THE INDIA RUBBER WORLD 



TvPE OF Public Land Still Available for Lease or Purchase on Basilan Island. Zame 

 Country. .Vboi't 90 Per Cent under Cogan Grass. 



Proved Rubber 



Rubber (Hevea Brasiliensis) as a Philippine Agricultural In\estment. 



//. 



-C ,>h'iu-I. J:. 



crs, U. S. .1. 



GENERAL OUTLINE. 



THE PRordSiTioN outlined lierc-at'ti-r pertains to the pruduction 

 of plantation rubber Ulrzai brasiliensis) as an agricultural 

 venture for the southern part of the Philippine Islands. 

 LAWS. 



The land laws (Organic .Act of 1902) permit an individual or 

 a corporation to secure a fifty-year lease (25 years original and 

 25 years renewal) of twenty-five hundred (2,500) acres of public 

 land, while a corporation (three or more persons) may purchase 

 at an appraised value, generally of $2 an acre, after advertising 

 and bidding. The annual lease rental approximates $0.10 an acre 

 for the first ten years, with increase upon new appraisements 

 made periodically. 



These laws forbid the import of contract unskilled labor. The 

 Insular Government does, however, contract with Americans for 

 duty in the Philippines and has brought in Javanese skilled la- 

 borers for instruction or educational purposes. The irrigation 

 and water power laws are liberal and sufficient for economical 

 agricultural or industrial operation. 



LOCATION. 



The Provinces of Zamboanga, Cotabato and Davao (and small 

 sections adjacent thereto). Department of Mindanao and Sulu, 

 Philippine Islands, have been selected, after a thorough personail 

 investigation of the entire Archipelago, as best adapted in land, 

 labor and other economic factors to produce the highest returns 

 for money .invested in plantation rubber. This territory is in- 

 cluded within North Latitude 5" to 8°, and West Longitude 

 121° to 127°. 



CONDITIONS. 



The soil in these sections is alluvial and mostly of volcanic 

 origin ; very rich in humus : in the open areas free from fungus 

 growths and beetle breeding, decaying stumps or roots; and 

 capable of constant refertilization from the adjacent mountain 

 washes or the silty rivers available for irrigation and power 

 purposes. 



Of the available areas, some are already under cultivation by 

 corporations or individuals who have acquired titles under the 

 laws of the Philippines, while other areas may be leased or pur- 

 chased as desired. 



The climatic conditions of this section are peculiarly favorable 

 to obtaining rubber production. The temperature ranges from 

 75 to 92 degrees ; the relative humidity 70 to 85 degrees ; the an- 

 nual rainfall is well distributed and averages from 70 inches on 

 Basilan Island, Zamboanga Province, on the west, to 140 inches 



;.i Ihc to< thill.s on either sdc of the low watershed extending 

 s.uth from Mount Apo to Matulun in Cotabato and Davao 

 Provinces; on the west slope of the watershed (Kidapaun and 

 Kabakan) rainfall in the morning is unusual: the entire area is 

 out of the typhoon belt, while the droughts, common to all tropi- 

 cal countries, are no worse here than in other tropical possessions. 

 LABOR. 



The last census for the Philippine Islands shows a population 

 of 10,320,000. The center of population appears to be in the 

 north Visayan Islands. Cebu Island having the largest population 

 per square mile, approximately 350. Mandanao. on the contrary, 

 the only possible plantation rubber producing land of the Philip- 

 pine Islands, or even under the shadow of the .American flag, has 

 the smallest pcpulation per square mile, approximately 18. 



The unskilled labor wage in the Philippine Islands varies with 

 the locality and in accordance with the economic law of supply 

 and demand— from $0.30 a day to $0.60. the latter price in the 

 agricultural sections of Mindanao. 



GOVERNMENT. 



The Organic Act of 1902, which included land, mineral and 

 labor laws that are still in force, did not provide- for the economic 

 developments that were beyond the poor man to handle and yet 

 not sufificient for the industrial user to become interested. Rubber 

 is a commodity in point. The poor man can get a quick financial 

 return for his investment in corn, rice, sugar and cotton ; it is 

 a matter of six to nine months. He may develop cocoanuts suc- 

 cessfully through the five or seven yeavs to production by the use 

 of catch crops, but in rubber, which requires approximately $200 

 an acre to bring to production, and a few other commodities the 

 poor man has no catch crop opportunity and six or seven years 

 is a long period to carry the financing when one has no other 

 source of income than the agricultural returns from this land, 

 GOVERNMENT ATTITUDE TOWARDS CAPITAL. 



The Philippine government officials realize that they them- 

 selves have not the capital to quickly develop the islands in 

 agriculture, industry and commerce. That they do desire this 

 development in accordance with existing laws is evident from 

 the large government loans made (aggregating millions of pesos) 

 to going concerns that were in financial difficulty. They prefer, 

 however, industries that can operate under the present laws and 

 where the Filipino can own the land. The sugar central idea is 

 an extremely popular example of this development. For rubber 

 and similar commodities, however, their laws were so fratned by 



