The East coast of Sumatra is divided into five divisions: Deli and Serdang, Langkat, Asahan, Bengkalis, Simeloengoen and the Karolanden.
In the Bengkalis department we come under Riouw.
In the 1860s this region was still a virtually unknown, sparsely populated, poor region. The revival came in 1863 when J. Nienhuys “discovered” Deli for tobacco culture. Since then, with temporary interruptions, like the general malaise of 1921/22, this region has steadily increased in importance and prosperity.
It should come as no surprise that this region, which is so pre-eminently an area of activity of European cultures, is immediately affected by its greater or lesser bloom. After all, there is no large population, independent and with purchasing power. If cultures are forced to reduce the workforce and many companies have to make austerity, trade also languishes. If the general situation improves, new areas are opened up again and the existing enterprises expand, then the trade perks up again and the turnaround in the whole economic life of the region is immediately apparent.
As entrepreneurs, the Chinese play only a very modest role in cultures. Some rubber companies, a tea company and chatter gardens are indeed in the hands of Chinese, but compared to European companies this is of so little importance that it hardly deserves a mention.
The reason for the formation of Chinese settlements in the cultural area can therefore be found elsewhere, namely in the engagement of Chinese as workers for the tobacco culture.
The Chinese coolies are mostly “Tioetjus” and “Hailohong’s”, originating from Kwantung province. Tioetjoe (Chao-Chow), Hai Hong and Lo Hong are towns close to Swatow. The coolies are recruited in China itself, either by the Immigrant Bureau, which is managed by the Deli-Planters-Vereeniging, or by field coolies (so-called laukehs) sent out for that purpose, who try to find new coolies (singkehs) in their villages, end to go to Deli.
Most of the workers have an employment contract with the company. As a result, they come under the provisions of the 1915 Coolie Ordinance. Depending on what one has to do with “new” or “old” coolies, one speaks of an immigration or re-engagement contract. These contracts describe the work to be performed (usually garden work), payment, rest time, etc. Any violation of this employment contract can be punished (monetary sanction). On the other hand, the Service of the Labor Inspectorate for the Outlying Regions exercises government supervision over the companies, especially as regards the cooling conditions.
After the contract expires, the coolies are entitled to free passage to the place where they came from. Many make use of it, but there are also several coolies, who either commit or settle permanently in Deli, either as a trader or as a free coolie. We believe that these details will suffice. Those who wish to know more about this, we refer to the monograph ‘Tobacco’, compiled by the Tax-Aocountants dienst, where, in the discussion of the tobacco culture in Deli, several details about the cooling issue are mentioned.
With the expansion of the tobacco culture and other cultures (rubber, tea, fiber, oil palm, etc.) and with the exploitation of the oil fields in Langkat, thousands of other Chinese have come to Sumatra’s East coast over the years, in addition to the coolies. life as merchants, artisans, etc., and more than one poor Chinese, who first started as a coolie in Deli, has ended up as a well-to-do trader.
In the cultural area, compared to 92,985 Chinese men, only 18,731 women are found (census November 1920). The coolies at the companies often leave their families behind in China; Chinese women are still most often found in cities, much less in businesses.
Since the settlements of the Chinese in the cultural area are of a relatively recent date before Nienhuijs started the tobacco culture, their number on the east coast of Sumatra was almost exclusively ‘singkehs’. Chinese families, which have been out of touch with the motherland for two or more generations, are virtually unknown. It is therefore not surprising that among the Chinese living on Sumatra ‘s east coast we find the ideas and concepts of their tribesmen back in the motherland. The mother (tribe) land is for most the South Chinese provinces.
Amoy Chinese or Hokkians are most commonly found in trade and as contractors. The largest Chinese Bank, the Chinese Trading Company, is managed by Hokkians. Most Chinese merchants, even though they do not belong to this country, still speak the Hokkian dialect.
Cantonese are found there as gold and silversmiths, as furniture makers, tailors, silk merchants, etc. Hakkas are often found in more intellectual relations: clerks, bookkeepers, publishers. They also appear among traders provisiën and beverages, tailors, shoemakers, the manufacturers of rattan furniture, the tinkers, etc. Also, the late Major of the Chinese Tjong A Fie and his brother and predecessor Tjong Joong Hian, who Deli persons of great influence were Hakkas.
As has already been noted, the coolies at the companies are mainly Tioetjoes and Hailohong’s. As domestic servants, cooks and servants in hotels, as one finds in Java only exceptionally Chinese, being Hailam’s.
As said, being Chinese on the East coast of Sumatra, still “purebred” Chinese, who all speak Chinese; the majority know as little or even less Malay than the average (not born here) European. Knowledge of the Dutch and other foreign languages (except of course Malay) is not spread; the younger generation often speaks some English, owing to close relations with the Overwal and the American missionary schools in Medan.
It is therefore self-evident that the various administrations are conducted in Chinese. The most common trade form is the kongsie. Acting only persons and public limited companies here comprise perhaps less than a tenth of all Chinese businesses (see chapter VII). The position which the Chinese occupies in trade in this area of the Archipelago is essentially the same as in Java, so that we will not go into this further now. Relations with Singapore and Penang, with Chinese rice traders in Rangoon on the East Coast, produce virtually no rice itself, and with China, are important. In the export trade, European cultural products (tobacco, rubber, fiber, palm oil, etc.) from a competitor moves away. Each member pays, in addition to a contribution at the time of admission, a monthly contribution, the minimum of which is determined in the statutes (usually 30 cents per month). In case of special expenses, the board asks the members for an extra contribution. It is also characteristic that in the event of the death of a member, the other members are obliged to appear on site at the funeral; anyone who does not come without a valid reason must pay a small fine.
Medan consists of 12 or so affiliations of fellow countrymen, namely of provincial or city dwellers; the most important are: the Hokkian Club, the Kwantoeng club (association of the Cantonese) and the association Pat Soet Hwe Koan, ie the association of the eight subordinates, meaning the eight districts in Kwantung province, which are inhabited by the Hakkas. Associations formed by Chinese from one or more particular cities and their environs, eg the Taipoe Association, the Association of the compatriots from Weichow and the ten subordinate districts thereof, etc.
All these associations pursue the same goal. Charity, providing support to distressed members, providing mediation in disputes, etc. In addition, we strive for mutual contact and socializing; which is facilitated by the fact that these associations usually have a club room for social gatherings.
The Family Unions are a curious phenomenon of a truly Chinese nature. The “brands” or names of these societies being old (literary) names of the place or district from which, according to tradition or legend, the progenitor of all Tan’s, Oei’s, etc. came. For example, the Tan’s association has the name: “Intjhoan”, that is the historical name of a district in the province of Fuhkien (Hokkian).
Naturally, members of these associations can only be those persons who bear the name concerned. As with the two associations discussed above, the purpose of the family associations is to provide mutual assistance and, if possible, also to establish a society for social gatherings.
Among the various other associations, we will mention here the Soe Toh Hwa Kiao Siong Giap Thoan, the Trade Association of Chinese residents of Sumatra, which can be regarded as a competition association founded by Hakka’s against the General Trade Association, because in the latter the Hokkians dominate; also the Sumatra Association for Education, reading clubs, music clubs, sports clubs, a children’s garden, etc.
Aceh.
Many of what has been said above with regard to Sumatra’s east coast, also applies to Aceh. In economic terms this region is still far behind the former, although we take into account that since the pacification, but especially in recent years, great expanses have been cultivated by European agricultural enterprises for tea and palm oil.
In Aceh, however, the Hakkas are relatively stronger in number and influence than on the East coast, which is expressed in the spoken language, among other things. There all Hakkas speak the Hokkiandialect, in Aceh most Hokkians also speak the Hakka dialect.
The purchase and export of indigenous products is mostly in the hands of Hokkian’s. Most of these products are exported to Chinese trading houses in Penang and Singapore as well as to other parts of Sumatra; the main items are pepper, Native rubber, rice (small quantities), live cattle (mostly to the East coast), coprah and betel nuts.
The import articles are largely obtained by the Chinese shop stand from Europeanclic houses in Kota Radja, Medan and the Straits.
The right to keep pawnshops is now still leased to Chinese, and the large deliveries to the civil and military authorities in this region are also made by a Chinese trade.
In Kota Radja there is also a NY Prauwenveer Mij., Which carries out transports to and from Sabang with Chinese boats.
Singkehs are also predominant in Aceh; accounting is usually done in the Chinese language. There are Chinese who also speak Acehnese.
Bagan Si Ap iApi.
We wish to devote a separate consideration to the Bagan Si Api-Api sub-division of the Bengkalis division of the East coast of Sumatra government.
This whole subdivision is in the mark of fisheries. At the mouth of the mighty Rokan-rivier, next to the main town of Bagan Si Api-Api, there are many smaller places such as Panipahan, Kuboe, Sinaboi, Soengei Siandam and Poeloe Halang, where fishing and trade are the main livelihoods of the inhabitants.
The hinterland of Bagan Si Api-Api is sparsely populated. Upstream one finds some insignificant logging shops (panglongs), but as a whole this means practically little. Here we will deal further with the main town itself, because it is a very typical Chinese center. Bagan Si Api-Api was founded in 1875 by a number of Chinese pirates who, thanks to the great wealth of fish, gave up their dangerous craft and became peaceful fishermen. Since then, under the leadership of the Dutch government, the place has progressed rapidly and despite the economic disasters, like the fire of 1908 when the whole city burned down, the severe fire and storm damage of 1920, Bagan is now a place of considerable importance.
It is almost entirely a Chinese city. Against the 12 to 13,000 Chinese, of which about 1,600 women and 3,200 children, there are only a few hundred Natives and an even smaller number of other foreign Easterners and Europeans, while no Japanese live there.
The fishing population (many toko owners used to be fishermen) consists mainly of Hokkian Chinese; Tioetjoes work more as bookkeepers and clerks, Cantonnese and Hakkas are rarely found. Almost all Chinese are singkehs and many don’t speak a word of Malay. Fishing at sea and in the estuary is exclusively in the hands of the Chinese; the Natives practice some fishing on the Rokan River, which, however, is of little importance to the wholesale trade.
The place itself is not big. Along the Rokan River, a few kilometers long, partly over planks resting on stilts, runs the main street with its genuine Cliineese shops, its fish drying places and jetties. Here there is always a lively traffic of boats coming and out, fishermen and traders. Add to this a few small side streets with the necessary shops and eateries and the few kampongs located on the back roads, mostly also populated by Chinese, then the wide capital Bagan has a close look.
Bagan is mainly export place for seafood products; the majority of imports, mainly of dry goods, rice and foodstuffs, are consumed in Bagan and the smaller fisheries’ sites themselves. The country does not produce much; the Chinese do something about pig and chicken farming; rattan, betang, coprab, atap, etc., are also extracted and partly exported, but this is of no importance in comparison with the fish trade.
The natural conditions for the fishing industry are extremely favorable. The estuary of the great Eokan River and the adjoining regions of the seacoast are very shallow, and the strong current of the river drives the fish into nets and traps. Fishing conducted with. ‘Djermals’, ‘ambai’s’ and to a lesser extent, as sea fishing with canoes and nets. A ‘djermal’ (Chinese: ‘tjampi’) consists of two parallel rows of poles driven into the ground, connected at each end by a third row of poles. The nets are attached to these posts.
The other ends, which are not mutually connected, are turned against the current. The opening thus formed is widened by two other rows of posts (jadjar), which run apart in a V-shape. The current is only used for fishing at low tide and the smaller fish are first driven between the rows of V-shaped posts and thus get into the net. Large fish, which usually manage to escape the djermal, are kept by the the Major of the Chinese at Medan Tjoug A Fie and the present Major Khoe Tjin Tek participated with other Chinese merchants). Without the salt farmer’s capital, the expansion of the business would have been impossible in the long run. However, when during the war the prices of salt, poles and nets, the cooling wages and other expenses rose, the silting of the Rokan mouth forced the displacement of the djermals and the shrimp paste fell in price, many tauké’s bangliao could no longer keep up their business and went bankrupt.
The fishermen, who ran far less risk and therefore had no loss to bear, had meanwhile become sufficiently wealthy to form small kongsies of their own for the sale of their own fish products directly to the merchants. In doing so, they managed to take advantage of the mutual competition of the traders. The results of a fishery are of course very changeable; nevertheless it may be safely assumed that a fisherman earns ƒ 100 to ƒ 150 a month. The fishermen stay outside in their boats for two weeks, after which they stay ashore for the same time. It goes without saying that the hard-earned money is often also readily spent again, since there is ample opportunity for them to have fun in the city; eateries, clubs, gambling places and now and then a wayang show take care of this. after which they stay ashore for the same time. It goes without saying that the hard-earned money is then often readily spent again, since there is ample opportunity for them to have fun in the city; eateries, clubs, gambling places and now and then a wayang show take care of this. after which they stay ashore for the same time. It goes without saying that the hard-earned money is then often readily spent again, since there is ample opportunity for them to have fun in the city; eateries, clubs, gambling places and now and then a wayang show take care of this.
The situation is now such that the merchants buy up the fishery products and ship them further at their risk. The fierce and price-suppressing competition has led the fish traders to set up a trade association ‘Tjin Ek’, which supervises the export of fish; Anyone who ships without the permission of the ‘Tjin Ek’ fish must pay a fine of NLG 20 for each basket. It is curious that this trust exists only for the trade in dried fish, but not for the shrimp and shrimp trade, although Bagan Si Api-Api has almost a monopoly in shrimp paste for the Java market, while in Java the fish of Bagan must compete with that of Siam.
Of course, large amounts of salt are required for salting fish and shrimps. In the past this was provided by the salt tenant, who probably sold to a higher price than the contractually determined by the Government. An office of the Zoutregie is currently located in Bagan; De Regie does not sell directly to the traders, but exclusively to an NV Handel Mij Tjiri Thong. The latter is obliged to sell the salt at a fixed price, currently NLG 3 per picol, and to keep stocks in certain places. The “Tjin Thong” has a capital of NLG 100,000, divided into shares of NLG 100 and NLG 50, which are issued in registered form. No one is allowed to own more than NLG 3,000 shares and in fact almost all traders are shareholders. Whoever leaves Bagan Si Api-Api for good, must make its shares available to the Board of Directors, who will then sell them (not below par). Shareholder may only be he who is established in Bagan or in one of the neighboring places.
In 1920 a subdivision bank “Bagan Madjoe” was established by the local government official. According to the 1923 report, she granted over NLG 422,000. in advances, ie:
For nets, dj er mal ‘s, etc. ƒ 104,900.
“Fish trade” 15,050. Imports 68 600 – Retail trade 44 500. “Agriculture .. 9,450. -” pig farms “1,400. „Shipbuilding“ 9,300. „Housing construction“ 107,510. “Miscellaneous” 61,345.
Of this amount, NLG 390,000 was lent to Chinese. The Bank has had good experience with the Chinese who, in general terms, are much quicker payers than Natives. Moreover, the bank advanced NLG 477,600, almost entirely to the Chinese against collateral of bill of lading.
Of course also of great importance for trade is the telegraph cable, which was built some years ago and which is widely used in view of the very important Java prices for Bagan.
The table below gives an impression of the output of the most important articles:
Million Kg. 1922 1923 value (1923)
Visch 22.56 21.18 ƒ 3,600,000. Shrimps 0.83 0.80 “300,000. Trassi 8.90 10.55” 1,400,000. Shrimp skins 2.15 „100,000 ..
Shrimp shells, mixed with fish waste, are widely used as fertilizer for pepper cultivation in Riouw, Banka and the Lampongsehe Districts. Shipment is usually done by boats from KPM and, until now, from Zoutregie. Fish (ikan boesoek) and shrimp paste mainly go to Java, shrimp to the Straits; smaller quantities of all fish products are also exported to the cultivated area of the east coast of Sumatra.
The traders at Bagan Si Api-Api had a lot of trouble with their buyers Java, who pushed down prices, wrongly rejected large quantities of fish as spoiled, etc. This gave rise to the traders setting up their own agency in Batavia under the trademark ‘ Iveng Lam Kongsi ”, that. has the exclusive sale of fish and shrimp paste from Bagan. In other places in Java, no such setting exists. However, thus we were informed the buyers there, fearing the establishment of a similar agency, must have become more lenient in doing business with the Bagan merchants.
Imports are largely from Singapore. The shipping connections are good with Bengkalis, Singapore and Java, and are maintained with KPM boats and Chinese steamers. Sampans and motor boats serve local traffic; “Sados” and / or “Hong Kongs” for street traffic are not necessary for this small town.
Riouw and Bengkalis (without Bagan Si Api-Api).
The Chinese also occupy a very prominent place in the business life of these regions, which is entirely influenced by trade relations with Singapore.
The whole trade, whether retail or wholesale, import and export, is in their hands. Many businesses are branches of traders in Singapore, or financially dependent on Chinese based there. The shipping links between the islands and with Singapore are growing. partly maintained by Chinese steamers and ‘tongkangs’ (sailing ships), which often belong to the said port.
The Chinese also occupy a prominent place in cultures. The gambir culture is driven exclusively by them and with Chinese workers. The owner of the gardens, called Tauké or Kepala Negri, is usually also a merchant and lives in one of the trading centers. As a manager, who lives in the gardens, he has a representative ”, the Tauké or Kepala Kebon.
The Tauké Negri maintains in his books a separate account for each garden, which must first of all indicate the result of the exploitation, but on which private advances to the Tauké Kebon are also made. The latter usually receives, in addition to a fixed salary, a certain share in the profit of the garden. Moreover, he is sometimes paid a bonus on dismissal, the size of which depends on his performance and the time of his management. Traders often also buy produce from other gardens. Most of the gambir is transported to Singapore, but probably finds its way to Java for a large part from there. Direct exports to Java also occur.
Both regions are also rich in woodland clines and their exploitation is so largely in the hands of Chinese that the Chinese word panglong (literally shelf store) is commonly used.
Below we show some information about the panglongs.
That Bagan Si Api-Api is a busy and prosperous place, and therefore also an important source of taxation, is also clear from the receipts from the toll office, which in 1923 amounted to NLG 205,354. on account of import duties (the former export duties have been abolished) and NLG 1,264,328. from that of the Opiumregie.
taken from the 1924 annual report of the Beheershoutvester in Tandjong Pinang, Mr. CR Tip: “The number of panglongs in operation at the end of the year under review was:
Subdivision. j Beams. Firewood. j Charcoal. Indragiri 8 Karimoen, 3- 29 (75 ovens) Kateman 16 4 Tandjong Pinang… 95 (18 ~ “Lingga 3- 64 (118”) Bengkalis 65 33 72 (200 “) Total 87 45 260 (575”)
When compared with the The statement in the annual report for 1923 is the sharp reduction in the number of firewood harvesters in
Bengkalis, which was still 66 at the end of 1923. This reduction is a result of the exhaustion of the bakau-bosschen in the aforementioned department. open for firewood exploitation ”.
Furthermore, it appears from the said report that at the end of 1924 more than 1950 people were employed in Bengkalis in the panglongs, while in Indragiri already 209 people were employed in the firewood company in the 4th quarter. The entire wood fall on the panglongs in Riouw for the said year is estimated at more than 85,000 cubic meters of lumber and more than 27,000 tons of firewood, compared to an estimated 270,000 cubic meters of lumber and 42,000 tons of firewood in Bengkalis. Charcoal production was estimated to be resp. 300,000 and 160,000 picol. For the sake of completeness, it should also be noted that in addition, a total of approximately 120,000 cubic meters of lumber and 40,000 tons of firewood was extracted from the concessions and population logging in the aforementioned regions.
The lumber is sawn into beams of usually 5 m length at a thickness of 40 m to 1 m. Transport to the coast takes place along wooden sledge tracks. With tongkangs, sailing ships of about 100 register tons capacity, the wood is transported to Singapore and sawn there in large sawmills. Some panglong keepers have their own ships for the transport of the wood, others rent them. From Singapore, the wood is largely re-exported in the form of planks, mainly to Hong Kong, Mauritius, China, Siam and the Netherlands Indies. Also firewood, usually in pieces about 2 feet in length and 2 1/2 to 3 KG. weight, goes via Singapore to Hong Kong and China.
The panglong keepers, who do not have sawmills, are wholly dependent on the sawmill owners, who, we learn, work together sufficiently to be able to determine somewhat arbitrarily the purchase price of the beams.
The staff of the panglongs are recruited and deployed by the owners in Singapore, where abuses seem to occur frequently. The conditions in the panglongs themselves, where the representative of the “tauké” in Singapore – kepala bangsal, is lord and master, often seem far from rosy. Conflicts must still often occur.
The leasing of pawnshops and previously also that of various taxes is exclusively in the hands of Chinese. As important products of the population cultures, which are bought by the Chinese and marketed in Singapore, we mention: sago, flappers and rubber.
The great influence of the Chinese in Singapore in these regions is shown fashionably by the fact that the accounts are kept in almost all books in Singapore dollars. The tax assessment system often encounters difficulties here, because the administrations are wholly or partly conducted in Singapore, while here too one must guard against profit shifts abroad.
Palembang and Djambi.
In these regions and in parts of the island of Sumatra that are yet to be discussed, besides the Chinese, many Natives are also to be found brokering, who consider themselves important competitors in the trade in some articles and products as important competitors of the Chinese. For Palembang, the Arabs (see the population overview of the Outlying Regions at the end of this chapter, note 3) and British Indians must also be mentioned in this context.
The export of products to Singapore and Batavia is almost entirely in the hands of Chinese, but the export thereof to Semarang and Cheribon is almost entirely driven by Malays.
Until recently, European importers sold their articles, as elsewhere, almost entirely to Chinese, but recently this has changed somewhat and Natives also buy directly from European houses. However, this is not of much importance here. The sale to the consumer takes place by Chinese as well as Natives, Arabs and British Indians.
The trade in sarongs and batiks is mainly conducted by Natives. Yarn and silk are often imported from Singapore by Chinese and sold to Natives, who weave sarongs from them (cottage industry). Velvet is used in great quantities for making hats (koepiah’s). Processing is done by Natives.
The colonization site at Gedong-Tataan yielded a net 130,000 picol padi in 1920 against ± 300,000 picol in 1924.
The Chinese have seized the entire padi trade. Thus by the settlers of Gedong-Tataan, a fairly large part of the padi is sold, for cash, to the Chinese buyers, immediately upon harvesting, although there is an opportunity to store them, pending better prices.
The padi culture is also expanding in the vicinity of Menggala. There, however, the Chinese does not exercise the same influence on the padi trade as in the Way Lima region.
Sumatra’s West Coast.
The significance of the kotta Padany to Chinese business life, in comparison with the rest of the region, is clear when one takes into account that almost as many Chinese people live in the capital only as in the rest of the region.
The brokering is by far the most important in Padang, whereby the product trade usually goes hand in hand with the holding of a shop in imported articles, especially provisions and drinks. Several Chinese people receive coprah from their race mates based in Poeloe Tello and Nias and then pay with shipments of import goods. They receive the coprah on a commission basis and hope to receive it with 1 or 2% commission on the spot or to “the Straits”.
Sumatra’s west coast has a surplus of rice cultivation for export to other regions, which is almost entirely in the hands of the Chinese, as well as the trade in gambir and hides.
Short sea shipping is carried out by natives with canoes or by the Gouvernements Korintji Transport Service. In addition, there are 2 motor boats and 2 steam barges run from Padang to the southern coastal towns, which are operated, with little favorable result, by 2 Chinese and a Chinese NY.
Only 3 coffee and / or rubber companies of minor importance are run with SinoCli capital.
The number of Chinese craftsmen living in Padang is not great in relation to the number of Chinese merchants.
Three printing works and trade in office supplies are mainly in Chinese hands.
Money-making “as a profession” occurs little or not at all among the Chinese living here. It is sometimes found as a secondary occupation, in the form of a pawnshop, which is often managed by ‘the woman’. Common interest types are 1y2 and 2% per month. Loans on mortgages, loans on goods, right-of-repurchase sales and julu-julu (see Chapter XI) are common ways of making up for working capital shortages.
There are many holders of leasehold land located on the Batu Islands on Poeloe Tello. On this are established flapper kebons, and the eoprah obtained from it, plus that which was bought up from the population, is sent for sale either to Padang or to the Straits on a commission basis.
It may be assumed to be known that in the residence of Sumatia on the west coast an important folk tobacco culture is carried out in the vicinity of Pajacombo and Soeliki. The population transports their produce to Pajacombo, which place can be called the main market for the West Coast; In trade, one therefore always speaks of ‘Pajacombo tobacco. The trade in this article is mainly in the hands of Chinese. ‘If the population only consumes its own product to a limited extent, one sees the typical phenomenon that Pajacombo tobacco is exported, while Java (especially Kedu) tobacco is imported. The Chinese again play a major role in both these exports and imports. The better types of Pajacombo tobacco are exported to Penang, Sin-
gapjre and Java (most to Cheribon); while important quantities of the inferior species are sold to the Batak lands. Those who wish to know more details in this regard, we refer to the monograph ‘Tobacco’, compiled by the Tax and Customs Administration, which contains a chapter on the culture of Beyolk tobacco in the residence of Sumatra’s West coast.
Sawah-Loento owes its existence exclusively to the Ombilin coal mines. In addition to being the ubiquitous toko holder and craftsman, the Chinese are also represented here as a contractor. The adoption is very much done by kongsies and includes, among other things, the supply of foodstuffs, mining wood, earthmoving, construction works, cooling supplies, etc. The Chinese in Corinth are engaged in the purchase of local coffee and rice, in addition to driving a toko in foodstuffs, pottery, etc. which they link to Padang. They make extensive use of their own truck for the removal of these products, which they also rent to others. There are also several representatives or branch
holders of Chinese established in Padang and surroundings. Pig farms run by Chinese are only sporadic in this region. They are sometimes found attached to a coconut oil factory, in order to be able to use the waste (ketapang) as animal feed. In some coastal towns you will find Chinese canoe rental houses; however, they are of little significance. The acceptance of supplies of food to the punished and soldiers is often in the hands of Chinese. The contractor (sometimes also called a Malays) is often not the supplier; he is looking for a subcontractor, who sometimes also manages to find one for himself. For each subcontractor, 1 or 2 cents per “ration” of the contract sum will then be lost and the result is as rule that the subcontractor must also work the supplier at a loss.
Although to a lesser extent than in Tapanoeli, the Natives also occupy an important part of business (brokering) on Sumatra’s west coast. Thus the drapery trade is almost wholly in the hands of Natives and British Indians.
Tapanoeli.
This region is particularly important because of the extensive population cultures of coffee and rubber. Only a single insignificant kebon is in the hands of Chinese.
Yerder a lot of very good quality benzoin is extracted; here also as a product of folk culture. More than enough rice is grown for own use, docli exports to other regions occurs only to a limited extent. From the number of pigs that are seen everywhere in Tapanoeli, and the many ‘touak’ (palm wine) that is offered for sale, as well as from the fact that official dog pasars still exist for consumption, it is noted that here many non-Muslims live. However, pig breeding is not of such a size that it gives rise to export.
The Chinese population group includes some exporters established in Sibolga for coffee to Padang, rubber to the Straits, and benzoin to Java and the Straits. The export of benzoin is almost entirely in the hands of the Chinese, that of coffee is only a small part, as is that of plating rubber. In coffee, both the European trading houses and the Native traders are their competitors, and the latter are certainly not the least significant, so that not much remains for the Chinese.
Also in Sibolga the trade in import and export goods is often combined.
Truck traffic is highly developed in the Batak countries and largely in the hands of Chinese. There is now mutual competition so great that it can be reasonably assumed that the company is absolutely no longer paying, except for the Batak and Chinese agents, whose commission amounts to about 5% of the freight received.
In the region of Sumatra’s West coast are the. sub-agents of the Batak Petroleum Mij and the Standard Oil Cy df New York, and also of other trading houses usually Chinese, in the Batak countries they also have to fear Native competition in this respect. This even occurs in the lease of pawnshops.
Bencoolen
This sparsely populated region derives its significance from the two private gold and silver mining companies operating there, the Government Mine, a number of European cultural companies and the Sea trade.
The overseas trade of this region is entirely oriented towards Singapore.
This is done on a wholesale basis, which takes place on a small scale in domestic and domestic trade. The exporters are in relationship with buyers in Singapore, who in turn supply them with imported products. Here, too, it may and does occur that the prices at Pontianak are higher than those for the corresponding product in Singapore, because the importer is partly paid in goods which include the profit margin. As a result, it eventually happens that the price deep inland is higher than the price for the same product, including moisture loss, freight, etc. in Singapore. A large European import and export company is located in Pontianak, which has a very important turnover.
However, the rubber here remains a special “Chinese” article ”. Space forbids us to quote much more from this important report, but for a good insight into the business life of this region, we would nevertheless like to copy the following from the last chapter of the report, dealing with the influence of the rubber culture on the population house:
When one looks through this list (concerning the Pontianak imports) and compares 1923 with 1924, it will be seen that much of the money earned is spent unproductively. In addition, however, some capital formation is also noticeable, and if the ample money situation still persists, the Native will also get used to it and will stop spending everything in a daze. For example, housing construction opposite Pontianak along the Kleine Kapoeas points to investing part of the income in good, solid housing.
And a great deal of the money in circulation is invested, whether or not by the rubber tapper himself, by the middlemen, Hajis, and Chinese. These immediately put their capital in new ventures, for example. chotting the native population to lay out rubber and clapper gardens, set up factories, etc., etc.
A Hadji, himself a rubber planter, invested his money in clapper gardens; a Chinese in Soekadana, owner of a rocker garden, gave advances for the construction of a rubber garden.
The extensive paritic system and the expansion of roads in the cultural centers are also a form of capital, raised entirely by the native and Chinese population.
The food crops are being displaced by the export crops (not only rubber) and there is always a danger there, even though the risk is spread over several cultures. In the event of sudden difficulties in the supply of rice, one would get into great difficulties for a year, after which the region would be able to support itself through energetic and more intensive construction of the rice. When the prices of export products fall, which does not usually take the form of a catastrophe, the same will gradually happen.
Other livelihoods are not particularly affected by rubber culture; topper, sago, gambir, pepper, etc. are holding out alongside rubber, turning towards the world market. Only the forest products are less sought after, because the collectors settle in their own or other rubber gardens.
All in all, the committee is of the opinion that the rubber culture in the Western department rests on a fairly healthy basis and that it has conquered a permanent place in the population cultures ”.
Gambir is obtained by evaporation of the decoction of the leaves of the gambir shrub and is mainly used as a stimulant in chewing sirih, as a tanning agent and as a coloring agent. The gardens are preferably landscaped near rivers or streams, which can provide the water for the cooking process. According to an edition of the Encyclopaediscli Bureau ‘De Gambircultuur inde Buitenbezittingen’ (Albrecht & Co. 1915), the culture in West Borneo is entirely in the hands of Chinese planters and is run with Native and Chinese workers. Dayaks are also used for felling trees and weeding gardens. About Ys of the surface is not cut in order to obtain the firewood required for the ovens. The majority of the gambir manufacturers work with capital from Chinese moneylenders residing in Pontianak, for which an interest of 2% per month or also 1J10 part of the production is paid. Leasing of the gardens also often occurs at a rent of 1/10 to% of the production, while the tenant is then often obliged to sell the gambir to the owner at the market price.
Decay of gambir with white pipe clay used to be very common, especially on the west coast of Borneo, which gave the Singkawang gambir a bad name on the market. By residency decree of August 25, 1904, provisions were issued to prevent this forgery.
The interest in forest products for the Chinese is more limited to the trade in them and the granting of advances for purchase.
A special product that is important in West Borneo is tengkawang. Rubber
exports, which amounted to about 40 to 45% of the total export value in 1924, therefore contribute to this capital formation.
(nuts), which provides a very good grease for the preparation of soaps, perfumery, candles and machine oil. The harvests are very changeable and every 7 years the pregnancy seems to be abundant, which happened in 1923.
Trade, whether wholesale, intermediary or retail, is the main business of the Chinese in the centers. The import and export trade outside Pontianak is almost entirely in their trade, and as far as it is at Pontianak itself, for a large part, while another part is in the hands of some European trading bodies (Borneo Sumatra Trading Company, ‘Sociéta’, Geo Wehry & Co. and other institutions, not established on site, which have the region visited by traveling salesmen).
The imports of rice and fish in the Western division, as elsewhere in the Netherlands Indies, are mainly in the hands of the Chinese, but also in the import of manufactures, stall shops, petroleum, etc. some large Chinese trading bodies occupy an important place. Both for the purchase of products and for sale to the intermediate and retail trade, the European traders make use of Chinese, who know the population about its needs. The system generally followed in Java, whereby the European employees of the local branches of European import firms personally visit the Chinese traders, occurs in West Borneo mainly among the salesmen who visit the region while traveling.
Except for a few Japanese shops, the intermediary and retail trade are entirely in the hands of Chinese. They know the family relationships and creditworthiness of the population and are therefore less at risk when making advances than the Europeans. On the contrary, they have a means of binding the population as producer and consumer.
Speculation in market products occupies a less important place with the Chinese wholesaler than with his race mate in Java, and large bankruptcies and losses on outstanding receivables are therefore less common.
The Board of Directors of the Java Bank writes in this regard in the report on the 95th financial year of the Bank (1922/1923):
“The Wester Afdeeling is the region of the Dutch East Indies, where the malaise may not have made itself felt at all. Trade attitudes and trade morale are very healthy in these regions ”.
In the case of the Chinese merchant there is no clear division between wholesalers, intermediaries and retailers, and diverse companies are united in one enterprise. A particular Chinese company, formerly a European business, has, for example, in addition to the main company: buy-back and export
Rubber manufacturer Tan Ka Kè buys directly in Bandjermasin through a branch, Swie Kie does the same, the other Chinese exporters trade on their own.
Every major Chinese dealer at Bandjermasin obtains almost daily by telegraph his information from Singapore on the market position of its products: so we were able to obtain at Bandjermasin and often also in the Ulu Soengei the latest information concerning the quotation of the standard product in Singapore, London and New York. York, on the quotation of the various rubber qualities of Bandjermasin in Singapore and on the size of the London rubber stock. From these price quotations, the Chinese exporter, taking into account refrigeration costs, freight and weight loss of the rubber, makes his calculations as to the prices he can pay for the various qualities.
The departure of the Inlandsche rubber from Bandjermasin takes place once a week with the KPM boats of line 13 (1000-1250 gross tons) and about once every two weeks with Chinese boats, two of which are in service. Because sometimes six, sometimes seven or eight boats run a month in this way, the monthly export declarations of the customs authorities vary considerably.
Both the KPM and the Chinese boats charge a freight of NLG 2 for the transport of a picol rubber from Bandjermasin to Singapore; it seems, however, that it is often discussed below.
There are currently five rubber processing plants in the Z. and O. division of Borneo. Three of them are owned by the Japanese “Dutch Borneo Rubber Industry Co. Ltd ”, which also owns the companies Danau Salak-Atajoe and Zeeland; a fourth factory is owned by the Chinese The Soey Tjoan, while the fifth factory is owned by the Arab Szech Mutlek.
As we have already seen, the sawah culture in the Ulu Soengei has traditionally been the main culture and the cultivation of other crops is a secondary culture. There must therefore be very compelling reasons for the Bandjerees to neglect his sawah construction, which can be called a favorable economic phenomenon. The rubber is not planted on sawah soils, which makes the construction of rubber cultures a separate factor, not coinciding with the normal form of rice cultivation; this is an important difference with Djambi ”.
The population rubber culture of this region can therefore in no way be regarded as a danger to popular prosperity, although some sides want to deduce this from the occasional waste.
Besides rubber, rattan comes in many types, of which exports mainly take place to Singapore, but also Haar Java. Furthermore, exports of: hides, damar, resin, wax and medicines are found.
The Chinese are engaged in a lively trade in Chinese (and Native) medicines, which supply the forests of Borneo in great quantities. We found wild honey in Chinese toko’s. Tjabek (a type of pepper), deer horns, tiger bones, rhinoceroses horns and hooves, etc.
The practices of buying up forest products are, by its nature, quite significantly different from what we call normal and good commercial practice. It is therefore generally known that here the Chinese buyer takes advantage of many means to pay the lowest prices. One of these means is to work with inadequate measures and weights, a problem that still occurs in many remote regions. The inspectors of the tax authorities must therefore always be aware of the fact that, for example, 1000 KG of purchase can yield a significantly larger amount of KG of sales.
In Bandjermasin there are some Chinese who have their own ships, sometimes a small ‘flotilla’, with which they sail on the rivers and also to Surabaya and Singapore. In 1924 a Chinese shipowner had no less than twenty old warships and government ships in use, which serve as lighters and cargo boats. Another has some freight and passenger boats, partly manned by European personnel, and sailing to Singapore.
It may be said of the export in Bandjermasin that it is almost entirely in the hands of the Chinese, in import European trade occupies the most important place.
Regarding “the Chinese on the East coast of Borneo,” Mr. CT Bertling in Colonial Studies of February 1925 an interesting article from which we
derive the following: “The actual country population, the Dayaks, had already
fled deeper into the country for the seafaring, sea foaming, and here also their people seeking maintenance of Macassars, Buginese and Malays but of these the first Chinese adventurers who ventured here may not have differed much in civilization. (x) Here in truth
the human being ‘omnis omnium lupus’.
How has this changed now. Here and there the old
broad streams reflect an electrically lit coal or petroleum mining company and with the expansion of the Western company,
(1) It should be noted here that the Empire of Majapahit probably already extended its power over these countries earlier. See the list at W. Fruin-Mees, “History of Java” 1 page 82 v. At Muara Kaman on the Mahakam River there is still Hindu sculpture to this day.
Feeling safer now, Chinese immigration is steadily increasing here too.
When I talk about the Chinese life on the East coast of Borneo, I mainly mean the population of traders in the main towns, Samarinda, Berau and Buloengan. Practically the same applies to places like Balik Papan and Tarakan, but the Chinese trade is less developed there and these young settlements of the Bataafsche Petroleum Maatschappij mainly have a more extensive coolie population, which by nature is floating and therefore has less of a permanent character of its own. Tarakan does have something typically Chinese, which other places lack, namely, the small overseas Chinese trade. It is a nice and picturesque sight the black one, heavy junks bobbing or sailing on the sea of Tarakan with their characteristic dark brown sails spread out like the fins of gigantic exotic fish. Also elsewhere are not seen the Chinese female greengrocers, girls and older women, with heavily laden baskets full of fresh vegetables on the ‘pikoelan’ over their shoulders, hurrying along the road, their bare legs protruding from the black linen pants and the wheel-wide straw hat on the head, against which the black hair has been pulled through a hole in the middle against the scalding of the bright sun. I also believe that it is necessary to cross the Chinese sea for a moment to find an opium use as heavy as in this Tarakan. Yes, what Chinese is here, this is so unadulterated, as if one were in the Celestial View itself, but,
Where trade in forest products is conducted, the toko is usually an afterthought. At Samarinda, some Chinese wholesalers conduct this product trade with an admirably broad scope. Some of them run small steamers that sail far inland with tongues past their sides. (!) But a lot of business is only done with prahus. Thus, henchmen of Samarinda-based Chinese go into the country with Toko goods and cash, and in the most remote villages of Central Borneo provide Malay or Dayak collectors of goods and cash advances to Malay or Dayak collectors of several hundred guilders. The risk of never seeing anything of this and not receiving any products is very high so that, of course, unusually high interest and broad profit margins are charged on the goods supplied. It is remarkable, like the Chinese dealers in forest products, like a large network of
(1) The KPM also operates such a steamboat, with which many merchants then travel to buy forest products for the benefit of KPM, for which they receive interest-free advances.
The inland product collectors just mentioned have many small Dayaks under their control (through eternal debts), who collect and gather large quantities of rattan, wood or damar in the jungle for an apple and an egg (hotter here: for some salt and beads). . Remember, then, the tremendous lengthy delay that the removal of such cargoes by prahu (wood – trunks – is simply thrown into the streams, the heavy ironwood attached to wildwood trunks to keep it afloat) to such a gathering place is often encountered by the incalculable bandjirs and the dangerous rapids (kiham), then it hardly needs to be said that it can take long months before the merchant at Samarinda receives his products. No wonder then that prices are largely controlled by the necessary loss of interest on advances. That this is often considerable is shown by the fact that several times Chinese merchants have thousands, even tens of thousands of guilders in such risky advances outstanding. The market price limit, however, is practically determined by the Singapore market. (*)
The fish trade is also important in Samarinda. From the lake districts upstream (above Kota Bangun) large quantities of fish are collected during the months of June to October by order of the Samarinda merchants. Much the same applies to this trade as what has been said of the trade in forest products. The role played here by a Dutch import firm, the Borneo Sumatra Handel Maatschappij (Borsumy), by the local economic environment, should not be left unmentioned. De Borsumy owns an important import office in Samarinda. Now in the months mentioned June-October many Bandjerees come here to go fishing upstream in the lake area. These receive advance payments from the Chinese merchants at Samarinda, who wish to buy fish. Often these Chinese have debts themselves with the Borsumy for imported articles supplied and in those cases the Borsumy is prepared to intervene to provide the necessary advances to the fishermen. To this end, tjintoes from the steam baras animal NV go upstairs and pay the advance payments to the Bandjereezen as soon as the fish has been caught and shipped.
For the future development of the Chinese trade in Samarinda, moreover, the establishment may prove of great importance. (1) The rattan is sold in 3 qualities, viz. Rattan semanboe, r. ulut
merah and r. sega.
all of Borneo are connected with each other. In all places, even in Britishh Borneo, they have connections to whom they can turn for local credit.
recently (September 1, 1924) of a Chinese trade association, “the Tjongia Tsung Siang Hwee”.
Het Chineesche zakenleven in Nederlandsch-Indië
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