CHAPTER II✦

CONDITIONS WHICH CONFRONT US

To treat of Cuba as an American country is the purpose of this volume. If the people of the Island, regardless of nationality, will only postpone the question of the particular form of government for the present, and give all their attention to the new economic questions which confront them, the future will be full of promise. Cuba is no longer a European colony, but an American country, under the protection of the United States. So long as the Island is occupied and governed by the military forces of the United States, law and order will be maintained and equal rights will be granted to all the people. From an industrial point of view Cuba will have practically obtained what she has been fighting for for nearly a generation: namely, industrial and commercial freedom. The United States will administer the laws for the Cubans in the interest of Cuba. The United States asks nothing in return but the same opportunity for trade and commerce as is accorded to the other countries of the world. The Republic will levy no tribute, nor will it exact a dollar of taxation over and above the revenue necessary for protecting life and property, and the cost of inaugurating such works for the improvement of sanitation, or the carrying on of industries, as may become necessary.

Many Cubans, and a very large number of Spaniards, who appeared before the author when in Cuba, for the purpose of giving testimony on industrial and commercial matters, took it for granted that the United States would, in making up the new fiscal laws for the Island, exact discriminating duties in favour of the United States and against European countries. When told nothing of the sort was contemplated, the Cubans were surprised and the Spaniards incredulous. Indeed, the latter were astounded, and seemed to wonder what the United States was in Cuba for. Even American citizens interested in pushing their Cuban trade have expressed surprise at the absolute freedom which has been allowed all fiscal legislation, and the scrupulous care exercised by our Government not to exact any right itself which is not accorded to other nations. In such matters we are of course bound by our international treaties, and so long as Cuba remains under the protection of the Republic, and not part of it, she must be treated, so far as customs regulations and navigation laws are concerned, as a free country. In the preliminary work of economic reconstruction these sound principles have been kept in mind and adhered to. In fact, the fullest and broadest plan was chosen by the Administration to secure information in Cuba; and the refrain of the instructions, both from President McKinley and his able and broad-minded Secretary of the Treasury, was, to spare neither time nor money to secure the views of all the people of Cuba; for whatever the United States Government finds necessary to do in the Island must be done, as far as possible, by the people of Cuba, for Cubans, and in the interests of Cuba. By this it must not be inferred that those of Spanish birth were to be excluded, but, on the contrary, that the views of all who proposed to remain in Cuba and help by their labour and thrift to build up the industry and commerce of the Island should be sought and considered.

In following out the spirit of these statesmanlike instructions, the author invited, through the newspapers, all persons interested in the industry, trade, foreign commerce, and currency and banking system of Cuba to express their views on these and kindred topics. Many responded, and as may be imagined the information gathered took a wide range, and will, it is hoped, be of practical value in adjusting the questions with which the Government of the United States will have to deal during the military occupation of the Island. In the prosecution of this work, public hearings were given in Havana, Cienfuegos, and Santiago; and to committees of persons representing interests at Trinidad, Caibarien, Sagua la Grande, and other parts of the Island an opportunity was given to express their views as to the industrial necessities of their respective communities. In New York and Washington opportunity was given to those interested in Cuban commerce and such American citizens as represent large sugar estates, iron mines, and tobacco and fruit interests in the Island of Cuba, to present a full and free expression of their views on all topics included in the scope of the investigation. A large amount of information was thus obtained, and no inconsiderable assistance rendered by these gentlemen. With hardly an exception, such assistance has been rendered freely and disinterestedly, and the author takes this occasion to thank a large number of business men who have been found ready and willing to drop their business at any moment and devote much valuable time in an endeavour to elucidate the somewhat complicated conditions which surround the commerce and industry of Cuba.

In Cuba every possible consideration was shown to the writer and no pains nor trouble were spared on the part of the Spanish officials and business men to give all required information and to aid in the inquiry undertaken. In this work neither political prejudice nor nationality took any part. The Spanish bankers and merchants, whose influence a few weeks previously had been arrayed against the United States, came forward and placed such information as they had at the disposal of the United States Government. The Cubans engaged in business, and the military commanders in the field, from Generals Gomez and Rodriguez down, have alike assured me of their sympathy in the work thus instituted by the United States, and proffered their services in its prosecution. The following expression from the veteran warrior, General Gomez, dated Boffill Plantation, October 3, 1898, will be read in this connection with interest:

"I must congratulate you cordially for the high mission which you have had entrusted to you. I am completely identified in all and with all concerning it; I reserve for a better opportunity giving you my personal views on the matter.... On my side I am working in the same sense; I am doing all I can for the immediate reconstruction of the country; its wounds will heal with the rapid promotion of the work. This is the battle we are now fighting, and all men of good will should join us in our struggle. I avail myself of this opportunity to tender my services."

The business men and merchants of Havana and other large cities, regardless of nationality, have rendered services of incalculable value to this inquiry, on the ground that the one thing that Cuba wants more than all else is, as General Gomez truly says, that its people should lay down their arms and take up the implements of peace. The Presidents of the Chambers of Commerce of Havana, Cienfuegos, and Santiago have all taken an interest in this work and elaborate reports were prepared by committees appointed especially to aid in gauging the industrial necessities of the Island. A similar report has been prepared for Matanzas.

Whatever may be the shortcomings of this volume on Industrial Cuba, they must not be attributed either to lack of interest on the part of the people of Cuba, or to any failure on their part to give information, especially on all matters relating to foreign commerce. There is, of course, a dearth of statistical information, in consequence of which it has been difficult to work out certain fiscal statements and estimates with the degree of exactitude easily attainable on the same lines at home. The information which has been obtained, however, would seem to leave no room for doubt as to the wisest course for the United States Government to pursue in adjusting Cuban customs duties, in establishing a sound currency, in protecting the savings of the people, in preventing usury, in abolishing onerous and iniquitous taxation, in establishing free schools, in starting new and reviving the old industries of Cuba, in increasing commerce, in improving the sanitary condition of the cities, in distributing labour, and in the general industrial and moral upbuilding of the people.

The present volume touches on all these topics, and endeavours to give the reader a clear and practical idea of the present industrial condition of Cuba. The present chapter aims to present in a concise form a few of the more important problems which the United States Government was called upon to face January 1, 1899, and with which it may have to grapple during the first years of the new century. No attempt is made to forecast the manner of their settlement. It is not, as a rule, wise to worry about how we are to cross a bridge until we get to it. Many Cuban economic problems which at a distance seem to be complicated, will simplify as we come within close range. Once the United States military authorities are in possession, ways and means will suggest themselves to overcome obstacles which now seem almost insurmountable. The most urgent needs of the Island, when it was turned over to our Government, were those briefly discussed in this review of the economic conditions of Cuba.