The History of Cuba, vol. 5Johnson, Willis Fletcher
History
The History of Cuba, vol. 5
Johnson, Willis Fletcher
Cuba -- Economic conditions; Cuba -- History
In Cuba two altogether different methods are employed for planting,
cultivating, cutting and delivering cane to the mills or loading
stations, known, respectively, as the “Administration” and the “Colono”
systems. Under the Administration system the work is directed by the
management of the enterprise, and all labor and other expenses involved
are paid by the owners of the property. Less than ten per cent of the
cane annually produced is grown and delivered by this system. More than
ninety per cent is, therefore, grown and delivered by the Colono system,
which constitutes the distinctive feature of Cuban agriculture so far as
it relates to the production of sugar. The system differs from the usual
tenant-farming system in that there is no agreed sharing of the crop or
fixed cash rental paid by the Colono to the landlord, in cases where the
Colono is not himself the proprietor of the land in question. The system
applies alike to lands owned by the enterprise, privately owned, or
leased by the enterprise or the Colono; the terms and conditions varying
slightly in each case. By a process of bargaining, based upon local
conditions, the Colono gets from 4-1/2% to 8%, with a probable average
of 6-1/4%, of the weight of cane grown and delivered, in sugar, or its
value in cash. That is to say, for every 100 pounds of cane grown and
delivered by him he would get an average of 6-1/4 pounds of sugar, or
its market value, in cash. Deducting the 6-1/4 pounds, paid as an
average to the Colono, from the 11-1/4 pounds, given as the average
yield of sugar, leaves only 5 pounds to the enterprise, out of which all
expenses must be paid before profits or dividends can be shown.
Moreover, under this system, any reduction in the yield of sugar would
fall entirely upon the enterprise until it reached the 6-1/4% payable,
on an average, to the Colono. As an illustration, take the crop of 1918
and 1919, amounting to 4,000,000 tons of sugar; about 2,222,225 tons
went to the Colono, to cover the “cost of cane,” while only 1,777,775
tons went to the enterprise to cover all other expenses and provide for
dividends upon the capital invested: and, should the yield of sugar have
fallen one per cent, equivalent to 355,555 tons, the Colono would have
received the same, while the enterprise would have received only
1,422,220 tons--and so on, until the enterprise would get nothing at
all, although the earnings of the Colono would remain unchanged.
Public-domain text, read in full here on John Shaqi.
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