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The Pamphlet Collection of Sir Robert Stout: Volume 58

Chapter VII. — Straits Settlements

page 87

Chapter VII.

Straits Settlements.

The Straits Settlements, including the adjoining territories under British protection, have not yet been developed to anything like their full capacity for planting purposes. The splendid facilities for trade offered by Singapore, and the profits of mining, have absorbed the energy of those who seek fortunes. All that part of the Malayan Peninsula which is not claimed by Siam is under the dominion of the British Crown by occupation, or as protected territories; both meaning the same thing in practice. In course of time the problems of government in communities such as these will present real difficulties which will no doubt be overcome by the wisdom of the British nation. The population of to-day will not be the population of the future; the movements and amalgamations of races in these parts are among the phenomena of the time; considerable wealth is accumulating in the hands of native merchants, Chinese and others, at the trading ports; education, and a superior civilisation, and social and family life of a higher level than the past, are being rapidly established, and they will bring inevitable changes in the general views and habits of the people. The government and laws will have to conform to all these circumstances in order to render British authority secure, by being founded on mutual interests, and the love and gratitude of the people.

The unchangeable East is changing by its daily and hourly contact with the aggressiveness of the West. Not by the aggressiveness of war, because this has the effect of making people rather cling than otherwise to those old customs and habits which alone conquest and annexation cannot take away from them. The aggressiveness that operates is that of public opinion, of literature, and of commerce; these bring the people into contact with Western thought and habits, and they will adopt them more and more when they see that the complete and definite conquest and annexation they feared are not among the consequences of doing so, but the contrary. It is thus that the leaven of Western civilisation will arouse the people from the slumber of ages. It cannot yet be seen how much of European civilisation and systems the people may page 88 elect to adopt, but no one will be able to say to them, this much you may adopt, and no more, and they will demand a preponderating voice in the management of their own concerns. The fear sometimes expressed of the neighbourhood of foreign settlements might be reasonable if Great Britain ever acted unworthily, but if she continues in the paths of justice she need never fear the permanent loss of her legitimate power and just influence among the people. At the same time it is necessary to provide against such places as Singapore being put to ransom, or damaged by an unscrupulous foe.

The population of the four Crown settlements (Singapore, Penang, Malacca, and Wellesley), in 1883, was computed at 3,500 Europeans, 174,000 Chinese, 170,000 Malays, and 41,000 East Indians. The Malays are not likely to increase much—Mohammedan races rarely do so—they are already out-numbered, and before many years are passed they will be only a fraction of the population. The protected territories are also but thinly peopled by Malays; there are a few other inhabitants in remote districts who appear to be the representatives of older races. But the whole peninsula is fated to be ultimately filled up by the Chinese; these people will not be mere labourers and factors for Europeans, they will be landholders, cultivators, and merchants, and if other industries hereafter develop these will also be largely in their hands.

The imports from the United Kingdom for the ten years 1868-77 averaged £2,497,000 a year, and for the six years 1878-83 they were £3,865,000 a year (including bullion and specie, and foreign and colonial produce). This will make the United Kingdom imports for the sixteen years £48,160,000. The exports to the United Kingdom for the same period were valued at £36,645,000. The Board of Trade returns differ from the colonial returns. This is the case with valuations of all colonial imports and exports; but the margin of difference between the two returns varies much. According to the former, the exports to the Straits Settlements, for the sixteen years, were of the value of £36,355,000, and the imports from the Straits Settlements of the value of £50,495,000. This makes the colonial valuation of United Kingdom merchandise and other exports 32½ per cent, higher than the Board of Trade estimates, and the Board of Trade returns give a greater valuation to Straits Settlements' shipments to the United Kingdom by 32 per cent.

page 89

The value of British and Irish produce and manufactures alone, exported to the Straits Settlements in the ten years, 1874-83, amounted to £22,502,000 (Board of Trade Returns, at 3s. 8d. =$1). It has been seen the values of goods are differently estimated at the ports of shipment in the United Kingdom from what they usually are on arrival in the colonies; they have naturally, also, a different value at each place. Chief among British goods exported to the Straits Settlements are cottons, wearing apparel, haberdashery, and linens, and woollens; the value of these articles in five years, 1879-83, amounted to £8,207,000 (Board of Trade returns). British coal and fuel (1,312,177 tons) amounted to £689,000. Hardware, cutlery, machinery, metals, and telegraphic necessaries were valued at £1,378,000. The principal articles imported into the United Kingdom from the Straits Settlements in the five years, 1879-1883, were caoutchouc and gutta-percha, £2,850,000; sago and other farinaceous substances, £2,314,000; dye and tanning stuffs, gums, lacs, &c., £2,588,000; pepper and spices, £2,817,000; tin and ores, £4,826,000; and leather and hides, £1,063,000. Sugar amounted to only £916,000, and isinglass to £185,000.

The total imports into the Straits Settlements for the seven years, 1869-75, were valued at £79,361,000; and for the seven years, 1876-83, at £106,187,000. The total exports for the first seven years were valued at £74,184,000, and for the second seven years at £97,436,000. These figures are from colonial returns.

There is a large traffic with the eastern possessions of Holland; during the ten years ending 1883 they shipped to the British Settlements merchandise to the value of £24,210,000, and received through the Settlements to the value of £35,898,000. The direct trade of France, Holland, and Germany with the Settlements figures for £3,891,000 imports, and £6,628,000 exports, in the ten years. There is a large trade with Siam and China, amounting to 15¼ millions sterling imports, and 14½ millions exports, in the ten years, 1874-83. During the same years the imports from Hong-Kong amounted to £16,823,000, and the exports to Hong-Kong to £10,485,000. There was a considerable movement of imports and exports between the several ports of the Malayan Peninsula and Singapore—an inter-colonial and coasting trade of importance. The eastern possessions of France do an important trade; page 90 their imports into the Straits Settlements in the ten years, 1874-83, amounted to £3,677,000, and their exports to £6,763,000; much of this is probably a carrying trade by the French mail steamers (main line), which all touch at Singapore, and have branch lines communicating with French colonial ports. The imports from the eastern possessions of Spain amounted to £1,120,000, and the exports to the same amounted to £1,011,000, in the ten years. There were shipments to the United States averaging for the ten years over £800,000 a year, but no equivalent figures of imports; the total imports from America were only about £600.000 in the five years, 1879-83. The imports from India for the ten years ending 1883, were valued at £24,276,000 (colonial returns), and at £25,890,000 (Indian returns), and the exports to India at £8,355,000 (colonial returns). The Indian returns always include imports and exports for Government account. The trade of the Settlements with Independent Borneo and Sarawak for the ten years, 1874-83, averaged £138,000 a year imports, and £104,000 a year exports. The trade with Labuan averaged £62,020 a year imports, and £29,000 a year exports, during the same period. The chief trade of these Settlements is with the United Kingdom, Hong-Kong, the Dutch possessions, Siam, China, India, and between their own ports and the Malayan Peninsula.

In the five years, 1879-83, the Dutch East India possessions, besides the trade done viâ Singapore, imported from the United Kingdom merchandise, the produce and manufacture of the United Kingdom, to the value of £9,344,000, of which £7,108,000 were cottons, linens, and woollens; they exported to the United Kingdom produce valued at £14,518,000, of which £14,002,000 was sugar. It will be seen above that these colonies of Holland, in the trade with Singapore, received £11,688,000 more in merchandise than they shipped to that port; much of this balance will be in payment of the balance due on the sugar, in the shape of British goods. The great free ports of Singapore and Hong-Kong give British merchants many facilities for trading in Eastern seas. During the five years, 1879-83, British goods, the produce and manufacture of the United Kingdom, valued at £5,909,000, were sent to the Philippine Islands, of which £4,376,000 were cottons, linens, woollens, and apparel. Great Britain received £9,491,000 in produce, of which £5,700,000 was in sugar, and £3,332,000 page 91 in hemp. The trade of the United Kingdom with Siam, Cochin China, and Borneo is chiefly transacted through Singapore.

Labuan is a settlement that at one time promised much, from its possession of valuable coal deposits, its position and fine harbour. It acts as an intermediate station between Singapore and the large island of Borneo; some of the produce of the latter is prepared at Labuan for the Singapore market. When the Duke of Buckingham and Chandos was Secretary of State for the Colonies (1868), with Sir C. B. Adderley (since Lord Norton) as Parliamentary Under-Secretary, it was proposed to incorporate this island with the Straits Settlements; unfortunately for Labuan the recommendations then formulated were not carried through. Labuan has lately been annexed to the British North Borneo Company; not formally, it is true, but practically. It is to be hoped its inhabitants as well as those of North Borneo will never have cause to believe the British flag may be indirectly employed to cover any acts different in character and in principle from those which have made its chief renown among the oppressed.

There are other places in the world besides Singapore which would show similar results, in proportion to possible commerce, had they the same advantages of absolute free trade. But for the purpose of obtaining the little or great revenue necessary for local purposes of administration, imports and commerce are taxed, and the stream of wealth passes their ports and seeks other lands.

The revenue of this colony for purposes of government are raised chiefly by a monopoly of the preparation for use of rough opium from India, and the farming out of the privilege to sell opium preparations and spirits. There are spirit, opium, and toddy farmers, and licences for pawnbrokers, hotels, and such like. Land brings in a revenue from its sale and from rents and fees, but much of it, it appears, was alienated in fee simple before the year 1871. In Singapore land is usually held direct from the Crown by lease or grant for a long term of years. In the country, pepper and gambier plantations have sometimes 10 years' leases. Quit rents for country land are now from 40 cents of a dollar per acre—readjustable every 30 years. The same system obtains at Penang and Malacca, but native customary tenure without written evidence of title is accepted. Unoccupied Crown lands may be had on lease for 999 years on payment of the quit rent and a premium. Per- page 92 mits are granted to hold land in anticipation of the survey, and much is so held in Province Wellesley. The actual conditions of tenure seem to vary much—according to what happened to be the policy at the time the agreements were made. It is said there are 18 different forms of title in the hands of the Singapore public, and 20 in the hands of the inhabitants of Penang. To interfere with past arrangements would be impolitic and dangerous. If the people are satisfied there can be no reasons to change or simplify existing methods. But in some countries such a condition of things would give plenty of work to the lawyers. There are stamp duties and the usual fees and fines of Court and the Post Office. Port dues are only 3 cents the registered ton. With these taxes and some few unimportant items a revenue for the purposes of government has been raised without pressure or difficulty. The revenue for the 3 years ending 1879 averaged about £373,000 a year, for the 3 years ending 1882 the average was £469,000 a year, in 1883 it was £559,000. A large proportion of this revenue is spent on public works. The rapid augmentation of a revenue that does not press on industry need not be regarded with suspicion, if it be spent advantageously.

In the year 1884 the craft that entered Singapore numbered 15,265, with 300,472 people for crews; 4,551 were British vessels, measuring 2,467,739 tons, and with 166,252 crews; 9,417 were native vessels, measuring 266,594 tons, with crews numbering 70,732; there were 1,291 foreign vessels with crews numbering 63,488.

The advantages of a free trade policy are loo apparent at a place like Singapore to need dwelling on. People are apt to ascribe all the prosperity to the special position and natural advantages of the place. Of course these advantages do exist, but there are numerous other places, as a glance at a map will show, equally well placed and having similar advantages, but where a restrictive policy has made all progress impossible. Even vast numbers of small and frail native craft from distant islands, some two or three thousand miles away, through weary weeks and months of a toilsome navigation, laboriously seek Singapore, passing Dutch and other ports innumerable—places in other respects more suitable and nearer for them—whose restrictive systems repulse trade and make even these people prefer the more distant free port of Singapore, where they can trade and traffic as they please.