Reference to previous Report, Annual Series No. 4224..

Report on the Trade and Commerce of, and general matters relating to, the Island of Java for the Year 1909

By MR. CONSUL. J. W. STEWART.

Introductory. The year 1909 has been a more than usually pros perous one for the Island of Java. The principal feature of the year has been the steady influx of capital-more especially British-for investment in agricultural undertakings. Rubber and tea are the cultures which have formed the principal attraction for investors and there has been a sharp advance in value of land suitable for the cultivation of these products. Several large freehold estates have become the property of companies floated by means of British capital and negotiations for further large purchases of the same nature are said to be in progress. During the past year there has been a remarkable increase in the number of tourists visiting Java, no doubt the result of the world-wide distribution of attractive handbooks by the Official Tourist Bureau.

Exports. Sugar. The 1909 crop has, on the whole, been a good one and, as high prices have been realised, planters have every reason to be satisfied with the financial results. The area under cultivation was larger than in 1908, but continued heavy rains during the early months of the year resulted in a short crop in Mid Java and caused deterioration in the quality of the juice in other districts, so that the production of sugar per acre is less than in 1908. There were 181 mills working in 1909 as against 177 mills in 1908.

Mr. Vice-Consul Ballingal reports :

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On account of the good out-turn of the crop in recent years the mills are endeavouring to increase their plantations and many have already reached the maximum which is permitted by Government. Improved methods of cultivation and experience of the fertilisers best suited for the various soils have enabled planters to make use of ground which was formerly considered unfit for sugar cane. A matter which has in recent years had the increasing attention of planters is the steady advance in the rent which has to be paid to the natives for the hire of their fields. This is due not only to competition among planters, but also to the stronger financial position of the natives in many districts.

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According to the most recent returns the area planted for 1910 is about 2.7 per cent. more than in 1909. The cane has in many

instances been planted during wet weather and has suffered in East Java from a period of drought during the latter part of the year, but if only seasonable weather be experienced in the early months of 1910 there should be no cause for alarm at the prospects for the 1910 crop, the greater part of which has already been sold at very good prices."

Table 5 shows the exports to the various consuming markets during 1909. It will be seen that British India has been the largest consumer of Java sugar and that Australia has absorbed a larger quantity than has been the case for many years. Amended statistics have now been published, which show the production of the past three years to be as follows:

The figures for 1909 will probably have to be modified when complete statistics are available.

Coffee. The following are the productions in tons for the past three years and the estimate for 1910

Prices during the past year have been very good, iudeed for some lots of Government coffees what might be considered fancy prices were obtained. It will be seen that the 1909 crops of Robusta coffee considerably exceeded my estimate and as this species has been freely planted of recent years a greatly increased production may shortly be expected.

Tobacco. For growers of this product the year under review has not been a favourable one. The weather was unpropitious and exports were fully 200,000 packages less than 1908. Good prices were obtained for native-grown leaf, but the crop was a small one, being in some districts one-third and in others one-half of that of the previous year.

Rice. The 1909 crop was a good one and European markets being favourable, exports were on a large scale. The 1910 crop has suffered severely in some districts from floods, but as a whole is expected to be good. No reliable estimate can, however, be formed until the rainy season nears its end.

Exports for the past three years were as follows :

Teak. The output of marketable timber for the years 1906-08 was as follows

:

Official statistics for 1909 are not yet available, but it is estimated that the output for that year will reach 175,000 tons. Of so-called firewood the output in 1908 amounted to 825,464 staple metres as against 766,414 staple metres in 1907. Exports in 1908 were 42,233 cubic metres as against 65,607 cubic metres in 1907, and when figures for 1909 are available it will probably be found that a further decrease has to be noted. This steady decline in exports is said to be attributable to the curtailment-owing to Government exploitation of the forests of the operations of private contractors, who by careful selection in the forests were able to produce a larger proportion of timber suitable for export than is done by the Forest Department. The local demand has been brisk and prices good during the past year. In European markets Java teak has ceased to be regarded as a serious competitor of Burmah and Siam teak, and prices for it have settled down to from 27. to 31. per ton below quotations for the products of the last-named countries.

Copra.-1909 exports were considerably smaller than those of the preceding year. During the early part of the year prices were fairly steady, fluctuating between 9 and 10 fr. per picul, but during the later months a smart advance took place, values rising to 13 fr. 50 c. Crop prospects for 1910 are not considered favourable. The question of quality has of late been receiving the earnest attention of shippers of this article and efforts are being made to raise the standard which has during the past few years gradually become lower. Carelessness in preparation and indiscriminate plucking of immature nuts are the causes of deterioration. Exports for the past three years were:

Quinine. In spite of a better demand for manufactured quinine in nearly all the markets of the world, prices declined steadily during the greater part of 1909, and it was only in the last two months of the