a part of the profits as interest.  But the capitalist was in many cases also the agent and store-keeper in Honolulu; and he shaved off percentages—­all in the way of business—­until the planter was really no more than the foreman of his agent and creditor.  When, under such circumstances, a planter complained that he did not make the fortune he anticipated, and reasoned that therefore sugar planting in the Islands is unprofitable, he seemed to me to speak beside the question—­for his agent and creditor, his employer in fact, made no complaint:  he always made money; and as he had invested the money to carry on the enterprise, this was but the natural result.

The planters make a grave mistake in not acting together and advising together on their most important interests.  There are so few of them that it should be easy to unite; and yet for lack of concerted action they suffer important abuses to go on.  For instance, it is a serious loss to the planter that when he ships or engages a hand he must pay a large “advance,” amounting usually to at least half a year’s pay.  This custom is hurtful to the laborer, who wastes it, and it inflicts a serious loss upon the planter.  Suppose he employs a hundred men, and pays fifty dollars advance, he invests at once five thousand dollars for which he gets no interest, though if, as is probable, he borrowed it, he must pay one per cent. a month.  This abuse could be abolished in a day by the simple announcement that no planter would hereafter pay more than ten dollars advance.  But it has gone on for years, and the sum paid gets higher every year merely by the planters outbidding each other.

Again, it is possible to ship sugar from some of the Islands direct to San Francisco, and for but little more than is now paid for shipping it to Honolulu.  Half a dozen planters on Hawaii or Maui, clubbing together, could easily get a ship or half a dozen ships to come for their sugar, and thus save five per cent. on their gross returns, now paid to agents.  But this is not done, partly because so many planters are in need of money, which they borrow in Honolulu, with the understanding that they will submit their produce to the management of agents there.

Again, the planters err, I think, in not giving personal study to the question of a market for their sugar.  They leave this to the agents to manage.  No doubt these gentlemen are competent; but it is easy to see that their interests may be somewhat different from those of the planter.  For instance, some years ago an arrangement was offered by the San Francisco sugar refineries by which these agreed to take two-thirds of the product of the plantations in crude sugar, to furnish bags to contain this product, and to pay cash for it in Honolulu.  Under this system the planter was saved the heavy expense of sugar kegs, and the cost of two agencies of five per cent. each, besides getting cash in Honolulu, whereas now his sugar is usually sold at three months in San Francisco,