conditions of soil, etc., are also favorable. The nipa palm is most productive when 
standing in brackish water. The spirit distilled from this sap is called "vino de 
nipa." It has a weedy taste much prized by the natives, and they will not willingly 
abandon its use even for the superior rectified and manufacturea anisado, ^nebra, 
etc., produced in Manila. There are over 300 cauas in the provinces producing this 
** vino de nipa," almost entirely for local consumption. Pangasindn has 111 of these 
cauas, and besides supplying the local demands a considerable quantity of spirits 
is sent to the neighboring province of La Uni6n. 

In the provinces of Bulacdn, Pampanga, and Tarlac there are no cauas. The 
distilleries in these provinces are mostly of the direct-heat antiquated type, and the 
bulk of the spirits is shipped to Manila for rectification. Two new distilleries have 
been installed in these provinces since the internal-revenue law was enacted and 2 
others that had not worked for some time before August 1, 1904, are now in opera- 
tion. In Manila 2 new rectifying plants are also in operation, making a total of 8 in 
this city as against a total of 6 on August 1, 1904. Crude spirits are sent from Bula- 
can and Pampanga to Manila in wooden packages; there has in the past been much 
loss by leakage and evaporation, due to faulty barrels and to inadequate storage 
facilities in the distilleries in those two provinces. Within the last three months this 
oflBce has required these distillers to erect substantial storace tanks and to discard all 
faulty barrels used for the shipment of spirits. All of these barrels, some 2,000, 
have been carefully measured by agents from this office, and the capacity of each 
barrel has been permanently branded thereon. As a result of these precautions a 
certain portion of the spirits which formerly were wasted is now saved to the dis- 
tillers and the tax on what is shipped is more completely collected. It is believed 
that the regulations for the control of the operations of distillers, as provided in Act No. 
1189, are suflficient to prevent any large amount of fraud. Commercial customs and 
the methods of manufacture obtaining in these islands are radically different from 
the customs and methods in vogue in Europe and America. To apply en bloc the 
United States system of internal-revenue tax collections to these islands would put 
every distillery permanently out of business. The rectifyini^ plants in Manila are 
owned or controlled as follows: Three by Spaniards, 2 by Filipinos, 2 by Chinamen, 
1 by Americans. In Bulacan 6 distilleries are owned by Filipinos and 6 by Chinamen. 
In Pampanga 2 distilleries are owned by Spaniards, 2 by Filipinos, and 5 by China- 
men. In Tarlac all of the distilleries are owned by Chinamen. With a very few 
exceptions all of the remaining distilleries in the provinces, mostly cauas, are owned 
by Filipinos. 



164 REPORT OF THE PHILIPPINE COMMISSION. 

In Appendixes B to K and in Tables 1, 2, and 4 of Appendix W to this report, will 
be found further data regarding the nipa and coooanut palm, etc., the history of the 
distilling industry in these Islands, the present methods of distillinjj ** vino de nipa," 
"vino de coco,** etc., the production or '*basi** by the fermentation of su^r-cane 
juice, the use of rice, sugar, etc., in distillation, the rectification of crude spirits and 
manufacture of liquors, methods of transportation, itemized statements of tax 
collections, etc. 

FERMENTED LIQUORS. 

Beer. — Although imitation wines of all kinds, mcluding champagne, are made in 
these islands, using spirits distilled from the sap of the nipa palm as a base, there is 
only one manufactory where a legitimate fermented liquor is produced. This is the 
brewery located in Manila and which controls the beer trade in these islands. Most of 
the raw materials used in this brewery for the production of beer are imported from the 
United States and Europe. The tax imposed m section 91 of the internal-revenue law 
on beer of all kinds is at the rate of 4 centavos per liter. During the eleven months 
ended June 30, 1905, there were collected as tax on beer removed for domestic con- 
sumption n 18, 286. 44; during July, 1905, P'14,009.60; total for the year, n32,296.04. 
This represents an output of 3.307,400 liters of beer. The output from this brewery 
during an average year, preceding the imposition of the tax, was 3,450,000 liters; this 
estimate is based on the actual known output of beer during the seven months 
immediately preceding August 1, 1904, when the tax became effective. There has 
therefore been practically no diminution in the amount of beer consumed in these 
islands because of a tax which^ compared with the tax rate on beer in the United 
States, seems high. No domestic beer is exported from these islands. Japanese and 
German beers are imported in small quantities, but are sold at such prices as to offer 
no serious competition with the domestic product. For the present the customs 
duties on foreign beers are ample to protect the home industry. 

TOBACCO PRODUCTS. 

Leaf tobacco. — No tax is imposed in the internal-revenue law on the manufacture 
of cigars, cigarettes, or smoking or chewing tobacco by the consumer for his 'own 
use. With the exception of the one-third of 1 per cent imposed in section 139 on 
the value of sales made by merchants, traffic in leaf tobacco is free in these islands. 
Wholesale dealers in leaf tobacco, however, are required by this office to keep a 
record of all sales made to manufacturers of cigars, cigarettes, and smoking or chewing 
tobacco. In the provinces of Cagayan and Isabela is produced the only tobacco fit 
for use in the manufacture of the better quality of cigars and cigarettes. In the 
provinces of La Uni6n, Ilocos Norte and Sur, Batangas, in two or three of the Visayan 
group of islands and in Mindanao, tobacco leaf is produced to a limited extent, but it 
has the reputation of bein^ of an inferior quality. Except for limited local con- 
sumption by the persons raising it or for the purposes of blending it with the better 
leaf there is no demand for the tobacco raised outside of the provinces of Cagayan and 
Isabela. The Spanish Government had a monopoly, which lasted one hundred 
years, in the manufacture of all leaf tobacco produced in these islands. The Govern- 
ment supervision over the planting, curing, and sorting of the leaf was absolute and 
the quality of the tobacco was improved and the quantity increased by such super- 
vision. In 1882 the Government monopoly was abolished and the planting and 
manufacture of tobacco became free for all. Since then the quality of the leaf pro- 
duced in Cagayan and Isabela has constantly deteriorated from season to season. 
No sufficient preparation of the soil, no care in the selection of the seed, of the 
method of planting, or of the growing leaf, crude methods in curing the leaf, and dis- 
honest practices of middlemen in sorting it for sale have all contributed to discredit the 
former fair fame of Philippine tobacco, both abroad and at home. A constantly 
increasing number of smokers in these islands are discarding the domestic cigar and 
cigarette and are smoking cigars imported from Sumatra and elsewhere, imported 
Chinese smoking tobacco, and even cigarette and pipe tobacco from the United 
States. On May 18, 1905, some of the leading cigar and cigarette manufacturers of 
Manila entered into an agreement having for its object an increase in the production 
and improvement in the quality of the tobacco leaf in Cagaydn and Isabela, as well 
as to secure, if possible, more uniformity in the Sorting of the leaf by middlemen. 
Little effective work, however, has as yet been done along these lines. Meanwhile 
the quality of the leaf continues to deteriorate and the local manufacturers find it an 
increasingly difficult task to supply demands for domestic consumption. The 
largest wholesale and retail dealer m Manila of cigars and cigarettes, who is also the 



BEPOBT OP THE COLLECTOR OF INTERNAL REVENUE. 165 

authorized distributer for all of the leading cigar and cigarette manufactories, has 
just issued a pamphlet to the trade entitled "The Cigar Question." From this 
pamphlet the following? is quoted: 

**The demand for Philippine cigars and cigarettes has during the past two years 
exceeded the output, causing long and vexatious delays in filling orders.'' 

Several of the larger cigar and cigarette manufactories are now running at full 
capacity an extraordinary number of hours each day, and when good lefi is not 
available they use the vest they can get, which is, in many cases, poor enough. 
Under the caption "Cigars," below, are given the figures on cigars manufactured and 
removed for domestic consumption, tax paid, and for export, exempt from tax, dur- 
ing the year ended July 31, 1905. What the Manila cigar manufacturers will do with 
the United States market, assuming that they ^et it, is now the puzzle. Even though 
immediate and effective measures were provided to increase the amount of good 
quality leaf such as would be required to make cigars suited to the American taste, 
it would be several years before such measures would produce results and properly 
seasoned leaf would be available. 

In Appendixes L to T and in Tables 1, 2, and 4 of Appendix W to this report will 
be found further data reganjing the present status of the production of leaf tobacco, 
of the methods employed in the manufacture of cigars, cigarettes, and smoking 
tobacco, itemized statement of tax collections, etc. 

Manufactured tobaccoy smoking and chewing. — Section 101 of Act No. 1189 imposes a tax 
of 48 centavos on each kilogram of smoking or chewing tobacco of all kinds manu- 
factured in the Philippine Islands for domestic sale or consumption. During the 
eleven months ended June 30, 1905, taxes were collected on smokine and chewing 
tobacco amounting to 1^84,439.55; during July, 1905, ^8,435.64; total for the year, 
1^92,875.19. This represents a total output consumed in the Philippine Islands of 
193,490 kilograms. In addition, there was manufactured and exported during the 
year from these islands smoking tobacco (chopped tobacco, callcNd "picadura") as 
follows: 

Kilograms. 

To Spain 7,949 

To Straits Settlements 2,814 

To England 2,320 

To China 1,968 

To Japan 3 

Total 15,044 

Exported manufactured tobacco is not subject to the internal-revenue tax imposed 
in section 101 Added to the tax-paid tobacco this gives a total annual output from 
the fcEictories in these islands for domestic consumption and for export of 208,534 
kilpgrams of smoking and chewing tobacco. Considerable quantities of leaf tobacco 
are cut in one manufactory to be taken to another for conversion into cigarettes. As 
the tax on this tobacco is subsequently collected oh the cigarettes no account is taken 
in the figures given above of the tobacco so handled. Of the tax collected on manu- 
factured tobacco 84 per cent is paid in Manila and 16 per cent in the provinces. 
There is no snuff manufactured m the Philippine Islands. The chewing tobacco is 
used by the lower class of natives; they chew it mixed with betel nut. 

Cigars. — Section 107 of Act No. 1189 imposes a tax of P'2 on each 1,000 cigars worth 20 
pesos or less per thousand, ^4 when worth over 20 and not over 50 pesos, and 1^6 
when worth over 50 pesos. The tax is assessed on the manufacturer's wholesale 
price on cigars removed for domestic sale or consumption. During the eleven months 
ended June 30, 1905, taxes were collected on cigars amounting to P'145,996.81; dur- 
mg July, 1905, n4,740.53; total for the year, n60, 737.34. Of this total 90.5 per 
cent was paid in Manila and 9.5 per cent m the provinces. This represents an out- 
put of cigars consumed in the Philippine Islands, by classes, as follows: Worth T'20 
or less per M, 60,276,450; worth over ^20 but not over 1^50 per M, 8,036,890; worth 
over TbO per M, 1,339,480; total, 69,652,820 cigars. In addition there were manu- 
factured and exported during the year from these islands cigars, by classes, as follows: 



166 REPORT OP THE PHILIPPINE COMMISSION. 

Exportation of cigars^ August i, 1904y to July Sl^ 1906. 



Worth per M. 



To- 



rpor less. 



China 39,770, 

Straits Settlements 3, 971 , 

Australia ! 3,4«7 

England 3,227 



418 



Spain . 
India . 
France. 



South America. 

Germany 

Japan 

Indo-China 

Java . 



South Africa. 
Italy. 



United States 

Hawaiian Island.H. 

New Zealand 

Canada 

Switzerland 

Holland 

pt. 



406 
912 

2,350,500 
370 

1,838,600 
007 
410 
857 



Belgium 

Scotland 

Korea 

Persia 

Consumed on high seas. 



631, 

349, 

194, 

72, 

344, 

182, 

61, 

W, 

64. 

28, 

24, 

34, 

53. 

8, 

15, 

7, 

7, 

6. 

216, 



494 
iZl 
030 
371 
000 
719 
077 
750 
000 
200 
000 
000 
799 
000 
178 I 



Over ^20, 
but less 
than rSO. 



9,301,097 

3,816,518 

2,381,118 

1,941,349 

648,900 

661,361 

36,000 

115.474 

351,631 

362,207 

423, OM 

122,416 

207,316 

221,524 

71.561 

77,000 

58,851 

91,146 

40,300 

2,000 

33,000 

10,500 

5,700 

6,408 I 



Over rao. 



664.145 

69,343 

191,284 

89,322 

230,770 

170,883 

600 

5,656 

45,966 

27,663 

7.817 

9,257 

65,738 

1,016 

41,761 

3,500 

44,146 

930 

7,126 



Total. 



1.850 



7.000 
2,089 



600,:i84 , 



146,220 



Total 57.937,334 j 21,486,815 i 1,833,981 



49,736,660 

7,857.821 

6,059,808 

5,258,583 

3,230,170 

1,779.614 

1,875.000 

762. 137 

747.007 

684.727 

502.910 

476. 167 

455,391 

273,570 

167,693 

144.500 

131,716 

116,153 

82, 176 

65,000 

43,060 

25,500 

19,700 

16,296 

5,000 

862.782 



81.258,130 



China is the best customer, taking about 60 per cent of all of the ciears exported 
from these islands. But much the larger portion of the cigars exiK)rtea to China are 
of the very inferior grades; they are really large cigarettes wrapped, paper and all, 
in a strip of leaf tobacco, and are classed as *' cigars" through courtesy and for the 
lack of a better name. 

The total output of cigars from all of the manufactories in these islands during the 
year ended July 31, 19(fe, was as follows: F'or domestic consumption, 69,652,820; for 
export, 81,258,130; total, 150,910,950. The normal annual consumption of cigars in 
the United Stiites is 7,000,000,000. If it were possible to divert every cigar made in 
these islands to the United States the home producers in that country would still 
have to supply about 98 p^r cent of the cigars consumed there. Inasmuch as the 
bulk of the cigars produced in these islands could not l>e sold in the American 
market at any price, it is believe<l, even though the Philippine cigar was admitted 
customs duty free into the United States, that the cigar manufacturers in that country 
would, for a long time to come, retain considerably over 99 per cent of their present 
trade. 

Oigarettes. — Section 107 of Act No. 1189 imposes a tax of 67 centavos on each 1,000 
cigarettes weighing 2 kilograms or less per tnousand, and a tax of 1*2 on each 1,000 
cigarettes weighing more than 2 kilograms per thousand. During the eleven months 
ended June 80, 1905, taxes were collected on cigarettes amounting to 1*1,812,141.05; 
during July, 1905, F183,990.52; total for the year, n,996,131.57. Of this total 96.2 
per cent was paid in Manila and 3.8 per cent in the provinces. This represents an 
output of cigarettes consumed in tne Philippine Islands, by classes, as follows: 
Weighing 2 kilograms or less per thousand, 2,956,956,090; weighing more than 2 
kilograms per thousand, 7,485,500; total, 2,964,441,590 cigarettes. In addition there 
were manufactured and exported during the year from these islands cigarettes, by 
classes, as follows: 



BEPOBT OF THE COLLECTOR OP INTERNAL REVENUE. 



167 



Exportation of cigarettes, August 1, 1904, to July SI, 1905, 





Weighing per M. 




To- 


2 kilograms 
or less. 


More than 
2 kilo- 
grams. 


Total. 


C^\\n^ , , . - , , , , 


8,525,855 

1,229.325 

1,040,000 

721,190 

697,050 

648,690 

497,120 

250,280 

185,316 

156,700 

107,720 

27,785 

14,765 

234,941 


398,800 
2,000 


8,924,665 
1,231,325 


Spain 


Fntnce 


1,040,000 
821.430 


Switzerland 


100,240 
144 
18,300 
14,700 
18,248 
6,600 
3,000 
6,096 


£!ngland 


697,194 


Straits Settlements 


666,990 
511,820 


India 


Australia 


263,628 


America 


191,916 


Qiiam , , , 


159,700 
118, 816 


Japan 


Java 


27,785 


Canada 




14,766 


Consumed on high seas 


10,400 


245,841 






Total 


14,386.787 


573,528 


14,910,265 





The total output of cigarettes from all of the manufactories in these islands during 
the year ended July 31, 1905, was as follows: For domestic consumption, 2,964,441,590; 
for export, 14,910,265; total, 2,979,351,855 cigarettes. The Manila and provincial 
markets were largely overstocked with cigarettes removed from the manufactories 
prior to August 1, 1904, to escape the tax which accrued on that date. As a result 
the ciearette market was quite dull during the last five months of 1904; but beginning 
with the month of January, 1905, and continuing up to the date of making this report 
the volume of ci^rettes removed from the manufactories, taken as a whole, has 
attained normal dimensions. The tax rate imposed on cigarettes in these islands is 
but one-third of the rate imposed in Porto Rico and less than one-third of the rate 
imposed in the United States. As a revenue producer the tax on cigarettes leads all 
others. Cigarettes weighing more than 2 kilograms per thousand and paying at the 
P'2 rate constitute but a very small percentage of the total cigarettes consumed. As 
the internal-revenue law now stands cigarettes now subject to the 67-centavo rate 
per thousand will, on and after January 1, 1906, be subject to tax at the rate of P'l 
per thousand. Even at this increased rate the tax rate in these islands will onljr be 
one-half of what it is in Porto Rico and less than one-half of what it is in the United 
States, and consumers in these islands will continue to ^et two or three times as 
many tax-paid cigarettes for their money as they can ^t in the United States or in 
Porto Rico. It is recommended that the existing provisions of Act No. 1189 taxing 
cigarettes remain unalterated. 

Distribution of cigar and cigarette manufactories, — The cigar and cigarette manufac- 
tories in the provinces are few in number and relatively of little importance. The 
Manila manufactories cx)ntrol almost in its entirety the provincial trade. The poorer 
classes roll their own cigars or buy or raise their own leaf tobacco, chop it, and roll 
all of the cigarettes they consume. They did this before the internal-revenue tax 
was imposed and thus saved an amount equal to the manufacturers' profit. They 
still continue to do this and save an addditional amount equal to tne tax on the 
manufoctured tobacco, cigars, or cigarettes they consume. In Manila there are 58 
manufactories where cigars are made and 50 manufactories where cigarettes are 
made. The cigars are made exclusively by hand; one of the larger manufacturers 
imported sometime since two ci^r machines of European make for experimental 
purposes, but the tests were unsatisfactory and the machines were discarded. Most 
of the cisarettes are machine made, all but seven of the manufactories havine their 
own machines. In some of the larger manufactories special brands of handmade 
eiffarettes are turned out. The usual number of cigarettes to a box is 30, but a con- 
siderable number are put up in packages of 24 and even less. The girls in the manu- 
factories are quite expert, and will unerringly and almost automatically lift from a pile 
of cigjarettes the exact number needed to fill the boxes they are packing. Twenty-four 
Filipinos, 19 Chinamen, 14 Europeans, and 1 American negro are engaged m the 
manufacture of cigars, and 25 Chinamen, 14 Filipinos, and 11 Europeans are engaged 
in the manufacture of cigarettes. 



168 BEPOBT OF THE PHILIPPINE COMMISSION. 

• MATCHES. 

Section 108 of Act No. 1189 imposes a tax of 40 centavos on each gross of boxes, not 
exceeding 120 sticks to the box, of matches of all kinds manufactured in the Philipe 
pine Islands or imported from other countries for domestic sale or consumption. Th- 
tax on the imported matches is collected at the various ports of entry by the collector 
of customs under rules and regulations prescribed by the collector of internal revenue. 
An additional proportional tax is imposed on each gross of boxes containing more 
than 120 sticks to the box, but the number of boxes containing more than 1^ sticks 
to the box manufactured in or imported into these islands is a fairly negligible quan- 
tity. During the eleven months ended June 30, 1906, taxes were collected on 
domestic and imported matches amounting to ^153,6iS9.39; during July, 1905, 
P'21,384; total for the year, P'175,053.39. Tnis represents an annual consumption 
in these islands of 437,633 gross of boxes of matches. There is but one match manu- 
factory in these islands, established in a suburb of Manila in 1902, up to which time 
the importeci Japanese match had a monopoly of the Philippine traae. This manu- 
factory turns out machine-made matches exclusively, American pattern machines 
being used. The imported Japanese matches are handmade. Botn are of the kind 
known as "safety matches.*' Of the total given above of 437,633 gross of boxes of 
matches consumed in these islands during the year ended July 31, 1905, 272,403 
gross, or 62 per cent, were manufactured m these islands; 141,530 gross, or 33 per 
cent, were iniported through the port of Manila, and 23,700 gross, or 5 per cent, w ere 
imported through the remaining ports in these islands. The local match factory up 
to a few months since had imported all of the raw material used and the work of 
manufacture had consisted mamly in putting the partially manufactured products 
tojgether. But it has lately succeeded in adapting native timber to use for its match 
sticks, and has thus given employment to an additional number of workmen in these 
islands. Additional information regarding this manufactory will be found in Appen- 
dix U to this report. The normal annual output of matches from this manufactory in 
the years prior to August 1, 1904, was 250,000 gross of boxes of matches. During the 
first year's operation of the internal-revenue law it had an output of 272,403 gross of 
boxes of tax-paid matches, or a gain of 9 per cent. It is believed that the existing 
internal-revenue tax on imported matches, together with the customs duty, are ample 
to protect the domestic industry from serious competition from Japan or elsewhere. 



DecUera in alcohol and tobacco products. — In section 68 of Act No. 1189 are imposed 
license taxes effective January 1, 1905, on dealers in and manufacturers of alcohol 
and tobacco products. These license tax rates range from TS per annum for retail 
dealers in manufactured tobacco, cigars, and cigarettes to ^200 per annum for whole- 
sale dealers in liquors. These license taxes are payable, at the option of the taxpayer, 
annually or quarterly in advance. With very few exceptions the taxpayers elect to 
pay quarterly. During the six months ended June 30, 1905, there was collected from 
manufacturers of and dealers in alcohol and tobacco products, as license taxes, the 
sum of ^-148, 787.45; during July, 1905, ^62,529.33, a total for the seven months of 
^211,316.78. Of this total 25.7 per cent was collected in Manila, and 74.3 per cent 
was collected in the provinces. These license tax rates are very low and could be 
increased without imposing any excessive burden on merchants. Few if any dealers 
in alcohol and tobacco products have ceased operations because of the internal-revenue 
tax. A close check is kept by internal-revenue agents on the amount of spirits, cigars, 
cigarettes, etc., received by these dealers and of their daily sales. All of this data is 
entered in a register book kept by the merchant and subject to inspection. In 
Appendix V, and in Tables 1 and 4 of Appendix W, will be found itemized state- 
ments of the taxes collected under each paragraph of section 68, and a statement 
as to the manner of the enforcement of the law among this class of taxpayers. 
Plates XXVIII and XXIX of Appendix Z show the form of licenses issued to 
these dealers and the manner of the payment of the tax by them.« 

Merchants f manufacturers^ and common carriers. — In section 139 of Act No. 1189 a tax 
effective January 1, 1905, at the rate of one-third of 1 per cent of the value of all 
commodities sold by merchants or manufacturers in these islands is imposed. In 
section 143 is imposed a tax of 1 per cent on the amount of the gross receipts from 
the business of common carriers. In section 142 is contained a list of commercial 
enterprises and persons exempt from the payment of this tax on sales. Common 
carriers doing less than ^^2,000 worth of business per annum are exempt from the 



a These plates are on file in the Bureau of Insular Affairs, War Department. 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 169 

tax imposed in section 143, and all ships subject to tonnage tstx under Acts Nos. 230 
and 355 are also exempt. 

These exemptions include nearly all of the common carriers in these islands, and 
the amount of tax collected from such concerns is very small. During the six months 
ended June 30, 1905, there was collected from merchants, manufacturers and com- 
mon carriers the sum of P'285,146.12; durine July, 1905, P"228,875.75; a total for the 
seven months of ^514,021.87. Of this total 67.5 per cent was collected in Manila, 
and 32.5 per cent was collected in the provinces. These taxes are also collected by 
the use of license forms, but being on a percentage basis of the amount of business 
done, it is impracticable to estimate the amount of taxes due in advance. Therefore, 
the payment of these taxes is required at the end of the quarter. The taxes due on 
sales throughout these islands for the second quarter of 1905 were largely paid dur- 
ing the month of July, 1905. The total given above of ^'514,021.87^ therefore repre- 
sents something less than the taxes for two full quarters. Capitalizing this tax, the 
business done in these islands by all kinds of merchants and manufacturers, whole- 
sale and retail dealers, would seem to be at the rate of something over three hundred 
million pesos per annum. This does not include the value of alcohbl and tobacco 
products, which are taxed at the specific rates enumerated in the preceding captions 
of this report, nor does it include the sales made by merchants whose totol annual 
sales do not exceed five hundred pesos, nor does it include the value of domestic 
products sold by agriculturists nor those exported from these islands to other coun- 
tries. The tax rate on sales is very low, being one peso for each three hundred pesos 
worth of business done; it is therefore not felt by the larger merchants, and as the 
very small merchant is entirely exempt, this method of taxing industrial concerns 
has been generallv accepted as an equitable and satisfactory system. 

Occupations and jyrofessUms. — In section 144 of Act No. 1189 are imposed occupation 
license taxes effective January 1, 1905, on a limited number of pursuits, mostly pro- 
fessional, which could not be classed as commercial undertakings and taxed at the 
percent*^ rate, but which, nevertheless, were proper subjects for a general scheme 
of industrial taxation. These occupation licenses are fixed at specific rates, ran^ng 
from ten pesos per annum for undergraduates in medicine, practicing their profession, 
to two hundred pesos per annum on pawnbrokers. These license taxes are made 
payable, at the option of the taxpayer, annually or quarterly in advance, and they 
are mostly paid quarterly, although many lawyers, physicians, and other professional 
men, especially in Manila, have elected to pay annually in advance. During the six 
months ended June 30, 1905, there was collected on the various occupation licenses 
the sum of f^80,810.04; during July, 1905, P'29,895.41; a total for the seven months 
of P'llO, 705.45. Of this total 26.9 per cent was collected in Manila, and 73.1 per 
cent in the provinces. 

CEDULAB PER80NALE8. 

In section 121, Act No. 1189, poll or registration taxes are imposed on all male resi- 
dents in these islands (with certain exemotions enumerated m section 120) over 18 
and under 60 years of age. Between the first Monday in January and the last Satur- 
day in April of each year the tax payment is 1 peso; on the latter date the deiin- 
3 uency period begins, and cedulas purchased between that date and the first Mon- 
ay in January of the year following cost 2 pesos. Persons arriving in these islands 
after the last Saturday m April of any year are allowed to purchase a 1-peso cedula. 
During the six months ended June 30, 1905, there were collected as cedula taxes in 
these islands P'1,292,532; during July, 1905, f^48,490; total for the seven months, 
^1,341,022. Segr^fated by classes of cedulas it is found that during the seven 
months there were sold 1,237,671 1-peso cedulas; 50,835 2-pesos cedulas; 1,681 l-peeo 
cedulas issued to persons arriving in these islands subsequent to the last Saturday in 
April, 1905; total cedulas sold during the year 1,290,187. It is estimated that if all 
persons liable to the cedula tax had purchased their cedulas 1,400,000 would have 
been sold. On this basis there were sold during the first seven months of 1905 92 
per cent of the cedulas due by all taxable persons in these islands, leaving 109,813 
2-pe80 cedulas to be sold between August 1 and December 31, 1905. Sports of 
cedula collections continue to come in, and at the present rate it is beheved there 
will be very few uncollected cedulas at the end of this year. Of the total cedulas 
sold 5.2 per cent were purchased in Manila and 94.8 per cent were purchased in the 
provinces. These cedulas also serve the purpose of a domestic passport, and for those 
persons exempt undeifthe specific provisions of section 120 a ** certificate of exemp- 
tion" form has been provided, for which no charge is made. In section 122, Act No. 
1189, is provided the method for the collection of delinquent cedulas when persons 
BO delinquent are required to pay and refuse to do so. The collecting officers are 
authorized to seize and sell personal property of the persons delinquent in their 



170 REPORT OF THE PHILIPPINE COMMISSION. 

cedula tax, or, in their discretion, to have such delinquents arrested, and on con- 
viction to require them to labor for the term of ten days upon provincial or muni- 
cipal public works. Up to July 31, 1906, only 357 persons had been arrested, 
imprisoned and made to work out their delinquency. In Tables 1 and 4, Appen- 
dix W, will be found segregated statements of cedula tax collections for the various 
months under the various classes. 

OLD SPANISH MINING CLAIMS. 

In section 134, of Act No. 1189, are imposed annual license taxes, effective January 1, 
1905, of ^100 per area of 60,000 square meters on each valid perfected mining con- 
cession granted prior to April 11, 1899; and an additional proportional tax on any 
excess of such area in each claim. A percentage tax of 3 per cent per annum on the 
actual market value of the ctoss output from such mines is also imposed. It was not 
expected that this tax would yield an appreciable revenue. There were roistered 
at the time the internal-revenue law was enacted 152 mining claims in these islands 
subject to these taxes. These claims represented 660 pertenencias of 60,000 square 
meters each, and if the license taxes were paid on all there would be collected a total 
sum during the year of P'66,000. Few of these claims, however, are being worked 
or have been worked since the American occupation, and it is believed that nearly 
all of these concessions will be allowed to lapse. During the six months ended June 
30, 1905, there was collected on these old mining claims the sum of P'3,400; during 
July, 1905, P"830.99; total for the seven months, r"4,230.99. The mines which have 
paid license taxes are 3 iron mines, located in the province of Bulacan, 2 coal mines 
located in the province of Albay, 6 gold mines located in the province of Ambos Cam- 
arines, 3 ^old mines in the province of Benguet, and 2 gold mines in the province of 
Nueva Ecija. The only mines that have solar paid the percentage tax on output are 
the iron mines in the province of Bulaodn. 

BANKS AND BANKERS. 

In section 111 of Act No. 1189 taxes are imposed monthly on banks as follows: One- 
eighteenth of 1 per cent upon the average amount of deposits, one twenty-fourth of 
1 per cent upon the capital employed, and one-twelfth of 1 per cent upon the average 
amount of circulation. An additional tax of 1 per cent is imposed on such portion 
of the circulation of banks as may be issued beyond the amount of paid-in capital. 
The tax on banks and bankers became effective on August 1, 1904, and is payable 
in semiannual installments on the Ist day of February and the Ist day of August of 
each year. During the eleven months ended June 30, 1905, there was collected from 
the 18 banks doing business in these islands the sum of ^50,537.63; during July, 1905, 
r55,816.24; total for the year, P-106,353.87. Of this total tax 96.4 per cent was col- 
lected in Manila and 3.6 per cent was collected in the provinces. The tax was assessed 
as follows: F12, 407.54 on deposits; P'79,0 13. 23 on capital emploved; F14,933.10on 
circulation. Twelve of the banks are located in Manila, 3 in Iloflo, 2 in CebU| and 1 
in Pangasinan. 

INSURANCE COMPANIES. 

In section 126 of Act No. 1189 is imposed a tax of 1 per cent on the total premiums or 
other considerations received by insurance companies or agencies thereof in these 
islands. This tax accrues on all kinds of insurance, and is paid annually on the 1st 
day of April in each year for the preceding calendar year. This tax became effective 
August 1, 1904. During the eleven months ended June 30, 1905, there was collected 
on 118 insurance companies and their agencies doing business in these islands the 
sum of P-7,578.45; during July, 1905, f^74.68; a total for the year of P'7,653.13. Of 
this total 97.6 percent was paid in Manila and 2.4 per cent was paid in the provinces. 
One hundred and three of these insurance agencies are located in Manila, 6 in Iloflo, 
and 9 in Cebu. 

FOREST PRODUCTS. 

In section 132, Act No. 1189, are imposed specific taxes on each cubic meter of timber 
cut by concessionaires in any public forest or forest reserve in the Philippine Islands 
for domestic sale and consumption or for export. On minor forest products, such as 
gums and resins a 10 per cent ad valorem tax is imposed. The various kinds of tim- 
ber are classified in four groups and the tax imposed ranges from one peso to five 
pesos per cubic meter. These taxes became effective on January 1, 1906, and during 
the six months ended June 30, 1905, there were collected as taxes on all kinds of 
timber and minor forest products the sum of P 190, 285. 73. Of this total 22.3 per cent 



REPORT OP THE COLLECTOR OP INTERNAL REVENUE. 17 1 

was paid in Manila and 77.7 per cent was paid in the provinces. It is impracticable 
at present to segregate these tax collections by the kinds of timber and other products 
on whicn collected for the reason that up to the date of makjng this report the assess- 
ment of taxes on these products has remained under the supervision of the bureau 
of forestry, and it is for this reason that the report of collections for the month of 
July, 1905, is not yet available. But under the proposed consolidation with this 
bureau of that portion of the former work of the bureau of forestry pertaining to 
assessments and collections it will be possible in the future to give more detailed 
information regarding these taxes. 

DOCUMENTARY TAXES. 

In section 116, Act No. 1189, are imposed specific and, in a few cases, ad valorem taxes 
on certain documents, instruments, and things therein enumerated. These taxes 
became effective on January 1, 1905, and during the six months ended June 30, 1905, 
there was collected from the sale of documentary stamps the sum of ^82,753.77; 
during July, 1905, P'13,811.08; total for the seven months P'96,564.85. Of this total 
67.4 per cent was paid in Manila and 32.6 per cent was paid in the provinces. The 
old Spanish stamp- tax law was repealed by the internal-revenue law, and on Janu- 
ary 1 , 1905, it was found that certain values of the old issue stamps were in the hands 
of purchasers who were unable to use them before the time they bec»me obsolete. 
Under the provisions of Executive Order No. 9 of February 13, 1905, prescribing the 
manner for the redemption of these old series of documentary stamps and stamped 
paper, this office invoiced to the city assessor and collector of Manila the necessary 
documentary stamps of the new issue. Up to the date of making this report P'43.75 
worth of stamped paper and ^"4, 743. 87 worth of stamps of the old issue had been 
redeemed, making a total of P°4,787.62 of the new issue stamps delivered to holders 
of the obsolete stamps and stamped paper. 

PERMANENT SYSTEM FOR COLLECTION OF TAXES. 

Internal-revenue stamps, — All of the taxes im posed in Act No. 1 189 are made payable by 
the use of internal-revenue stamps, documentary stamps or c^dulas. Internal-revenue 
stamps are printed in thirteen denominative values, as follows: P'200, P'50, F20, 
no, Tb, r2, T\, P'0.50, f^0.20, rO.lO, r0.05, r0.02, rO.Ol. The design is the 
same for all denominative values, being the obverse design on the Philippine cur- 
rency silver j)eso, but each denominative value has a distinctive tint. These stamps 
are oblong m shape, with a panel at each end, in which the serial number of the 
stamp is placed in this office before issue. The stamps are invoiced by denominative , 
values and inclusive serial numbers to the city assessor and collector of Manila and 
to the various provincial treasurers. The provincial treasurers distribute the stamps 
to their municipal deputies, and an invoice, containing denominative values and 
serial numbers, is filea in this office for each municipality. Municipal deputies sell 
the stamps to taxpayers on delivery of a requisition slip if the taxpayer is a manu- 
facturer, or of a license coupon if he is a dealer. On each slip or coupon is noted, at 
the time of the purchase of the stamps, the denominative values and the serial num- 
bers delivered to the taxpayer. The requisition slips are made in duplicate; one copy 
is retained by the collecting officer and one copy is filed in this office. License 
coupons are forwarded to this office after due entry is made for the proper quarter on 
the retained license stub. Requisition slips and license coupons are filed here in the 
same manner as index cards are filed under a modern index svstem. Taxpayers, 
however, are each given distinctive assessment numbers within the various schedules 
and paragraphs in which they are classified, and in this manner is avoided the 
necessity of compiling alphabetical indexes and assessment rolls. When a stami> has 
once been numhfered in this office and invoiced it is a simple matter to ascertain at 
any time thereafter whether it is in the possession of the provincial treasurer, 
whether it has been invoiced by him to one of his deputies, or whether it has been 
sold by the deputy to a taxpayer, and, if so, to what particular taxpayer and for the 
payment of what particular tax it was used. All internal-revenue stamps are affixed 
to either a manufacturer's invoice, which accompanies his goods, or to a dealer's 
license, and all such invoices and licenses eventually return to file in this office. It 
thus becomes possible, by a simple system, to effectually remove stamps from the 
possession of the public after they have served the purpose, and to thus prevent their 
reuse. It is also possible under this system to detect counterfeit stamps should such 
be placed in circulation. It is proposed to have the internal revenue and document- 
ary stamps for use in the future collection of these taxes printed by the Bureau of 
Engraving and Printing in Washington, and the governor-general of the Philippine 



172 REPORT OF THE PHILIPPINE COMMISSION. 

Islands has already forwarded the necessary designs and specifications for that pur- 
pose. In Plates XXVI to XXIX of Appendix Z to this report the manner of affixing 
internal-revenue stamps to invoices and licenses in the payment of the various taxes 
is fully explained. « 

Documentary stamps. — These stamps are printed in nine denominative values, as fol- 
lows: r0.02, r'0.04, rO.lO, ro.20, r0.50, n, ra, no, and P-20. The design of 
all these stamps is the same, beine the reverse design used on the Philipj)ine cur- 
rency silver peso, but the stamps of the various denominative values are printed in 
distinctive tints. Documentary stamps are sauare and are half the size of the internal- 
revenue stamps. No serial number is placed on documentary stamps for the reason 
that it would serve no useful purpose. These stamps are invoiced to the city assessor 
and collector of Manila and to the various provincial treasurers in the same manner 
as the internal-revenue stamps are invoiced. T}iese stamps are affixed to documents 
and canceled by persons executing such documents, and no attempt is made, nor 
would any attempt be practicable, to trace these stamps to the particular documents 
to which they are affixed. 

Cedidas. — The cedula blanks, or certificates of registration, are of four classes, as 
follows: Class A, l-peso cedula, sold to persons buying a cedula before the delinquency 
period arrives on the last Saturday of April of each year; class B, 2-pe8o cedula, sola 
to persons who were residents of these islands prior to the last Saturday of April, but 
who failed to purchase their cedulas before that time; class C, certificate of exemp- 
tion, issued free to persons who are specifically exempt under the internal-revenue 
law and who need such certificates for use in the courts or in any public offices to 
establish their identity, etc. ; and class D, l-i)e80 cedula, issued to persons who were 
not residents in these islands prior to the last Saturday in April, but who arrived 
after said date and should not tnerefore be made to pay the delinquency charge. All 
cedulas are serially numbered before issue from this office, a separate series being 
run for each class of cedula. They are bound in books of 100 ce<iulad and are dis- 
tributed by the provincial treasurers to their municipal deputies for sale. Reports 
of sales of cedules are made to this office by the inclusive serial numbers of the cedu- 
las sold. The vear for which issued is stamped conspicuouslv across the face of all 
cedulas, and when not used during the year for which printed they are returned to 
this office and are surcharged for the next succeeding year. 

In Plate XXXII of Appendix Z to this, report will be found a sample cedula, show- 
ing the method of issue. « 

ORGANIZATION AND WORK. 

Collecting officers. — In the city of Manila the city assessor and collector, and in the 
provinces the provincial treasurers and their deputies, are charged with the distribu- 
tion to taxpayers of the necessary register books, invoice books, license forms, etc., 
and with the sale to them of internal revenue and documentary stamps and cedulas. 
Inasmuch as liquors, cigars, etc., can not be removed from the place of their manu- 
facture without the affixture of internal-revenue stamps to official invoice sheets, nor 
can license taxes be paid without the affixture of stamps on the face of such forms, the 
collecting officer's position is one of considerable responsibility, aside from his money 
accountibility, and he is required to have on hand at all times stamps of the various 
denominative values sufficient to supply all local needs. In a few of the provinces 
of minor importance, from a revenue viewpoint, internal-revenue agents and gangers 
have not been stationed, and in these the collecting officers have not only to attend 
to office work, but also to inspect the operations of manufacturers and merchants. 
Of course, in all localities it is the dutv of collecting officers and their subordinates 
to keep a watch over delinquents, and to force the unwilling taxpayer to pay full^ 
and promptly all taxes due. But wherever it has l>een possible to detail agents it 
has been done, and it has been found that the field-inspection work has been done 
much more satisfactorily and completely by these agents. 

Inlemal-rereime agents. — This office has authority to employ 31 internal-revenue 
agents and the necessary number of gaugers to superintend the operations of manu- 
facturers and other taxpayers. These agents are widely distributed throughout the 
islands. In some of the more important provinces it has been found necessary to station 
two agents, whereas in other localities one agent has to cover two or more provinces. 
In Manila three agents are stationed, who in conjunction with the inspection force 
of the city assessor and collector, satisfactorily attend to the enforcement of the inter- 
nal-revenue law. It was found impracticable in these islands to station a storekeeper 
and a ganger at earh of the distilleries, for the reason that of the 500 distilleries only 
a few are of sufficient importance to justify the expense necessary in detailing an 



o These plates are on file in the Bureau of Insular Affairs, War Department 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 173 

officer to work permanently and exclusively in any one locality. Therefore, the 
work of an agent is ^neral m all matters pertaining to the enforcement of the inter- 
nal-revenue law in his district. They check the entries in the manufacturers* regis- 
ter books, take stock of cigars, cigarettes, etc., gauge distilled spirits on the premises, 
inspect all taxable goods they may find en route from the factory to the merchant, 
receive the invoice notification slips from the local collecting officer, call on the 
consignee named therein to check the goods received by him, and in general see 
that these .and other provisions of the law are complied with by taxpayers. Agents 
report direct to this office all malfeasance on the part of collecting officers or their 
deputies, and all cases of fraud they may discover. In making their rounds they 
examine the dealers* licenses, and report delinquency to this office and also to the 
local collecting officer. Minor irregularities requiring correction they report only to 
the provincial treasurer of their district. One of the most important duties of agents 
is to check up the goods and see that they agree with the official stamped invoice, to 
attest all such invoices, and send them to this office for file. In this manner but a 
small proportion of all the stamped invoices sent by the manufacturers along with 
the goods remain in the possession of the consignees, and as the liquor and tobacco 
merchants know that the agent may call on them at any time it makes them that 
much more careful in seeing that all taxable articles are accompanied by an official 
invoice stamped in the correct amount for the taxes due. On the work of these 
agents largely depends, especially in the provinces, the thoroughness with which 
taxes are collect-ed. 

Office work. — There are at present in this office 1 deputy collector, 1 chief clerk, 
1 law clerk, 1 record clerk, 1 statistical clerk, and 1 cnief for each of the follow- 
ing divisions: Stamps and property, assessments and returns, and liquidations. The 
deputy collector has direct charge of the field-inspection force of internal-revenue 
agents. The chief clerk has pneral supervision of the work of all of the employees 
in this office, keeps the application and roster file of employees, attends to all the 
civil-service papers, checks the expense accounts of agents in the field, and supervises 
incoming and outgoing corresponaence. The law clerk has charge of all the fraud 
and delinquency cases that may be reported by the city assessor and collector of 
Manila, by provincial treasurers or their deputies, or by the field force of agents. 
When the evidence is sufficient he submits the papers to the collector of internal 
revenue, for recommendation to the secretary of finance and justice, for approval of 
the imposition of administrative fines in minor cases. In cases where the offense is 
one of more than usual gravity the evidence, with the names of the witnesses, is sub- 
mitted direct by this office to the provincial fiscal or to the prosecuting attorney in 
Manila, requesting that the case be prosecuted before the proper court. In these 
matters the attorney-general is consulted before definite action is taken. The chief 
of the division of stamps and property is also the bookkeeper of this bureau; he is 
under bond and has charge of the stamps and cedulas received in this office and issued 
to the various collecting officers. In this division the serial numbering of the stamps is 
done and assessment numbers of taxpayers are stamped on the register books, invoice 
books, license forms, ete., before they are sent to provincial treasurers. The chief of 
this division also attends to the making out of requisitions for additional supplies, 
stamps, cedulas, forms, stationery, ete., and to the proper care of all such property. 
Once a month the chief clerk and the cliiefs of the two other divisions act as a com- 
mittee to inspect and count the stamps and other property for which the chief of the 
stamps and property division is responsible and make written report to the collector. 
The chief or the division of assessments and returns checks all license coupons of 
manufacturers, stamps requisition slips and reports of collecting officers, as they come 
into this office, sorts all such coupons and requisition slips, reports, etc., into their 
proper places in the files, and compiles reports of collections under each paragraph 
of tne internal-revenue law. The chief of the division of liquidations receives, checks, 
and files all official stamped invoices, stamped licenses surrendered by retiring deal- 
ers, and stamped stubs of manufacturers* invoice books. If he finds a short payment 
on any invoice or license the document is returned to the collecting officer or to some 
internal-revenue agent for correction and for collection of the snort tax, if there 
should be such short payment, for the cancellation of stamps, or for any other pur- 
pose needed to enforce the reflations prescribed for the observance of taxpayers. 
The chief of the division of liquidations checks the serial numbers of the various 
denominative values of stamps, ascertains whether any particular stamp was used by 
the taxpayer who purchased it, whether there is any duplication of the serial num- 
bers of any particular denominative value of stamp, which would mean a reuse or 
counterfeit ot a stamp, and in case stamps are reported to this office as lost by tax- 
payers or stolen from collecting officers the chief of the liquidations division will be 
able, from the check he keeps, to locate such stamps should they afterwards be used 
for the payment of any of the taxes imposed in Act No. 1189. 



174 REPORT OF THE PHILIPPINE COMMISSION. 

In Appendixes X and Y to this reijort will be found the report of the record division 
and amount of fines and forfeitures imposed on and collected from delinquents. In 
Plates XXX and XXXI of Appendix Z to this report will be found a sample of an 
internal-revenue agent's commission. « 

CX)NCLrsiON. 

The collector of internal revenue has been fortunate in the selection of his office force 
and field agents. With but one or two exceptions the oflice and field positions in this 
bureau have been filled by loyal and efficient employees and officials. As a growing 
bureau in process of organization the work to be done constantly increased in a greater 
ratio than additional jKwitions could l)e provided and filled. Asa result umch overtime 
work was required, both in the oflSce and in the field, and almost without exception 
the employees and officers have appreciated the needs of the service and have cneer- 
fullv worked late into the night whenever important work had to be done. One and 
all have taken an interest in their work, have foregone their vacation leaves, have 
worked as many hours during the hot season as at other times, and have been mutu- 
al Ij^ helpful when there happened to be a great press of work in any particular 
division. 

Under these circumstances it might seem unjust to select any one or more officers 
or employees for special mention. The more responsible positions in this office are 
filled oy Capt. Henry Steere, deputy collector; Mr. Carl G. Clifford, chief clerk; Mr. 
Adam^R. Gard, law clerk; Mr. 0. M. 8human, chief of the stamp and propertv division; 
Mr. John C. Ruymann, chief of the division of assessments and returns, and Mr. C. D. 
Gooch, chief of the division of liquidations. 

Respectfully submitted. 

Jno. 8. HORD, 
Collector of Internal Revenue, 

To Hon. Henry C. Ide, 

Secretary of Finance and JuMice, Manila, P. I. 



t 



Appendix A. 

REPORT ON THE SYSTEM OF IITTEBHAL TAXATION OBTAINING IN THE PHILIP- 
PINE ISLA NDS U NDEE THE SPANISH E^GIME, AND MODIFICATIONS IN SAID 
SYSTEM BETWEEN THE TIME OF THE AMERICAN OCCUPATION AND THE 
ENACTMENT OF THE INTERN AL-BEYENDE LAW OF 1904. 

Manila, P. I., November IS, 190S. 
Sir: Complying with your verbal instructions I have the honor to reiwrt as follows 
regarding the present status of internal-revenue taxation (excepting the real estate 
tax and taxes imposed by municipal corporations) in the Philippine Islands, together 
with recommendations as to the repeal or the amendment ana incorporation of such 
internal -revenue taxes, or portions thereof, in the proposed internal-revenue law. 

lender the Spanish fiscal system internal revenues were derived from the follow- 
ing sources: 
O cvj \ Contract for the sale of opium, yielding in the fiscal year 1896-97, 576,000 pesos; 
^38 ^ suspended since the American occupation. 

2 >- H II- Lotteries, yielding in the fiscal year 1896-97, 1,000,000 pesos; suspended since 
— ? -5 the American occupation. 

</> >• III. Coinage of money, yielding in the fiscal year 1896-97, 200,000 pesos; sus- 
S "b pended since the American occupation. 

^ jc IV. Urbana tax, yielding in the fiscal year 1896-97 140,28Qj>e8os. This was a tax 

^ "^ of 5 per cent on the net income from city property, including lx)th the lots and the 

improvements thereon. An additional tex assessed on the length of the frontage of 

^ houses on the streets was also collected. The net income assennable was arbitrarily 

Zj g^ ^ fixed at 75 per cent of the gross income from houses actually rented, and for houses 
^ ;3 IH "^^ rented at the net income obtainable from similar houses actually rented. 
c5 5 P Since the American occupation the urbana and frontage taxes have been amended 
£ o- ^ and finally repealed as follows: 

0^0 By General Order 13, December 13, 1898, of the military governor, the tax rate was 
f— U reduced from 5 per cent to 3 per cent; the payment of 2 per cent to the collection 

o These plates are on file in the Bureau of Insular Affairs, War Department 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 175 

agency as commission was discontinued; the methods of assessment and collections 
were amended. By General Order 53, April 17, 1900, of the military governor, the 
surtaxes on taxes dueprior to July 1, 1900, were condoned. By Acts Nos. 82 and 83 of 
the Philippine Commission, as amended by Act No. 133, it was pro\aded that the taxes 
collected be equally divided between the provincial and municipal treasuries.. By 
Act No. 183 these taxes were abolished in the city of Manila. By Act No. 223 these 
taxes were abolished in the provinces and municipalities. 

[Remarks and recommendations: CoUuHion between landlord and tenant to defraud 
the revenues was encouraged by the rejjulations for the assessment and collection of 
the urbana tax. The rent rate would be deliberately reduced when assessment time 
came around, or receipts for fictitious sums as rentals were prepared. On the other 
hand, the amount allowed — 26 per cent of the rental value — for repairs, etc., to be 
deducted, was too rieid, inasmuch as stone or brick houses and newly constructed 
lumber houses would not require that outlay in repairs during any one year, whereas 
other houses might require a much larger expenditure to keep them in habitable 
shape. Thus the urbana tax in actual practice lost its main claim to recognition and 
permanence — i. e., as a tax on the net-income-producing capacity of city property. 
The frontage tax was in effect a surtax on the urbana tax, but was not based even 
approximately on the actual market value of the house nor on its income-producing 
capacity. Both of these taxes were repealed by the real-estate tax, which, properly 
assessed, is a far more equitable system than were those it repealed. In its harsher 
features the real-estate tax will oblige owners of urban houses and lots to either 
improve their properties or transfer them to others able or willing to make such 
improvements, so even here the good of that part of the public living in cities is 
subserved. 

My only recommendation regarding the urbana tax and the frontage tax is that 
they both stay repealed.] 

V. Tax on forest products, yielding in the fiscal year 1894-95 122,000 pesos. This 
tax appears to have been abolished and replaced oy the taxes on forestry products 
and regulations for their collection provided in General Order 92, June 27, 1900, of 
the military governor, which wassuDsequently amended as follows: By Acts Nos. 82 
and 83, as amended by Acts Nos. 133 and 374, the proceeds were to be divided 
between the provincial and municipal treasuries. By Act No. 527 amended so that 
proceeds are covered into the insular treasury and after deducting cost of collections 
net proceeds are to be returned to the respective treasuries where the forestry pro- 
ducts were actually cut or gathered. By Act No. 165 is provided the method for the 
collection of the tax. 

This tax is coUec^ted in United States and Mexican money, and the total collections 
in the Philippine Islands for the fiscal year 1902-3 were $27,174.05 United States cur- 
rency and Pfe. 457,785.55 Mexican currency. 

[Remarks and recommendations: In section 132 of the proposed internal-revenue 
law are provided schedules of taxes for the cutting, gathering, or removal of forestry 
products from the public forests or forest reserves; regulations for the collection of 
the taxes, provisions for the payment of the proceeds into the insular treasury and 
for the appropriation of 10 per cent for the use and benefit of the various provinces 
and of 15 per cent for the various municipalities, to be distributed in proportion to 
population. A proposed forest act is also before the Commission. The rates of tax- 
ation prescribed in the proposed internal-revenue law are less than the existing rates; 
inasmuch as this tax is char^fed on all forest products, even those intended for export, 
and for other reasons, I believe the reduction in the rates to be a wise move. 

My only recommendation regarding the tax on forestry products is that section 132 
of the proposed internal-revenue law be enacted as drafted and that the rates of the 
taxes therein imposed be fixed in the sums mentioned in Philip{)ine currency.] 

VI. Stamp taxes, imposed by royal decree of May 16, 1886, yielding in the fiscal 
year 1896-97 870,000 pesos, of which amount 100,000 pesos were for postal communi- 
cations, 220,000 pesos were for telegraphic dispatches, and 24,000 pesos were for fines 
remitted, leaving a net collection of 526,000 pesos. This tax is paid by the use of 
adhesive stamps and of stamped paper of many denominative values, and was 
imposed on le^^l documents and certincates of compromise of suits, public records, 
insurance policies, certificates of stock, traubfers and mortgages ana leases of real 
estate, sales on exchange, judgments for debt, annuities and legacies, notarial certifi- 
cates, inventory of notarial records, registration of documents, powers of attorney, 
receipts of all kinds, accounts, balances, and other bookkeeping papers, drafts, bills 
Bf exchange, checks, letters of credit, promissory notes and transfers issued by banks 
against branch banks, receipts for salaries of all kinds, judicial fines, titles and diplo- 
mas, and a number of other minor objects. This decree has been amended as fol- 
lows: By General Order 57, November 13, 1899, of the military governor, the aflBxture 



176 REPORT OF THE PHILIPPINE COMMISSION. 

of stamps to receipts for salaries by government employees whose salary was less 
than 50 pesos Mexican per month was temporarily suspended and appears to have 
never been revived. By General Order 61, November 23, 1899, of the military gov- 
ernor, the tax was abolished on receipts passing between officers of the supply depart- 
ment and on receipts given by regimental medical officers for articles of diet purchased 
for regimental sick. By General Order 42, March 12, 1900, of the military governor, 
the tax was abolished on receipts for amounts less than 50 pesos of civil funds paid 
out by disbursing officers. By Acts Noe. 82 and 83, as amended by Acts Noe. 133, 
374, and 527, stamp-tax collections after June 30, 1901, ceased to be collected as . 
insular funds and were to be equally divided between provincial and municipal 
treasuries until such time as an internal-revenue law should be enacted by the 
Commission. By Act No. 190 the use of stamped paper for judicial documents was 
abolished. By Acts Nos. 136 and 496, by repekling tne old notarial system, practi- 
cally abolished "certified copies" on stamped paper of instruments affecting r«Eil 
estate. 

This tax is collected in United States and Mexican money and the total collections 
for the islands for the fiscal year 1902-3 were $38,772.43 United States currency and 
Pfs. 149,787.79 Mexican currency, of which amount $26,563.34 United States currency 
and Pfs. 100,274.65 Mexican currency were collected in the city of Manila. 

^Remarks and recommendations: There appears to have been urgent need for special 
legislation for some time past specifically enumerating the objects still subject to this 
tax. The matter has been approached mdirectly in several acts of the CommiBsion, 
and by inference certain of the stamp taxes have been abrogated or amended as to 
the manner of their collection, etc.; but this has thrown a haze over the entire 
system and has imposed too much responsibility, as interpreters of the law, on the 
administrative officers chanred with the collection of these taxes. The deputy col- 
lector of internal revenue of the city of Manila, who has had direct charge o! this 
branch in this locality, informs me that in the absence of needed legisbition his 
office has been oblig[ed to suspend by ** custom" the collection of certain of the 
stamp taxes. There is good reason to suspect that the assessment and collection of 
these stamp taxes is not made in a uniform manner throughout the islands. In this 
connection is respectfully submitted herewith an envelope marked **A" inclosing 
a circular issued on November 11, 1903, by the Manila city assessor and collector 
specifying the documents, etc., on which stamps should continue to be affixed, for 
tne information of taxpayers; a communication from the treasurer of the province 
of Batangas dated February 24^ 1903, requesting information as to the payment of 
stamp taxes; and a communication from Judge Williams, of the court of land r^s- 
tration, dated February 9, 1903, making simfiar inquiries and attached to which is 
a report on the matter of stamp taxes made by me to the civil governor, at his request, 
on August 20, 1903. 

Of the stamp taxes imposed in the roval decree and now being collected the fol- 
lowing are repealed by the provisions of the proposed internal-revenue law as now 
printed, inasmuch as stamp taxes are imposed on the same objects in sections 116 
and 126 of said law: Insurance policies, certificates of stock, transfers, mortgages, and 
leases of real estate, sales on excnange, notarial certificates, registration of documents, 
powers of attorney, receipts, drafts, bills of exchange, checks, letters of credit, prom- 
issory notes. Of the remaining stainp taxes impost in said royal decree the follow- 
ing appear to be the only ones not already repealed either by direct enactment or 
order m the general orders and acts cited above, or by construction of law: Public 
records, certificates of compromise in lawsuits, judgments for debt, inventories of 
notarial records, accounts, balances and other bookkeeping papers, transfers issued 
by banks against branch banks, receipts for salaries of ail kinds, titles and diplomas, 
and certain other minor objects the revenue from which would be trivial and the 
annoyance to the public great. In my report to the civil governor ('^A" herewith) 
of August 20 last I recommended that none of these items be included in the new law. 

In sections 147 and 150 of the proposed internal-revenue law it is provided that 
the collections from stamps on specified objects be covered into the insular treasury 
and thereafter that 10 per cent be appropriated for the use and benefit of the various 
provinces and 15 per cent for the vanous municipalities, to be distributed in propor- 
tion to population. 

My recommendation is that the stamp taxes in section 116 of the proposed internal- 
revenue law be enacted as drafted.] 

VII. * ' Cedulas personales ' ' or registration tax, yielding to the Spanish Government 
in the fiscal year 1896-97 7,000,000 pesos. At the time of the American occupation 
this tax had been amended, so that paupers and certain privileged classes paid noth- 
ing, and for the rest the annual tax ranged from 1 peso to 37.50 pesos, rated according 
to the income enjoyed, or on the basis of the other taxes pAld by the taxpayer. 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 177 

Chinese residents paid special cedula taxes in yet higher sums. Besides being an 
important source of revenue, there were other uses equally important, from the tax- 
payers* view point, to which cedulas were put, i. e., as a sort of domestic passport for 
purposes of identincation and to enforce certain rights in the tribunals and elsewhere. 

After the American occupation such was the demand for these cedulas that they 
could not be issued fast enough. By general order 7, February 25, 1899, headquar- 
ters Department of the Pacific, ffuaras at the city gat^ were directed to not require 
the presentation of cedulas until they could be issued to the large number of appli- 
cants, by or about March 15, 1899. By general order 68, November 16, 1899, of the 
military governor male residents between 18 and 60 years of age were required to 
take out cedulas for the year 1900 at 20 cents Mexican apiece. Females could take 
out cedulas if they chose. By circular 12, December 12, 1899, of the military gov- 
ernor all internal-revenue oflScers and special officers to be named in general orders 
were directed to issue cedulas at an expense for collection not to exceed 10 cents 
Mexican apiece. Bv circular 2, March 30, 1901, of the military governor the crews 
and passengers on boats en^^ed in the coastwise trade were required to present 
cedulas. By Act No. 67 of the Philippine Commission the provisions of general order 58, 
November 16, 1899, of the military governor were extended so as to include cedulas 
for 1901. By Acts Nos. 82 and 83, as amended by Acts Nos. 133, 183, 267, 278, 320, 
374, 377, 434, 527, 655, 740, and 785, the annual cedula tax rate for 1902 was fixed at 1 
peso Mexican on all male inhabitants between 18 and 55 years of age, except paupers 
and infirm persons. United States soldiers and sailors, foreign consular officials, mem- 
bers of non-Christian tribesj and all persons who in 1902 and succeeding years paid a 
total in excess of 1 peso Mexican as inaustrialor real-estate taxes, one-half of the cedula 
tax collections to be covered into the respective municipal treasuries and one-half into 
the respective provincial treasuries. By Act No. 183 the cedula or registration tax, as 
enactea above, was extended to the city of Manila. By Acts Nos. 655 and 740 civilian 
employees of the War and N^vy Departments were exempted from the payment of 
this tax, and the exemption clause, whereby persons paying in excess of 1 peso 
Mexican in other taxes were relieved from the payment ol the cedula tax, was 
repealed. By Acts Nos. 267, 278, 377, and 434 the time in which cedula taxes could be 
paid without penalty was extended from time to time. By Acts Nos. 655 and 740 it is 
provided that a delinquent may be imprisoned for five days, which shall relieve him 
from the payment of this tax, and a cedula or registration certificate shall be issued 
to such delinquent upon his release. By Act No. 527 it is provided that the proceeds 
from the sale of cedulas or certificates of registration shall after June 30, 1901, be paid 
in equal parts to the various provincial and municipal treasuries until such time as 
the Commission shall enact an internal-revenue law. 

This tax is now being collected in United States and Mexican money and in the 
fiscal year 1902-3 the total collections in the islands amounted to $230,560.72 United 
States currency and Pfs. 1,300.277.74 Mexican currency, of which sum $9,076.53 
United States currency and Pfe. 106,871.87 Mexican currency were collected in the 
city of Manila; but there is reason to suspect that a number of cedulas or certificates 
of registration were sold in Manila to transients who should properly have bought 
them in the outlying provinces. I base this statement on the census figures givmg 
the population of the city of Manila and which figures are presumably correct. 

[Remarks and recommendations: The ** cedulas personales" tax has been vari- 
ously described as a poll tax and as a graduated poll tax. This is true only in a 
certain degree inasmuch as a lar^, perhaps the larger, portion of this tax was col- 
lected as a residence tax on Chinese subjects and as a surtax on the income and 
industrial taxes paid by others, and also because of the exemption from the payment 
of the cedula tax which was enjoyed by a large number of privileged persons. What 
proportion of the cedula tax was collected by the Spanish Government from Chinese 
subjects I have no means of ascertaining, but there is no doubt that if a special regis- 
tration tax of say $20 apiece was imposed in the proposed internal-revenue law on 
such aliens the yield would exceed $1,000,000 per annum, under existing conditions, 
and at a minimum cost for collection; and if at any time in the future the Chinese- 
exclusion act should be modified so as to admit such aliens to these islands, the 
yield from such special tax would be increased several fold. Of course Questions of 
larger governmental policy would be involved in the proposition to tax Chinese sub- 
jects as such and my remarks here are put forth as a suggestion only and not as a 
recommendation. 

In Porto Rico a poll tax was imposed but no regulations for the enforcement of 
the payment were provided and by general consent it remained uncollected. I am 
under the impression that a similar condition of affairs obtains in many sections in 
the United States, and that it is generally considered an obnoxious form of taxation. 

WAR 1905— VOL 13 12 



178 REPORT OF THE PHILIPPINE COMMISSION. 

In these islands the people have become accustomed to this tax and it should 
undoubtedly be continued in operation, not so much because it'haa become the cus- 
tom of the people and because of the useful purposes to which the cedulas or certifi- 
. cates of registration can be put, as because the people have become accustomed to a 
^ ^ form of taxation which is both wise and equitable m localities such as this where the 
cJ «v masses acquire no property, consume no imported articles paying customs duties, 
^ ^ d.and therefore in the absence of a poll tax would pay nothing whatever for the pro- 
S >I U'tection afforded them by the central and local governments — and also, perhaps, 
o m ^ because of the yearly reminder to them that government exists, of their contribution 
^ ^ ^ thereto, and the interest they should take therein.] 

2 o *>7 VIII. "Industria" tax, imposed by royal decree of June 19, 1890, yielded to the 
[j 5 g insular government in the fiscal year 1896-97 J^4QQt000p^oa,. This tax is a potpourri 
o 3 |al of almost every conceivable form of taxation, and, Ju^gecl by the American standard 
^ — as to what constitute the various methods of taxation, it would be much simpler to 
O ^ fr^ describe what the ** industrial'* tax is not than to define what it really is. In tariff 
^ 5^ 0.1 are imposed (a) corporation license taxes on banks; (b) percentage income taxes 
«< 2b ^on the salaries of bankers, managers, and all employees ol all kinds receiving 600 
~ =f rj pesos or more per annum; on contractors, et<;. ; (c) corporation franchise taxes on the 
^ £ 1^ profits of banks, insurance companies, and mercantile associations: and (d) occupa- 
o tu <5 tion taxes on custom-house, insurance, and real-estate brokers and shipowners and 
^ J, consignees, skippers, peddlers, mone^ lenders, and on warehouses and docks. In 
r z tariffs 2, 3, and 4 are imposed (e) business-license taxes on all kinds of wholesale and 
retail merchants of all kinds of foreign merchandise and domestic products, manu- 
factured and unmanu^tured; (f ) license taxes on importers, as such, of foreign goods; 
(g) license taxes on exporters, as such, of domestic products; (h) excise-license taxes 
on the sale of alcoholics, cigars, and cigarettes; and (i) occuiwition taxes on specula- 
tors, butchers, auctioneers, peddlers, dairies, hotels, boarding houses, and cafes. In 
tariff 5 are imposed (j) specific taxes on capstans, steam cranes, lighters, small ves- 
sels, tanks on water boats, wagons, carts, stages, omnibuses, express wagons, quiles, 
carromatas, calesas, and other carriages, including hearses; (k) occupation taxes on 
undertaking establishments, nine-pin and bowling alleys, billiard tables, gambling 
tables, horse races, theatrical companies, circus companies, menageries, bull fights, 
periodicals, and shops where bicycles are rented; and (1) a tax per meter of track of 
city tramways and railroads additional to the corporation tax imposed in tariff 1. 
In tariff 6 are imposed (m) specific license taxes on manufactories making the fol- 
lowing articles: Cocoanut oil, on each press; white lead, alcohol, on each arroba 
capacity per diem, and in certain ca^es on each still; refined or purified sugars, on 
each horsepower, mill, machine, or concentrating apparatus used; tiles, on each fur- 
nace; aerated waters, on capacity per hour of bottles; wax and tallow candles, musi- 
cal instruments, tanned leather* harnesses, etc., chocolate, matches, gas, spun and 
woven fabrics, native fabrics, ice; lime, on each kiln; soap, rigging, cordage and 
cables, flower essences and other chemical products, volatile liquids for illuminating 
purposes; husking rice, on each stone; glossmg or bleaching rice, lumber, cut marble, 
paper, powder and other explosives, cigar cases, baskets, matting and native hats, 
saltpeter, other mineral and vegetable substances; cigars, for each workman employed ; 
bricKS and roof tiles, ink; jars and pottery of all kinds, on each furnace; indigo, on 
each set of buckets; cigarettes, on each machine and also on capacity; (n) special 
licenses or occupation taxes are also imposed on shipways for the building, repair, 
or careening of ships; bale presses, metal foundries; printing establishments, on each 
press used; steam laundries, bakeries, hemp presses, hydraulic steam presses and 
screw presses for baling raw tobacco, machine shops, shops for the construction or 
repair of all kinds of vehicles, and dyers' shops. In tariffs 7a, 7b, and 7c are imposed 
(o) occupation taxes. on the following professions: Arts and trades, land surveyors, 
architects, surgeons, dentists, engineers of all kinds, building superintendents, civil 
and military ph^'sicians, teachers of music, drawing, and languages, appraisers of 
jewels, veterinanes, lawyers, mort^ige recorders, chancellors and registrars of the 
audiencia, notaries public, clerks, interpreters, solicitors, reporters and notaries of 
various courts, appraisers in law suits, tailors, shoemakers, photographers, lithogra- 
phers, harness makers, milliners, silversmiths, watchmakers and repairers, tobacco 
appraisers and connoisseurs, carriage repairers, tinkers, gilders of wood and metal, 
enamelers and mounters of precious stones, woodcarvers, gold lace makers, letter, 
seal and stamp engravers, tatooers, marble-cutters, tuners and repairers of musical 
instruments, makers of imitation jewelry, bookbinders, firework makers, hairdressers 
and barbers, building overseers, plasterers, whitewashers and painters, gunsmiths, 
cutlers, swordsmiths and makers of side arms, embroiderers, caulkers, carpenters, 
sail makers, figure makers and molders in paste and pasteboard, farriers, blacksmiths, 
locksmiths, tmsmiths, glaziers, hatters, coopers, metal turners, and furniture makers. 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 



179 



In its final analysis the "industrial*' tax proves to be a combination income-cor- 
poration-franchise-business license-occupation license -excise-industrial-import-and- 
export tax. For the purposes of assessment the towns are divided into four groups, 
thus: (1) Manila and certain of its suburbs; (2) Iloflo, Cebu, and other towns hav- 
ing over 30,000 inhabitants; (3) towns having oetween 15,000 and 30,000 inhabitants; 
(4) the remaining towns. In tariffs 1 to 7c are 350 paragraphs or specific tax rates, of 
which about 250 are graded tax rates according to the town group m which the busi- 
ne^, trade, profession, industry, etc., is located or followed, Manila paying the high- 
est rate. There are therefore approximately 1,100 distinct tax rates imposed in this 
law on 350 distinct industries, trades, etc., besides the franchise and income taxes 
imposed on a percentage basis. The rat«3 imposed are widely divergent, thus, in 
Manila is paid an annual tax of 1 peso on hemp press moved by hand; each vender 
of cigarettes pays annually 2 pesos; each cnsco used for transporting merchandise, 
fruits, etc., 3 pesos; each vender of cocoanuts, betel nuts, etc., 4 pesos; each small ves- 
sel transporting timber, 5 pesos; each shop for the sale and repair of umbrellas, 6 
pesos; each quUCf carromala, calesa, or other two-wheeled vehicle, 8 pesos; each seller 
of salt, 12 pesos; each drawing master, 15 pesos; each apparatus for making aerated 
waters, with a capacity of more than 100 bottles per hour, 16 pesos; each bullfight, 20 
pesos; each seller of Spanish-woven goods, 24 pesos; each shop for the sale of parrots, 
canaries, and other song birds, 30 pesos; each cigarette machine, French pattern, 36 
pesos; each horserace, SOpesos; shops for the retail sale of a general line of provisions 
and groceries, 50 pesos; stores for the sale of bicycles, without the right to import, 60 
pesos; dealers and speculators in lumber of all kinds, without the right to export, 75 
pesos; powder mills and manufactories of explosives, 100 pesos; speculators and traders 
in cattle, with right to import, 120 pesos; stores for the sale of machinery of all kinds, 
with right to import, 150 pesos; stores and bazaars for the sale exclusively of Chinese, 
Japanese; and British Indian goods, without right to import, 200 pesos; stores and 
bazaars sellins: jewelry and fancy goods, without right to import, 250 pesos; general 
auctioneers, 300 pesos; stores for the wholesale of all kinds of groceries and provisions, 
includingalcoholirsof all kinds, with rightto import, 400 pesos; moneylenders making 
interest-bearing loans. 500 pesos; bankers engaged in a general banking business, 1,000 
pesos; persons engaged in remitting and receiving, importing or exporting, buying or 
selling, on their own account or on commission, foreign gocSs or domestic products, 
and who may also be consignees of ships and merchandise and dealers in commercial 
paper, 1,000 pesos. A merchant with rightto import direct generally pays double the 
tax paidbyamerchantwithout such right; a merchant enga^d in two or more distinct 
lines of business in the same locality payfl but one tax, which is the highest rate 
assessed to any one of such lines of business; a merchant paying the highest tax rate 
imposed in any one tariff may be engaged in any and all the lines of business taxed 
in such tariff, but must pay additional tax or taxes if his business operations include 
lines of trade i ncluded in other tariffs. These are the general rules foi lowed in making 
the assessments, but certain exceptions are made. The business-license tax rates 
imposed in the second, third, and fourth town groups are respectively about two- 
thirds, one-half, and one-third of the rates imposed in Manila and other localities 
included in the first town group. The occupation taxes imposed on peddlers, small 
venders, manufacturing enterprises, and on professions, trades, and arts are, as a rule, 
uniform in all of the towns throughout the islands, and are generally fixed in a specific 
sum, payable annually in advance. The business licenses are payable in quarterly 
installments, in advance. The percentage income taxes are from 2j to 5 per cent, an(i 
the tax on contracts is one-half of 1 per cent on the total amount of the contract. 

In the table of exemptions are included (p) day-laborers and domestics of practi- 
cally all kinds, and others, such as water carriers, barbers with small stands in streets 
and parks, embroiderers working at home, boatmen and canoemen, hand makers of 
cable, rigging, and cordage; captains and skippers not navigating on their own 
account, porters, constructors of fences, etc., of native houses, seamstresses, sack and 
mat makers, traveling circuses and theaters performing in streets and parks, clerks 
whose annual salary does not exceed 600 pesos, cabinetmakers and carvers working 
at home, public officials whose salaries are included in the State, provinciid, and 
municipal budgets; spinners and weavers on a small scale, official pnnters and day- 
laborers, domestic servants, laundrymen, slaughterers, hand mortars for husking 
rice, milliners* assistants, bricklayers, solderers, carpenters, joiners, painters, lapi- 
daries, and stonecutters working by the day; assistants to tailors, shoemakers, hat- 
ters, shirtmakers, silversmiths, watchmakers, and tinsmiths; workmen or day-laborers 
when they work for a salary or by the piece in shops or workshops paying the tax, 
day-laborers engaged in housebuilding, transportation, or loading or unloading of 
merchandise; stevedores, etc.; fishers and owners of trawls and fish traps, pilots, 
supercargoes, boatswains, ironers, cobblers, and all hawkers not covered in the vari- 







180 REPORT OF THE PHILIPPINE COMMISSION. 

ouB tariffs and who sell only at retail rice and other edibles, cooked or raw, poultry 
and other country products, fish, lemonade, matches, pots, brooms, and similar 
knick knacks. The following industries are also exemptea: (q) Breeders of all kinds 
of cattle for their own use for agricultural purposes, wagons and carts for agricultural 
purposes, savings banks and pawn shops loaning money on jewelry and other arti- 
cles, owners of vessels of less than 20 tons burden or wittout decks or used for trans- 
portation on rivers or canals, quarries and mines and mining industries, establish- 
ments of mineral waters and mineral baths, manufactories run by water power in 
accordance with the **Ley de Aguas." ovens for making biscuits and cakes, owners 
of estates from the tax as exporters lor exporting the products of their own lands, 
industries operated by the State, and from the import and export tax on the finished 
products or on articles imported or exported for the exclusive use of the State; formers 
and cultivators selling the products from their own farms at wholesale and retail on 
the farm and in certam cases in neighboring towns, farmers purchasing work stock 
to be used on the farm and selling the same when no longer needed, tobacco and 
hemp presses used by agriculturists for packing the products raised by them or by 
mercnants for products purchased by them, proprietors of forests selling lumber and 
firewood in locality where cut or gathered, mutual insurance associations not run for 
private profit, workshops in jails on such articles as are manufactured for the use of 
the jails or of the State. The following persons and establishments are also 
exempted: (r) Actors, dancers, gymnasts, conjurers, and musicians of bands and 
orchestras; eaucational establishments support^ by the State, province, municipal- 
ity, or conducted by charitable institutions; writers, authors, and editors of scientific 
of literary works; public libraries, reading rooms, museums, and other establish- 
ments the object of which is educational; hospitals and other charitable institutions, 
primary teachers, composers of music, physicians and druggists in hospitals, painters 
of portraits, landscapes, and historical scenes; private teachers of the higher branches 
and inventors. Lawyers and others connected with the judicial branches who con- 
duct civil and criminal suits for the poor are exempted from the payment of 20 per 
cent of their occupation tax. Persons establishing a new kind of industry in the 
islands are exempted for two vears from the payment of the tax. 

The regulations prescribed for the assessment and collection of this tax are as com- 
plex as the tax itself, and there will probably l>e no need for more than a brief 
summary of the more important of these provisions. All persons native or foreign, 
not specifically exemptea, are subject to the tax; the taxes imposed in the tariffs 
were covered into the insular treasury and a surtax on the same amounts was col- 
lected for provincial and municipal uses^, 6 per cent additional of the tax was' collected 
and distributed as follows: One per cent for general expenses, 2 per cent as commis- 
sion to the person or establishment charged with the collection, and 2 per cent to 
cover uncollectable taxes and for administrative expenses in checking returns, etc. 
It will thus be seen that the Spanish Government expected to collect the tax intact 
as imposed in the tariffs, and as the collection was usually farmed out it probably 
succeeded to the extent that the assessment was properly made. Taxpayers made 
their returns of their business or occupation annually or at the time of engaging in 
such business or occupation; if they failed to make return or made a false return 
they had to pay the difference due and a surtax equal to the tax, and if they had 
been unasse^ed or improperly assessed for some time, they were punished in the 
same way, and in addition were made to pay back taxes due for two years, and if 
their delinquencies reached farther bactk the oflicers charged with the assessment 
were made to pay the difference, i. e., all back taxes due for more than two years; 
if they were merely delinquent in the payment of taxes properly assessed they had 
to pay a surcharge equal to 25 per cent of the tax; if they were bankrupt or insol- 
vent certain proof had to be made of such fact, including a certificate by the local 
**gobernadorcillo,*' indorsed by the parish priest. The establishments of all delin- 
quents were closed, and if the tax remained unpaid the delinquent's property was 
(listrained and sold. 

Since the American occupation the ** industria" tax has been superficially touched, 
as follows: By general order of the military governor, dated November 28, 1898, the 
tax of one-half of 1 per cent on the amount of contracts made by government con- 
tractors of all kinds is repealed. By general order 16, April 20, 1899, of the military 
governor, that the Unitea States military government, having continued in operation 
the general rules for the imposition, collection, and administration of the "inaustria*' 
tax, now amends certain provisions in various tariffs; there are about twenty changes, 
most of them putting American goods on an equal basis with p)ods from other coun- 
tries, and imposing additional rates on certain retail provision shops, on cigarette 
machines, and on printing establishments. By general order 67, December 16, 1899, 
of the military governor, increasing the occupation tax on lawyers from 50 to 100 pesos. 



REPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 181 

By general order 40, March 26, 1900, of the military governor, provides that munici- 
pal surtax shall not exceed 25 per cent of the regular tariff rat^. By general order 
53, April 17, 1900, of the military governor, that surcharges on taxes due prior to July 
1 , 1900, shall not be collected. By Acts Nos. 82 and 83 of tne Philippine Commission, as 
amended by Acts Nos. 133, 303, 311,374, and 527, the proceeds of tne **industria** taxes 
collected after June 30, 1901, are to be divided between the respective provincial and 
municipal treasuries until such time as the Commission shall have enacted an inter- 
nal-revenue law. By Act No. 497 is repealed paragraph 2 of tariff 1, which imposed a 
tax of 2 J per cent on the salaries of employees of banks and private firms, stock, insur- 
ance and collection companies, and fiilso repeals all amendments, modifications, and 
military orders relating thereto. By Act No. 647 is repealed the tax which was imposed 
in tariff 7b on notaries public, with retroactive effect from the time the land registra- 
tion law took effect. 

This tax is now being collected in United States and Mexican money, and in the 
fiscal year 1902-3 the total collections in the islands amounted to $330,139.27 United 
States currency and Pfs. 1,096,765.34 Mexican currency, of which sum $109,830.35 
United States currency and Pfs. 306,283.90 Mexican currency were collected in the 
city of Manila. 

[Remarks and recommendations: The claim has been repeatedly made that the 
"industria" tax — by some called a direct and by others an mdirect tax — should be 
retained as a part of the tax system of the Philippine Islands (1) because, taken 
together with the ''urbana" tax, it constituted an income tax on rentals, salaries, 
business profits, and emoluments derived from the pursuit of the various professions, 
trades, and arts, all of which were reached by no other kind of tax; (2) because it 
avoids a declaration by the taxpayer of income and personal property and the inter- 
vention of the inquisitorial assessor, and (3) because it is a system of taxation to 
which business has adjusted itself, and being an "old tax must necessarily be a good 
tax.'* On the other hand the repeal of the "industria" tax in toto has been 
advocated in view of the enactment of the proposed internal-revenue law and on the 
theory that to give permanence to the ** inaustria" tax would make the insular tax 
system too multiform and perhaps result in duplicate taxation. 

In the analysis of the *Mndustria" tax as given above the various taxes imposed 
are for the sate of convenience divided as follows: 

a. Corporation license taxes on banks. 

b. Percentage income taxes on salaries. 

c. Corporation franchise taxes. 

d. Occupation taxes on brokers, etc. 

e. Business license' taxes on all kinds of wholesale and retail merchants dealing 
in all kinds of foreign and domestic merchandise, goods, and products, manufactured 
or unmanufactured. 

f. License taxes on importers. 

g. License taxes on exporters. 

h. Excise license taxes on the sale and manufacture of alcoholics, cigars, and 
cigarettes. 

i. Occupation taxes on speculators, butchers, auctioneers, hotels, etc. 

j. Specific taxes on vehicles, l)oats, capstans, steam cranes, etc. 

k. Occupation taxes on undertakers, circuses, theaters, bullfights, gambling tables, 
etc. 

1. Specific tax j)er meter of city tramways and railways. 

m. Specific license taxes on manufactories of cocoanut oil, sugar, tiles, candles, ink, 
indigo, paper, powder, hemp, and on most of the other manufacturing industries. 

n. Special license or occupation taxes on bakeries, laundries, printing establish- 
ments, etc 

o. Occupation taxes on land surveyors, lawyers, surgeons, architects, teachers, 
interpreters, reporters, photographers, tailors, shoemakers, milliners, silversmiths, 
carpenters, and on many other arts, trades, and professions. 

Of these taxes those included in subdivision (b) have been repealed by general 
orders or by acts of the Commission and should stay repealed; on the objects and 
occupations included in subdivisions (a), (c), (d), and (h) taxes are imposed in the 
proposed internal-revenue law, and can be dismissed from further consideration; the 
tax imposed in subdivision (f) is essentially a customs tax and should be repealed; 
the tax imposed in subdivision (g) is generally considered as an economic heresy 
and should be repealed. Of the occupation taxes imposed in subdivisions (i), (j), 
(k), (n), and (o) some should be repealed and nearly all should be eliminated from 
the proposed internal-revenue law inasmuch as the occupations taxed are peculiarly 
Boited for exclusive taxation by municipal corporations, the license rates of which 
can be raised or lowered and a certain degree of elasticity be given to municipal 



182 REPORT OP THE PHILIPPINE COMMISSION. 

finances in the variooB localities ao as to adequately meet the budgetary demands 
from year to year. The tax imposed in subdivision (1) could, if it is considered a 
good tax, be more properly incorporated in the tax on corporations or in the real- 
estate tax. 

There thus remain for consideration the taxes imposed in subdivisions (e) and (m) 
on all kinds of business and manufacturing industries, except those coming within 
excise taxation proper, and such professions, trades, and arts as can be considered 
proper objects for a comprehensive system of taxation uniform throughout the islands. 
The question at once arises: Why should these taxes, which constitute the bulk of 
the "industria** taxes now being collected, be incorporated in the proposed internal- 
revenue kC\i'? And if it is decided to continue the collection of a tax on these com- 
mercial and manufacturing industries and on certain occupations, then (a) should 
the tax rates now imposed be continued, repealed, or amended? (b) Should the 
system of classification and assessment of merchants, manufacturers, etc., now in 
operation, be continued, repealed, or amended? (c) Should the existing system for 
the collection of the tax, the imposition of fines and penalties, and the distribution 
of the taxes collected be continued in operation or repealed or amended? 

There is at present no direct tax imposed on personal property in these islands except 
in the province of Ben^et (section 33, Act No. 48 of the Philippine Commission), 
and Nueva Viscaya (section 55 of Act No. 387) and other minor provinces to which said 
act is applicable, but those provinces are exempted from the payment of internal- 
revenue taxes (Act No. Ill) . If, therefore, the burden of taxation is to be evenly dis- 
tributed among all classes it would appear to be absolutely essential that that large 
portion of the assets of the commonwealth represented by goods, wares, merchandise, 
and manufactured products of all descriptions should pay to the public treasury its 
proper quota of taxes, and my recommendation is that taxes on commercial and 
manufacturing enterprises in general and on certain professions, trades, and occupa- 
tions, as enumeratcKi below, continue to be collected. Through the experience 
derived from a year's enforcement of the "industria y commercio" tax in Porto Rico 
(very similar in all its essentials to the tax now being collected here, but now 
repealed in Porto Rico by the imposition of a personal property tax on a basis of 
assessment of market values), and after a thorough examination of the general orders 
of the military governors and of the acts of the Commission regarding taxation, and 
from interviews had with the deputy assessor and collector of Manila, in charge of the 
**industria** tax in this locality, and with one or two of the provincial treasurers, it 
is my opinion with regard to the rates of taxation, classification, or assessment of 
industries and method for the collection of the ** industria" tax as now in force, that — 

{&) The tax rates now imposed should be repealed, because (1) the rule of taxa- 
tion is not uniform and does not even remotely constitute an income tax on profits 
at some approximately equal percentage of assessment. Thus, in paragrapn 1 of 
tariff 2, bazaars selling all kinds of hardware, chinaware, glassware, jewelry, earth- 
enware, porcelain, Chinese and Japanese goods, mirrors, musical, optical, and surgi- 
cal instruments, games, perfumery, fine furs, and all articles analogous to those 
enumerated, pay m Manila an annual tax of 400 pesos if they import direct, or 200 
pesos if they do not import, and as a matter of fact a number of these establishments 
combine and import their goods through one or two establishments or customs-house 
brokers who have paid the larger tax quota and qualified as importers, and in this 
manner the majority of such bazaars pay the lower tax of 200 pesos per annum. The 
volume of business done by a bazaar of this kind can be conservatively estimated at 
from 50,000 to 100,000 pesos per annum, with good profit— say from 10,000 to 20,000 
pesos per annum — and on such basis the annual tax on the profits would be from 1 to 
2 per cent, or from 2 to 4 per cent if the bazaar paid the higher tax as an importer. 
On the other hand, a simple stationer's shop or store pays by paragraph 24 of tariff 2 
an annual tax of 200 pe^sos if it imports or 100 pesos it it does not, wnich is eoual to 
just one-half the tax paid by the bazaars mentioned above, yet the volume of busi- 
ness done by the stationer would not be 20 per cent of that done by the owner 
of the bazaar, and his profits on a given amount of sales would not be one-half 
of the profits derived bv the owner of the bazaar on the same value of sales of 
jewelry and fine goods of all kinds. All shops and stores dealing in the same line 
of goods in the same municipality pay the same specific tax r^araless of the value 
of stock carried or the bulk of the annual sales, which provision is manifestly inequi- 
table and u palpable absurdity, and especially in view of the claim made that the 
** industria '* tax is an approximate income tax or in any sense a tax on the true value 
of personal property. It is interesting to speculate, though not difficult to forecast, 
what the effect on municipal and provincial incomes woiud be upon the installation 
here of the American system of department stores. In the examples cited above the 
owner of the bazaar pays from 1 to 4 per cent on the profits of his annual sales and 



BEPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 183 

the stationer, it is safe to assume, pays from 10 to 20 per cent on his profits if he carries 
an extensive line of ^oods. If his stock is scant his tax, if figurea on a percentage 
of profits basis, would be very much higher. The tax rates now imposed should be 
repMsaled also, because (2), of the haphazard hit-and-miss kind of way in which the 
taxes are imposed. Thus a dealer in a small booth exclusively of salt and only at 
retail i>ays an annual tax of 12 pesos, but if he quits selling salt and takes to ped- 
dling cigars, cigarettes, cocoanuts, betel nuts, etc., thread, cotton, needles, buttons, 
etc, nipa, rattan, cane, and bamboo, his annual tax is reduced to 2 pesos, but if he 
drops cigars and cigarettes from his stock his tax is increased to 4 pesos per annum; 
again a retailer exclusively of rice pays 30 pesos per annum, whereas a retailer 
exclusively of alcohol pays an annual tax of but 10 pesos; a shoemaker pays an 
occupation tax of 100 pesos and a silversmith only 30 pesos; a surgeon pays ttie same 
occupation tax as a chiropodist — 12 pesos — but an engineer, any and all kinds, pays 
100 pesos and his assistants pay 60 pesos each. Instances of the illogical and extremely 
inequitable manner in which the *' industrial* taxes are distributed throughout the 
various tariffs might be multiplied almost indefinitely. The taxes imposed on the 
very small dealers, although disproportionate to the other taxes, are moderate 
enough and therefore not particularly objectionable, but when the peddler or booth- 
keeper saved enough to start a small store his troubles began and he would find it 
very difiicult to save enough from his profits to extend his business. If the object 
of the author of the ** industria *' tax law was to limit the more important and more 
profitable branches of trade within a chosen circle of long-established concerns and 
their branch establishments throughout the islands, he has succeeded admirably. 
The tax rates now imposed in this law should therefore be repealed, because (3) 
under the changing conditions of commercial life they are repressive of industry 
and of the praiseworthy ambition of the merchant with modest capital. They 
should also be repealed, because (4) they are based on the false assumption that the 
profits derived from business enterprises in Iloilo and certain other towns are only 
two-thirds and in other towns only one-half and one-third, respectively, of what the 
profits on the same business enterprises are when conducted in Manila; and finally, 
these tax rates should be repealed, because (5) through the consolidation of various 
municipalities now in progress by the Commission will result an anomalous condi- 
tion whereby similar business enterprises located in the same municipality will be 
taxed at widely divergent rates and the existing tax system, which even now is in 
the nature of an intermunicipal (or octroi) tax, would become much more compli- 
cated and inequitable. 

(b^ I recommend that the existing system for the assessment or classification of 
the business enterprises be repealed, because (1) the tax is imposed on too many 
objects or distinct kinds of business, grouped, arranged, and rearranged, distributed 
and redistributed from paragraph to paragraph and throughout the tariffs, by arbi- 
trary distinction and without any real difference, and continually shifted with 
kaleidoscopic effect and in such manner that the oldest man in the world would not 
live long enough to become an expert assessor of this tax. I found in Porto Rico 
that even men who had served for years in the oflSce of the "intendente** during 
the Spanish regime seldom agreed in their interpretation of the "industria" tax 
law. Spanish lawmakers in their futile attempts to make their penal codes provide 
punishments fitted with the utmost precision to punish every offense that could 
possibly be committed, and in their attempt to give due weight with the utmost 
nicety to each and every aggravating or extenuating circumstance attending the com- 
mission of an offense, enacted laws which make a single day the unit of time fpr the 
measurement of terms during which criminals could be imprisoned. Some such 
attempt at mathematical accuracy appears to have been attempted in the preparation 
of the **industria*' tax law, but the result obtained has been to hopelessly involve 
the intent of the lawmaker and thereby to invest in the assessors and heads of the 
administrative departments an undesiraole degree of discretion, amounting in some 
cases to the imposition administratively of new taxes or to an administrative exemp- 
tion from taxation, and therefore the existing system for the assessment or classifica- 
tion of business enterprises should be repeaieu, because (2) the provisions of law 
are involved, illoji^cal, inequitable, contradictory, and so complex and obscure that 
their administration with any but an approximatie degree of uniformity, by the rev- 
enue officers in different parts of the islands, is not to be expected, even assuming 
that such officials acted at all times with perfect impartiality. In this connection I 
submit herewith, in an envelope marked **B,'' certain documents relating to the 
taxation of a rice hulling mill run by Mr. Griffith in Apalit, province of Pampanga, 
and a communication from Mr. Ortigas, of Manila, relating to the assessment of tne 
tax on crude and rectified alcohol. The relations for the classification and assess- 
ment ol certain stores should also be repeided, because (3) the tax rate is not fixed 



184 BEPORT OF THE PHILIPPINE COMMISSION. 

according to the value of the stock of goods, nor of the volume of sales made, nor of 
the profits derived, but instead is assessed on certain objects generally considered 
immune from the tax gather, i. e., light, air, and elbowroom; thus in paragraphs 
34 to 37 of tariff 4 stores and shops for the sale of spun and woven goods, clothing, 
toilet articles, and a general line of goods sold by haberdashers pay in Manila annual 
taxes as follows: If the shop has but one door open to the street, 120 pesos; if it has 
two doors, 150 pesos; and if in addition it has a go- down, 200 pesos. Of course 
Chinese and other merchants, with comparatively firge stocks, get into the lower 
class rate by cooping themselves up in a small den, and bv piling and hanging their 
wares up to the ceilmg, to the great discomfort of themselves and the public, and all 
because by this unwise provision of law a premium is put on darkness, overcrowding, 
and heat, and the necessary concomitants of filth and disease. 

(c) I recommend that the provisions of the ** industrial tax for the collection of 
these taxes be repeal, because ( 1 ) they are too antiquated and not fitted to serve the 

Surposes of a modem system, in fact have already from necessity been largely 
eparted from; (2) because they provide for the intervention of certain officials, 
including ecclesiastics no longer known to existing laws, and (3) because the punish- 
ments and penalties provided for defrauders and delinquents are not uniform with 
the other penal provisions of the proposed internal revenue law and because they 
do not provide adequate punishment for offenses of an aggravated nature. 

It would therefore appear that the defects in the "industria" tax system now in 
force are structural in their nature and can not be properly dealt with by amendment 
or modification. If, as has been alleged, the busmess of these islands has adjusted 
itself to the provisions of this law it is safe to assume that the kind of adjustment 
meant is on all fours with the kind of adjustment that is brought about between the 
board and the skull of a Flathead Indian papoose. 

I have deemed it advisable to make a thorough analysis and criticism of the exist- 
ing "industria" tax system in view of (1) the proposed incorporation of certain of 
the objects taxed in the proposed internal-revenue law; (2) in view of the handsome 
revenue now yielded by the taxation of commercial and manufacturing enterprises 
and the increased yield which could be expected through the enactment of a practi- 
cable and equitable law imposing taxes on such enterprises; (3) in view of the 
necessity of a tax on such personal property which, taken together with the other 
taxes imposed in the proposed internal-revenue law and the real-estate taxes now in 
operation, would round out the internal-revenue taxation system of the islands, and 
(4) in view of the opposition which the commercial interests, now protected by the 
"industrial* tax system, may be expected to develop against any change in the 
existing law. 

So much for the tearing down of the old; now as to the building up of the new 
system to take its place. In the preparation of the inclosed draft of a "tax on 
business, manufacture, and occupation'' I have endeavored to secure—* 

1. That the rule of taxation should be uniform throuj?hout the islands. 

2. That the manner of the assessment be simple, intelligible to even the most 
ignorant taxpayer, and that it be not repressive of any business or industrial 
enterprise. 

3. That the occupation taxes on professions, trades, and arts be limited in number, 
so that the various municipalities may have an ample scope of objects on which to 
impose and grade municipal occupation taxes sufficient to meet any deficiency in 
their local revenues for any year. 

4. That the payment of the taxes should, to the extent possible, be made auto- 
matically. 

The system of taxation proposed in the inclosed draft may be described as an 
indirect tax on certain personal property collected at the time of change of owner- 
ship. All personal property is not reached by this tax, but such kinds of }>ersonal 
property as are not here included will, to a certain extent, incidentally pay other 
taxes imposed in the proposed law, thus such portions of the ordinary man's salary 
as are not spent in the purchase of goods would be put in some bank and there taxed 
as a deposit, fortuitous profits and moneys received for services rendered are 
reached m some way in the stamp-tax schedules. Such property as carromatas and 
other vehicles, boats, etc., is not reached in the draft here submitted, but are prop- 
erly left as objects to be taxed exclusively by municipal corporations, and finally if 
work stock, agricultural implements, and agricultural procmcts consumed by the 
farmer himself or sold by him are not taxed it is probably a wise exemption. 

The occupation taxes imposed in section 144 of the inclosed draft are much lower 
than the taxes now imposed by the "industria'' tax law and should be satisfactory 
to the average taxpayer. 



BEPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 185 

There is a certain an^ogy between the customs taxes collected on imported goods 
and the taxes imposed in the draft here submitted — in the former case the importer 
acts as an unofficial collection agency for the government, but inasmuch as he has 
already paid the customs duties he adds them to the price of his goods, and to 
this total adds his percentage of profit and thus collects from the consumer a surtax 
on the customs duties which never gets into the insular treasury; on the other hand 
the merchant and manufacturer in the draft of law here submitted act as collection 
agents for the government, but under the proposed provisions they have neither the 
opportunity nor the inducement to collect a surtax from the consumer of their 
goods. 

Whether or not there is any absolutely certain, complete, and equitable method 
devisable for the assessment of personal property will probably forever remain an 
unsolved problem. I submit the above araft of law b^use I believe it will elim- 
inate most of the objectionable features of the existing law, establish a more uniform 
rule of taxation, and will put merchants and manufacturers on an even footing 
in so far as such equal rights and opportunities can be secured by legislative enactment. J 

Respectfully submitted. 

J NO. S. HORD. 

To Hon. Hbnry C. Ide, 

Secretary of Finance and Justicey Manila^ P. L 



Appendix B. 

EXCBBFT raOM <'THE PHILIPPINE FLORA," VOLITME IV, BT FATHER BLANCO— 

NIPA PALM (8A8A). 

NiPA Fbuctxcans, Wurmb. 

It is well known that the vino pampango (pampangan wine) is drawn from the nipa. 
Houses are thatched with its leaves, and it is useful for many things. When the 
centipede stings the sting is cured at once by masticating nipa and applying it thereto. 

Partially dned nipa, placed over a sore or upon the lint applied to the sore, is .a 
holy thine; it forms tlie scab and does not allow the formation of pus. 

^ipa.— Monoecious flowers. The males have spathes with corolla of six petals. 
The females in spathe without corolla. The fruit consist of many angular drupes. 

Nipa shrub. — Winged leaves, numerous sword-shaped leaflets, and all joined by the 
kpexes, as with the cocoanut, and in time they separate. Monoecious flowers in 
spathes. Males in two-leaved spathes. The minor one covers three or four oblong 
receptacles filled with innumerable leaflets, very closely packed at the end of a long, 
scaly, pine-shaped crowth, the underscales of which do not conceal any flower what- 
ever. The corolla has from four to six lineal and thick petals. On the exterior side 
one thread of the stamen is as lon^ as the corolla; the anterior of the whole length 
of the thread is conical, with semispiral furrows and no hole. The females issue 
paired with the males on one side of the growth and on their own rod, and are 
united in a globular receptacle having at its base about ten or eleven pointed leaflets 
in two series. The germs in great numbers are semipyramidal and pinelike in shape, 
and when young each has a fissure wheref rom exudes a fluid resin. The fruit con- 
sists of many drupes close together and easily separable. The drupe is truncated and 
compressed by two or three projecting angles and other obtuse ones; the covering 
thereof is hard on the outside and towhke within; the nut is likewise hard. 

[From Volume III.) 

These palms, also called **sasa'* and known by everybody, grow on lands covered 
by saltwater, and their greatest height is about 2 brazas (12 feet). The useful- 
ness drawn from them is very great; its leaves masticated and applied to the stings of 
centipedes cure at once; moreover, they serve as thatching for houses. A decoction 
of them is excellent for washing wounds. The water that exudes from the spadixes 
of the flowers, treating them as is done with the cocoanut, and called tuba by the 
Indians, serves as an excellent yeast for wheat bread in this country, where flour 
yeast spoils quickly. But if this latter is good it is better to use it, because bread 
inade of tuba yeast sours soon. The tuba liquor, like that of the cocoanut, is admin- 
istered to consumptives. After standing a few days it becomes, without further 
process, a highly prized vinegar. Spirit is also made therefrom by heat distilling. 



186 REPORT OF THE PHILIPPINE COMMISSION. 

It is claimed that this spirit preserves the eyesight if the eyes be bathed with it in 
the morning. It also imparts an agreeable odor to tobacco. The fruit — i. e., each 
drupe— is almost identical as to conditions and texture to the cocoanut; the interior 
meat is eaten. The sole difference is in the shape. It flowers in September. 

FURTHER REMARKS. 

In Capiz and Panay they make from the green, voung, and corrugated leaves half- 
round pails to bail out water and tuba from the bancas. With the dry leaves, also 
used for thatching, they manufacture very wide, conical-shaped hats, good protectors 
from the sun. They likewise use them to make sails for cascoes and other small craft. 
The dry leaves are also useful as fuel for the boilers of some domestic industries. 

The fiber of the outside leaves is used to make magnificent brooms. 

With the meat of the fruit and fresh tuba they make good sweetmeats. 

The fresh tuba is a very agreeable and sweet drink, but it must not be abused of 
because it is rather laxative. From tuba ^upar can be extracted, and from the ashes 
of the leaves and branches potash is obtamed, but in small quantities. (Experi- 
ments made in Ayala's laboratory. ) 

The plants when bathed by salt water produce tuba of greater saccharine richness. 
In order to produce fruit in abundance the trees should be at a certain distance from 
each other, removing those between and leaving on the others only four or five leaves. 

To kill the plant it is not onlv necessary to cut it even with the ground, but also to 
stick the root, shaped like carabao dung, with an iron bar. 

These plants are useful to utilize and fortify swampy land unfit for any other culti- 
vation because bathed by salt water. 

They have an enemy in the insect called * * acsip. ' ' When attacked the plant begins 
to dry up and dies in a short time. This is propagated easily from one plant to 
another, and the onlv remedy heretofore employee has been to bum the portion of 
nipa plantation attacked by tnis disease. 



Appendix C. 
THE NIPA PALM. 

[From "Medicinal Plants of the Philippines," by T. H. Pardo de Tavera, Madrid, 1902, pages 298 

and 299.] 

/ 
NiPA Fructicans, Wurmb. 

Common name, "nipa** in Spanish; ''sasa** in Tagalog. 

Applicaiions. — The dry leaves of this palm tree are those generally used in the 
towns of Manila, in Pampanga, Bulacan, and other provinces, for the roofs and walls 
of the so-called nipa houses. The decoction of the fresh leaves serves as a lotion in 
sores of a bad nature, and from the fruit a sweetmeat is made which is highly prized 
in the Philippines. 

Like the cocoanut, this palm tree, under the same process in practice, produces a 
liquid called likewise ** tulm," and having identical properties. The spirit obtained 
by distillation is suitable for the cure of inflammation of the eyes and for conjunc- 
tivitis; a few drops are put into a small quantity of water, wherewith the affected 
eye is bathed several times a day. 

This spirit, wrongfully called nipa wine, has an odor peculiar to itself and rather 
disagreeable, which makes it unsuitable for industrial purposes. Several chem- 
ists nave at different times tried various processes to eliminate from the nipa alcohol 
its characteristic smell, but the results were always negative because the essence 
imparting the odor distilled, apparently, at the same temperature as the alcohol 
itself. Finally, Don Anacleto del Rosario, a distinguished Filipino chemist, has 
succeeded, by a process of his own, in producing from the nipa ** tuba**, an abso- 
lute alcohol perfectly free of the characteristic odor — an alcohol chemically pure and 
of such favorable conditions that when presented at the last World's Fair in Paris it 
secured the first prize in alcohol competition. Messrs. Ayala & Co., the proprietors 
of Sefior del Rosario* s process, presented said alcohol, and they manufacture it at 
their distillery in San M.iguel. 



REPOBT OP THE COLLECTOR OF INTERNAL REVENUE. 



187 



Appendix D. 
DISTILLED 8PIBIT8 DT THE PHILIPPINES. 

[Editorial from El MercanUl, of Manila, July 8, 1906.] 

From the time in which the manufacture of alcohol in the Philippines was encum- 
bered with internal-revenue taxes, in consequence whereof a discussion arose as to 
whether or not such taxation would either crush or improve said industry, every- 
thing concerning domestic alcohols would appear to be of interest, and for this 
Purpose we will give a brief account of the vicissitudes it has undergone in the 
hilippines from the most remote times. 

After describing by steps everything that has taken place here with regard to said 
industry, the public may draw out the consequences and make comparisons, pointing 
out what shall lye the final destiny reserved for this class of products, which, as 
regards this country, were thriving from day to day. 

ouch spirits as were distilled in this country from the coco and nipa palms were 
monopolized in 1712 by Don Martin de Urzua, governor of these islands, upon request 
of the municipal council, by reason of the abuse which the natives made of the same, 
being then farmed out for the sum of ^10,000 In 1714 and 1720 royal orders 
were received wherein it was provided that under no pretext should the manu- 
facture or sale of alcohol made from the sugar cane be permitted or consented to, 
violators to be fined in the sum of P'1,000 for the first offense, P'2,000 pesos for the 
second offense, and ^3,000 for the third, besides destroying the utensils used in 
manufacturing and seizing the liquor so distilled. 

Later on, by royal order dated 1725, the monopoly was abolished, and the munici- 
pal council again prayed for it as a punishment for drunkenness. 

By reason of the war with the British the manufacture and sale of alcohols again 
came to be free until the year 1764, in which the trade was prohibited, the farming 
out of the sale of alcoholic beverages being reestablished. 

Under date of December 20, 1787, the intendente (secretary of finance), D. Ciriaco 
Gonzalez Carvapal, reported having included the vino business within the control of 
the administration, under the financial department and under the management of the 
collector of revenue on tobacco, in some of the provinces of Luz6n, in compliance 
with a royal order of the year 1786. 

In 1814 special oflSces for the vino revenue were established, and the monopoly was 
extended to all the provinces in these islands. 

The monopoly offices having adduced the several reasons which since 1836 had 
contributed to the falling off in the products which formed this revenue, and the par- 
alyzation they were in, owing to the numerous stores freely selling European alcohols, 
it was provided, by a decree of the year 1851, that such stores should be taxed as 
follows: Stores selling alcohol wholesale and retail, ^12 per month; for selling retail 
only, FlO. 

In 1862 the alcohol monopoly was finally done away with, and two years later the 
trade and manufacture of all kinds of alcohol was declared free. From the above 
date, and with the sole purpose of protecting said industry, a tax of 4 cents per liter 
was imposed on all foreign alcohols, if common alcohol, and 8 cents per liter if com- 
pounded. Such alcohols as were imported from the Peninsula were admitted into 
the islands free of duty. 

In this condition the year 1874 was reached, when comparative statistics show us 
the values of imported alcohols in three distinct periods, separated by decades, as 
follows: 





From— 


1854. 


1864. 1 

$42,765 1 
42.560 1 


1874. 


Spain 




$16, 719 
3,210 


$27,679 


Foreign 


162,031 





The progress in foreign imports is clearly explained by the moilerate duty imposed, 
and the facility with which it came from Singapore. The falling off observed in 
imports from Spain was chiefiy due to the improvements obtained in the manufac- 
ture of Philippine alcohols, which competed to advantage with all kinds of imported 
alcohols. 

With slight changes the alcohol trade was at this point when the present govern- 
ment encumbered it with the act known as the internal-revenue law. 



188 KEPORT OP THE PHILIPPINE COMMISSION. 

Appendix E. 

BEPOBT BT INTEBKAL-BEVEHITE AOEKT SHAW OK THE DI8TILLATI0K 07 
8PIBIT8 FBOM THE KIPA-PALM SAP AHD FBOM 8U0AB, IK THE PBOYIKCE 
07 PAMPAKOA. 

The distilleries in the province of Pamnanga are in a prosperous condition, there 
being a marked increase in the output ana sale of spirits over that of last year. 

Up to the Ist of June, 1905, there were 8 distilleries in operation. On May 31 the 
2 distilleries owned by Ayala & CJo., located at Macabebe, m the barrios of Sian Este- 
ban and Consuelo, closed down, owing to the lack of nipa. They will both resume 
about August 15, at the opening of the nipa season. Of the 8 distilleries mentioned 
4 distil from nipa and 4 from sugar. 

I have received notice from the manager of the distillery of Sefior Benito Legarda, 
located at Lubao, that operations will commence Septemtier 1, 1905. This distillery 
has been closed since early in 1904. Nipa will be used in distillation. The resump 
tion of operations by this distillery will considerably increase the output of liquor in 
this province. 

Of the distilleries mentioned but one has rectifying machinery. This distillery is 
located at Guagua and makes large shipments of spirits to Manila. 

The balance of the distilleries produce low-grade spirits. In addition, four of these 
are licensed as compounders of liquors. The sales of liquors compounded by them 
are mostly confined to Pampanga and Tarlac provinces. 

It is expected there will oe a shortage in tne nipa crop in this province this sea- 
son, and it is thought by some manufacturers that considerable sugar will have to be 
used by them. This is not expected to affect the output of spirits to any appreciable 
extent, the large sugar crop of last season having considerably decreased tne market 
price of sugar, making il very little dearer than nipa. 

Proper storage tanks are now being installed in all the distilleries. These, when 
completed, will save a large quantity of spirits which have heretofore evaporated, 
owing to the manner in which they have been stored. 



Appendix F. 

BEPOBT 07 IKTEBKAL-BEVEKVE AOEKT MIKOB OK THE DISTILLATIOK 07 
"VIKO" 7B0M THE KIPA PALM IK THE PBOYIKCE 07 PAKQA8IKAK. 

One of the most important industries of the province of Pangasinan is the manu- 
facture and sale of nipa vino, a liquor distilled from the sap which flows from the 
stalk on which the bud of tlie nipa palm grows. In the towns which are included 
in the delta of the Agno River, the nipa palm is very abundant. It grows on the 
low, swampy land which is almost entirely useless for other purposes, and thrives 
best on ground which is daily inundated by the tide; in fact, salt water seems to be 
a necessity. One clump or stand of the nipa palm produces from one to three buds 
annually, and these buds mature in the months of August, September, and October. 
In some seasons there seems to be a sort of second growth, wnich matures three or 
four months later, but this does not amount to much. The stalk on which the bud 
grows reaches a height of about 3 feet, and the bud, which consists of a round cluster 
of seeds, is generally from 8 to 12 inches in diameter. 

The native method of gathering the tuba, as the sap is called, is very crude. When 
the bud is fully matured it is cut off and over the end of the stalk is hung a bamboo 
joint which holds about a liter. Twice a day the tuba gatherers visit the tapped 
stalks and empty the bamboo joints into gourds, each time cutting a thin wafer-like 
slice off of the end of the stalk. This continues for about three months, or until the 
stalk gets so short that the bamboo joint will no longer hang upright. During this 
time one stalk will flow from 150 to 200 gauge liters of tuba. After gathering the 
tuba, it is taken to the stills and stored in tinajas (earthen jars), and when it has 
reached a certain stage of fermentation it is distilled. The tuba when fresh is quite 
sweet and is considered by some as a very pleasant drink. 

In the province of Pangasinan at the present time there are 2 distilleries and 101 
cauas, or native stills. One of the distilleries is located at Domalandan, a barrio of 
Lingayan, and the other at Dagupan. The one at Domalandan is practically a new 
plant, having gone into operation January 1, 1905, and has a daily capacity of 4,000 
proof liters of spirits. This distillery is owned by an incorporated stock company, 
some of whose members formerly owned cauas. As work was not begun until the 
best part of the distilling season was past, a comparatively small amount of spirits 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 189 

was distilled, only about 60,000 proof liters. The distillery in Dagupan is an old 
plant and of somewhat larger capacity, and also has a rectifier, although no rectifying 
nas been done since January 1, 1905. 

The caua or native still is a very primitive arrangement, consisting of a fireplace 
made of stone, mud, and bamboo cane. Setting on this fireplace is a lar^e kettle or 
caldron which holds about 750 liters. Over this caldron is a hogshead without any 
heads, hung on a derrick -like arrangement by which it may be lifted and swung away 
to one side, and in the top of this hogshead sets another caldron. Running diago- 
nally through it is a bamboo cane, one end being a little higher than the other. To 
operate the still a fire is first built; then the lower caldron is filled with tuba and the 
hogshead is SA^-ung around and dropped down over the caldron containing the tuba, 
being banked with mud, clay, and rags to make it air-tight; the upper caldron is filled 
with cold water, which is constantly changed. The steam arising from the tuba con- 
denses against the upper caldron, runs down to the apex, and into the bamboo cane, 
which carries it to a receptacle outside, "vino de nipa." The capacity of one of 
these cauas for twenty-four hours is about 230 proof liters of spirits. Or the 101 in 
the province, 36 are located in Lingayan, 28 in Dagupan, 19 in Binmaley, 7 in Salasa, 
6 in Mangaldan, 4 in Sual, and 1 in San Fabian. Each caua is owned and operated 
by one man; probably in less than half is the vino distilled owned by the same party, 
for in many cases all the holders of small patches of nipa in a neighborhood distill 
their tuba m the same caua, either paying so much for each distillation or, as is more 
often the case, giving the owner a part of the vino distilled. 

During the fiscal year of 1904-5 tnere were distilled in the province approximately 
1,300,000 proof liters of spirits, and less than one-third of this is still in the hands of 
the distillers. Last year there was an unusually large crop of nipa buds, consequently 
the amount of vino produced was far in excess of former years. The natives claim 
it to have been the best season for twelve years. This year the buds are not as 
plentiful nor as large, but with the continuous rains that are now falling it seems 
quite possible that by the time the distilling begins there will be enough to supply 
all the factories in operation, and with the addition of the distillery at Domalandan 
it is probable that as much or more spirits will be distilled this year as last. 

The spirits distilled in the cauas is of very low proof, very little being over 50 per 
cent. It is consumed in its raw state, none of it being made into manufactured 
liquor. That distilled in the distilleries is reduced with water to about the same 
proof and then sold for consumption. A very small per cent is sold for industrial 
purposes. 

The province of Uni6n furnishes the best market for Pangasinan vino, a lai^e pro- 
portion being shipped to the town of Bauang, which seems to be the distributing 
point for that province. Quite a good deal is also sold in the province of Tarlac, 
especially the town of Camiling. 

The price received is not as satisfactory as could be wished. Before the internal- 
revenue law went into effect vino was sold entirely by the ganta, a very indefinite 
measure made from a joint of bamboo and holding approximately 3 liters, although 
many of these old measures held nearly, if not quite, 4 liters. The price received 
varied according to the season and supply, sometimes being as high as 40 cents and 
at other times as low as 20. Taking 30 cents as an average price, and assuming that 
the vino was 50 per cent proof, it would mean that the manufacturer received 20 
cents per proof liter for his product. At the present time vino is being sold for 30 
cents per proof liter, leaving, after the tax is paid, a balance of 10 cents. There are 
a number of reasons why the price is not higher, principally, I think, because 
the supply is greater than the demand,, and all the manufacturers are anxious to 
enapty tneir storage tanks before the distilling season begins. 

During the early part of the year the general price was much better, many large 
sales being made at 35 and 40 cents per proof liter. Another thing that has affected 
the market is that in former times a great deal of credit business was carried on. As 
the tax has to be paid prior to the removal of the spirits, it has forced the manufac- 
turer to do a cash Dusiness, which I believe all are beginning to think is a good thing, 
and many of the dealers, especially from Union Province, who formerly never paid 
for a shipment until it was sold, now have to pay cash, and consequently are doing a 
much smaller business. Still another thinjj which is affecting the vino market is the 
cheapness of the native drink, basi, which is now selling here for 3 cents a liter, and 
many, especially of the poorer classes, drink this instead of vino. 

The future of the vino industry in this province looks promising. During the 
months of February and March, and at the time the factories were bonded, many of 
the manufacturers signified their intention of going out of business as soon as the stock 
of spirits on hand was disposed of; among this number was the owner of the distil- 
lery in Dagupan. In the latter part of June I talked with this distiller, and he told 
me that he had decided to continue as usual, and with one or two exoeptions the 



190 REPORT OF THE PHILIPPINE COMMISSION. 

others have said the same thing. It is my opinion that there will be as many fac- 
tories in operation in the coming year as in the past Some time since there was con- 
siderable talk of a number of the owners of cauas in the barrio of Domalandan, 
Lingay^n, combining and forming a company to construct and operate a modern dis- 
tillery in that barrio, and in the barrio of Balococ there was talk of the same thing, 
but as ^et no active steps have been taken. It seems to me this is the logical effect 
of the mternal-re venue law; it will cause a few modern distilleries to take the place 
of the many primitive stills, thereby not only increasing the product, but the qual- 
ity of the spirits manufactured, and I believe the industry will be more profitable to 
the owners of nipa palm land in the future than it has been in the past. 



Appendix G. 

BEPOBT BT IHTEBNAL-BEVEinTE AGENT BBOWH OK THE DI8TILLATI0K OF 
8PIBIT8 FBOM THE NIPA PALM IN THE PBOYINCE 07 CAOATAN. 

In the year 1602 the plains of the nipa district of the province of Cagayiin were 
one great swamp. The vegetation then growing on these plains did not include the 
nipa plant In that year some natives of Abulug journeyed to Pangasimin and 
brought back with them seeds of the nipa. These seeds were planted at Abulug and 
have multiplied to the nipales of the present day. 

The fruit of the nipa about the time it is ripe is sweetish, soft, and nutritive, and 
is eaten by the natives, but the quantity thus consumed is insignificant, and so the 
nipales are continually multiplying. When the fruit is cut from the etalk it is left 
where it falls, to take root or be carried away by floods or tides. In every nipal 
shoots are seen in all directions, and seeds that have been carried away may be seen 
in the form of young healthy nipa plants perhaps standing alone on some small islet 
in the river. 

From Abulug seeds have been taken to all parts of the provinces of Cagayan and 
Isabela, there to be tried on the banks of the Kfo Grande at all points, or to*l)e tried 
in the swamps in the interior, but it seems the nipa will not grow or thrive unless 
planted near the sea. Outside of the nipa district at the barrio of Buguey the nipa 
has also found its way, and there it grows strong and healthy and in abundance, but 
unfortunately the owners are not able to profit from the tuba which may be taken 
from the fniit stalk, this owing to the lowness of the land. The tide flows through 
these nipales and rises high enough to destroy the tuba collected in the bamboo tubes 
or **canutoe.*' The distillery opened there in April has been temporarily closed on 
this account. 

Of the early mode of distilling spirits in the nipales little information has been 
obtained. Earthen jars were used and a small quantity of vino manufactured, but 
this was wholly for the use of the owner, no attempt being made to produce quanti- 
ties large enough to make the vino a paying article of commerce in the province. 

In the months of May, June, and July the flower of the nipa plant appears, and in 
October the stalk bears fruit, which may be cut and the sap or tuba collected. If 
this fruit is not cut in the month of October it will be found still fresh and the stalk 
in the same condition as late as July of the following year. The tuba, which is now 
being distilled and which has been distilled since March last when the first factory 
was opened under the internal-revenue law, is from last year's fruit. But July is 
the limit, and if the fruit is not cut it falls to the ground. The owner of a factory 
which was opened in the end of the month of June has stated that it is only by 
increased efforts on the part of his workmen that he is able to continue. A sample 
of last year's fruit was sent to Manila and also some samples of this year's crop. It 
is noted that the seeds of the sample of the old fruit are tailing from the cluster. 

Before the cutting from the stalt of the fruit of the nipa for the purpose of col- 
lecting the sap or tuba, the preliminary work in the nipales is of some importance 
and requires good men. All of the nipal must be gone over, the underbrush cut 
down, and each plant cleaned of withered branches. This work generally takes 
three or more men a period of five weeks, and when all is completed every stalk 
bearing fruit must be given a gentle pressure with the ball of the foot, the operation 
being repeated once or twice before cutting. It is claimed that if this is not done, 
and not done with great care, the stalks will not bleed. In the preliminary work 
should be included the collection of fuel. This takes perhaps a month or more on 
the shores of the sea and in the mountains. 

The number of stalks to be cut depends upon the number of workmen employed. 
An ordinary good workman is able to attend to 700 or as many as 1,000 plants, but in 
many nipalee the men are now attending to no more than 300 or 400. The cutting is 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 



191 



done with a thin sharp knife and the stalk left a distance of about 3 feet from the 
ground. To these stalks, which have acquired a drooping bend from the pressure 
caused by the weight of the fruit borne by them, are attached canutos (oamboo 
receptacles) in len^h about 2 feet and in diameter about 3 inches. In these canutos 
there is pierced or cut a hole large enough to admit the stalk, but without allowing 
of play. The end of the cut stalk is entered into the canuto, and without further 
fastening the canuto is left to receive the sap which oozes or drips into it, the stalk 
being strong enough to bear the weight thus attached to its free end. 

For the first two days the tuba collected is very sweet, and if properly filtered is a 
very agreeable and pleasant drink. It is not used for distilling and is generally 
boiled down and a good sugar obtained. This sugar is also pleasant in taste and 
answers well for sweetening coffee. From the third to the eighth day the quantity 
collected is very small, but after the eighth day the flow increases from day to day. 
From the stalk of one plant sap is taken for a period of from five to seven weeks, 
toward the end of the period there being a gradual decrease in the yield. 

The collection of tuba in the nipales is done in the early morning and in the after- 
noon, the men carrying a small vessel of 18 gjauge liters capacity which is filled from 
the canutos and carried to lai^r tinajas distributed in convenient points in the nipal, 
generally near by the bank of the estero. Before replacing the canutos a thin slice 
of from one-sixteenth to three-sixteenths of an inch is cut from the stalk in order to 
keep it bleeding in exactly the same manner as done by gatherers of tuba from the 
cocoanut tree. Having collected his tuba the workman takes the load to the factory 
by banquilla, and there his work generally ends. The work of the men who attend 
to the nipales is hard, but all of tnem look strong and healthy and have developed 
fine chests and shoulders. Thus the work is carried on in the nipales until all the 
tuba has been taken from the different sections. 

From the early mode of manufacturing distilled spirits with earthen jars, the dis- 
tiller of Cagay^ii has advanced to the caua, the apparatus now in use. This is a very 
imperfect machine and the manufacturers themselves admit this, but it is not believed 
that in Cagaydn any modern machinery will be installed. With the caua a low-grade 
alcohol of a not unpleasant flavor is produced, and this has won great favor with the 
natives of the provmce. All the Cagaydn vino is sold in the province and the distil- 
lers are simply supplying a need or want. The article produced by the properly 
equipped still coula not be sold in Cagavdn for use as a beverage. The cost of a 
proper plant is entirely beyond the manufacturers individually, and although they 
nave been talked to by the undersigned on the great waste occasioned by their crude 
method of distillation and shown the advantages of amalgamating and putting up 
one or two modem distilleries, there is little likelihood of anything being done. 
There is no unity, each little manufacturer preferring to be independent entirely of 
his neighbor. The following rough sketch will give an idea of the caua: 




CVLINOCR 



Tijfld &0.<4„tR 



■■■■■ -^ :--^ 



A furnace, circular in form, and built of stones and mud, with an open door for 
stoking, and generally without any built smoke outlet, and tapering at the top, 
receives an open iron boiler as shown above. The furnace is generally ample enough, 
and it doee not appear that there is a great lose of beat. A cylinder or distilhng 



192 BEPOBT OF THE PHILIPPINE COMMISSION. 

chamber, open at both ends, in diameter equal to the boiler seated on top of the 
furnace, rests upon the said boiler. These cylinders are made from solid wood, with 
walls about 1 inch thick, and are heavy and cumbersome. There are no nails used 
on them, the arrangement for lifting them clear of the boiler for the purpose of 
emptying or filling the boiler beine a luc or projection — part of the cylinaer itself — 
ana a bejuco line, which is fastened to me adjacent crossbeam of the shed covering 
the plant. On the top open end of the cylinder is placed another iron boiler, which 
is filled with cold water taken from a well, dug at the side of the plant, bv means 
of a very long-handled ladle. Within the cyunder a piece of bamboo in the form 
of a gutter, and leading out through the cylinder wall, receives the spirit as it falls, 
after having been condensed by striking the cool surface of the iron boiler containing 
the cold water placed on the top end. The operation is simple. A heavy fire being 
applied to the boiler containing the tuba, tnis is carried up in the gaseous form, 
strikes the cool surface of the condensing boiler, and falls into the bamboo gutter, 
and led outside the cylinder to the receiving vessel, a small tinaja, generally of 18 
or 20 liters capacity. 

The capacity of the tuba boiler used by the distillers of Cagay4n is on the average 
185 ^uge liters, and from this an average of 18 gauge liters of spirits are taken, the 
boiling taking generally a period of two hours, according to the fuel. More than 20 
gauge liters are seldom taken from one boiling, as the grade of the spirit falls at this 
point to almost zero. I have tasted the liquid at this stage and found it to be noth- 
ing but hot water. 

The article produced is a low-grade spirit, running generally from 25 to 31 Gay 
Lussac. A higner gnuie is not required, as the consumers do not appreciate anything 
much above 14 Cartier, and have stated so at different times. 

Of the condition of the distilling industry before the enactment of the internal- 
revenue law very little information has been obtained as yet. In those times there 
was no restriction, and the local authorities did not oblige the manufacturers to 
report in any way the operations of their factories. 

The following figures are made up from a statement signed by the late municipal 
treasurer of Abulug, and from other statements signed by the distillers in August, 
1904: Average output of each factory per month in 1903, 640 gauge liters; in 1904, 
1,056 gauge Titers. The statements referred to cover the operations of various fac- 
tories lor periods of one to six months. I am of the opinion that these figures are 
worthless and should be dismissed. Before the passage of the internal-revenue law 
the manufacturers of distilled spirits in Ca^yan Kept no records of the operations of 
their distilleries. A notch on the arigue with a bolo or a ' * 1 , " with a piece of charred 
wood on the beams of the shed for every tinaja of spirits distilled, was all the book- 
keeping done. The Cagay&n distillers are men ot very bad memories, so I have 
found, and in figures are afraid to make statements even if given a margin of from 5 
to 50. This is well borne out in the declarations made under oath by the manufac- 
turers now operating. Before the withdrawal of the military from Cagay4n business 
was good all over the province, and it was very common for a dealer to buy tinajas 
of vino at Abulug by the hundred. It is believed that the average output per month 
of each factory could not have been much short of 3,000 ^uge liters. 

The state of the industry about the end of February, when the undersijped arrived, 
was nearly as low as it could be. Two factories were dragging along m the Pam- 
plona district, and as soon as the owners learned of my arrival they waited upon me 
and tremblingly reported that they had been distilling spirits since the beginning of 
the year and showed properly kept simple records. They were immediately dis- 
missed and told to return to their factories and distill spirits day and night if they 
wished, and were also requested to notify their neighbors at Pamplona to get ready 
to open up their establishments as the bureau of internal revenue had sent a repre- 
sentative to help them, to explain the law to them, and to put their industry on a 
footing it never before had been. 

In Abulug conditions were bad. Not a still was being operated and but few peo- 
ple were living at the factories. The cause of this state of affairs in the opinion of 
the undersign^ was an excess of zeal on the part of the provincial oflScials in intro- 
ducing the new law. The industry of Abulug is not of great importance to the 
province of Cagay4n or to the central government when compared to those of the 
provinces of Bulac4n, Pampanga, and Pangasinan, but to the inhabitants of the nipa 
district it is. The custom of the manufacturers before the passage of the internal- 
revenue law was to give two-thirds of the spirits distilled to the workmen and keep 
the remainder as their shares, the workmen being free to dispose of their earnings as 
they saw fit. In those days the jars of vino in the factories were nearly always to 
be found in lots, one lot of this workman here, another lot of that workman there, 
and this lot in the comer the owner's, who generally lived in the town. In August 



BBPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 198 

of 1904 the provincial officials proceeded to list all vino as being subject to tax and no 
excuse or explanation was accepted from any man. Everything was listed and later 
embargoed, as the payment of the tax demanded was refused by all without excep- 
tion. This gave rise to very hard feeling. Workmen who had borrowed money 
from wealthier 9iember8 of society in Abulug and had promised to pa^ vino in return 
suddenly found themselves crushed out of existence — minus the vino which they 
had earned with the sweat of their brows, and out of employment, for they believed 
that the government had enacted a monstrous law which compelled the payment of 
20 cents on every gauge liter of spirits manufactured bv them and consequently 
putting their product beyond the reach of the pockets of all the consumers. Had 
the situation in 1904 been handled with patience, and with consideration for the 
manufacturer, there would have been different results. Indirectly the hitch which 
occurred has kept a considerable amount of revenue out of the treasury and has 
proved an obstacle and greatly retarded the internal-revenue agent. 

Not until the undersigned arrived on the ground was the situation fully understood. 
No time was lost in calling the manufacturers and all interested to a meeting in the 
municipal building to hear the internal-revenue law explained and how it affected 
the industry of the town. The success of that meeting has been reported to your 
office. The first work in cleaning up the embargoed spirits did not ^pear to be 
difficult, but the enforcement of prompt payment of the taxes was dimcult. The 
owners of the detained spirits were without capital and fh the hands of the dealers, or 
traficantes, entirely. If one dealer rejected vino offered for sale the owner was 
obliged to wait until another buyer came to town. The settlement of this question 
was in consequence delayed and much valuable time taken from me. 

Before the work of installing the permanent system among the manufacturers of 
the nipa district was begun, things looked very promising and it was believed at one 
time that everjr still would be opened up as soon as the work could be attended to. 
But the enthusiasm of the manufacturers greatly subsided and later they became 
indifferent Some stated, when asked when they intended to get ready to open up, 
that they had had enough ui vino distillation and intended Henceforth to devote 
their energies to the cultivation of rice. At Abulug there is a big stretch of rice land 
which is not cultivated. The trouble at this time seems to have been in making 
terms with the workmen. In the past the workmen received a share of the spirits 
manufactured in place of wages, but as under the requirements of the internal- 
revenue law this was no longer practicable^ they refused to believe that they were 
not the losers. Now, these men are beginning to see that the new arrangement does 
not work against them in the least and nave gone to work. 

In the openins of the factories under the new system the provisions of law have 
been carefully observed and there has been but one deviation from the regulations, 
that in the marking of serial numbers on packages. In all of the small factories 
of the district the package — a tinaia, varying in size — is a permanent fixture of the 
distillerjr. The buyers of spirits always bring with them their own jars or tinajas, 
so that in place of numbering a vessel and renumbering it after the contents had 
been sold all manufacturers have been required to give every jar on their premises 
intended to be used for the storage of distilled spirits a number beginning with (1), 
and to mark the capacity on each package in gauge liters. In the district there is 
only one well-equipped distillery at which every requirement of the law is observed. 
The following are the requirements observed by the small manufacturers: The con- 
struction at the factory of a strong storeroom with door, lock, and key; the number- 
ing of every jar or vessel used for the storage of spirits; the marking of the capacity 
in ^uge liters on each package used for storage; tne placing of a sign at the entrance 
of the factory, showing the name of the owner, paragraph, schedule, and assessment 
numbers; entering in the official register book in tne column for serial numbers of 
packages, the grade and temperature of spirits distilled each day; entering on official 
invoices and stubs the grade and temperature of spirits sold. 

The present state of the industry is fairly satisfactory. Forty-six factories have 
been opened up, and 44 of them are still running and running smoothly. Two have 
ceased operations temporarily through want of tuba. One general inspection has 
been made and all rasters were found in fairly good condition, and some of them 
are being kept with great neatness. The movement in Oagay4n spirits distilled dur- 
ing the past few months has been slow, business in general in the province depend- 
ing almost entirely on the tobacco crops. The buying of tobacco is now beginning and 
there will be a aecided increase in the revenues from Cagay4n during September, 
October, and November. At the last general inspection reierred to, and wnich was 
made daring the present month, it was noted that many factories have not yet made 

WAB 1905— VOL 13 13 



194 EBPOBT OF THE PHILIPPINE COMMISSION. 

a sale, and it \8 known to me that no effort is being made until business improves 
with the buying and selling of tobacco. 

The outlet for the distilled spirits manufotctured in the district is confined wholly 
to the province of Cagayan. in the district itself a small quantity is sold to the 
retailers, but three-fourths of the total output finds its way to the Rio Grande and is 
tc^en up the province to every barrio and rancho as far as Tuguegarao. Beyond the 
capital there is little sale for the drink, as the natives and residents of Isaliela, who 
are in greater part Ilocanos, prefer anisado. 

The future of the industry iSj.in the opinion of the undersigned, bright Accord- 
ing to the records of the provincial treasurer of Cagaydn there are at Abulug and 
Pamplona 100 factories, and adding to this number 7 at Linao and 1 at S^cbez Mira 
we have a total of 108. It is confidentlv hoped and expected that there will be 100 
of these in operation before the end of the present year. In October in all of the 
nipales the new fruit will be read^ for cutting, and now that an agent is devoting his 
entire attention to the district this figure should be reached. At the factories now 
in operation there is bein^ distilled on the average in one month a quantity of 1,000 
I)roof liters; this multiplied by 44, the number of factories running at the present 
time, dves 44,000 proof liters per month for the district, or at the rate of about 600,000 
proof liters per year. With 100 Stories in operation there would be distilled in a 
year 1,200,000 proof liters, but taking six months as the average period during which 
the cauas are likely to be operated, we have as the probable output for the nipa dis- 
trict for a year about 600,000 proof liters, representing revenue of ^120,000. 

The nipa district of the province of Cagaydn extends from the barrio of Linao, a 
point at the mouth of the Kio Grande on the opposite side to the town of Aparri, to 
the town of Claverfa on the boundary between Caf^vAn and Ilocos Norte. At Linao 
the nipales are divided up by the Linao River, which winds and doubles itself to a 
distance that takes three or four days to cover, finally emptying into the sea at Linao. 
Between the eastern boundary of the Linao nipales and AbiSug the country is one 
unbroken plain, which is used for the cultivation of rice. By road the distance 
between Lmao and Abulug is 18 miles. The town of Abulug is built on the west 
bank of the Abulug River, and in from the sea a distance of a mile or two. At the 
town, and between it and the sea, the ground is sandy and much higher than the 
river and there are therefore no nipales at the town. But on the east side of the 
river the land is low, and there bc^ns the nipa and extends in great patches or 
islands to the town of Pamplona, a distance of 9 miles or more. Before entering 
the sea some 3 miles or more from Abulug, the river is joined by 3 esteroe, the 
lowest of the three some 500 or 600 yards from the bar. This estero leads in a wind- 
ing course to the Pamplona River, which also empties into the sea at a distance 
of three 3 miles from the town. At Pamplona, as at Abulug, there are no nipales, 
although the land is low lying and the soil is a heav]^ rich clay. Toward the mouth 
of the river the east side is low and fiat and esteros join the river as at Abulus, one 
of these lower esteros being the highway to the town of Sanchez Mira, a distance oi from 
four to six hours by barangay. The belt of nipales on the east side of the Pamplona 
River is less extensive than that of Abulug, and does not continue to Sdnchez Mira, 
although the land is undoubtedly suitable for the growth of nipa. Between the 
east extreme of the Pamplona nipales and Sdnchez Mira there is a wide stretch of 
plain on which is cultivated the well-known *' Sanchez*' rice. The nipales of San- 
chez Mira are located 6 or 7 miles from the town, at the barrio of Nammuag. These 
nipales are to all appearances the same as at Abulug, Linao, or Pamplona, but are 
claimed to be unproductive. No more than two stilS ever have been worked there. 
Outside of Nammuag there are fine healthy-looking patches of nipa, but it is also 
stated that these are not productive and are never worked. The town of- Claverfa 
is some three hours journey on foot from the barrio of Nammuag, but the groirnd is 
dry and sandy and unwatered, and there is no nipa. At Claverfa there is a patch of 
nipa from which sufficient tuba to run a caua has been taken in past years, out it is 
not now bein^ worked. From Linao to Claverfa the whole stretch of seacoast, and in 
for about a mile, is dry and sandy and no nipa is grown. 

In the nipa district the communications are principally bjr water. The Linao 
nipales are entered from all sides by water, the mam channel being the Linao River, 
wnich is about as wide as the river Pasig a niile or two up from Manila. An- estero 
runs mit from the nipales on the east side and is navigable to a point called Amuaban, 
a distance of 8 or 9 miles from Abulug. This estero extends beyond Amuaban to 
Abulug, and in the rainy season canoes are navigated on it. This is the canal which 
the provincial government of Cagaydn has the intention of dredging and keeping 
open. In this stretch it is narrow, but runs between perpendicular baiiks and has a 
bottom of loose mud. If two dredgers or steam navvies were erected on this canal, 
one at the Abulug end and the other at Qome distance from the point Amuaban and 



BEPOBT OF THE COLLBCTOB OP INTERNAL BEVENUE. 195 

dredging commenced, I believe that in but a few months the whole distance could be 
covered. The banks are not high and there is no stone or rock to retard the dredg- 
ing. A jib of the size on the dredgers in use on the Binondo Canal, Manila, in the 
b^inning of the present year, is long enough to easily dump on either bank the mud 
scooped up from the bottom by the dredger. The great importance of opening this 
waterway was fully appreciatea by the Spaniards and the work was actually b^un 
by them. If this stretch were opened up the towns of SAchez Mira, Pami)lona, Abu- 
lug, and the barrio of Santa Cruz would be in direct communication with Aparri. 
This would be a very decided advantage to the distilling industry. Excepting that 
part of the estero between Linao and ^bulug, all of the rivers and principal esteros 
in the nipa district of Cagaydn are navigable for vessels of 12-inch araft, and are at 
their widest places not jrreater than the river Pasig a few miles above Manila, and at 
their narrowest places similar to that part of the Binondo Canal, Manila, which runs 
at the back of Calle Santo Cristo. 

Between Sanchez Mira and Linao there is practically one road only, that from 
Abulug to Linao, a distance of about 18 miles. All the merchandise to or from the 
towns of Sdnchez Mira, Pamplona, and Abulug and the Rfo Grande is carried over it 
in native carts drawn by carabaos. This is a great difficulty with which the distillers 
of Abulug and Pamplona must contend, and they complain of it as their one obsta- 
cle. The journey is slow and expensive and in the carts used no more than three 
tinajas of vino can be carried at one time, at a cost of P2.50 for the single journey. 



Appendix H. 

BEPOBT OF INTEBNAL-BEVEinrE AGENT BALBTXPLE ON USE OF BICE AND 
8V0AB IN DISTILLATION OF 8PIBIT8 IN THE PBOYINCE OF TABLAC. 

There are two factories for distilling spirits in operation in T^lac Province, one 
located in the town of TArlac and the other in the town of Pura (Gerona) , both of 
which distill spirits from rice and crude syrup irom cane sugar. 

In a tank of 13,000 liters of ** basi '* there are required from 40 to 50 gantas of cooked 
rice, usually of ordinary grade, and 260gallons of syrup. This amount of syrup deliv- 
ered at the factory costs from ^14 to 1ri8, the major part of which is purchased in 
Pampanga Province. 

The combined amount of rice and sugar used in the two factories during the year 
1905 will not exceed 6,000 gantas of rice and 52,000 gallons of syrup, at a prolible 
cost of ^1,080 for the rice and ^'3,328 for the syrup. A tank with a capacity of 
13,000 liters of **ba8i" in a state of fermentation will produce from 430 to 480 ^uge 
liters of aU^ohol varying in grade according to the grade of ^'basi'' and the method 
of distillation. 

One of the factories makes and distills on an average of about three tanks per week, 
averaging from 10,000 to 13,000 liters of **basi** each, which means 1,365 gauge liters 
of alcohol, more or less. The estimated output of this factory for 1905 would there- 
fore be 70,980 gauge liters; 4,000 gantas of rice and 34,666 gallons of syrup would be 
consumed in distilling that amount of crude or rectified alcohol. The amount of 
sugar used in making anisado is almost too small to be computed, as it would not 
require 250 pounds of sugar in making aniMwlo of the total amount of 70,980 liters. 
The above estimates refer to a grade of alcohol which is proof or upward. 

Egtimated coat of rice and sugar in prodticing the total amount digtUUd in Tdrlac Province 
during 7905, 106^470 gauge liters of proof spirits. 

6, 000 gantas of ordinary rice, at 18 cents ^'1, 080 

52, 000 gallons of syrup, at 6.4 cents 3,328 

Total 4,408 

MANNER OF DISTILLATION. 

The rice is boiled in a large kettle for one hour, prepared verv much the same as 
for table use. It is then thoroughly mixed with yeast, coverea tightly, and left to 
sweat for one hour and a half, after which it is mixed with syrup and water in the 
following proportions: Twenty-five percent cooked rice and yeast, 25 percent syrup, 
and 50 per cent water, and left in that state for twenty-four hours; then placed m 



196 REPORT OF THE PHILIPPINE COMMISSION. 

a large tank, where syrup and water are added in the followmg proportions: One part 
yeast mixture (rice, sugar, and yeast), 1 part syrup, 11 parts water. 

The period of fermentation varies according to heat and climatic conditions, in 
some cases four or five days being sufficient, and in other cases as much as eight or 
ten days are required before the **basi" is ready for distillation. 

The tanks are then emptied into a small under^und vat by means of a trough. 
It is then drawn up h}[ buckets into an elevated cistern and conducted by means of 
bamboo or iron pipes into an upright cylinder over a condenser which is' connected 
bjrpipes both ways with another large upright boiler immediately over the furnace. 

Tnere are two advantages in the passing of the cold *^basi'' through the upright 
cylinder over the condenser — namely, it assists in cooling and condensing the vapor 
and also absorbs a certain amount o! heat before reaching the boiler, as it is highly 
important that a constant heat shall be maintained in the boiler to produce a uni- 
form and high grade of alcohol. The vapor from the "basi** in the boiler passes 
through a worm pipe both in the upright cylinder and in the condenser, which is 
constimtly supplied with cold water surrounding the worm. 

Where the heat in the boiler and the supply of cool water in the condenser are 
constant, proof spirits or a little above proof will be had, but to attain a higher grade 
of alcohol — say, 98 Gay-Lussac — it is necessary to repeat the process of distillation. 

Sugar will produce a higher grade alcohol than syrup, but, being more expensive, 
syrup is used instead. 



Appendix I. 

REPORT OF XNTERNAL-REVEHITE AOEKT STEWART OK DISTILLATIOK OF 
SPIRITS FROM SUGAR AlTD MAKI7FACTURE OF *'BASI'' FROM SVOAR-CAHE 
JUICE IH THE PROVUfCE OF ILOCOS STIR. 

DISTILLATION OP SPIRITS PROM SUGAR. 

The sugar in its raw state is first i)laced in large vats filled with water and allowed 
to dissolve until a state of decomposition is reached. When the liquefaction is com- 
pleted, sulphuric acid to the amount of 1 per cent at 66° Baumc is added to the 
liquid. The vats are then emptied into caldrons and undergo a slow process of 
ebullition at a temperature of 100° C. for about half an hour, at the termination of 
which f)eriod the liquid is drawn off into the cooling tanks, where the same is allowed 
to remain for about two days, or until the abatement of heat is thoroughly accom- 
plished. Yeast, made of rice or com specially prepared, is then mixed with water 
and applied at a temperature of 6° Baum^. The addition of yeat^t to the saccharine 
liquid is necessary to produce spontaneous fermentation. The liquid now being in 
a state of incipient fermentation or wort, at this temperature requires about six hours 
for the mash. In this condition it remains until it registers 8° Baum<^, when it is 
immediately elevated by means of pumps to the distribution vats for apportionment 
to the fermentation tanks, where it remains a few days more, according to the 
atmospheric conditions, until the density of the liquid ceases to lessen, registering 
0° on the areometer Baum^, in which condition the liquid or mosto is ready for 
distillation. 

The distilling process in this district is of two kinds, one being called intermittent 
and the other continuous working. The latter apparatus has simultaneous rectifica- 
tion^ whereby it is possible to obtain from the commencement a continuous flow of 
spirits of about 90° proof. Both classes of stills consist of wash warmer, rectifying, 
and dephlegmator apparatus. The mosto enters the still and is met by steam of 
a density of 50 kilos. The alcoholic vapor being the lightest of the dilute solution 
is the first ingredient to evaporate, and rising with the watery vapor is chilled by 
contact with the metal diaphra^s of the dephlegmator. This causes the separation 
of the vapors; the watery portion condensing more readily, flows back, while the 
alcoholic vapors pass on through the pipes to the condenser, condensing into the 
liquid form at a temperature of 40° C. The spirit now goes through pipes to a vessel 
through which cool water is kept continuously flowinjj. In the center is a cup into 
which the spirits enter at a temperature of about 36° C. The cool water having 
the effect of making higher proof spirits rise and pass out into a vat for consumption, 
while the lower grade or still impure spirits, called ** faints,*' not having proved 
sufficiently distilled, flow back through a pipe to the still for further sublimation. 

The intermittent process is used for manufacturing on a small scale and is simple 
in its form. The wort is prepared in about the same manner as before described and 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 197 

enters the still with worm condenser heated by direct firing. When the heat is 
applied at the still the spirit begins to rise in vapor along with more or less steam. 
Tnese vapors pass through the worm, become condensed by the cold, and drop or 
trickle down into the receiver. The product of the first distillation is a weak and 
impure liquid and has to go through the same process at least two or three times 
before any high-proof spirits are manufactured. 

THB METHOD OP PRODUCTION OP **BASI.'* 

The' sugar cane is taken and placed in a sugar mill or trapiche, which consists of a 
circular press, operated generally by a carabao or bull, and the juice extracted by 
this process. The juice, as so extracted, will register about 10® or 11° Baum^. It 
is then placed in a caldron and boiled over a direct fire until it reaches about 16® 
Baum^ or equal to about 1.125° of density, when it is drawn out into large earthen 
jars called ** tinajas,'* where it remains until cooled. A certain amount, according to 
the taste of the maker, of macerated bark of trees known as ** sumac" and **carisquis" 
are then compounded with the liquid on account of considerable properties of tannin 
which they contain. Under the hi^h temperature of this country fermentation rapidly 
sets in, during which period the liquid is mixed several times and more macerated 
hsLvk added, as the maker thinks necessary. The liquid is then buried in the ground, 
and after about six months of reposition therein is considered as being desirable for 
consumption. The taste improves with age, the older the liquid the better the price 
obtained. During the period interred a change in color is noticeable from a wine 
color when first buried to a shade of white at about three years. 



Appendix J. 
BEPOBT OF nfTEBNAL-BEVEinTE AOEKT ROBERTS OK THE DISTILLAXION OF 

''ynro be coco" fbom the bub of the cocoanbt palm ik the pbov- 

IHCE8 OF ALBAT ANB AMB08 CAHABIKE8. 

The cocoanut tree, from the fermented sap of whose bud the **vino de coco" is 
distilled, is found in all parts of the Philippine Islands, but its use in the making of 
spirits is limited to a small part of the whole. This rep>ort deals with the provinces 
of Albay and Ambos Camarines. There are four or five products of the cocoanut 
palm that have some economic importance. The trunk ana the leaves, used in build- 
ing, and the meat of the fruit, used as a food, while all of considerable importance, 
are not of measurable commercial value. Nor is the fibrous husk of the fruit of the 
coco of any importance here, as it is put to no use in these islands. The meat of the 
cocoanut and the sap from its bud are of ^reat value, and the price of the products 
of one must have great influence on the pnce of the other. 

The meat in its dried form, called '*coprax,*' is an important article of export, and 
the extraction of the oil for use in lighting and in the making of soap is an important 
industry in the Philippine Islands. The use of the sap which exudes when tne bud 
is cut off is entirely local. It is fermented, and in this form is a cooling drink that 
is much relished. Most of the fermented ' ' tuba, ' ' as the sap is called, is distilled, and 
the product is sold under the name of **vino de coco," cocoanut wine. This liquor 
and the coprax are the only products of the cocoarmt which are of any economic 
importance in the Philippine Islands. 

Where there is sufficient market for the consumption of the vino its production 
seems to be more profitable than that of oil or coprax, but the difference does not 
appear to be large, and would probably be in favor of the coprax if it were not for 
the crude methcd of handling. The vino de coco does not appear to be an article 
which has a greater natural demand than its competitors as a beverage, anisado and 
gin. It is the common opinion that, where its use as a beverage is established, the 
vino de coco is preferred even at an advanced price over anisado or gin. The other 
drinks have the advantage wherever there is easy water communication with Manila, 
as it is usually to the advantage of the merchants and carriers to encourage the use 
of the article which can be most easily obtained and which helps to fill boats which 
would be running light. 

When it is desired to obtain the ** tuba," or sap, of the cocoanut palm on a consider- 
able scale, as when it is used in distilling, the trees are parceled out among men, 25 
to 50 trees to a man. These men, who are called maninguetes, gather the tuba on 
shares. There may be from 2 to 20 of them to a still. The owner of the still may 
or may not be the owner of the trees. More often than not he merely rents them. 



198 REPOBT OF THE PHILIPPINE COMMISSION, 

but he f rec^nently has no interest in the trees at all, except that he gets half the vino 
that is distilled in his place. Where trees are rented for a cash rental, I am unable 
to say (except in one case where 80 pesos a year was paid for each 200 trees) what is 
paid. 

The maninguete places bamboos from tree top to tree top. One set is placed about 
4 feet above the otner, so that the man can walk on the lower and support him- 
self on the upper set. The buds are then cut off of their stems, or, at any rate, so 
many of them a§ it is desired to tap. It is not at all uncommon for both tuba and 
coprax to be produced from the same tree at the same time. Under the stems of 
the buds that have been cut are hung pieces of bamboo holding about half a liter to 
catch the sa^ as it falls from the stem. Night and morning the man f^oes up one of 
the trees with a biff bamboo smng over his shoulder of a capacity of 6 or 7 
liters. He empties the tuba from the small bamboo, where it has been gathering 
for twelve hours, into the bamboo on his shoulder and soee on to the next smaU 
bamboo until the big bamboo is full. The full bamboo is then lowered to the around 
by a cord, where it is removed by a helper and an empty one attached. The full 
bamboos are emptied into jars holding about 50 liters each. The maninguete goes 
about from tree to tree until all the tuba is collected and does not come to the ground 
until he has finished, unless the trees are so scattered as to make it impossible to 
pass from one to another without so doing. After the tuba is all collected the jars 
are hauled on sleds, or carretones, to the hut of the gatherer or sometimes direct to 
the still itself, where they are left for fermentation. There does not appear to be 
any fixed or regular period of fermentation. Apparently whenever they have enough 
tuba to charge the still they go to distilling, provided there has been two or three 
days of fermentation. The average period of fermentation is about i^ve or six days. 
There is a big variation in the grjSe of the tuba, even aside from the fact that they 
do not observe any fixed period of fermentation. The dry and wet seasons affect 
the strength of tlie tuba greatly, and extreme drouth may cause the flow of sap to 
cease altci;ether. This came very near being the case in the recent dry season. It 
is said to take about 9 volum^ of tuba to produce 1 of vino; but, as the vino 
may vary from 50 to 85 proof, this is not very de^finite. It would appear that on the 
average it takes about 15 liters of fermented tuba to make a proof liter of vino. 

Ordinarily tuba is not carried very far either before or after fermentation. Usually 
the limit is less than a mile, but they do in a few places carry the tuba as far as 3 
or 4 miles to the still. It is carried, sometimes in big jars and sometimes in bar- 
rels, to its destination on sleds or cahretones drawn by carabao. Carriage of tuba by 
water does not appear to be practiced in any vino de coco district. Few of the 
streams on which the stills are situated are big enough to admit of the passage of a 
loaded canoe, and even where a big enough stream exists the trees are usually on the 
same side as the still. While the waterway may serve for the removal of vmo it is 
useless for the handling of tuba. 

The still used in the making of vino de coco is the ordinary crude still of the 
Philippines made of a wooden cylinder and two saucer-shaped iron pans called cauas. 
In the more common form the upper caua and the cylinder are removed together, 
and the charge of the still is the capacity of the lower caua. The form of still which 
is used in Albay and A mhos Oamarines has the lower caua fastened to the cylinder, 
and the charge may fill half the cylinder as well as the lower caua. The stills of 
Albay Province are usually so situated that the water necessary for condensing is led 
by gravity through bamboo ducts to the top of the still where it empties into the 
caua. It flows out of the other side of the caua through a bamboo syphon. In many 
of these stills the flow of water is so good that the water is not warm when it leaves 
the caua. In the Camarines the stills usually have a worm condenser. It is pretty 
hard to say anything about the capacity of these stills, as under the conditions the 
output varies considerably from causes difficult to see. None of the stills have, 
however, a capacity of less than 100, and none have a capacity of more than 400 proof 
liters in a day of twenty-iour hours. The average is probably less than 200. The 
stills are never run all day, and seldom more than five or six hours at a time. They 
will hardly average a run a week. There are, however, a few that run almost con- 
stantly; that is, a few hours every day. The maninguete usually distils his own tuba, 
and he is held responsible for the loss of tuba throiigh carelessness or bad management. 

The vino is a low-grade spirit of a slightly milkish tint and runs from 40 to 85 proof. 
Both extremes are very rare. The common vino runs about 60 or a little over. Its 
flavor is said to be characteristic of the place from which it comes, and drinkers can 
tell by the taste where the article they are drinking ciime from. There seems to be 
some connection between the grade of the spirit and the appreciation of its flavor, 



REPOM OF THE COLLECTOR Of* iNTERiTAL REVENUE. 109 

bnt it is not altogether a high i)roof that is desired by the drinkers. Metal stills 
appear to have b^ a complete f ai lure. Th e people complained that the flavor was not 
good and that they could taste the copper. The distillers of certain districts are 
regarded as more skilled than other^^. The vino from these places is more in demand 
than other vino of the same grade. It is impossible to say how much there is in 
these notions other than mere prejadice. 

The method of sale of the vino has been changed altogether under the necessity of 
paying the tax at the time of the sale. Formerly in the cocoa, as in the nipa districts, 
practically ^1 sales of any size were made on credit to people who were able to pay 
only when they had sold, having no capital at all. Some of the stills were in the 
habit of selling to a great extent at retail, and even by the glass. This practice has 
about ceased, as they can not now do so on the factory premises and the business does 
not often warrant the pajrment of additional help. The selling was done formerly 
by the men who were aistilling and required no expense at all. At the present time 
sales are made almost altogether on a cash basis, at any rate so far as the amount of 
the tax is concerned. 

Some of the stills can sell where they are and some can not. Of course they all 
sell to their immediate neighbors. In the case of those stills that are among the 
abaca these local sales are an important item. At the present time it is necessary 
that the removal and sale be made by one who has a wholesale liquor-dealers license. 
As a result the distribution of the vino is passing from the hands of the distillers to 
those of outsiders who may, however, be mere employees of the distiller or of a group 
of distillers. There are developing two class of stills. One of these is so situated that 
it can sell direct to the consumer or to the small dealer, and the other which sells 
through peddlers who go to some big town market to sell, or else travel from place to 
place doing so. These peddlers sell uniformly at wholesale. No retail sales are made 
Dy them except possibly to some one with whom they are stopping. This licensed 
peddling is a new thing. Formerly the vino was pedaled by the distillers or by the 
maninguetes or whoever happenea to have it. Usually they did not have capital 
more than enough to carry them from place to place, and much of the carriage was 
done on credit. It has been hard for them to change this system. It is almost neces- 
sary for the different interests to keep their vino together until sold on account of 
the license requirements. They have difficulty in agreeing on a man in whom they 
have sufficient confidence to trust their property for sale. 

The keeping of the account has been a great aifficulty, as many live and have their 
stills in barrios that are so distant that it has been in some cases impossible for them 
to obtain men who could do the necessary writing. Under the old conditions they 
made their sales at the still itself, and never saw the town for weeks at a time. These 
barrios had no one in them who could write, and the distance from the towns made 
it impossible for them to go and come every time they wanted to make a sale. As a 
result many have gone out of business. 

The necessity of keeping stock and records at the still has seemed to others an 
insuperable obstacle, and they have discontinued or are doing so as fast as their stock 
is exhausted. The difficulty is that of obtaining a suitable man to put in charge. 
The owner of the still is, in these cases, a man who lives in the town and who has no 
one at the still except some laborers. When a sale is made the owner himself makes 
it, usually at the house, and then goes himself to make delivery. He is also at the 
still when they are cooking, as a general rule. In the meantime the stock of the still 
is locked up and there is no one present who can show the books and afford access to 
the stock for the inspecting officer. It is sometimes necessary for visits to be made 
two and three times in onier to find out the conditions at the still. This is true 
where sales are made every day and practically no stock is being kept on hand. It 
does not answer to inspect the stock of the neighboring stores to check the business 
of the still, as a large part of the sale is to consumers who are not readily accessible. 
There are a good many stills, any one of which would require the entire time of a 
man to inspect the sales in the hands of purchasers who may live in places requiring 
miles of travel to visit them and where they can not be visited 'n connection with 
any other place. It has been necessary to attempt to compel compliance with the 
requirement that the books, stock, and stamps be kept on the still premises, and 
this has forced a eood manv men out of business. Then the newness of the system 
of accounting and a blind fear of punishment for some ignorant act has caused men 
to go out of business where there was no good reason at all. These different causes 
have caused more trouble in the coco districts than in those that work with nipa, as 
a lai^r proportion of the *'vinx) de coco" distillers are men of small capital. The 
market in their case has been so near and so uniform that the necessity of holding 
stock for months at a time did not exist. 



200 KEPOBT OP THE PHILIPPINE COMMISSION, 

In addition to the above causes for discontinuance, all of which were operative in 
the case of nipa distillers, is the apparent fact that thev can change from the manu- 
facture of vino to the making of copraz, and do so without serious loss. In fact it 
appears that the only loss is the period of from two to four months required for the 
buds to come out and the fruit to mature. 

There have been a great many cases of discontinuance, but most of these stills have 
since been opened by some one else, or will be. There are some, however, that can 
not be run under the law on account of the unfavorable situation. Usually when a 
still is thus reopened the man who is in charge is better situated for compliance with 
the law and better capable of doing so himself than the man whose place he takes. 
The new distiller is frequently the owner of property injured by the closing of the 
still. The people are not in all places accustomed to the production of coprax. On 
the whole, whue there is no doubt that the changing in ownership injures the out- 
put, it is getting the business into the hands of people who, if not more responsible, 
are more able to carry on a business. There is no doubt that the tax has been paid 
heretofore on an amount of vino much short of the normal output In addition to 
the things above mentioned as affecting the tax there are two important items to be 
considered — evasion and a poor market. 

It is of course impossible to say how much th'e evasion of the tax has amounted 
to, but up to a very recent period it was a very large item. The new tax law was 
not understood and the distillers did not have the technical knowledge necessary for 
them to know how much they should add to cover the tax. They did not have 
either alcohol meters or thermometers and they would not have been able to use 
them if they had had them. The amount added was usually found to be so high 
that it cut off the sale or so low that when the tax was liquidated an insufficient 
amount was left to cover the cost of production. Particularly in the case of ignorant 
men such a condition that seemed to them beyond their power to remedy made 
them willing to do almost anything The stills are as a rule so situated that evasion 
of the tax was not difficult, and tne owners promptly fell into the habit of making 
sales without entering them in their books. Some of these sales weke in lai^quan- 
tities, but the most of them were to neighboring farmers or abacd workers. These 
sales were made to consumers and never passed over a traveled road after leaving the 
factory. This practice probably still continues to a considerable extent, limited by 
the feat on the part of the purchasers and sellers that they be caught without an 
official invoice, but with a variation that is comparatively new, namely, the return 
of the invoice to the still and its use to cover a second lot of goods to the same man. 
There is to-day sufficient evasion to cause a great deal of annoyance; and while I do 
not think that a very large part of the vino produced is failing to pay the tax, there 
is no doubt in my min(l that there is enough evasion to seriously affect the market 
for the rest. It is going to be very difficult to put an end to it entirely, although it 
has been much lessened lately. 

The condition of the vino de coco industry depends, of course, on its market, and 
the market of the article has been seriously curtailed bv causes entirely beyond con- 
trol. For four years the rice farmers have suffered an almost entire loss of crop. 
The grasshoppers and the drought have destroyed crops, and, finally, so many ani- 
mals have died of disease that the ground can not be prepared for the new crop. 
The farmers, ha\ing not enough rice for food, have had to buy, and have exhausted 
their stored wealth, and have lost a very large amount of good land because of non- 
payment of taxes. Their purchasing ability has been greatly curtailed. The failure 
of the rice crop has also affected the market among the abacil workers. The price of 
the rice, which is the principal article of diet, has somewhat cut down the purchases 
of even this, the best paid body of men in the Philippines. Also during the past year 
the price in Manila of hemp has been falling:, and, while it is still above the old price, 
the fall has unquestionably hurt the agricultural claFses. 

The permanent system of collecting the internal-revenue taxes has now been for 
sometime in force, and it seems that conditions are distinctly better than they have 
been. The licensing, which is not in as good shape as could be desired, is improving, 
and there appears to be no reason why there should not be a continued increase for 
sometime in the taxes collected and, so far as the schedule A taxes are concerned, 
in the ease of collection. 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 201 
Appendix K. 

REPORT OF INTERNAL REVEN17E AGENT OA0HE8 ON THE REOTIFICATION OF 
DISTILLED SPIRITS AND MANUFACTURE OF LIQUORS IN MANILA. 

Distilled spirits in Manila are produced primarily for rectification and conversion 
into compound liquors by mixing essences of various kinds with the alcohol. The 
distilled spirits thus used are obtained from two sources, those produced by original 
fermentation and distillation in Manila and those distilled in the provinces and 
brought to Manila for rectification. The quantity of spirits distilled in Manila depends 
entirely on the price of the ori^nal materials used for fermentation, such as maize 
or susar and its products, in their relation to the price of alcohol produced from the 
sap of the nipa palm. If the price of these original materials is suflSciently low to 
make the production from original fermentation more profitable than buying the 
crude alcohol, the provincial distillers must either limit their production to the 
amount they may be able to sell to wholesalers for resale as a beverage, meet the 
price of the Manila rectifier, or close their distilleries. Generally the rectifier's 
price has been met for the reason that the provincial distiller prefers to sell in large 
quantities on a cash or short-time basis rather than push the sale of his own product 
on the general market. 

The production of alcohot in Manila from original distillation is almost exclusively 
from sugar and its products. Maize or native corn is sometimes used, but only for 
special purposes. There is at present no apparatus adapted for the profitable dis- 
tillation from ** mash," and the difficulties attached to tne obtaining of a eood fer- 
ment, together with the fact that the facilities for handling sugar are so much better, 
make the production of alcohol from such a source practiciuly nothing. The pro- 
duction in 1902 was only about 24,000 proof liters, in 1903 about 20,000, and in 1904 
about 41,052 proof liters. 

Sugar products used for distillation are of two kinds, the sugar itself and the miel 
or molasses obtaineii from the sugar in the primitive process ofclarification. In the 
use of either sucar or miel the proc-ess is the same with the exception that the su^ 
must first be reduced to molasses while the miel is the molasses itself. This reduction 
is done in two ways, first, by boiling the sugar mixed with water until the molasses 
is obtained, and second, by mixing the sugar in the fermentation vat and producing 
the molasses by dissolving the sugar. The first produces a rich syrup which ferments 
and distills with a minimum loss of alcohol and cost for fuel; the second saves the 
cost of original boiling, but the syrup produced has only about half the density of 
the boiled syrup. The molasses is put into large tanks and mixed with water after 
which the yeast is put in to cause fermentation. The amount of water mixed with 
the molasses depends on the custom of the distiller. With miel and molasses proper, 
however, the amount varies from six to seven parts of water to one of miel. With 
good yeast as a ferment, the molasses will begin to show signs of activity within 
twenty-four hours. If the yeast is strong and the temperature right the process of 
fermentation should be completed in five or six days. The time, however, depends 
principally on the temperature. If conditions are unfavorable — that is, if the tem- 
perature is too high— the fermentation will be set back very materially, sometimes to 
the extent of taking fourteen or even twenty days to complete the fermentation. 
A good ferment will contain about 6 per cent alcohol, but the amount varies for 
many reasons. 

The yeast generally used in Manila is imported from Europe. Amon^ the Chinese 
distillers, however, a native ferment predominates which is said to give almost as 
good results as the imported yeast and is much cheaper. When fermentation is 
completed the stock is drawn off into a well and from there pumped into a tank from 
which it flows by gravity through the distilling column. In the column it is heated 
by contact with steam pipes, the heat of which is controlled automatically. All 
machines in Manila for distillation are of the type which produce a low ^rade of 
alcohol, usual Iv at about 17® C. or 70 proof. There are in Manila five distillers, 
properly called, having a total of nine apparatuses with a total output of about 30,266 
proof liters per dav of twenty-four hours. Eight of these apparatuses are of modem 
French make, and one is of local manufacture, built by a Filipino who ser\^ed an 
apprenticeship in Hongkong. The apparatus of D. Savalle Fils, of Paris, predom- 
inates, three of the four modem distilleries being so equipped. However, one 
distillery alone has five stills of the Revere-Dubois type. There is practicallv no 
difference between the two machines except in the formation of the plates andf the 
columns. 

The crude alcohol produced by these machines is only a step toward its final end, 
that of rectification. The process of rectification is for the reduction of the amount 



202 R£POET OF THB PHIUPPIKB COMMISaiON. 

of impurities in the alcohoL In this prooesB the lighter mmterials, soch as aldehydes 
and methyls and the fusel oils, are removed from the tme aicohoL The first yapor- 
izes at a low temperature and rises sucoeasfally from plate to plate of the rectification 
colomn until it passes off through the analyzer and condenser. The presence of 

Eure alcohol is usually detected by test until the rectifier is thoroughly familiar with 
is apparatus, after which it is a matter, more or less, of judgment combined with a 
general knowledge that after so long a time the good alcohol should appear. The 
Uck of the pungent odor in the liquid and the lack of residue left in the hand 
after evaporation are also tests employed. The first liquid passing from the machine is 
called the cabeza or head. This is <lrawn off into a special tank where it is eventually 
mixed with the cola or tailings and forms what is called amilico or aguardiente 37 , 
which is used for making varnish, drying paints, and for burning.^ The cabeza alone is 
very volatile, quite as much so as the alcohol itself, and because of its volatility is 
sometimes called eter by the distillers, although it posseses none of the qualities of 
ether. By itself it has no use and unless made into amilico is mixed with the crude 
alcohol and rerectified. This is rendered possible by the fact that it contains a huge 
per cent of alcohol which passes over with the more volatile substances during the 
early part of rectification. The same may be said of the fusel oils or cola which, 
while only containing a small per cent of alcohol as compared with the cabeza, is 
sufficiently rich so that it is profitable for some distillers to rerectify it 

Between the cola and the cabeza is the good alcohol. This alcohol passes off at 
different grades under different conditions. The average grade in Manila is about 
IM° proof, but the same machine which produces 184° proof can, with careful hand- 
ling, produce 190° or 192° proof. The highest possible grade produced by rectifying 
is 194° proof; any higher grades must be treated with chemicals to remove the water. 
The alcohols usually produced in Manila are very pure, containing under the most 
adverse circumstances less than one-fourth of 1 per cent of poisonous matter. 

In the process of rectification there is now lost about 10 per cent of the crude 
spirit put in the caldera for rectification. In the case of one distillery in Manila 
this loss amounts to about 12 per cent and sometimes runs higher. Two of the recti- 
fiers never lose over 7 per cent and often this is reduced to 5 per cent. 

Alcohol brought from the provinces is treated in the same way. It is brought to 
Manila in cascoes containing from 40 to 70 barrels. Sometimes this provincial or nipja 
alcohol is especially treated with chemicals to destroy a portion of the acids which it 
contains, but more often it is put directly into the caldera or mixed with the product 
of original distillation and then rectified. This is done for two reasons; first, the 
sugar alcohol is of a low grade and it is usually more profitable to raise it before rec- 
tification, and second, the sugar alcohol gives body to the product and produces bet- 
ter results In 1904 there were about 2,227,556 proof liters brought to Manila for 
rectification; up to June 30 of this year 2,644,034 proof liters have been received from 
Bulacan and Pampanga provinces alone. This is due to the low price of nipa, which 
has driven su^r as a raw material for alcohol from the market. 

There are m Manila 8 rectifying establishments in connection with distilleries. 
These establishments are ej^uipped with 13 rectifying machines. Of these machines, 
4 are of the Revere-Dubois (Bruxelles) type, 5 are of the D. Savalle Fils (Paris) 
type. 1 of the Egrot, 1 of the E. Barbet, 1 of local make, and 1 brought from Spain by 
two brothers who claim to have a secret of manufacture inherited from their ancestors. 
Two of these machines are not only rectifying but distilling apparatus, producing pure 
alcohol by what is known as the continuous process, that is?, the rectifiea alcohol is pro- 
duced as a finished product, no crude alcohol beinc produced. Whether there is any 
advantage in a contmuous process is still a debatable question. Chemists claim that 
it is impossible to (iliminate as much of the j^Hjisonous substances by the continuous 
process as by sepaiate distilling and rectifying. 

Distilled spints of the first distillation which retain in their manufacture the 
natural flavor of the material from which they are made are not used as a beverage 
in this country. Rum, the ordinary alcoholic product of a sugar-producing country, 
has sometimes been made in Manila, but never m any quantities. Whisky has never 
been considered as a beverage, due probably to the fact that the cost of production 
is entirely too great. The reason for this lack of naturally-flavored drinks is, in all 
probability, due to the fact that there is in this country a plant from which alcohol 
can be obtained at a minimum cost. This plant is the nipa palm. Its alcohol has a 
decided flavor, which can be determined even after essences have been added. To 
eliminate the flavor rectification was resorted to, and from the rectified alcohol imi- 
tation liquors of every kind have been made. 

Of all the liquors of the islands anisado is far in the lead. The strong odor of the 
anise seed and its lasting flavor, combined with the fact that it is the cheapest and 
most plentiful essence in the Orient, undoubtedly caused Us use by the original dis- 
tillers. The matter of accusitoming the natives to drinking it was a question of time 



BEPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 203 

only. The operation of making anisado is, to all appearances, a simple one, yet 
each distiller has his special formula, and the native who has a cultivated taste can 
easily distinguish whether he is j^ttins his accustomed stock. Anisado is of several 
classes, each class heing distinguished oy the quantity of alcohol contained therein, 
according to the scale of Cartier alcohol meter from which the class of anisado 
obtains its name. The best grade is that of 18** Cartier or "anisado dieciocho," 
which runs from 70** to 76® proof, and from this grade passes to 17**, 16**, and 15** 
Cartier as it becomes weaker in alcohol and consequently cheaper in price. Any 
d^ree below 15** Cartier, equal to 50 per cent proof, approaches too near water for 
the taste of the native and can not be sold. Amon^ the natives the grade most com- 
monly sold is that of 16**, or about 60** proof. Considerable quantities of 17** Cartier 
are also sold. Usually a little sugar is added to soften the taste of the alcohol, and 
the quantity added in proportion to the amount of anise seed is the trade secret. 
When sugar is used in considerable quantity and the amount of flavoring extract cut 
down, the liquor is called "anisado mallorca,*' or "mallorca." Another name for 
anisado is "carabanchel," which differs from the true anisado in that it is sweeter 
and contains more essence. Neither "mallorca" nor "carabanchel*' are sold in 
large quantities. 

In popularity with the natives, gin is the next liquor. Gin essence is used for fla- 
voring purposes, and a very fair Quality of gin can be produced if care is taken in the 
compounding. Sugar in variable quantities is added, and here again the factory 
formula plays a big part In making anisado any alcohol will serve the purpose, but 
in the best gin the alcohol should have the flavor of either sugar alconol or grain 
alcohol or, better, both combined. The price of gin has always made it a drink of 
the more well-to-do class of natives, so its sale has been comparatively small com- 
pared with anisado. Other imitation liquors such as rum, coniac, whisky, all kinds 
of liqueurs, and even such wines as muscatel, vino tinto, and tinto dulce, are made 
from domestic nipa alcohol. 

Practically all of the Manila rectifiers are also compounders of liquors. In the 
majority of cases where rectified alcohol is sold in large quantities it is intended for 
the compounding of liquors in the provinces. Formerly nearly every wholesale 
liquor dealer in Manila was a compounder of anisado, the current drink. Alcohol 
for this mixing was not always rectified. The distillers from the provinces have 
always done considerable business with the wholesalers of Manila who catered to the 
poorest classes. With them anisado meant emptying several barrels of nipa alcohol 
into a tank and adding flavoring extract, or if the order was " rush,'' the anise was 
added to the alcohol in barrels and shipped out as anisado. Since the enforcement 
of the internal-revenue law this class of compounders has mostly disappeared. 



Appendix L. 
CUB AOBIODLTUBAL BBS0I7SCES. 

[Editorial from La Voz del Pueblo, of Toguegarao, Cagay6n, June 22, 1905, on the production of 

tobacco In that province.] 

Under this title we include our only agricultural product with which our brothers 
in the field provide for their necessities. It is in the development of this product 
that their future lies. We call the attention of our agricultural brothers to the dis- 
credit in which tobacco leaf is held, in an increasing scale, in the Manila market. 

Our object in taking up this question is only to illustrate to the thinking people of 
the province and the valley of theCagaydn the fundamental reasons that have caused 
the depreciation of tobacco leaf and the remedies necessary to cure the evil. 

The existing prostration of the tobacco industry is primarily due to the laziness 
and bad faith of the agriculturist. Our extreme laziness, due to the enervating cli- 
mate of these latitudes and encouraged by the fertility of our soil, has been exagger- 
ated by the absence of official intervention and encouragement since the time wnen 
the tobacco monopoly by the goverment was abandon^. The demand for tobacco 
increased, when its cultivation became free to all, until it reached its highest mark 
in the year 1900, when the agriculturists mortgaged their crops at fabulous prices and 
did not attempt to duly season the leaf nor properly prepare the soU; this resulted 
in the practice existing to this day among the large majority of our agriculturists — 
to raise large crops with a minimum of labor. It is evidently believed that a large 
quantity of leaf will make up for poor quality. The sophistry of this method of 
reasoning should be made apparent, and the endeavor should be made to produce 
smaller crops but of better quality. 



204 REPORT OF THE PHILIPPINE COMMISSION. 

Our bad faith has become noticeable in the mixing of different grades of tobacco 
in the same packages, all of which is due to our greea after lucre. We do not seem 
to understand that by this procedure we destroy the main fountain from which 
our agricultural wealth springs. 

These, then, are the two prime causes of the present unsatisfactory condition of 
the tobacco culture, and we shall now proceed to enumerate the methods which, in 
our opinion, should be followed by the producer in order to avoid the menace now 
before us of the total annihilation of the main source of wealth of the valley of 
Oagaydn. 

if the human family requires in its raising the utmost care in order that it may be 
brought to a healthy maturity it is no less the fact that the nurseries for the pro- 
duction of tlie tobacco seedlings should receive the same careful attention. Soil of 
the proper richness should be selected, preferably vir^n soil from which the forest 
growth has recently been removed, and if such soil is not available, then the soil 
used for the nurseries should be properly pulverized and fertilized. The matter of 
watering or irrigating these beds should also receive qareful attention until the seed 
has generated. The transporting of the seedlings should be made at a time when 
the two first leaves have grown to about the size of a peso. 

If in the conservation of animal life proper hygiene is necessary it is also neces- 
sary for the proper nutrition and development of vegetable life. For the care of the 
growing plants it is necessary that the ground should be properly prepared. The 
soil should be plowed three or four times in order to breas up the clods and per- 
mit the roots of the tobacco plants to penetrate and absorb the necessary nutritive 
matter therefrom. The soil should be properly fertilized. The worms and other 
insects and the weeds that grow up in the plantation should all be eradicated. The 
plants should be watered or irrigated in such a manner as to not wet the leaves 
(this in case of drouth). The buds should be picked off in order that the sap, which 
would otherwise go to waste, may be used to increase the size and quality of the 
leaves. All young shoots that do not promise to produce good leaves should be 
removed. 

After all foresight has been used for the care of the growing plant careful attention 
should be devotS to the gathering of the leaves. This should be done at the proper 
stage of their development, neither when they are too green nor after they have 
pa^ed the proper stage. 

If the agriculturist takes pride in the appearance of a plantation properly culti- 
vated he should also take the same pride in seeing that the harvest from his fields 
is properly cared for and seasoned before it is delivered to the purchaser. Tobacco 
leaf should be cured under roof, in order that the changes in the weather may not 
affect its quality. To-da\' tobacco leaf is largely seasoned in the open air and the 
rain and hot sun prevent the proper curing, which can only be obtained in an equa- 
ble temperature. Care should be taken also in the cutting of leaves which go to 
make up a manojo (package) ; in the conscientious selection of the leaves of the vari- 
ous grades in order that they may be properly classified and delivered and, in this 
manner, to rewin confidence on the part of the purchaser in our good faith; in the 
proper handling and pressing of the leaf in order that the delicate fiber may not he 
injured; in patient and intelligent stacking of the leaves in order that the curing may 
be uniform and perfect and that a uniform temperature may he obtained, otherwise 
the leaf will ferment and spoil. In the stacking of the tobacco leaves a vent should 
be left in the center of each stack in order that the vapors from the sweating of the 
leaves may have an opportunity to escape, and in order that the noxious gases may 
be eliminated and that the aroma and proper coloring of the leaf may be obtained. 
In the handling of the tobacco the various bundles and packages should be turned 
and distributed so that each may alternately occupy an exterior and an interior 
position in the stack. 

With regard to the use of fertilizers of the soil it has been found in practice that 
the best result will be obtained by their use. We have seen that the valley lands, 
which are periodically watered by the Rio (irande, from which this province takes 
its name, produce a superior crop. It is therefore recommended that sufficient 
fertilizers be used on the higher lands devoted to the culture of tobacco and to which 
the alluvium from the river can not be carried even at the high stages of water. 

The foregoing remedies which we have prescribed to bring about a better condi- 
tion in our agricultural industry, now so depressed, are more in the nature of reminders, 
for the reason that the agriculturists of this valley are already well aware of their duties 
in the premises. We therefore remind our brothers in the fields that if, before the 
time wnen the Government monopoly on tobacco lands was removed, they worked 
because of the fear of the overseer's whip they should to-day work under the influ- 
ence of the fear that if they do not do so tnere will be no purchasers for their product 



BEPOBT OP THE COLLECTOR OP INTERNAL REVENUE. 205 

We conclude these few lines earnestly advising the agriculturists of this valley that 
thev endeavor to apply the remedies we have print^ and that by doing so they 
will, to the extent tnat in them lies, have assisted in raisinc: our pnncipal source of 
agricultural wealth from out of its present slough of despond. 



Appendix M. 
CAOATiH AKD ISABELA TOBACCO LANDS. 

fBy H. B. Fernald.l 
I. TOBACCO LANDS. 

The cultivable area is roughly shown by the attached map and will be seen to 
consist of a strip of about 5 to 10 miles in width along the Cagaydn River and its 
tributaries. Tooacco can be grown as far north as Gattaran, but it is not of the best 
quality. The lands from Tuguegarao to AlcaW used to raise a first-grade tobacco, 
but they have been worked so continuously that the best tobacco is now found in 
the more recently develoj>ed lands. 

There are two main factors which determine the availability of land. (1) The 
natural conditions, and (2) the means of transportation. 

( 1 ) The natural conditions. — During the rainy season, from September to December, 
the Cagayun River and its tributaries rise from 10 to 40 feet, covering the valleys for 
miles on either side with their muddy waters, which leave a deposit sometimes of 
several inches of silt. This makes the first-class tobacco land. Back of this is the 
second-class tobacco land, which is not inundated and which is practically unculti- 
vated. These lands could in many cases, with but slight expenditure of capital, be 
easily flooded from some of the many small streams found throughout the country. 

(2) Means of transportation, — For lack of fitting transportation facilities great sec- 
tions of the finest tobacco lands are uncultivatM. especially the Magat Valley and 
the upper Cagaydn above Echapue. From December to June only rarely can steam- 
ers of 3 feet dnift go above Alcald. From July to January they can usually reach 
Tugue^rao. From September to December they can usually reach Ilagan and 
sometimes Cauayan. There are two steamers, the Magat and magapic, belonging to 
the Tabacalera Company, which handle only company*s freight; one, the Aparri, 
belonging to a private company, which does a general business; the government 
steamer ISentinel, and three small launches. Practically all the tobacco transporta- 
tion is therefore by cascoes. Probably three-fourths of the tobacco business is ui the 
hands of the Tabacalera CJompany. They have their storehouses in every town. 
The tobacco stored in these is loaded in cascoes, which are poled, rowed, or sailed 
down the river until they can be taken in tow by one of tne steamers and go to 
Lalloc for transshipment. Other cascoes go all the way to Aparri unaided. Two 
weeks for the trip from Aparri to Ilagan and a week for the return is quick time for 
a casco. The cascoes continually go aground on the numerous sand bars and often 
have to be unloaded before they can cross a bar. The cost of such transportation, 
added to the heavy rates charged by the coast steamers, make the expense of ship- 
ment eaual to 25 per cent to 50 per cent of the value of the product shipped. 

In addition to this expense of river shipment must be noted the cost of cartage 
from the fields to the river. There are practically no improved roads in the valley, 
and 10 miles is about the limit for profitable cartage. Tnis is the reason that such 
large tracts on the upper Oagaydn, on the Magat, and on many other smaller rivers 
are uncultivated. Many of these rivers are great torrents in the wet season, over- 
flowing miles of fertile ground, but in the dry season are small streams, which do not 
serve even for rafting the tobacco to the main river. 

The larger part of the land is owned by local owners in small parcels, but there 
are a number of large estates, especially in Isabela Province. These estates are 
worked by *' colonistas." each of whom has his own parcel of land to work. 

Few persons have valid titles to their land, and it is a common practice to settle on 
any smtable unclaimed land and cultivate it. 

II. THE METHOD OP CULTIVATION. 

In the latter part of November or early in December the tobacco is sown in seed 
beds, and as soon as the fields become dry enough to be worked the plants are trans- 
planted to the fields, which have been plowed twice or thrice with the ordinary plow. 



206 RBPOBT OF THE PHILIPPINE COMMISSION. 

harrowed with a bamboo harrow, and marked off in squares. The weeding is done 
twice by hand and the weeds left lying between the rows. A plow is sometimes run 
down between the rows. The suckers are not picked oJEf. Tne plants are budded 
once. Sometimes the leaves are picked one by one as they ripen, but oftener the 
whole stalk is cut at once. The leaves are stuck on sticks about a yard long and 
the diameter of a pencil, and put in the sun to dry. When dry they are piled in 
the houses and changed occasionally as the bottom of the pile ^ws too hot. Before 
being sold tlie leaves are taken from the **palillos" and niade mto ** manos'' or flat 
packages. '* Sweating'' is usually done by the buyers before shipment to Manila, 
and again in Manila much more thoroughly. v 

III. IMPROVEMENTS NEEDED. 

( 1 ) Transportation. — The great need is for a railroad. The route suggested is shown 
on the accompan^ng map.« Of necessity the railroad would have to go some dis- 
tance from the nver and would on this account pass through much land not now 
available. It would also so reduce freight rates that tobacco could be carted longer 
distances. It would further mean that lai^ge numbers of settlers from the overpopu- 
lated provinces around Manila would come into the valley and take land not now 
cultivated. Such a road would not probably pay expenses for the first few years, 
unless the timber trade should enable it to do so, but the general increase in produc- 
tion and prosperity which would rapidly come would make it a paying enterprise 
thereafter. In bringing the valley into closer touch with Manila markets and wiUi 
the civilization of the outside world the railroad will do an invaluable work. 

(2) Cultivation and care of the tobacco. — The value of the tobacco crop of Oagaydn 
and Isabela is much less than it would be if more scientific and careful methods were 
followed in planting, cultivating, and curing the tobacco. Some of the principal 
defects are as follows: 

(a) The seed has been unchanged for years and has greatly degenerated. The 
importation of fresh seed from Sumatra, Cuba, and America would be a material 
gain. 

(b) The preparation of the soil is very imperfect and expensive. Modem imple- 
ments would prepare the soil better at a smaller cost. 

(c) The suckers are not removed, but are allowed to grow in order to get a greater 
number of leaves. The buds are only removed once, and then allowed to grow 
again without removal. In this way a large part of the strength of the plant goes 
to suckers and buds. 

(d) Nothing has been attempted in the way of raising tobacco under screens. 

(e) When picked the leaver are jabbed on sticks, which makes a considerable hole 
as compared with the method of using small strings, as in Sumatra. 

(f ) In dryinff the leaves are exposed to the hot sun. They should be first dried in 
darkness and tnen the light gradually admitted. This is probably the greatest defect 
in their tobacco culture and permanently injures the tobacco produced. Instead of 
being dried out, the oils are burned in. No process of sweating can afterwards 
remwiy this. 

IV. TO IICPROVE THE SITUATION. 

(1) Tariff reduction. — The benefits to accrue are self-evident. Not only would 
those now raising tobacco receive a better price for their tobacco, but new capital 
would enter the valley, with improved methods of cultivation and transportation 
resulting. 

(2) Railroad. — If the Cooper bill becomes a law there can be but little doubt that 
a railroad will be built passing through the timber lands of the Caraballo Sur and 
the tobacco lands of the C^igaydn Valley. The road would soon become a paying 
investment and the benefit to the country would be immeasurable. 

(3) River improvement. — If the river could be dredged or in some other way the 
sand bars obstructing the channel could be cleared, it would reduce the cost of river 
transportation by almost one-half. 

(4) Coolie labor. — Were the introduction of coolie labor to be permitted it would 
mean the establishment of large, rich haciendas, a great increase in the quantity and 
an immense improvement in the quality of thetob£xx> produced, and a vast increase 
in the general wealth of the country, but the Filipino labor would not be able to 
keep the pace thus set and would be driven to the wall. 

(5) Education. — The present school at Tuguegarao is the b^nninff of a valuable 
work whose influence will gradually effect some improvement. There is an old 



«0n file in the Bureau of Insular Affairs, War Department 



REPOBT OF THE COLLBCTOB OP INTERNAL REVENUE. 207 

Spanish government farm at I lagan which might be reestablished with profit and 
would prove a valuable object lesson in improved methods. 

(6) Fairs, — As an immediate means of arousing an interest in improved methods 
of agriculture nothing would accomplish so much as the old-stvle ** county fair.'* 
Improved agricultural implements would be brought directly to the attention of the 
]>eople. The bureau of agriculture could have tobacco in various 6tap:es of cultiva- 
tion, showing what approved methods will do. An object lesson of this kind would 
be of incalculable value. Abundant land could be obtained atTuguegarao and thou- 
sands of people from all through the valley would attend. The usual prizes should 
be given for local products, and everything would be run along the line of the 
"county fair*' in the States. One or two thousand pesos would cover the cost of 
the necessary buildings, and the good immediately resulting would be measured by 
tens and hundreds of thousands of pesos in the increased value of the crop raised. 



Appendix N. 
THE TOBACCO IHD1T8TBY IN THE PHILIPPIHE8. 

[Article by Mr. B. Ayeaa in El Mercantil, of Manila, April and May, 1906.] 

The Hon. Mr. Taft, at a meeting of American tobacco growers, made the assertion 
that the only tobacco worthy of mention in the Philippines was that produced in the 
Caugaydn Valley. 

Mr. Taft knows perfectly well what he has said and this demonstrates once more 
the deep study that he has made of the Magallanic Archipelago. 

Can the Cagaydn Valley tobacco be compared with that produced in North America 
in the States of Kentucky, Virginia, and Maryland? We firmly believe so. 

The C^^ydn Valley, and above all the province of Isabela, can produce tobacco 
very much superior to that now raised (or said to be) in that region; but the deplor- 
able state of Dackwardness in which the cultivation, the curing, and the handling 
are found, makes that leaf (which could, if presented in the different markets of the 
world, obtain one of the foremost places) discarded at the present time because of 
its poor quality and even worse presentation. 

About a dedade ago the Philippine tobacco entered and was valued in the markets 
of Amsterdam, Trieste, Antwei^), Hamburgh London, Spain, and others. To-day it 
may be said to have become limited to the Spanish market, and this latter will be 
likewise lost very soon, for at the termination of the period of ten years provided hy 
the treaty of Paris, and when Spanish goods cease to be favored by the tariffs, it is 
almost certain that the Spanish monthly mail steamers will also cease to plv, and 
then it is very probable that the doors of Spain will be closed to Philippine tolmcco. 

Now that the Philippine tobacco question is so much debated, both in America and 
in the Philippines, and prompted by the )>est wishes for and in defense of this indus- 
try, I propose to undertake a comjjlete essay thereof, for which I will draw upon my 
experience of twenty-two consecutive years engaged therein. 

No industry can he developed with probable success without counting beforehand 
with ^ood first materials. 

To judge by the fame acquired at one time by Filipino tobacco when it became 
free of the monopoly exercised upon it by the Spanish Government, anyone would 
have believed that this industry would make great strides. 

Logically considered this belief was very natural, for once the business was 
delivered up to private enterprise and the planters were at liberty to sell their tobacco 
to the highest bidder it was to be supposed that both the tobacco cultivation and 
its industry would improve greatly. But the Philippine Islands have been and will 
be a country of hidden problems, and tobacco continues since then in an alarming 
state of retrogression. 

What are the causes? We will endeavor to expose them clearly in the following 
articles. 

The history of Filipino tobacco dates from the year 1783, when Governor-General 
Basco decreed that the government should have control of tobacco. Therefore, 
tobacco in the Philipines was monopolized exactly one century. 

The government exercised entire monopoly both as to the leaf and the manufactured, 
for which purpose it had m corps of appraisers distributed over the different prov- 
inces and towns where the plant was cultivated. In Manila it had various factories 
for the manufacture of cigars, cigarettes, and smoking tobacco. 



208 BEPOBT OF THE PHILIPPINE COMMISSION. 

The chief appraiser, styled **interventor," resided in the capital of the province 
and had at his orders vanoos subordinates called " alumnoe aforadores." 

These operated by districts composed of various towns, and in each town there 
was a ''caudillo'' (head manV who was at the same time '^gobemadorcillo'' (little 
governor), who, tcj^ther witn the "teniente** (overseer) of the tobacco fields, exer- 
cised the office of inspector of cultivation and was remunerated by a percentage of 
the crop. 

The chief appraiser issued the order fixing the date upon which the first tobacco 
seed plot should be planted, for there were several, alternating generally every fifteen 
days. 

These were common seed plots and occupied at least one-half a hectare of land 
each. Their care and weeding were in the hands of the old men, the women, and the 
children of their respective towns, while the able-bodied men engaged in plowing 
their lands and |>reparing them for transplanting the tobacco plant 

At first sight it would seem that the inspection exercised over the planter was 
somewhat oppressive, treating him as if he were a colonist or laborer not working 
his own property. 

Nothing could be more erroneous. That wise inspection was purely paternal and, 
thanks to it, the tobacco seedlings were obtained in proper season. The lands were 
prepared with three plowings, at intervals of fifteen days each, and the transplant- 
mg was done, commencing with the hiehlands in the second half of November and 
ending with the lowlands in the first half of January, a period during which it is 
well known that the transplanting should be done. There is a common adi^ that 
says: **Mas vale Uegar d tiempo que vendar un afio'* (It is better to arrive in time 
than to round about for a year); and following this most true maxim, we may say: 
"He who sows in time has an almost certainty of reaping a good crop." 

A person acauainted with the beautiful plantations of the Cagayin Valley knows 
likewise that tney are favored with fine, ambient temperature, numidity, adequate 
seasonable winds, and the proper chemical composition of the soil to bring forth as 
a result.those magnificent tobacco leaves, the beau ideal of the smoker. 

But this leaf, wnich at one time acquired justified fame, is being lost at gigantic 
strides within the past few years. 

The tobacco now cultivated in the Cagay^ Valley may be said, without doubt, to 
be almost a wild plant. 

Planters, both on a large and small scale, seem to have united for the purpose of 
casting ill repute upon the Filipino tobacco. 

I know that this assertion will bring forth cries of protest; but I have undertaken 
to publish a complete study of tobaccx) in its different phases, and if I now touch the 
sore spot of the planters, to-morrow I may touch that of the leaf-tobacco dealers, and 
later tnat of the manufacturers, for they are all and each one of them in their sphere 
of action responsible for the deplorable state of Filipino tobacco. 

We said in our preceding article that once the tobacco business was delivered into 
the hands of private enterprise, it was to be supposed that both the cultivation and 
the industry would improve greatly. 

True it is that the manufacture of tobacco is all that could be desired as to its 

Eresentation and style. The Filipino cigar maker has no rival. But, on the other 
and, that special preparation of the tobacco, those secrets of manufacture which 
have given so much renown and profit to certain manufacturers — this art is yet in its 
infancy here, and we can voice it loudly. 

Upon the abolishment of the j?ovemment monopoly of tobacco in the year 1883, 
a mercantile company was established in the Philippines under the name of "Com- 
paflfa General de Tabacos de Filipinas." 

This powerful company began to operate then with a cash capital of £5,000, 000. 

It founded the great cigar and cigarette factory entitled '* La Flor de la Isabela.'* 

It secured the greater part of the leaf tobacco of the first crops, and thereby acquired 
almost in its entirety the monopoly in tobacco. 

In Isabela, Luz6n, it bought from the Government and private parties extensive 
tracts of lands, known to-day as the San Antonio, San Luis, and Santa Isabel planta- 
tions. These plantations were populated by immigrants from the provinces of Ilocos 
Sur, Ilocos Norte, La Uni6n, ana Abra, likewise tobacco-growing districts, though 
not on the scale of Isabela and Cagaydn. We wish to say by this that these colonists 
were not entirely ignorant of tobacco cultivation. 

There was also founded at that time another tobacco plantation, named Malum, 
owned by the firm Baer, Senior & Co., and still another,, which was of less impor- 
tance, and for this reason we do not mention it herein. 

It was to be presumed with justified reasons that these plantations would prove to 
be in time semiagricultural schools, wherefrom colonists would issue very much 



REPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 209 

advanced in the cultivation, curing, and handling of tobacco, whose instruction would 
afterwards extend to the different towns of the Oagaydn Valley, and even to the towns 
from where they had emigrated. 

Before entering into the cause of the retrogression in leaf tobacco, and as a conse- 
quence that of the tobacco manufacture, I have need of making a statement: 

Be it known now and forever that my writings do not attach, directly or indirectly, 
to any one given company, entity, or person. 

I am one of the greatest enthusiasts for everything appertaining to tobacco. 

I regret as much as anyone the great evil threatening others, and it is my duty to 
sound the alarm and at the same time to bare the facts m order to seek the remeaies. 

Having eased my conscience with this statement, we will now commence. 

Those plantations which, as I have said before, were to be in a measure agricul- 
tural schools are in the same regrettable state of backwardness as that of a poor 
laborer who learned nothing more than the path shown him by his grandfather. 

No machinery is to be found there. On the other hand, the ever-present carabao 
and the antiquated plow are there furrowing those extensive tobacco fields, and not 
penetrating into the soil more than 12 or 14 centimeters. 

There is not to be found a single rail or tramway nor any portable road whatever 
to gather and carry the product of the fields to the warehouses or shipping places. 

No fertilizer is used, nor any irrigation, other than the fertilizing slime or mud 
annually left there by the great floods of the rivers and the rain sent down by 
Providence. 

n such is the case in the large plantations, what must be the conditions among the 
small, poor planters, who have no instruction, no capital, no animals, nor any kind 
of indispensable appliances to cultivate the land? 

The foregoing are certainly ample reasons for not relying upon a good crop, but 
there are others worthy of a separate chapter. 

PREPARATION OF THE SOIL FOR TOBACCO CULTURE. 

To plow or dig the soil is good, for four reasons: (1) So that becoming spongy 
thereby, facility is afforded for the spread of the roots and for the circulation of air; 
(2) so that, bringing up and turning over the subsoil, the latter may be improved 
and thinned out by the heat of the sun; (3) to uproot the weeds which absorb the 
nutritive juices contained in the soil; (4) that by repeated labor the soil may retain 
ita freshnesii, in order to impart to the vegetables the necessary juices during the 
heated term. The soil once prepared in this manner, the seed is sown, the plant 
takes hold, grows, and the fruit is borne by nature. Man has done nothing more 
than to combine the means. 

The system of preparing the soil throughout the Cagaydn Valley could not be worse. 
The tobacco lands there, if not used for com after the tobacco crop, are left in a com- 
plete state of neglect; they fill up with weeds and with a dense growth of vines and 
other plants that do not allow the rays of the sun to enter, and that moreover suck 
all their substance, leaving them barren for the new crop. 

Tobacco lands should be timely prepared, beginning to till them in the month of 
July or August for those in which corn was not grown, securing thereby two advan- 
tages: First, to kill the weeds by solar action; second, to air the soil thoroughly. 

At present the major part of the lands commence to be tilled fifteen days or even 
less before the transplanting begins— a bad system, with fatal results. 

We have already spoken about the deficiency of the old plow, which should be 
replaced by the modern moldboard of very easy handling, and which besides pene- 
trating deei>er into the ground has the advantage of turning over the soil very much 
better than the one now in use. 

Land for tobacco cultivation should be plowed three times, with intervals of one 
month between them, for lands whereon corn was not grown, and at least fifteen for 
these latter. 

We also recommend that after plowing the native harrow should not be used. 
This is a very general and harmful custom. By this means all that is accomplished 
is to pulverize and flatten out the soil on the surface, and it preventa the penetration 
of the rays of the sun. Every good planter should 'now that the solar action is the 
beet fertilizer that the soil receives. 

FEHTILIZERS. 

We have yet to learn that any large or small planter has tried any kind of fertilizer. 

It may, perhaps, be argued that the plantations of the Cagaydn Valley do not 

need fertilizer because the deposit of alluvium brought periMically by the great 

WAR 1906— VOL 13 14 



210 REPOBT OF THE PHILIPPINE COMMISSION. 

overflows is sufficient to fertilize the soil, and that the plants do not suffer through 
lack of nutritive matter. 

While it is true that most every year those plantations are benefited by the floods, 
it is no less true that these lands are in need of forei^ fertilizers. An ample proof 
of this is that in Gamu, Ila^^an, and other plantations annually fertilized by the 
rivers the crops are degenerating. 

It is moHt true, and confirmed by thousands of experiments, that the ctiltivation of 
tobacco, carried on ^nth the best conditions of soil and climate, is perfected greatly 
in quantity and quality if the planter employs scientific means in the nutrition of 
the plant. 

Of the different analyses made of tobacco we draw the conclusion that the most 
select leaf is that cultivated in lands abounding in soluble salts of potash, which, 
besides promoting rapid development of the leaves, give them great fineness, fiexi- 
bility, and aroma without thereby increasing the quantity of nicotine. 

Potash salts are obtained in the ashes of any kind of forest plants, burnt bamboo 
and others, and the richest in this substance are the verv stalks of tobacco and com. 

Every tobacco planter will have noticed that when, after the great floods in their 
fields, the stalks, branches, and brush left thereon are burned there, the plants planted 
among these ashes acquired greater development than the rest. Their color was a 
deeper dark green, and the greater flexibility and fineness was clearly apparent 

Well, then, this having b^n observed, it is not difficult to select the fertilizer, and 
its acquisition is within every planter's reach. 

We recommend as one of the best systems the formation of the "hormigueros,'' 
or heaps of burnt earth, a very antiquated mode of fertilizing the fields and of 
positive results in tobacco culture. 

There is a more simple way still: Cover the serface of the land to be cultivated 
with a not too thick layer of branches, drjr leaves, grass, or bamboo, and place on 
top another layer of dry earth, one or two inches deep; bum in proper season, and 
two or three days after this operation give one turn with a plow. By this means 
uniform fertilization of the whole field will have been obtained, and also the 
destmction by fire of innumerable grubs and larvee of insects, which are tobacco's 
worst enemies. 

TOBACCO SEED AND SEED PLOTS. 

We consider the selection of seed of the greatest importance. It should be chosen 
from the most healthy and developed plants in each field, and the planter should 
mark them, even before budding, thereby preventing the mistake of rendering the 
seed useless when the women come to remove the sprouts or shoots and the buds. 
The selection of the seed should be made with great care, because of the immense 
variety and completely distinct conditions. 

The seeds known as Maroqui, Vizcaya, and Havana, this latter known likewise by 
the name of "heart," due to its shape, are those which produce the largest quantity 
of light, fine, and clean wrappers. 

The seeds known by the names of Romero, Morada, and Casira furnish an aro- 
matic leaf suitable for fillers of good cigars and for select cut tobacco or **picadura." 

These plants bud very soon, but if the transplanting is done in the second half of 
November or first half of December, the cool north winds moderate their growth, 
they take deeper hold, and after that their development is greater, many times reach- 
ing up to twenty leaves in the fir^t cutting. 

As to the seeds Pampano and Espada, they should be discarded altogether. The 
first named gives a leaf similar to that of the cabbage, very much wrinkled toward 
the stalk, very coarse, and with very thick cross veins. The second named gives a 
very narrow leaf of "maduro" color and heavily charged with nicotine, for which 
reasons it is used solely for chewing tobacco. 

Now that good wrappers are so scarce, we recommend to the municipalities to pro- 
vide themselves with Sumatra seed. It produces a very fine, light-colored leaf, and 
if the transplanting is done early the leaves attain fairly ^ood size. 

This kind of seed was planted rather extensively in an important plantation in the 
Cagaydn Valley and, in my humble opinion, the results were very satisfactory, and 
they would have been much more so if the transplanting had been made to soil of 
more strength, or that known there by the name of "jugus," wherein the plants 
obtain very much more development. 

It has never been explained why this seed was discarded. I believe that it was an 
unfortunate mistake and that dire results will now be experienced. 



REPOBT OF THE COLLECTOR OP INTERNAL REVENUE. 211 

8BBD PLOTS. 

There should be at least three, the first to be sown between the 15th and 20th of 
September, for, bearing in mind that the seed if well cared for obtains in between 
forty and fifty days, this enables the commencing of planting in the second half of 
November. We have already said that these plantings should be alternate and at inter- 
vals of about fifteen days each. 

The selection of seed is not practiced at present. The planter, without caring to 
see if the plant is sound or diseased or noting this or that condition, gathers the seed 
from the field, and it is very frequently the case that it is taken from the sprouts or 
from the discarded plants. Hence the diversity of classes found even in small fields. 

The seed plots out^iide of the plantations are formed in very bad conditions as to 
soil and weather, so that the planter who has been cautious and has secured his seed 
in good season has need of becoming a constant sentinel, and even then at the slightest 
lacK of vigilance he is robbed of it. These thefts are likewise very frequent even after 
the transplantings. 

All these evils would be avoided if the municipalities would follow the good custom 
of making common seed plots, as was done during the time of government monopoly 
and described herein. 

TRANSPLANTING. 

We have said that the transplanting of tobacco should be made in the high lands 
during the second half of November and in the low lands during the first half of 
December. This latter can be extended up to the 24th of the month at the latest. 

These are called early plantings, and many years of experience have shown us that 
they are the best, for three distinct reasons: First, because after the recent rainy sea- 
son the soil retains all the humidity; second, because the cool northern winds modify 
the growth of the plant, which, seeking the warmth of the soil, takes firmer hold, 
absorbs the nutritive juices, and the development is much greater both in quantity 
and Quality; third, because the season of northerly winds extends throughout the 
month of January, bringing therewith some showers of fine rain, highly oeneficial 
to the plants. 

Now, unfortunately, just the reverse occurs. We freduently see that lands to be 
planted with tobacco are still entirely neglected, full of orush, and the planter does 
not even trouble himself to fi^ve it the first plowing. 

These lands are afterwards cleared, plowed, and prepared at times in less than a 
week. The transplanting is poorly done, the soil is raw, has not been benefited by 
the sun's rays, and consequentljr is not vegetable soil. The roots of the weeds pre- 
viously torn out again take hold immediately and the field is once more full of brush. 
The greater numl^r of the plants die, and those that do not perish grow up stunted, 
diseased, and develop unevenly. The tobacco is extremely poor, of a yellowish 
color, gumm]^, slow to bum, and very bitter. 

It is very risky to mix this tobacco with others, because it is very liable to heat 
and also to impart to the others its bad conditions of color, odor, and taste. 

The delay in the transplanting is due to nothing else than the little care given to the 
seed plots; sometimes owing to baguios, others to excessive rain, others to drought, 
and always to neglect; it happens that when the season for sowing arrives there are 
very few who have the seed ready, so that transplanting is done in the months of 
February and March, when the cutting of the first leaves should begin. Hence, the 
crops are scarce, of poor quality, and of divers kinds and conditions. 

Another feature of the greatest importance is the distance to be observed between 
the plants. The general custom at the present time is approximately 1 vara 
(about 33 inches). This is practiced in all the lands as if they were of like condi- 
tion. We a^rree to that distance as to the walks, but not between plants. 

The beautiful plantations of the Cagayun Valley are formed of lands rich in organic 
elements of great nutritive strength, and in these lands we consider the distance 
between plants as excessive. Hence, it happens that the plants give out an exces- 
sive amount of foliage and thore is need of frequent gleaning; otherwise a small forest 
would be formed. 

Due to the excessive distance, the plants absorb a greater quantity than necessary 
for their nourishment, resulting in very thick leaves with very pronounced cross 
veins, of difficult application and usefulness for fine wrappers. 

For the same reason the colors **maduro** and "Colorado maduro** predominate, 
and we find the colors *'claro*' and "Colorado claro" only in the leaves, called in Ilo- 
cano "lapa en ibana^'' and "palaapas." These are leaves near the ground and 
sheltered, therefore, fiom the sun and the wind. 



212 BEPOBT OP THE PHILIPPINE COMMISSION. 

The distances that should be observed are 80 centimeters for the walks and 65 
centimeters between plants. With these distances will be obtained the following 
valuable advanta^^: Firsts in the aanne space a much greater crop; second, by the 
distribution of the juices of the soil affected bv the increase of plants the leaves will 
be finer; third, through the shade mutually afforded the much-desired colors **claro" 
and '* Colorado claro will be obtained. 

The plantings havinj^ been made as explained in the preceding chapter, we must 
now look after the maintenance, cleaning, and cutting. 

All the operations in tobacco culture are of such importance that we compare them 
to a complicated machine, wherein several geared wheels work together. 

From the moment that the seed is put into the ground until the tobacco goes into 
the market in the shape of cigars and cigarettes it passes through many delicate 
manipulations. 

So that in order to explain the causes of the depreciation of Filipino tobacco within 
the last few years and to suggest the remedies, based on manjr years of study and 
experience, it becomes necessary to publish various articles, which we do not doubt 
will be read with interest by all those engaged in the culture and manufacture of 
tobacco. 

It many times happens that the plants carry from the very seed plot the grubs and 
larvae of insects, the destruction of which is very necessary. 

When the seed plot is attacked by the worm and it is desired to prevent the propa- 
^tion of the plague to the plantations^ it should be destroyed within the seed plot 
Itself; for which purpose a not very thick lye of ashes and boiling water should be 
made, and when cold the seed plot should be irrigated therewith. It is only in very 
rare cases that this has to be repeated. 

If the field wherein the transplanting has been made has been previously fertilized 
with ashes and burned earthy as we have suggested, it can be guaranteed that the worm 
will not make itself very visible, for the potash salts, besides being the best fertilizer 
for tobacco, have the quality of de6tro3rin2 the parasitical insects of the plant in over 
60 per centL 

Besides attending to the removal of the worms morning and evening, it is advisable 
to make bonfires at night at the mar^pus of the tobacco fields, whereby the butter- 
fiies will be drawn into thefn by the light and perish in the fiames, instead of depos- 
iting their larvae on the plants. 

Frequently one or two sprouts or shoots are allowed to remain on the plant, and 
this, although it increases the crop, is not at all advisable, because the leaves grow 
smaller and of inferior quality generally, and those of the high grade diminish. 

When the plants have entirely developed they bud, and it is advisable to at once 
nip the buds oef ore they flower. 

When doing this, care should be taken not to bud the plants previously marked 
for seed, and, as we have said before, these plants should be selected for the fineness, 
elasticity, and width of the leaves. 

Once the buddinj? has been done the sap becomes distributed into the leaves of the 
plants, and immediately they begin to mature. 

Many times have I noticed that leaves were cut before maturity and others when 
overmatured. In both cases the leaf entirely loses color, aroma, and flexibility, 
which are indispensable conditions for manufacture. 

We therefore recommend that the cutting be done when the leaves besin to lose 
their dark-^reen color and when seen from within toward the light small misters are 
noted. It is then that the leaves are in condition for cutting. It should be done 
during the heat of the day, because it is very harmful to cut in the early morning 
hours when the plants are covered with the night dew. 

We likewise recommend the cutting after the full moon, because the tobacco plant, 
as all other plants in general, contains a greater quantity of liquids when the moon 
is crescent, which liquids are a source of innumerable difficulties in the curing, with 
marked tendency to decomposition. 

DRYING HOUSES. 

Ninety per cent of tobacco planters do not attach importance to the operation of 
airing ana drying the leaves. Through badly understood economy they do not build 
drying houses, and those that are built do not have the necessary conditions for a good 
drying process. 

They should be built in well-ventilated places, somewhat distant from rivers and 
as far away as possible from lakes and swamps. 

They can be plain, i. e., of cane and bamooo only, but inclosed with latticework 
doors and windows, and not in the form of sheds, as a good many are constructed. 



KEPOKT OF THE COLLECTOB OF INTEENAL REVENUE. 213 

The lattices should be as close as possible to prevent incoming rain and the humidity 
of the atmosphere. 

It is well known that the ^reen leaves of tobacco, when drying, absorb all the 
oxygen of the atmosphere/ which makes breathing very difficult inside of the drying 
houses, for which reason we advise the planters to abandon the bad habit of drying 
tobacco inside of their dwellings. 

The leaves in decomposition exhale gases charged with nicotine, and they are dan- 
serous for people living there. It is this that causes the frequent pernicious fevers 
known by tne name '^Csg&y&a fever.'* 

We have already said that the majority of the planters do not attach importance to 
the tobacco drying, whilst a good method in that respect is almost a guaranty of a 
good crop. 

Tobacco is at present allowed to dr^ by the sun. If it rains they cover it (but not 
always) with a few banana leaves, which cover it so deficiently that in most instances 
it becomes completely soaked. At night it is left out exposed to the weather and 
receives all the dew sent down by God. 

With that method of drying it is entirely impossible to obtain eood tobacco, for 
the leaves with excess of humidity attain a varieated color, with black and greenish 
stains, they lose combustibility and aroma, and acquire a bad odor produced by 
mold. 

The best system known to us, and which has given very good results, is the 
following: 

Once me drying houses or camarines have been built in the form herein described, 
place inside a ** pala pala'' (scaffolding), made of bamboo, both verticall;^ and hori- 
zontally, leaving a passageway along the whole center, with a connecting door at 
either end of the building. 

The '* hands'' of leaves, composed usually of one hundred, are then hung on the 
different rings of the *' pala pala," taking care that they do not touch each other. 

Should the weather be damp and rainy it is advisable to introduce smoke into the 
building, thereby killing the vegetable parasites on the leaves without injuring in 
the least the good quality of the tobacco, provided that the smoke is not excessive, 
and the plants burned for that purpose were not resinous. 

During extremelv damp weather the doors and windows should be closed to avoid 
the circulation of damp air, and it should be endeavored to keep up a dry tempera- 
ture by means of smoke. 

Should the weather be dry with northeast monsoon winds; usually prevalent at 
that time, the doors and windows on that side should be closed and the opposite ones 
opened, thereby avoiding the hasty drying and shrinking of the leaves. It is advis- 
able to interchange the ** hands" of leaves that have been more exposed to the heat 
with those which were in a lower temperature within the camarine. 

There is nothing easier than to obtain uniform drying within the drying houses or 
camarines by means of a thermometer and taking care to maintain, whether by ven- 
tilation in dry weather or by fires and smoke in wet weather, a maximum tempera- 
ture of 36° and a minimum of 26°. 

Should it be observed during the drying process that some leaves have become 
moldy through excess of humidity it is advisable to take them out and expose them 
to the sun, thereby killing in a few hours this injurious fungus vegetation. 

THE PILING OP LEAP TOBACCO. 

The leaves having been dried as described in the previous chapter the piling up, or 
"mandalas," is proceeded with. 

The name of ^^mandala" is given to the piles of dried leaf tobacco removed from 
the drying storehouses. 

The purpose of making up into mandalas is to make tobacco smokable by means 
of fermentation. 

Mandalas should be two at least, and to this end a careful selection of all sound 
and clean leaves should be made, with which we will form the first mandala. In 
the second we may likewise place all leaves of inferior quality, as well as all such as 
during their drying may have become mildewed through excess of dampness. 

The object in segregating the mandalas is to prevent the bad leaves transmitting 
their bad conditions of odor and taste through fermentation to the good ones. 

The fermentation of tobacco in mandalas should be slow, as an excess of heat 
would injure it very much as regards color, flexibility, and weight. 

It is therefore our advice that when 60° are reached, which is the maximum tem- 
perature to be allowed to tobacco, it should be overturned twice — when the temper- 
ature reaches 46° and 55°, respectively — a third one to be given at 60°. 



214 REPORT OP THE PHILIPPINE COMMISSION. 

It most not be taken that as the maximam temperature has been reached tobacco 
is now cured. Nothing would be more erroneous. The period of fermentation of 
tobacco in no case is under seventy-five to ninety days, and during such period it 
should be overturned in succession, until the fever gets down to the same tempera- 
ture with which it started. 

. The fermentation of the tobacco having been completed, its selection and classifi- 
cation should now be proceeded with, put up into hands and getting it ready for 
appraisal and baling. 

It has been thoroughly demonstrated that a maximum thermometer is indispensa- 
ble to every good tobacco grower. Now, then, I may assume without the nek of 
erring, that outside of the plantations there are not ten thermometers in the whole 
of the Cagaydn Valley; 

With the proper use of a thermometer incalculable advantages may be obtained. 

If our crops consist of thin leaves, elastic, and of a light color, nothing is easier 
than to preserve such conditions. 

It is a known fact that at a maximum temperature of 60^ tobacco obtains a high 
color, and the leaf loses part of its elasticity; combustibility and aroma, however, 
being increased. 

In order to preserve the two former qualities we must endeavor not to allow the 
temperature inside the mandala to exceed 50°. 

If^ the tobacco is gummy, it comes from high or thin lands, and if it is found with 
a decided tendency to become worm-eaten, there is nothing easier than to destroy 
the germs by means of fevers, and if the leaves are not sufficientlj^ juicy, and it were 
therefore impossible to raise a temperature of 60** to 65°, a liquid obtained by the 
boiling of tobacco of good quality may be added by means of a fine sprinkler or a 
sprayer, in order that the leaf may become sufficiently damp to insure a good fer- 
nfientation, and we will then have placed the tobacco m such a condition that it will 
not be worm-eaten for a long time. 

We therefore recommend as an indispensable instrument to all good tobacco grow- 
ers the use of a maximum thermometer, whereby they may observe their mandalas, 
on the assurance that they shall never become overheated, besides other advantages 
already pointed out. 

APPRAISEMENT. 

In the course of this essav we have set forth numerous reasons by which it is shown 

that the leaf tobacco raised in the Cagaydn Valley can not be goo<l; and it is evident 

. that such tobacco, being the only one which could be exported to the United States, 

as stated by the honorable Mr. Taft, there exists no reason why the American 

tobacco dealers should object to the reduction in the Dingley tariff. 

An analysis of the causes and their effects having been made, the complaint turns 
out to be a very deeply rooted one. The disease has become a chronic one, and there 
is no remedy but to apply the lancet if we wish to extirpate the cancer that is grad- 
ually undermining the patient's life. 

Anyone acquainted with the history of the Philippines is also aware that it is not 
many j^ears ago when the provinces of Ilocos Sur and Ilocos Norte were rich, and 
very nch. Their chief proauction was indigo, which, whilst it was all handled by 
Filipino and Spanish merchants, was admitt^ to and in great demand in the princi- 
pal markets of the financial world; classes 5 to 8, which are the superior kinds, being 
then quite abundant, and were compared in Europe to the unequaled **Blue*' of 
(Tuatemala. 

There came a third merchant — and we all know who he is— and with his unscrupu- 
lous conscience commenced, as alwa};s, his adulterations. He added lime and other 
substances^ and a perfectly unknown indigo was offered in the markets. This caused 
its discredit, the outcome being its total disappearance. 

Misery, with all the consequences thereof, did not take long to invade said provinces, 
and their inhabitants, almost to one-half of them, had to emigrate to other provinces 
in this archipelago. 

This is the history of indigo, known to everyone, and this is the same course which 
the tobacco industry follows with gigantic steps. 

After the close of the monopoly few were the firms who engaged in the leaf-tobacco 
trade. The following may be cited as the principal ones: CompafXfa General de 
Tobacos de Filipinas, La Insular, Baer, Senior & Co., El Oriente, and a few Spanish 
merchants. 

Whilst the leaf-tobacco trade was in such hands, everything went on nicely. The 
Philippine tobacco b^an to get a name all over Europe and almost completely 
secured the Far Eastern markets, frankly and loyally competing with tobacco from 
Habana, Lataquie, Vii^nia, Kentucky, Maryland, and other countries. 



.BEPORT OP THE- COLLECTOR OF INTERNAL REVENUE. 216 

Then came the shrewd indigo merchant, who never starts but when an article is 
known and has an extensive good name, and then with his adulterations and frauds 
commences business witiiout fear of making mistakes. 

Thus he commenced his gathering of leaf tobacco in the Cagaydn Valley on a small 
scale at first in the same way as white ants make their first appearance in a sumptu- 
ous building until they finally get hold of it and demolish it. 

The provinces of Cacaydn and Isabela produce an average yearly yield of not less 
than 250,000 quintals, the value of which varies between 2,500,000 and 3,000,000 pesos. 

It would seem at first sight that with such a handsome capital annually received 
by the inhabitants of both provinces, which do not reach 300,000, they ought to enjoy 
general prosperity. Nothing of the kind; said provinces are at present utterly poor. 

The aforementioned unscrupulous trader, called a Chinaman, has secured all the 
trade the native needs to ayail himself of and furnishes it to him at fabulous prices. 

Should another merchant coming from a different quarter engage in the same busi- 
ness it does not take them long to overthrow him, and in this way complete monopoly 
is exercised. 

They are also the sole money lenders, whose usual interest is that of 1 peso for a 
peso, and considering that they grant loans for six months at the most they earn an 
annual profit of 200 per cent. 

There is even more. When the loan is made in goods they are in the habit of 
increasing the values to 25 per cent higher than the selling price, making barter com- 
pulsory, or to deliver tobacco for the total value of goods received, such delivery to 
De made on the 30th day of Jime at the latest. 

Thus it results that the planter is compelled to dispose of his tobacco without 
proper curing, and, as a consequence thereof, the tobacco is raw, haa a bad color, and 
18 overcharged with nicotine, and in such a condition it is brought to the market. 

Besides tne great quantity of leaf tobacco obtained by them through the above 
means, they purchase in considerable proportion, competing with all the firms 
enjraged in this business. 

The class selected by them is the *'4a Superior," a large leaf, a poor wrapper, but 
of good quality, and they pay for it higher pnces than set down in the schedules. 

This tobacco obtained from the p-ower by means of flattery, offering him a deceit- 
ful profit, is used by them for mixing with the higher classes, thus doubling, or even 
trebling, the purchase price. 

The lick of harmony which exists among the important firms, and the bitter com- 
petition made by Chinese, has given as a result that the leaf is classified or appraised 
too soon, the weed not having, therefore^ been properly matured. The tobacco 
growers, on being pressed to dispose of their crops, arran^ them carelessly; hence 
the diversity of class and color which is often found even m the same bimdle. 

The carelessness in the preparation of leaf tobacco, as well as the numberless 
causes we have described above, have given us the fatal result that the consumption 
of Philippine tobacco is already limited to our own home. 

Tobacco being an article which should be offered for the market properly classi- 
fied^ we claim that it should be subject to regulations in its appraisal. In order to 
achieve this, we consider it as of absolute necessity that all tobacco dealers should 
form a guild, prepare a code under the laws of commerce, and appoint a tribunal 
formed by several of the best-known expert appraisers, to decide all matters con- 
nected with the legality of appraisals made. 

The tobacco industry in the Philippines consists of more than 300 factories, located 
for the most part in Manila. Out of this number only four gather a portion of their 
stock in the Oagaydn Valley, bein^ compelled to complete in Manila the balance of 
the leaf tobacco they need for their own consumption. This fully shows that more 
than one-half of the crops is gathered in by Chinese dealers, and as they have the 
monopoly of the leaf tooacco in Manila they impose on purchasers, who have to 
submit to their classification and consent to having tobacco from Cagaydn and 
Isabela mixed with leaf from Barili, Abra, and other places, as we have often 
witnessed. 

The classification offered in this city is really scandalous, or, to say it more prop- 
erly, an iniquitous robbery is being committed. As previously stated, the •*4a 
Superior,'* which is a leaf of good quality, although broken, is mixed with the 
superior classes, above all with class ''la,'' which is of the same size. 

The first-class tobacco is formed of whole leaves, dean and of a uniform color. 
The package or bale, as it is called here, weighs from 2i to 3 quintals. The average 
quintal consists of approximately 80 hands oi 100 leaves each, and, taking as a base 
tne package of 2} quintals, we obtain a total of 200 hands, which multiplied by 100, 
which each hand contains, would give us 20,000 leaves. As the leaves consist of two 



216 REPORT OP THE PHILIPPINE COMMISSION. 

halves divided by the stem, it is evident that each half gives us at least one wrapper, 
in which case each package should afford as a minimum 40,000 wrappners. 

However, you may wellbe frightened, but there is no exaggeration in what we are 
about to tell you. 

Any factory turning out at present from 40,000 to 50,000 cisars of special brands 
needs to open at least 20 packages of la, which if properly cuissified should afford 
800,000 wrappers. It may oe seen, therefore, that the tobaoco industry can not stand 
this a long tmie. 

We are on a slippery road which leads us to a precipice unless we try soon to put 
a stop to this. 

The tobacco industry in the Philippines is the leadinj^ one in importance, for the 
many millions invested therein, the large tracts exclusively producmg tobacco, the 
many thousands of workmen who earn a living from it, and finally because it is 
the most important revenue obtained by the Grovemment. We consider that these 
are matters of such importance that our voice will echo sufficiently so that it may be 
heard by those persons who more or less are affected by everything relating to 
tobacco matters. 

We are hopeful of having discovered a scheme which, if carried into practice, will 
ield great results, and by not publishing it herein we only take the precaution not 

show our enemy our plans of attack and defense. 



S' 



SAUCBB FOR TOBACCO. 



Although understanding that any technical person in a cigar factory knows such 
parts or matters of which tobacco is formed, we do not think it is out of the way to 
public one of the most recent analyses. 

ANALYSIS. 

Inorganic bodies: Ammonia; azoic acid; alum; lime; hydrochloric, sulphuric, and 
phosphoric acids; potash; magnesia; iron; soda; siUca, and manganese. 

Organic elements: Nicotine, tabacic acid ( malic ), citric, acetic, oxalic, pectic, and 
ulmic. 

Neutral compounds which we name Tneocianine, cellulose, yellow and green resins, 
wax or greasy matter, and nitrogenous matter. 

Now, then, the most essential portions of which tobacco is composed being now 
known, there is nothing easier for an intelligent cigar manufacturer than turning a 
common cigar into an excellent veguero. 

As a matter of fact, by means of such sauces, tobacco may be made old; b^ means 
of sauces aroma and combustibility may be imparted; by means of sauces it is pos- 
sible to destroy the germs of the weevil and cause tobaicco to keep for a long time; by 
means of sauces a white ash is obtainable; and finally, by means of sauces manu- 
factured tobacco may be kept flexible and glossy ^ as if it were freshly manu^tured. 

It will not be out of place to hint that along with the sauces there should be ther- 
mometrical observations of the fever which tobacco must undergo, without which 
the study would be incomplete. 

Few are the industries which, like that of the tobacco, offer a good field to study, 
or which, throuj^h manipulation, their products offer immense profits. 

Therefore, being convinced thereof from experience, we urge our friends to go on 
constantly in their observations and study, assuring them that sooner or later they 
will attain the benefits we have enumerated. 

There would be nothing easier to me than to publish a few recipes which have 
given positive results; but to include them it would be necessary to be acquainted 
with the class of tobacco we are to emplov f since all tobaccos are not of equal condi- 
tions), and my work would be of no avail, oesides being, on the other hand, manu- 
facturers' secrete, so we do not feel warranted in giving them out. 

We now consider this information as ended, and we should feel well pleased if, by 
the aid of our observations, we finally succeed in assisting the tobacco industry of 
the Philippines to again occupy the rajik it so justly deserves to be in. 



BEPOBT OF THE COLLECTOB OP INTEENAL BEVENUB. 217 

AppBNbix O. 

AOEBElIEirT EVTEEBD IHTO BT THE CIGAB AKD CIOABBTTE KAHUFAOTUBBBS 
OF MAKHA on KAY 18, 1905, FOB THE PUBFOSE OF EKCOUBAOIHO THE FBO- 
BUCnON OF TOBACCO LEAF IH THE FBOVIHCES OF CAOATIH AKD I8ABELA 
AKD TO UFBOVB THE aUAUTT AKD 8ECUBE UKIFOBMITT IK THE 80BTIKO 
OF THE LEAF. 

BULBS RBCOMMBNDED FOR THE OATHBRINQ AND BORTINQ OP TOBACCX) IN THE CAQAYAn 
VALLBY AND FOR PURCHASES MADE IN MANILA. 

In order to avoid the total loss of the esteem in which Philippine tobacco was held in 
olden times, ruining planters who earn their living therefrom, injuring more or less everyone 
concerned in the ti^e and the tobacco manufacturing industries, it is of the highest interest 
that all such elements should cooperate to improve the cultivation, preparation, and sorting 
of the tobacco leaf. The support of the authorities should be solicited, who, by simple 
measures of good government, enact<»d for the good of this country, may do a great deal 
toward causing said product to recover the good name it had when under the monopoly of 
the Spanish Government, and even for several yeai^ thereafter, until planters began to lose 
the habit to work and thereby the tobacco-producing regions their prosperity. 

It is likewise necessary that purchasers should, by mutual accord, establish and observe 
niles to insure uniformity in their purchases and to compel planters to do their best, as 
formerly they did, in the work of cultivation and the preparation of the leaf. 

It is not our intent to reduce present prices, such as the bad Quality of the weed during 
l&te years would warrant, for tne reason that production would thereby be killed; our 
main object is simply to encourage production. We therefore recommend that existing 
prices be kept up according to the established classification which is now more or less 
strictly accepted as a basis K>r appraisement. 

An agreement should also be made in order to avoid the intrusion of middlemen in 
purchases made, such persons being as prejudicial as brokers are between the purchaser 
and the planter, not merely because the commission they charge uselessly enhances the 
price of tobacco, but also tiecause such manner of appraisement lends itself to hiding the 
impositions and derelictions of subordinates, and bcicause it hinders the direct dealing 
between the buyer and the seller, which is the most convenient, proper, and just way to effect 
purchases. 

Something should also be agreed to in order to put a stop to the Imposition of the gatherers 
(acaparadores), mostly Chinamen, who, after buying to advantage and often in exchange 
for goods of a doubtful quality, trusting that at the present day everything is allowed to 
pass, sort and pack the tobacco leaf to suit themselves and increase their gains when selling 
m bulk. 

In view of all the above reasons, the purchasers who sign this writing agree to establish 
the prices and rules given below and eng&ge to observe the same during one year, without 
prejudice to an extension of time by means of a new agreement. 

First. The appraisement of leaf tobacco in sticks, counted or in bulk, is absolutely sup- 
pressed, such appraisement to be made only by hands (manos) of 100 leaves, well arranged 
and pressed. 

Second. Purchases to be made solely from planters under a fair appraisement by classes 
and at the following prices: 

Bale of— 

Primera n4.25 

Segunda 9.00 

Tercera 4.12} 

Cuarta superior 2. 00 

Cuarta corriente 1. 50 

QuinU 50 

Third. No brokers or middlemen of any kind whatsoever are to be employed, and no lots 
are to be purchased at lump prices, not even from planters themselves. 

Fourth. The ** tips'' (rewards) which have been given in late years to the planters, as 
well as payment for the transportation of tobacco delivered for appraisement in the diying 
warehouses, are to cease. 

Fifth. As far as possible, purchasing in Manila is to be avoided. Should any of the firms 
signing this agreement be in need of leaf tobacco, notice should be sent to all the other 
firms and, in case it should be convenient, the other firms will furnish the tobacco needed, 
and if not convenient the purchase should be by appraisement, selecting at least 20 per cent 
for each daas of leaf. 



218 REPORT OP THE PHILIPPINE COMMISSION. 

SUOOBBTIONS FOR IMPROVING THE CULTIVATION OF THE TOBACCO PLANT IN CAOAYIn 

AND ISABEL A. 

The government to advise planters as follows: 

1. Not to plant tobacco in too poor or worn-out lands. 

2. An annual rotation of seed between the different municipalities, such as EchagQe- 
Cabagan; Angadanan-Tuguegarao, etc., in order to avoid degeneration of the plant. 

3. Fields to be previously well prepared for planting, the earth loosened so as to expose 
it to the influence of the atmosphere and the rays of the sun. 

4. To keep the fields well cleaned. 

5. To see that seed beds or nurseries are in perfect condition and sprinkled with a solution 
of ashes and water which kills all insects or larvae. 

6. Transplanting to be carefully done, selection being made of sound and vigorous small 
plants having well developed and uninjured roots, so that they will catch and feed well. 

7. Plants to be well hilled. 

8. Plants to be pruned in time so as to limit the number of leaves each one should produce 
of perfect condition and quality.* 

9. Leaves to be cut off vmen the right conditions are reached. 

10. To avoid putrefaction which would weaken the cellular tissue of leaves, thereby 
losing elasticity, leaves should, without loss of time, be strung on sticks. 

11. Such sticks should be hung up in a well-ventilated drying warehouse, not allowing 
the ravs of the sun or night dew to enter therein. 

12. To strictly prohibit that such sticks be hung up on bamboos in the open air. 

13. As soon as the leaves have dried, sticks should be formed into manoalas of good size 
and well covered up so that fermentation may set in, and they should be turned over at 
least once. 

14. Classification to be made under the old estanco system (under Spanish Qovemment 
monopoly). 

15. That the purchase of leaf tobacco strung on sticks be prohibited 



Appendix P. 

MEMORAKDA FirSNIBHED BT COMPAMA OBHBBAL DE TABA008 DS 7ILIPIKA8 
BEOABDIKO AMOTrNT AND dUALITY OF TOBACCO LEAP BAIBEI) IK PBOVIHCES 
OF CAOATAK AHD I8ABELA. 

ISABEL A AND CAGAYAN TOBACCO LEAP. 

1 . It is not possible to state accurately the annual production of leaf tobacco in the provinces 
of Isabela ana Cagay&n. It depends upon the weather; if it be favorable an abunaant crop 
is the result, otherwise it becomes diminished to one-half or even one-third. However, 
taking five successive crops as a basis, an average annual yield of about 200,000 quintals 
may be estimated. 

2. Proportion of ciiltivated tobacco that can be utilized: 

(a) For wrappers, 10 per cent; only one-half of 1 per cent being suited for fine-grade 
cigars. 

(b) For fillers and (c) For cut tobacco, etc., 90 per cent. 

3. Tlie proportion of (a), (bj, and (c)iised in manufacture is 35 percent for (a) and 65 per 
cent f or ( b ) and ( c ) , or filler ana remnants. Of the 35 per cent only two-thirds can be utilized . 

4. The Oompafila General de Tabacos de Filipinas has done everything possible and has 
used all available means to improve the qualitv of tobacco, instructing the planter as to 
the manner in which he should cultivate it, and even furnishing thermometers exclusively 
for tobacco in order to gauge the temperature it should undergo in its various fermenta- 
tions, and rejecting, when presented for sale, tobacco not in proper condition or which had 
been badly handled. Thereby some improvement was obtamed both in cultivation and 
curing, but within the last few years, during which local cx)nsumption has increased, due 
perhaps to the greater number of smokers, and since the buyers commenced to purchase 
the leaf in any condition, without proper seasoning or curing, including purchases of the 
uncut leaf in the field, the planters, seeing that they were paid alike whether they took 
proper care or not, became careless, and, disregarding the quality of the leaf, sought only 
to make monev. We are now suffering the consequences by the ill-repute of Filipino tobacco 
in all the markets of the world. Those who have contributed the most to this great injury 
have been the Chinese, who do not conform to commercial usages, and who have discredited 
and demoralized this market. 



REPOBT OP THE COLLECTOB OP INTERNAL REVENUE. 219 

5. llie means of transportation are very deficient, due to the poor condition of the high- 
way and the lack of tributary roads. There is but the one waterway available, only in the 
rainy season and when the nvers overflow. 

The means of transportation could be improved by the construction of a railway from 
Echague to Aparri, and immediate results could be obtained by a good dredging of the 
entire length of the river, so that it might be navigable in all seasons of the year. 

6. There is great difficulty in meeting the demand for the different ** claro ''^and " oscuro " 
colors through scarcity of wrappers. The demand for "claro*' colors is greater day by 
day, for where formerly in the rhilippines "maduro'* was solely sold now only "claro" is 
demanded. There has been much aecrease in the production of li^ht-colored, clean, nice 
leaves of fine texture since the discontinuance of the monopoly. Smce that time tobacco- 
leaf culture began to be neglected, and especially has this oeen the case since 1900, owing 
to the rise in prices and to local competition. 

The methods of cultivation employed by the independent planters have p«atly depre- 
ciated, and the advice and perhai^ the cooperation of the provincial authorities are needed 
to better the situation. 



Appendix Q. 

OVLTIVATIOK OF TOBACCO. 

[By Clarence W. Doraey, soil physicist, in charge of soil investigations. Taken from Fanners' 
Bulletin No. 5, Bureau of Agriculture.] 

INTRODUCTION. 

In the present paper an effort will be made to describe briefly the methods employed in 
modem cultivation of tobacco, to treat of recent successes in growing tobacco under shade 
in the United States, and also describe the conditions of tobacco culture in Sumatra, with 
especial reference to the industry in the Philippines. 

In the preparation of this paper the bulletins of the United States Department of Agri- 
culture relating to the cultivation of tobacco have been very freely used, and much informa- 
tion has been obtained from the gentlemen connected with the leading tobacco companies 
in Manila. 

Philippine tobaccx) has long been held in high esteem in the Orient, and Manila cigars main- 
tain the same rank in eastern countries that Habana cigars occupy in Europe and America. 
To-day tobacco stands third among the exports from the Philippines. During the year 
1900, according to the Monthly Summary of Commerce and Finance of the United States, 
11,743,336 kilos of tobacco, valued at 11,906,436 United States currency, were exported 
from the islands. Tobacco was introduced into the Philippines shortly after the Spaniards 
took possession, seed having been brought from Mexico by Spanish missionaries. Little 
effort was made by the Government to restrict or encourage the cultivation of tobacco 
until 1781, when the cultivation and sale of tobacco was decreed a state monopoly. While 
this monopoly was in force the natives in the large tobacco districts of Luz<5n were sub- 
jected to great inconveniences and even hardships. Each family was compelled to grow 
4,000 plants and deliver the entire crop to the agents of the Government. None of the 
crop could be reserved for the use of the planter, and a fine was imposed when the crop was 
short. After the crop was harvested the leaves were selected and bought by Government 
agents, and bundles of inferior leaves were rejected and burned. Native houses were 
searched for concealed tobacco and fines and penalties imposed on those who did not comply 
with all the requirements of the monopoly. Early in tne nineteenth century many nots 
and disturbances arose out of the difficulties in meeting the harsh provisions of the law. 

In the Visayan and southern islands the monopoly was not in force, but tobacco raising 
was not generally practiced until the middle of the nineteenth century. The profits from 
the monopoly annually amounted to several million pesos, but was finally abolished on 
December 31, 1882. Since that time the cultivation and manufacture of the crop has been 
in the hands of private individuals and companies. At the present time the greater part 
of the tobacco grown in the islands comes from Luzdn. The products of Isabela and Caga- 
y4n provinces are the most highly esteemed, while considerable quantities are produced in 
unidn and the Hocos provinces, on the west coast of northern Luzdn. Nueva Ecija for- 
merly raised a fair grade of tobacco, but the cultivation has fallen off in late years. The 
writer saw in Batangas Province many small fields that would aggre^te many hundreds 
of hectares of tobacco. This is lar^ly used for local consumption and is of inferior quality. 
Tobacco is grown in small quantities in 'the Visayan and southern islands, the greatest 
amounts probably being produced in Masbate, 'fablas, Panay, Bohol, Leyte, Siquijor, 
Negros, and Mindanao. 



220 REPORT OP THE PHILIPPINE COMMISSION. 

Philippine tobacco is nearly all utilized in the manufacture of cigars and cigarettes, and 
finds a ready sale in Spain (which consumes more than one-half of the total production), 
England, Hongkong (wnere it is shipped to Asiatic ports), and British E^at iDoia. During 
the year IQOOthese countries bought more than seven-tenths of the entire crop. The agree- 
able aroma and flavor of the better grades of tobacco erown in the islands have won for it 
a high place among the fine cigar tobaccos of the world, and for a long time it ranked next 
to the celebrated Cuban tobacco. . When we consider the desirable q^uaUties of Philippine 
tobacco with the imperfect cultivation, curing, and fermentation it receives and the improve- 
ments and advances that have been made m other tobacco countries, it becomes at once 
evident that eveir care and attention should be given the crop to enable it to regain its 
former position, if not to make it superior to the finest tobaccos grown in the world. 

The markets of the United States offer every inducement for the improvement and spread 
of the Philippine tobacco industry. This becomes all the more evidfent when we consider 
the vast sums of money annually expended by the United States for foreign tobacco. During 
the year ending June 30, 1900, the United States, according to official statistics of the 
agricultural imports of the United States, paid for Cuban tobacco $7,615,991, United 
States currency, and $4,569,271, United States currency, for Sumatra tobacco. During 
this same year the Philippines exported to the United States only a few hundreds of dollars 
worth of tobacco, or less than one-hundredth of 1 per cent of the tobacco importations of 
that country. While it may be true that Phihppine tobacco may never entirely sup- 
plant Cuban and Sumatra tobacco in the United States, there is certainly every inducement 
to encourage and improve the industry until modem cultural methods have realized to 
the fullest extent the nighest perfection of the crop. 

REQUIREMENTS OF THE TOBACCO MANUFACTURER. 

In the manufacture of high-grade cigars certain essentials are necessary. The tobacco must 
bum smoothly and freely, with a pleasant taste, not rank and strong, nor too mild. When 
the taste is pleasant, not sharp and bitter, the aroma will invariauy be good. The cigar 
that possesses the above qualities will meet with a ready sale. The wrapper of the cigar, 
as distinguished from the filler, must be light in color, nch in grain, thin in texture, small 
in vein and stem, very elastic, and of good burning quality. It should stretch and cover 
well, have little aroma, and appear weU on the cigar. The most desirable sizes are 40 and 
45 centimeter leaves, for from such leaves the manufacturer can obtain four cigar wrappers 
from each leaf, with but little waste. After such a suitable wrapper leaf is grown it must 
be properly cured, assorted, and classified. The manufacturer can never afford to pay a 
high price for a bale of tobacco unless he can cidculate just how many suitable leaves it 
wul contain. This is one reason why Sumatra tobacco commands such a high value, for 
so carefully is the grading and assorting done that the manufacturer knows how many 
cigars eacli package of tobacco will wrap, and that the color will be uniform. Wrapper 
tobacco should be uniform in size, color, and texture; then the buyer knows what he is 
getting and is willing to pay a good price. 

For cigar fillers tne leaves should be somewhat shorter, of medium body, have a rich 
brown color, and burn smoothly and freely. The qualit^r of the filler detennines the chai^ 
acter of the cigar; hence the mler must possess the desirable aroma that distinguishes a 
good cigar. 

Philippine tobacco has some of the above properties and has earned its reputation on 
account of its agreeable aroma, fine veins, and notable elasticity. This apphes only to the 
better quality of tobacco grown on the alluvial lands of the Cagay&n River in northem 
Luzdn. The tobacco grown in the Visayan Islands is coarser, uneven in color, and of 
greater strength. From the provinces along the west coast of northem Luzdn the tobacco 
IS of heavy body, and that grown near the sea has but little combustibility. Its ragged, 
broken character also lowers its market value. The tobacco grown in Nueva Ecija was 
formerly considered fine, but the color was a decided yellow, and the taste somewhat bitter. 

PREPARATION OF SEED BED. 

No step in the cultivation of tobacco is more important than proper care in the prepara- 
tion and sowing of the seed beds. This work can not be neglected without running the risk 
of a partial or total failure of the crop. To make ^ood seed beds is a laborious task and 
requires good judgment in the selection of the location, soil, and in the preparation of the 
land. To have plenty of good, strong, healthy plants is the surest foundation for a good 
crop of tobacco, provided they are from seed true to the desired standard. It is very 
important that in the preparation of the seed bed an abundant supply of seed should be 
sown and provisions made for a successon of plants; so that when tne planting season 
comes the supply of plants suitable for transplanting will be ample for the purpose and the 
supply will be maintamed throughout the period in which the planting is to be done. 



RBPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 221 

# 
The best soO for the seed bed is a rich, friable, dark, virgin loam or sandy loam. A 
deep, well-drained soil is greatly to be preferred. The necessary o^rations or tilling and 
stirring the soil should precede sowing the seed by several weeks. It is usually customary to 
thoroii^hly plow or spade the land and mark the land off into a number of beds surrounded 
by boe^ds. In the famous Deli district in Sumatra the beds are built up about 30 centi- 
meters high and surrounded by ditches. The size and number of the beds vary, but they 
are usualhr rectangular in size, with suitable walks or passageways between them. The 
beds are hiehljr fertilized with rich manures or with any complete, specially prepared 
commercial fertilizer. Stable manure or any complete guano may be used. Care snould 
be taken to thoroughly mix the fertilizers with the soil, so that the greatest amount of plant 
food may be available for the young plants. In the case of old lands it is always advis- 
able to bum the land over to insure safety against grass and weeds. With new land the 
trouble from such sources is slight, but burning is sometimes practiced to increase the rich- 
ness of the soil by adding the fertilizing properties of the burned wood. The burning is 
usually done one week before planting the seed. After burning, the soil is well spaded 
and all roots and tufts are carelully removed, and the surface made loose and smooth. 
Then the soil is well watered and the seed, mixed with sand or sifted wood ashes, are 
nicely spread over the surface. After the seeds are sown the soil should be thoroughly 
compacted with a heavy roller, and if the soil is at all dry the beds should be watered and 
kept continously moist, but not wet, until the plants are set out. It is best to plant 
new seed beds at intervals of every few days, in order to be sure to always have fresh plants 
of proper size on hand when the time comes for transplanting. On a commercial scale 
it requires about 45 grams of seed to sow a bed 1 hectare in size. In the Cagay&n Valley 
the seed is sown in the beds during the latter part of September and the first weeks of Octo- 
ber, while the transplanting is made during the early part of December. This period of 
planting the seed bed varies slightly in the cufferent parts of the archipelago on account of 
the varied climatic conditions; but practically all or the transplanting is done during the 
month of December, as experience has shown this to be the best month for such operations. 
In many parts of the Phihppines it will be found advisable to construct some sort of cover 
for the seed bed to protect the seeds and tender plants from the intense heat of the sun. 
A suitable shelter made of straw, cogon grass, or nipa palm, raised about 1 meter above 
the ground, will suffice. It should be so arranged that the covering can be put close together 
or spread out to regulate the amount of heat received by the small plants. After a few 
weeks this covering can be removed altogether and kept to serve for another bed. White 
ants and sometimes caterpillars and worms are destructive in the seed beds, and should be 
removed by hand or by mixtures of poisonous substances and water known to be effec- 
tive in removing such pests. When the plants are drawn for transplanting CTeat care 
should be taken to secure as much root as possible. It is usually considered the best 
practice to carefully wash away all particles of the seed-bed soil that cling to the roots, 
for the plants live and grow better when the roots are perfectly clean. 

SELECTION OF THE LAND. 

Few, if any, plants are so easily modified as tobacco by climate, soil, elevation, nearness 
to the sea, ana different methods of cultivation. This is plainly demonstrated by the 
rapid chan^ which take place in the character of the leaf, flavor, aroma, and special fitness 
for the vaned uses and for different markets in introducing seed of well-marked varieties 
into new districts. Each new class of soil, materially aided by climatic conditions, gives 
peculiar qualities to the cured leaf as to its flavor, texture, color, etc. 

It has long been recognized that tobacco grown near the sea or lai^ bodies of salt water 
has poor combustibility, and, while the taste may be sweet, it commands a low price for the 
manufacture of cigars on account of its poor burning qualities. 

In tropical countries the favored locations for tobacco cultivation are the interior alluvial 
valleys. In such places the soils are usuaUy deep, porous, easily stirred and cultivated, 
and the periodic overflow of the rivers adds new fertilizing elements to the soil, already 
rich in plant food. The famous tobacco districts of Isabela Province belong to this class, 
as well as the valley lands of the provinces of the west coast of Luz<5n. In the Cagay&n 
Valley the quantity of rainfall, according to two years' observation ending in 1897, is much 
less than at other points in the interior of Luz<5n, or in the southern islands. The total 
amount of nunfall during the year is 700 mm., the greater part of which falls during the 
period from June to October. During the months of January, February, and March, when 
the tobacco is growing and ripening, the rainfall does not exceed 20 mm. Comparing the 
climate of this reeion with the Deh district in Sumatra, it will be found that the climatic 
conditions of the latter region more closely resemble those of southern Luzdn and some of 
the southern islands. The rainfall is distributed over the entire year, while the greatest 
amounts are recorded in October, November, and December. The total amount received 
during the year averages more than 2,000 mm. The stations in the Philippines, where 



222 REPORT OP THE PHILIPPINE COMMISSION. 

eauiyalent or greater amountS of rainfall are recorded, are Bolinao, in Zambales Province, 
Alba^, in southern Luzdn, La Carlota, in western Negros, northeastern Mindanao, and 
Vigan, in Ilocos Sur Province. 

In Sumatra, where the best results with tobacco haye been obtained, the soils are mainly 
volcanic in origin. Where the finest and silkiest tobacco of a rich brown color is grown, 
the soils are clayey, while the lighter colors of fine cigar-wrapper tobacco are grown on 
loamj and sancfy soils, with clay subsoils. In the clayey soils of the Deli and Langkat 
distncts, tobacco can often stand droughts of three weeks and longer, without much injury, 
but in these districts the frequent light showers are of great value to the growing crop. 
Experience has also shown in Sumatra that the best results have been obtained on land 
situated from 8 to 16 kilometers from the ocean, while tobacco plantations high up on the 
mountains have had poor success in growing fine, silky wrapper tobacco. 'Se lowlands, 
free from frequent inundations and not too near the sea, with soils consisting lai^ly of fine 
sand and silt, and rich in oi^ganic matter, have given the best results. 

In the Philippines many fine bodies of intenor valley land, with rich, loamy soils, can 
be found where tobacco cultivation has not been practiced, and it is on such tracts of land 
that its introduction is especially recommended. Mindanao possesses many large valleys 
with alluvial soils that could undoubtedly be made to produce a fine auality of tobacco. 
The soils of the large valley between Manila and the Liingav^n Gulf snould be carefuUy 
tested with seed from the famous tobacco districts of the world, to determine its fitness for 
growing tobacco. New areas are constantly being tried in various parts of the world, where 
tobacco growing was unknown, and the success of so many of these snould prove an incentive 
to greater efforts on the part of the Philippine planter to enter into competition to furnish 
a goodly portion of the world's supply or this profitable crop. Only very recently the 
cultiyation of Havana tobacco has been introduced into Annam and Tokin, in French 
Indo-Ohina, and a portion of the crop exported to Manila. Such an example shows what 
may be accomplished by careful experimentation in the field of new crops, and should 
stimulate the energies of fanners in every part of the archipelago. 

CULTIVATION Or THE GBOP. 

Since the profits of growing tobacco depend largely on the planter's ability to produce a 
leaf of such qualities as to ma^e it desirable to the manufacturer, it follows that the greatest 
ca. e should be exercised in the cultivation of the plant. Prior to the work of transplanting, 
the ground should be thoroughly plowed or spaded to a considerable depth. I>^p culti- 
vation is advisable on any character of soils, as it readily allows the free percolation of rain 
and air through the soil, and increases the amount of available plant fooa contained in the 
soil, and helps to conserve the moisture, especially in times of drought. If only small 
amounts of manures are to be applied, it can be spread broadcast after the first plowing, 
but if large quantities of stable or straw manures are used, it is best to plow them in several 
weeks before the time of setting out the plants. After plowing, the lana should be harrowed 
with a disk harrow, and then with a smoothing harrow. In Sumatra, where all of the 
operations are performed by Chinese coolies, the work of breaking the soil is performed by 
an implement called the ''tyankol," a sort of spade, which takes the place of the plow, 
while the work of smoothing and reducing the soil to a fine state of tilth is accomplished by 
hoes and iron rakes. Either by plows and harrows or by spades and rakes, the field should 
be made loose and smooth before transplanting, or the young plants are at a disadvantage 
from the very start. The writer has seen many fields, especially in Batangas Province, 
where young tobacco plants were attempting to grow in a field filled with the nard clods of 
intractable clay soil. Such methods are to be condemned, for plants as tender and delicate 
as tobacco can not make a good growth in improperly prepared fields. 

Often it will be found advisable to water the field before the work of transplanting begins. 
Transplanting can be done by hand or by a transplanting machine. Such a machine can 
only be used on level fields free from stumps, stones, or mi^ quantities of undecomposed 
vegetable matter. By its use more satisfactory results are obtained, and laiige areas can 
be planted at much less expense than by hand planting. A transplanter is a two-wheeled 
machine, drawn by horses or mules. One man drives, while two boys drop the plants. 
Plants are set witn mathematical regularity at any distance desired. The machine is so 
arranged that a supply of water is furnished at the time of planting, so that the plants are 
thoroughly watered while being placed in the soil. Machines of this character are widely 
used in the United States for setting out tobacco, cabbage, and tomato plants, with excep- 
tionally good results. Machine-set plants start quicker and grow and mature more evenly 
than hand-set plants. In fig. 1 is shown the method of transplanting tobacco plants by 
machine .a 

o On file in the Bureau of Insular Affairs, War Department. 



BEPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 223 

In Sumatra, where all necessary operations are carried on*by hand, the coqly is provided 
with a plant string the same length of the field. Elach end of the string is securely attached 
to a stick of the same length that it is intended the rows shall be separated. This string is 
divided into intervals by means of colored string, to show the proper distance of the plants 
in the row. By means of a sharp stick, holes are made at the proper distance, about 10 
centimeters deep and 7 centimeters in width. The holes are watered immediately before 
the plants are put in. The plants are pulled from the bed when the dew is still on them, 
and set out late in the afternoon, when the rays of the sun are not very stronf . During the 
daytime the pulled plants are kept in a basket and carefully watered and covered with 
cloth. About 4 o'clock in the afternoon the cooly drops from the basket a plant beside 
each hole and, when all of the plants are dropped, commences to plant. He holds the plant 
in the center of the hole with nis left hand, and with his right hand presses the soil around 
the roots carefully, but firmly, so that hie can give the plant a slight puil without removing it. 

As regards the number of plants to the hectare, this depends so lai^ly on experience and 
the character of the soil ana the kind of tobacco that special directions can not be given. 
Close planting in the row tends to develop a very thin leaf, while open planting allows the 
leaves to grow to a greater size and develops the gums and oils so common to tobacco. For 
clear wappers t is usual to plant closely in the row, in order that the leaves will shade each 
other and develop the fine, thin leaves desired for this purpose. In Sumatra as many as 
10,000 plants are set out in a field of 14 acres (slightly more than one-half of a hectare). 
For cigar fillers or for tobacco to be used for manufacturing purposes the planting is much 
more widely separated than in Sumatra. 

As it is always desirable to set a uniform growth, ^reat care should be exercised to have 
each plant live. Replanting snould be done as quickly as it is possible to determine where 
fresh plants are needed. Ii the soil is moist and showers are f refluent watering the plants 
is unnecessary, but if the ground is dry they should be watered immediately after setting 
and each day thereafter as lon^ as the plants require it. The quantity of water used is in 
aU cases governed by the condition and nature of the soil. Usu&lly after setting the plants 
are undisturbed for a period of several days, during which time they are taking root. After 
this time cultivation should be begun and continued rapidly and frequently until further 
cultivation is liable to injure the erowing leaves. Cultivation at first can be done by a 
light plow or hoe, but after the plants have reached a considerable height only the hoe 
shoula be used, and this very lightly. At this period the leaves furnish sufficient shade to 
prevent the soil from baking and hindering the growth of the surface roots. 

Every effort is made, both through fertinzing and cultivation, to maintain a steady and 
rapid ^wth, as any check in the rate of growth tends to thicken the leaf and reduce its 
elasticity. Stable manures are commonly used, while fertilizers known to be rich in potash 
are especially to be recommended. In many parts of the United States it is customary to 
apply specially prepared fertilizers after the plants have attained considerable size to still 
further stimulate the growth of the crop. In Sumatra the crop is given three cultivations. 
The second cultivation is made at the time the plants are about 30 centimeters high. Just 
before the second cultivation the cooly carefully removes the lower leaves, places them 
around the stem, and packs the loose soil on these. At this second cultivation the suckers 
are broken off and buried in the same way as the leaves, so as to protect the stem. The 
work of topping and suckering varies considerably with reference to individual plants and 
the character of tobacco desired. 

Early or low topping is not desirable, as it throws too much growth into the leaves, mak- 
ing them coarse and laige. If the plants aro thrifty and the weather favorable for growth 
it is frequently advisab^, if thin, fine-textured leaves aro desired, not to top the plants at 
aU, but let them produce their flowers and seed pods. If, however, the plants seem weak 
and it appears that they can not mature the full number of leaves they should be topped by 
pinching out the " buttons,'' allowing to remain as many leaves as the plant will be able to 
mature. When plants have been topped too low and the leaves thicken and curl, a few 
suckers may be permitted to grow, which will remedy any thickening and curling. By 
using good judgment in the matter of topping and suckering and making proper allowance 
as to tne soil and climatic conditions the leaves can be grown to almost any thickness that 
is desired. 

From the time the plants begin to grow in the seed bed until they are harvested they 
should be examined carefully for worms, insect pests of all kinds, and all of the diseases 
which they are subject to. Worms may be removed by hand or by applications of mix- 
tures containing poisonous substances, such as Paris green. For diseased plants frequently 
there is no other remedy than to remove the plant and reset other plants. But if the 
resetting is done too late the small plants never amount to much. 

At the time of topping or when the buds have made their appearance a few plants are usu- 
ally left for seed. Only the best, finest, and healthiest looking plants are selected for this 
purpose. These are allowed to grow and blossom at their full height. Sometimes all of the 
leaves are removed, but usually only the bottom leaves are taken off. When ripe the little 



224 REPORT OF THE PHILIPPINE COMMISSION. 

balls contaimng the seed are carefully cut off with a knife or other sharp instrument. The 
cutting must be done carefully, so that the seed will not fall out. The seed pods are then 
spread out in the sun, and when thoroughly dried the seeds can be removed. The seed 
should be cleaned, preferably in a small seed mill, and only the heaviest seed preserved for 
the next planting. 

HABVESTINa AND CURING. 

More satisfactory results are obtained when the leaves are '' primed '* than when the entire 
is cut. By cutting the entire stalk much green tobacco is carried to the shed, since all the 
leaves never ripen on the plant at the same time. By the system of priming the leaves are 
taken off the stalk as soon as they ripen and carried to the drying sheds in baskets. Some 
times half of the leaves are removed and the balance of the stalk cut and the leaves cured 
on the stalk. Tobacco should never be cut or primed when wet with rain or dew, as this 
causes the leaves to sunburn and little holes to form, which lowers the value of the leaf. If 
the tobacco gives promise of being "wrapper" — that is, if it is light green, very sound in 
leaf, and of desirable size — it should be primed at an early stage or ripening. Ii, however, 
appearances indicate that it will prove filler" tobacco it should be allow^ to thoroughly 
npen. 

In the Cagay&n Valley it is customary to make five ^therings of the ripened leaves at 
intervals of eight days. The native cuts the leaves while the^ are hot and drooping, col- 
lects them on his left arm until the bundle is too large, when it is placed on carts and miuled 
to the sheds. 

The different primings should be kept separate in the shed, so that they can be fermented 
separately, as each set of leaves from different parts of the plant require different treatment 
in the subsequent fermentation. 

If the soil IS rich and the season favorable a second profitable crop can be produced from 
the suckers. The first suckers, of course, should be broken off from time to tune ; otherwise 
they will sap; hinder, and check the growth of the leaves. When all of the leaves have been 
primed from the original stalk except four or six leaves at the top, two suckers should be 
allowed to grow from the bottom of the stalk. These will be well started by the time the 
top leaves of the original stalk are ripe. The stalk should then be cut just above where the 
suckers sprout, and cultivation should begin at once by carefully placing soil up around the 
old stubble. The suckers should not be allowed to have more than six or seven leaves each. 
The growth of these will be rapid, and they will mature early. Usually these are not primed, 
but the stalks should be cut. In northern Luzdn these mature in about three weeks and/ 
in years of great humidity, a second crop of suckers is allowed to grow. 

After harvesting the tobacco is carried to the sheds for drying and curing. These shed 
are usually large enough to hold the crop from a number of small fields. Manjr different 
kinds of drying sheds are used, and differences of opinion prevail as to the relative merits 
of each style of shed. Some are broad and flat, otners narrow and tall. The broad, flat 
type of bam is to be preferred, for the tobacco cures more slowly and better results are 
obtained. The interior of the shed is so constructed that frequent tiers of rafters and posts 
allow ample support for hanging the tobacco. The doors and windows should be with 
the idea of giving very thorough ventilation when open. The manipiilation of the bam 
or curing shed is entirely govemed by the condition of the weather and the nature of the 
tobacco, and no fixed rules can be given. Considerable care and judgment must be 
exercised in the curing of the crop, and as the conditions vary in each case from year to 
year, only experience can determine just what is to be done to meet the new problem in the 
curing shed. The process requires a few weeks, especially if the leaves have been primed. 
The crop is considered thoroughly cured when the midribs of the leaves are cured; it is then 
ready to be taken to the paclong house for sorting, fermenting, and baling. 

Very much of the value of tobacco depends upon the infinite care that is taken throughout 
the whole period of its production, and thorough consideration of all the details £ould 
be shown in the fermentation, grading, and sortmg. The fermentation has two purposes. 
The first is to insure the proper texture, glossy appearance, and color to the leaf. It 
brin^ out the characteristic properties of the leaf, which are hardly apparent when the 
leaf IS cut in the field. It is, furthermore, necessary to press the tobacco into bales, so 
that it can be shipped in compact form. Tlie best results are obtained when bulk fermen- 
tation is practiced. In this method, the leaves are assorted into piles, depending on what 
part of the stalk they have been taken from. l-«ayer after layer of leaves are placed together, 
until piles of more than 1 meter are reached. The temperature in the pile gradually rises, 
and frequently thermometers are inserted to determine the exact degree of heat, which 
is never allowed to become excessive, or the tobacco will be injured. The piles are fre- 
quently turned over, to secure the proper heat and regulate the fermentation. No state- 
ment can be made as to how often the piles should be turned over, or whc*> this should 
be done, as it depends upon the condition of the tobacco, especially as to how moist it was 
when placed in tne pile. The leaves from the upper part of the stalk must be fermented 



REPOBT OF THE COLLECTOR OF Il^ERNAL REVENUE. 225 

more slowly than the lower leaves; consequently, the piles must be torn down and rebuilt 
more often. The principal fermentation is one before the sorting as, after the sorting, 
there are so many grades which have to be kept separate. Often these different grades 
are refermented to miprove the quality of the leaf. 

In the Cagay&n Valley the tobacco is placed into packs of 4 bundles of from 20 to 40 
leaves. These bundles are then placed into bales of 80 Pftcks. From 1 hectare an average 
yield for a number of years ia 612 kilos of dry leaves. The tobacco is frequently assorted 
with the following results: From 1 hectare, 10 packs of superior tobacco, 30 packs of first- 
class, 40 packs of second-class, 80 packs of third-class, 160 packs of fourth-class, and a 
number of packs of fifth-class tobacco. The sorting is generally carried on with reference 
to the colors, absence or presence of spots, length and soundness of leaf. Many divisions 
and subdivisions are maae, according to market demands and the intended use of the 
tobacco. After the work of sorting and grading has been completed, it is baled into 
compact bales, when it is ready for shipment. 

OROWINQ TOBACCX> UNDER SHADE. 

The growing of crops under shade is not a new idea, but was practiced perhaps hundreds 
of years a^; but the cultivation of fields of tobacco under a light cloth shelter of some 
character is comparatively recent. The idea of using shade started in the United States 
in Florida, where in the last few years tobacco cultivation has made enormous advances. 
It was noticed that in new land, only partially cleared of the forest growth, the plants 
^rown under the scattered trees were lar superior to plants not so shaded. From this the 
idea of artificial shade had its birth, and now laiige fields, nearly 5 hectares in size, are 
grown under shade with great success. 

In addition to the experiments in Florida, many trials have been made in the State of 
Connecticut, with equal success. The character and quality of the tobacco was considerably 
modified and profits greatly increased. It was determined that tobacco fully equal to the 
finest Sumatra leaf could be grown in the Connecticut Valley on a commercial scale, and 
the experiments received widespread attention, and large companies have been formed 
to grow tobacco exclusively unaer shade. By using the shade, the damage from insect 
pests is reduced to a minimum, the moisture content of the soils is increased, while the evap- 
oration from the leaves is largely retained, favoring a more rapid and luxurious growth. 
The shelter tempers to some extent the intense heat of the sun and at the same time readily 
allows the free passage of even the slightest showers through it. 

In figure 2 is shown the general appearance of a tobacco field covered with a cheese- 
cloth shelter. The field contains about 4J hectares and is one of a number of large fields 
of shaded tobacco grown in Florida in 1899. In figure 3 is shown the details of the outside 
structure of the framework, before the covering was put on. In figure 4 is shown the 
details of the framework of a shade that was used in the Connecticut Valley in 1901. a A 
strong framework is constructed of posts and stringers, that is further strengthened by 
strong wires secured at each end of the field by strong stakes driven well into the groundf. 
This IS covered with some light cloth, such as cheese cloth. By special *request, an extra 
wide (about 5 meters) quality of cloth was made for the season of 1902. The cloth com- 
pletely covers the framework and reaches to the ground, where it is secured. Gates are 
provided, covered with cloth, and, in the fields of large dimensions, it is advisable to leave 
a road lengthwise through the field. Usually, the cloth must be renewed each season, 
but the framework is built sufficiently strong to last four or five years. The height of 
the framework is about 3 meters and the average total cost of the shade in the United 
States is about $350, United States currency, for 1 acre, 0.4 hectare. In the Philippines 
such a shelter could be constructed much more cheaply, on account of the cheapness of 
the framework, for bamboo and bejuco could be substituted largely for hard-wood posts 
and wire. 

The covering completely incloses the field, and should be made so close that few, if any, 
insects can enter. The protection from strong winds is very beneficial, as the leaves are 
often torn and lashed wnen the crop is not protected. Much protection is also afforded 
from heavy, dashing rains, which would otherwise damage the leaves. The force of the 
heavy rainfall is broken and frequently the crop is saved when, without protection, it 
would be badly torn and damaged. So much better results have been accomplished 
in the United States with the shade-grown tobacco that an earnest plea is made for its 
introduction into the tobacco districts in the Philippines. Rumors have stated that the 
attempt is to be made in the Cagay&n Valley, but tne author can not state how far these 
expenments have been conducted, or what success has been attained. It will, of course, 
be advisable to experiment on a small scale, rather than expend any considerable amount 



•These figures are on file in the Bureau of Insular Affairs, War Department. 
WAR 1905— VOL 13 15 



226 REPORT OF THE PHILIPPINE COMMISSION. 

of money on materials for shading large fields. A shade of sufficient size should be con- 
structed to determine to what extent the crop will be benefited, and then plans can be 
made for the erection of larger coverings. 

CONCLUSIONS. 

From the above, it is at once apparent that the successful cultivation of tobacco requires 
the greatest care and attention, from the preparation of the seed bed to the final fermenta- 
tion and baling of the ripened leaves. Wnile anyone unfamiliar with tobacco culture 
can probably produce a crop, it is to be doubted if it will be of such a character as to com- 
mand a good price. Judgment, only to be gained through experience in growing the crop, 
is necessary at so many stages of the growth of the plant that it is doubtfm if it is profitable 
for the planter to undertake its cultivation unless tie can engage the services of some one 
who has had such experience. And yet it is possible for the careful planter, who persis- 
tently studies the requirements of the crop, in a very few years to produce tobacco of a 
quality superior to that grown in regions wnere its cultivation has been practiced for scores 
of years. When the Department of Agriculture attempted growing Sumatra tobacco 
under shade in the Connecticut Valley, the idea was greatly ridiculed by conservative 
New England planters, who scoffed at the idea of trying to grow a new kmd of tobacco. 
They maintained they had grown tobacco for years, and knew the limitations of the soils 
and climate and the kind of tobacco best suited to the conditions. It took only one 
year to convince them that a new type of tobacco could be grown and sold for prices many 
times in advance of the best prices ever obtained for the finest of the old standard crop. 
And this has been the expenence of tobacco cultivation- the world over. Experiments 
have been tried in tobacco growing in new areas and in a few years, in many cases, have 
entirely revolutionized the agriculture in certain districts. New areas are constantly 
being opened up, with results that are very gratifying, even to the most sanguine expen- 
menters. 

In the districts where tobacco cultivation has been carried on for years, no one should 
be contented with the results obtained, but should by constant expenmentation with new 
seed and improved cultivation endeavor to improve the quality of the crop. Here in the 
Philippines it is commonly stated that the tobacco grown to-day is inferior to that formerly 
grown. This is greatly to be regretted, and it should be the especial effort of every planter 
to produce tobacco not equal to that grown a few years ago, but far superior to the finest 
crops that were ever harvested. The tobacco markets of the world wiUm^ly pay, and pay 
well, too, for tobacco of a superior quality, whether it is to be used for cigars, cigarettes, 
or manufacturing purposes. The trade does not pay well for common tobacco, for anyone 
can ^w coarse, common tobacco of low grade. The quality of the tobacco must be 
superior to that formerly grown to command a good price, for tobacco consumers are 
becoming more fastidious and constantly demand better goods for their money. 

The author is of the opinion that the Philippine Islands ca,n and should produce cigar- 
filler tobacco that is fully equal to the finest product of the famous Vuelta Abajo district 
of Cuba, and a ci^r wrapper equal to Sumatra tobacco. With careful attention to soil 
and climatic conditions, it is believed districts can be found that will raise tobacco similar 
in flavor and aroma to that grown in the best districts of Turkey. These results can only 
be obtained, however, by persistent, intelligent, well-directed efforts on the part of the 
planter. 

Philippine tobacco to-day does not occupy the position it should, and every planter 
or company engaged in its cultivation should strive to place it on the high standard it 
deserves. 



Appendix R. 

REPORT BT nrTERNAL REVENUE AOEHT BBOWN ON THE TOBACCO SmiATION 
IN THE PBOYINCES OF CAOATAN AND I8ABELA. 

Manufacturers of cigars in these islands, dealers in the islands in native leaf tobacco, 
consumers in the islands of Manila cigars, manufacturers and merchants abroad who have 
handled in past years Philippine* tobacco, consumers abroad of Manila cigars, and the 
Filipino, whether grower or tobacco merchant, all are of one mind on the tobacco situa- 
tion. Philippine tobacco has gradually sunk to a deplorable level. Reports come from aU 
sides that a Manila cigar is no longer the peer of the celebrated article produced in Cuba, 
the Ilabana cigar, and the tobacco of the Philippine Islands, which used to be prized all 
over the world, is now accepted with suspicion or in some cnsvs is looked upon with indif- 
ference. Nature has most bountifully favored this country with rich and fertile lands 



KEPORT OF THE COLLECTOR OF INTERNAL REVENUE. 227 

and has given her products, hemp and tobacco, a high and distinguished place in the mar- 
kets of the world. Hemp still stands in its high place, but the fragrant, fine, high-grade 
Philippine tobacco seems to be near the point of being termed a thing of the past. It 
is at low ebb, staggering and about to fall, and a report to-day on the situation should 
deal only with the causes which have led up to the lamentable state of affairs, and what 
seems to be a remedy. 

Tobacco is grown on both sides of the Rio Grande, and the lands cultivated begin at 
Alcal4, Cagay&n, and extend to EchagQe in the province of Isabela. This stretch of land 
varies in width from a few miles to perhaps 10 nules. It is not considered to be profitable 
to cultivate tobacco farther north tnan tne point Alcalfi. as the effect of the sea breeze is 
felt. There is a small quantity, however, raised at GattaranJ but it is put to local uses 
solely. The farther south tobacco is grown the better its quality. 

The tobacco lands of Cagay&n are owned almost wholly by natives of the province, and 
in Isabela the area owned oy them greatly exceeds that in the hands of Europeans. All 
of the lands owned by whites are situated m the province of Isabela, the Compaflia General 
de Tabacos de Filipinas being the largest holder. The fact that the native owns the greater 
part of the tobacco land is an important one and bears on the situation directly. 

The area of the low lands, lands which are yearly flooded, on which tobacco is grown, 
greatly exceeds that of the high lands, or lands which border on those which are under 
water during the inundations. The low lands which are so richly and generously replen- 
ished by nature through the floods produce the best tobacco and the native grower who 
cultivates tobacco on those lands starts off every season with all in his favor. On the 
high lands the European planters get good, first-class tobacco, but this the native rarely 
can obtain. The high lands by some planters are stripped bare of all timber, while other 
planters prefer to leave clusters of trees here and there throughout the plantation. The 
tobacco is a grateful plant and responds to every attention and the additional moisture 
brought to it oy natural means as in the plantations in which trees are left standing shows 
itself in a sUghtly better quality of tobacco than that received from the land kept clean of 
everything. In virgin lands it is the custom to grow tobacco on one part one ^ear, the fol- 
lowing year on the next adjacent part, the third year on a more distant division, and on 
the fourth year again planting on the first part. Allowing the soil to rest and recuperate 
in this way, tobacco as fine in quality as that grown on the low lands is obtained. 

As the greater part of the tobacco area of Cagayfi.n and Isabela is low land its value for 
the cultivation of tobacco is to-day equal to what it was in the past. 

In sowing tobacco in seed beds a fair amount of care is exercised by the native grower 
and in transplanting some attention is bestowed^ but after that point the plant does not 
receive the treatment t needs. Weeding, freehig of the plant n-om the bug which will 
thrive on it if left alone, and other attention, all is done in a thoughtless and careless manner. 

In place of harvesting his tobacco when the leaf is neither too green nor too ripe, the 
native grower cuts his plant without regard to the rules that were observed by his fore- 
fathers and which are bred in his bones. He simply cuts or gathers whenever it suits 
him, knowing that he can sell. 

In the preparation and classification of the leaf the fancies of the native grower about 
the sale of his crop crowd out of his mind all thoughts about quality. In this respect he 
is free of care and worries not. It has been claimed that if the fermentation of the 
le^f is well and properly done it will result in a fine texture and general good appearing 
tobacco, but white growers assert that tobacco neglected in the fields can not by any pro- 
cess of fermentation be made to appear the same as the well-cared for plant. Tobacco 
from the time of planting to the time it is put up in bales needs great care. In Cagaydn 
and Isabela this is denied the plant by the native grower and the result is that all are forced 
to admit that Philippine tobacco is slowly and steadily falling in the estimation of those 
who for jears have prized it. By their careless and neglectful methods of cultivation of 
tobacco in Cagay&n and Isabela the natives are simply taking the bread out of their own 
mouths. 

The transportation of tobacco from the farms to the warehouses of the buyers is to-day 
carried on in the same way as it was carried on in the days of the government monopoly, 
by carabao carts or by sledges. Before and after 1882 the growers at their expense made 
delivery to the buyer, but in late years this expense has been borne by the buyers. There 
is not much complaint of lack of roads, but of course good country roads all through the 
tobacxM) country would be a benefit both to the grower and buyer. Taking a bird's eye 
view of the Cagaydn Valley, one sees dotted near the banks of the Rio Grande, all the way 
up from Alcal&, the storage warehouses of the tobacco buyers. The representatives of the 
Manila dealers in charge of these employ native " af oraclores " on commission to buy for 
them, and out of the commission the **aforadores" provide transportation to the warehouse 
of the tobacco bought. Transportation facilities on the Rio Grande after the tobacco buy- 
ing, August to December, are fairly good. The river is high at that season of the year, 
and large cascoes and barges are easily navigated. As Cagay&n and Isabela tobacco goes 



228 REPORT OF THE PHILIPPINE COMMISSION. 

through a curing process at Manila and is stored four or five years sometimes before being 
used in ♦he factones, time is not a very important factor in the question of transportation 
of tobacco in the provinces where it is grown. From Alca)& to Tuguegarao there is a fine, 
well-built road, and over every stream or gully a strong, well-constructed bridge has been 
put up. 

The following prices are paid for the transportation of tobacco on the R{o Grande in the 
provinces of Cagayin and Isabela: 

Echague to Ilagan, about 1P0.80 per quintal; Dagan to Aparri, about ^0.53 per quintal: 
Tuguegarao to Aparri, about PO.^ per quintal, and by steamer from Aparri to Manila, 
about ^0.35 per quintal. 

It is not believed that the transportation facilities affect tobacco very greatly. Under 
the Spanish Government as much as 4 pesos were paid for the shipment of one bale from 
Aparri to Manila. Transportation is not the cause of the trouble. 

The real causes of the situation should be laid at the doors of the native growers and 
the Chinese dealers in tobacco. The native at one time used to care for tobacco well and 
produced an article of good quality; to-day he is able to cultivate it as well as before but 
does not do it. Up to 1882 the Filipino planters of Cagay&n and Isabela grew tobacco at 
the muzzle of a gun. E>very family was under the orders and supervision of a ^vemment 
employee and the worker who disregarded the rules laid down for operations m the fields 
generally had administered to him a few smarting cuts with a bejuco. This slave driving 
resulted in first-class tobacco. The harsh restriction under which the native had culti- 
vated tobacco having been withdrawn in 1882, the government monopoly no longer existing, 
notable reaction set m. From that date till to-day the methods which have b^n adopted 
and the results which have been obtained by the t'ilipino tobacco grower have been grad- 
ually sinking to a low standard. In 1900 the keen competition and the rush for the crops 
of Isabela and Cagayin and the high prices paid the planters have caused them to aigue 
with themselves that it pays better to grow tobacco without regard to the best methwis. 
From 1883 up to the present time there nas been no restriction on the grower; he has been 
free in his fields, and the inferior quality of his product is the result. It has l)een shown 
that from the time of sowing seea he has been careless and neglectful, and therefore to 
the Filipino planter must be attributed the present state of affairs. 

However, before leaving the part played by the native it should be stated that to produce 
better tobacco he must work hard, very hard, in his fields with his crop, and from tne time 
of sowing in seed beds he must be unceasing in his attentions. Considering the enervating 
climate, the fact that tobacco raising requires the efforts of the planter for more than 
half the year, that the native thinks but little of to-morrow, it is not to be wondered at 
that he has preferred to let things swin^ their own way. 

The other cause or evil of the situation is found in the Chinese merchant who deals in 
leaf tobacco. The Chinaman is one of the best business men in the world — the world 
admits that. The natives of the Philippines like dealing with the Chino. Amongst the 
semibarbarous Moros of Mindanao the Chino is found driving bargains, buying and selling. 
The Chinaman panders to the native and to attain his object in business is often groveling. 
He plays upon the native and feeds the native's cravin|j for money, and if he is allowed to 
continue as he is doing in Cagayin and Isabela he will probably cripple in a dangerous 
and serious way the native planters as a body. The Chinese mercliant handles tobacco sim- 
ply as an article of commerce. It is true many of them know good tobacco, but their 
one object is money. If F5 profit can not be made by them on a bale then 5 cents will 
suflBce. In buying, the Chino visits the ranchos and offers money or merchandise for any 
class of tobacco, and if not ripe, he will buy the leaf as it stands in the fields. Every year 
these Chinos get more native growers in their clutches, and that this is a real danger to the 
reputation of Cagayin and &abela tobacco all agree. Among all the white buyers in 
the valley representing the Manila houses there is narmony and competition can scarcely 
be said to exist. All nave one object in view, to buy for their superiors in Manila good 
tobacco, paying therefor a good price. By all of these Europeans bad tobacco is rejected, 
but this plan is not adopted by the Chino. All is ^rist that comes to his mill. Tobacco 
good or bad to him means money. It can not be said that the Chino as a merchant is one 
who wishes something for nothing. His methods are in a business sense legitimate, but 
in another broader sense his operations are not fair. He himself produces no tobacco and 
is hurting greatly those who do produce. 

The two causes then of the depreciated quality of Cagayfin and Isabela tol)acco, in (he 
opinion of the undersigned, are the native grower, his slothfulness and callous indifference, 
and the Chinese merchant by his hoggish buying methods. If allowed to go hand in hand 
much longer these two will prove a disease to the whole industry. 

To uplift the native grower it will not do to adopt harsh methods. Newspapers or other 
printecl matter will not produce the desired results. The native respects authority, and 
subordinate officials in the provinces unless supported strongly bv their superiors find 
difficulty in discharging important duties and adueving results, ancf it is respectfully sug- 



BEPOBT OF THE COLLECTOR OB* INTERNAL REVENUE. 229 

gested that the provincial governors he instructed to educate the native planters and that 
the provincial governors receive their direction and instructions from the honorable gov- 
ernor-general. In submitting this suggestion it is respectfully stated that in the middle of 
June, while passing through the tobacco country, it was specially noted that the feeling 
among the growers at Alcald, Amulung, and Iguig concerning tne delay in the opening 
up of the buying of this season's crop by the large buyers of Manila almost approached 
alarm. This feeling was by no means openly dispmyed, the native we well know is stoical, 
but to one who understancls his nature and who observes him on all occasions, there was no 
doubt of the workings of his mind in this matter. This is a significant point. An American 
seeking information or light on a subject of high importance to the welfare of the Filipino 
from the native himself is not very successful ; here is when the interest of a native provincial 
governor can be aroused. 

The Manila manufacturers and dealers in leaf tobacco have united and aa:«ed unanimously 
to reject all tobacco offered for sale by the growers which is not classified, and have agreed 
upon a tariff of prices. This is a step in tne right direction and should bring the native 
growers to their senses and also ^ould tend to counteract the methods of the Chinese 
dealer. The provisions of the internal-revenue law which re<)uire dealers in leaf tobacco to 
keep a proper record of their transactions are being enforced m Cagay&n. 

Tlie efforts of all the white planters in the Cagay&n VaUey to improve the quality of 
tobacco are confined wholly to their own plantations. Under competent supervision tobacco 
is well cared for. They have confined tnemselves chiefly to discussions, to talks and sym- 
pathizing one with the other, but lately prominent gentlemen of Manila, manufacturers, 
nave put their heads together, and have resolved to reach the native growers with good 
sound advice and instruction on the culture of tobacco. As the tobacco lands are in greater 
part in the hands of the natives these exertions are praiseworthy. This fact of the greater 
part of the lands being in the hands of the native is also an argument in favor of steps being 
taken by the government through the provincial governors. 

Before concluding this report it is deemed of importance to call attention to the demand 
which is growing all over the world for a light-colored cigar. The tobacco of the Philippines, 
grown in the open, is not suitable for light-colored cigars, but this should not be considered 
as a danger. The light-colored leaf is one which has been cut before it was ripe, and which 
has not been well cured. Sumatra is supplying this fine, silky, light-colored leaf, and is a 
competitor of the Philippines; but the supply is far short of the demand, and the press of 
the United States have undertaken to educate the smoker on this point. The Tobacco 
Leaf, published the following on March 8, 1905, and again in May it was republished in the 
columns of the same paper: 

" Probably there is not one smoker in a thousand who would not be surprised and in fact 
incredulous if he were told that the color of a cigar is absolutely no guiae to its strength. 
Yet such is the case, and a fact well known to cigar manufacturers and importers. The 
belief of smokers that cigars of a dark color are strong and those of a lighter shade are 
milder is, in point of fact, as fallacious as it is general. This is but one of the many delu- 
sions harbored by consumers of tobacco, and which practical cigar men have smiled at 
and indulged from time immemorial. 

*' But ofrecent years the inclination of smokers toward light-hued cigars has assumed the 
proportions of a 'craze' and the producers are finding much difficulty in meeting the 
demand. The manufacturers and Cuban raisers woiild now gladly correct their own error; 
but, after having carefully classified their products under the style of claros, colorados, 
maduros, et€., for decades, they find it next to impossible to dispel the illusion. 

"A maker of Ilabana cigars uses but one ^tuie or blend of tobacco in the body or filler 
of his cigars. Exactly the same stock is used in his conchas as in his perfectos; in nis claros 
as in his maduros. After the cigars are made, however, his 'selector' takes them in hand 
and classifies them according to the relative shades of the wappers. This is done to effect 
uniformity in the appearance of each box of cigars, and to enable the dealer to readily 
indulge the whims of the self-deluded smoker. 

"Inasmuch as the wrapper constitutes not more than one-tenth of the cigar, it will 
readily be seen that the degree of its strength or mildness is very inconsiderable in effect. 
In this connection, however, it is interesting to note that tobacco tradesmen versed in the 
intricacies of the industry rigidly bar the Rght-colored wrapper from their own smoking 
tables, knowing that it generally indicates that the leaf was prematurely cut and improperly 
cured, and that it impairs the flavor and bum of the cigar. Cubans, who, by the way, are 
notably partial to mild tobacco, avoid smoking light-colored cigars just as they avoid eating 
a green orange or an unripe banana. 

The prejudice of these natives or tobacco tradesmen is a logical one, and serves to throw 
into bola relief apeculiar misconception of facts, which is both amusing and embarrassing to 
venders of the fragrant weed. 

"Whether cigar smokers will ever awaken to the fact that a dark cigar is, if anything, 
oiilder and invariably sweeter and more aromatic than a l^ht cigar, remains to be seen." 



230 KEPOET OF THE PHILIPPINE COMMISSION. 

However, light-colored leaf can be grown in the Philippines and is grown yearly in small 
quantities on the estate in the province of Isabela of one of the large Slanila manufacturers 
by the shade culture process. The structure used in the plantation referred to is 3 meters 
in height and a covering of strong, fine canvas is used in place of cheese cloth or ''coco 
crudo." Cheese cloth is not strong enough and the sun's rays penetrate, and " coco crudo '' 
is not strong enough to resist the rain and wind storms. 

The growing of tobacco under shade in the Philippines is expensive, and no attempt is 
made to produce large quantities. To produce 300 pounds costs F'500, and the duty on 
300 pounds in the United States amounts to 1P850. These expenses put against the price 
being paid for fine, light-colored leaf in the United States mean that shade grown tobacco 
for export to America can not be cultivated with profit in the Philippine Tal^nd^T 



Appendix S. 

BEPOBT BT XyTEBK AL-BK YEyUE AOEHT HOPE OK THE SALE OF LEAF TOBACCO 
AHB THE MAinJFACTVBE OF CI0AB8, CI0ABETTE8, BMOKIHO ABB CHEWDTO 
TOBACCO, ABB CHIHE8E 8M0KIHO TOBACCO IK THE CITT OF MAKILA. 

LEAF TOBACCO DEALERS. 

The dealers in leaf tobacco are divided into two classes, i. e., the wholesale dealers and the 
wholesale and retail dealers, there being 8 of the former and 27 of the latter. 

The wholesale dealers receive their tobacco direct from the growers in the provinces, 
principally of Isabela and Cagay&n, and have large bodegas located close to the river and 
canals of the city where cascoes can be seen discharging their cai^goes aU the year round. 
Some of these dealers have from 2 to 6 bod^as, contaimng from 500 to 1 ,000 bales of leaf 
tobacco, which, with their customary trade, is stock enougn to last from four to five years 
in cai;e of an emergency. 

The tobacco in all cases comes in bales called ^^bultos," the exterior being wrapped in dry 
cocoanut leaves and bound with rattan under heavy pressure. Considerable care is taken 
in the packing of this tobacco, which is done bjr Filipinos and Chinese ; that packed by the 
Filipinos bemg distinguishable by its superiority, the leaves of which are spread out or 
arranged in plaits and stacked uniformly, and the bultos noted for their solidity. The same 
care is not taken by the Chinese in packmg this tobacco, and as a consequence their bales are 
one-third and sometimes one-half as light as those packed by Filipinos although the dimen- 
sions are the same. 

The purchase of the higher grades of this tobacco is sometimes by the number of leaves 
of uniform size, but usually by the weight; the lower grades of this tobacco are sometimes 
purchased by the uniform size of the bultos and whether packed by Filipinos or Chinese. 

The tobacco when packed in the provinces is generally in a half-seasoned condition, 
partly damp, and it is for this reason, together with the fact that the longer it is kept 
the better and more flavored it becomes and increases correspondingly in value, that it 
is stored for long periods by dealers in their bodegas. On these bultos may be seen vari- 
ous marks denoting the province from which the tobacco was purchased, the class and 
sometimes the wei^t ancl the marks of the firms handling it, all of which are noted on the 
shipping invoice. 

The average weight of these bultos is from 1 to 2i quintales and are arranged in classes 
as follows: 

Isabela Province. 

Per quintal. 

First class, sold in city for ?^27.00to ^24. 00 

Second class, sold in city for 20. £0 to 17. 50 

Third class, sold in city for 1 5. ^0 to 13. 50 

Fourth class (superior) , sold in city for 12. 50 to 10. 50 

Fourth class (corriente), sold in city for 8. 00 to 7. 00 

Cagayan Province. 

First class, sold in city for ^20. 00 to n7. 00 

Second class, sold in city for 15. 00 to 12. 50 

Third class, sold in city for 12. 00 to 10. 00 

Fourth class (superior), sold in city for 10. 00 to 8. 00 

Fourth class (corriente), sold in city for 7. (X) to 6. 00 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 231 

La Unidn Provirice. 

Per quintal. 

First class, sold in city for ^12. 00 to T9. 00 

Second class, sold in city for 10. 00 to 7. 00 

Third class, sold in city for 6.00 to 5.00 

Fourth class, sold in city for 4.00 to 3.00 

BarUif Cebu Province. 

First class, sold in cit^ for ^12. 00 to ^10. 00 

Second class, sold in city for 10. 00 to 8. 00 

Third class, sold in city for 8. 00 to 7. 00 

There are other provinces that produce tobacco but of an inferior quality and which sells 
at a very low price but, nevertheless, has a fair sale in the city being used chiefly by mixing 
with higher erades. 

Some of the larger cigar and cigarette factories are suppUed by these wholesale dealers 
in leaf tobacco. Sometimes the tobacco changes hands two or three times among the 
retail dealers, and nearly all of them will sell any quantity from one-half a kilo up to any 
number of quintales and invariably supply all the smaller factories. 

In this industry, like many others in which the Chinese are interested, there are many 
schemes, those most favored by the retail dealers being to take the center out of a bulto 
and replace it with an inferior class of tobacco, or to remove two or more leaves out of each 
bulto and make up the weight with extra dry cocoanut leaves plaited in with the exterior 
cover. In some cases this is made impossible by having the bulto opened and every leaf 
examined, refusing to accept all doubtful and broken ones. In such cases, however, the 
Chinaman proceed to make up for such vigilance on the part of the buyer, by placing 
this refuse m the center of some other bulto and palming it off on some one who does not 
take the trouble to examine jt. 

As a class, these dealers are able to do a fair business and clear a profit of from 7 to 12 
per cent, not including their schemes. 

THE BiANUFACTURE OF CIGARS. 

Out of the 58 factories doing business in the city of Manila, 14 are owned by European"^, 
1 by an American negro, 24 by Filipinos, and 19 by Chinese. With the exception of one, 
who is solely an exporter, all make and sell cigars for local consumption in addition to what 
some of them export. All cigars made by these factories are from the Philippine leaf. 

The leaf most used, especially for the nigher grades of cigars, is that grown in the prov- 
inces of Cagaydn and Isabela, of the first class, while that most used for the intermediate 
grade of cigars is that grown in the provinces of Cagay&n and Isabela of the second and 
■third class and that most used for the low grade of cigars is sometimes a blend of the tobacco 
erown in the provinces of Cagay&n and Isabela of the fourth class, together with tobacco 
from other provinces. Of course the value of the cigars manufactured varies according 
to the class of tobacco used and workmanship, the first class ranging in price from ^50 
to ^250 per thousand, seldom higher, the second class from ^20 to P°50 per thousand, 
and the third class from 1* 10 to F20 per thousand. 

Some manufacturers claim that no two crops of tobacco yield the same quality and that 
only one crop in four yields a superior quality of tobacco, and that in recent years the 
quality has decreased. However, notwithstanding all these drawbacks there is always 
a good market for these crops which are eagerly sought for. 

The percentage of tobacco used for wrappers and filling varies with each class. A con- 
servative estimate for high-grade wrappers would be from 8 to 12 per cent, with the next 
grade from 12 to 20 per cent, and with some factories up to 25 per cent. This would include 
all first-class tobacco. Fillings for this class run from 60 to 70 per cent. Second-class 
wrappers average from 15 to 20 per cent and fillings from 35 to 45 per cent. Third-class 
wrappers average about 10 per cent and filling al>out 15 per cent. From the last two 
classes of tobacco most of the lower grades of cigars are made. In many cases the fourth- 
class tobacco is mixed with other tobacco, usuaUy Londres and Nueva Habana of inferior 
grade and is handled mostly by the smaller factories. 

The actual waste of a cigar factory, i. e., the stems of the leaves, is approximately 22 
per cent; the cuttings of large factories are either sold for exportation to Ilongkong and 
Shanghai, or to cigarette manufacturers who are always ready to buy them. In the case 
of smaller cigar factories these cuttings are broken up and used over again. 

The tobacco stems are sold to some Chinamen for a very small sum, in fact many facto- 
ries are only too glad to have them taken away for nothing. These stems are used by the 
Chinamen m ma^ng a wash for polishing furniture and marble by burning the steins in a 
furnace especially provided for that purpose, and the ashes placed in large earthen filters. 
A certain amount of water is then added which, when it has passed tb^ugh the filters, 



232 REPORT OF THE PHILIPPINE COMMISSION. 

is immediately caught in barrels underneath, placed in boilers and allowed to boil slowly 
for a day or two, after which it Ls considered ready for use, packed in coal-oil cans and sold 
for F'2 per can. 

Manila does not possess a single cigar machine, although some time back one of the larger 
factories bought two of European design for experimenUl purposes. The result, however, 
proved so poor that the idea was abandoned, the machines dismantled, and portions used 
for other purposes. All the cigars in the city of Manila are Filipino handmade, which 
gives employment to many thousands, both male and female, ranging from ten to sixty 
years of age. Many manufacturers differ in opinion as to which of the sexes is more satis- 
factory in the manufacture of cigars, but if there is any preference it rests with the males. 

The average factory working day is from ten to twelve hours, excepting Sundays and 
holidays, when, if work is done, the pav is doubled. 

The cigar workers are arranged in classes for the preparation of the leaf, such as strip- 
ping, etc.. which is always done by hand, cutting wrappers to uniform size and stacking 
them ready for work. One section can be seen with piles of tobacco leaf in front of them, 
cut to about the size of a silver peso, rolhng cigars, others putting on tin foil, packing in 
boxes and pasting on labels, etc. These workers are paid by the piece. A good cigar 
maker of high-grade cigars can make from 100 to 150 per day, of low-grade cigars from 150 
to 300 per day, and an exceptionaUy good cigar maker can make 350 cigars per day. There 
are very few, however, that can make 350 cigars per day. The pay or these workers 
averages from T'5 to IP 18 per thousand. The best cigar maker seldom exceeds the latter 
amount. 

The comparatively small stock kept on hand by most of the small factories is due to the 
worm whicn attacks the cigar after its manufacture. In some cases the cigar is attacked 
by this worm within three months after its manufacture and in other cases seems to escape 
up until nine months, but seldom escapes beyond that period. 

TTie cigar boxes used hj the fac tones are either secured locally or imported, only one 
factory possessing a machine for their manufacture. All local purchases are made from 
Chinos who make them by hand and sell them for from ^14 to 1^18 per thousand boxes. 
Some manufacturers claim that the imported box from Oermany can be secured for about 
half the local price after paying all expenses of importation. 

THE MANUFACTURE OP CIGARETTES. 

There are 50 cigarette factories in the city of Manila, 11 of which are owned by Euro- 
peans, 14 by Filipinos, and 25 by Chinese. Twenty-eight of these factories have their own 
cutting machine, and all, with the exception of 7, have their own cigarette machines. 

There are two classes of cigarettes, machine and handmade, the former predominating. 
The tobacco used includes sJl classes and the classes mixed vary with every factory, in 
some instances being considered as a secret. 

The following is the formula used for one mixture: 

Kilos. 

Fourth-class tobacco, Isabela Province 322 

Fourth-class tobacco, Cagay&n Province 115 

First-class tobacco. La Uni6n Province 138 

Second-class tobacco, La Unidn Province 138 

Third-class tobacco. La Unidn Province 138 

First-class tobacco, Barili, Cebd Province 92 

Second-class tobacco, Banli, Cebti Province 69 

Total 1,012 

Even this mixture of low-class tobacco is able to command a fair market and sells from 
^40 to IP 45 per thousand packages (cajetillas) of 30 cigarettes to each package. The selling 
price of the factories for cigarettes made of the above sized cajetillas is from F'39 to ^76 
per thousand packages. 

There is very httle preparation required for tobacco which is to be cut for cigarettes. 
The stems of the leaves are seldom separated but are chopped up with the tobacco. The 
tobacco is taken from the bulto in piles ranging from 20 to 30 leaves at a time, the stems 
of which are dipped in water to about 6 inches and thrown aside for a day or so. This 
allows the whole leaf to moisten which prevents its going into powder when thrown into 
the cutting machine, which would happen were it cut in its dry crisp state. 

The machines used for cutting this tobacco in this city are mostly of French pattern, 
with either steam or electric power and cut at the rate of 380 kilos per hour. Tliis tobacco 
when cut is called "picadura." 

The picadura, before being made into cigarettes, has to be thoroughly dried and cleaned. 
The drying is in most cases done on the roofs of the factories, or any open space where it 



KEPORT OF THE COLLECTOR OF INTERNAL REVENUE. 233 

win have the benefit of the rays of the sun. With some of the larger factories this drying 
is done by machinery. The tobacco is then cleaned, sometimes by steam power but 
mostly by hand, which is a process of separating the fine powder or dust from the tobacco, 
which is then ready for use. 

There are three classes of cigarette machines, i. e., "La Favorita" and " Usines Decuefle," 
both French machines, and "The Bunsach," an American machine. "La Favorita," 
although the slowest one of the three, is the one most used. In working this machine one 
hand is required to arrange the picadura r«;ularly in the feeder, which holds usually about 
two kilos of tobacco, and to look out for the fouling of cigarette papers, which constantly 
happens. The papers used with this machine are fastened with paste or gum. The 
capacity is generally from 30 to 32 cigarettes per minute. This machine is adaptable for 
either steam, electncity, or hand power. 

The "Usines Decuefle" machine is an improvement over the "La Favorita" in that it 
has a capacity of from 60 to 70 cigarettes per minute. There are two kinds of this machine, 
one wliich fastens the cigarette paper with either paste or gum and the other by a crimp. 
la other respects these machines are much the same as "L^ Favorita." 

"Tlie Bunsach'' machine, like the French machines, requires but one attendant. The 
tobacco is thrown into the feeder, which is a large square box, sometimes tapering off at 
the bottom, in lai^ quantities. This tobacco, in process, passes through the machine 
and comes out at the bottom rolled in a long contmuous string and accompanied with 
the cigarette paper, which is run off from a reel, passes through another part of the machine 
which fastens the paper with a crimp and cuts off the cigarette at the rate of 250 per 
minute. 

The advantage of the French machines over the American is that they tuck in one end 
of the cigarette, which is much desired. The disadvantages are that they can not, with 
safety, use up the coarse grains of tobacco which are usually sifted out from the long, 
stringy picadura in cleaning. Although there is always a small pro[K)rtion of these coarse 
grains that become mixed up with the tobacco or picadura, this, in the process of manu- 
facture, generally falls through the machine and is caught in a' vessel placed immediately 
under the macmne for that purpose. There is stiU, however, one way by which these 
coarse gi^ains can be used with these machines, although very few care to take advantage 
of it. When the long arm of the feeder is packed these coarse grains may be sprinkled on 
the top, usually in the center, and thus carried into the manufacture of the cigarette. 
The one objection to this is that by tapping the cigarette with the open end held down- 
ward, or by puUing out one or two of the lon^ stringy threads of picadura, half the contents 
of the cigarette wm fall out and render the cigarette useless. 

The advantage of the American machine is its ability to dispose of the smaller grains of 
tobacco and its rapidity. These grains are mixed up with the picadura and thrown into 
the feeder and come out of the machine rolled firmly in the cigarette. 

The percentage of the cigarettes that run foul with the French and American machines 
is from 10 to 15 per cent. These are called "desechos" and are broken up and reused. 

Many of the factories have cigarettes made by hand in addition to those made by machine. 
In the former method a large proportion of the tobacco which is not used with the machine 
can be disposed of. These cigarettes are' divided into two classes, one of which is made 
of the same class of tobacco as is used with the machines, having about 10 per cent of 
machine refuse mixed in, the paper fastened with paste, and, in some cases, havmg one end 
tucked in, but in most cases both ends left open. From 300 to 350 ci^rettes of *this class 
can be made by one person in an hour. The other class of hand-made cigarettes is made 
of all coarse grain, usually all refuse tobacco from the machines. The paper in this class 
of cigarettes is not fastened, but left open, having both ends tucked in. These cigarettes 
are made at the rate of from 450 to 500 per hour. All hand-made cigarettes are made 
exclusively by females. 

The actual waste of tobacco in a cigarette factory depends on the sort of tobacco used. 
In the higher grades and with the wide leaf there is very little wasted; with the lower grades 
and smaller leaf there is more wasted. A great deal depends on the wajr the tobacco is 
handled — much transporting, repacking, etc., will naturally break the picadura up and 
turn it into powder. The loss of a cigarette factory is from 3 per cent and ought not to 
exceed 8 per cent. By the actual loss I mean the powder that has gone through the line 
sieves — that which can not be used in the manufacture of any kind of cigarettes or smoking 
or chewing tobacco. This powder is sold to farmers for fertilizing purposes and insect 
killing, the only use it can be put to. 

The manufacture of cigarettes, like the manufacture of cigars, employs some thousands 
of laborers, two-thirds of which are females. Every factory has a work shop in which one 
or more machinists are employed, receiving salaries from r50 to T'lQO per month. The 
attendants at the cigarette machines are paid from F0.70 to Fl per day for day and night 
work, respectively. All the rest of the help are paid by piece work. The wrapping is 
mostly done by women, one person usually wrapping from 100 to 120 packages in an 



234 REPORT OF THE PHILIPPINE COMMISSION. 

hour and is paid from ^0.50 to ^0.60 per 1,000 cajetillas. All labor on Sundays and holi- 
days demands double pay, while ni^ht-work demands an increase of one-third. 

The working hours of most fact ones are unfixed, and all depends on what trade they do. 
Some of them are at work day and night, while others work from sixteen, twenty, to 
twenty-two hours daily. 

The avera^ number of cigarettes in 2 kilos of tobacco differs with many factories — from 
70) to 900 with the hirge size and from 1,000 to 1,900 with the small size. 

The keenest competition is always shown in this line of business; old firms and old brands 
in some cases don't figure much. I have known some of the factories to be doing an 
increasing business month after month, then all at once the trade would fall away to almost 
half, sometimes less, and continue so for a time, when it would pick up again. This is 
the case with a majority of them, although the general business is steadily on the increase. 
No explanation for this can he given by any of them. 

One complaint I often hear from these manufacturers is the practice of one manufac- 
turer imitating the other's wrappers, as follows: 

A's trade is bad; he finds that B's trade Ls exceptionally good on a certain brand of 
cigarettes which is selling for say 1^50 per 1,000 cajetillas. A will have his lithographer 
make him B's wrappers as nearly identical as pa'-.sible without overstepping the law, u by 
chance B has his patent registered. A will then canvass the dealers, generally Chinos, 
and offer this imitation, which is usually inferior tobacco, for say 1^45 per 1,000 caje- 
tillas. If the dealer accepts, which he rarely fails to do, he will await his "marks," who 
are principally provincial people who can not read, and when they ask for B's brand he 
will hand them A's imitation brand, charging the same price he would for B's genuine 
cigarettes. The customer, knowing the pictures on B's brand and being unable to read, 
accepts, and the dealer not only m^es his usual profit of P"! on the 1,000, or the value of 
the wooden box in which the cigarettes came, which is in many cases the only profit made, 
but he will also make the difference in the factory price in addition to the ordmary profit, 
thereby ruining the reputation of B's cigarettes. For this reason some factories have 
affixed a notice on their original packages cautioning their customers to guard against this 
practice. 

THE MANUFACTURE OF SMOKING TOBACCO. 

Tlie tobacco used for this purpose is prepared in the same manner as that used in the 
manufacture of cigarettes, with the exception that it is not thoroughly dried and is known 
commercially as **picadura." 

The packages are usually made by hand and are put up mostly in rectangular shape, 
weighing 200, 250, and 500 grams. 

The factory's price depends on the grade of tobacco used. The package weighing 250 
grams is the one mostly used, and, on the whole, is made from a fairly good grade oT tobacco. 
This tobacco is sold l>y the factories for from ^18 to F20 per 100 packages and by the 
retailer for ^"0.20 per package. 

The apparatus chieny used for packing is a wooden box of the required size, built* on a 
stool on which the worker sits straddle, having the paper folded to size with one end open. 
This is placed in the box and the tobacco poundea in with a maul. The tobacco being 
generally damp, and seldom weighed out, accounts for the slight difference in the weight 
of each package. 

In this class of tobacco can be and is generally used all refuse from cigarette machines, 
which is usually a good class of tobacco. This is mixed to the proportion of one-third. to 
one-fourth with the long, stringy, machine-cut tobacco. On account of the grade and 
refuse used it requires more cleaning and, as a consequence, has a lai^er per cent of waste 
than the cigarette factory, the same being from 10 to 20 per cent. 

This industry has a ^ood market in the city of Manila and is bought up principally by 
the poorer classes for cigarette making for their own consumption. 

THE MANUFACTURE OF CHEWING TOBACCO. 

Chewing tobacco is made from the best class of tobacco and, like in the manufacture of 
cigars, the stems are separated, which is the only waste. 

The leaves of the tobacco for this purpose are heavily sprinkled with water, pounded 
out on a board, and rolled up into pieces something like cigars. These pieces, when com- 
pleted, are so saturated with water that you can squeeze the juice out of them with the 
thumb and forefinger. They are considered usable so long as they keep moist, after which 
time they have to be remade. They are put up in packages either of 10 or lOO pieces, the 
former being mostly in use and weighing 100 grams to the package, wliich is sold for F1.85 
per kilo or 10 packages. 

This tobacco is exclusively used by Filipinos, who chew it with beetle nut. 

Chewing tobacco, after the American style, is not made in this city. 



REPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 235 

THE MANUFACTURE OP CHINESE SMOKING TOBACCO. 

There are nine of these factories in this city, eight of wliicli manufacture from the Phil- 
ippine and one from the imported leaf. The imported leaf is known as the red and the 
yellow leaf. 

The process of manufacture is the same with all the leaves, which is as follows: 

The tobacco is prepared in the same way as in the manufacture of cigars, the stems 
being the only portion wasted. The leaves are soaked in oil, folded, and stacked in layers. 
They are then placed in a machine, under heavy pressure, and the sjeater part of the oil 
squeezed out, which leaves the tobacco in a solia block. This is allowed to stand for a 
day or so. when it is bound with ropes and is ready for cutting. This is done by a worker 
who straddles the block and shaves the tobacco off with a plane. 

The imported leaf is usually mixed with the Philippine leaf, and when shaved off is of a 
yellow color, while that which is all from the Philippine leaf is of a dark brown color. 

Considerable care is taken in the shaving off of this tobacco, which is done slowly and 
in small pieces, and neatly arranged in layers on small trays. It is then placed in an oven 
for drying out before it is wrapped into packages. That mixed with the Chinese leaf 
tobacco is put up into flat square packages of 296 grams and is sold for P'l.SO per package. 
The other is put up in various sized packages of 77, 83, and 175 grams, and is sold for 10, 
15, and 25 centavos per package. 

A considerable quantity of the Chinese tobacco is imported already manufactured and 
is almost identical in every respect with that made in this city. This tobacco is largely 
used in Manila and can be found on sale in every Chinese retail tobacco store. 



Appendix T. 

SEPOBT OF PBOVINCIAL TREASUBEB OOOBHABT ON MANUPACTTTBE OF GI0AB8, 
CIOABETTES, AND 8M0KIHG AND CHEWING TOBACCO IN THE PBOVINCE OF 
BULACiN. 

The records of this office show that the manufacturers of this province have been very 
prosperous under the present law; in fact, the production of cigarettes for 1905, taking the 
reports of the past five months as a basis of calculation, will exceed the output for 1904 
by about 20,000,000 cigarettes. As per bonds and official statements of manufacturers 
only 43,438,000 cigarettes were produced in 1904, while the production for 1905, taking 
the reports of the past five months as a basis of calculation, will reach 62,125,860. 

The increase in the output of cigars has been still greater, that for 1904 being 22,300, 
while the computed output for 1905 is 141,118. 

In 1904 2,880 kilos of smoking and chewing tobacco were manufactured. For 1905, 
calculating on the same basis, the output will be only 1,841 kilos, or a loss of over 1,000 
kilos. 

I have visited almost all the factories and talked with the owners concerning the inter- 
nal-revenue law, and found them all agreeing that the demand for their products has been 
greatly increased, and of the opinion that the new law has been beneficial to the business. 

In some case^ the sales have been double, and in one factory are three times as great, 
notwithstanding the fact that they ask 4 centavos for a package of cigarettes formerly 
costing 2 centavos and on which the tax is only 1| centavos. 



Appendix U. 
BEPOBT BT BEPTTTT COLLECTOB 8TEEBE ON THE MATCH INBTJ8TBT OF MANILA. 

The Philippine Match Company, the only match factory in the Phifippine Islands, 
began operation in October, 1902, at its plant at Mandaloyan, just across the Pasig River 
from Santa Ana. 

The machines are entirely American, having been installed by the Diamond Match 
Company of New York. 

The first matches made were of the "parlor" variety, much used in the United States, 
ignited by friction alone; made of round sticks of soft pine imported from America and 
packed in pasteboard boxes. These matches did not prove popular: the pasteboard boxes 
absorbed moisture, and the light straw board became a pulp, making competition with the 
"safety'' class of matches, long popular in the islands, impossible. 



236 REPORT OP THE PHILIPPINE COMMISSION. 

The company then put in machinerj for the manufacture of the sliced wood boxes uni- 
versally used in the Philippines, changed their matches from the "parlor" to the "safety" 
kind, and modified their match-making machines so as to cut sc^uare sticks iostead of 
round ones, and additional American machines were installed to mcrease the output of 
the square matches. 

The soft pine at first imported from the United States has been displaced by native 
wood. All matches and match boxes are now made from timber cut in the provinces of 
T&rlac, La Laguna, and Batangas. The timber requires careful handling to insure its deliv- 
ery to the factory in as dry a condition as possible. 

All chemicals for the making of the composition of the match head and ignition panels 
on the box are imported from the United States, England, and Germany. Cruoe sul- 
phur, which is largely found in these islands, is not yet commercially available. 

The fuel used is coal from Australia. 

Some 300 employees are at work in the factoiT> comprisimr every nationality, under a 
staflf composed of Americans, Swiss, and English. Some 200 more natives are at work 
under the contractors getting out timber, so that the factory gives employment to approxi- 
mately 500 natives. 

On account of the comparative isolation of the factory the factory hands receive rela- 
tively higher pay than employees of the cigar and cigarette factories situated in the city 
proper. Vacancies in the working force are generally filled by the provincial native, who, 
unaccustomed to machines of any kind or of working with considerable numbers of people, 
is slow to learn and rarely stays long. This handicap it is thought will be eventually 
overcome and a permanent force among the more important positions will be secured. 

The business of the match factory is extending ana is in a satisfactory manner meeting 
the competition of the Japanese handmade matches that for many years enjoyed a monop- 
oly of this market. All imported matches pay the same internal-revenue tax as the local 
product. 



Appendix V. 

BEPOBT OF IHTEBHAL-BEYEinrE AGENT PATEBSOH OH THE EKPOBCEICENT OF 
THE LAW AMOHO WHOLESALE AND RETAIL DEALERS DT ALCOHOL AKB 
TOBACCO PRODUCTS AHD MATCHES IK MAHILA. 

VINO DEALERS. 

This class of dealers are those who sell only native distilled liauors, and consist princi- 
pally of the smaU dealers who sell' direct to the consumer b^ the glass, but usually includes 
the salesrooms of distilleries; this license being necessary m order that they may sell less 
than 15 liters. (See wholesale liquor dealers.) 

No register book is required to be kept by the vino dealer. Their liquor is pmt:hased 
from distillers and from wholesale liquor dealers. Most of the distillers from wnom they 
purchase liquor furnish a small book in which is noted the number of the guia, date of 
purchase, kind of liquor, and the number of the ^uge and proof liters. No guias are issued 
with the sales made by the vino dealers, their license not permitting them to sell to other 
dealers. 

A vino dealer is permitted by his license to sell up to 20 liters, but only to the consumer. 
No record of their receipts or sales is kept other than the' invoice or ^ia received with 
the liquor from the distiller or wholesaler. If an invoice is received, it is held until called 
for by an internal-revenue oflScer, who on taking up said invoice will give a receipt, speci- 
fying the schedule, paragraph, and assessment numbers of the factory, the number of the 
invoice, the number of the gauge and proof liters, and the date of taking up. The guias 
received are kept on the premises for inspection by internal-revenue officers, wnen necessary. 

No foreign liquor is permitted to be sold under this license. 

RETAIL DEALERS IN FERMENTED UQUOR. 

This class of dealers may sell foreign or domestic fermented liquors to the consumer up 
to 20 liters. . 

Their liquor is purchased from the manufacturers and from wholesale dealers. It is 
their duty to see that they receive an invoice or guia with the domestic liquor purchased. 
No invoice or guia is necessary for their forei^ liquor. Invoices and guias received are 
taken care of as described in the preceding article. 

Up to June 30, 1905, many retail dealers sold to other dealers, and so were required to 
keep a dealer's register book the same as a wholesale dealer, but since July 1, 1905, by an 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 237 

act of the Commission (No. 1338) they are only permitted to sell to the consumer, and 
the register books now in their keeping will be turned in as soon as it is decided whether 
they will continue as a retailer or as a wholesaler. 

RETAIL LIQUOR DEALER. 

All of the above requirements as to retail dealers in fermented liquors may be said to 
apply to the retail liquor dealer. 

WHOLESALE DEALER IN FERMENTED LIQUOR. 

May sell foreign or domestic fermented liquor in any quantity to a dealer, but not less 
than 20 liters to the consumer. 

An inventory of their stock is taken and they are issued an official register book in 
which to keep a record of their receipts and sales, the first entry being the stock on hand. 

Their liquor is purchased from the manufacturers or from other wholesale dealers, and 
an invoice or guia must be received with the articles. The guia must be numbered and 
refer to th6 number of the invoice on which the tax was paid. In the case of fermented 
liquors it is always possible to give the invoice number, and it is re<^uired. The guia will 
also bear the name and location of the seller, the name and location of the buyer, the 
date of sale, and the number of gauge Hters. If an invoice is received, it is entered in the 
proper column — "Received from manufacturers" — and the other columns filled in with 
the date of the receipt of the articles, paragraph, and assessment numbers of the factory, 
number and date of invoice. The number of gauge fiters mentioned on the invoice is entered 
in the column for "Fermented liquors" on the debit side. 

If a guia is received, it is entered in the column "Received from other dealers," giving 
date of the receipt of the articles, name and location of dealer issuing it, and in the column 
"Number of invoice" is entered the number of the guia and the invoice number referred 
to on the guia, thus, VtS^i ^^^ upper number being that of the guia and the lower that of 
the invoice. If more than one invoice or guia is received with the same class of goods at 
one time, they are entered separately, one Tine being used for each. 

A wholesale dealer usually holds a retail license as well as a wholesale one. Liquor 
sold at retail is not required to be accompanied by a guia, but all sales to other dealers 
roust be accompanied by one. Guias bear a running number, beginning with No. 1 and 
continuing in sequence until the end of the calendar year. They also bear the name and 
addr^ of the seller and should bear his paragraph and assessment numbers. On mak- 
ing a sale the dealer will fill in the name and address of the purchaser, date of sale, kind 
of liquor, and number of gauge liters. 

Two entries are required daily on the credit side of the register book, viz, the total 
sales in gauge liters for the day, as per guias issued, and a note giving the numbers of the 
guias covering said sales, so, G. 1-7. The total retail sales in gauge liters will be entered 
on the next line. The wholesale and retail sales are never added together. 

Each page of the dealer's book is headed with the month and year, and when filled up 
all but one line the columns, both debit and credit, are footed up and the totals entered 
and carried forward to the next pagje, where the same operation is gone through until the 
end of the month, when a balance is made by entering on the credit side of the register 
book the diiTerence between the sales and receipts, making the totals of both sides eoual. 
This balance or difference is carried forward to another page and entered on the debit 
side as the stock on hand at the first of the month. 

No record is required to be kept of the foreign liquors, nor are they included in the stock 
on hand. 

WHOLESALE LIQUOR DEALERS. 

May sell foreign or domestic distilled spirits in any quantity to a dealer, but not less 
than 20 hters to a consumer. 

On being issued a register book their stock is taken and makes the first entry in the 
book on the debit side. 

Their receipts and sales are entered as described for a wholesale dealer in fermented 
liquors, with the exception that distilled spirits are kept in both gauge and proof liters. 

The wholesale Uquor dealer usually handles all kinds of liquors and sells to the dealer 
and to the consumer, consequently he needs four Ucenses — wholesale and retail for distilled 
spirits and wholesale and retail for fermented liquors. 

In the entries both on the debit and credit sides the distilled and fermented hquors are 
kept separate, but the total guia sales of both distilled and fermented Hquors may be 
entered on one line and the total retail sales of both liquors may occupy the next line. 

The columns are totaled and carried forward and the balance is made at the end of the 
month in the same manner as described for the wholesale dealer in fermented Hquors. 



238 REPORT OF THE PHILIPPINE COMMISSION. 

Wholesale dealers are required to keep the entries of reeeipts and sales in their register 
book up to date, and the invoices received from manufacturers, after being entered, are 
held until picked up by an internal-revenue officer, who, on taking up the invoice, initials 
the entry. The guia entries are verified from time to time, and at mtervals the stock is 
taken, and, after corrections have been made for shortages or overages, a new balance is 
given, the old guias being taken up bv the official making the inventory. 

It is not always possible for the dealers in distilled spirits to refer to the invoice number 
on their guias, as, for instance, where the liquor covered by different invoices is put into a 
common vat or cask and bottled or sold in cans or demijohns from said vat or cask, but 
w^here it can be done it is insisted upon. 

Many wholesale liquor dealers receive liquor (alcohol, anisado, etc.) from provincial 
distilleries, and on the arrival in Manila of tne liauor are required to notify the internal- 
revenue officer, so that the grade of the liquor may te taken. The official grading the liquor 
indorses on the invoice the grade as he hnds it and signs his name. The dealer takes up 
in his book the actual number of gauge and proof liters received irrespective of the number 
said to have been shipped. This is done to keep the dealer's book as nearly correct as 
possible, so that there will not be found any great difference on taking inventory of the 
dealer's stock. 

Sales rooms of distilleries are required to keep a dealer's register book, and are subject 
to the same regulations, such as entries of receipts and sales and issuing of guias to dealers, 
as described above for the wholesale liquor dealer. 

MATCH IMPORTERS. 

Merchants having placed an order in a foreign cx>untry for matches are required to inform 
the internal-revenue office^ previous to the arrival of their consignment, in order that they 
may be supplied with the necessary internal-revenue books for the payment of the tax and 
the sale of tne matches imported. 

The internal-revenue office on being notified that the merchant is importing matches 
issues to the importer a register book for the manufacture of matches (an importer being 
classified as a manufacturer for the purpose of the payment of the internal-revenue tax), an 
invoice book, a stamp requisition book, and a dealer's book. 

As soon as the matches are passed through the custom-house the importer enters on the 
debit side of the manufacturer s book the number of gross of boxes imported and the aver- 
age number of sticks in each box, as per report of the customs official examining same, fills 
in the date, and initials the entrv. He then makes out an invoice to himself for the total 
amount of his importation and the amount of tax thereon, fills in the book and notification 
stubs, makes out a requisition for stamps, and purchases the stamps necessarv to pay 
the internal-revenue tax on the number of gross of boxes imported. He then aMxes the 
stamps purchased in the column between tne invoice proper and the book stub, cancels 
the stamps by writing or stamping the date across the top of each stamp, care being taken 
not to obliterate the stamp number. The stamp numbers are noted in the proper columns 
in the manufacturer's book, together with the date of the purchase. This entry, if a sepa- 
rate one, is also initialed. The stamp numbers are also noted on the back of the notifica- 
tion stub. This stub is then cut off, and the following morning it is sent to the office of the 
city assessor and collector. The invoice is separated from the book stub by cutting up the 
center of the stamp column, thus dividing the stamps into two parts, so that one-half 
with the number will be on the book stub and the other on the invoice. The importer then, 
on the credit side of the manufacturer's book, enters the invoice as a sale to himself, filling 
in the proper columns and initialing the entry. This balances the book. He then takes 
up, on the debit side of his dealer's book, the number of gross of boxes as per invoice, filling 
in the date and number of invoice, from whom received, paragraph and assessment numbers, 
'and date of receipt, and is then prepared to sell the matches to the public. 

An importer's sales are, almost without exci^ption, to dealers, and therefore must be 
covered by a guia. The guia is essentially the same as that of the liquor dealers, except that 
it specifies so many gross of boxes of matches instead of gauge and proof liters. 

The total number of gross of boxes sold in one day, as per guias issued, makes one entry 
on the credit side of the dealer's book, noting also the numl)ers of the guias. 

This book is kept, as described, for the wholesale dealer in fermented liquors, i. e., carry- 
ing forward the totals of the del)it and credit columns until the end of the month, when a 
balance is made and the difference carried forward to the succeeding month. 

Previous to getting his matches from the custom-house the importer has to deposit 
with the customs cashier a guarantee of sufficient amount to cover the customs duties and 
the internal-revenue tax. When he is ready to close his customs account, he hands in to 
the cashier the stamped invoice on which he paid the internal-revenue tax on his importa- 
tion, and the cashier refunds him the amount deposited bv him (the importer) to cover 
said tax and files the invoice with the customs entr\% as evidence that the mtemal-revenu© 



KEPOKT OF THE COLLECTOR OF INTERNAL REVENUE. 



239 



tax has been paid by the cancellation of stamps. This invoice is taken up later on by an 
internal-revenue oflScer, who leaves with the cashier, in it.s place, a form covering all the 
data of the invoice, the name of the importer, the number of the customs entry, and the serial 
number. Said form is signed by the official taking up the invoice and is a receipt to the 
customs cashier for same. 

GENERAL REMARKS. 

Trading in domestic liquors in Manila is practically in the hands of the Chinese, who 
comi)ose about three-fourths of the total number of dealers. On the installation of the 
permanent system considerable difficulty was experienced during the first two or three 
months in teaching the manner of keepmg the register books, the handling of guias, etc. 
They did not like the direct interference of the Government in their business, and many 
seemed to look upon the internal-revenue law as if it had been enacted for the sole purpose 
of ruining their business and confiscating their property on the slightest possible pretext, 
but as the months went on they gained confidence, and this feehng graduaUy wore off, 
and now the law is pretty generally understood and complied with. 

As regards the understanding of the system of keeping the register books, it may be said 
that now it is p.ll that could be desired. On checking up the stocks and books differences 
are still foimd, but this is not due to the system, but to the carelessness of the clerks and 
sometimes of the dealers in not noting sales or receipts, and it is thought that a few months 
more will do away with even this slight complaint. 

Among the larger wholesale dealers in native liquors there has been a steady increase 
in the amount of sales since the begimiing of the year, each month showing a gain over the 
preceding one. 

Most of the Chinese dealers employ a Filipino clerk, and the work of some of these clerks 
is very good. Some of the Chinese keep their own register book, and those who are able to 
do so are usually very accurate. 



Appendix W. 

TAXES BEPOBTED COLLECTED BTJBIKG THE FIRST TEAB'S OPEBATIOH OF THE 
DrrEBHAL-BEVENUE LAW, ATJOUST 1, 1904, TO J17LT 31, 1906. 

Table 1. — Segre^ted by months and articles. 

Table 2. — Showing collections reported during fiscal year 19Q4-5 and during July, 1905. 
Table 3. — Segre^ted according to insular, provincial, and municipal revenues. 
Table 4. — Showmg, under schedules, where taxes were paid and percentage of collection 
in Manila and in the provinces. 

Table 1. — Statement of intemal-rcvenve ta^es revorted collected iv^cr Act No, 1189 in the 

Philippine Islands. 

AUGUST 1 TO DECEMBER 31, 1904. 



Articles. 



I I 

August. September. October. , November. December. 



Distilled spirits r 22,314. 19 f 39,514.69 

Fermented liquors 7,884.36 1 8,584.00 

Manufactured tobat -co i 2,989. 20 



Cigars. 

Cigarettes 

Matches: 

Domestic. 

Imported. 

Total... 



8,048.29 
77,004.65 

3,500.00 
2,706.67 



124,447.36 



7,257.66 
10,089.09 
139,799.05 I 

7,200.00 I 
3,860.00 



f 48,947.30 
9,771.24 
6,529.51 
9,880.48 

I 142,528.37 

9,000.00 
4,580.00 



^61 
10 

11 
143; 



216,305.09 231,236.90 



750.71 
,585.08 
1,727.62 

'"\31 
,440.01 

,9il9. 99 
,000.00 



f 73 

I 10 

I s: 
, 13; 

I 163; 

10 
4 



420.91 
; 859. 16 
,051.74 
,993.90 

672.89 

,033.33 
,580.00 



244,972.72 I 284,611.93 



Total. 



"245,947.80 

47,683.84 

30,555.73 

63,481.67 

666,444.97 

39,733.32 
17,726.67 



1,101,574.00 



240 



REPORT OF THE PHILIPPINE COMMISSION. 



Table 1. — StaUmtnt of iniemal-reveniu taxes reported coUeded under Act No. 1189 in ike 
Philippine Islands — Continued. 

JANUARY 1, 1905, TO JULY 31, 1905. 



Articles. 



January. Febmary. 



March. 



April. 



Total 




Distilled spirits ^68, 

Fermentca liquors. . . . 
Manufactured tobacco 

Cigars 

Cigarettes 

Matches: 

Domestic 

Imported 

Brewers 

Distillers 

Rectifiers 

Retail dealers in liquors 

Retail vino dealers 

Wholesale liquor dealers 
Retail dealers, fermented liquors 
Wholesale dealers, fermented liauors 
Retail dealers, manufactured tobacco 

Manufacturers of tobacco 

Manufacturers of cigars and cignrettes 
Peddlers of taxable articles 

Merchants 

Manufacturers 

Common carriers 

Stockbrokers 

Real estate brokers 
rustom-house brokers 

Pawnbrokers 

I*roprietors of theaters, etc 
Proprietors of circuses, etc. 
Proprietors of billiard rooms 
Lawyers, doctors, etc 
Photographers, etc 
Veterinarians, etc. . 
Owners of race tracks 
Mines and mining concessions 
Banks and bankers. . 
Insurance companies 
Forest products 
Miscellaneous... 
Documentary stamps 
Cedulas: 

Class A 

Class B 

Class D 



792,596.58 



Articles. 



May. 



June. 



Dist illed spirits 

Formentea liquors 

Maniificturea tobacco 

Cigars 

Cigarettes 

Matchos: 

Domestic 

Imported 

Brewers 

Distillers 

Rectifiers 

Retail dealers in Uquors 

Retail vino dealers 

Wholesale liquor dealers 

Retail dealers, fermented liquors 

Wholesale dealers, fermented liauors. . . 
Retail dealers, manufactured tooacco. . 

Manufacturers of tobacco 

Manufacturers of cigars and cigarettes. 

Peddlers of taxable articles 

Merchants 

Manufacturers 

Common carriers 

Stockbrokers 

Rtal estate brokers 

Cus*ora-hou«H» brokers 

Pawnbrokers 

Proprietors of theaters, etc 



P-96,674.28 , f 114,957.51 

15.039.60 ' 9,132.00 

8,304.00 , 8,009.74 

15,905.46 I 12.939.16 

222,808.97 186,820.95 



12,612.00 
4,760.00 



1,858.00 

650.00 

4,798.50 

9,002.00 

8,400.00 

3,287.50 

1,031.00 

11,950.00 

230.00 

364.00 

674.00 

47,067.01 

1,592.00 

4,782.24 

140.00 

180.00 

160.00 

370.00 

16,500.00 



11,230.00 
7,221.40 



1,566.00 

650.00 

3,026.00 

4,466.44 

4,750.00 

2,122.50 

725.00 

8,083.91 

185.00 

318.00 

642.00 

52,649.01 

2,010.76 

320.55 

72.00 

260.00 

120.00 

507.33 

13,400.00 



July. 


Total. 


f 111.730.28 


P- 609, 758. 42^ 


14.009.60 


84,612.20 


8.435.64 


62,319.46 


14,740.53 


107,255.67 


183.990.52 


1,329,686.00 . 


8,904.00 


09,228.00 


12,480.00 


48,365.40 


50.00 


360.00 


3,800.00 


11,754.00 


1,800.00 


'5,7DO.Oo 


8.006.00 


25,700.50 


11,423.00 


36,677.44 


8,968.34 


36,886.34 


5,485.00 


19,025.00 


1.835.00 


6,960.00 


18,398.99 


59,332.90 


415.00 


1,582.00 


924.00 


3,817.00 


1,422.00 


3,531.00 


213,378.65 
13,974.09 


474,578.13 


30,618.41 


1,523.01 


8,825.33 


352.00 


1,894.00 


840.00 


3,280.00 


445.00 


1,665.00 


700.00 


3,177.33 


18.532.91 


67,962.91 



BEPOBT OF THE COLLECTOR OF INTERNAL REVENUE. 



241 



Table 1. — Statement of internal-revenue taxes reported collected under Act No. 1180 in the 
Philippine /«ianrf«— -Continued. 

JANUARY 1, 1905, TO JULY 31, 1905— Continued. 



Articles. 



May. 



June. 



Proprietors of circuses, etc 

Proprietors of billiard rooms . 
Lawyers, doctors, etc 



Photographers, etc. 
Veterinarians, eT 



,etc 

Owners of race tracks 

Mines and mining concession:}. 

Banks and bankers 

Insurance companies 

Forest products 

Miscellaneous 

Documentary stamps 

Cedulas: 

ClassA 

ClassB 

Class D 



Total. 



f 807. 50 

2,027.50 

260.00 

360.00 

420.00 

2,400.00 

2,712.08 


P- 496.64 
1,516.67 
350.00 
316.00 
555.00 
600.00 


1,048.08 

33,017.12 

4.83 

13,922.40 

260,278.00 

19,706.00 

752.00 


3,166.44 

39,526.36 

5.70 

15,129.78 

44,294.00 

47,947.00 

513.00 



816,866.07 



600,600.75 



July. 



P50.00 

1,127.50 

5,985.00 

610.00 

713.00 

540.00 

830.99 

55,816.24 

74.68 

6.70 
13,811.08 

14,391.00 

33,090.00 

409.00 



794,620.75 



Total. 



P 100. 00 

3,846.54 

20,071.67 

2,250.00 

2,683.00 

3,795.00 

4,230.99 

106,353.87 

7,653.13 

190,285.73 

50.28 

96,564.85 

1,237,671.00 

101,669.00 

1,682.00 



4,893,430.70 



o Pending 

RfeUMfe. 

August 1 to December 31, 1904 PI, 101,674.00 

January 1 to July 31^ 1905 4,893,430.70 

Total 5,995,004.70 

Table 2. — Consolidation of internal-revenue taxes reported collected under Act No. 1189 in 

the Philippine Islands. 

AUGUST 1, 1904, TO JULY 31, 1905. • - 



Period. 


Alcohol cud tobacco 
products. 


Merchants' 
tax on sales. 


Occupation 


Manufacturers. 


Dealers' 
licenses. 


licenses. 


Eleven months ending June 30, 1905 

July, 1905 


P 3, 068, 509. 18 
354,290.57 


P 148, 787. 45 
62,529.33 


P285,146.12 
228,875.75 


P 80, 810. 04 
29,895.41 




Total 


3,412,799.75 


211,316.78 


514,021.87 


110,705.46 



Period. 



Cedulas. 



Eleven months ending June 30, 1905 PI, 292, 532. 00 

July, 1905 48,490.00 



Total 1,341,022.00 



Documen- 
tary. 



All other. 



Total. 



P82,753.77 P251,845.39 ,P5, 200, 383.95 
13,811.08 66,728.61 794,620.75 



96,564.85 



308,574.00 5,995,004.70 



Note.— The first column, "Manufacturers of alcohol and tobacco products," shows reported collec- 
tions for 12 months ending July 31, 1906, as these were the only taxes under Act No. 1189 that became 
effective on August 1, 1904. The remaixdng columns in the above table show reported collections for 
seven months ending July 31, 1905. 



Table 3. — Segregation of internal-revenue taxes reported collected in the Philippine Islands, 

under Act No. 1189. 

AUGUST 1, 1904, TO JULY 31, 1905. 



Period. 



Insular. 



Eleven months ending June 30, 1905 . . P 2, 891, 739. 69 
July, 1905 1 544,815.27 



Total 3,436,654.96 



Provincial. 



P- 1,031, 831. 29 
96,887.03 



1,128,718.32 



Mimicipal. 



Total. 



Pl,276,812.97 I P5,200,383.95 
152,918.45 I 794,620.76 



1,429,731.42 



5,995,004.70 



WAR 1906— VOL 13 16 



242 



REPORT OF THE PHILIPPINE COMMISSION. 



Table 4. — Taxes paid in Manila and in the provinces j under Act No, 1189, from August /, 
190J!^, to July 31, 1905, with the remark that collections under Schedule A run for the twelve 
months, while taxes on the remaining schedules only began to run from January 1, 1905. 



Schedule. 



Paid in Manila. 



Total tax. 



Schedule A: 

Distilled spirits 

Fermented liquors 

Manufactured tobacco. 

Cigars 

Cigarettes 

Matches:— 

Domestic 

Imported 



f855,706.22 
132,296.04 
92,875. 19 
160,737.34 

1,996,131.57 

108,961.32 
66,092.07 



Total ! 3,412,799.75 



Schedule B: 

Licenses; dealers in alcohol and to- 
bacco products 

Schedule C: 

On sale«; merchants, manufactur- 
ers, and common carriers 

Schedule D: 

Licenses; occupations and profes- 
sions 

Schedule E : 

Cedulaa 

Schedule F: 

Mines 

Schedule G : 

Banks 

Schedule H : 

Insurance companies 

Schedule I : - ' 

Forest products 

Schedule J : 

Documentary 

Miscellaneous 



211,316.78 

514,021.87 

110,705.45 

1,341,022.00 

4,230.99 

106,353.87 

7,653.13 

190,285.73 

96.564.85 
50.28 



Amount of 
tax. 



P- 395, 541. 52 
132,296.04 
78,013.68 
146,611.05 

1,920,311.29 

108,961.32 
56,612.07 



2,837,346.97 



54.212.00 

347,249.17 

30,840.00 
70,072.00 



Percent 

of total 

tax. 



46.20 
100.00 
84.00 
90.50 
96.20 

100.00 
85.80 



82.94 



67.50 



26.90 
5.20 



Paid in provinces. 



Amount of 
tax. 



P- 460, 164. 70 



14,861.51 
15,126.29 
75,820.28 



Per cent 

of total 

tax. 



53.80 



9,480.00 



575,452.78 



157,104.78 ; 



166,772.70 



Total. 



2,582,204.95 



102,588.97 

7,467.83 

42,368.18 

65,114.88 
22. a5 



79,865.45 
1,270,950.00 

4,230.99 

96.40 3,764.90 

97.60 18.5.30 



22.30 
67.40 



6 147,917.55 

31,449.97 
28.23 ' 



719,935.08 I 



28.00 I 1,862,260.87 



16.00 
9.50 
3.80 



32.50 

73.10 

94.80 

100.00 

3.60 

2.40 

77.70 

32. GO 



72.00 



RfeSUMfe. 



Schedule A 3,412,799.76 

Schedules B to J and miscellaneous 2,582,204.95 



Total 5,995,004.70 



2,837,346.97 
719,935.08 



3,557,282.05 



82.94 575,452.78 
28.00 1,862,269.87 



59.34 



2,437,722.65 



17.06 
72.00 



40.66 



a Collections for July i 

6^412.33 collected in Palawan for June, 1905, reported date of closing, not included. 

Jno. S. Hord, 
Collector of Internal Revenue, 



Appendix X. 

REPORT OF RECORD DIYISIOH, AUGUST 1, 1904, TO JUNE 30, 1906. 

Papers, including telegrams, sent, 5,777; received, 7,512. 

Administrative decisions rendered in response to queries submitted by internal-revenue 
officers and taxpayers: 

Number 
Sections involved : o' lette rs. 

1-67 79 

68 123 

74, 87, and 88 48 

95-103 8 

104-107 , 15 



REPORT OF THE COLLECTOR OF INTERNAL REVENUE. 243 

Number 
Sections involved — Continued. of letters. 

108-109 10 

110-115 10 

116-119 68 

120-125 60 

126-129 7 

130-133 3 

134-137 17 

138-143 180 

144 83 

Total 711 

Printed regulations and other printed matter distributed, — Act No. 1189, the internal- 
revenue law of 1904. English and Spanish copies distributed to internal-revenue officers 
and taxpayers. 

Act No. 1338, " An act amending the internal-revenue law of 1904." English and Sp<aiish 
copies distributed to internal-revenue officers and taxpayers. 

Circular No. 1, to all internal-revenue officers. Subject: Preliminary instructions as to 
the assessment and collection of taxes on distilled spirits, manufactured liquors, fermented 
liquors, manufactured tobacco, cigars, cigarettes, and matches. English and Spanish 
copies distributed to internal-revenue officers and taxpayers. 

Circular No. 2, to all internal-revenue officers. SuDJect: Instructions as to the issue of. 
certificates of registration and the collection of said poll tax on and after the first Monday 
in January, 1905. English and Spanish copies distributed to internal-revenue officers. 

Tables and rules for gauging spirits and for computing proof spirits and taxes. English 
and Spanish copies distributed to internal-revenue officers and taxpayers. 

A notice dated December 27, 1904, " For the purpose of enforcmg compliance with the 
provisions of Act No. 1045 of the Phihppine Commission. * * *." 

A notice dated January 17, 1905, explanatory of the effect Act No. 1189 should have on 
taxed articles. 

These two notices were printed in English, Spanish, and seven native dialects and dis- 
tributed broadcast throughout the island. 

Mimeographed regulations and other matter sent out. — Circular letters to provincial treas- 
urers, 44. 

Circular " A, " to internal-revenue officers. Subject: Instructions as to the enforcement 
on and after January 1, 1905, of compliance with the provisions of Act No. 1045 of the 
Philippine Commission. English copies of these circulars distributed to all internal-revenue 
officers. 

Number of protests received covering pagment of internalr-re^vnue taxes from August 1, 1904, 

to June 30, 1905. 





Sections involved. 


Number 
of 1 
protests. 

1 


Amount. 


68 




P" 174. 00 


101-107 




4 


22,292. 10 
2,600.00 


108 




2 


139 




15 


8,342.54 


144 






(«) 






■ 


Total 


23 


3,*J, 408. 64 











o Amount not known. 

J. A. Corliss, Record Clerk. 



244 REPORT OF THE PHILIPPINE COMMISSION. 

Appendix Y. 

AMOUNT OF FINES AND FOBFEITITBES IMPOSED, COLLECTED, AND TO BE COL- 
LECTED, FBOM JANUABT 1, TO J17LT 31, 1906. 

Amount of fines and forfeitures imposed administratively under section 33 and 

collected , F4.940.44 

Amount of fines and forfeitures imposed administratively under section 145 and 

collected 1,700.88 

Amount of fines and forfeitures imposed but uncollected 4, 287. 80 

Number of cases dropped 56 

Number of cases settled in which the fines and forfeitures have been coUected 83 

Number of cases pending in which payment of fines has not been made 138 

Number of delinc^uents fined 243 

Number of cases m court 44 

Number of fines under Schedule A — manufacturers of alcohol and tobacco prod- 
ucts 100 

Number of fines under Schedule B — dealers in alcohol and tobacco products. . 150 

Number of fines under Schedule C — ^merchants 231 

Number of fines under Schedule D — professions and occupations 43 

A. R. Gard, Law Clerk. 



EXHIBIT NO. 7. 
EEPOET OF THE AUDITOE FOE THE PHILIPPINE ISLANDS. 

The Government of the Philippine Islands, 

Bureau op Audits, 
Manila, P. /., December i, 1905. 

Sirs: In compliance with the requirements of rule 38 of Act No. 90 of the Philippine 
Commission (sec. 60 of Act No. 1402), I have the honor to submit my fifth annual 
report of the fiscal concerns of the government for the fiscal year 1905, showing the 
receipts and disbursements of the various departments and bureaus of the insular 
government, and of the various provinces, together with other pertinent information. 

The report embraces all transactions of the fiscal year which were included in 
accounts received to November 1, 1905, and also settlements pertaining to prior fiscal 
years which were not included in previous annual reports. 

During the entire fiscal year 1905 the responsible management of the bureau of 
audits devolved by law upon Messrs. W. W. Barre and Wm. H. Clarke, as acting 
auditor and acting deputy auditor, respectively, by reason of the absence of the 
auditor, first on accrued leave of absence and later under a special assi^ment as 
chairman of the Philippine exposition board, and the work was conscientiously and 
ably performed. 

The organization of the office and the personnel of the executive staff at the close 
of the fiscal year were as follows: 

Auditor — A. L. Lawshe. 

Deputy auditor — Wm. W. Barre. 

Chief clerk— Wm. H. Clarke. 

Bookkeeping diiision — C. H. FuUaway, chief. 

Custonts division — A. J. Gibson, chief. 

Postal division — Wm. A. Walsh, chief. 

Miscellaneous division — C. H. French, chief. 

Promncial ditnsion — II. W. Gangnuss, chief. 

Property division — C. A. Smith, chief. 

During" the fiscal year two chiefs of division, Mr. W. Y. Handy and Mr. O. H. 
Tibbott, resigned, to return to the Federal service at Washington, after having ren- 
dered most efficient and valuable service to the insular government, 

Messrs. Handy and Tibbott were succeeded, respectively, by C. H. Fullaway and 
H. W. Gangnuss, their experienced and efficient assistants. 

By reason of absence on accrued leave during a portion of the fiscal year the duties 
of chief of the miscellaneous division devolved upon the assistant chief, Mr. J. F. 
Hauck, and those of the chief of the customs division devolved upon Mr. F. W. 
Thornton and Ora Miller, the work in each instance being efficiently performed. 

Although several resignations, transfers, and ^absences on accrued leave occurred 
during the fiscal year in all divisions, the volume of work accomplished was equal to 
that of any prior year. This result is due to the faithful, conscientious service of the 
remaining employees, many of whom worked overtime to maintain the standard. 

The authorizeil personnel at the close of the fiscal year was as follows: 

Auditor; deputy auditor; 3 clerks, class 3; 4 clerks, class 4; 1 clerk, class 5; 9 
clerks, class 6; 10 clerks, class 7; 11 clerks, class 8; 14 clerks, class 9; 6 clerks, class 
10; 4 clerks, class A; 2 clerks, class B; 2 clerks, class C; 3 clerks, class D; 3 clerks, 
class E; 2 clerks, class F; 2 clerks, class G; 2 clerks, class H; 2 clerks, class I; 4 mes- 
sengers, and for employment of emergency clerks at not to exceed $100 per month 
each, not to exceed r"7,333.33. 

The expense of conducting the bureau for the fiscal year was, for salaries and wages 
of officers and employees, 1^210,275.24, and for contingent expenses, such as furni- 
ture, stationery, and other supplies, P'3,965.08. In addition, there were outstanding 
obligations at the close of tne fiscal year, for salaries and wages, amounting to 
1^6,498.33, and for contingent expenses P'446.33, making aggregate ultimate cost for 
the service of the fiscal year of r*227,269.78. 

245 



246 



REPORT OF THE PHILIPPINE COMMISSION. 



There were received, examined, and settled 15,359 separate awounte, as follows: 

Customs revenue : 294 

Customs disbursement 384 

Customs refund 883 

Miscellaneous 5, 540 

Postal and monev order 3, 822 

Property 1 2,394 

Special accounts and settlements 451 

Provincial-municipal 1, 591 

In addition, 569 settlement warrants were issued from the insular salary and 
expense fund. 

The monthly and quarterly accounts received weighed in the aggregate 14,000 
pounds, or an average of less than 15 ounces each. The customs accounts, included 
m the above total, aggregat-ed in weight 3,150 pounds, and 80 per cent of this amount 
consisted of manifests, entries, etc., prepared by shipping agents and importers, and 
required by law to be sent to the collector of customs and the auditor. 

While some provincial and customs accounts are very large, it will be seen that the 
paper work of the great majority of the accounts must be small to reduce the average 
weight of each account and its accompanying vouchers to less than 15 ounces. 

VOLUME OF THE AUDIT. 

The volume of the auditing work done is in no sense restricted by the aggregate of 
the ordinary or extraordinary receipts or disbursements of the government. In 
addition to the ramifications and manipulations of the various funds, which must be 
followed, aggregating many times the original funds received, the accounts of the 
I>ostal money-order service and of the insular treasurer as depositary, including the 
silver-certificate re<iemption fund must each receive careful audit, from invoices, 
checks, drafts, money orders, and other evidences of debit and credit. 

The audit of these depositarj; and other special classes of accounts, while simple 
compared with the audit of receipts and disbursements under established legislation, 
is certainly as comprehensive as the audit usually given to commercial accounts, 
which, as a rule, consist of a mere checking of approved items and a compilation of 
results. 

Another series of accounts which may well be taken into consideration is that 
involving the exchanges of currency. These exchanges must receive as rigid an audit 
as to ratios, etc., as any other class of receipts or expenditures, and in many cases 
the transactions are numerous and involve minor amounts. 

The stamp accounts of various officers must receive the same careful audit as is 
given to money accounts because the stamps have a fixed money value in the hands 
of the holder. 

On this basis the volume of the audit performed by the various divisions during 
the fiscal year 1905 was as follows: 



Bookkeeping dimsion. 



Item. 



Philippine cur- 
rency. 



Receipts: I 

General-revenue accounts i 1*61, 417, 522. 98 

Depositary accounts. United 

States and insular disbursing I 

oflficers, and other tnist funds . 

Exchange 

Silver reserve ' 

Total receipts. 

Withdrawals: 

General revenue 

Depositary accounts. United 

States and insular disbursing 

officers, and other trust funds . 

Exchange 42,020,072.43 

Silver reserve 



Total withdrawals. 
Grand total 



United States I 
currency. 



Mexican cur- 
rency. 



Equivalent 

in Philippine 

currency. 




r245,222,390.35 



253,690,128.53 



498,918,518.88 



REPOBT OP THE AODITOE. 



247 



Customs division. 



Item. 



Gross receipts: 

Customs, from all sources . 
Miscellaneous collections . 
A rrastre 



Total gross receipts. 

Gross disbursements: 

Customs 

Coast guard 

Arrastre 

Refunds 



Total gross disbursement*' . 
Grand total 



Philippine 
currency. 



ri7,750,162.68 

7.748.38 

U»,231.92 

17,877.137.98 



1,281,769.98 

2,321,286.46 

75,184.22 

897,836.28 

4,676,066.94 

22, ^'e. 204. 92 



Postal dliision. 



Account of disbursing officer, bureau of posts: 

Disbursements 

Refund of expenditures 

Postmasters' postal accouutJ<: 

Revenues 

Disbursements 

Expenses, post-office service at large 

Money-order accounts: 

Receipts 

Disbursements . 

General account with United States Government: 

Credits for money orders paid 

Cash remittances '. 



Total . 



1*^7,446.37 
4,662.63 

273,341.60 

340,464.13 

8,449.96 

f), 917, 251. 24 
6. 969, 641. 08 

3,863,627.34 
3.400,000.00 



22.034,748.27 



Miscellaneous division. 



Receipts and disbursements of the insular bureaus, including operations of the insu- 
lar purchasing agent, the constabulary commi8.sary, dinbursemeuts of the insular 
disbursing agent at Washington. D. C, including paymentnon tu'countof bonded in- 
debtedness, and other miscellaneous transactions and reimbunwble appropriations. . 



^67,277,508.56 



Protrincial division. 



Item. 



Philippine cur- Mexican cur- 
I rency. j reney. 



Provincial-municipal accounts: 

Receipts from collections and sales of rice 

Municipal loans repaid 

Expenditures 

Payments to municipalities and insular treasury ... 

Loans to municipalities 

Refund to iosular government 

Internal revenue: 

Collections 

Refunds 

Expenditures 

Forestry: 

Receipts from collections and sales of furniture 

Refunds 

Expenditures and refunds to expenditures 



Total P"A181,336.29 



^5, 



626,694.15 
21,237.64 
687,610.70 
709.631.40 
46,200.81 
62,009.68 

1,463,688.36 

1,464,771.86 

231,167.78 

173,972.15 
102,148.26 
272,693.42 



259^636.69 

1,571.58 

24,426.66 

141,088.46 
2,000.00 



Equivalent 

in Philippine 

currency. 



The stamp accounts audited during the fiscal year aggregated, in debits and credits, 
postal, P'693,623.28; internal revenue, old series, P'282,489.32; new series issued and 
exchanged, P* 13, 196,430.98. 



248 BEPORT OF THE PHILIPPINE COMMISSION. 

Exchangee of currency were effected in the provincial accounts aggregating over 
ri2,000,000. 

Transfers of funds between officers, not included in the foregoing figures, aggregated 
ni,624,543. 

BOOKKEEPING DIVISION. 

Under the provisions of the organic act creating the office of the insular auditor, 
this division is charged with maintaining a complete and permanent record of all the 
financial affairs of the government and making report thereon. 

In my report for the fiscal year ended June 30, 1904, an elaborate detailed descrip- 
tion was given of the various books employed in the system of double-entry book- 
keeping inaugurated at the beginning of that fiscal year. This system, modified and 
added to in several instances to meet conditions arising, is still in force. In this 
report only a general presentation of the scheme will be given. 

The law requires that all revenues of the insular government, aside from postal 
revenues, shall be deposited without deduction with me insular treasurer, and that 
all withdrawals shall be made by warrant on the same officer. It logically follows 
that such transactions are the basis of the government's fiscal affairs and the scheme 
of bookkeeping has accordingly been so constnicted. 

The system may be divided, for purpose of illustration, into two general sections: 

First. Actual treasury transactions, embracing receipts duly classified as customs, 
postal, internal-revenue, and miscellaneous revenues, and withdrawals classified by 
the respective bureaus and offices having control of the appropriations. 

Second. Transactions forming the basis of statistical information, and duly segre- 
gated, by means of ^neral ledger accounts, into items of income or expense, and 
resources and liabilities. 

The data in the first section are necessary for primary information as to the standing 
of the government in its visible cash balance and the divisions thereof. For example, 
all cash receipts at the treasurv are debited to an account of that name and credited 
to an account entitled "Available for appropriation;** when an appropriation is made 
by the legislative l>ody the available account is debited and the appropriation account 
credited under the specific subheading; when a withdrawal is made the appropriation 
account is debited and the withdrawal account credited. It is evident, therefore, 
that the respective balances on available and appropriation accounts and the sum of 
withdrawals will equal the sum of the treasury receipts. This is an absolute guaranty 
as to the accuracy of the work. 

The entries forming the statistical feature of the bookkeeping are made in using 
the treasury receipts and withdrawals as a base for the audit of the year. For illus- 
tration: A, in his capacity as a collector of customs, receives a certain sum of money. 
He deposits the same in the insular treasury. The treasury prepares receipts m 
duplicate and sends them to the auditor for counter signature. The duplicate part 
of this receipt is forwarded to the customs officer, the original entered in the statisti- 
cal ledger, and the amount thereof charged to the insular treasurer at once. It is 
then forwarded to the auditing division for use in verifying the customs officer's 
accounts. The duplicate part of the receipt is sent to the customs officer as his 
voucher. Instead of entering an immediate credit to the collecting officer, however, 
the amount is credited to a suspense account known as "deposits." The auditing 
division receives the account current of the customs officers making the collection, 
verifies all data in connection therewith, prepares a certificate of settlement on the 
account, and forwards it to the bookkeeping division. This certificate is entered in 
the following manner: The officer is first charged with all sums received by him and 
credited with amounts paid out or deposited with the insular treasurer; the differ- 
ence or balance due government remains to the debit of his individual account and 
constitutes an asset of the government; the sum of the deposits made by him is then 
debitpd to the deposit account and the various items of revenues credited to their 
respet^tive classified accounts in detail. 

The same method applies to certificates on the accounts of disbursing officers. 

The accuracy of the year's work is then determined by two absolute proofe: First, 
when the suspense entries are balanced, and, second, when the aggregate of debit 
and credit statistical entries equal like sums. 

The double-entry system is an innovation in government accounting and was 
adopted with some misgivings, but the experience of the past two years proves con- 
clusively that if the integrity of the classifications is maintained it is an absolute pre- 
sentation of facts and positive proof of the work accomplished. 

While the duties of government auditors are more or less defined by specific legis- 
lation, all authorities agree that they are the proper officers to Adjudicate the acts of 
collecting and disbursing officers in accordance with law, both original and construe- 



REPORT OP THE AUDITOR. 249 

tive, without interfering with the administrative functions of the officers concerned, 
to the end that the financial interests of the government mav be protected. In the 
Philippine system the auditor is specially empowered with the functions of a comp- 
troller of the treasury, in some cases with final jurisdiction and in others subject only 
to review by the Secretary of War. It logically follows, therefore, that the results 
from the exercise of such functions, either in the form of certificates of settlement on 
the accounts of a collecting and disbursing officer prepared and certified by the 
auditor after mathematical and legal review of accounts submitted, or in the record- 
ing of the financial enactments of the legislative body, should be centralized and 
form the proper basis for fiscal information. 

No matter now much bookkeeping may be done by the treasurer or by other offi- 
cers collecting and disbursing funds, the auditor can do no less bookkeeping than 
now and at the same time present a true statement of the government's financial 
condition. 

There seems to be some misapprehension on the part of bureau chiefs and others 
as to the extent of the bookkeeping performed in this office. The work accomplished 
is confined to maintaining" a proper check on treasury receipts and withdrawals, the 
proper segr^tion of funds available for appropriation and those appropriated for 
specific purposes, and to enter the aggregated elements of settlements of officers' 
accounts as made bv auditing divisions, based upon the primary treasury receipts 
and withdrawals, as later explained in detail. These certificates of settlement may 
cover an officer's accountability for one month to the entire fiscal year, and only the 
aggregate collections and disbursements for the period covered are entered in the sta- 
tistioEU accounts; in the former as to classification of revenue, either customs, postal, 
internal, or miscellaneous, and in the latter according to the subheading of appro- 
priation acts authorizing the expenditure. The transactions in detail are not entered 
on the books, although as a separate proposition detailed statements of expenditures 
are made in the auditing divisions for the War Department's records at Washington. 
The keeping of the accounts in detail is properly tne work of the administrative offi- 
cers in tneir bureaus. More bookkeepers are employed, respectively, as such, in the 
various divisions of the Manila custom-house, in the office oi^the collector of internal 
revenue, and in any of the other large bureaus in making entries of their transac- 
tions in detail than are employed in this office in making the aggregated entries for 
the whole Philippine service, insular and provincial, including the city of Manila. 

The accounting act recently passed has authorized several long-needed changes 
in the work of this division. Chief among these is the abolishment of fiscal-year 
restrictions in appropriation and advance of public funds, leaving the date of expendi- 
ture to fix the statistical fiscal year. It therebj^ becomes unnecessary to eliminate 
small appropriation balances. This, together with adjustments between fiscal-year 
appropriations, has constituted a large proportion of the detailed work of this division. 

Not far short of this in its importance is the adoption of the * * charge back "system 
in the audit of accounts. Payments made in good faith and mathematically correct 
are allowed in expenditures. If a quasi-l^;al examination reveals any question on 
which more information is desired the amount is charged back to the officer in sus- 
pense, subject to his explanation within a given period. If the matter is not satis- 
factorily explained, tjie amount of the sum so held in s