Annual report of the [U.S.] Financial Adviser-General Receiver for the fiscal year… (run is from 1923/24 to 1932/33)

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Annual report of the U.S. Financial Adviser-General Receiver for the fiscal year… (run is from 1923/24 to 1932/33)
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Mixed Material
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Wash., GPO, 1925-

Notes

General Note:
4-trUS-1923-33
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HLL-D HAI 772; Hollis 005938270

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Harvard University Library
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HAITI


ANNUAL REPORT

OF THE


FINANCIAL ADVISER-GENERAL

RECEIVER

FOR THE FISCAL YEAR

OCTOBER, 1927-SEPTEMBER, 1928



SUBMITTED TO THE SECRETARY OF STATE FOR FINANCE
AND COMMERCE OF THE REPUBLIC OF HAITI, AND
THE SECRETARY OF STATE OF THE UNITED
STATES OF AMERICA THROUGH THE
AMERICAN HIGH COMMISSIONER




A. C. MILLSPAUGH
Financial Adviser-General Receiver

E. A. COLSON
Deputy General Receiver

R. A. PIXLEY
Director General of Internal Revenue


































Imprimerie du Service Technique
PORT-AU-PRINCE.
HAITI









CONTENTS
Page
Foreign Commerce .................................................................................... 2
Imports ................................................................................ 2
Exports ....................................................................................................... 3
Balance of Trade ...................... ........................ .................................... 4
Origin of Imports .................................................................................. 4
Destination of Exports ............................................... ........................... 5
Ports of Entry for Imports ................................................................ 8
Ports of Shipment for Exports .................................................................... 9
Shipping ............................................................... ...................................... 11
Foreign Commerce by Months and by Ports .................................... ........ 16
Commodities Imported ................................................ ........................... 18
Commodities Exported ................................................................................ 23
Imports and Exports of Currency ............................................................. 31
Customs Administration ............................................. ......................... 33
Tariff Revision ............................................... ..................................... 35
Commercial Conventions .............................................................................. 36
Customs Service .................................................... ............................... 37
Internal Revenue Service ......................................................................... .... 49
Customs Receipts ...................................................................................... 52
Internal Revenues ....................................................................................... 65
Private Domain of the State ...................................................................... 68
Miscellaneous Receipts ........................................................................... 79
Non-revenue Receipts ................................................................................ 80
Governmental Expenditures ................................................................... 81
Treasury Position ....................................................................................... 101
Public Debt .......................................................... ...................................... 104
Disbursements ..................................................................................111
Supplies ................................................................................................... 112
Budget and Finance Law ......................................................................... 113
Accounting .................................................................................................. 115
Auditing ....................................................................................................... 116
Currency ....................................... ...................................... 117
,Banking and Credit ........................................ ..................................... 119
Claims ...................................................................................................... 121
Personnel .................................................................................................... 121
Conclusions ................................................................................................. 124
Annex: Report of the Director General of Internal Revenue ....................... 127
Collections ....................... ....... ... ..... .................. 129
Receipts by sources ...................... ....... ............... ..................... 130
Receipts by sources and financial districts ........................... ................ 132
Internal revenue receipts according to sources and months .................. 134
Receipts by rural communes ................................ ............................. 137
Administrative and operating costs ..................................................... 140
Administrative organization ............................................ .................. 143
Personnel ............................................................................................ 143
Quarters and equipment ............ ................... ......................... 146
Digest of chief taxes collected .......................................................... 147
Excise ..................................................... .. ....... ................... ... 147
Emigration taxes ...................................... ....................................... 149
Income tax .................................. .......................... ....................... 149
Occupational tax-on foreigners ......................................................... 150






IV CONTENTS Cont.
Page
Public land rentals .............................................................................. 150
Recording fees and property transfer tax .......................................... 153
Consular receipts .......................................................... 154
Steamship passage tax ....................................... .. ............... 155
Irrigation tax .......................................... ................. 156
Conclusion ................................. ................. 157
Appendix: Schedules ...................... ....................................... 159


STATISTICAL EXHIBITS
1. Value of Imports and Exports, and Excess of Imports or Exports,
1916-17 to 1927-28 ............................................ ..................... 3
2. Value of Imports, showing Countries of Origin, in Percentages, 1916-17
to 1927-28 .................................................... ............................. 5
3. Value of Exports, showing Countries of Destination in Percentages,
1916-17 to 1927-28 ............................................................ ...... 6
4. Value of Total Foreign Commerce, by Countries in Percentages,
1916-17 to 1927-28 .......................................................... .. 7
5. Value and Percentage of Value of Imports, Exports, and Total
Foreign Commerce, by Countries, 1927-28 ................................... 8
6. Value of Imports, by Ports of Entry, 1916-17 to 1927-28.............. 9
7. Value of Exports, by Ports of Shipment, 1916-17 to 1927-28........... 10
8. Value and Percentage of Value of Imports, Exports, and Total Foreign
Commerce, by Ports, 1927-28.................................. ................... 11
9. Net Tonnage of Steam Vessels in Foreign Commerce Entered and
Cleared, by Registry and Months, 1927-28................................. 12
10 Net Tonnage of Sailing Vessels in Foreign Commerce Entered and
t.l:(red, by Registry and Months, 1927-1928............................. 13
11. Value of Imports, by Registry of Carrying Vessels, 1927-28............ 14
12. Value cf Exports, by Registry of Carrying Vessels, 1927-28................ 15
13. Value of Imports, by Months and Ports of Entry, 1927-28 compared
w ith 1926-27............................................................................. ... 17
14. Value of Exports, by Months and Ports of Shipment, 1927-28 compared
w ith 1926-27............................................................ .............. 18
15. Value of Imports, by Commodities, 1916-17 to 1927-28 ..................... 19
16. Quantity of Imports, by Commodities, 1916-17 to 1927-28 ............... 20
:7. Value of Exports, by Commodities, 1916-17 to 1927-28 .................... 23
18. Quantity of Exports, by Commodities, 1916-17 to 1927-28 .............. 23
19. Quantity and Value of Five Principal Exports, by Ports, 1927-28
compared with 1926-27 ............................................. .................. 26
20. Percentage of Value of Exports, by Commodities,, 1916-17 to 1927-28 28
21. Quantity and Value of Exports, by-Commodities and Months, 1927-28 30
22. Imports and Exports of Currency, 1922-23 to 1927-28 .................... 32
23. Receivership Fund, 1916-17 to 1927-28 .......................................... 37
24. Expenses of Financial Adviser-General Receiver, by Objects of Expen-
ditures, 1916-17 to 1927-28 ........................................................ 39
25. Expenses of Administration of Office of Financial Adviser-General
Receiver, by Objects of Expenditures and by Months; 1927-28 ...... 40
26. Expenses of Customs Operation, by Objects of Expenditure and by
M months, 1927-28 ............................................ ....................... 41
27. Repairs and Improvements to Customs Plant and Equipment, 1927-28 42
28. Classification of Total Expenditures of the Financial Adviser-General
Receiver, May to September, 1928 ..... ................. ........... ..... 43






STATISTICAL EXHIBITS Cont. v
Page
29. Classification of Administration and Operation of the Financial Adviser-
General Receiver,, May to September,. 192.8 ................................... 44
S:0 Distribution of Expenditures from Receivership Fund, 1927-28 ......... 45
31. Cost of Customs Operations by Ports, and Costs of Administration,
Permanent Improvements and Treasury Commission, 1919-20 to
1927-28 ........................................................................................... 47
32. Total Cost of Collecting Each Gourde of Customs Receipts, 1919-20 to
1927-28 ........................................................................................... 48
33. Operating Allowance of Internal Revenue Service, 1923-24 to 1927-28 50
34. Costs of Internal Revenue Service, by Objects of Expenditure, 1923-24
to 1927-28 ................................................................................... 51
35. Classification of Total Expenditures of Internal Revenue Service, May
to September, 1928 ............................................ .................... 52
36. Classification of Administration and Operation Expenditures of Internal
Revenue Service, May to September, 1928 ................................... 53
37. Revenues of Haiti, by Sources, 1889-90 to 1927-28 ......................... 55
38. Relation between Import and Export Values and Customs Receipts,
1916-17- to 1927-28 ................................................................... 59
::9. Customs Receipts, by Months, 1916-17 to 1927-28 .......................... 60
40. Customs Receipts, by Ports, 1916-17 to 1927-28 ............................ 62
41. Customs Receipts, by Sources and Ports, 1927-28 ............................ 63
42. Customs Receipts, by Sources and by Months, 1927-28 .................... 64
43. Distribution of Customs Receipts, 1916-17 to 1927-28 .................... 65
44. Internal Revenue Receipts, by Sources, 1919-20 to 1927-28 ............... 66
45. Miscellaneous Receipts by Sources and by Months, 1927-28 .............. 80
46. Revenue and Non-Revenue Receipts, by Ports or Financial Districts,
1927-28 .................................................. ...... ............... .......
47. Total Receipts of Haitian Government, by Sources, Months and Ports,
1927-28 ......................................................... ............................... 82
48. Expenditures of Haitian Government, by Services, 1916-17 to 1922-23 84
49. Ordinary, Supplementary and Extraordinary Appropriations from Reve-
nue, 1923-24 to 1927-28 ............................................ ............ 85
50. Revenues and Expenditures, 1923-24 to 1927-28 ............................ 86
51. Source and Disposition of Revenue, in Percentages, 1927-28 ............ 92
52. Functional Classification of Expenditures, May to September, 1928 ...... 93
53. Classification of Total Expenditures by Departments and Services, May
to September, 1928 ............................................ .................... 94
54. Classification of Administration and Operation Expenditures by Depart-
ments and Services, May to September, 1928................................... 95
55. Reimbursements to Appropriations, 1925-26 to 1927-28 .................... 99
56. Receipts and Expenditures, 1927-28 .............................................. 100
57. Revenues and Expenditures and Excess of Revenues or Expenditures,
1916-17 to 1927-28 ..................................................................... 101
58. Treasury Assets and Liabilities, September 30, 1924, to September 30,
1928 ............................................................................................. 102
59. Public Debt, September 30, 1915, to September 30, 1928 ................. 105
GO. Expenditures from Revenue for the Public Debt and Relation of Such
Expenditures to Revenue Receipts, 1926-27 and 1927-28 ............. 111
61. Required and Actual Debt Reduction, 1926-27 and 1927-28 ............ 111
62. Income Account of Bureau de Fournitures, 1927-28 .......................... 113
63. Assets and Liabilities of Bureau de Fournitures, September 30, 1927,
and September 30, 1928 ............................................................... 113







vi STATISTICAL EXHIBITS Cont.
Page
64. Notes of the Banque Nationale in Circulation, by Months, 1919-20 to
1927-28 ...................................................................... .................. 118
65. Loans and Deposits of Banks in Haiti, by Months, 1927-28 .............. 120

ANNEX: INTERNAL REVENUE SERVICE
1. Annual internal revenue receipts, 1911-12 to 1927-28.......................... 129
2. Internal revenue receipts, by sources, 1919-20 to 1927-28.................... 130
3. Internal revenue receipts, by collection districts, 1919-20 to 1927-28...... 132
4. Internal revenue receipts, by sources and districts, 1927-28.................... 133
5. Internal revenue receipts, by sources and months, 1927-28................... 135
6. Internal revenue receipts, by months, 1919-20 to 1927-28.................... 136
7. Internal revenue receipts of rural communes, 1927-28........................... 138
8. Operating allowance of Internal Revenue Service, 1923-24 to 1927-28... 140
9. Expenses of Internal Revenue Service, by objects of expenditure,
1923-24 to 1927-28............................................................................. 140
10. Cost of Internal Revenue Service, by objects of expenditure, 1923-24 to
1 92 7-2 8............................... .............. .................................... .... 1 4 1
11. Expenses of administration and operation of Internal Revenue Service by
districts, 1923-24 to 1927-28 ............................. ............................. 142
12. Expenses of Internal Revenue Service by objects of expenditure and by
m months, 1927-28..................................................... ......................... 143
13. Expenses of administration and operation of Internal Revenue Service,
by districts and m months, 1927-28.......................................................... 144
14. Cost of collecting one gourde of internal revenue, by districts and months,
1927-28......................... ................................................ 145
15. Personnel ........... .................... ..... ....... ........... ................ 146
16. Emigration statistics, 1922-23 to 1927-28 ........................................ 149
17. Receipts from foreigner's occupational tax, 1927-28........................... 151
18. Public land rentals, 1927-28.......................................... .................... 152
19. Value of sales and mortgages of real property, 1927-28......................... 154
20. Consular fees accruing to the State, 1924-25 to 1927-28..................... 155
21. Receipts from steamship passage tax, by ports, 1927-28....................... 156
22. Receipts from steamchip passage tax, by months, 1927-28...................... 156
23. Receipts from irrigation taxes, 1927-28............................................... 157

APPENDIX: SCHEDULES
S1. Quantity and Value of Imports into Haiti, by Countries of Origin, Octo-
ber 1927 to September 1928 ................................................161-185
2. Quantity and Value of Exports from Haiti, by Countries of Destination,
October 1927 to September 1928..............................................186-190
3. Customs Receipts, by Sources, by Ports, and by Months, 1927-28.........191-194
4. Internal revenue receipts, by sources, districts, and months, 1927-28......195-205

CHARTS
1. Values of Total Imports, Total Exports, and Coffee Exports, 1923-24
to 1927-28 ................................................................................... 25
2. Total Revenue and Customs Receipts, 1923-24 to 1927-28 ................. 57
3. Gross and Net Public Debt of Haili from July, 1924, to September, 1928 106



















HAITI
ANNUAL REPORT OF THE FINANCIAL ADVISER-
GENERAL RECEIVER FOR THE FISCAL YEAR
OCTOBER, 1927- SEPTEMBER, 1928.










HAITI
ANNUAL REPORT OF THE FINANCIAL ADVISER-GENERAL
RECEIVER FOR THE FISCAL YEAR OCTOBER, 1927-
SEPTEMBER, 1928


OFFICE OF THE FINANCIAL ADVISER-GENERAL RECEIVER

Port-au-Prince, Haiti, November 24, 1928.

THE SECRETARY OF STATE OF THE UNITED STATES OF AMERICA,
THE SECRETARY OF STATE FOR FINANCE AND COMMERCE OF THE
REPUBLIC OF HAITI.


Gentlemen:

There is transmitted herewith the twelfth annual report of the commerce
and finances of Haiti for the fiscal year 1927-28, summarizing and extending
the monthly reports required by Article VII of the treaty of September 16.
1915, between the United States of America and the Republic of Haiti.
Commercial and financial conditions during the year were in many res-
pects the most favorable that Haiti has enjoyed prior to or since the esta-
blishment of the Receivership, demonstrating the beneficial effects of the
legislative and administrative policies which have been in operation during
accent years. Foreign commerce registered a gratifying increase, with a
substantial excess of exports over imports. Governmental revenues rose
to new high levels. The surplus of revenues over expenditures for the year
and the unobligated treasury reserve at the end of the year were the largest
on record. Retirement of the public debt continued, although at a slightly
less rapid pace than in previous years.
The organization and functioning of the financial administration were
maintained along the general lines laid down in previous years. New
financial legislation was chiefly amendatory of previous laws; but in the
enactment of an excise tax law a further major reform of the internal
revenue system was effected.
Commercial prospects for 1928-29 are somewhat less encouraging due
to unfavorable weather conditions affecting the coffee crop; but with the
-iew.excise taxes in operation revenues should show in the future greater
stability.






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


Particular attention was given in the year covered by this report to
the study and drafting of legislative and other projects designed to assist
in meeting the fundamental needs of the Haitian people for increased pro-
duction, education, and an improved standard of living.

Foreign Commerce
Foreign commerce in 1927-28, as shown in table No. I, was valued at
Gdes. 214,577,513, representing an increase of Gdes. 59,325,471 or 38.21
per cent over the preceding year. This substantial advance was due to a
pronounced augmentation in the quantity of exports with a rise in average
prices received for the bulk of exported commodities. As a result of the
enhanced buying power of the people, there was also marked increase of
import values.
Total trade in 1927-28 was larger than in any previous year of the
Receivership except 1919-20. It should be noted, however, that due to
war and post-war conditions commerce during the first four years of the
Receivership was decidedly abnormal. During the war there was an ac-
cumulation of coffee in Haiti which was shipped for the most part during the
two years 1918-19 and 1919-20. Accordingly, both years showed abnormal
exports and in 1919-20 there was, as might have been expected, an ex-
traordinary expansion of imports. Everything considered, the year just
closed was the most satisfactory from the commercial standpoint that Haiti
has enjoyed since reliable statistics have been available.
Commerce in 1927-28 was further indicative of healthy economic develop-
ment based upon a steady increase of production. This development will be
more aptly shown by an analysis of export trade; but it may be interesting
at this point to note over a period of years the upward trend of total foreign
commerce. Such a tendency can be most fairly calculated by a comparison
of average years, since Haiti's trade, depending largely on the exportation
of a single agricultural product, is subject to sharp fluctuations. Average
total trade values in the first five years of the Receivership were Gdes.
144,909,976. During the five-year period just closed the average was
Gdes. 181,579,299, representing an increase of 25.30 per cent. If the first
four years of the Receivership when trade was abnormal are excluded
and only the subsequent eight years are considered, the favorable trend
becomes even more evident. During the four years beginning with 1920-21,
average total trade values were Gdes 124,039,401. During the four years
just elapsed, the average was Gdes 190,883,561, representing an increase of
Gdes. 66,844,I60 or 53.89 per cent.

Imports
Table No. I shows imports valued at Gdes. 101,241,283, an increase of
Gdes. 22,484,683 or 28.55 per cent over those of the preceding year. Never-






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


theless, imports in the year just closed, in contrast with 1926-27, lagged
behind exports, leaving,a substantial balance in favor of exports. In Haitian
commerce there should be no great discrepancy over a period of years
between imports and exports of merchandise. From year to year, however,
fluctuations of imports cannot be expected to correspond precisely with those
of exports. Variations in the purchasing power of the people and in the
demand for different classes of goods are not foreseen by the mercantile
community. It seems probable that the considerable residue of purchasing
power remaining from 1927-28, as indicated by the excess of exports over
imports, will result during 1928-29 in a total of import values substantially
larger in relation to exports than during the year just ended.

TABLE No. 1
VALUE OF IMPORTS AND EXPORTS, AND EXCESS OF IMPORTS OR EXPORTS
FISCAL YEARS 1916-17 TO 1927-28

Year Imports Exports Total Excess Imports Excess Exports

Gourdes Gourdes Gourdes Gourdes Gourdes
1916-17 ..................... 43,030,428 44,664,428 87,694,856 1,634,000
1917-18 .................... 50,903,468 38,717,650 89,621,118 12,185,818
1918-19 ..................... 85,588,041 123,811,096 209,399,137 38,223,055
1919-20 ................... 136,992,055 108,104,639 245,096,694 28,887,416
1920-21 ..................... 59,786,029 32,952,045 92,738,074 26,833,984
1921-22 ................... 61,751,355 53,561,050 115,312,405 8,190,305
1922-23 ................... 70,789,815 72,955,060 143,744,875 2,165,245
1923-24 .................... 73,480,640 70,881,610 144,362,250 2,599,030
1924-25 ..................... 101,187,825 97,018,810 198,206,635 4,169,015
1925-26 ..................... 94,257,030 101,241,025 195,498,055 6,983,995
1926-27 .................... 78,756,600 76,495,442 155,252,042 2,261,158
1927-28 ..................... 101,241,283 113,336,230 214,577,513 12,094,947
Total .................... 957,764,569 933,739,085 1,891,503,654 85,126,726 61,101,242


Exports

In the consideration of Haitian commerce exports are naturally of the
greatest interest. These amounted in value during 1927-28 to Gdes.
113,336,230 compared with Gdes. 76,495,442 in the previous year, an
increase of 48.16 per cent. Average annual exports during the first five
years of the Receivership were valued at Gdes. 69,649,972; those during the
last five years were Gdes. 91,794,623, an increase of 31.79 per cent. Ex-
cluding the four abnormal war and postwar years, a comparison of average
exports during the first and second halves of the remaining eight-year
period shows an increase of average exports amounting to 68.48 per cent.
Such a striking increase in exports cannot be explained by favorable
combinations of weather or other chance conditions. Over a period of
years such influences average into approximate uniformity. Increased
export values may be attributed in part to price changes. Nevertheless,
there has been a real increase not only in the value but also in the quantity
of exported commodities. An encouraging export tendency demonstrates
basic economic progress.





HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


Balance of Trade

Exports in 1927-28 exceeded imports by Gdes. 12,094,947, the largest
favorable balance of trade since 1918-19, when for reasons already explained
conditions were abnormal. Nevertheless, for the twelve elapsed years of
the Receivership there has been a considerable net excess of merchandise
imports over merchandise exports. The net unfavorable balance at the
end of 1926-27 amounted to Gdes. 36,120,431; during 1927-28 it was
reduced to Gdes. 24,025,484. During the last five years of the Receivership
period, however, total exports have exceeded total imports by Gdes. 10,049,
739. This apparent tendency toward a virtual balance between the values
of imported and exported commodities is in line with what might reason-
ably be expected. In the case of Haiti, invisible credits and debits are not
relatively important and in all probability practically balance each other.
During a period of development, investments in productive undertakings
tend to involve an excess of imports; when production begins and borrow-
ings are repaid, exports are likely to exceed imports. Nevertheless.
extreme significance should not be attached to the results of a single year.
It is probable that a considerable part of the favorable balance of 1927-28
represents merely a lag in the purchasing of commodities from abroad,
and it would not be surprising if in 1928-29 there should again be an
unfavorable balance or at the best a substantially reduced export surplus.

Origin of Imports

Table No. 2 shows the value of imports classified in percentages according
to countries of origin. For the entire period of the Receivership, the
United States has furnished 82.01 per cent of Haitian imports. In 1927-28
the percentage was 75.30, somewhat lower than the average. In general,
competition in the Haitian market has become sharper in recent years and
there is a well-marked tendency toward wider distribution of imports. After
tile United States, the five regions most important in Haiti's import trade
were in order of their import values France, the United Kingdom, Germany,
.Porto Rico and the Netherlands. During the year just closed, the percent-
ages of imports from France and the United Kingdom slightly increased;
those from Germany and the Netherlands decreased; Porto Rico almost
doubled its.percentage; while Italy, which had ranked sixth in 1926-27,
fell to tenth place in 1927-28.
France, Germany, the United Kingdom, Porto Rico and the Netherlands
supplied 21.18 per cent of Haitian imports and with the United States
accounted for 96.48 per cent. Haitian purchases consist largely of manu-
factured and prepared or semiprepared articles, particularly foodstuffs and
the cheaper textiles. It is reasonable, therefore, to expect that the require-
Inents of Haiti will be largely supplied for some time by countries such
as those mentioned above, and that the dominating position will be taken








HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


TABLE No. 2

VALUE OF IMPORTS, SHOWING COUNTRIES OF ORIGIN,
FISCAL YEARS 1916-17 TO 1927-28


IN PERCENTAGES


Average
Country of Origin 1916-17-
1920-21

Per cent
United States .87.09
Prance :..::::::: 4.71
Urlited Kingdom ....... 5.85
Austria .........
Rah,-na Islands .........
Bel ium ............
British India ..........
Canada ...............
Canal Zone ...........
C uba ...................
Curacao .................
Czechoslovakia .........
Denmark ......
Dominican Republic ...
Germany ...........2.35
Italy ..........
Jamaica ....... .. ..
Japan ... .. .....
Netherlands ............
Norway .............
Porto Rico ..........
Spain ....................
Sweden .................
Switzerland ............. '


Total


100.00


Average
1921-22-
1925-26

Per cent
79.37
5.97
7.30


7.36








100.00


1926-27


Per cent
76.56
6.76
5.02
.02
.62
.09
.08
.14
.01
.81
.02
.18
.71
4.65
1.00
.25
.07
1.93
.96
.08
.04

100.00


1927-28 1916-17-
1927-28

Per cent Per cent
75.30 82.01
6.89 5.59
6.69 6.46
.01
.03
.55
.10
.04
.11
.05
.90
.02
.24
.60
4.08 5.94
.54
.02
.11
1.70
.01
1.82
.09
.01
.09

100.00 100.00


by those'which can offer goods of superior quality
terms.


on the most attractive


Destination of Exports

Perhaps the most striking feature of the export trade of Haiti in recent
years has been the relative predominance of a single country, France. For
the twelve years of the Receivership, as appears in table No. 3, the French
market has taken 49.05 per cent of Haitian exports. In 1927-28 the
percentage was 49.77, slightly above the average and also above the figure
for 1926-27. France is the largest purchaser of Haitian coffee, taking in
the year just ended 55.57 per cent of the total exports of this commodity.
As coffee comprises 79.04 per cent of all Haitian exports, it is evident
that the leading coffee market will rank highest among the purchasers
of Haitian products. The wide demand for Haitian coffee in the French
market is indicated by the fact that from the reduced crop of 1926-27 France
took 15,986,143 kilos, but imported in 1927-28 at a higher price 22,483,478
kilos. It is true that with respect to Haitian coffee France is a distributing
as well as a consuming center; but the economic advantage to Haiti of
well-sustained and increasing trade with this established and expansive
market cannot be doubted.

Nevertheless, as has been frequently pointed out in the annual reports
of this office, undue trade dependence on a single country introduces an







HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


element of instability into the commercial L.nd fiscal system of. Haiti.
Without in any way disparaging the value of coffee production or of trade
relations with France, the advantage to Haiti of a wider distribution of its
exports can not be overlooked. In the year just ended provision was made


TABLE No. 3
VALUE OF EXPORTS, SHOWING COUNTRIES OF DESTINATION, IN PERCENTAGES
FISCAL YEARS 1916-17 TO 1927-28


Average
Country of Destination 1916-17-
1920-21

Per cent
United States .............. 52.85
France .............. 35.98
United Kingdom .......... 1.45
Bahama Islands .............
Barbados ...................
Belgium ....................
Canada .....................
Canal Zone ................
Cuba .......................
Curacao .......... ..........
Denm ark ...................
Dominican Republic ......
Finland .. ...........
French Africa .............
Germany ................... 9.72
Italy ......................
Jamaica ....................
Japan ..................
M artinique .................
Netherlands ................
N orw ay ....................
Porto Rico .................
Spain .................... i
Sweden ...................
Venezuela .............**
Total .................. 100.00


Average
1921-22-
1925-26

Per cent
11.02
62.29
4.40








22.29








100.00


Average
1926-27 1927-28 1916-17-
1927-28

Per cent Per cent Per cent
7.81 8.18 27.95
47.51 49.77 49.05
5.16 4.50 3.24
.06 .09
5.20 6.24
2.48 .96
.17 .07
3.86 .78
.39 .36
8.13 7.72
.04 .03
.19 .23
.03 .04
6.22 4.96 19.76
3.64 6.97
.01
.05 .02
.02
3.09 4.40
.78 .62
.80 .62
3.42 2.54
.87 .88
.08 .01 J
100.00, 100.00 100.00


for the inauguration of systematic activities in all foreign markets for the
promotion of Haitian trade. Moreover, greater diversity in outlets may be
expected to follow increased production of exportable commodities other
ihan coffee. In 1927-28, however, there was little indication that progress
in diversification of production had yet affected appreciably the distribution
of exports. During the year there were increases in the percentages of
Haitian exports going to the United States, Belgium, Italy and the
Netherlands, with decreases in the percentages taken by the United King-
dom, Canada, Cuba, Denmark, Germany and Spain. Percentage increases
were largely due in all cases to substantially increased purchases of Haitian
coffee, rather than to the placing of new products on the market.

Table No. 4 combines the percentages of both imports and exports so far
as countries of origin and destination are concerned. With respect to total
trade the United States took first place as in previous years with 39.85
per cent, somewhat less than in 1926-27 and greatly below the average for
the receivership period. During the war Haitian trade was largely excluded
from European channels; and, accordingly, the average for the receivership







HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


period does not in this case represent normal conditions. As trade with the
United States declined in 1927-28, that with France increased, the latter
showing a percentage materially above' that of the preceding year and
surpassing the average for the last twelve years.


TABLE No. 4

VALUE OF TOTAL FOREIGN COMMERCE, BY COUNTRIES, IN PERCENTAGES
FISCAL YEARS 1916-17 TO 1927-28


Country



United States ...........
France .... ..........
United Kingdom .........
Bahama Islands ............
Barbados ...........
Belgium ..............
British India ...............
Canada ................
Canal Zone ...............
C uba ....................
Curacao ..............
Czechoslovakia ............
Denmark .. ...
Dominican Republic .......
Finland
French Africa ..........
erm any ... ..............
Italy ..... ................
Jamaica ..................
Japan .......................
Norway ...................
Porto 'Rico ................
Spain .......................
Sweden ............. .....
Switzerland ..............
Venezuela ..............
Virgin Islands .............

Total .....


Average
1916-17-
1920-21


Per cent
72.53
18.39
4.03


5.05


100.00


Average
1921-22- 1926-27
1925-26


Per cent Per cent
45.63 42.68
33.83 26.84
5.85 5.08
.03
2.87
.04
1,26
.16
1.91
.61
4.10
.38
.10
.02
14.69 5.42
2.30
.14
.06
2.51
.40
.88
1.72
.43
.02
.04


100.00 100.00'


In table No. 5 are presented for the various countries of origin and desti-
nation the values of imports, of exports, and of total trade, together with
the percentages shown in preceding tables. In a year of increased com-
mlerce, smaller percentages do not necessarily indicate a decrease in volume
or in values. As a matter of fact, considering the principal countries with
which Haiti has trade relations, commerce increased, with regard both
to imports and to exports, with the Bahama Islands, Belgium, Curacao,
Denmark, the Dominican Republic, France, Germany, the Netherlands,
Norway, Porto Rico, Spain, Sweden, the United Kingdom and the United
States. Imports, exports and total trade decreased only in the cases of
Canada, and the Canal Zone. Imports from Italy decreased somewhat, but
exports increased to such an extent that total trade with Italy more than
doubled. In the cases of Cuba, Jamaica, and Venezuela there were decreases
of total trade caused by a decline of either imports or exports.


1927-28


Per cent
39.85
29.54
5.53
.06
3.55
.05
.53
.09
.43
.62
.01
4.19
.30
.12
.02
4.55
3.94
.02
.06
3.12
.33
1.19
1.38
.47
.04
.01

100.00


Average
1916-17-
1927-28


Per cent
56.11
26.46
5.00
1








S 12.43











100.00


100.00








HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER

TABLE No. 5

VALUE AND PERCENTAGE OF VALUE OF IMPORTS, EXPORTS, AND TOTAL FOREIGN
COMMERCE, BY COUNTRIES, FISCAL YEAR 1927.28


Country


8rabia .............. .....
Argentina ..................
Austria
Bahama Islands ...........
Belgium ..................
B razil .................
British India ............
C anada .....................
Canal Zone ..............
China .... .... ...
Colom bia ...................
Cuba .......................
Curacao ......... .....
Czechoslovakia ..........
Denmark ...................
Dominican Republic ......
Egypt ......................
Finland ................
France ....... ...
French Africa .............
Germany ...................
Greece .... .. ....
Guadeloupe ...............
Guatemala ...............
Honduras...................
Hungary ...................
Italy ...................
Jam aica ....................
Japan ... ... ....
Martinique ................
Mexico .....................
Monaco ...................
Netherlands .............
Norway ..................
Palestine ..
Pern ............* ...... *
Porto Rico ...............
'pain ......................
Sweden ... ..........
Switzerland .............
Syria .. .................
T rinidad ............
United Kingdom ..........
United States ........
Venezuela ...............
Virgin Islands .............

T otal ............... .


Imports

Gourdes Per cent
5 .............
16 ...........
10,415 .01
28,419 .03
552,002 .55
15.
101,592 .10
45,334 .04
111,698 .11
1,069 .........
1 .........
45,641 .05
908,256 .90
17,164 .02
241,903 .24
609,780 .60
82 ..........
6,973,138 6.89
208 ........
4,133,153 4.08
72 ......... .
9 .............
57 ..... ....
24 ............
164 .............
542,852 .54
23,382 .02
113,382 .11
3 .........
895
895 ..............
33
1,716,621 1.70
9,046 .01
157 ..............
2,677 .. ..
1,844,829 1.82
91,033 .09
15,115 .01
81,808 .09
271
147 .......... ..
6,773,886 6.69
76,232,541 75.30
4,897 ............
2,491 ............

101 41 8s 1 0000


Exports Total


Gourdes Per cent


96,670
7,072,644

1,091,344
84,342
500
880,262
412,144

8,752,335
31,601

261,889
56,410,703
46,784


5,623,7'27

1,500

7,898,594
9,025
24,104


4,982,927
700,309

700,788
2,879,867
995,589
25

5,100,719
9,266,603
11,215


113.336.230


I


Ports of Entry for Imports


In 1927-28 as shown in tables Nos. 6, and 8, Port-au-Prince retained its
position as the chief port of entry for the entire country. Out of total
imports of Gdes 101,241,283, Port-au-Prince received Gdes 62,588,706.
During the period 1916-17 to 1920-21 inclusive, this port received 55.42 per
cent of incoming goods; in the period 1921-22 to 1925-26 inclusive, 57.15
per cent. In the year 1926-27, the percentage was 59.03, and in the year
just ended 61.82. A tendency toward centralization is clear and was confirm-
(cd in the year just ended. There are several reasons why Port-au-Prince
should receive a predominant portion of Haiti's imports. It is the capital
and most populous city, located near the geographical center of a country


100.00 214,577,513 i 100.00


, ,II~Y


..........o .

.09
6.24


.07

.78
.36
7.72
.03
.23
49.77
.04
4.96

................

6.97
.01
.02


4.40
.62


2.54
.88 1
................


--............ i
4.50
8.18
.01
... I


Gourdes
5
16
10,415
125,089
7,624,646
.15
101,592
1,136,678
196,040
1,069
501
925,903
1,320,400
17,164
8,994,238
641,381
82
261,889
63,383,841
46,992
9,756,880
72
9
1,557
24
164
8,441,446
32,407
137,486
3
895
33
6,699,548
709,355
157
2,677
2,545,617
2.970,900
1,010,704
86,808
296
147
11,874,625
85,499,144
16,112
2,491


Per cent



.06


.53
.09


.43
.62
.01
4.19
.30

.12
29.54
.02
4.55




3.94
.02
.06


3.12
.33

1.19
1.38
.47
.04

5.53
39.85
.01


."'"






HAITI: REPORT OF FINAN IAL ADVISER-GENERAL RECEIVER 9

whose total area is not extensive, and it is connected by water, railways or
motor-roads with all parts of the Republic.

The other principal ports, except Cayes and St. Marc, showed increased
import values in 1927-28 over those of the previous years. Depressed
business at Cayes was probably attributable in large part to the cessation
of emigration and more immediately to the decreased number of returning
emigrants. The decline at St. Marc is largely explained by its proximity
to the capital with which it is connected by excellent transportation facili-
ties. Goods formerly imported direct to St. Marc are now forwarded to a
large extent from Port-au-Prince. St. Marc, furthermore, is not an impor-
tant coffee-shipping port and benefited but little from increased coffee
exports.

TABLE No. 6
VALUE OF IMPORTS, BY PORTS OF ENTRY, FISCAL YEARS 1916-17 TO 1927-28

Average Average Average
Port of Entry 1916-17- 1921-22- 1926-27 1927-28 1916-17-
1920-21 1925-26 1927-28

Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin ................. 156,514 120,425 24,739 3,287 117,727
adr ............... .. 6,482 222,478 204,362 38,271
Cap Haitien ................ 9,987,651 8,293,009 6,937,571 9,759,058 9,008,327
Cayes ................ 6,443,055 7,440,221 7,243,564 6,856,762 6,959,725
Fort Liberti ................ 257 618 ............. ............... 365
Glore .......... ........... .... 81,567 100,181 81,800 49,151
Gonaives ................. 3,922,744 3,732,077 3,309,762 4,820,335 3,867,017
Jacmel ..................... 3,457,767 4,904,482 4,414,352 5,411,369 4,303,081
Jerimie .................... 1,942,796 1,579,913 2,073,507 2,871,482 1,879,878
Miragoine .................. 518,426 956,170 1,069,166 1.135,917 7:8,172
O.anaminthe ............... 27,035 287,016. 150,580 181,395 158,519
Petit Goj ve ................ 2,674,944 2,081,535 2,229,860 2,3S7,703 2,366,663
Port-au-Prince ............ 41,712,019 4,889,008 46,488.467 62,588,706 45,590,192
Port-de-Paix ............... 2,087,026 2,059,178 1,865,277 2,358,895 2.079.599
Saint Marc ................. 2,329,771 2,861,632 2,627,096 2,580,212 2,597,027
Total ....... 75,260,005 80,293,333 78,756,600 101,241,283 79,813,714

Compared with the preceding year, Gonaives, Cap-Haitien and J6remie,
showed the largest percentage increases. Port-au-Prince and Cap-Haitien
enjoyed in comparison with 1926-27 the greatest absolute increases in value.
Cap-Haitie'n, Gonaives and Jerimie were, like Port-au-Prince, notable in
the year just closed, not only for an actual augmentation of incoming
shipments, but also for an increase in the percentages representing their
respective shares of the total import trade of Haiti. At Jacmel, Miragoanc.
Petit-Goave and Port-de-Paix there was likewise healthy expansion of
imports resulting from increased exports, but with a decrease in the
percentages representing their relative importance in the total import trade.

Ports of Shipment for Exports

In contrast with imports, the exports of Haiti, as shown in table No. 7,
are fairly well distributed among the various ports. Port-au-Prince, accord-






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


ing to table No. 8, accounted for 22.67 per cent of the total; Jacmel, 15.24
per cent; Petit-Goave, 13.69 per cent; Cap-Haitien, 13.02 per cent; and
Gonaives, 8.54 per cent. In 1927-28 compared with the preceding year there
were increased exports at all ports except Aquin and Glore, both unimpor-
tant. It is significant, furthermore, that all of the principal ports in 1927-28
showed substantial increases in exports over the averages of the periods
1916-17 to 1920-21, 1921-22 to 1925-26, and 1926-27 to 1927-28. An excep-
tionally good coffee crop was the principal cause of trade recovery in 1927-
28 in comparison with the previous year. Nevertheless, the pronounced in-
crease of exports during the year just ended appears to evidence a general

TABLE No. 7
VALUE OF EXPORTS, BY PORTS OF SHIPMENT, FISCAL YEARS 1916-17 TO 1927-28

Average Average Average
Port of shipment 1916-17- 1921-22- 1926-27 1927-28 1916-17-
1920-21 1925-26 1927-28

Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin ...................... 517,420 1,254,059 718,469 457,992 836,155
Feliadre ........................ ........ 52 7,014 9,964 1,436
Cap Haitien .............. 10,601,902 9,794,332 8,092,752 14,757,167 10,402,591
Cas .................. 4,543,658 6,652,145 6,661,198 7,047,564 5,807,315
F ibert ............... 323,746 62,057 ............. 160,751
rl re ... .... 11,015 723 134 4,661
Conaivs ... ................ 4,934,835 6,618,885 5,829,061 9,678,236 6,106,325
Jamel ...................... 8,416,717 10,231,039 11,093,943 17,273,072 10,133,816
.lTrimie ..... ........ 3,350,333 3,226,006 4,054,186 5,748,808 3,557,057
Miragoane ................. 1,009,265 1,871,386 2,343,078 3,635,255 1,698,466
(,nanaminthe ............. 9,015 7,284 2,400 4,163 7,338
Prti' Golve ................ 4,167,273 9,837,361 9,670,818 15,509,685 7,933,639
Port-au-Prince ............. 23,557,713 18,772,347 18,759,081 25,698,168 21,342,296
Port-de-Paix ............... 3,788,030 4,201,144 3,300,190 5,525,460 4,064,293
Saint Marc ................ 4,430,065 6,592,399 5,962,529 7,990,562 5,755,451
Total .............. 69,649,972 79,131,511 76,495,442 113,336,230 77,811,590

improvement of economic conditions in Haiti. Moreover, benefits of
augmented exportation were widely distributed among the people, for
example, exports at Cap-Haitien increased by 82.35 per cent, at Port-de-Paix
by 67.43 per cent, at Gonaives by 66.03 per cent, at Petit-Goive by.60.38
per cent, at Jacmel by 55.70 per cent, and at Port-au-Prince by 36.99 per
cent.

Import and export values have been combined in table No. 8 to show
the relative commercial importance of each port. Both in imports and
exports Port-au-Prince took first place, its combined trade being 41.14
per cent of the total. Cap-Haitien, Jacmel and Petit-Goive ranked next in
,he order named. As compared with 1926-27 the relative importance of
total trade at Cap-Haitien, Gonaives, Jacmel, Jeremie, Miragoine, Petit-
Goave and Port-de-Paix showed an increase; while the percentages repre-
senting the total trade at Port-au-Prince, Cayes and St. Marc were reduced.
In general the coffee-shipping points were those which showed in 1927-28
the largest increases and the largest percentages of total trade.






HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


TABLE No. 8
VALUE AND PERCENTAGE OF VALUE OF IMPORTS, EXPORTS, AND TOTAL FOREIGN
COMMERCE, BY PORTS, FISCAL YEAR 1927-28

Imports Exports Total

Gourdes Per cent Gourdes Per cent Gourdes Per cent
Aqrin 3,287 ........ 457,992 .40 I 461,279 .21
Blladre ............. 204,362 .20 9,964 .01 214,326 .10
rap Haitirn ... 9,759,058 9.64 14,757,167 13.02 24,516,225 11.43
Caes ................... 6,856,762 6.77 7,047,564 6.22 13,904,326 6.48
Glore ...81,800 8 134 ........ 81,934 .04
Gonaivs ............... 4,820,335 4.76 9,678236 8.54 14,498,571 6.76
lacmel .................. 5,411,369 5.35 17,273,072 15.24 22,684,441 10.57
JIrimie ................. 2,871,482 2.84 5,748,808 5.07 8,620,290 4.02
Miragolne .............. 1,135,917 1.12 3,635,255 3.21 4,771,172 2.22
Ouanaminthe ............ 181,395 .18 4.163 ...... 185,558 .09
Petit Golve ............. 2,387,703 2.36 15,509,685 13.69 17,897,388 8.34
Port-au-Prince .......... 62,588,706 61.82 25,698,168 22.67 88,286,874 41.14
Port-de-Paix ............ 2,358,895 2.33 5,525,460 4.88 7,884,355 3.67
Saint Marc .............. 2,580.212 2.55 7,990,562 7.05 10,570,774 4.93
Total .............. 101,241,283 100.00 113,336,230 100.00 214,577,513 100.00


Shipping

During 1927-28, the net tonnage of ocean-going ships serving Haitian
ports increased, but not in proportion to the larger volume of commerce.
There were no important changes in freight rates, which remained high.
Passenger accommodations were still restricted.
Net tonnage of steamships entering Haitian ports and clearing there-
from is shown in table No. 9. Vessels entering totalled 629, against 635 in
the preceding fiscal year. Their net tonnage, however, was 1,235,393,
compared with 1,117,195 in 1926-27. American vessels, which were the most
numerous, increased from 156 in 1926-27 to 176 in 1927-28, with a propor-
tionate increase in net tonnage. Ships flying the Dutch flag were of second
importance and showed about an equal increase in number and tonnage.
Compared with the preceding year, however, Dutch tonnage increased by
23.l0 per cent, while that of American ships showed only a 6.03 per cent
increase. There was.little change in German and French carriers so far as
Haiti wasconcerned. British ships were fewer in number but increased in
tonnage from 95,219 in 1926-27 to 162,968 in 1927-28. A substantial part
of British tonnage consisted of large tourist ships which carried no freight.
Carriers of other nationalities decreased from 148 with a tonnage of 105,477
' the preceding year to 116 with a tonnage of 85,Io1 in the year just ended.
Sailing vessels, as shown in table No. 10, again decreased in number and
'n tonnage. The latter was 12,934, forming a negligible part of the total
ocean-going transportation. British sailing ships, however, increased from
33 in 1926-27 to 75 in 1927-28, while those of other nationalities decreased
from 65 to 15.
In table No. 11 values of imports are distributed according to the registry
of the carrying vessels. Out of total imports of Gdes. 101,241,283, quanti-







TABLE No. 9

NET TONNAGE OF STEAM VESSELS IN FOREIGN COMMERCE ENTERED AND CLEARED, BY REGISTRY AND MONTHS. FISCAL YEAR 1927-28

Steam Vessels Entered


Months American British !


No. I Tonnage No. Tannage
October, 1927 ........ 13 43,864 2 2,517
November ............ 13 52,677 6 6,259
December ........ 13 43,858 4 24,084
January, 1928 ....... 16 53,311 5 16,194
February .... ... 43,128 5 31,232
March 17 47,730 6 41,006
April 14 45,605 6 16,580
May......... 16 55,286 7 7,814
June 13 43,958 6 6,449
July ....... 1 57,492 7 4,870
August ........... 17 52,240 3 2,652
September ............ 1 11 41,641 6 3,311

Total ............ 176 580,790 63 162,968


Dutch French German

No. Tonnage No. Tonnage No. Tonnage
11 14,362 3 7,995 12 16,232
13 16,508 2 7,076 5 7,181
16 16,916 3 6,050 i 10 14,793
12 14,286 2 3,776 6 8,378
12 15,763 2 5,322 10 14,495
14 14,751 2 6,164 9 23,744
14 15,519 4 9,588 8 13,799
13 17,317 4 6,885 5 8,862
12 15,726 3 5,046 7 11,549
10 11,358 3 6,344 5 8,564
15 21,511 1 1,010 6 10,805
11 13,268 4 7,125 5 8,457

153 187,285 33 72,381 88 146,859


All


No.
8
9
11
22
6
10
9
17
7
9
5
3

116


Steam Vessels Cleared


Other Total

Tonnage No. Tonnage X
6,219 49 91,189 m
4,252 48 93,953 O
7,418 57 113,119 ;
14,920 63 110,865 L
5,205 50 115,145 O
7,248 58 140,643
6,849 55 107,940
10,404 62 106,568
6,915 48 89,643
7,869 52 96,497 z
3,937 47 92,155
3,874 40 77,676 5

85,110 629 1,235,393 >
---------------------------------------------------------t---
ao


Months American British Dutch French German All Other Total

No. Tonnage No. Tonnage No.- Tonnage No. Tonnage No. Tonnage No. Tonnage No. Tonnage
Oct-bcr, 1327 ..... 14 45,476 3 2,758 11 14,3G2 4 9,883 10 13,730 8 6,485 50 92,694
S .b ....... 13 52,677 4 3,973 13 16,508 2 7,076 6 9,115 8 4,325 46 93,674
recc.ber 12 42,246 6 26,370 13 14,288 2 5,322 9 13,044 13 8,387 55 109,657
January, 1928 .. 16 54,235 5 16,194 14 16,087 2 3,776 8 10,695 19 12,889 64 113,876
-,bruary 15 43,181 4 29,550 9 11,428 2 5,322 10 14,495 7 5,515 47 109,491
March .............. 17 46,753 7 42,688 14 10,238 2 3,082 9 23,744 11 8,401 60 140,906
April ............... 14 45,605 4 14,907 15 17,078 3 6,050 8 13,799 7 5,232 51 102,671
May .................. 15 53,674 8 6,941 12 15,047 4 10,174 4 7,009 19 12,020 62 104,865
June ................ 15 47,156 6 6.449 12 16,443 3 3,347 6 9,686 7 6,915 49 89,996
July .................. 16 55,229 4 3,365 11 12,416 4 8,292 6 10,427 7 5,611 48 95,340
August ............. 18 52,891 5 2,223 13 18.385 1 -1,010 6 10.803 6 5,147 49 90,561
September ........... 11 41,586 6 4,896 12 15,226 4 7,125 5 8,457 3 3,052 41 80,352

Total .... 176 0,709 62 160.414 149 183,506 33 70,459 87 145 006 115 83,989 622 1,224,08.


z

0
ret
a


----






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


ties valued at Gdes. 53,899,055 or 53.24 per cent were transported on
American ships. In 1927-28 compared with the preceding year vessels
of American registry carried substantially more in value but a slightly
smaller percentage of the total. Of American goods valued at Gdes. 76,232,


TABLE No. 10

NET TONNAGE OF SAILING VESSELS IN FOREIGN COMMERCE ENTERED AND CLEARED,
BY REGISTRY AND MONTHS. FISCAL YEAR 1927-28

Sailing Vessels Entered


American British Haitian All Other
Month
No. Tonnage No. Tonnag o. Tonnage No. Tonnage

October, 1927 ................... 2 635 3 20 1 10 1 1,333
November 54 1 10 .......
November ................................ 10 .... ......... 1
December ..................... ..... ......... 1 15 1 .. ...
January, 1928 ................... ..... ......... 2 16
February ......... ................ .... ........ 6 44 1 984
M arch ......................... ....... ......... 6 55 2 2,546
April .. .......... 12 105 ........ 1 1,995
May 7 66 ...... 1 51
M ay ...... ...................... ....... ........ 7 66 1 51
June ....................... ...... ... ......... 12 105 ........ 3 3,499
July .... .. .......... 105 .. ... .. 1
August .............. ......... 7 59 ............. 1 1199
September ................... .... ..... .... ..... .......
Total ................... 2 635 75 i 662 3 30I 10 11,607


Total

No. Tonnage

7 1,998
5 64
1 15
3 26
7 1,028
8 2,601
13 2,100
8 117
15 3.604
13 105
81 1,258
2 18
90 12,934


Sailing Vessels Cleared

October, 1927 ................... 2 635 3 20 1 10 1 1,333 7 1,998
No eber .................... ...... ......... 4 54 ... ... .. .... ......... 4 54
Decemb er ................. ...... ......... .. 1 15 1 10 .... ........ 2 25
January, 1928 .................. ........... 1 10 1 10 ...... ........ 2 20
February ......... ........ 5 4 .. 0 134
March ...................... ................... 8 70 ................ 1 94 9 1,054
A il ................ ......... 10 88 .... .. .... 3 4,541 13 4,629
May. ........... ............. ......... 9 84 ..... ...... 1 51 10 135
J ne ................... .... ... 10 87 ... ....... ............. 10 87
July 12.......... 102 ....... ........ 3 3,499 15 3601
August ...................... .... ... ... 7 59 ...... ....... 1 1,199 8 1,258
... .5 43 __ 52
September ....................... _.. 5 43 1 9 ................ 6 52
Total ........ .. 2 635 75 666 4 39 10 11,607 91 12,917


541 imported into Haiti in 1927-28, an amount of Gdes 49.576,752 was
carried on American ships. In the transportation of imported goods from
other countries, American vessels participated only slightly. Dutch vessels
with Gdes 30,603,207 were second to those of the United States with respect
to the amount of imports carried, increasing very substantially in 1927-28
the amount transported and their relative share of total imports. The
amount and percentage transported on British vessels also increased. Values
brought to Haiti by French ships increased; while those carried by vessels
of German registry declined both absolutely and relatively.
From table No. 12 it appears that Dutch ships carried Gdes. 46,515,649
or 41.04 per cent of Haiti's exports, both amount and percentage being
notably larger than in the preceding year. French ships carried a substan-













Arabia ..................
Argentina .............
Austria
Bahama Islands ........
Belgium .................
Brazil ....................
British India ...........
Canada ..................
Canal Zone ..........
China ....................
Colombia ................
Cuba ................
Curacao ................
Czechoslovakia ..........
Denmark ...............
Dominican Republic .....
Egypt .... ... ..
France ...................
French Africa .........
Germany ...............
G reece ..................
Guadeloupe ..............
Guatemala ...............
Honduras .................
Hungary .................
Italy .....................
Jamaica .................
Japan ....................
Martinique ..............
Mexico ..................
Monaco
Netherland ............
Norway .................
Palestine .................
Peru ....................
Porto Rico .............
Spain ..................
Sweden ................
Switzerland ..........
Syria .....................
Trinidad
T rinidad .................
United Kingdom ...... ,
United States ........
Venezuela ...............
Virgin Islads ...........


Total ............. 4,274,596
Per cent ............ 4.22


TABLE No. 11
VALUE OF IMPORTS, BY REGISTRY OF CARRYING VESSELS. FISCAL YEAR 1927-28


Gourdes




9,077
15

5
68,527


1,699
266,488
... .. .. .
31,027

94,965

64,232




130
1,498
2,860

800
33
6,921


............
346,839


14
i .............
............

13,114
3,365,141
1'"'fTo9


Merchandise Merchandise
Country free of subject to
,, duty duty


Gourdes
5
16
10,415
28,419
542,925
101,592
45,329
43,171
1,069
1
43,942
641,768
17,164
241,901
578,753
82
6,878,173
208
4,068,921
72
9
57
24
164
542,722
21,884
110,522
3
95

1,709,700
9,046
157
2,677
1,497,990
91,033
15,115
86,794
271
147
6,760.772
72,867.400
4,897
1,282
96,966,687
95.78


Haitian Norwegian


American British


Gourdes Gourdes



28,363
136,363 288
15
91,854 ............
91,854
13,183 .............
111,698 .............


2,991 ..............
41,551 336,540
1,092 21
122,833 ............
34,589 ............
12 ......... .
323,859 4,093

61,325 4,533
25 ........... .

4 .............


249,341 .............
......... 3,090
97,873 .............



17,132 816

S2,671.........
214,623 492,232
66,248 2

4,868...
... .. 6.. .::::::::::::

2,725,516 512,484
49,576,752 894,057
2,600 ............
3 .............
53,899,055 2,276,519
53.24 2.25


Total Per cent


Dutch French German


Gourdes Gourdes Gourdes
5 ............ ............
10 6 ..........
10
5,646 13 4,756
56 ........... ................
17,178 159 396,603

9,738 ... ... ............
26,614 3,151 12
S34' 1,035 ;;;;;...

155 10,185 5,399
265,728 20,779 13
7,426 215 8,410
89,842 25 29,203
177 26,571 36,039
............ 70 ..........
526,210 6,056,214 54,005
............ 208 ...............
1,588,873 2,111 2,465,785
...... ..... 10 ...... .....
533
*""*53... ...3...I
24.....
164 '........ ...........
145,439 40,360 106,806
3,648 ........... 16,639
15,509 ... .... ...............
............. ............ 34
864
33
1,664,146 110 34.400
3,186.............. 5,859
.............. 157 .................
.. ..... .. 6
646,112 16,359 137,838
7,142 11,596 88
8,35 ............ 6,760
53,151 2,420 26,356
5 266 I.................
147 .......... ................
3,451,029 5,685 75,094
22,064,918 .......... ...........
2,297 ........ ..........
190 2,298 ...............

30,03,207 6,200.006 3,410,968
30.23 6.12 3.37


Gourdes
............
.. ...........






.............

.. 3



.............



.............


.............


merchandisese Merchandise


Gourdes
r ............

.............














2,461
.............

.............














.............
.............
........:... ..


............ .

............ .










301,681
4,260
............
....


.............


All Other


Gourdes




1,411

2.374


1
26,911
243,305


512,404

8,757

8,065
37


........... .
... .






17



1,697

13
.......... I .3


Gourdes
5
16
10,415
28,419
552,002
15
101,592
45,334
111,698
1,009
1
45,641
908,256
17,164
241,903
609,780
82
6,973,138
203
4,133,153
72
9
57
24
164
542,852
23,382
113,382
3
895
33
1,716,621
9,046
157
2.677
1,844,829
91,033
15.115
85,808
271
147
6,773,S86
76,232,541
4.897
2,491

101,241,283


..:........ : ..............

........... 4,078
2,685,641 1,011,173


2,994,043 1,857,145
2.96 i 1.83


.01
.03
.55

.10
.04
.11


.05
.90
02
.24
.60

6.89

4.08





.54
.02
.11




.01

1.62
.09
.01
.09


6.69
75.30


100.00
100.00


I


I


I


.












TABLE No. 12


VALUE OF EXPORTS, BY REGISTRY OF CARRYING VESSELS, FISCAL YEAR 1927-28


Moer.
Country chandise
Free of
duty

Gourdes
Bahama Islands .............
Belgium ............. ............
Canada ............ .............
Canal Zone ......... 5,907
Colombia ................ ....
Cuba .......................
Curacao .....................
Denmark ........... ..........
Dominican Republic..............
Finland ..... ........... ..
France ............ ..... ..
French Africa ................
Germany ........... ........
Guatemala ......... ............
Italy ............. .. .............
Jam aica ............. .............
Japan ............... .............
Netherlands ........ .........
Norway .....................
Porto Rico ..................
Spain ........ ...... ............
Sweden
Sweden .. ........ .. ..............
Syria .. .. ....... .
United Kingdom .... ....
United States ...... 7,842
V enezuela ....... .............

Total .......... 13,749
Per cent ...........J .01


Merchandise
subject to
duty

Gourdes
90,670
7,072,644
1,091,344
78,435
500
S80,262
412,144
8,752,335
31,601
261,889
56,410,703
46,784
5,623,727
1,500
7,898,594
9,025
24,104
4.982,927
700,309
700.788
2,879,867
995,589
25
5,100,739
9,258,761
11,215

113,322,481
99.99


American


Gourdes

868,151
325
84,342
500
70,167

2,107,339

72,044
2,889,398
13,773
612,031

2,148,087

24.104
377,555
11,.760
20.490
1,633,855
496,253

279,478
2.322,438


14,136.090
1247 a


British Danish


Gourdes Gourdes
91,572 ............
1,803,082 ...........
755,000 ...........


37,460 ..........
1,005,643 428


6,260,304 325,824

260,583 ..........

660,083 ............



53,524..........
15.070 ............

34,533 ...........

1,392,908 294,050



12,652,830 620,302
11 In 55


Dutch


Gourdes
5,098
2,618,134
3,188

207,882
193,412
3,694,186
7,358
133,167
20,897,251
33,011
2,168,112
1.500
4,022,526
2,500

3,733.202
330,079
121.495
1,215,945
301.482

1.091,513
5,703,393
11,215

46,515,649
41.04


French


German


Haitian


I I I I


Gourdes

508,211


800

1,133,718
5,682

16,005,749

401,228

367,783


268,833
81,086
22,783
30,067
65,968
25
408,466



19,300.399
17.03


Gourdes

1,275,066



43,400
811,021
4,300
56,678
9,512,072

2,181,773

700,115
6,525

320,269
99,860
320,470

97,353

790,809
202,965


16,422.676
14.49


Gourdes

...1...



.............









135,472
.. .
.... .
.... .


.... .
.............

.............

.... .
.... .
.... .. .
............-.
.............
............ I
............ .
..............
............
..............

135,472
.12


Norwegian


Gourdes


200,080



855,017


1,425,326
1.26


All other


Gourdes


332,831


601,413
2,400


400
.............

843,515
182,790


2,127,486
1.88


Total


Gourdes
96,670
7,072,644
1,091,344
84,342
600
880,262
412,144
8,752,335
31,601
261,889
56.410.703
46,784
5,623,727
1,500
7,898,594
9,025
24,104
4,982,927
700.309
700.788
2,879,867
995,589
25
5,100,739
9,266,603
11.215

113,336.230


Per cent



.09
6.24
.96
.07

.78
.36
7.72
.03

49.77
.04
4.96

6.97
.01
.02
4.40
.62
.62
2.54
.88

4.50
8.18
.01

100.00


I


.y


-1-1------


1116 55


1 247





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


tially larger amount of outgoing freight and a slightly increased percentage
of the total. American, British and German ships likewise profited from
the enhanced exports of 1927-28; but with a diminution in each case of
their percentages of the total.
During 1927-28 there were some indications of improvement in the
coastwise service. Practically the entire coastwise trade of Haiti is carried
on ocean-going ships, which call at the several ports, or on small sailing
'.hips. There is need of more rapid and regular service.
During a part of 1927-28, Port-au-Prince was connected by aeroplane
servicee with Santo Domingo, San Juan (Porto Rico) and Santiago (Cuba).
The geographical position of Haiti would seem to make it a natural link
in any Pan-American air route. It is hoped that Haiti's need for more rapid
rail and passenger connections with neighboring countries may be met
in the near future by the establishment of a permanent air service.

Foreign Commerce by Months and by Ports
Tables Nos. 13 and 14, showing imports and exports respectively by
months and by ports, make possible an analysis of the behavior of Haitian
trade, indicate certain weaknesses in the economic situation, and offer
opportunity for the detection and calculation of tendencies favorable or
unfavorable. Haitian exports, as previously explained, are subject to mark-
ed periodicity, rising during the "active season" and falling during the
"dead season". Crop uncertainties and variations introduce an element of
instability into the import trade, although imports show less periodicity
than exports.
In 1927-28 imports reached their maximum in December with Gdes.
9,750,443 and their minimum in July with Gdes 7,150,581. Average monthly
imports during the year were. Gdes 8,436,774. December was 15.57 per cent
above the average; July, 15.25 per cent below; a total divergence of 30.82
per cent. In 1926-27, the total deviation, similarly calculated, was 50.59 per
cent. In 1925-26 it had been 92.55 per cent. In general the trend in recent
years, confirmed by the results of the year just closed, can be viewed as dis-
tinctly favorable. More uniform distribution of imports is desirable from
the fiscal and transportation standpoints, and it may indicate increased sta-
bility in purchasing, which is beneficial to the mercantile community and to
the country in general. The latter conclusion can probably be justified only
by calculating the deviation from the average at each port for the last few
years. Curves representing monthly imports drawn for the various ports
show a steadying tendency during the last five years, at all ports except
possibly Jer6mie and Gonaives.
Exports, of course, show a more marked seasonal character than imports;
and, unfortunately, periodicity in exportation shows no tendency to decrease.
The total deviation from the average of exports in 1925-26 was 121.60 per






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


cent; in 1926-27, it was 136.49 per cent. In 1927-28, average monthly ex-
ports were Gdes. 9,444,686; those of the highest month, March, were Gdes.

17,032,159 or 80.34 per cent above the average. The lowest month, Sep-
tember, showed exports amounting to only Gdes. 2,442,868 or 74.14 per
cent below the average. The total of these deviations was 154.48 per cent.


TABLE No. 13

VALUE OF IMPORTS, BY MONTHS AND PORTS OF ENTRY.
FISCAL YEAR 1927-28, COMPARED WITH 1926-27


Port of Entry October November


Gourdes Gourdes
Aquin ........... 395 553
Belladire 17,619 9,870
Cap Haitien .. 869,499 946,852
Cayes .... 452,451 457,913
Glore ............ 5,281 5,985
Gonaives .. 377,156 507,255
Jacmel .......... 481,576 612,090
Jrmmie .......... 212,373 325,974
Miragolne ....... 61,198 45,718
Ouanaminthe ... 15,434 15,614
Petit Gove ... 123,218 214,159
Port-au-Prince .. 5,932,668 5,409,043
Port-de-Paix .... 149,888 271,581
Saint Marc ...... 112,990 306,813

Total 1927-28 .. 8,811,746 9,129,420
Total 1926-27 ... 8,770,750 7,558,114

Increase 1927428 40,996 1,571,306
Decrease 1927:28 ........... .........


December January

Gourdes Gourdes
99 81
24,786 5,094
1,076,654 839,453
759,125 596,532
5,150 1,735
659,259 376,337
687,991 520,788
256,425 416,859
132,814 68,874
14,551 6,814
261,818 247,120
5,451,807 4,636,819
257,936 204,676
162,028 198,668

9,750,443 18,119,850
7,539,320 5,891,412

2,211,123 2,228,438
. .......... ..- ...--


Port of Entry June

Gourdes
Aquin ..................
Belladre ... 19,771
Cap Haitien ....e 556,786
Cayes ........... 481,629
Glore ........... 10,904
Gonaives ........ 304,463
Jacmel .......... 395,164
Jirimie .......... 184,262
Miragolne ...... 57,080
Ouanaminthe ... 10,557
Petit Goive .... 180,973
Port-au-Prince .. 4,733,853
Port-de-Paix .... 167,913
Saint Marc ...... 155,079

Total 1927-28 ... 7,258,434
Total 1926-27 ... 5,856,183

Increase 1927-28 1,402,251
Decrease 1927-28 .........


July

Gourdes
153
18,305
718,831
573,532
2,845
372,817
287,454
146,015
109,388
12,106
141,845
4,353,483
254,036
159,771

7,150,581
5,805,488

1,345,093


August September


Gourdes Gourdes
314 407
1,076 69,632
897,051 861,520
727,106 645,698
4,458 3,775
326,167 383,944
386,456 510,223
190,926 280,491
107,820 137,535
28,165 7,520
193,396 211,296
5,517,370 5,024,674
168,463 186,899
122,309 179,962

8,671,077 8,503,576
6,845,105 7,492,428

1,825,972 1,011,148


Greater uniformity in exportation should obviously result from the increased

production of crops which are exportable during what is now the "dead
season". It is certain, however, that any progress that may have been
made in the diversification of Haitian production has not yet had any per-
ceptible effect on the seasonal character of exports.


February

Gourdes
260
10,438
626,182
641,412
15,557
447,232
388,326
183,058
128,575
8,600
191,519
5,303,319
154,656
317,526

8,416,660
5,567,697

2,848,963


March

Gourdes
756
6,219
856,836
644,632
9,959
426,171
425,493
259,974
136,124
18,257
224,118
5,814,994
191,996
313,356

9,328,885
6,086,829

3,242,056


April

Gourdes
21
18,387
800,253
412,709
9,370
398,377
327,435
162,967
74,529
32,496
183,138
5,282,270
176,224
352,170

8,230,346
5,450,886

2,779,460
............


May

Gourdes
248
3,165
709,141
464,023
6,781
241,157
388,373
252,158
76,262
11,281
215,103
5,128,406
174,627
199,540

7,870,265
5,892,388

1,977,877


Total
1926-27

Gourdes
24,739
222,478
6,937,571
7,243,564
100,181
3,309,762
4,414,352
2,073,507
1,069,166
150,580
2,229,860
46,488,467
1,865,277
2,627,096


78,756,600 0


Total
1927-28

Gourdes
3,287
204,362
9,759 058
6,856,762
81,800
4,820,335
5,411,369
2,871,482
1,135,917
181,395
2,387,703
62,588,706
2,358,895
2,580,212

101,241,283


22,484,683
.............


Increase


Gourdes


2,821,487

1,510,573
997,017
797,975
66,751
30,815
157,843
16,100,239
493,618


22,976,318


Decrease


Gourdes
21,452
18,116
386,802
18,381






. 46,884

491,635


.


""""" '~~~~~~~~






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


TABLE No. 14

VALUE OF EXPORTS, BY MONTHS AND PORTS OF SHIPMENT.
FISCAL YEAR 1927-28, COMPARED WITH 1926-27

Port of Shipment October November December January February March April May

Gourdes Gourdes Gos Goude Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin .................... 44,196 63,229 35,722 60,407 72,132 42,030 78,006
Belladre .......... 400 .468 1,250 3,325 1,050 800
Cap Haitien ...... 1,742,303 1,544,837 1,443,061 1,773,200 1,830,750 2,155,185 1,456,282 917,818
Cayes .............. 607,664 897,467 1,108,218 787,968 1,012,364 805,983 293,297 329,181
Glore .......... .. ... ................ 28 .
Gonaives .......... 541,560 830,855 973,646 1,099,248 1,399,275 1,423,481 1,153,331 875,155
Jacmel ........... 891,315 2,038,813 2,758,289 2,372,158 2,426,925 2,633,963 1,675,428 842,720
Jiremie ............ 481,329 664,585 1,177,721 698,097 508,665 49.208 160,053 545,893
Miragoine ........ 134,610 150,621 519,656 422,173 532,756 647,463 373,239 267,790
Ouanaminthe ..... 314 259 581 421 711 556 770
Petit Golve ...... 791,360 1,338,925 2,050,853) 1,819,615 2,315,367 1,827,255 1,880,064 1,204,411
Port-au-Prince ... 1,138,666 1,890,837 3,198,631 2,567,488 3,665,923 4,436,928 2,848,820 2,425,312
Port-de-Pai ..... 608,427 552,862 797,539 782,514 689,508 749,334 443,976 308,721
Saint Marc ........ 315,222 157,269 514,252 370,753 1,353,755 1,807,346 1,063,210 932,565
Total 1927-28 ... 7,253,170 10,111,526 14,605,676 12,729,825 15,797,684 17,032,159 11,391,550 8,728,372
Total 1926-27 ... 7,461,799 7,978,731 10,284,719 8,125,163 9,745,848 9,486,463 8,210,434 4,746,605
Increase 1927-28 .......... 2,132,795 4,320,957 4,604,662 6,051,836 7,545,696 3,181,116 3,981,767
Decrease 1927-28 .. 208,629 ............ ........ ... ........ ............. ........... ....


Total Total Increase Decrease
Port of Shipment June July August September T192- In Decrease

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin ............. 49,736 ................... 12,534 457,992 718,469 ............ 260,477
Belladire .......... 842 904 625 300 9,964 7,014 2,950..
Cap Haitien ...... 791,449 655,826 257,179 189,277 14,757,167 8,092,752 6,664,415 .........
Cayes .............. 449,537 100,059 136,396 519,430 7,047,564 6,661,198 386,366 ........
Glore ............... ... ...... ....... 81 134 723 ........... 589
Conaives ......... 805,082 381,277 147,970 47,356 9,678,236 5,829,061 3,849,175 ............
Jacmel ............ 580,959 390,991 304,068 357,443 17,273,072 11,093,943 6,179,129
Jirmie ............ 308,837 266,492 196,695 271,233 5,748,808 4,054,186 1,694,622 .......
Miragoine ........ 153,141 180,407 172,942 80,457 3,635,255 2,343,078 1,292,177 ........
Ouanaminthe ..... 220 165 166 ......... 4,163 2,400 1,763 ..........
Petit Golve ...... 750,644 712,177 508,878 310,136 15,509,685 9,670,818 5,838,867 ........
Port-au-Prince ... 1,672,969 1,005,416 479,454 367,724 25,698,168 18,759,081 6,939,087 .........
Port-de-Paix ..... 207,143 141,690 140,948 102,798 5,525,460 3,300,190 2,225,270 ............
Saint Marc ........ 394,181 589,524 308,386 184,099 7,990,562 5,962,529 2,028,033..
Total 1927-28 ... 6,164,765 4,424,928 2,653,707 2,442,868 113,336,230 ........... 37,101,854 261,066
Total 1926-27 ... 3,544,293 2,313,087 1,584,390 3,013,910 ............. 76,495,442 ....... ........
Increase 1927-28 .. 2,620,472 2,111,841 1,069,317 ............ 36,840,788 .......
Decrease 1927-28 .. ..................... .......... 71042 .... .......


Commodities Imported

In table No. 15, twenty-six commodities or classes of commodities im-
ported into Haiti are presented with the import values of each for r927-28
and 1926-27, including, so far as possible, averages for previous periods
of the Receivership and for the entire period. In order to make a more
detailed study of imports several items are shown separately for I926-27
and 1927-28 which cannot be segregated for previous years. This detracts
somewhat from the comparability of certain averages shown in this table
but makes little difference so far as general conclusions are concerned.
In table No. 16 quantities of imports are shown for twelve commodities.









TABLE No. 15

VALUE OF IMPORTS, BY COMMODITIES. FISCAL YEARS 1916-17 TO 1927-28


Commodity



Agricultural implements ..........................................
Books and other printed matter ..............................
C em ent ............................................ ...............
Chemical and pharmaceutical products ......................
Household utensils: crockery, glassware, porcelain, cutlery
and kitchen utensils of aluminium, iron and steel .........
Fibers, vegetable, and manufactures of, other than cotton
and textiles ........ .... ..................... ........ .......
Foodstuffs:
Fish ...................... ...............................
W heat four .................................................
Meats .................. ..... ...... ..... .......
Rice .. .............. ................ .....
A ll other ................................. ................
Iron beds ............................................
Iron, steel and manufactures, other than specified ............
Leather .................. ........ ..............................
Liquors and beverages .......................................
Lum ber ...........................................................
Motor vehicles:
Automobiles, passenger ....................................
T rucks .. .. ...... ................................
Oils, mineral:
Gasoline ................................. ...........
Kerosene ............... ..................................
A ll other ............... .............. ..........
Shoes ........................................... ........ .....
Soap .............. ...................................... .....
Textiles ... ..................................................
Tobacco .. ...........................................
A ll other .................... ...................................

T otal ........... ... ....... ......................


Average
1916-17-1920-21


Gourdes

.......................
453,756
644,320


2,114,647
2,380,691
10,671,303
1,129,413
1,735,650
6,544,557

3,460,075
780,115
1,229,720
1,054,752


354,469
1,108,696
175,174
........................
3,849,333
21,766,374
2,009,210
13,797,749


Average
1921-22-1925-26


Gourdes
.......................*
.......................
426,121
928,705


1,856,885

3,289,025
12,044,975
1,452,559
1,293,365
5,786,803
3,411,649
785,827
1,433,548
1,345,746


855,634
935,008
361,676
.... .............. *
3,060,897
23,210,837
1,770,269
16,043,804


75,260,004 80,293,333


1926-27


Gourdes
595,000
241,017
952,613
858,727

1,223,128

1,280,368
4,033,060
11,456,714
1,509,395
1,850,807
7,030,371
80,369
3,522;428
262,635
913,320
1,701,620

1,528,267
446,360

2,115,890
1,214,877
618,624
889,095
3,192,235
16,835,439
89,992
14,314,249
78,756,600


1927-28 Average
1927-28 1916-17-1927-28


Gourdes
581,431
282,694
894,552
1,098,676

1,396,442

1,441,925

4,546,563
14,229,947
1,556,284
2,065,855
7,996,509
92,105
4,338,776
495,659
1,607,748
2,109,083


2,010,409 ..........
774,034 ........


2,408,851
1,376,559
1,015,879
1,355,267
3,451,433
23,281,222
733.529
20,099,851

101,241,283


Gourdes
.............
.............* 0
520,546 W
818,544
0
.............*

1,881,663 |
3,077,350 z
11,605,671 n
1,331,295 S
1,588,478 r
6,390,307 :.
.............* o
3,518,319 <
715,667
1,319,784
1,317,766


m
881,271 .
1,067,496 t
359,896
.............* Mtr
3,432,902 G
22,083,560
1,643,410 m
15,301,822 P

79,813,714


'No separate figures available.


1~1~


,


"No separate figures available.


..... .. .
..... .



..... .






..-.........


.. ........................
... ... ........... ...... *


. .........





















TABLE No. 16


QUANTITY OF IMPORTS, BY COMMODITIES. FISCAL YEARS 1916-17 TO 1927-28

CommodityAverage Average 1926-2 192Average
Commodity Unit 1916.17-1920-21 1921-22-1925-26 1926-27 1927-28191617-1927-28

Cement ........................ Kilo .. ...... .... 3,518,741 5,675,884 13,552,117 12,092,361 5,968,134
Foodstuffs:
Fish ..................... Kilo ..................... 2,166,642 4,298,888 7,486,565 7,137,251 3,912,622
Wheat flour ............ Kilo ..................... 12,354,104 28,161,255 25,058,159 32,657,546 21,691,042
Meats .................... Kilo ..................... 500,144 923,154 1,290,337 1,344,434 812,605
Rice .................. Kilo .675,744 2,859,235 4,113,816 5,453,914 2,270,219
Liquors and beverages ....... Liter ..................... 686,337 1,126,049 870,351 1,266,456 933,228
Lumber ... ............... Cub. Met. .............. 6,769.43 14,321.29 15,557.94 19,234.49 11,687.17
Oils, mineral:
Gasoline ..... ... Liter ..............Litr .... 547,523 2,254,239 5,546,920 6,238,332 2,149,505
Kerosene ................. Liter .. ............... 2,894,769 3,623,516 4,658,299 5,055,440 3,525,430
Soap ........................... Kilo ..................... 2,830,380 3,605,622 4,076,929 4,449,942 3,392,240
Textiles ................... Kilo .. 3.063,308 3,862,943 3,071,724 4,095,936 3,483,243
Tobacco ................. Kilo : 694,984 821,907 46.841 471,997 675,274


I






HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


It is interesting from the standpoint of economic and social progress
to note how the Haitian people use their purchasing power. Income re-
ceived in 1927-28, was, of course, employed in part for the purchase of goods
imported during the previous year and another part will be exchanged for
goods imported in the present year. Statistics of imports are inaccurate as
an indication of actual consumption in any year; but as an indication of
general conditions and trends they are highly informative. Compared with
:926-27, importations of agricultural implements and cement decreased
during 1927-28. In the case of agricultural implements the decrease was
slight, but purchases of this class of commodities can scarcely be expected
consistently or rapidly to increase. There was a substantial addition to
present equipment; and this by itself may be viewed as satisfactory. Cement
for construction is being partly replaced by bricks manufactured in Haiti
and this development of domestic industry should not be deprecated.
That there has been continued and growing construction activity is shown
by imports of lumber, which have consistently increased in recent years.
Construction work is also indicated by an augmentation of 23.18 per cent
in imports of iron and steel and their manufactures. Such purchases cons-
titute convincing evidence of development on a sound basis, of improve-
ment in material well-being, and of enhanced wealth and productivity.
Building of dwellings is not confined to the cities or to the relatively
well-to-do. Improvement in housing is perhaps even more noticeable in
many rural districts, where galvanized iron is replacing the use of thatch
for roofing, wattle and mud are giving way to lumber for sidings, and
better doors and windows are being installed. Enhanced buying power and
improvement of the standard of living are further suggested by increased
imports of books and other printed matter, chemical and pharmaceutical
1-roducts, household utensils, foodstuffs, iron beds, motor vehicles, shoes,
soap and textiles. There is no doubt that many such imports are luxury
articles and not essential to local welfare or progress. It is believed,
however, that most of the importations enumerated above have a direct
relation to health, better living and general social progress.
It may seem anomalous that a tropical country predominantly agricultural
should import foodstuffs amounting in value to 30.02 per cent of all imports.
Dependence on outside sources for the food supply of a relatively dense
population such as that of Haiti is not desirable; but large importations
of foodstuffs in the case of this country do not necessarily signify depen-
dence. Neither Haitian food production nor the common diet is balanced
or complete. Imported foodstuffs are believed to represent in the main, so
far as Haitian consumption is concerned, an improvement and balancing
of the diet. It would be desirable, of course, if the demand for foodstuffs
now imported could be wholly satisfied by domestic production. Many of
the imported articles are already produced within the country but not in
sufficient quantities. If a greater variety in food production accompanies






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


agricultural development, importation of foodstuffs should tend in the
future to become relatively less important. It will be noted that due to
a sharp increase of prices, imports of fish, while rising in value, declined
in quantity. Textiles in 1927-28 comprised 23.00 per cent of all imports and
during the twelve years of the receivership 27.67 per cent. Cotton clothing
constitutes the greater part of such importations. Textile imports showed
a substantial increase in 1927-28; and the increase should continue in the
future unless the manufacture of cotton fabrics should be established in
Haiti. Raw materials for cotton manufacture are produced in the country;
and, in the opinion of this office, a cotton factory to supply the local market
might be found to offer opportunity for profitable investment.
Sustained and increasing imports of motor-vehicles and gasoline reflect
the marked improvement that has taken place in transportation facilities
and furnish additional evidence of a rising standard of living. Automobile
traffic on the streets and highways of Haiti is steadily growing, accompanied
by an increase in the transportation of passengers, freight and mail by
motor.
Augmented imports of liquors and beverages in 1927-28 as compared
with the previous year was the natural result of two conditions: the abnor-
mal decline of such imports in 1926-27 due to the accumulation of stocks
in 1925-26 in anticipation of the new tariff, and similar purchases during
the year just closed in anticipation of the new excise tax.
Unit prices of imports in 1927-28 showed on the whole no marked trend
either upward or downward as compared with the previous year. Prices for
fish and food staples of the people rose sharply; other imported foodstuffs
were slightly cheaper. Lumber and cement remained stable. Gasoline and
kerosene again increased and by the same rate as in the previous year. Soap
declined slightly in price and textiles were valued appreciably higher.
Unit values of principal imports appear below:


Cement ......................
Fish ..........................
Wheat Flour ...............
Meats .......................
Rice ..........................
Liquors .....................
Lumber ......................
Gasoline ...................
Kerosene ....................
Soap .........................
Textiles ....................
Tobacco .....................


1925-26 1926-27
Gourdes Gourdes
kilo .............. 0.07 0.07
"0 ............. 0.63 0.54
" .............. 0.48 0.45
" .............. 1.38 1.17
"0 .............. 049 0.44
liter ............. 1.04 1.04
cubic meter ... 98.60 109.37
liter ............ 0.37 0.38
............. 0.24 0.26
kilo .............. 0.80 0.78
............. 6.48 5.48
S .............. 1.87 1.92


1927-28
Gourdes
0.07
0.64
S0.43

0.38
1.27
o09.65
0.39
0.27
0.77
5.68
1.55







HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER 23

Commodities Exported

Table No. 17 presents the values of the principal commodities which
enter into the export trade of Haiti. Of the twelve products specifically
named, six showed increases in 1927-28 as compared with 1926-27 and six
showed decreases. Each of the five important exports, cacao, coffee, raw
cotton, logwood and sugar, were, with the exception of sugar, markedly
greater in value in 1927-28 than during the preceding year, and all, with
the exception of logwood, surpassed the average for the receivership period.

Coffee is of chief interest and constituted 79.04 per cent of the total
value of Haitian exports, as shown in table No. 20. Exports of coffee in
1927-28, as shown in table No. 18, amounted in quantity to 41,146,804 kilos,


TABLE No. 17

VALUE OF EXPORTS, BY COMMODITIES
FISCAL YEARS 1916-17 TO 1927-28

Average Average Average
Commodity 1916-17- 1921-22- 1926-27 1927-28 1916-17-
1920-21 1925-26 1927-28

Gourdes Gourdes Gourdes Gourdes Gourdes
Beeswax .................. 59,995 4,053 13,783 5,982 28,334
Cacao ..................... 2,726,921 1,240,007 1,680,933 2,227,742 1,978,610
Coffee ..................... 46,999,359 60,437,516 56,921,970 89,582,312 56,974,055
Cotton, raw .. ........... 5,595,881 9,186,908 7,334,573 10,007,602 7,604,676
Cottonseed ............... 428,686 761,204 591,465 144,114 557,086
Honey ...................... 794,093 344,518 751,149 630,063 589,522
Lignum-vitae ............. 436,616 200,299 100,038 87,058 280,973
Logwood ................. 6,145,079 2,286,293 2,589,206 3,534,840 4,023,409
Logwood extract ......... 193,882 492,934 286,173
Skins ............... 1,502,690 424,678 613,775 710,634 913,437
Sugar ..................... 1,876,976 2,403,398 3,402,735 3,251,211 2,337,984
Turtle shells ............. 61,149 95,205 67,103 24,250 72,760
All other exports ........ 2,828,645 1,254,498 2,428,712 3,130,422 2,164,571

Total ............... 69,649,972 79,131,511 76,495,442 113,336,230 77,811,590



TABLE No. 18
QUANTITY OF EXPORTS, BY COMMODITIES
FISCAL YEARS 1916-17 TO 1927-28

Average Average Average
Commodity 1916-17- 1921-22- 1926-27 1927.28 1916-17-
1920-21 1925-26 1927-28

Kilos Kilos Kilos Kilos Kilos
Beeswax .................. 19,179 2,910 4,095 3,063 9,800
Cacao .... 1,958,938 1,908,678 1,629,979 2,393,486 1,946,795
Cofee ..................... 29,308,341 32,060,107 28,692,984 41,146,804 31,390,169
Cotton, raw ......... 2,488,291 3,895,790 4,900,945 4,427,337 3,437,391
Cottonseed .......2,480,810 5,604,338 4,746,216 787,149 3,829,925
Honey ................ 731,881 547,907 787,827 660,505 653,939
Lignum-vitae 4,036,786 2,710,876 693,804 603.794 2,919,659
Logwood ............. 54,889,424 27,816,496 28,084,183 36,361,678 39,831,288
Logwood extract .......... 118,537 859,178 407,381
Skins ..................283,467 132,282 182,180 210,656 205,965
Sugar ............2,543,397 6,879,930 9,841,398 12,016,554 5,747,882
Turtle shells ............ 1,635 1,478 1,275 1,524 1,530
ii






HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


an increase of 43.40 per cent over the quantity exported in 1926-27 and
31.08 per cent over the average for the receivership period. In fact, exports
of this principal Haitian product were substantially larger in 1927-28 than
in any preceding year since reliable statistics have been available. This
result was largely due to exceptionally favorable weather conditions affect-
ing the crop. Nevertheless, such a striking increase clearly indicates the
existence of more or less permanent influences favoring larger production
and exportation. Enhanced prices have no doubt stimulated better care of
the growing crop and more thorough harvesting and marketing. The
price increase in 1927-28 resulted in an augmentation of the value of coffee
exports more than in proportion to the increase in quantity. Total export
values of this commodity reached Gdes. 89,582,312, surpassing the figure for
1926-27 by 57.38 per cent and the average for the twelve years of the
Receivership by an almost equal percentage.
In chart No. I an attempt has been made to show graphically the relation
of the coffee trade to total exports and the close correspondence on the
whole between total exports and total imports. From 1923-24 to 1927-28,
inclusive, the curve of total exports approaches and almost exactly parallels
the curve representing coffee exports. Imports show a steadying tendency
but rise and fall with exports. Thus the purchasing power and welfare
of the people as well as the economic situation in general depend on the
state of the. coffee trade. Consequently any indication of a permanent
improvement of coffee exports is particularly significant and gratifying.
. Reference has been made previously to the position of France in the
coffee trade of Haiti and to the steps which have been taken to promote
Haitian exports in general.
It would be interesting to know the annual coffee production of the
various producing regions but no accurate figures are available. The
quantity exported from any port is not a reliable indication of produc-
tion in the region tributary to that port, since coffee raised in one district
is frequently transported to another for shipment. Since 1890-91, there
have been some interesting changes in the importance of the various ports
with respect to coffee shipments. Port-au-Prince has declined in relative
importance; but in 1927-28, according to the figures presented in table
No. 19, it was still the leading coffee-shipping port but with only 19.63
per cent of the total quantity; Jacmel barely held second place with 17-54
per cent; while coffee exports at Petit-Goave have risen to 17.18 per cent of
the total; the standing of Cap-Haitien remained about the same; Gonaives
took a smaller share; the percentage of Cayes decreased almost one-half;
Port-de-Paix has increased; Jeremie shipped 4.80 per cent of the total;
Miragoane has increased until it now ranks close to Jeremie; St. Marc
had only 2.05 per cent, and Aquin 0.36 per cent.
There are several modern and well-managed plants in Haiti for preparing




18 MILLION GOURDES

17

1 '5-L- -














10
ii i

I ,














1A N 1_ I----- O -F F-- A
:2 F I i I
,o __ A0.R i- "






Ii \ I





L i L 1 _! I 'L '
::::
"I--- L L -- -- i-I --^ _________^ : t
T-- - J -! o-- - -
\X- t-- - -ri_ -
S^iE^MnAlO~nMA~nS~D^MM^^^^EEaE i!SNQ M ',~


19I5-1926


rJ.DOUOCHHL
Dyy.


192G-1327


1927-1928


IMPORT EXPORT.S .... COFFEE EXPORTS....
VALUES OF
IMPORTS EXPORTS
COFFEE EXPORTS


1 1923-1524


I 1924-1925



























TABLE No. 19


QUANTITY AND VALUE OF FIVE PRINCIPAL EXPORTS, BY POR'


Port


A quin .........................
Belladire .....................
Cap Haitien .................
C ayes .........................
Gonaives ....................:
Jacm el .......... ......... ..
JNrimie .....................
Miragolne ....................
Ouanaminthe ..................
Petit Golve ............... .
Port-au-Prince ..............
Port-de-Paix ...............
Saint Marc ..................

Total 1927-28 ..............
Total 1926-27 ..............

Increase 1927-28 ...............
Decrease 1927-28 ...........


Coffee


Kilos Gourdes
148,951 325,156
32 68
5,590,221 12,108,271
3,184,599 6,787,054
3,375,320 7,419,462
7,217,266 15,619,254
1,973,032 4,355,156
1,406,354 3,152,171
194 261
7,068,702 15,482,321
8,075,753 17,604,745
2,264,302 4,873,269
842,078 1,855,124

41,146,804 89,582,312
28,692,984 56,921,970

12,453,820 32,660,342
... .. ......... I. ... .....


Cotton


Kilos Gourdes
1,169 2,271

6,779 15,944
25,470 60,539
761,926 1,747,792
566,310 1,279,350
... ...................



1,141,853 2,599,707

1,923,830 4,301,999

4,427,337 10,007,602
4,900,945 7,334,573

................... 2,673,029
473,60 ................


TS, FISCAL YEAR 1927.28, COMPARED WITH FISCAL YEAR 1926-27
0
Pu
Logwood Sugar, raw Cacao, crude


Kilos Kilos rds ilos Gourdes Kilos Gourdes
826,000 83,900 ............................. 191 165

13,291,525 1,303,026 .. .... ................. 370,788 337,087
32,128 3,447 .............................. 11,779 11,340 >
1,873,569 172,597 ............... ................ ............... ................
................ ............... ................ ............... .. ............. ................ >
............. ................ ................ 1,395,739 1,322,730 z
3,991,000 383,691 ................ ............. ............
.... 1 ,0... 6 91.... ............. .. ............. 0 4 5
......... .. .. ... ... .. ...... ... ... ......... ....... 4
1,834,850 182,582 12,016,554 3,251,211 293,695 266,997
2,057,550 202,359 ............................ 321,244 289,378
12,455,056 1,203,438 .......... .. ................. ........... z

36,361,678 3,534,840 12,016,554 3,251,211 2,393,486 2,227,742
28,084,183 2,589,206 9,841,398 3,402,735 1,629,979 1,680,933

8,277,495 945,634 2,175,156 ................ 763,507 546,809
....... ................. ................151,524 ...... .. ................
toJ


----c*------ ---


----" ------r--~------- -------- --------






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


coffee for shipment. For the most part, however, absence of cultivation
and primitive methods of harvesting and preparation have handicapped
the sale of this important product. Pruning alone would produce a larger
berry and a better yield, yet this simple method of cultivation is rarely
employed. Haitian coffee is of the highest grade; it has been successfully
grown in Haiti for two hundred years; an established market exists, but
there is not yet a modern coffee plantation in the country. There are no
insuperable obstacles in the way. Suitable land is believed to be available
for purchase or rental. Security now exists; there is an abundant labor
supply; and the needed capital and skilled management will be welcome.
Near the end of the fiscal year just closed there were encouraging indica-
tions that capital was becoming interested in the opportunities offered by
coffee production in Haiti. A promising movement was also under way
among shippers with a view to the standardization of the different grades
of Haitian coffee. The benefits of proper standardization to the export trade
can scarcely be overestimated. As will be discussed later, the eventual
removal of export duties on coffee has been provided for by law, and it is
hoped will soon be realized, at least so far as the better grades are concerned.
After coffee, the most important export on the basis. of value was raw
cotton. Shipments of this product in 1927-28 decreased in quantity compar-
ed with the preceding year, but due to a marked increase of price, values
were 36.44 per cent above those of the preceding year.
Exports of logwood increased substantially both in quantity and value.
Shipments of raw sugar showed a gratifying increase in quantity but a
slight decline in value. It is believed that considerable increase in the
production of sugar would follow the introduction of disease-resisting
varieties of cane. There are large areas in various parts of Haiti suitable
for the production of sugar and labor conditions are unusually favorable,
yet it is produced for export only by one company located at Port-au-Prince.
Exports of cacao showed an encouraging advance both in quantity and
value, both being above the average of the receivership period.
Of the minor exports larger values were reported only for skins, while
recessions occurred with respect to beeswax, cottonseed, honey, lignum-
vitae and turtle shells. The export of honey has probably been unfavorably
affected through the use by a few exporters of barrels previously used as
containers of imported pickled fish and from which the objectionable odor
has not been removed. The decline in cottonseed exports was due to the
larger utilization of this product in the domestic manufacture of lard subs-
titutes and soap. This industrial development, together with striking expan-
sion in the production and manufacture of tobacco, are two of the
conspicuously beneficial effects of the tariff of 1926.
There are certain other exports, which constitute at present a negligible
part of the total, but which are interesting from the standpoint of extending






28 HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

and diversifying agricultural production. Most interesting is sisal. In a
later section of this report reference will be made to the large-scale cultiva-
tion of this product which has been inaugurated notably in North Haiti
during the past two years. In 1926-27 a quantity of 8,463 kilos was exported


TABLE No. 20
PERCENTAGE OF VALUE OF EXPORTS, BY COMMODITIES
FISCAL YEARS 1916-17 TO 1927-28

Average Average Average
Commodity 1916-17- 1921-22- 1926-27 1927-28 1916-17-
1920-21 1925-26 1927-28
Per cent Per cent Per cent Per cent Per cent
Coffee ...................... 61.46 75.49 74.41 79.04 69.85
Cotton ..................... 8.73 11.98 9.59 8.83 10.16
Logwood ................... 9.31 3.01 3.39 3.12 5.68
Sugar, raw ................ 3.27 3.31 4.45 2.87 3.35
Cacao, crude .............. 4.36 1.40 2.20 1.97 2.75
All other ................... 12.87 4.81 5.96 4.17 8.21
Total ................ 100.00 100.00 100.00 100.00 100.00


to France. In 1927-28 sisal exports to France greatly increased, an even
;arger quantity was shipped to the United States, and a smaller shipment
was made to Germany. Total shipments amounted to 31,341 kilos. As sisal
production on a substantial scale has only recently begun, as the product
matures in about three years after planting, and as the acreage devoted to
this product is being extended each year, its full significance in the export
trade will be gradually manifested in succeeding years.
Tropical fruits are produced abundantly in Haiti and should undoubtedly
contribute more largely to the export trade. The value of total exports
of fruit almost doubled in 1927-28 as compared with the preceding year.
Activity in the exportation of bananas was noticeable in the year just closed;
and, as a means of encouragement, a law was enacted removing export
duties on this product. In 1925-26 such exports were infinitesimal; in 1926-
27 there were none; in 1927-28 bananas valued at Gdes. 4,046 were shipped,
mainly to the United States. As in the case of coffee, there is a large
production of bananas in Haiti but no plantation. It is believed that land
of sufficient acreage and receiving ample rainfall is available, with a location
near a suitable point of shipment. Exportation of pineapples both fresh
and canned was started in 1927-28, with shipments totalling 185,643 kilos
foreshadowing it is hoped the success of a plantation which was established
near Cap-Haitien several years ago. The production of tropical fruits in
Haiti will repay investigation as apparently attractive investment opport-
unities.
As already indicated, Haitian export trade in 1927-28 benefited in general
from higher prices. Coffee and cotton were especially favored. Cacao






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


and sugar were the only products that suffered materially from reduced
prices. Unit prices of Haiti's principal exports were:

1925-26 1926-27 1927-28
Gourdes Gourdes Gourdes
Commodity per kilo per kilo per kilo
Beeswax ............................... 3.31 3.37 1.95
Cacao ................ ... .............. 0.86 I.o3 0.93
Coffee ........... .................... 2.29 1.98 2.18
Cotton, raw .............. ............ 1.89 1.50 2.26
Cottonseed ............... .............. 0.13 o. 2 o.8
Honey .................................. 0.9 0.96 0.95
Lignum vitae .......................... 0.13 o.14 0.14
Logwood ................ .............. o.I 0.09 o.o1
Logwood extract ......................... 0.64 ............
Skins ..................................... 3.27 3.37 3.37
Sugar ................. ................. 0.26 0.35 0.27

Table No. 19 has been previously referred to in connection with exports
of coffee. With regard to cotton, St. Marc was the principal port of ship-
ment. Cap-Haitien led in the exportation of logwood, with St. Marc a
close second. All shipments of raw sugar took place at Port-au-Prince.
Jeremie led in exports of cacao followed by Cap-Haitien, Port-de-Paix, and
Port-au-Prince in the order named.
In table No. 21 both quantities and values of exports are arranged
according to classes of commodities and the months in which the shipments
were made. It will be noted again that periodicity of exports is due to
the seasonal character of coffee shipments. As in the preceding year these
were at a maximum in December. In both years, exports of raw cotton
tended to concentrate in March and April. Shipments of logwood, while
heavy in October and light in June and September, were fairly well distri-
buted throughout the year. Raw sugar was shipped during 1927-28 for the
most part from February to July, inclusive, but in the previous year practi-
cally all exports of this commodity were made in February, April and
September: This commodity is produced for export by a single company
and shipments are governed by foreign market conditions. Shipments of
cacao and of "all other" exports were fairly uniform through the year.
The predominant position and the seasonal character of coffee production
;and export are significant facts in Haitian economy. Because this office
has urged in the past a greater diversification in production and export, it
has been charged with discouraging Haiti's principal industry. This is
not the case. On the contrary, every practical measure to place the coffee
industry on a more profitable basis has been encouraged by this office.
At the same time, it is highly desirable that production of other commodities
should be developed. When export duties are removed, the seasonal cha-
racter of the export trade will be of considerably less fiscal importance.

















TABLE No. 21


QUANTITY AND VALUE OF EXPORTS, BY COMMODITIES AND MONTHS
FISCAL YEAR 1927-28


Month Coffee


Kilos Gourdes
October, 1927 ...... 2,836,610 6,128,794
November ............ 4,447,301 9,367,885
December ........... 6,684,746 13,348,920
January, 1928 ....... 5,817,940 12,091,473
February ............ 6,111,669 13,259,171
March ................ 5,284,341 12,233,287
April ................ 3,201,125 7,496,712
May .................. 2,300,618 5,427,662
June .................. 1,766,208 4,084,125
July .................. 1,185,172 2,691,681
August ............... 658,481 1,509,427
SSeptember ............ 852,593 1,943,175
Total ........... 41,146,804 89,582,312


Cotton

Kilos Gourdes
5,757 12,950
29,948 62,005
6,437 12,506
.... .21i. ... .'"ikki
""628,349 i1,300,978
1,329,506 2,818,414
1,023,212 2,327,814
719,412 1,802,092
326,454 813,350
234,741 582,113
89,272 205,367
34,249 70,013
4,427,337 10,007,602


Logwood Sugar, raw

Kilos Gourdes Kilos Gourdes
6,720,150 619,597 ..................
120,000 11,064 .................
4,329,000 399,133 ...
1,250,000 115,250 500 350
2,310,000 212,982 1,213,470 332,831
4,248,779 390,887 2,937,864 755,000
4,233,569 388,687 1,770,464 527,040
3,442,000 355,557 1,811,682 498,425
300,000 32,190 3,133,710 843,515
4,040,180 433,509 1,148,864 294,050
4,733,000 507,849 .............
635,000 68,135 .......... ........
36,361,678 3,534,840 12,016,554 3,251,211


Cacao, crude

Kilos Gourdes
106,518 114,341
326,798 350,801
542,731 527,215
303,019 263,370
290,518 252,451
186,087 161,701
242,181 210,440
192,827 171,202
106,915 92,901
37,701 32,759
17,415 15,131
40,776 35,430
2,393,486 2,227,742


O

0

All other All Exports

Gourdes Gourdes 0
377,488 7,253,170 >
319,771 10,111,526 r
317,902 14,605,676 >
259,382 12,729,825 0
439,271 15,797,684
672 870 17,032,159
440,857, 11,391,550
473,434 8,728,372
298,684 6,164,765
390,816 4,424,928
415,933 2,653,707
326,115 2,442,868
4,732,523 113,336,230 r



>


~_I~ _I~


I


- --- -- --- L~ -L I~ -~-~C"I^----~--~----





HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


From the economic point of view, however, it would be clearly advantageous
if Haiti should produce various agricultural commodities which mature
at different times of the year and that such manufacturing industries as
may be economically justified should be established.
It is apparent that a considerable portion of the population of Haiti
is neither settled on rural land nor permanently occupied in urban pursuits.
A large part of the landed population is employed in agriculture only to
the extend of gathering after little or no cultivation what nature generously
provides. Agricultural labor is desultory and seasonal. For the landless
population the situation is much the same : employment is either lacking
or if it exists is for the most part occasional. There is waste of agricultural
resources and of human energy. Diversification of production and of
opportunities for employment would not only increase income but would
also encourage thrift, a better ordered way of living and more stable
economic conditions.
Although diversification of production and of employment may be
expected to take place largely in connection with agricultural operations,
the utilization of Haitian raw materials in domestic manufacture is equally
sound. Lacking supplies of the primary raw materials, Haiti can never
hope to become an important manufacturing country. Certain articles,
however, can be profitably manufactured from Haitian raw materials for
the domestic market and possibly to some extent for export. Encouraged
by protective tariff duties, the is already an encouraging development in
the manufacture of tobacco products and of soap and lard sustitutes.
Domestic manufacture on a small scale can doubtless be extended to other
commodities, such as textiles, and also the factory production of shoes,
now produced by hand from imported leathers. Considerable quantities
of hides and skins are exported annually. These could be tanned in Haiti
with locally produced materials and manufactured by modern methods into
footwear, the increasing demand for which is striking evidence of the
improving standard of living of the population.
During 1927-28 steps were taken by the Government to advertise the
attractions of Haiti; and when these are better know it is believed that
expenditures by tourists will constitute a substantial 'addition to the
national income and to the invisible exports of the country.

Imports and Exports of Currency
Imports and exports of currency are shown in table No. 22. Imports are
not tabulated for the reason that no currency was shipped into Haiti as an
article of commerce. Nevertheless, it was brought by returning emigrants,
although probably not in so large a quantity as in previous years. Compared
with 1926-27, imports of gold currency, which had been important in
recent years, slightly increased; while marked decreases occurred in exports
of silver and of paper, the latter consistig chiefly of United States currency.












TABLE No. 22


IMPORTS AND EXPORTS OF CURRENCY FISCAL YEARS 1922-23 TO 1927-28


Month


Imports
October ..........
November .......
December ........
January ........
February ........
March ............
April .............
May .......
June ............
July .............
August ..........
September .......
Total ....

Exports
October ..........
November ..
December ........
January ..........
February ........
March ..........
April .............
May .............
June .............
July ..
August ..........
September .......
Total ....


Average
1922-23-1925-26


Gold I Silver


Gourdes


.... ... ...

.............' '


250,000
37,500


187,500


4,937

256
480,193


31,325
3,750
18,110
16,750
14,312


3,850
7,585
41,125
526,250
265,114
928,171


Paper Gold


Gourdes Gourdes


250,000
............

162,500



662,500


2505,000
125,000 15,015


............ .



13500,000
8,437





375,875
1,069,312


15,015


1926-27


Silver


Gourdes


Paper Nickel


Gourdes


............. 1,000,000


. 122,090........ ..............

25,000 ..


34,930 ..........
80,530 619,250
72,500 275,000
388,110 3,399,250


Gourdes



............ '


Copper


Gourdes


Gold


Gourdes




















17,270


Silver


Gourdes


49,500


2836,500
28,840


1927-28


Paper


Gourdes

















570,700



60,000
475,000
500,000


,^ ;...^".; ::I.:-:::-: '''; "" 72,550' : "1::154,550
4,250 350 .. ... .............._
4,250 350 17,270 187,390 I 1,760.250


Copper
0
-o
Gourdes o




z





z
.. .. 1
01....
1.


Nickel


Gourdes


760
.. 760
760
.............I



..............


760


I------- ------------------~----


. ."


.


--- i---- --- -- -- -L~--d~~-~~_~^----^ ~^I~~- I


............ ...........
............. .


...........

..... .... .. ...... ...
..............

....... ...... ........ ... ...





HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


Customs Administration

While the high protective duties imposed by the tariff of 1926 upon
importations of leaf tobacco have increased the production of that commodi-
ty in Haiti, they have also stimulated efforts of smugglers to introduce leaf
tobacco into Haiti without payment of duties. The customs law of Septem-
ber 4, 1905, provides that merchandise atteinpted to be imported or exported
otherwise than through a custom-house shall be considered contraband and
shall be seized and judicially sold; that individuals who shall have facilitat-
ed smuggling, or who have knowingly received for storage or have pur-
chased smuggled goods, shall be arrested, tried and condemned to
imprisonment and fine; and that customs agents may confiscate as contra-
band merchandise found in the possession of persons landing from coastwise
and foreign vessels. While the leaf tobacco produced in Haiti is principally
of the Kentucky type, some tobacco of the Dominican type is also produced,
and this tends to make difficult the positive identification of tobacco smug-
gled from the Dominican Republic. In order to repress traffic in contraband
tobacco, growers in Haiti are required, before transporting their product
to market, to procure a certificate from the local agent of the Internal
Revenue Service showing where and by whom the tobacco was produced
and when it was harvested, which certificate is issued free of charge. Leaf
tobacco transported on the highways or otherwise is subject to detention
if not accompanied by such a certificate, and unless satisfactory proof of
production in Haiti is produced within a reasonable time the tobacco is
confiscated. Similar measures have been taken with respect to beef cattle.
It has not been desired to control traffic in these commodities in such a
way as to impose a hardship on local producers or to discourage local
reductionn. The measures to repress contraband traffic, in the application
and enforcement of which the Customs Service has had the efficient assis-
tance of the Garde d'Haiti, have been on the whole effective and have been
in the interest of legitimate Haitian producers.
In the audit of the application of the customs tariff for the purpose of
correcting errors in favor of or against the revenues, it becomes necessary
frequently'to direct the collection of additional duties or to request the
importer to file an application for the refund of duties improperly collected.
The only purpose of this audit is to secure a correct and uniform applica-
tion of the tariff at all the ports, and all errors are promptly brought to the
attention of the collectors whether they are in favor of or against the
Treasury. It is, of course, impossible for any one person to audit all bills
for customs duties at all ports, and reliance must be had on auditing clerks
of varying degrees of intelligence and efficiency who initiate the instruc-
tions regarding additional collections or refunds. It is, of course, annoying
to importers, and no less annoying to the Customs Service, when it is
found that instructions for the purpose of correcting a supposed error in





HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


the application of the tariff are themselves incorrect and that the tariff was
correctly applied in the first instance. In spite of the fact that all such
instructions initiated by auditing clerks have for some years been checked
by two high-grade employees before they were sent to the custom-houses
concerned, there was an unnecessarily high percentage of errors, resulting
in annoyance and consequent ill-feeling on the part of importers. In an
endeavor to reduce these errors, Mr. B. C. Scott was assigned to the
additional duty of making a third review of these instructions before they
are issued. As a result there has been a gratifying reduction in the number
of bills for supplementary duties, creating it is believed greater confidence
on the part of importers in the uniform and impartial application of the
tariff. This office has continued to exercise its discretion to waive or reduce
certain penalties, when no intent to defraud is apparent. In such cases the
penalty is usually reduced to a nominal amount, sufficient to emphasize the
necessity of correct invoicing and declaration but not so excessive as to
constitute serious loss. When there is indication of intent to defraud, the
full penalties are applied, and no authority exists to remit or reduce them.
In 1927-28, a fire, which started in gasoline deposited in the customs yard
at Port-au-Prince and involved the complete loss of a large importation of
gasoline, kerosene, and smaller quantities of other merchandise then in the
customs yard, emphasized the necessity of prompt transit of imported
inflammables through customs premises. To stimulate such removal, a law
of March 19, 1928, provides for immediate verification and delivery of
various inflammables on the submission of a bond for the payment of
duties and compliance with other customs formalities, and for the imposi-
tion of a storage charge of Gdes. 5.00 per package per day on such mer-
chandise not removed from customs premises within the first working day
following debarkation.
Economic development of the country, particularly in northern Haiti,
necessitates provision of better facilities for shipment. A law was passed
on March 20, 1928, vesting in the President authority to open or close minor
ports by executive order as commercial conditions require; and an executive
order of August 24, 1928, provided that the port of Fort-Libert6 should
be reopened October I, 1928. This law also provided that the privilege of
calling at other than open ports may be granted by the Customs Administra-
tion under conditions required to safeguard the revenue. Under previously
existing legislation such privilege could be granted only upon the condition
that the vessel enter an open port, go to the closed port, and return to the
open port to clear.
For the purpose of securing uniformity of taxation a circular was
issued directing collectors to tax machinery parts and accessories, not
otherwise provided for, under the tariff paragraphs applicable to the
machines and apparatus to which such parts and accessories pertain. In-
structions were also issued governing the treatment of goods which arrive





HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


without bill of lading or consular invoice but appear on the manifest. In
such cases collectors are permitted to accept a pro forma declaration
unaccompanied by documents, which, if the necessary procedure is followed
within the legal delays, enables the importer to avoid the penalty for late
declaration.

Tariff Revision

Certain changes were made in the import tariff by the law of July 25,
1928, involving reduction in duties on gasoline, exemption of certain
agricultural implements and machinery, removal of duties from books,
printing presses and printing apparatus, lowered 'duties on certain forms
of commercial advertising, increased customs taxes on beer and spirituous
liquors, creation of appropriate classifications for certain imported articles
not specifically provided for in the existing tariff, and the extension of
the principle of alternative ad valorem duties to various articles in which
there is wide price variation. When the import tariff of 1926 was written,
the duty on gasoline was maintained at the level which had been in effect
previously, though it was recognized that such a duty could not be justified
as a permanent measure, amounting as it did to approximately 35 per cent
ad valorem. Inasmuch as importations have been increasing at an average
annual rate of about 20 per cent, it was thought that no important loss in
revenue would result from a reduction in the duty from Gdes. 0.30 per
gallon to Gdes. 0.25 per gallon. Every possible encouragement should be
given to the improvement of transportation facilities, and further reduction
in the duty on gasoline may be possible. Certain agricultural machinery
and implements were made duty free for the purpose of encouraging agri-
culture. In order to facilitate information and culture, a similar exemption
was granted to printing presses, printing apparatus and certain books.
Duties on those articles were only 5 per cent ad valorem or were levied on
a specific basis averaging about 5 per cent. Books for primary public
instruction were not exempted, since they can and it is thought should be
produced in Haiti. Taxation of matches was changed from net to gross
weight without change in the rate of duty, partly because of the difficulty
of determining net weight and partly to encourage the establishment of the
match industry in Haiti. As many of the tariff changes involved consider-
able reductions in revenue it was sought to compensate these reductions by
increased duties on luxuries and non-essentials, notably beer and spirits;
although it can not be expected that any increased revenue will result from
importations of beer, as a local brewery is shortly to be placed in operation.
Two modifications of export duties became effective during the year.
Crude salt, which is produced in excess of domestic consumption, was not
provided for in the export tariff; and the application to it of the general
duty on unspecified articles resulted in a virtually prohibitive tax on exports





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL EVER
HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


of salt. The law of March 20, 1928, established an export duty of Gdes.
0.002 per kilogram on this commodity. Bananas now enjoy the distinction of
being the only Haitian export product on which no duty is levied. It is
thought that there are certain regions capable of producing bananas for
export; and in order to encourage the development of these regions the
law of June 15, 1928, exempted bananas and plantains from export taxation.
It is thought that the import tariff of Haiti is operating satisfactorily
viewed from an economic, a fiscal or an administrative standpoint; although
minor adjustments will be made from time to time to meet changing eco-
nomic conditions. The prospective reduction or removal on October I,
i929, of export duties on certain commodities, as a consequence of the recent
enactment of the excise tax law, is discussed elsewhere in this report.

Commercial Conventions

Article 2 of the law of July 26, 1926, provides that the import tariff
thereto annexed shall be a minimum tariff applicable to products of coun-
tries which grant to importations from Haiti unconditional most-favored-
nation treatment, and that the President of the Republic may by executive
order increase these duties by not more than fifty per cent upon any or all
products originating in a country which does not grant unconditional most-
favored-nation treatment to products of Haitian origin. A commercial
convention with France provides for tariff reductions on certain goods of
French origin, notably beverages, patent medicines and pharmaceutical
products, perfumery, cosmetics, and a few other articles. Under inter-
national agreements providing for reciprocal unconditional most-favored-
nation treatment, equivalent reductions are accorded to such articles origi-
nating in the United States and Germany. The agreement with Germany
became effective October I, 1927. During the fiscal year other agreements
providing for reciprocal unconditional most-favored-nation treatment and
the exchange of parcel-post matter became effective as follows:
The Netherlands: Commercial convention signed September 7, 1926,
ratifications exchanged January 14, 1928, effective January 29, 1928.
Great Britain: Commercial modus vivendi signed February 25, 1928,
effective March I, 1928, pending conclusion of a commercial treaty
which is in course of negotiation.
Italy: Commercial convention signed January 3, 1927, ratifications
exchanged March 19, 1928, effective April 19, 1928.
Great Britain: Convention relative to the exchange of parcel-post
signed February 13, 1928, ratified by Haiti July 5, 1928; ratifications
not yet exchanged but the British and Haitian postal administrations
have agreed that the exchange of parcels may commence pending
the exchange of ratifications.






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


Customs Service

Article VI of the Treaty of September 16, 1915, provides that, except
by agreement between the governments of Haiti and of the United States,
lhe expenses of the Financial Adviser-General Receiver shall not exceed
five per cent of customs receipts. Shortly after the establishment of the
Receivership one-fifth of its fund was taken away and assigned to the
Banque Nationale de la Republique d'Haiti as commission for its services
as fiscal agent of the Haitian Government. As a matter of fact, therefore,
the Customs Service and the office of the Financial Adviser are financed
from four per cent of customs revenues rather than from five per cent.
Thus far it has not been necessary in financing the current operating
expenses of this office to request funds in addition to those derived from
four per cent of customs receipts. A substantial augmentation of foreign
commerce reflected in enhanced customs revenues in 1927-28 brought a
proportionate increase in the amount available for expenditure by the
Financial Adviser-General Receiver.
Table No. 23 presents a summary of the receivership fund for the elapsed
portion of the treaty period. It will be noted that five per cent of customs
receipts amounted to Gdes. 2,254,104.63 in 1927-28, compared with Gdes.
1,683,093.81 in the previous fiscal year, representing an increase of 33.93
per cent and substantially exceeding the amount of the receivership fund
in any previous year.

TABLE No. 23
RECEIVERSHIP FUND
FISCAL YEARS 1916-17 TO 1927-28

Five per cent
of cen Interest on Total Expenditure Surplus Deficit
customs receipts Series B bonds receipts

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
September 1916 ... 60,211.85 .................. 60,211.85 89,850.15 ............. 29,638.30
1916-17 914,794.70 ................. 914,794.70 796,625.70 118,169.00 ..........
1917-18 .............. 755,464.80 ................ 755,464.80 741,055.80 14,409.00 ..........
1918-19 ............. 1,432,176.60 ............. 1,432,176.60 700,035.60 732,141.00 ...........
1919-20 ............ 1,603,639.95 ................ 1,603,639.95 1,380,460.60 223,179.35 .........
1920-21 ............. 882,854.05 ................. 882,854.05 1,452,073.10 ............ 569,219.05
1921-22 ............. 1,377,811.70 .................. 1,377,811.70 1,279,142 25 98,669.45 .........
1922-23 ............. 1,555,057.00 .............. 1,555,057.00 1,438,506.15 116,550.85 ..........
1923-24 ...... 1,607,569.51 ............... 1,607,569.51 1,896,332.08 ............. 288,762,57
1924-25 ............. 1,787,500.90 ............... 1,787,500.90 1,849,537.49 .... 62,036.59
1925-26 ............. 2,029,741.59 8,954.65 2,038,696.24 1,698,379.86 40,316.38..........
1926-27............ 1,683,093.81 43,707,15 1,726,800.96 2,278,241.30 ............ 551,440.34
1927-28 .......... 2,254,104.63 52,661.800 2,201,442.83 1,884,994.88 316,447.95
Total ......... 17,944,021.09 .................. 17,944,021.09 17,485,234.96 1,959,882.98 1,501,096.85
Average ...... 1,495,335.09 .................. 1,495,335.09 1,457,102.91 ,501,096.85 ............
Surplus for period 48,786.13
Surplus for period .................. ...... ................. ..... .. ..... .... ...........
Debit

In 1925-26 certain available surpluses in the fund were invested in Series
B bonds of the Haitian Government, and the interest on such securities is





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


shown in table No. 23 as receipts of the fund. The fiscal desirability of this
procedure and its advantages to the five per cent fund have not been
questioned; but in the present year, although the securities of the Haitian
State have considerably enhanced in value, it was considered advisable to
transfer the above-mentioned bonds to government account together with
all interest previously credited to the fund. Total receipts of the receivership
fund in 1927-28 are thus reduced to Gdes. 2,201,442.83, making less favor-
able the comparison with 1925-26 and 1926-27. In view of this adjustment,
total receipts are no longer of any comparative value and in subsequent
years will be identical with five per cent of customs revenues.
Total expenditures from the receivership fund amounted during 1927-28
to Gdes. 1,884,994.88, considerably less than in 1926-27 and slightly less
than in 1923-24. At the end of 1927-28 there was a surplus of Gdes.
316,447.95, with a net surplus for the elapsed portion of the treaty period
amounting to Gdes. 458,786.13. During the previous fiscal year expenditures
exceeded receipts, and the surplus at the end of the year stood at Gdes.
'42,338.I8. Furthermore, while the amount unexpended at the end of the
preceding fiscal year was only Gdes. 60,744.87,it stood at the end of 1927-28
at Gdes. 248,312.67. It is probable, however, that early in 1928-29 a large
part of this amount will be required to meet the cost of permanent improve-
ments already inaugurated. Although customs receipts are expected to
decline in 1928-29, no difficulty is anticipated in meeting the current
expenditures of this office.
While the average expenditures from the five per cent fund necessarily
approximate average receipts, expenditures from year to year show wide
variation and bear little relation to the fluctuations in receipts. Of the full
fiscal years included in the elapsed portion of the treaty period, eight
show apparent surpluses and four apparent deficits. In only one year,
1920-21, was the deficit due to an excess of ordinary operating expenses
over receipts. In all other years there has been a safe and in some cases
a wide margin between receipts and current expenses and the accumulated
surplus of recent years has been used exclusively for permanent improve-
nlents. This surplus, however, is more apparent than real, as expenditures
for permanent improvements can be made only a considerable time after the
work is authorized.
Total expenses for any one year viewed either alone or in comparison
with receipts, are of little significance. Whether this office is on the whole
operating economically and efficiently can only be determined by an ex-
amination of subdivisions of expenditures. From table No. 24 it appears
that costs of the central office in 1927-28 were Gdes. 514,017.30 and those
of operating the custom-houses were Gdes. 684,563.61. These figures total-
ling Gdes. 1,198,580.91 represent the actual cost of the office of the Financial
Adviser-General Receiver. In comparison with 1926-27 it will be noted that,
notwithstanding an increase of total trade in 1927-28 of 38.21 per cent,






HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


administrative costs of the central office decreased by one per cent and the
operating expenses of the custom-houses by four per cent. Nevertheless,
due to the increase of customs revenues, the bank commission rose from
Gdes. 336,618.76 in 1926-27 to Gdes. 450,820.93 in 1927-28, and as a result
total disbursements from the five per cent fund for ordinary operations
amounted to Gdes. 1,649,401.84 in 1927-28 compared with Gdes. 1,571,966.47
in the previous year.
Expenditures from the five per cent fund in 1927-28 for permanent im-
provements totalled Gds. 235,593.04, about one-third of the amount spent
in the previous year but one per cent greater than the average.

TABLE No. 24
EXPENSES OF FINANCIAL ADVISER-GENERAL RECEIVER,
BY OBJECTS OF EXPENDITURES,
FISCAL YEARS 1916-17 TO 1927-28
Administration Customs Permanent Bank Total
Operation improvements commission

GourGour d ourGour ouGourdes Gourdes
September 1916 .... ... .. ................. ................ .. ................ .............. 89,850.15
1916-17 .. ............ ........... ... ................. 796,625.70
1917-18 ... ... ... ................ ............... ... ............... 741,055.80
191-19 .. .............. .700,035.60
1919-20 ...................I 329,634.00 508,570.75 114,500.00 427,755,85 1,380,460.60
1920-21 ... 426,498.70 547,194.55 ................. 478,379.85 1,452,073.10
1921-22 404,251.70 605,773.60 .................. 269,116.95 1,279,142.25
1922-23 ........ ........ 503,997.40 600,627.10 ...... ........ 33,881.65 1,438,506.15
1923-24 ...... ...... 455,447.21 648,959.62 500,000.00 291,925.25 1,896,332.08
1924-25 ........ .... 461,316.07 673,495.96 57,745.41 656,980.05 1,849,537.49
1925-26 ......... 467,996.66 669,394.41 155,040.47 405,948.32 1,698,379.86
1926-27 ................... 523,192.77 712,154.94 706,274.83 336,618.76 2,278,241.30
1927-28 ..... ........ 514,017.30 684,563.61 235,593.04 450,820.93 1,884,994.88
Average 1919-20 -- -- --
to 1927-28 ......... 454,038.70 627,859.39 196,572.64 405,714.17 1,684,184.90

Further classification of disbursements from the receivership fund has
been made in accordance with objects of expenditure as well as by months
for the fiscal year 1927-28. Such disbursements have also been sub-divided
as between expenses of administration and those of customs operation.
The former are shown in table No. 25. Salaries accounted for Gdes.
429,316.97, a,slight increase over Gdes. 426,276.16, expended for the same
purpose in the previous year. Reasonable salary promotions were given
during the year. On the other hand, there were a number of resignations
followed by the employment of lower-paid men. In the main, a slight net
increase was due to additional personnel in connection with improvements
in accounting. Expenses of materials and supplies were also slightly larger.
There was diminished purchasing of ordinary office supplies; but certain
expensive equipment was added to obtain greater efficiency in accounting
and better control of disbursements. Expenditures for transportation di-
minished by 38.75 per cent and miscellaneous expenses by 49.22 per cent.
No expenditures were made on permanent improvements in the central office.
In the custom-houses, expenditures as shown in table No. 26 assumed a






40 HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

somewhat different aspect. Salaries amounted to Gdes. 583,131.66, a de-
crease of 3.12 per cent from Gdes. 601,938.79 spent in 1926-27. The decrease
is largely attributable to an adjustment in the accounting of the salaries of
the customs collectors. Those officials devote a large part of their time to
internal revenue work and a certain percentage of their salaries has been
charged to the internal revenue collection fund. In view of the fact that
the collectors were giving an increasing portion of their time to internal
revenue collections, the share of their salaries allocated to the internal
revenue fund was increased in 1927-28, and an equivalent amount was de-


TABLE No. 25
OFFICE OF FINANCIAL ADVISER-GENERAL RECEIVER
EXPENSES OF ADMINISTRATION, BY OBJECTS OF EXPENDITURES AND BY MONTHS,
FISCAL YEAR 1927-28


October ...........
November ..........
December .........
January ............
February ...........
M arch .............
April ...............
M ay ................
June ................
July ..............
August ...........
September ..........
Total .......


Salaries

Gourdes
33,012.50
44,765.08
33,680.02
35,587.32
35,477.50
36,089.99
35,843.99
34,935.25
41,365.83
31,405.09
31,723.83
35,430.57
429,316.97


Total 1926-27 .... 426,276.16
O Credit


Materials
and supplies

Gourdes
9,467.12
2,476.40
7,236.10
150.00
6,932.29
3,274.94
6,688.05
10,067.16
7,380.32
5,186.75
2,270.74
5,090.19
66,220.06
64,086.46


Transportation Miscellaneous Permanent Total
improvements

GourGourde ourdes Gourdes Gourdes
789.45 889.60 44,158.67
869.75 529.71 i... ..... 48,640.94
1,523.53 536.70 I. .... 42,976.35
479.50 5,352.500, ........ .. 30,864.32
1,145.64 4,400.55 I...... 47,955.98
521.15 769.60 :... .. 40,655.68
1,787.30 2,899.15 ................ 47,218.49
521.50 389.10 ................ 45,913.01
651.90 396.95 ................ 49,795.00
658.93 885.29 ................ 38,136.06
953.37 396.75 ................ 5,344.69
687.71 1,149.64 ................ 42,358.11
10,589.73 7,890.54 ................ 514,017.30
17,290.55 15,539.60 10,613.58 533,806.35


ducted from the expenditures chargeable to the five per cent fund. Promo-
tions were given to customs employees during the year; but there were a
number of separations from the service, in some cases with no replacements
and in others with replacements at lower salaries. Materials and supplies.
cost Gdes. 44,461.23, compared with Gdes. 50,669.85 in the previous year.
Transportation expenses rose from Gdes. 21,789.81 in 1926-27 to Gdes.
26,213.78 in 1927-28. Disbursements from the five per cent fund for perma-
nent improvements at the custom-houses amounted to Gdes. 235,593.04
compared with Gdes. 695,661.25 in 1926-27.

Deducting costs of permanent improvements and bank commission for
both 1926-27 and 1927-28 reveals that total expenditures of the office of the
Financial Adviser-General Receiver were Gdes.I,I98,580.9I in 1927-28 and
Gdes. 1,235,347.71 in 1926-27, a decrease of Gdes. 36,766.80 or 2.98 per cent.
With the same deductions the total expenditures of the central office
were Gdes. 514,017.30 in 1927-28 and Gdes. 523,192.77 in 1926-27, a de-
crease of Gdes. 9,175.47 or 1.75 per cent. For the custom-house, operating
expenses other than for permanent improvements were Gdes. 684,563.61 in






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


1927-28 and Gdes. 712,154.61 in 1926-27, a decrease of Gdes. 27,591.00 or
3.87 per cent. For expenditures excluding permanent improvements and the
bank commission the central office took 42.89 per cent of the total in 1927-28
and 42.84 per cent in 1926-27. Thus, the balance between the central admin-
istration and the operating branches has been practically unchanged. For
the entire service, including both the central office and the custom-houses,
expenditures for salaries decreased by Gdes. 15,766.32, that for materials
and supplies by Gdes. 4,075.02, that for transportation by Gdes. 2,276.85,
and that for miscellaneous expenses by Gdes. 14,648.61. Thus, taking the
service as a whole, every object of expenditure showed decreases in 1927-28,
the most important being in connection with salaries and miscellaneous.
Explanation has already been given for the decrease in salary expendi-
tures. Decreases in this item in 1927-28 were not due to reduction in person-
nel. The total number of employees was slightly larger at the end of the
year than at the beginning. Reasonable salary promotions were also given.
There were, however, more separations from the service in 1927-28 than
in the previous year. It is the aim of this office to promote efficiency by
encouraging permanence of tenure, and with this end in view to reward
merit with reasonable increases of compensation. Steps have been taken to
study personnel questions with particular care. It is hoped to continue
reduction of total salary expenditures to the extent consistent with efficiency,
but also, while endeavoring to accomplish this laudable purpose, to increase
salaries in accordance with merit, and to hold satisfactory employees in the
service.

TABLE No. 26
EXPENSES OF CUSTOMS OPERATION, BY OBJECTS OF EXPENDITURE AND BY MONTHS,
FISCAL YEAR 1927-28

Materials nrion Permanent
Salaries Materi Transportation Miscellaneous im emnt Total
and supplies improvements

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
October .................. 51,914.40 3,419.06 1,936.80 3,898.11 39,192.72 100,361.09
November ............... 49,893.37 2,614.40 1,412.38 2,647.50 52,743.45 109,311.10
December ......... 50,077.67 4,525.50 1,908.62 3,485.24 8,387.81 68,384.84
January .......... 49,685.28 31.75 1,326.39 1,113.81 16,287.02 68,444.25
February ................ 49,758.71 6,957.01 3,424.08 1,354.72 32,795.36 94,289.88
March ............. 47,691.26 2,106.33 4,358.89 2,241.75 17,030.26 73,428.49
April ................... 47,595.51 5,303.82 2,145.66 704.53 8,711.92 64,461.44
May .................... 47,539.53 4,930.74 3,014.54 1,864.53 8,536.03 65.885.37
June ..................... 46,960.74 1,917.02 1,282.81 242.70 3,479.06 63,882.33
July ..................... 46,394.52 1,622.06 1,187.93 11,409.60 1,765.85 62,379.96
August .................. 49,025.59 2,621.72 2,701.64 1,075.38 27,640.97 83,065.30
September .............. 46,595.08 8,411.82 1,514.04 719.07 19,022.59 76,262.60
Total ............ 583,131.66 44,461.23 26,213.78 30,756.94 235,593.04 920,156.65
Total 1926-27 ... 601,938.79 50,669.85 21,789.81 37,756.49 695,661.25 1,407,816.19

Permanent improvements for the Customs Service are financed from
Two sources: from the receivership fund and from budgetary, supplementary
and extraordinary credits for public works. Relevant data appear in table
No. 27 where expenditures for permanent improvements from the five per






42 HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

cent fund and from the general funds of the Government are presented for
the central administration and for the several ports.
Of the total of Gdes. 235,593.04 derived from the five per cent fund, Gdes.
214,182.96 were employed at Port-au-Prince for the completion of a customs
office and parcel-post building and customs warehouses, the filling, grading
and fencing of the customs yard, and the commencing of construction of
an office building for the Captain of the Port.

TABLE No. 27
REPAIRS AND IMPROVEMENTS TO CUSTOMS PLANT .AND EQUIPMENT
FISCAL YEAR 1927-28

Repairs and
Permanent improvements to plant
improvements and equipment
paid from paid from Total
5 per cent fund* general funds
of the government

Gourdes Gourdes Gourdes
A dm inistration .............................. ..... ........ ....... .. ........ .. .........................
Cap Haitien ................................ ......................... 1,700.00 1,700.00
A quin .. ......... .... ............... ......................... ... ................. ....... .................
Belladire .................................... 10,953.85 ....................... 10,953.85
C ayes ....................................... ......................... ......................... .......................
G lore ................................ ....................... ..................
Gonalves ...................................... ....................... 330.73 330.73
Jacmel ....................................... ........................ 50,195.33 50,195.33
NJremie ..................................... 617.11 164,215.40 164,832.51
M iragoine ................... .................................... .......................
Ouanaminthe .............................. 475.70 .......... 475.70
Petit- Golve ................................. 9,363.42 128,179.11 137,542.53
Port-au-Prince ............................ 214,182.96 467,488.31 681,671.27
Port-de-Paix ........... ....... .... ....................... 266.14 266.14
Saint.M arc ... ...... .. ............ .... ..... ..... .. ..... ....... ... .... ...... ........
Total ................................ 235,593.04 812,375.02 1,047,968.06

*Repairs, the cost of which is charged to the 5 per cent fund, are included in the cost of customs
operation and are not charged to permanent improvements.

Improvements to customs properties at Cap-Haitien and the construction
of concrete approaches to the wharf at PetitGoive accounted for Gdes.
10,953.85 and Gdes. 9,363.42 respectively. Minor items were a water supply
for the Collector's residence at Jeremie, Gdes. 617.11, and a guard-house at
the custom-house at Ouanaminthe, Gdes. 475.70. Expenditures for perma-
nent improvements from the five per cent fund were heaviest in the first
part of the year when projects started in 1926-27 were being completed
and in the last two months when new construction work was inaugurated.
Projects financed with general funds from the Treasury absorbed Gdes.
812,375.02, and were devoted to the following purposes:

Replanking wharf, Aquin........................ Gdes. 1,7oo.oo
Preliminary work, wharf, Gonaives.................. 330.73
W harf, Jacm el............................ ............ 50,195-33
W harf, Jerem ie.............. .. ................. 163,215.40
Repairs to old wharf, Jeremie........................ ,ooo000.00
Wharf, Petit Goave ......... ........... .......... 28,179.1x
Quay, Port-au-Prince .......... ................... 467,488.31
Repairs to wharf, Port-de-Paix .................... 266.14
Gdes. 812,375.o2






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER 43

Total expenditures for permanent improvements in the organization of
the Financial Adviser-General Receiver were Gdes. I,o47,968.o6, exceeding
by 16.88 per cent the amount of Gdes. 896,626.47 spent in the previous year.
As a consequence, the improvement program has been further advanced
toward completion. -Construction which was under way but not yet com-
pleted includes improvements to customs properties at Cap-Haitien, con-
crete approaches to the wharf at Petit-Goave, the port captain's building at
Port-au-Prince, and the filling and grading of the customs yard at Port-au-
Prince. Work which was authorized but not yet begun included a retaining
wall at Cap-Haitien, a custom-house at Fort-Liberte, and various minor
improvements at Port-au-Prince. Additional projects represented to be
necessary are under consideration.
In tables No. 28 and No. 29 expenditures of this office during the last
five months of the year are classified by objects in accordance with the new
accounting system. Such data for a portion of the fiscal year are naturally


TABLE No. 28
CLASSIFICATION OF TOTAL EXPENDITURES OF THE FINANCIAL ADVISER-GENERAL RECEIVER
MAY TO SEPTEMBER, 1928

Month Administration Repairs and Acquisition Fixed Total
and Opiration Maintenance of Property Charges

Gourdes Gourdes Gourdes Gourdes Gourdes
May, 1928 ............... .... 91,907.60 1,018.98 18,871.80 .................. 111,798.38
June ............... 96,046.80 509,75 7,120.78 ................. 103,677.33
July ....................... 86,033.51 700.69 13,781.82 .................. 100,516.02
August ...................... 89,641.82 322.00 28,446.17 ................. 118,409.99
September ................... 93,484.70 744.00 24,392.01 450,820.93 569,441.64
Total ............. ... 457,114.43 3,295.42 92,612.58 450,820.93 1,003,843.36
Percentage ................... 45.53 .33 9.24 44.90 100.00

of little interest and might actually be misleading if considered important.
Separation of expenses of repair and maintenance from capital outlay is
expected in the future to be especially useful, and the new classification
should be illuminating when sufficient time has elapsed to permit compari-
sons between full fiscal years.
Efficiency and economy in the operation of a government service can be
satisfactorily determined only by a comparison, over a somewhat extended
period between expenditures made and work done. In order that such a
comparison may be administratively helpful in maintaining a proper distri-
bution of expenditure throughout the organization and so far as possible
the same cost in relation to quantity of work, the relevant data should be
presented for each sub-division of the organization. In table No. 30 accord-
ingly, the several ports of the Republic are classified in accordance with
the amount of their customs receipts; opposite the percentage of total
customs receipts of each port are placed the expenditures for customs






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


operations; in another column the costs of customs operations are shown as
percentages of expenditure in relation to total receipts at each port.
Total operating expenses of the custom-houses equalled 1.52 per cent of
total customs receipts. Those ports which showed collection costs below
this figure were in order of most economical collection, Petit-Goave, Port-
de-Paix, Cap-Haitien, Jacmel, (the last-named two ports having the same
percentage), and Port-au-Prince. All others showed collection costs above
the general percentage, rising to a maximum of 55.05 per cent in the case
of Belladere, which is a border station operated for the prevention of
smuggling rather than because of its importance as an importation point.

TABLE No. 29
CLASSIFICATION OF ADMINISTRATION AND OPERATION EXPENDITURES OF THE
FINANCIAL ADVISER-GENERAL RECEIVER
MAY TO SEPTEMBER, 1928

Salaries Supplies Transpor-l Communi- Special Total
Month and Wages and station cation Rents and Miscel-
Materials Service laneous
Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
May, 1928 ... 82,474.78 4,662.13 3,536.04 87.80 ..............| 1,146.85 91,907.60
June .............. 88,326.57 5,426.67 1,934.71 131.70 '.............. 227.15 96,046.80
July ................ 77,799.61 6,065.34 1,846.86 1 159.20 .............. 162.50 86,033.51
August ........... 80,749.42 4,193.26 3,655.01 122.48 ............. 921.65 89,641.82
September .......... 82,025.65 8,755.48 2,201.75 144.85 1.............. 356.97 93,484.70
Total ........ 411,376.03 29,102.88 13,174.37 646.03 .............. 2815 2 457,114.43
Percentage ......... 89.99 6.37 2.88 I .14 .............. .62 100.00

Collection costs depend on a number of factors, some permanent and
others temporary. In a general way, expenses of operating a custom-house
bear a more or less calculable relation to the volume of goods that it
handles, and costs should augment in diminishing ratio as volume of
business increases. Expenses of operation, however, do not respond prompt-
ly to changes in trade volume. When trade declines, operating expenses are
likely to remain for a time relatively high; on the other hand, an added
volume of trade is usually handled for a time with less than the normal
increase of cost. Finally, there are local conditions and special circum-
stances each port which affect to a great extent the costs of operation. In
view of the fact that total operating expenses of the Customs Service
decreased slightly in 1927-28 in spite of an increase of 33.93 per cent in
customs revenues, the operations of 1927-28 appear to be of principal
interest as reflecting local and special conditions rather than as illustrating
general principles. Only five ports increased their actual operating expenses
ir 1927-28 compared with 1926-27, namely Cayes, Jacmel, Petit-Goave,
Miragoane and Belladere, while four, Cayes, Miragoane, Aquin and Bella-
dere, increased their percentage costs. Cayes and Aquin were the only two
ports that registered decreased collections in 1927-28, thus explaining
increased percuitage costs. In the case of Cayes, an organization in addi-














TABLE No. 30

DISTRIBUTION OF EXPENDITURES FROM RECEIVERSHIP FUND, FISCAL YEAR 1927-28


Port-au-Prince .....................................
Cap Haitien ..........................................
Jacm el ..... .. .. .. .. ..... .. ... .. ....
C ayes ..... ....................................... ..
Petit Golve .... ....... ...... ... .... .........
Gonaives ..... .... ... ... .. .... .. ... ...
Jirim ie ........... .......
Port-de-Paix ............... .............................
Saint Mar ..............................................
Miragoine ......................................
A quin .... ........................... .............
B elladCre .. .... ........ .... .... .............
Ouanaminthe ......................................
Glore .. ... ................ ... .... .............
T otal .................. ..... ..................
A dm inistration ................................... ......
Total administration and customs operation ...
Bank commission ......................................
Total expenditures from 5 per cent fund ....


Ratio
customss to total customss Cost per
receipts customs operation gourde
I receipts collected

Gourdes IPer cent Gourdes Gourdes
21,687,904.75' 48.11 308,533.60 .0142
4,936,597.14' 10.95 68,572.67 .0139
4,068,426.87r 9.02 56,528.07 .0139
3,291,804.10 7.30 59,640.25 .0181
2,900,380.00 6.43 32,231.01 .0111
2,502,325.53 5.55 38,800.21 .0155
1,907,633.64 4.23 30,630.10 .0161
1,553,467.63 3.45 20,716.07 .0133
1,244,170.74 2.76 25,387.00 .0204
880,237.74 1.95 22,799.62 .0259
61,168.80 .14 2,883.83 .0471
20,993.24 .05 11,557.10 .5505
20,851.28 .05 3,491.06 .1674
6,131.30 .01 2,793.02 .4555
45,082,092.80 100.00 684,563.61 .0152




... ... ... .. .*..'*.' I ''. *.'. ... : ..


Permanent Cost per
improve- gourde Total
ments collected

Gourdes Gourdes Gourdes
214,182.96 .0099 522,716.56
10,953.85 .0022 79,526.52
.............. .............. 56,528.07
........ .. ... ............. 59,640.25
9,363.42 .0032 41,594.43
....... ............. 38,800.21
617.11 .0003 31,247.21
.......... .... ........ 20,716.07
............................ 25,387.00
......... ... ............. 22,799.62
..... ............ 2,883.83
.. ............ 11,557.10
475.70 .0228 3,966.76
.............. ............. 2,793.02
235,593.04 .0052 920,156.65
....... ... ........ .... 514,017.30
...... ... ........ 1,434,173.95
...... ........ 450,820.93
.............. ... 1,884,994.88


Cost per
gourde
collected

Gourdes
.0241
.0161
.0139
.0181
.0143
.0155
.0164
.0133
.0204
.0259
.0471
.5505
.1902
.4555
.0204
.0114
.0318
.0100
.0418






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


tion to the ordinary collection staff is maintained for the supervision of
emigration. Belladere is a frontier control station. At Jacmel there was
a large augmentation of imports as well as of exports, but at Petit-Goave
and Miragoane the substantial increases of trade related chiefly to exports.
Particularly interesting is the showing of Port-au-Prince which, collecting
38.15 per cent more in customs revenues, decreased its operating cost by
4.02 per cent, and that of Cap-Haitien which with an increase of 51.68
per cent in customs revenues reduced operating expenses by 20.64 per cent.
Sweeping conclusions cannot be drawn from such statistics. On the one
hand it would be unfair to assume that unnecessary expenditures were made
in 1926-27 and in previous years. On the other hand, it would be equally
premature to infer that ill-advised reductions were made in 1927-28 which
will eventually work to the injury of the service. Finally, it would be
unwise on the basis of these figures to distribute praise and blame among
the various branches of the organization. The chief value of such statistics
is in stimulating administrative officials to study intensively the require-
ments of the organization. They also afford a basis for studying the trend
of operations at a given port from one year to another. At Cap-Haitien
it is probable that a part of the reduction in operating expenses was due to
the fact that in 1926-27 there was considerable outlay for repair and
maintenance, while in 1927-28 there was little expenditure of this nature.
Postponement of expenditure for upkeep is never wise economy. Accord-
ingly, while the results of 1927-28 may be viewed with a measure of satis-
faction, a similar statistical showing cannot be expected during 1928-29.
In summary, customs operations absorbed 1.52 per cent of customs
receipts, permanent improvements amounted to 0.52 per cent, while the
expenses of the central office took 1.14 per cent. Total expenditures from
the five per cent fund, including the commission of the bank, were 4.18
per cent of customs receipts. Excluding costs of permanent improvements
and bank commission, current expenses of administration and operation
amounted to 2.66 per cent or a little more than one-half of the receiver-
ship fund.
Comparative data for costs of administration, customs operation, perma-
nent improvements, bank commission, and total expenditures from 1919-20
to the end of 1927-28 are shown in table No. 31. For 1927-28 each class
of expenditure except the commission paid to the bank was less than in
the previous year; but all, as would naturally be expected, were somewhat
above the average for the nine-year period. It is interesting to note, how-
ever, that operating costs of five customs establishments, those of Aquin,
Cap-Haitien, Gonaives, Jeremie and Ouanaminthe, were below the average
for the nine-year period, and in the case of three, Aquin, Cap-Haitien and
jeremie, operating expenses in 1927-28 were the lowest since 1923-24. The
above data for the same period are reduced to percentages in table No. 32.
Due to the marked increase in customs revenues, all percentages for 1927-28






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


except those for the custom-houses at Aquin and Miragoane were below
the average for the nine-year period. The lowest percentage of cost was
at Petit-Goave, which also is the lowest average for the last nine years.
Total expenses of administration and operation were 2.66 per cent compared
with an average for the period of 3.38 per cent and total expenditures of
all classes were 4.18 per cent compared with an average of 5.26 per cent.
It is interesting to note that all percentages in 1927-28, except those of
individual customs establishments, closely approximate those of 1925-26,
the previous record year for customs receipts, and the percentages repre-
senting the total expenditures for the two years are identical.
Permanent improvements vary widely in total amounts and in percent-
ages from year to year and have no relation to ordinary operating expen-
ditures, except as they may entail additional or reduced obligations for
operation, maintenance and repair. In many cases, construction, for ex-

TABLE No. 31
COST OF CUSTOMS OPERATIONS BY PORTS, AND COSTS OF ADMINISTRATION,
PERMANENT IMPROVEMENTS AND TREASURY COMMISSION,
FISCAL YEARS 1919-20 TO 1927-28

Average Average
1919-20 1924-25 1925-26 1926-27 1927-28 1919-20
to to
1923-24 1927-28

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin.................... 4,144.35 3,473.83 3,477.88 3,669.21 2,883.83 3,802.94
Belladire ................... 898.96 2,000.30 2,025.01 4,762.06 11,557.10 2,759.92
Cap Hatien............... 73,190,96 85,065.19 70,841.95 86,410.14 68,572.67 75,204.98
Cayes .................... 50,932.83 60,765.24 60,917.11 58,437.89 59,640.25 54,936.08
Glore .................. 860.12 2,021.85 1,859.95 4,803.29 2,793.02 1,753.19
Gonaives .............. 37,507.43 36,831.10 40,127.43 50,683.85 38,800.21 39,331.08
Jacmel ..................... 48,404.08 48,431.19 53,749.11 50,329.94 56,528,07 50,117.63
Jhrimie .................... 29,439.82 33,749.14 36,791.45 34,338.97 30,630.10 31,412.08
Miragoine ................ 6,098.56 7,615.28 8,356.14 11,625.03 22,799.62 8,987.65
Ouanaminthe ............ 4,180.33 3,481.29 2,616.05 4,808.54 3,491.06 3,922.06
Petit. Golve ............... 26,449.52 34,106.17 30,921.21 32,070.93 32,231.01 29,064.10
Port-au-Prince ............ 256,158.43 305,140.31 309,650.96 320,947.55 308,533.60 280,562.73
Port-de-Paix ............. 17,548.24 19,687.95 21,856.60 21,604.51 20,716.07 19,067.37
Saint. Marc ............... 22,074.54 31,127.12 26,203.56 27,663.03 25,387.00 24,528.16
Total customs operation 577,888.17 673,495.96 669,394.41 712,154.94 684,563.61 625,449.97
Administration ........... 423,965.80 461,316.07 467,996.66 523,192.77 514,017.30 454,039.09
Total administration and
opratin ............ 1,001,853.97 1,134,812.03 1,137,391.07 1,235,347.71 1,198,580.91 1,079,489.06
Permanent .improvements 122,900.00 57,745.41 155,040.47 706,274.83 235,593.04 196,572.64
Bank commission ......... 360,211.91 656,980.05 405,948.32 336,618.76 450,820.93 405,714.17
Total expenditures from -
5 per cent fund 1,484,965.88 1,849,537.49 1,698,379.86 2,278,241.30 1,884,994.88 1,681,775.87

ample of a wharf or warehouse, obviates payment of rental and reduces for
a period expenses of upkeep, promotes efficiency, and is even reflected in
salary economies. Sanitary and well-arranged offices improve the morale
of employees. Adequate customs plants reduce inconvenience and expense
to the public. While most of the permanent improvements effected in 1926-
27 were financed from balances carried over from the five per cent fund
of previous years, those credited to 1927-28 were paid for either from
government account or from current funds.






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


So long as customs revenues remain on the same basis as at present,
there is every reason to believe that the five per cent fund will be ample
for all recurring expenses of the office of the Financial Adviser-General
Receiver and for a substantial part of necessary permanent improvements.
The eventual removal of export duties provided for in the recent excise
law makes probable a serious reduction of the receivership fund as now


TABLE No. 32

TOTAL COST OF COLLECTING EACH GOURDE OF CUSTOMS RECEIPTS,
FISCAL YEARS 1919-20 TO 1927-28

Average Average
1919-20 1924-25 1925-26 1926-27 1927-28 1919-20
to to
1923-24 1927-28

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin ................................... .0209 .0128 .0192 .0324 .0471 .0212
Belladire ........... ..................... 4.1225 2.8871 1.3629 .3538 .5505 .6585
Cap Haitien .................... .............. .0230 .0213 .0139 .0266 .0139 .0198
Cayes .......... ............................ .0195 .0165 .0169 .0171 .0181 .0183
Fort Liberti .0975 ..................... ........ ........... .0975
Glore .............................................. 1.8248 3.0370 1.1973 1.3517 .4555 1.1064
Gonaives ....................................... .0251 .0192 .0210 .0304 .0155 .0229
Jacmel ............................................. .0209 .0158 .0151 .0169 .0139 .0179
Jirimie ............................................ .0376 .0276 .0180 .0251 .0161 .0270
Miragolne ................................... .0137 .0127 .0143 .0165 .0259 .0162
Ouanaminthe ................................. 1.1820 .4073 .1838 .3842 .1674 .4781
Petit Golve ...................................... .0163 .0134 .0114 .0149 .0111 .0142
Port-au-Prince .................................... .0217 .0190 .0174 .0204 .0142 .0194
Port-de-Paix ...................................... .0167 .0161 .0122 .0192 .0133 .0157
Saint Marc ....................................... .0222 .0248 .0197 .0236 .0204 .0221
Total customs operation ...................0217 .0188 .0165 .0211 .0152 .0196
Administration ..... ........................ 0161 .0129 .0115 .0156 .0114 .0142

Total administration and operation ........... 0378 .0317 .0280 .0367 .0266 .0338
Permanent improvements .....................0046 .0016 .0038 .0210 .0052 .0061
Bank commission .........................0136 .0184 .0100 .0100 .0100 .0127
Total expenditures from 5 per cent fund ... .0560 .0517 .0418 .0677 .0418 .0526

established. No reduction or removal of taxes on exports is contemplated
in this law until after October I, 1929, and then only to the amount of
revenue received from excise taxes. Although it is highly improbable
that all export receipts will disappear on that date it is incumbent on this
office to give immediate consideration to the problem of financing its activi-
ties under more straightened circumstances. In 1927-28 revenues from ex-
port duties amounted to Gdes. 14,040,033.56, and five per cent of these reve-
nues equalled Gdes 702,001.68. Deducting the latter amount from the re-
ceivership fund of Gdes. 2,254,104.63, there is left Gdes. 1,552,102.95. Total
expenditures from the receivership fund in 1927-28 were Gdes. 1,884,994.88.
It will be seen, therefore, that if all export duties had been removed at the
beginning of 1927-28, the five per cent fund would have been insufficient
to cover the moderate expenditures of that fiscal year. Deducting from
the total expenditures of 1927-28 the cost of permanent improvements, there
is left an amount of Gdes. 1,649,401.84, which is still substantially in excess
of the five per cent fund as hypothetically reduced by the abolition of





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


export duties. Of course, the revenue from import duties may be expected
-to increase, thus augmenting the depleted fund. Moreover, the removal of
export duties will reduce the work and expenses of customs operation but
unfortunately not in proportion to the reduced receipts. To meet the
situation thus presented, conservative estimates have been made of the
receipts of the five per cent fund during 1928-29 and 1929-30, on the basis
of the possible removal of all export duties in the beginning of the latter
year. The needs of the organization for salary increases, repair and mainte-
nance, and permanent improvements have been surveyed and foreseen so
far as possible into the future. Stricter supervision has been established
over the incurring of obligations and expenditures; and during 1928-29
it is planned to study the various branches of the organization with a view
to further reductions in recurring expenditures. It is evident that after
the removal of export duties, permanent improvements can no longer be
financed in any appreciable amount from the five per cent fund.
In 1924, an extraordinary credit of Gdes. 500,000 was voted for the
purchase of materials and equipment and for the construction of wharves
and warehouses and other customs facilities. This credit was practically.
exhausted at the end of 1927-28, and it is believed that a further extraordi-
nary credit for the same purpose should be voted in 1928-29.

Internal Revenue Service

The excise tax law enacted in 1927-28 brings the most pronounced
changes in the duties, responsibilities, organization and receipts of the
Internal Revenue Service that have occurred since 1924. The new taxes
form the nucleus of a real internal revenue system and should eventually
triple the total collections of the Internal Revenue Service.
The law of June 6, 1924, which created the Internal Revenue Service
authorized this administration for an indeterminate period to spend in
operating expenses not more than fifteen per cent of its receipts. For the
year 1927-28, as appears in table No. 33, the operating fund amounted to
Gdes. 636,243.02. As in the case of the five per cent fund, the Series B
bonds which were purchased in 1926-27 with a portion of the surplus of
the operating fund and interest on which was credited to the fund, were
transferred to government account in 1927-28; and accordingly the total
of the fund is now shown as identical with fifteen per cent of the internal
revenues. Nevertheless, due to increased revenues, the fund was slightly
larger than during the previous year.
Current expenditures were well within the fund, but greatly exceeded
those of the previous year, while the expenses carried over from 1926-27
were somewhat less. Total disbursements from the internal revenue fund
were Gdes. 462,010.33, an increase of 50.83 per cent over the expenditures
of the previous year. The unexpended balance in the fund which reverts to





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


the treasury and which becomes available for general governmental pur-
poses, amounted at the end of 1927-28 to Gdes. 174,232.69 compared with
Gdes. 321,589.74 at the close of 1926-27.
In table No. 34 the costs of the Internal Revenue Service from its
establishment as an organization under the supervision of the General
Receiver are segregated in accordance with objects of expenditure. In

TABLE No. 33
OPERATING ALLOWANCE OF INTERNAL REVENUE SERVICE
FISCAL YEARS 1923-24 TO 1927-28
Fifteen per Interest Expenses
cent of n series B Total Current from Total Surplus
internal bonds receipts expenses previous expenses
revenues year
Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
August and
September 1924 ...... 110,195.90 .............. 110,195.90 75,254.27 ............. 75,254.27 34,941.63
1924-25 ............... 613,488.92 .............. 613,488.92 320,388.02 29,886.54 350,274.56 263,214.36.
1925-26 ............... 623,607.59 ............. 623,607.59 273,904.56 30,294.20 304,198.76 319,408.83
1926-27 .............. 622,993.20 4,905.22 627,898.42 302,713.49 3,595.19 306,308.68 321,589.74
1927-28 ............... 636,243.02 ............. 636,243.02 460,733.81 1,276.52 462,010.33 174,232.69


1927-28 all classes of expenditure showed material increases compared with
the previous year. Expenditures for salaries rose from Gdes. 218,689.17 in
1926-27 to Gdes. 296,913.32 in 1927-28; materials and supplies from Gdes.
23,748.29 to Gdes. 72,507.94; transportation from Gdes. 13,831.41 to Gdes.
31.487.53; and miscellaneous from Gdes. 8,506.93 to Gdes. 18,685.34. The
bank commission which is invariably one per cent of the revenues increased
slightly. Expenses of administration and operation not including the bank
commission amounted to 9.89 per cent of total revenues, the largest percent-
age cost of collection for any full year since the creation of the service.
Total costs including the bank commission were Io.89 per cent of receipts,
compared with 7.38 per cent in the previous year.
These increased expenditures were amply justified by the special condi-
tions which existed in 1927-28. The new taxes on alcohol and tobacco
products were effective September I, 1928, but stocks then on hand, which
had been accumulated through over-time work and were ample to supply
the market for a considerable period, were not subject to taxation, except
that all stocks of manufactured tobacco on hand December I, I928, will
be taxed. Manufacturers, therefore, generally stopped production and
devoted themselves to unloading stocks. As a result, the excise tax collec-
tions in September were insignificant compared with what may eventually
be expected. Nevertheless, it became the immediate duty of the Internal
Revenue Service to extend its organization, to create an adequate staff
for supervision and control, to have forms and stamps printed, and to
inspect the plants manufacturing taxable articles in various districts. In















RE PUBLICC OF HAITI


OFFICE OF

FINANCIAL ADVISER-GENERAL RECEIVER

'ort au Prince


May 24, 1929






Sir:

On page 55 of the annual report of the Financial Adviser-
General Receiver of Haiti for the fiscal year 1927-28, table
No. 37 shows for the year 1911-12 total receipts of Gourdos
134,379,258.oo. This total should read 34,379,258.oo. Will
you please make the a:spropriatc correction in your copy of this
report.



Financial Advisor-General Receiver.




















TABLE No. 34

COSTS OF INTERNAL REVENUE SERVICE, BY OBJECTS OF EXPENDITURES,


Administration and operation


Salaries


Gourdes
August and September, 1924 36,518.54
1924-25 ...................... 208,655.92
1925-26 ...................... 191,084.27
1926-27 ..................... 218,689.17
1927-28 ...................... 296,913.32


Materials Bank
asnd Transportation Miscellaneous Commission
supplies

GourGour d Gourdes Gourdes Gourdes
31,285.55 1,463.74 5,986.44 i..............
26,196.65 12,414.39 54,761.94 48,245.66
41,059.28 6,775.04 23,728.47 41,551.70
-23,748.29 13,83141 Q ;V .-,. 41,532.88
72,507.94 31,487.53 ].-.. II 42,416.20


Total


Gourdes
:-,.l "7:


462,010.33


Cost per gourde collected


Administration Bank
and Commission Total
operation

Gourdes Gourdes Gourdes
.1024 .................... .1024
.0739 .0117 .0856
.0632 .0100 .0732
.0638 .0100 .0738
.0989 .0100 i .1089


- ~I-I--^ ~-- ~- -~-------- --~-
-------"I~- ------- --------------
-1 -~---


~--------------


I





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


consequence, expenditures for administration and operation increased out
of proportion to the revenues collected. Naturally, this state of affairs
will be transitory; and it may confidently be expected that when excise
receipts attain their normal magnitude the percentage costs of collecting
internal revenues should decline substantially below the figure for 1927-28.
It should be noted, however, that increased expenditures in the year just
closed were caused in part by surveys and other investigations in connection
with the administration of State lands. Such activities bring permanent eco-
nomic and fiscal benefits, but the immediate increase in revenue is not great
compared with the initial cost.
As in the case of the expenses of the Receivership, costs of the Internal
Revenue Service are classified by objects for the last five months of the year
in accordance with the new statistical accounting. Results are shown in
tables No. 35 and No. 36. While these figures, covering only a part of the
year, are not of much interest, they serve to show the increase in expendi-
tures which occurred during the last months of the fiscal year.

TABLE No. 35
CLASSIFICATION OF TOTAL EXPENDITURES OF INTERNAL REVENUE SERVICE
MAY TO SEPTEMBER, 1928


Administration Repairs and
and Operation Maintenance

Gourdes Gourdes
May, 1928 ............... 41,910.22 65.00
June ....................... 32,494.46 41.25
July ...................... 31,494.26 50.00
August .................... 32,577.49 59.00
September ................. 57,637.20 69.00
Total ................ 196,113.63 284.25
Percentage ................. 74.87 .11


Acquisition Fixed
Total
of Property Charges

Gourdes Gourdes Gourdes
1,652.05 ..43,627.27
5,268.40 .............. 37,804.11
3,491.40 ................ 35,035.66
249.95 ................. 32,886.44
12,459.14 42,416.20 112,581.54
23,120.94 42,416.20 261,935.02
8.83 16.19 100.00
I


The operations of the Internal Revenue Service in 1927-28, including
those involved in the establishment of the new taxes and in land investiga-
-;ons, have been economically conducted, and there was gratifying improve-
ment in the efficiency of the organization. Because of the limitations of the
fifteen per cent fund, salaries of internal revenue employees, particularly
agents in the rural districts, have been too low in the past to attract educat-
ed and experienced men or to provide those in the service with incentive for
active and zealous performance of their duties. Increased internal revenues
expected from the new excise taxes should enable a much needed strength-
ening of the entire internal revenue organization.


Customs Receipts
Revenue is the primary consideration in public finance. Financial opera-
tions can only be undertaken within the limits determined by receipts. Table
















TABLE No. 36


CLASSIFICATION OF ADMINISTRATION AND OPERATION EXPENDITURES OF INTERNAL REVENUE SERVICE,
MAY TO SEPTEMBER, 1928


Salaries Supplies and Transpor- Communication Special and
Rents Total
and Wages Materials station Service Miscellaneous

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
May, 1923 .................. 32,377.05 3,478.54 3,937.08 5.00 20.00 2,092.55 41,910.22
June ......................... 25,628.06 4,203.26 1,264.64 .. ...............70.00 1,328.50 32,494.46
July ......................... 26,773.88 2,878.25 1,065.94 ...210.00 566.19 31,494.26
August ...................... 26,803.74 1,211.12 1,347.13 21.00 50.00 3,144.50 32,577.49
September ................... 29,410.73 18,484.92 3,611.55 15.00 120.00 5,995.00 57,637.20
Total ................ 140,993.46 30,256.09 11,226.34 41.00 470.00 13,126.74 196,113.63
Percentage ................... 71.90 15.43 5.72 .02 .24 6.69 100.00


O

'I

z
n


a




m
;a





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


No. 37, therefore, showing the. revenues of Haiti by sources during the
fscal years 1889-90 to 1927-28, is one of the most interesting presented
in this report.
For the years prior to the stabilization of Haitian currency on the basis
of Gdes. 5.00 for $1.oo United States currency, statistics in table No. 37
are reduced to a comparable basis, by, applying exchange rates to the figures
of governmental receipts as stated in Haitian currency. These adjustments,
however, do not take into account variations in the purchasing power
of the gourde. For previous years statistics relating to commodity prices
have for the most part been unavailable. In 1927-28, for the first time
so far as is known, a beginning was made in the assembling of monthly
figures bearing upon prices of staples in the' various parts of the country.
It is believed that eventually such statistics may be placed upon a depend-
able basis so as to permit the computation of a monthly and annual index-
number for commodity prices in Haiti.
Total receipts during 1927-28 were Gdes. 50,421,oi6.49. These were by
far the largest since statistics have been available, exceeding those of
1925-26, the previous record year, by 11.15 per cent. Total revenues in
1927-28 were 29.75 per cent in excess of those of 1926-27. With no appre-
ciable collections by reason of changed tax rates during the year, the
revenues of 1927-28 can be viewed as extremely gratifying. Nevertheless,
Haiti has been accustomed in the past to wide fluctuations in receipts; and
a comparison of single years can not be taken as a fair indication of
trends over any prolonged period. Average receipts during the first three
full years of American participation in the administration of Haitian fi-
nances, i.e. 1916-17, 1917-18, 1918-19, were Gdes. 21,646,336.30. The last
three years, i.e. 1925-26, 1926-27, 1927-28, show an average of Gdes.
44,882,399.79. Comparison of the two figures thus derived shows an
increase in average revenues of 107.34 per cent for the period of the
Receivership. This represents an average annual increase of 11.93 per
cent for the elapsed portion of the receivership period.
It may be urged, however, that the inclusion of war years, when receipts
were subnormal, does not offer a fair basis for comparison. Averaging the
total revenues in the three-year period, 1922-23, 1923-24, and 1924-25, and
comparing this average with that of the last three years, it is found that
there has been an increase of 27.82 per cent or an annual increase of 9.27
per cent. This figure may be accepted as a conservative indication of the
normal growth of revenues during recent years of the Receivership.
Nevertheless, since augmentation of total revenues has been occasioned
in part by the reorganization and more efficient collection of internal rev-
enues, it will be interesting to apply the same comparison of averages to
customs receipts alone. Average customs receipts during the first three
full years of the Receivership were Gdes. 20,708,693.50; those during the
last three years were Gdes. 39,779,600.26, representing an average annual





TABLE No. 37

REVENUE OF HAITI, BY SOURCES*, FISCAL YEARS 1889-90 TO 1927-28


Customs receipts


Imports


Gourdes
.1889-90 .. .........................
:1890-91.......... ............. ...............
1891-92 ............. ....... ................
1892-93 .... ....................... ........ .. .... ........
-1893-94 ..... .. .... ........... I .. ... .... ..
1893-94
1894-9 ........
1895-96 ..... ............ .
189-97 ............... ........ .. .
1897-98 ...... ........... ...... ..........
1898-99 ........ ........... ....... .......

1900-01 .. ...... ... ..
1901-02.... ....................... ......
1902-03 ............ ............... ........ ...
1903-04 ............................ ........ .......
190405 '. ......... ........... .......... ..
190.5-0 .. .............. ............... .. .
19oo-07 ........................... ..... ..: ...... ... -

1907.-0 8 ........................... ............ .
1909:10 ......................... ..."... ........ .... .....
1910-11 ......................
1911-12 ............... ........... 13,652,334.70
1912-13 .......... ............. 15,176,348.80
1913-14 ..................... 10,637,856.40
191415 .......................... 8,668,408.45
1915.16 ....... 12,970,092.55
1916-17 .................. 9,736,057.28
1917-1 ........................... 7,784,253.80
1918-19 ...... .......... .. 12,264,105.80
1919-20 ...................... 18,898,013.74
1920-21 .............. .. 9,816,687.88
1921-22 ..................... 13,247,038.18
1922-23 .................... 16,815,500.17
1923-24 ................ ..... 19,415,707.84
1924-25 ....... .............. 2.452,328.71
1925-26 ................... n26,169,088.58
1926-27 ............... ... ?21.572,181.41
1927-28 ............. ......... 30,935,585.10


Exports


Gourdes
. ..... .

.................:. ..
. ..... .. : .... .... ..
.... ....... ..... :' ....
..... .. .

............
.... ....:........ ....
---..... ..... .. ....



................... ....

.. .......... .... --
I .. .. I .. .


Miscellaneous


Gourdes


Gourdes


..................... ...................... ..


.....: ............ .... ...... ............ .
..... ..... .... .. *.. .. .. .


..................


....................... i....... .............. .
.....: .................. ......... ........ ....


.. .. .. -- ... -- ... .. .. .. .


. .. .. .. .. . ....-- - *
.. . .- .. .. .. .. I .


.......... .............................. ..... ................


19,814,908.73
10,280,211.40
13,413,711.10
6,441,318.45
9,201,376.30
8,473,752.35
7,331,366,55
16,503,370.20
13,143,137.45
8,184,194.70
10,077,983.15
12,312,916.60
9,984,701.92
10,617,525.63
12,660,447.87
10,015,913.41
14,040,033.56


2.. 62,538.80

5,897.52
13,665.10
13,611.90
31,877.91
29,982.42
41,543.37
64,169.58
550,497.38
1,680,164.00
1,765,295.29
73,781.41
106,474.14


33,467,243.45
25,456,560.20
24,051,567.50
15,372,265.70
22,171,468.85
18,215,707.15
15,129,285.45
28,781,087.90
32,073,029.10
18,030,865.00
23,366,569.70
29,192,586.35
29,950,907.14
35,750,018.34
40,594,831.74
33.661,876.23
45,082,092.80


Internal
revenues


Gourdes

............... ...








... .. ........ ....

. ...... ....--- -* .






912,014.55

670,522.20
706,709.70
353,533.40
543,610.05
717,005.60
911,203.40
1,159,974.00
1,886,174.99
1,897,171.70
1,580,246.77
2,699,443.24
2,795,870.53
4,089,926.19
4,155,170.28
4,153,287.97
4,241,620.14


*Fluctuations in the gold value of the gourde prior to its stabilization May 2, 1919, have been calculated and are reflected in statistics of revenue before 1919-20.


Miscellaneous
receipts


Gourdes

























1,971.95
7,901.90
14,871.55
38,246.70
18,059.00
17,979.25
58,071.65
......---.-.........-























155,543.66
647,722.47
614,646.08
1,046,370.59
1,097,803.55
I ... ..
.. 4.... ... ... .. ..
3.. ... .
.. 8.. .. 5.. .... .
.. .. 7I.. .. .. .2 .
58.. ... 7.. ..6...
.. 5.... ... .... ...
... .. .. ... .. ...4 .
614.. .. ... .. ... .
... ... ... .. 3....5 .
...... .... 3..5.5.


Total receipts



Gourdes
31,533,254.85
40,868,026.30
34,799,016.95
34,880,361.45
33,853,640.75
34,917,258.60
23,047.666.65
20,665,202.15
23,753,709.25
19,467,977.35
24,416,719.00
21,986,480.60
18,834,716.35
17,517,062.85
20,087,928.90
13,741,365.95
16,695,679.00
11,977,500.00
10.524,189.40
15.044,393.45
22.014.530.50
20. 20.595.90
- 134.379.258.00
2,.127.082.40
24.758,277.20
15,725.799.10
22.715.078.90
18,9C4.684.70
1.048.2q.n.75
29.955,911.45
13.997.450.79'
19.194.0)(5.70
P4.04l.795.75
"1.950.101.24
32.902.321.33
40.,187.667.00
45,364,648.10
38,861,534.79
50,421,016.49






56 HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

increase of 10.23 per cent in customs revenues during the period. If the
average customs receipts during the three-year period, 1922-23, 1923-24.
and 1924-25, are compared with those of the last three years, the average
annual increase is shown as 8.58 per cent. An average annual increase
of this magnitude in customs receipts presents convincing evidence of
orderly administration and healthy economic growth. Such a method of
computation, while somewhat involved, avoids possibilities of misrepresen-
tation, which are likely to occur when single fiscal years, however typical
they may appear, are selected for comparison.
Another interesting fact appears in this table. During the twenty-four
fiscal years from the beginning of 1889-90 to the end of 1912-13, i.e. the
pre-war period, there were thirteen years which showed revenue decreases
compared with preceding years. Since 1920-21, there has been only one
recession in seven years. Revenues before the war were evidently highly
unstable. Those since the post-war period of readjustment have shown
consistent increases with one exception.
Fluctuations in receipts and the general upward trend since 1922-23 are
graphically shown in chart No. 2 which follows.
Customs revenues were distributed in 1927-28 among imports, exports
and miscellaneous sources as follows:

Imports ............................ Gdes. 30,935,585.10
Exports .............................. 14,40,033.56
Miscellaneous ....................... 106,474.14
Total ........................... Gdes. 45,082,092.80
Compared with 1926-27 receipts from imports increased by Gdes. 7,363,
403.69 or 31.24 per cent. This is attributable, of course, to the larger
volume of import trade occasioned by enhanced purchasing power resulting
from the augmentation of exports which occurred during the year. In the
export schedule, receipts rose from Gdes. 10,015,913.41 in 1926-27 to Gdes.
14,o40,o33.56 in 1927-28, representing an increase of 40.18 per cent. Collec-
tions from export duties are levied on a specific basis and vary according
to the volume of taxable shipments. It is particularly to be noted that in
1927-28 a major part of the increased volume of exports occurred in
connection with coffee, cacao, and logwood, articles which constitute the
principal sources of export receipts.
It is believed that taxes upon Haitian exports are indefensible and that
they should be replaced as rapidly as possible by equivalent receipts from
other sources. In 1927-28 export duties on bananas were removed. The
new excise tax law provides that after October I,1929, the President of the
Republic may upon the recommendation of the Secretary of State for
Finance in accord with the Financial Adviser suspend by arrete the collec-
tion of the whole or any part of one or several of the customs duties on
exports with a view to reducing revenues on export duties by an amount





HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER'
CHART No. 2


aNDJIE KAnJASQ HNJFAJ.AASQADJ.FMAMttJJAAQKDJF.K.Klk&ODJF AM.JA.S.
I 193-4 I Iqt4-25 I 1925-26 I 196-27 1 \9a7-z8

Total Revenue -------- Custom Receipts

TOTAL REVENUE & CUSTOM RECEIPTS





56 HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

estimated to be equal to the revenue derived from excise taxes. If, however,
in the course of any fiscal year, receipts from excise taxes are insufficient
to compensate for any such suspension, the suspended export duties may be
ieestablished by the President to the extent necessary to preclude deficien-
cies in revenues. The amount of export duties collected in 1927-28 will be
the figure employed for comparison with excise revenues in the execution
of this provision of the law. Although precise estimates cannot be made
at this date, it appears possible that in 1929-30 the export duties on coffee
and perhaps on certain other products may be substantially reduced, and
it is the opinion of this office that so far as coffee is concerned, the maximum
benefit to the export trade may be obtained by first applying the reduction
to the better grades. Whether Haitian producers would benefit by the
removal or reduction of export taxes, and whether, if they do, the effect
will be to stimulate production, have both been questioned. It is believed
that, due to the competitive conditions which govern the production of
coffee throughout the world and the marketing of coffee in Haiti, the
producer may be expected, with a reduction of export duties, to receive
enhanced prices for his crop equivalent to such reduction. Higher prices
should offer capital a substantial inducement to invest in coffee produc-
tion. In the case of the more educated class of Haitian coffee producers
and purchasers, .particularly if a differential should be established in
favor of the better grades, extension and improvement of cultivation and
'-f preparation may be expected. In the case of numerous small producers
who at present lack foresight and ambition and to whom crops and prices
appear largely measures of providence, the removal of export duties and
the expected enhancement of price may be viewed, not as a certain stimulus
of production, but as a logical and probably helpful coordination of fiscal
policy with the general program of agricultural development.
Due to the unification of customs duties by the tariff of July 26, 1926,
liiscellaneous customs charges as pointed out in the preceding annual
reportt of this office are no longer productive of much revenue. These
were principally composed of storage charges and navigation ta::es, and
an augmentation in a year of increased trade and shipping would be
expected.
In discussing the increase of total revenues, it was suggested that the
striking results obtained during the receivership period are not to be
attributed to a legislative increase of the tax burden relative to the income
of the people. From this point of view, table No. 38 is interesting, as it
shows the relation respectively of import and export receipts to import and
export values. An examination of a similar table in the preceding annual
report of this office, after the tariff law of July 26, 1926, had been in opera-
tion during its first full year, led to the conclusion that the fiscal burden
of the new tariff was slightly lighter than that of former duties. In 1927-28
customs receipts from imports were 30.56 per cent of the value of imported






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


rierchandise, compared with 29.93 per cent in the preceding year. On the
other hand, the percentage for exports decreased from 13.09 per cent
in 1926-27 to 12.39 per cent in 1927-28. Export taxes are assessed on a
specific basis and therefore have no relation to prices of exported commodi-

TABLE No. 38
RELATION BETWEEN IMPORT AND EXPORT VALUES AND CUSTOMS RECEIPTS,
FISCAL YEARS 1916-17 TO 1927-28


Imports

Value Duty

Gourdes Gourdes
43,030,428 9,741,954.80
50,903,468 7,797,918.90
85,588,041 12,277,717.70
136,992,055 18,929,891.65
59,786,029 9,846,670.30
61,751,355 13,288,581.55
70,789,815 16,879,669.75
73,480,640 19,966,205.22
101,187,825 25,132,492.71
94,257,030 27,808,486.25
78,756,600 23,572,181.41
101,241,283 30,935,585.10
79,813,713 18,014,779.61


I Exports

Per cent Value Duty Per cent
--. I Per Cent--
Gourdes Gourdes
22.64 44,664,428 8,473,752.35 18.97
15.32 38,717,650 7,331,366.55 18.93
14.35 123,811,096 16,503,370.20 13.33
13.82 108,104,639 13,143,137.45 12.16
16.47 32,952,045 8,184,194.70 24.84
21.52 53,561,050 10,077,988.15 18.82
23.84 72,955,060 12,312,916.60 16.88
27.17 70,881,610 9,984.701.92 14.09
24.84 97,018,810 10,617,525.63 10.95
29.50 101,241,025 12,660,447.87 12.51
29.93 76,495,442 10,015,913.41 13.09
30.56 113,336,230 14,040,033.56 12.39
22.57 77,811,591 11,114,362.37 -14.28


ties. Enhanced prices are reflected in a decrease of the ratio between export
duties and values. After comparison of the export values of 1926-27 with
the average for the receivership period and a like comparison of receipts
from exports with the average for the same period, it was concluded that
the volume of Haitian exports had increased whereas the unit value of
Exported commodities had tended to diminish. Similar comparisons for
i927-28, however, do not indicate a trend toward lower prices. Export
values in 1927-28 were 45.65 per cent above the average for the twelve-year
period, while receipts from export duties, which are indicative of quantity,
exceeded the average by only 26.85 per cent.
Fiscal measures should at all times be closely correlated with the
economic and social needs of the country. This consideration applies with
peculiar force to the subject of taxation. Fiscal burdens on imports and ex-
ports are already heavy, and this office does not advocate their increase. In
general the tariff enacted in 1926 has admirably served both its fiscal and
its economic purposes. Protective duties on tobacco, for example, were
followed promptly by a striking development in the cultivation and manu-
facture of tobacco in Haiti. In accordance with the policy announced at the
time the tariff law was passed and following subsequent practice, a number
of articles of the import tariff were amended in 1927-28, raising or lowering
rates in cases where experience had shown such revision to be desirable,
with probably a slight net decrease in the various rates revised. The law
now exempts from duty the importations of most agricultural implements,
of printing machinery and appliances, and of books, with the exception of


Year



1916-17 ......
1917-18 .......
1918-19 ..............
1919-20 ..
1920-21 .............
1921-22 ...............
1922-23 ............
1923-24 .............
1924-25 ..............
1925-26 ..............
1926-27 ..............
1927-2 ...............
Average ............. i







HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


pi imary school text-books, which, it is believed, can and should be printed
in Haiti. Import duties, however, cannot he generally lowered until
additional internal revenues are provided to compensate for the loss in
receipts.
Foreign commerce in Haiti fluctuates from year to year and varies
seasonally within the year. As a result, customs receipts show correspond-
ing increases and declines. During the period of the receivership, the
greatest decline in revenues occurred in 19ao-21 when receipts were less
than in the preceding year by Gdes. 14,051,355.09 or 41.33 per cent. In
the preceding two years, however, customs revenues had been abnormally
large, due to the export of coffee accumulated during the war and resultant
large imports. Since 1920-21, the only decline occurred in 1926-27 when
total receipts as compared with the preceding year decreased by Gdes.
6,503,113.31 or 14.34 per cent. This occurrence was recent enough to show
that recessions are still to be expected. During 1927-28, December was the
month of largest customs collections, returning Gdes. 5,324,916.59, while
.luly was lowest with Gdes. 2,595,099.65, a difference of Gdes. 2,729,816.94.
duringg the first six months 59.78 per cent of all customs revenues were
collected. Year to year fluctuations may be noted in table No. 37 seasonal
tendencies within the fiscal year are illustrated by table No. 39. Both are
.:gain shown graphically in chart No. 2.
Variations in receipts are due for the most part to the predominance of
coffee in Haitian commerce. The condition of the coffee crop is reflected
in the volume of exports, the income of the people, the value of imports,
and finally in revenues. The situation thus presented has an important

TABLE No. 39

CUSTOMS RECEIPTS, BY MONTHS.
FISCAL YEARS 1916-17 TO 1927-28


Average Average
1916-17 1921-22
S to to
1920-21 1925-26

Gourdes Gourdes
October 1,518,926.08 3,037,492.87
Nvcrmber 1,813,232.97 3,538,557.92
December 2,195,593.43 3,854,936.07
January ...... 2,308,150.90 3,214,619.05
February ..'. 2,078,966.06 2,870,412.10
Mrch 2077,327.60 2,968,218.94
April 2,109,606.72 2,429,607.04
May ... 1,763,034.48 2,140,627.99
June ......... 1,942,219.96 1,871,308.14
July ......... 1,444,162.30 1,743,104.07
August ....., 1,610,259.38 1,806,235.06
September : 1,569,050.83 2,295,863.38
Total 22,430,530.71 31,770,982.63


1925-26 1926-27


Gourdes Gourdes
4,416,779.02 3,770,458.42
4,693,002.47 3,534,435.74
5,012,369.58 3,923,268.01
3,667,244.92 2,966,878.06
3,633,241.41 2,886,093.61
3,565,430.99 2,949,459.94
2,664,665.97 2.443,025.84
2.695,871.80 2,246,828.72
2,330,906.59 2,149,413.19
2.657,772.01 2,091,505.76
2,286,530.28 2,184,434.62
2,971,016.70 2,516,074.32
40,594,831.74 | 33,661,876.23


Average
1927-28 6-17
to
1927-28

Gourdes Gourdes
3,731,545.38 2,523,674.88
4,205,086.96 2,874,873.09
5,324,916.59 3,291,736.01
4,428,381.45 2,917,425.77
4,572,322.28 2,683,775.56-
4,689,408.32 2,738,883.41
3,644,378.62 2,398,622.77
3,204,051.56 2,080,766.05
2,750,736.89 1,997,315.88
2,595,099.65 1,718,578.11
2,970,700.22 1.853,133.92
2,965,464.88 2,067,175.85
45,082,092.80 29,145,961.30


bearing upon financial administration. It is impossible to predict revenues
with any degree of precision even a few months in advance. Budgetary






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER 01

appropriations for the succeeding fiscal year must be made long before
there is any reliable basis for revenue estimates. Governmental obligations,
however, must be paid from month to month and these tend to concentrate
in September and October immediately following the period when treasury
receipts are ordinarily low. In order to safeguard the Treasury against
an annual deficit and a shortage of cash in months of heaviest expenditure,
as well as for other reasons, a substantial cash reserve must at all times
be at hand.
Customs receipts are ordinarily the largest during the months in which
the coffee crop is gathered and exported, advancing or lagging with the
earliness or lateness of the harvest. In 1927-28 the crop was retarded.
while in 1926-27 it was early; receipts for October, 1928, were less than in
the same month of the preceding year. In the succeeding months of 1927-28
they rapidly increased, reaching a maximum in December, then declining
to a minimum in July. The high and low months were exactly the same as
in previous years of the Receivership. With the normal variations above-
noted, customs revenues were fairly well-sustained during 1927-28. Every
month, except October, in comparison with, corresponding months of the
previous year showed increases, and compared with 1925-26 all months
except October, November, July and September brought augmented reve-
nues.
The tendency of Haitian importers to overstock at some season of the
year was discussed in the preceding annual report of this office and
possible remedies were suggested. It is, of course, reasonable that mer-
chants should base their importations on the anticipated purchasing power
of the people, and accordingly imports may be expected to fluctuate with
exports. The difficulty, however, is accentuated by the tendency of im-
porters to overestimate demands. Resulting losses accrue to the indivi-
dual merchants, to commerce in general, and incidentally to the treasury.
Economic and commercial conditions cannot, of course, be moulded by
legislation to suit the technical requirements of public finance. Until pro-
duction in Haiti becomes more stable and less seasonal, alleviation of the
situation will rest largely in the hands of merchants, exporters and credit
institutions. In the meantime, the Haitian government may be assured
that, in its program of developing production along more diversified lines,
it is contributing not only to the prosperity of the people and to the
interests of the merchants but also to the incidental establishment of more
adequate and more stable revenues.
Table No. 40 distributes customs receipts according to ports. For the
fiscal year 1927-28 the only custom-houses which failed to return larger
customs collections than in 1926-27 were Aquin and Cayes. For several
years commerce at Aquin has been declining, and it is no longer a port of
call for ocean-going steamships. At Cayes there was an increase of exports
in 1927-28 but an approximately equal decline in the value of imports.






HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


Conspicuous for their increased revenues were Cap-Haitien with an increase
of 51.68 per cent, Port-au-Prince with 38.15 per cent and Jacmel with 36.84
per cent. It is interesting to note that in 1927-28, collections at every port
with the exception of Aquin were above the average for the twelve years
of the Receivership.

TABLE No. 40
CUSTOMS RECEIPTS, BY PORTS,
FISCAL YEARS 1916-17 TO 1927.28

Average Average Average
1916-17 1921-22 192526 1926-27 1927-28 1916-17
to to to
1920-21 1925-26 1927-28

Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
Aquin ........ 124,805.62 222,392.84 180,928.53 113,122.24 -61,168.80 159,190.28
Belladire ...... 3,280.13 653.80 1,485.86 13,458.33 20,993.24 4,510.10
Cap Haitien .. 3,179,095.89 3,646,227.43 .5,098,458.19 3,254,525.83 4,936,597.14 3,526,478.29
Cayes ......... 1,910,474.91 3,205,206.20 3,603,179.70 3,408,107.55 3,291,804.10 2,689,859.77
Fort Libert .. 62,108.75 14,532.22 ....... ....................... ........... 31,933.74
Glore ....... 501.73 915.20 1,553.49 3,553.51 6,131.30 1,397.45
Gonaivs ... 1,372,395.15 1,762,959.97 1,913,612.801 1,668,692.47 2,502,325.52 1,653,982.80
Jacmel .... .. 2,076,404.15 2,858,299.20 3,552,383.43 2,973,165.49 4,068,426.87 2,642,925.76
Jirimie ....... 925,743.72 1,119.908.59 2,043,194.41 1,365,664.38 1,907,633.64 1,125,129.96
Miragolne ... 275,744.34 559,994.05 584,132.72 705,299.97 880,237.74 480,352.47
Ouanaminthe 10,260.12 7,336.32 14,229.77 I 12.516.45 20,851.28 10,112.49
Petit Goive .... 1,221,660.24 2,160,650.50 2,718,263.98 2,147,929.25 2,900,380.06 1,829,988.59
Port-an-Prince 9,540.425.27 13,823,939.29 17,746,065.95 15,698,321.56 1 21,687,904.75 12,850,670.76
Port-de-Paiz ... 925,723.20 1,252,298.94 1,797,636.15 1,123,445.51 1,553,467.62 1,110,585.32
Saint. Marc .... 799,520.56 1,135,668.10 1,329,706.76 1,174,073.69 1,244,170.74 1,007,848.98
Total ..... 22,428,143.78 31,770,982.65 40,594,831.74 33661,876.23 45,082,092.80 29,144,966.76

Table No. 41 showing distribution of customs receipts by sources and
ports indicates the relative significance of import and export duties and
makes possible an examination of the probable effect of the proposed
removal of taxes on exports. For purposes of illustration, the most recent
decline, that of 1926-27, may be taken. Loss of total revenue in that year
amounted to 14.34 per cent of the revenues of the preceding year. If
the export duties collected in 1925-26 had been replaced in 1926-27 by other
revenue sources producing in the latter year the same amount of revenues
as had been derived from export duties in the previous year, the recession
in 1926-27 would have been 8.51 per cent of the revenues of the previous
year, instead of 14.34 per cent as actually occurred. Thus, if at the time
of the next recession conditions should be the same as those existing in
1925-26 and 1926-27, the substitution of excise taxes for export duties
should reduce total losses in receipts by about one-third. The effect of
the excise taxes on monthly variations of revenue can not be guessed, since
it is too early to determine whether and to what extent excise revenues will
themselves assume a seasonal character. It is probable that consumption
of alcohol and tobacco products is greatest during the export season; but
production of the taxable commodities should be more uniform.
From the standpoint of customs operations, prospects may also be
roughly forecasted. Receipts from exports in 1927-28 amounted to Gdes.





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


14,040,033.56 or 31.14 per cent of the total customs revenues. If export
taxes had been non-existent, total customs revenues wculd have been
reduced to Gdes. 31,042,059.24 of which an amount of Gdes. 18,998,282.03
or 61.20 per cent would have been collected at Port-au-Prince. In customs

TABLE No. 41
CUSTOMS RECEIPTS, BY SOURCES AND PORTS.
FISCAL YEAR 1927-28

Imports Exports Miscellaneous Total
Port -
Gourders Gourdees Gourdees Gourdees
Aquin ........ ............ .. 1,042.69 59,914.41 211.70 61,168.80
Belladre .................... 20,612.19 207.57 173.48 20,993.24
Cap-Haitien ................. 2,898,777.28 2,024,752.42 13.067.44 4,936,597.14
Cayes .......... ........... 2,305,882.52 980,161.37 5,760.21 3,291,804.10
Glore ........................ 6,081.00 7.80 42.50 6,131.30
Gonalves ..................... 1,405,459.21 1.089,963.41 6,902.90 2,502,325.52
lacmel ....................... 1,820,902.52 2.244,090.75 3,433.60 4,068,426.87
J&rimie ..................... 968,393.59 933,175.00 6,065.05 1,907,633.64
Miragoine ................... 373,098.14 503,826.85 3,312.75 880,237.74
Ouanaminthe ............ 20,362.87 458.31 30.10 20,851.28
Petit Golve .................. 745,004.10 2,148,283.26 7,092.70 2,900,380.06
Port-au-Prince .............. 18,945,69.02 2,689,622.72 52,913.01 21,687,904.75
Port-de-Paix ................. 745,575.86 805,139.66 2,752.10 1,553,467.62
Saint Marc .................. 679,024.11 560,430.03 4,716.60 1,244,170.74
Total .................. 30,935,585.10 14,040,033.56 106,474.14 1 45,082,092.80

establishments other than Port-au-Prince, total customs collections were
Gdes. 23,394,188.05 of which an amount of Gdes. 11,350,4Io.84 was contri-
buted by export taxes. Thus, in places other than Port-au-Prince receipts
trom exports constituted 48.63 per cent or almost one-half of all customs
revenues. At five of these, Aquin, Jacmel, Miragoane, Petit-Goave and
I'ort-de-Paix, revenues from exports substantially exceeded those from im-
ports. At all other important custom-houses except Port-au-Prince, receipts
from exports formed a substantial part of the total. Removal of export
duties should affect Port-au-Prince very slightly but will evidently cause
a marked decrease of revenue at the other ports amounting in some cases
to more than fifty per cent. Accordingly, whatever adjustment may be
necessary in organization and collection expenditure will affect principally
the custom-houses where exports predominate, notably Jacmel and Petit-
Goave. Removal of export duties may also make possible economies for
some years in expenditure for permanent improvements through the utiliza-
tion of some of the space in export warehouses for the handling of imports.
Distribution of customs receipts by months and by sources is contained
;n table No. 42. Average monthly receipts from imports were Gdes.
2,577,965.43. December, the high month, exceeded the average by 18.o5
per cent, while the low month, July, was 16.87 per cent below the average,
representing a total difference between maximum and minimum revenues of
34.92 per cent. In 1926-27 the total deviation from the average was 53.31
per cent. While fluctuations of imports are evidently not of great impor-
tance, there is no perceptible tendency toward diminution.





HAITI: REPORT OF FINANCIAL ADVISER---GENERAL RECEIVER


TABLE No. 42
CUSTOMS RECEIPTS, BY SOURCES AND BY MONTHS,
FISCAL YEAR 1927-28

Imports Exports Miscellaneous Total
Month
Gourdes Gourdes Gourdes Gourdes
October 2,710,268.51 1,011,928.92 9,347.95 3,731,545.38
November .... 2,735,814.10 1,458,987.89 10,284.97 4,205,086.96
Dece ber .................. 3,043,174.19 2,273,083.74 8,658.66 5,324,916.59
January .................... 2,545,115.61 1,874,689.09 8,576.75 4,428,381.45
February ................... 2,548,643.12 2,012,011.33 11,667.83 4,572,322.28
March ..................... 2,883,873.67 1,797,722.93 7,811.72 4,689,408.32
April ...................... 2,505,610.51 1,128,919.86 9,848.25 3,644,378.62
May ...................... 2,330,738.48 865.852.41 7,460.67 3,204,051.56
June .................... 2,169,338.02 571,272.53 10,126.34 2,750,736.89
July ....................... 2,142,952.16 448,303.62 3,843.87 2,595,099.65
August ..................... 2,661,085.83 301,159.30 8,455.09 I 2,970,700.22
September .................. 2,658,970.90 296,101.94 10,392.04 2,965,464.88
Total ............... 30,935,585.10 14,040,033.56 106,474.14 45,082,092.80


Export receipts tell a different story. The monthly average in 1927-28
was Gdes. I,I70,002.80. December receipts exceeded the average by 94.28
per cent; those of September were 74.69 per cent below; a total deviation
from the average of 168.97 per cent. In 1926-27, the total difference
between minimum and maximum export receipts, based on the monthly
average, was 181.95 per cent. It might be concluded that receipts from
exports tend toward a more uniform distribution through the year. This
is believed to be the case. It is clear, however, that export receipts fluctuate
far more than those from imports, and removal of export duties will
materially change the seasonal character of customs receipts.
In 1927-28 receipts from export duties constituted 31.14 per cent of total
customs receipts. In determining the relative importance of export duties
in the fiscal system, it will be interesting to compare the percentages
presented in table No. 43 which covers the elapsed portion of the receiv-
ership period. During 1927-28, there was a pronounced increase in Haiti's
principal export product, coffee. It was to be expected, therefore, that the
ratio of receipts between exports and imports would rise in favor of the
former. Nevertheless, the percentage representing the receipts from exports
was slightly less in 1927-28 than in 1925-26, notwithstanding that exports
in 1927-28 were 52.82 per cent of total trade while in 1925-26 they were
51.79 per cent. Furthermore, the percentage figures for the twelve years
show a general declining tendency, in spite of the fact that no change has
been made in the rate of export taxes. The explanation lies in the fact that
export duties are specific, and although as previously stated there have
been pronounced increases in recent years of exports of coffee, cacao and
logwood, on which the specific duty is high, there have likewise been
relatively larger increases in shipments of cotton and sugar on which the
taxes are comparatively low.
Finally, consideration of customs receipts naturally leads to an apprecia-
tion of the contributions made to the financial well-being of the country




HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


by the other services and by the general policy of the Government. When
everything possible has been done by this organization to prevent contra-
band, to insure accurate verification of goods and correct application of
tariff rates, and when maximum efficiency has been attained, little more can

TABLE No. 43
DISTRIBUTION OF CUSTOMS RECEIPTS,
FISCAL YEARS 1916-17 TO 1927-28

i Receipts Receipts Miscellaneous
from from customs Total
Year imports exports receipts
Per cent Per cent Per cent Per cent
1916-17 ...................................53.45 46.52 .03 100.00
1917-18 ..... ......................... 51.45 48.46 .09 100.00
1918-19 ................ ................. 42.61 57.34 .05 100.00
1919-20 ................. ........ ...... 58.92 40.98 .10 100.00
1920-21 ...... ............................ 54.44 45.39 .17 100.00
1921-22 ................................ 56.69 43.13 .18 100.00
1922-23 .............................. I 57.60 42.18 .22 100.00
1923.24 ...................................... 64.83 33.34 1.83 100.00
1924-25 .................................... 65.60 29.70 4.70 100.00
1925-26 ...................................... 64.46 31.19 4.35 100.00
1926-27 ................................. ... 70.03 29.75 .22 100.00
1927-28 ......................................' 68.62 31.14 .24 100.00
Average ............................ ........I 60.63 38.12 1.25 100.00


be done by the financial administration to increase customs receipts, except
by way of assistance in the economic development of the country. Such
development, bringing augmentation of commerce and revenue, depends
in large part upon the intelligence with which funds are administered
in connection with maintenance of order and security, industrial and agri-
cultural education, construction and upkeep of roads and trails, the safe-
guarding of public health, improvement in the body of law and in the
administration of justice, and the encouragement of investment and of
private initiative. An increase in revenue, therefore, reflects credit upon
the governmental departments and services charged with the application of
public funds and upon the authorities responsible for legislation and for
the coordination of administrative activities.


Internal Revenues

Internal revenue receipts during 1927-28 as shown in table No. 44
exceeded by Gdes. 88,332.17 or by 2.13 per cent those of 1926-27, constitut-
ing the largest absolute and relative annual increase since 1924-25, the
first full year of operation of the Administration of Internal Revenue.
It should be noted, however, that the new excise taxes which were in effect
during the last month of 1927-28 produced directly Gdes. 61,738.65 and
increased revenues from documentary-stamps by at least Gdes. 15,000.
Excluding the revenues derived directly and indirectly from excise taxes
which were not collected in previous years, internal revenue receipts in





L" HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

1927-28 exceeded only slightly those of 1925-26 and 1926-27. In spite of
year to year fluctuations and a general upward trend of commerce and
customs receipts, internal revenues during the last four years have remained
practically stationary. This condition cannot be attributed to lack of
energy or efficiency in the administration of internal revenues. It is believed
to be due in part to the nature of the taxes themselves and to the limita-
tions placed upon expenditures for collection. Only a few of the sources of
internal revenue are of such a character as to respond to administrative
effort. Clearly in this category are the public land rentals which increased
7.57 per cent in 1925-26, 11.74 per cent in 1926-27, and 25.61 per cent in
T927-28. Many of the internal taxes are of such a nature as to reflect
commercial activity and for this reason should have shown increases in
1927-28. From this as well as from the administrative point of view, it
is interesting to note that all important sources of internal revenue register-
ed increases in 1927-28 over 1926-27 with the exception of receipts from
emigration and from postage stamps. The decrease in postal receipts is

TABLE No. 44
INTERNAL REVENUE RECEIPTS, BY SOURCES,
FISCAL YEARS 1919-20 TO 1927-28

Average Average
1919-20 1924-25 1925-26 1926-27 1927-28 1919-20
to to
1923-24 1927-28

Alcohol: Gourdes Gourdes Gourdes Gourdes Gourdes Gourdes
Distilled from cane juice .... ..... ............. 32,400.36 3,600.04
Distilled from other matter .. .... ........ .68.40 7.60
Malt liquors .................. ...... ..................... 2,389.20 265.47
Spirituous liquors ............. .............................. .............. 1,862.55 206.95
Vinuous liquors ........ ***........................ .. 19,162.56 2,129.17
Cigars .............................. ........................ .. ............. 1,797.75 199.75
Cigarettes .......................... .. ................. ......................... 1,727.75 191.97
Circulation tax on bank notes ...... 34615. 53,827.22 21,142.80 51,593.47 17,908.82
Consular fees .................... 81,728.11 152,914.40 157,080.30 127,984.45 151,597.80 110,913.06
Court fees 7,147.06 7,919.87 8,293.50 8,798.05 9,151.75 7,766.50
Diploma fees .... ...".......... 574.75 2,650.00 1,809.50 200.00 581.58
Documentary recording fees 252,579.03 288,784.19 304,368.31 332,337.12 354,451.96 282,537.41
Emigration fees ................. 239,884.20 945,022.90 1,014,012.50 960,933.75 635,082.50 528,274.74
Fines and penalties ........... 1,886.01 24,770.82 4,222.25 5,309.00 1,563.75 5,032.87
Income tax .................. 281,810.55 625,086.64 503,202.81 533,757.96 595,599.14 407,411.03
Irrigation tax .............. 6,995.21 8,543.14 11,027.95 10,296.10 10,635.14 8,386.49
Occupational tax on foreigners 175,397.56 208,445.27 239,062.51 245,150.50 251,507.20 202,350.36
Official gazette ................... 1,071.90 1,220.20 1,025.00 960.00 854.00 1,046.52
Sale of official publications .............. 344.35 355.25 12.00 148.50 95.57
Patent and trade mark fees .... 6,884.50 5,700.00 15,982.50 11,832.50 12,925.00 8,984.72
Post office box rentals .......... 7,521.62 11,348.90 12,129.25 12,529.26 12,991.40 9,622.99
Public auction fee ............... 5,095.12 1,463.34 2,612.06 2,991.95 2,947.53 3,943.39
Public land exchanges .......... ..................... 325.00 450.00 .. 86.11
Public' land rentals ............. 74,668.37 177,919.02 191,390.71 213,851.77 268,626.01 136,125.48
Stamp receipts:
Bank checks ................... 7,987.74 15,915.40 18,280.30 18,737.00 24,289.20 13,017.84
Commercial account books .. 2,908.72 4,643.20 6.043.89 4,285.85 3,698.40 3,690.55-
Documentary stamps ....... 185,179.25 371,795.54 403,171.62 368,841.38 406,315.32 275,113.35
Postage ......................... 128,547.82 195,755.00 197,485.43 210,119.85 187,202.84 159.255.80
Stamped paper ................ 107,518.78 55,620.51 52,565.15 65,301.25 72,471.87 87,061.41
Stock and bond tax ............. 26,364.99 55,099.40 63,089.91 51,280.2 53.28.28 39,444.87
Telegraph and telephone service 176,774.07 541,103.31 580,979.77 574,002.81 685,821.80 362,864.23
Tobacco manufactured ... ......................... 2,330.08 258.90
Visas of manifests ............. 5,932.96 5,237.50 3,680.00 1,095.00 1,075.00 4,528.03
Vital statistics fees .............. 33,208.69 94,034.03 90,531.14 78,949.43 93,622.33 58,131.15
Water service rents ..... ....... 179,307.97 240,553.54 216,222.78 221,478.70 231,085.55 200,653.38
Miscellaneous ...................... 175,381.22 15,495.04- 1,553.17 69,049.71 60,714.75 113,746.53
Total ....................... 2,171,781.45 4,089,926.19 4,155,170.28 4,153,287.97 4,241,620.14 3,055,434.63
*Includes steamship passenger tax which was replaced by documentary stamp tax in January, 1925.





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER 07

explained by the substitution in 1926-27 of cash collections, credited to
the receipts from documentary stamps, for the postage stamps which were
formerly used on parcel-post bordereaux. Further, all signatories of the
Pan-American Postal Convention apply the domestic rate to mail destined
to other signatory countries including Spain. The year 1927-28 was the
first full year fiscal period during which these measures were in operation.
Emigration, which is in the main a negative index of economic conditions
in Haiti, had declined in the early part of the year and was prohibited by
the Government on July 13, 1928. Emigration fees produced in 1925-26
24.30 per cent and in 1926-27 23.14 per cent of all internal revenue receipts.
Compared with 1926-27, these receipts in 1927-28 declined by Gdes. 325,-
851.25, or more than one-third, and constituted 14.97 per cent of all
internal revenue receipts after deducting excise taxes.
Entirely apart from fiscal considerations, it is' the opinion-of this office
that emigration should be in no way discouraged, though reasonable regula-
tion may be necessary. Population is at present out of proportion to
national income. Until there are greater demands for labor in the country,
it is in the interest of Haitian laborers to obtain outside employment. The
considerable sums of money and the ideas and habits of industry brought
into the country by returning emigrants are of economic and social benefit
to the regions from which the emigrants are drawn. An abundant labor
.upply and a low wage-scale are important inducements to the investment
of foreign capital in the country; but it is not believed that emigration,
except perhaps in.one or two districts, has had any material effect on the
wage-scale. The chief objection, it would seem, to emigration as it has
existed in recent years lies not in its numerical magnitude but in the fact
that the emigrants are drawn largely from two districts, Cayes and Port-de-
Paix, leaving apparently insufficient labor for the cultivation of the soil
in those regions. This condition will doubtless tend to correct itself or can
be remedied by appropriate legislation.
Everything considered, internal revenue receipts in 1927-28 may be
viewed as significant of economic progress as well as gratifying from the
administrative standpoint. Internal revenue receipts in 1927-28 constituted
only 8.41 per cent of all fiscal receipts of the Government, compared with
9.16 per cent in 1925-26 and 10.69 per cent in 1926-27. This percentage
decrease, compared with previous years, was, of course, due to the augmen-
tation of customs receipts in 1927-28. The year just ended serves to
emphasize what has long been pointed out by this office, namely, the
deficiencies of the internal taxes of Haiti and the undue dependence of the
Treasury on customs revenues which fluctuate with crop and trade condi-
tions. It is a satisfaction to record, however, that definite progress was
made in 1927-28 toward remedying this situation. Enactment of the law
taxing alcohol and manufactured tobacco has established one of the
essential features of what is hoped will eventually become a permanent and





uO HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER

sound revenue system and has introduced a greater degree of stability and
predictability into the financial structure. Recognizing that the tax burden
relative to national income is already sufficiently heavy and that the
exportation of Haitian products should be encouraged, the Government
wisely provided in this law for the eventual reduction or removal of
export duties, in effect substituting a productive and presumably a fairly
stable source of internal revenue in place of burdensome and fluctuating
receipts from duties on exports. Incidentally, the resultant increase of
funds available for administration and operation should make possible
better organization and more efficient collection of all internal revenues.
Establishment of new taxes is always difficult. Ultimate benefits to the
nation are never fully appreciated; but those immediately affected become
promptly and vigorously vocal. In the enactment and application of the
new taxes, there have been difficulties and protests but no more than might
reasonably be expected in any country. In the preparation and passage of
Ihis law, President Borno and the legislative body have shown keen and
far-sighted appreciation of the economic and fiscal needs of the country
and a statesmanlike purpose to continue their progressive program. The
reception given to the law by the people and the cooperation extended by
most of the industries directly affected appear to justify the hope that the
reorganization of internal revenues on a sound economic and fiscal basis
may in the near future be further advanced..
Reorganization of communal revenues, establishment of a tax on landed
property and revision of the present income tax may be viewed as the next
necessary steps in the program of reform; but it is believed that there
should be no endeavor to increase the tax burden of the masses.
A detailed discussion of internal revenues will be found in the annexed
report of the Director General of Internal Revenue.

Private Domain of the State
The law of Haiti divides the property of the State into a public and a
private domain. The former consists in general of all properties not
privately owned which are dedicated to public use. The private domain
includes buildings and grounds assigned to or reserved for governmental
purposes, all properties vacant or without proprietors, escheated property,
and properties of which the State has become owner by purchase, exchange
or otherwise.
The law of June 6, 1924, charged the Internal Revenue Service with
the collection of rentals of the private domain of the State, and the consis-
tent increase in subsequent years of receipts from this source has already
been noted. By law of July 26, 1927, the administration of the private
domain was transferred from the Department of the Interior to the Depart-
ment of Finance, greatly enlarging the functions of the Internal Revenue
Service in this connection.





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


According to the law of July 26, 1927, all lessees or occupants of the
private domains of the State are required to pay a rental which is fixed at
six per cent of the sale value of the property, substantially less than current
rates of interest in Haiti on real estate loans. In conformity with Article 15
of the law, squatters on state land are invited to become tenants and enjoy
a preference over other applicants for three months from the date of the
invitation. If they refuse to become tenants, they may be evicted and the
land may then be leased to another applicant. There are comparatively few
cases showing a history of continued squatter occupation by successive gen-
erations. The squatter population is in part shifting, itinerant and nomadic,
abandoning any parcel of land when it becomes evident that further pro-
duction will require more intensive cultivation. Prior to July 26, 1927,
the law provided that squatters should have no rights as such, and this was
clearly understood by the squatters. Under the law they could be ousted
by the first person who went before the local domanial agent and applied
for a lease. In numerous cases the peasant squatter was oppressed in this
manner by some influential person who leased the land, not to occupy or
cultivate it personally, but to sub-lease it to the squatter at a higher rental
than that exacted by the State. Squatters can now obtain secure possession
of state land on terms considerably better than those on which land can be
purchased; and under the law their tenure is protected by the Government.
Public land has more than a fiscal aspect, and should not be viewed
solely as a source of government revenue. This office considers the
private domain an actually valuable and potentially even more valuable
asset of the State, to be administered in the interest of the whole people,
with due regard for the welfare of any individual who may occupy and use
the land. Administration of the private domain of the State presents to
this organization an opportunity and an obligation to cooperate in the sound
development of the country's productive resources.
Due to the condition of the records any statement at the present time
regarding the area of government-owned agricultural land must be in the
nature of an estimate or an approximation. In the colonial period practi-
cally all privately owned land belonged to the French colonies, whose titles
were taken with them or destroyed in the Revolution. After the Revolution
Haiti paid an indemnity to France, which was distributed by the French
Government to the colonial owners. Thus the Haitian Government has no
formal titles to the lands which formerly belonged to the colonial pro-
prietors. Moreover, in 1888, a fire destroyed all the domanial records.
Fortunately, before this occurrence Mr. S. Rouzier had commenced the
preparation of his Administrative Dictionary, which constitutes the prin-
cipal source of information concerning what was regarded at the time as
domanial property. Following the indemnification of the colonial proprie-
tors much of the property thus acquired by the State was in various ways
passed to private ownership, through gifts to soldiers of the Revolution,





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


sales by various governments, exchanges, prescription or adverse posses-
sion (prior to 1864), and conditional concessions. None of these methods of
transfer, with the exception of exchanges and a few minor sales, have been
in operation in recent years. It is estimated that at the present time the
Government owns approximately 1,50o,ooo hectares of land or about
3,700,000 acres, almost one-half of the total area of the country. Much is
mountainous or otherwise of such location and character as to be of little
agricultural value. Nevertheless, the state lands comprise important cul-
tivable areas, especially in North Haiti where in former times plantation
production was carried to a high point and where at present encouraging
development is taking place. In this region, lack of native initiative had
left extensive tracts uncultivated and unoccupied.
Loose and uninformed criticisms have been published during the past
year charging that land has been seized from Haitians in order to be
turned over to American corporations; and that the present tendency of
economic development is to change a country of small farms into one of
large plantations, thus transforming an independent peasantry into a
landless proletariat. A correct appreciation of the situation requires not
only knowledge of the facts but also proper interpretation of the facts in
their relation to the economic and social needs of the country. For these
reasons a more detailed discussion of the matter than would ordinarily be
given in this report to an administrative problem is believed to be justified.
Haiti is predominantly agricultural. Practically all of its exports, of
which coffee constitutes 79.04 per cent, are products of the soil. Mineral
resources are reported but not yet developed. Landholdings are in general
small, averaging, it may be guessed, somewhere between four and eight
hectares or ten and twenty acres. Numerous families live on garden plots
of an acre or less, while farms of even moderate size are exceptional.
Population is already dense, amounting probably to about 200 per square
mile in the entire country, exceeding, it is believed, that of any other
West Indian, Central American or South American country, except Porto
Rico. It is estimated that about one-third of the area of Haiti is productive,
or approximately 3,500 square miles. If the population is put at about
2,000,000, the density per square mile of utilized land would be about 570,
about one-half hectare or a little more than one acre per person. If the
cultivable area were twice that now producing and could be wholly
utilized by the present population, there would still be about a hectare or
two and one-half acres of land per capital to support a population which is
almost wholly dependent on agricultural resources.
The standard of living of the Haitian masses, meeting on the average
only the minimum needs for subsistence, clothing, and shelter, is wholly
inadequate. Improvement of the standard of living of the masses, therefore,
has been the aim of the Haitian government in its constructive financial
and economic program. The essential ingredients of the required standard





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


of living must not only be purchased by the individual or by the family
but must also be provided in the form of social institutions and social
services. Police protection, schools, highways, hospitals, public sanitation
and public lighting and water systems can be supplied in general only
by the Government. In the annual report of this office for 1924-25, the
suggestion was ventured that the total wealth of Haiti might not exceed
Gdes. 6o00ooo,ooo, and the total annual income might be in the neigh-
borhood of Gdes. 200oo,ooo,ooo, representing a per capital wealth of only
Gdes. 300 and a per capital annual income of only Gdes. Ioo. Since 1924-25
there has been an increase of production, of exports, and probably of
domestic trade, bringing an enhancement of property values and of national
income. In the meantime, population has probably grown. If the figures
previously suggested can be viewed as reasonable estimates, it is possible
that, in spite of the growth of population, per capital wealth may have
risen to Gdes. 325 and per capital annual income to as much as Gdes. 125.
Revenues of the central government of Haiti in 1927-28 constituted about
7.6 per cent of thd national wealth and about twenty per cent of the
national income. The burden of taxation imposed by the central govern-
ment relative to income is apparently about three times as heavy in Haiti
as in the United States. So long as the wealth and income of the average
Haitian is so pitifully meager, he can assume no additional burden of
taxation. The power of the Government to spend money for his welfare
and his ability to purchase for himself the essentials of better living are
rigidly conditioned upon an increase of his income.
For these reasons and taking in view the nature of the country's
resources, economic and financial measures in Haiti have been directed
toward the encouragement of agricultural production.
Marked progress in increasing and realizing the productivity of the
country has resulted from the establishment of security and order, the
opening of transportation routes from the interior to the ports, the im-
provement of sanitary conditions and the betterment of health standards,
the extension of vocational education, and activity by the Government in
the promotion of agriculture. The import tariff enacted in 1926 has encour-
aged domestic production, notably in the case of tobacco and in the use
of cotton-seed in the manufacture of lard substitutes. Exports show an
encouraging trend, and when relieved of present fiscal burdens should
further increase.
Evidences of economic advance appear in the statistics of Haitian com-
inerce; and one observes among the people indications of more prosperous
times. It is believed, moreover, that the benefits of economic progress
have been widely distributed among the masses. As a result of the financial
ind economic policies of the Government, the condition of the average
Haitian, with respect to health, dress, housing, furniture, and the enjoy-
ment of public institutions and services has clearly improved. It is





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


not to be implied, however, that the average standard of living is yet
adequate to satisfy the requirements of stable nationality.
There, is no doubt that the fertile soil of Haiti will produce more abun-
dant and more valuable crops when more intensively cultivated. Increased
production necessary to an adequate standard of living can not apparently
be attained if reliance is placed solely upon the cultivation of small land-
holdings. A small farm or garden precludes the utilization of capital,
of irrigation, of organization, of skilled management or of efficient market-
ing. On the other hand, substantial gains in production may, it is believed,
be obtained in Haiti by improving methods and at the same time extending
cultivation to areas now unutilized. Extensive tracts of both state and
privately owned land lie idle, overgrown with brush, and unproductive.
Finding itself the proprietor of extensive tracts of agricultural land which
were neither occupied or used by Haitian peasants and faced with a national
need for increased production, the Government wisely took steps to obtain
for these lands the advantages of capital, skilled management and large-
scale operation. During the fiscal year 1926-27, contracts were concluded
by the Haitian government with the Haitian American Development Cor-
poration and with the Haitian Agricultural Corporation. Under these
contracts, the Government agrees to lease to each of these companies
at the legal rental an area of not to exceed 8,ooo hectares of state
land, within a prescribed district in North' Haiti, provided that the
State has such an area not already under lease in the region specified. The
contracts of both companies' antedate the law of July 26, 1927, already
referred to, and give the companies preference in leasing land not then
under lease. The priority given to occupants by that law specifically excepts
rights of preference previously granted, and therefore does not apply to
occupants of state land in the regions mentioned in these contracts. These
companies are engaged principally in the cultivation of sisal but are author-
ized to produce other commodities. Preference in leasing state land was
the only privilege granted. It was stipulated that the export tax on sisal
would not be increased during the life of the contract, and each company
received appropriate guarantees against confiscatory or discriminatory
legislation.
Under the contracts with these companies it is incumbent upon the
State to determine what land pertaining to the private domain of the State
within the contractual territory is available for lease. This work was
continued during the year 1927-28 and has involved consideration and
investigation of numerous claims of private ownership and of the rights of
State tenants. In a few cases litigation has taken place. In others, claims
have been presented and after investigation decided administratively with-
out resort by either party to the courts. In such cases, results of the
investigation are submitted to a district cadastral commission created under
the law of July 26, 1927, and composed of the Prefect, the Delegate of





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


the Department of Finance, and a representative of the Internal Revenue
Service. Decisions of this administrative body have no judicial finality,
and either the claimant or the State if dissatisfied may resort to the courts.
It may be interesting by way of illustration to give a brief resume of the
facts in a few typical cases.
One Haitian citizen, as an heir of another, presented a claim to a habita-
tion (farm) in the commune of Terrier-Rouge and made a declaration
before the local Justice of the Peace that the habitation had been owned
by his ancestors but that the titles had been lost. On the basis of this
declaration he had a survey made. The State, after a thorough investiga-
tion, brought action in the Justice of the Peace court to cancel the survey,
on the ground that it was made without title, that the land had been
occupied by tenants of the State and squatters from time immemorial with-
out any prior attempt on the part of the claimant's family or others to dis-
turb them, and that the habitation is mentioned in the Administrative Dic-
tionary of S. Rouzier as a property of the state. A judgment was rendered
by the Justice of the Peace court cancelling the survey and maintaining
the State in possession. The heirs appealed to the Court of First Instance
at Cap-Haitien, which confirmed the decision of the lower court, and held
that the possession of the State had been sufficiently established by official
documents, including the Administrative Dictionary, that in the matter of
landed property the possession of the State is deduced necessarily from its
status as original owner of all the territory of the Republic, that these
rights of ownership are imprescriptible and unlimited, the burden of proof
being upon the private claimants. No appeal was taken from this decision.
Litigation occurred in two other cases, both involving the habitation
Moreau, in the commune of Caracol. Investigation disclosed that this land
had been continuously occupied by tenants of the State, including the
claimant, his father, and his grandfather. The habitation is also mentioned
in the Dictionary of Rouzier as a state property occupied by tenants in
;884; and as further proof of such ownership it was found that in 1908
the State had sold a small portion of the property to a person who had
previously occupied the parcel as a tenant of the State for many years.
Suits in the Justice" of the Peace court concerning this property were
decided in favor of the State, and no appeal was taken from the decisions.
One of several cases submitted to the district cadastral commission at
Cap-Haitien during the year involved the habitation Canal in the commune
of Terrier-Rouge. A claim to the entire habitation was presented. It was
found that one part of the property had been occupied by tenants of the
State, and another portion by the claimant and his ancestors; and search
by a surveyor resulted in the finding of the original boundary stones
marking the privately owned portion. The claimant accepted the decision
of the district cadastral commission rejecting his claim to the state-owned
portion and admitting his ownership of the remainder. Another claim





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


submitted to this commission involved the habitation Cheneau, in the
same commune, and was based on an old deed which was found to have
been forged in every essential particular.
Several cases have involved small parcels of land alleged to have been
distributed as national gifts to soldiers of the Revolution. In most instances
it has been possible to locate the original boundary stones or other markers;
and where this is the case, if investigation also shows occupancy by the
claimant and his ancestors, the claim is considered to be sufficiently estab-
lished, even though titles are not produced.
Without doubt there are in existence numerous fraudulent title documents
which have been fabricated through the procedure of making a declara-
tion before a Justice of the Peace, followed by a survey. This declaration
is usually to the effect that an ancestor was owner of the property, without
indication of how, when, or from whom it was acquired, and that the titles
were lost in the events which have occurred in the country, without speci-
fying what event. Armed with such a declaration in lieu of title, a surveyor
was employed to operate on the desired parcel of land. The procedure just
described is no longer permissible, as Article 33 of the law of March 23,
1928, expressly forbids, under penalty of removal, the taking by a Justice
of the Peace of any declaration for the purpose of establishing proof of
a right to real property.
Through a regrettable combination of circumstances, certain lessees of
the habitation Lombard in the commune of Caracol were improperly
deprived of their tenancies. Hostile critics and political opponents of the
Government have described this case as one of brutal expulsion of numer-
ous peasants in order to lease their holdings to an American corporation.
This was the first habitation leased in the region covered by the contracts of
the two sisal companies. The tenants, unfortunately, failed to assert their
rights until it was too late. The administration of the private domain
of the State had been transferred to the Department of Finance only a
few weeks previously; little experience had been gained in handling such
matters; and, while there was failure to investigate properly the rights
of occupants, no other similar failure has occurred in any subsequent
case; moreover, the tenants whose rights were ignored were adequately
indemnified, in one instance at least in an amount greater than the tenant's
own valuation of the injury suffered. Instead of a large number of tenants
there were but five who actually had a grievance and in only one case
was the grievance important. Evidence obtained in the investigation was
unanimous that there was no brutal or even forcible expulsion. In several
cases the abandonment was voluntary in that for various reasons the
tenants did not desire to remain after the rest of the habitation had been
fenced, cleared, and placed under cultivation. At the time of the investi-
gation those whose holdings were not yet cleared, and who could and would
have been reinstated in their tenancies had they so desired, stated that they





HAITI: REPORT OF FINANC:AL ADVISER-GENERAL RECEIVER


did not wish to return. There were also nineteen squatters and delinquent
tenants on this habitation, and none of them was evicted. These acted as
did the tenants, leaving before or when clearing operations reached the
parcels which they occupied; and they were not indemnified because they
had no rights. In the case of one holder of a conditional concession who
had similarly vacated, as the clearing operations had not at the time of the
investigation reached the land occupied by him, the company was required
to change the location of its fence, and the portion so occupied was exclud-
ed from the area leased to the company and was restored to the former oc-
cupant.
During 1927-28, four habitations with a total area of 908.12 hectares or
about 2,244 acres were leased to the Haitian Agricultural Corporation, and
eleven habitations comprising 1,o44.31 hectares or about 2,580 acres were
leased to the Haitian American Development Corporation.
There is one other agricultural concession in force, that of the Haytian
Pineapple Company, granted in 1923, which, however, accords no privilege
with respect to the leasing of state lands. There are several other companies
financed and managed by Americans which conduct agricultural operations
without concessions. Of these the most important is the Haytian American
Sugar Company which began operations in 1918. These companies, of
course, have the right to lease State land in accordance with the law.
A case having the appearance of dispossession occurred in the course
of rental of government land to the International Sisal Corporation. The
corporation has rented a single habitation with an area of something over
400 hectares; about 14 hectares had previously been occupied by seven or
eight Haitian peasants who had paid no rent for several years. They were
all given notice and an opportunity to lease the land and all refused. As
fast as the company cleared the land and reached the places occupied by
the squatters, the latter moved away without protest and without even
waiting for an order to vacate.
A contract has been granted by the Haitian Government relative to the ir-
rigation of'the Artibonite Valley. This contract was approved by the legis-
lative body on May 25, 1927; and for a period of two years, that is until
June 2, 1929, it is in the nature of an option conditional on the securing by
the contractor of the necessary capital and necessary land. Whether the
option will be exercised has not yet been determined. As in other contracts,
the Government agrees to lease to the contractor public land within the
district which was not already leased at the time of the promulgation of the
contract. The Artibonite Valley is preeminently a region of small peasant
holdings, with comparatively little public land. The contract contains
adequate provisions for the protection of the peasant, and no land has been
leased to the contractor.
Areas under cultivation as above described constitute an insignificant
percentage of the total arable area of Haiti. Land thus made productive





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


was for the most part neither occupied nor used by Haitian peasants.
There has been no invasion of peasant proprietorship and no encroachment
on the food supply of the people. The modest beginnings of agricultural
development have already produced beneficial results. Land for many years
practically abandoned has been cleared and restored to productivity.
With no increase of the landless there has been marked gain in employ-
ment and well-being. Thousands of Haitians, many of them peasants with
their own garden plots, in the neighborhood of the plantations, have been
afforded an opportunity to supplement their meager incomes through gain-
ful employment. Most encouraging of all, Haitian peasants, following the
example of the plantation companies, are clearing land and putting it to
productive use. These developments mark the first systematic and success-
ful effort to deal with public land in Haiti on a sound and constructive
economic basis.
Those who are fearful of the future may take assurance from the fact that
topographically and economically Haitian conditions set rather definite
limits to plantation development. Large-scale agricultural operations have
been advocated primarily for the productive use of unoccupied and unculti-
vated state lands. There are still opportunities for investment which are
believed to be attractive, and which, if developed along the line of agri-
cultural operations now under way, should be profitable to the investor and
should contribute further to the solution of Haiti's economic and social
problems. In no case should an unconscionable concession or special
privilege be accorded to foreign capital as such, and nothing savoring
of spoliation will be countenanced. Every concession should have in view
primarily the interests of the Haitian people, assuring to them a proper
share in the benefits of increased production.
It is proposed, furthermore, to join with the reasonable encouragement
of large-scale operations a plan for transferring to peasant proprietorship
that portion of the private domain which is most suitable for small farms
and gardens. The first and only effort of this kind was made in 1883 when
a law was passed providing for the grant of conditional concessions of
state land to any citizen who would agree to cultivate coffee, sugar cane,
cotton, cacao, tobacco, indigo, ramie, and other export products. The area
to be conceded to each person was limited, and occupants or tenants were
given a preference over other applicants. If within a period of from one
to five years thereafter, depending upon the period necessary for the crop
selected to come into production, a commission designated to examine the
conceded land should certify that at least three-fourths of the area had been
planted to the product selected and that one crop had been harvested, the
beneficiary of the conditional concession was to receive from the Govern-
ment a perpetual concession. Such a perpetual concession was a title in
fee simple, and carried with it the unrestricted right to alienate the land.
If, however, the homesteader did not within the specified period fulfill





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


the conditions, the land was to revert to the domain of the State, and might
be homesteaded by any other person.
This attempt to increase the number of small landed proprietors was
a complete failure, many of the beneficiaries of conditional concessions
having merely placed a tenant of their own on the land, and only a few
of those who received conditional concessions cultivated the land to the
extent required by the law. Accordingly a law of August 21, 19o8, provided
that the legislation regarding conditional concessions should be maintained
in effect solely in favor of peasant cultivators, who could not in any case
cede their rights to third parties. No new conditional concessions have
been granted during the last twenty years.
The complete failure of the law of 1883 creates doubt whether the rural
population is yet sufficiently advanced for a successful homesteading system.
The previous experiment, however, was made fifty years ago; and it is
believed that it should be repeated in accordance with a carefully prepared
law requiring personal residence and cultivation and restricting homestead-
ing to areas not appropriate for large-scale productive enterprises.
There seems to be a general belief that it has been possible until recently
to acquire title to state land by prescription or adverse possession. This
misconception is doubtless due to the fact that Articles 35 and 1995 of
the Civil Code, which are the general law on the subject, apply to the
State as well as to individuals and provide that the State is subject to and
may plead the same prescriptions as individuals. As a matter of fact, for
more than sixty years the laws of Haiti have made it impossible to acquire
title to state land by prescription, and such laws apply as well to the
private domain of the State as to the public domain. Article 4 of the law
of October 28, 1864, provided that the properties of the domain of the
State, including alienable properties, for which a prescriptive title had not
been acquired at the time of promulgation of that law, should cease to
be subject to prescription so long as the existence of these properties should
continue to be unknown to the Government, and until a general and com-
plete list of all the properties belonging to the State should be prepared and
made public by the administrator general of domains. This law further
provided that no person could occupy a property forming a 1art of the
domains of the State or become owner thereof except in virtue of a
definitive title. This suspension of prescription against the State was main-
tained by Article 6 of the law of August 14, 1877, which in all other respects
superseded the law first mentioned. The law of 1877 was in turn superseded
bv a law of August 21, 1908, Article 6 of which provided that no person
could invoke prescription against the State. The present domanial law,
that of July 26, 1927, provides that the private domain of the State is
imprescriptible. Thus, there is a long history of continued legislative
prohibition of the acquisition of title to state land by prescription, a
prohibition based upon the fact that the State has never known exactly





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


what lands it acquired through the indemnification of the colonial pro-
prietors.
A law is imperatively needed for the adjudication and registration of
property rights, not only for the purpose of determining definitely what
lands belong to the State, but equally for the benefit of individual Haitians
and in the general interests of the country. Land titles are at present in a
chaotic state. Methods of surveying land are antiquated. There are no uni-
form or effective provisions for the recording of ownership documents, and
transfers of property thus involve useless formalities. Real estate trans-
actions are obstructed. No possessor of land can be expected to invest
money in his property without reasonable assurance of secure possession.
!oans on the security of real estate are rendered difficult and in many cases
impossible. Until the ownership of land is clear, the execution of a land-
settlement law or the assessment and collection of a land tax will be dif-
ficult. Conditions of apathy, distrust and fear are created which react on
agricultural effort and on the attitude of the people toward law and toward
the Government. Both production and progress are retarded.
Enforcement of such a law covering the whole of the country will be a
slow and expensive process and may be misunderstood by the people. Never-
theless, it is a fundamental constructive undertaking which can not well be
postponed.
A law was passed on May 14, 1928, amending five articles of the law of
July 26, 1927. One amendment seems worthy of special mention. The origi-
nal law gave no protection to a tenant, who in good faith leased supposedly
state land, against an owner who should later establish his right to such
land. It occasionally happens that a tenant leases a property in good faith
as state land, to which some years later a valid claim of private ownership
;s presented. It is not inconceivable that an owner of unoccupied and un-
cultivated land may carefully refrain from making any claim to it, permit-
ting cultivation and improvement by the tenant. When the lessee is about
to profit from his labors, the owner will step forward and evict him. In
order to prevent such spoliation, the domanial law was amended so as ,,
provide that when properties are leased from the State after compliance
with the formalities required by law, the tenant and the State are considered
as having executed the lease in good faith. If a valid claim of private owner-
ship is presented within three years thereafter the owner can not evict the
tenant except upon reimbursement to the latter of the value of the bet-
terments effected by him, or the owner may elect to be substituted for the
State as lessor. After three years, a successful claimant has no right to evict
the tenant, but is substituted for the State as lessor. If no claim is presented
within ten years from the date of the lease, the State acquires title by pres-
cription. This amendment gives necessary protection to the tenant and
encourages the improvement of public land, while it imposes no hardship





HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


upon a negligent or absent owner or even upon one who purposely refrains
from asserting his rights.
In summary, present law and administrative practice aim tq use the
private domain of the State for productive purposes, through leases to
Haitian tenants and occupants. Where conditions are appropriate and the
land is not so leased, an effort is made to introduce large-scale productive
undertakings. The latter will necessarily be limited in scope and will in
no way curtail the existence or the extension, so far as may be consistent
with the public interest, of small landholdings. The plan hitherto followed
represents the harmonizing of peasant proprietorship with a suitable de-
velopment of large-scale agriculture. Without disturbing owners or tenants,
It looks to the welfare of that large portion of the population which is not
and probably cannot be permanently settled on the land. It seeks to
discourage the holding or acquisition of public land without productive
use;' and, in view of the limited arable extent of the country, it places the
welfare of the nation above the selfish interests of squatters, hoarders,
land-speculators, and absentee landlords. While protecting the acquired
rights of individuals, it considers the uncultivated public lands an asset of
the State to be used for the benefit of the whole people. In general, it
seeks to establish productivity, security and stability.

Miscellaneous Receipts

Miscellaneous receipts were Gdes. 1,046,370.59 in 1926-27 compared with
Gdes. 1,097,303.55 in 1927-28, an increase of 4.87 per cent. The derivation
of such receipts as well as their distribution by months is set forth in table
No. 45.
Interest on governmental deposits amounted to Gdes. 793,094.03, an
increase of 22.37 per cent over the Gdes. 648,112.69 received from this
source in 1926-27. The larger total of interest payments was due to
increases both of cash on deposit and of investments in securities of the
Haitian State.
Proceeds from the conversion of francs decreased from Gdes. 239,011.55
in 1926-27 to Gdes. 229,994.60 in 1927-28. Inasmuch as these receipts are
derived from interest paid the government on the balance in the fund for
repayment of the French franc 1910 loan, revenue from this source will
decrease in direct proportion to the acceptance of repayment by the
bondholders.
Unclassified miscellaneous receipts amounted to Gdes. 74,214.92 in 1927-
28, substantially less than the Gdes. 159,246.35 received from this source
in 1926-27; and further decreases may be expected. During 1927-28 only
Gdes. 7,000.00 of this class of revenue can properly be considered recurrent,
being a payment of interest by the commune of Petit-Goave on funds
advanced by the State for the installation of a municipal water service.






HAITI: REPORT OF FINANCIAL ADVISER--GENERAL RECEIVER


In general, the improbability of any material growth of the treasury
balance, together with the rise in the market value of Haitian bonds which
renders investment in these securities less remunerative, makes it unlikely
that miscellaneous receipts will show in the future any significanll increase.


TABLE No. 45

MISCELLANEOUS RECEIPTS, BY SOURCES AND BY MONTHS,
FISCAL YEAR 1927-28

Interest on
Conversion
governmental of Francs Miscellaneous Total
deposits

Gourdes Gour GouGourdes Gourdes
October 155,316.06 18,929.30 32.50 174,277.86
November ................. 21,498.50 18,317.80 102.80 39,919.10
December ..............: 50,659.33 23,384.00 12.50 74,055.83
January ...................30,343.50 18,370.00 ...................... 48,713.50
February ..................58,443.33 18,952.15 ........................ 77,395.48
March ............... ... 40,508.00 18,988.40 .............. .... ....... 59,496.40
April ...................... 174,083.78 17,785.90 ..................... 191,869.68
May ........................ 40,568.00 20,947.25 9,722.18 71,237.43
June ...................... 70,239.28 18,364.15 4,777.82 93,381.25
July ........................ 31,704.05 18,879.75 5,000.00 55,583.80
August ..................... 70,929.55 18,247.00 1,567.12 90,743.67
September ................. 48,800.65 18,828.90 53,000.00 120,629.55
Total ................ 793,094.03 229,994.60 74,214.92 1,097,303.55



Non-Revenue Receipts

Non-revenue receipts, consisting principally of deposits by notaries and
constituting trust funds, are of little fiscal significance and amounted in
1927-28 to only Gdes. 83,761.32 representing, however, an increase of Gdes.
79,773.32 over the Gdes. 3,988.00 received from this source in the preceding
year.

All receipts of the Haitian government, segregated by collection districts
and by months are summarized in tables Nos. 46 and 47, which serve to
consolidate and rearrange matter already presented and discussed. They
make somewhat clearer the fact that over fifty per cent of government
revenues are collected at Port-au-Prince and that receipts as a whole tend
to accumulate in the first half of the fiscal year. From the standpoint
of revenue collection, concentration of activities at Port-au-Prince is in
many respects desirable, facilitating supervision and economical operation.
Disproportionate collections which occur during the first six mobiths
constitute an inconvenience which does not easily lend itself to adminis-
trative or fiscal correction. Sufficient comment has already been made on
the economic conditions which occasion periodicity of receipts.

Further details with regard to customs and internal revenue receipts
by sources, by months and by ports are found in schedules Nos. 3 and
4 annexed to this report.




HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


TABLE No. 46
REVENUE AND NON REVENUE RECEIPTS, BY PORTS OR FINANCIAL DISTRICTS,
FISCAL YEAR 1927-28

Customs MIniscellaneou Total
revenue

Gourdes Gourdes Gourdes Gourdes
Aquin .................................... 61,168.80 12,004.25 73,173.0,
Belladre ................................... 20,993.24 20,993.24
Cap Haitien ............ .................. 4,936,597.14 337,723.87 5,274,321.01
Cayes ..................... .................. ,291,804.10 227,583.27 3,519,387.37
Glore ...................... ............ 6,131.30 6,131.30
Gonaives ................ ..... .... .. 2,502,325.52 149,248.56 2,651,574.08
Jacmel .................... .... ....... 4,068,426.87 214,368.81 4,282,795.68
J rimrie ........................... ........ 1,907,633.64 141,033.15 2,048,666.79
Miragoane ................... ............ 880.237.74 47,411.36 927,649.10
Ouanaminthe ............................. 20,851.28 20,851.?R
Petit Gove .............................. 2,900,380.06 143.144.43 3,043,524.51
Port-au-Prince ............................. 21,687,04.75 2,696,129.08 1,097,303.55 25,481.337.38
Port-de-Pai ............................... 1,55,467.62 101,708.81 1,655,176.43
Saint Marc ............ ............... 1,244,170.74 171,264.53 1,415,435.27
Total revenue receipts ....... .......... 45,082,092.80 4,241,620.14 1,097,303.55 50,421,016.49
Total non revenue receipts ............ 83,761.32
Total receipts ............... .......... 50,504,777.81


Governmental Expenditures

Financial administration is not an end in itself; it is a means to an end.
The ultimate objective is human welfare. Legislative adjustment of taxes
to the income of the people is the first step. The next is economical and
efficient collection of revenues in accordance with law. Appropriations
indicate the intent of the Government and legislative body with respect
to the apportionment of the funds of the State. Statistics of expenditure
properly presented show how the public money is actually used and
whether disbursements are in conformity with legal authorizations. An
analysis of such figures should indicate whether the people's money is
devoted to the real needs of the country in proportion to the relative
importance and urgency of the needs.
Naturally, within the limits of an annual report, analysis of expenditures
can only be attempted within a few broad classifications and can be carried
only up to a certain point with any degree of definiteness. Whether details
of expenditure are economical and efficient can only be shown by exhaustive
sub-division and'even then can be demonstrated conclusively only by
competent appraisal of results. Expenditures, however, are merely an addi-
tional step toward the ultimate objective. The tangible effects of expenditure
can be best understood and appreciated by a study of the reports of services
other than that of the Financial Adviser-General Receiver. Beyond current
accomplishment, however, lies the ultimate goal, the welfare of the people.
Welfare cannot be expressed precisely in statistical terms. It can, however,
be more or less satisfactorily inferred from observation, from general sta-
tistics, and from the economic data statistical or otherwise which are pre-
sented in this report and in the reports of other services.
































Customs Receipts:
A quin .....................................
Bellad re ............. ....................
Cap Haitien ...........................
Cayes .....................................
Glore ...................................
Gonalves ................................
Jacmel ...... ....................
Jreimie ..........................
M irago ne ................................
Ouanaminthe ..... ...................
Petit Golve ............................
Port-au-Prince .........................
Port-de-Paix ............................
Saint Marc ............................


Total customs receipts ..............

Internal Revenue Receipts:
Administration Port-au-Prince ...........
A quin .......................................
Cap Haitien ............................
C ayes ........ .............................
Gonaives ...................................
Jacmel ....... .........................
Jerimnie ...... .................. ......
Miragone ...............................
Petit-Golve ........... ....................
Port-de-Paix ............................
Saint Marc ..............................

Total internal revenue receipts ......


October


Gourdes
145.07
1,053.90
521,183.18
241,664.47
516.25
180,607.64
306,494.35
146,747.56
45,455.89
1,111.77
152.216.06
1,917,078.48
139,507.68
77,763.08
3,731,545.38

344,168.20
1,945.02
58,977.36
35,880.51
24,150.52
28,263.07
21,099.22
7,335.48
29,028.00
19,696.78
23,444.42
593,988.58


Miscellaneous:
Port-au-Prince ............................. i 174,277.86

Total revenue receipts ............... 4,499,811.2

Non revenue receipts ........................ 200.00

Total receipts ........................... 4,500,011.82
____________4,500,011.___2


TABLE No. 47

TOTAL RECEIPTS OF HAITIAN GOVERNMENT, BY SOURCES. MONTHS AND PORTS,
FISCAL YEAR 1927-28


November December January February March April May June July August September Total


Gourdes G Gourde Gourdes Gourdes Gourdes Gourdes Gourdes I Gourde Gourdes Gourdes Gourdes Gourdes
6,513.11 9,370.51 5,246.31 8,102.41 8,534.44 5,188.84 10,834.96 5,636.08 46.82 147.00 1,403.25 61,168.SO
868.25 1,833.65 308.65 1,364.20 1,478.67 2,311.21 525.20 2,154.83 2,374.52 2,486.23 4,233.93 20,993.24
498,986.67 551,585.46 511,335.43 458,249.99 547,357.57 439,681.03 313,510.57 259,755.10 274,974.95 284,256.44 275,720.75 4,936,597.14
274,265.34 425,157.81 328,177.95 365,465.30 316,234.97 185,645.13 190,458.32 210,837.25 196,305.12 256,368.96 301,223.48 3,291,804.10
556.50 229.90 77.50 626.35 796.70 462.50 728.30 1,071.00 379.70 432,70 253.90 6,131.:'0
266,171.37 348,939.27 274,758.34 293,482.93 265,672.10 213,962.65 130,882.60 151,330.72 140,418.37 111,259.72 124,839.81 2,502,325.52
498,912.26 681,151.31 527,630.95 456,362.78 443,525.26 258,913.33 189,723.02 180,580.88 141,160.20 160,538.45 I 223,434.08 4,038,426.87
231,777.95 314,149.70 274,433.19 152,993.82 163,614.81 78,093.58 142,944.55 99,576.70 76,967.57 95,536.72 130,797.49 1,907.633.64
37,733.87 126,115.96 84,260.58 118,056.79 132.010.73 72,693.82 54,344.80 34,060.98 55,519.30 57,627.31 62,357.71 880,2.7.74
1,470.97 1,583,69 1,085.49 2,220.94 3,098.41 5,153.58 1,592.73 1,426.49 1,411.00 2,526.09 1,345.58 20,851.28
265,101.05 399,354.60 352,460.39 382,953.48 305,174.96 300,901.21 218,484.11 155.575.15 126,596.18 132.120.09 109,442.78 2,900.380.06
1,800,433.87 2,125,185.52 1,778,878.79 2,013,153.06 2,160,56n.20 1,816,242.43 1,761,201.73 1,507,798.51 1,420,351.89 1,73",186.87 1,593,833.40 21,687,906.7'
165,500.03 215,585.44 177,853.15 159,767.78 158,710.35 123,782.26 103,337.06 77,243.37 89,111.15 70,850.64 72.218.69 1,553,467.62
96,795.70 124,673.77 111,874.73 159,522.45 182,639.15 141,347.05 88,669.07 63,679.83 69,4S2.88 63,363.00 64,360.03 1,244,170.74
4,205,086.96 5,324,916.59 4,428,381.45 4,572,322.28 4,683,408.32 3,644,378.62 3,204,051.56 2,750,736.89 2,595,099.65 2,970,700.22 2,965,464.88 45,082,092.80

122,986.91 468,279.80 425,045.01 133,841.56 175,322.49 208,796.92 150,833.23 117,491.48 141,681.49 164,393.64 243,288.35 2,696,129.08
834.77 1,122.42 1,199.11 1,160.61 908.74 1,203.39 917.27 757.28 737.70 548.94 669.00 12,004.25
23,765.72 24,101.40 30,213.82 22.327.37 28,581.89 12,935.34 21,619.40 18.321.41 34,254.11 16,707.45 23,915.60 337,723.87
16,660.29 20,464.36 17,289.64 12,803.38 .17,824.18 22,594.18 22,883.31 12,8 5.78 10,026.58 12,788.16 25,482.90 227,581.27
11,506.23 12,168.66 18,827.71 14,240.57 12,127.86 14,607.95 10,416.36 7,790.53 7,863.43 7,357.89 8,190.85 149,248.56
16,903.95 18,170.15 24,736.88 22,298.94 18,226.19 25,251.10 13,510.78 12,368.03 11.339.91 8,312.02 14,989.50 214,368.81
10,941.12 21,669.21 14,668.60 12,109.29 10,736.11 12,264.31 7.1c0.02 6,380.72 6,760.41 6,397.23 10.846.91 141,033.15
2,849.21 3,927.77 3,372.6i 3,639.81 4,375.8a 4,871.84 3,463.24 3,405.87 3,959.fiq 2,951.36 .3,T58.5- 47,411.36
10,785.38 12,179.76 11,368.82 11,552.96 11,365.27 18,977.51 11,531.49 7,575.4? 5,576.66 5,498..9 7,708.77 143,144.45
6,042.89 6,451.07 6,916.18 6,573.91 6,817.25 9,253.93 11,274.21 8,097.47 7,173.06 5,463.20 7,949.55 101,708.81
30,519.92 8,939.31 9,495.48 7,046.62 13,551.89 28,232.59 17,145.26 6,128.90 6,214.44 0,424.11 14,121.59 171,264.53
253,796.39 597,473.91 563,123.90 217,594.36 299,837.76 378,984.37 270,754.57 201,205.88 235,586.48 236,842.39 362,421.55 4,241,620.14

39,919.10 74,055.83 48,713.50 77,395.48 59,496.40 191,869.68 71,237.43 93,381.25 55,583.80 90,743.67 120,629.55 1,097,303.55
__________ I I---
4,498,802.45 5,996,446.33 5,040,228.85 4.897,312.12 5,048,742.4S 4,215,232.67 3,546,043.56 3,045,324.02 2,886,29.93 3,293,286.28 3,448,515.98 50,421,016.49

1,239.40 82,321.92 .... ... ........ ............... ................ 83,761.32
4,498,802.45 5,97,685.73 5,122,550.77 4,897,312.12 5,048,742.48 4,215,232.67 3,516,03.56 3,045,324.02 2,886,29.93 3,298,286.28 3,44,.515.98 50,504,777.81
________ I _________ _______i _________.45 _____..... ...... _
_________ I


.
.
.
.


*


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*
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HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


Accounts of the Government are now presented in three classifications:
by organizations and activities, by objects of expenditure, and by functions.
Prior to 1923-24 no adequate segregation and. classification of expendi-
tures had been developed. Therefore, the statistics presented in table No.48,
while showing disbursements from 1916-17 to 1922-23, inclusive, do not pro-
vide a satisfactory indication of the relative importance of many significant
classes of expenditure. From 1923-24 to date both budgetary appropriations
and governmental accounts have been classified according to sub-divisions
of public debt payments, and, in the case of other expenditures, according
to the various organizations charged with expenditure. This classification
makes possible a comprehensive and comparative picture of the distribution
of funds among the different branches of the Government. Data regarding
the further distribution of expenditures by each organization according to
budgetary articles while available are not presented due to the amount of
detail involved.
Table No. 49 showing ordinary, supplementary and extraordinary appro-
priations from revenue for the fiscal years 1923-24 to 1928-29, is presented
for the first time in this report. It will be understood, of course, that credits
are not as a rule completely utilized during the year in which the appropria-
tion is made. This is particularly the case with extraordinary credits.
Accordingly, total expenditures will never correspond closely in any given
year with total appropriations. In every year there has been a safe and in
some cases a wide margin between revenues on the one hand and ordinary
and supplementary credits on the other. Extraordinary credits in any year
have been voted in large part against a surplus of the preceding year or
previous years.
In table No. 49 appropriations from revenue only are shown. In table
No. 50 expenditures from revenue are presented and those from the pro-
ceeds of loans are added to arrive at the total of governmental payments.
Expenditures from revenue are naturally of chief interest. It will be noted
that such expenditures, while declining in 1926-27, have tended gradually to
increase. It will be recalled that a comparison previously made of revenues,
based on averages of three-year periods, indicated an annual increase of
total revenue between 1924-25 and 1927-28 of 9.27 per cent. A similar
comparison of expenditures shows an average annual increase during the
same period of 5.66 per cent.
In 1927-28 total expenditures from revenue of Gdes. 40,977,914.49 were
Gdes. 1,230,750.74 more than those of the preceding year but were only
slightly greater than those of 1925-26. Expenditures in 1927-28 were
exceptionally low compared both with revenues collected and with credits
voted during the year. Although revenues may be somewhat less in 1928-29,
expenditures should substantially increase as the extraordinary credits
voted in 1927-28 are utilized and as additional extraordinary credits are
voted in the amounts which may be justified by the surplus of 1927-28.























TABLE No. 48
o
EXPENDITURES OF HAITIAN GOVERNMENT, BY SERVICES* ;
FISCAL YEARS 1916-17 TO 1922-23


Gendarmerie


Public Works
Service


Public Health
Service


Gourdes Gourdes Gourdes
711,309.91 690,284.08 ..........
4,792,156.10 3,288,031.60 ...............
4,565,238.75 2,700,853.70 889,870.75
4,594,938.30 2,721,341.50 958,756.70
5,415,377.45 3,199,680.25 1,338,591.30
5,114,593.80 2,634,628.15 1,541,482.30
5,104,056.45 2,451,720.30 1,244,506.25
5,226,550.60 5,019,229.60 1,485,106.25
35,524,221.36 22,705,769.18 7,458.313.55


Guaranteed
Public Debt Interest and
Subsidies


Gourdes Gourdes

.................. 92,434.55
..
497,140.00 175,099.15
245,000.00 461,241.15
13,170,380.95 406,771.30
21,663,345.05 293,995.55
9,057,374.50 206,400.00
44,633,240.50 1,635,941.70


Financial
Haitian Extraordinary Adviser- I Miscellaneous
Ministries Credits General Receiver;


Gourdes Gourdes Gourdes Gourdes
1,905,047.50 ................ 89,850.15 355,033.48
5,131,819.90 ................ 796,625.70 1,783,109.95
5,547,888.85 ................ 741,055.80 170,089.60
5,806,871.30 ................ 700,035.60 45,297.90
8,490,246.70 ................ 1,380,460.60 116,268.80
7,005,503.45 ................ 1,452,073.10 1,463,022.85
7,483,538.25 188,422.70 1,279,142.25 67,181.60
7,811,914.75 232,709.00 1,438,506.15 82,322.30
49,182,830.70 421,131.70 7,877,749.35 4,082,326.48


September, 1916
1916-17 .........
1917-18 .......
1918-19 .......
1919-20 .........
1920-21 .........
1921-22 .........
1922-23 ........
Total ......


*The classifications of expenditures in this table are not satisfactory, but a reclassification according to objects of expenditure was found to be impossible.


Total


Gourdes
3,751,525.12
15,884,177.80
14,614,997.45
15,499,480.45
20,646,866.25
32,788,455.90
39,775,908.40
30,560,113.15
173,521,524.52














HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


TABLE No. 49

ORDINARY, SUPPLEMENTARY AND EXTRAORDINARY APPROPRIATIONS FROM REVENUE
FISCAL YEARS 1923-24 TO 1927-28


Public debt:
Financial Adviser-General Receiver ......
Internal revenue service ...............
Series A loan ..........
Series B loan ....... ................
Series C loan .... .................
Miscellaneous debt items ..................
Fiduciary currency .........................
International Institutions ..................
P C S railroad subvention ...............
Wharf Co subvention .....................
Cable Co subvention .....................

Total public debt ...................


1923-24


Ordinary and
Supplementary


Gourdes

1,168,248.31
73,478.88
5,630,750.00
1,695,970.36

2,003,103.30

206,400.00
201,000.00
120,000.00
11,098,950.85


Gendarmerie .................................. 5,408,212.02
Foreign relations ..................... ...... 702,865.00
Finances ............ .................. 1,197,125.48
Com m erce ................................ ...... ..........
Interior ............... ....................... 1,052,280.75
Public health service ....................... 1,471,004.00
Public works ................. ............... 64,633.00
Public works service .......................... 4,09,499.00
Justice ..................................... 1,269,129.60
Agriculture ................................. 102,259.40
Agricultural service ........................... 87,500.00
Labor .................... .... ....... ....... ..... .
Public Instruction ......................... 2,178.330.20
Religion .................................... 477,592.40
Total appr. from revenue ...:........ 29,419,381.70

Total revenue ....................... 32,902,321.33

Total expenditures fr. rev. ............ 34,215,495.94


Extraordinary


Gourdes

..... ....


928,472.00
853,843.11

.. .
353,864.37
360,000.00
2,496,179.48


12,500.00
348,579.30
...... ..... 0
192,935.00
151,133.65

2,599,174.25
6,134.50
116.71
1,095,000.00
........ ... I .
7,00.00
59,500.00
6,938,252.88


1924-25


Ordinary and
Supplementary Extraordinary


Gourdes Gourdes


1,849,537.49
342,928.16
7,336,491.75
2,453,151.14
1,209,067.55
42,500.00
420,000.00

206,400.00
201,000.00
120,000.00

14,181,076.09

5,753,952.02
676,410.50
1,003,795.00
242,040.00
1,171,087.60
1,985,348.29
78,233.00
4,181.891.00
1,377,379.60
42,082.60
1,080,000.00
228,21:..00
2.031.281.?0
396,744.90
34,609,561.80


..........:.....










10,315.16

15,000.00.
1,0000.00

361,000.00

5,430,000.00
5,000.00
5,000.00
675,000.00
140,250.00


7,127,565.16


.................. 40,487,667.00 ................

........ .. 39,218,202.02 ..............


1925-26 1926-27


Ordinary and Ordinary and
Supplementary Extraordinary Supplementary Extraordinary


Gourdes Gourdes Gourdes Gourdes

1,698,379.8 2,278,241.30 ..................
539,944.84 .............. 540,000.00......
6,908,047.60 ................. 6,637,370.05 ...............
2,148,625.00 1 ............ 2,065,682.40 .....
1,141,421.00 ................. 1,099,239.70 ...............

420,000.00 ...... ..... 420,000.00 .................
...... I .. ...... .. 53,600,00 .. .... .....
206,400.00.. ... 206,400.00 ........
201,000.00 25000000 .........
120,000.00 ....:..:... 2 ..............
13,383,818.30 ............ 13,550,533.45 .....

6,151,035.64 89,000.00 6,433160.89 20,000.00
636,886.08 5.000.00 558,9G0.00
880.580.00 909,180.0 25's 0'
268,70.00 ........ 262,170.00 20,500.00
1.262,257.60 25,000.00 1,170,558.00 107,500.00
2,2.W00.00. 1,235,140.00 3,070,634.17 .. .
42,213.00 ............... 42,500.00 ..
4,618,000.00 3,373,530.00 5. 38,770.00 789,6 0 '
1,413,8 5.60 4,580.00 1,404,065.00 3,000.00
43,112.60 ......... 43,910.00
1,745,000.00 80,500.00 2,025,700.00 220,000.00
366,000.00 270,100.00 447,800.00
2,111,689.19 .. .... 2..92.293.00 1.... 000.00
401,709.30 .. .. 402,832.50 ..................

35,574,917.31 5,082,850.00 37,753,067.01 1,186,600.00

45,364,648.10 ................. 3,861,534.79 .. ..
40,930,725.08 .................. 39,747,163.75 ...
t


1927-28


SOrdinay an Extraordinary
Supplementary


Gourdes

1,884,994.,88
600,000.00
6,985,999.80
2,160,624.98
1,157,125.09


53,600.00
206,400.00
250,000.00

13,718,744.75

6,374,782.86
608,960.00
904.980.00
269,865.00
1,183,434.80
3,167,940.00
42.500.00
5.668.800.00
1,447,395.00
43,910.00
2,1.0.000.00
618,500.00
2,089.368.00
426,337.50
38,695,517.91

50,421.016.49
40,977,914.49


Gourdes

..................
. ................


...................
.. .. .


1928-29
(as of Oct.
1, 1928)

Ordinary and
Supplementary


Gourdes

1,680,000.00
600,000.00
6,489.000.00
2,002,562.50
1,075,000.05

422,322.50
53,600.00
206,400.00


............... 12,528,885.05

................ 6,372,842.40
............ 577,600.00
9,900.00 904,680.00
275,340.00
116,889.00 1,132,208.00
1,025,335.00 3,603,230.00
44.240.00
5,728,000.00 5,458,200.00
..... ........ 1,312,755.00
...... .... 43,910.00
422,500.00 2,471,000.00
10,000.00 620,000.00
8.000.00 2,131,008.00
52,500.00 457,765.00

7,373,124.00 37,933.663.45



-- ---


~_____I______________


i '
i


I







HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER

TABLE No. 50

REVENUES AND EXPENDITURES, FISCAL YEARS 1923-24 TO 1927.28


1923-24

REVENUES Gourdes
Customs ................................. 29,950,907.14
Internal revenue .................... 2,795,870.53
Miscellaneous ........................... 155,543.66
Total revenue ....................... 32,902,321.33
Non revenue ........................
Total receipts ......................
EXPENDITURES


Public debt:
Financial Adviser-General Receiver ... 1,118,917.23
Internal revenue service ............... 73,478.88
Series A loan ........................... 5,589,864.50
Series B loan ........................... 1,695,970.36
Series C loan ......................... 928,174.00
Interior consolidated debt ............ .............
Fiduciary currency ..................... .. ..
Commissions paid to Banque Nationale 828,227.51
Haitian Construction Co., notes ....... 433,915.00
Roberts, Dutton & Co., claim ......... 277,872.35
Stamp sales, discounts and expenses 13,285.42
International Institutions ...............
P.C.S. Railroad subvention ............ 206,400.00
Wharf Company subvention ......... 524.564.28
Cable Company subvention ......... 480,000.00
Total ............................**.. 12,170,669.53
Gendarmerie .......................... 5,322.449.22
Foreign Relations ........................ 734.199.47
Finance ................................... 1,520,366.84
Com m erce ...................... ..........
Interior ................................. .263,403.06
Public Health Service ................... 1.529057.91
Public Works ........................... 01.3.16.20
Public Works Service ................... 5.895.159.05
Justice .................................... 1.372.533.28
Agriculture ................. ............ 149.2SQ .24
Agricultural Service ...................... 434,445.89
Labor ............ ...................
Public Instruction ...................... 2 gofi.194.25
Religion ................................ 457.393.00


Total expenditures from revenue ...
Awards of the Claims Commission ....
National Railroad Construction .......
Miscellaneous .......................
Total payments .....................
Pension deductions ......................
Net payments ......................
Revenue over expenditures ...........
Expenditures over revenues ..........


34,215,495.94



14,215,495.94

34,215,495.94
1.313.174.61


*Credit

Total disbursements on account of public debt in the fiscal year just
closed were Gdes. 13,091,193.76, slightly more than those effected in 1926-27,
slightly less than in 1925-26, and considerably less than in 1924-25. It
should d be noted, however, that this class of expenditure embraces, not
only public debt service proper, but also the expenses of the Financial
Adviser-General Receiver and of the Internal Revenue Service, which
might perhaps be more appropriately termed prior obligations of the State,
;lnd certain other disbursements which have no relation to capital debt but
are of the nature of fixed charges.


1924.25 1925-26 1926-27 1927-22

Gourdes Gourdes Gourdes Gourdes
35,750,018.34 40,594,831.74 33,661,876.23 45,082,092.80
4,089,926.19 4,155,170.28 4,153,287.97 4,241,620.14
647,722.47 614,646.08 1,046,370.59 1,097,303.55
40,487,667.00 45,364,648.10 38,861,534.79 50,421,016.49
69,855.47 2,600.00 3,988.00 83,761.32
40,557,522.47 45,367,248.10 38,865,522.79 50,504,777.81



1,849,537.49 1,698,379.86 2,278,211.30 1,884,994.88
342,928.16 304,198.76 306,308.68 462,010.33
7,336,491.75 6,908,047.60 6,637,370.05 6,960,374.65
2,453,151.14 2,148,625.00 2,065,682.40 2,160,624.93
1,209,067.55 1,141,421.00 1,099,239.70 1,157,060.69
195,839.01 ............
420,000.00 420,000.00 420,000.00 420,000.00
27,958.63 ...... .... ..... ..... ..

3,191.31 .............
.... ..... I ........ .... 57,629.15 45,606.95
206,400.00 206,400.00
268,838,26 247,706.25 67.4685 521.28
120,000.00 90,000.04 ......... ..............
14,433,403.30 13,164,778.51 12,931,935.1 13,091,193.76
5,579,242.51 6,062,415.34 6,496,006.55 6,427,467.21
619,953.31 635,084.64 555,375.6? 579,224.57
1,197,945.96 1,062,756.19 827,576.63 634,374.38
230,051.46 24,,4.,., 255.063.06 257,730.29
1,208,067.76 1,224,369.50 1,229,080.94 1,241,170.42
2,223,059.14 2,852,485.58 3,444.301.76 3,631,024.09
703,416.57 92,287.98 34.7M9.54 34,110.49
7.533,943.51 9,082,496.06 7.166.7.42 8,435.445.55
1,333,838.31 1,395,153.62 1.aQO I.3; 1,333,376.69
44,258.88 41,426.15 43,039.34 43.611.19
1,526,891.70 2,185,104.58 2,452.38n? 2,170,007.41
274,393.63 530,646.65 557,200.' 615,663.31
1.942,599.20 1,965,167.09 1 ,99.7,M 1 2.059.021.14
.M67,136.7. 388,617.22 387,544.261 424.493.79
39,218,202.02 40,950,725.08 39,747.1 .7- 40,977,914.49
1,131,045.20 1,671,072.85 8,015.2"
1,553,756.20 543,995.05 90.00*
............... 1,842,247.551 3,889,422.01 2,183,489.38
41,963,003.42 44,990,040.53 43,644,601.08 43,161,313.87
151,460.29 91,430.92 103,264.06..........
41,811,543.13, 44,898,609.61 43,541,337.0 ; 43,161,31..87
1,269,464.98; 4,433,929.02 ........ 9,443,102.00
............... ...... 8S5,628.90 ......






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


Sufficient comment has already been made on the expenditures of the
Financial. Adviser-General Receiver and the Internal Revenue Service.
Discussion of the various outstanding loans and of fiduciary currency will
be reserved for separate treatment. The .remaining two items under
public debt expenditure, namely payments to international institutions and
on account of the wharf company subvention differ only in amount
from those enumerated in the report for 1926-27. Payments on account of
the wharf company subvention had diminished in 1926-27 because of an ar-
rangement by which the company makes direct collection of wharfage dues,
whereas these had been previously collected by the Customs Service. An
amount of Gdes. 521.28 paid on this account in 1927-28 represents settle-
ment of a few bills carried over from the preceding year. Relative to the
subvention of the Compagnie des Chemins de Fer de la Plaine du Cul-de-
Sac, there is a difference of opinion between the Haitian state and the
company regarding the payment of the subsidy. This matter was treated at
some length in the report of this office for 1926-27, and no additional com-
ments seem necessary at this time.
After prior obligations, fixed charges, and the service of the loans are
accounted for, expenditures from revenue for the various departments and
services of the Haitian government warrant special attention, since they
show the amounts available for carrying on the functions of the Govern-
ment and indicate in a general way how the expendable funds are employed.
Administration of the finances is a generally recognized function of govern-
ment. The expenses of the Financial Adviser-General Receiver are there-
fore added to those of other departments and services. Remaining public
debt payments are excluded. It is found that what may be termed functional
expenditures increased from Gdes. 23,237,222.52 in 1923-24 to Gdes. 30,233,-
725.94 in 1927-28. Nevertheless, this sum is small compared either with the
population or with the needs of the country. In the United States in 1925,
the federal and state governments apparently expended for other than
public debt purposes an average of approximately Gdes. 178.65 per capital.
By way of comparison, it may be estimated that Haiti in the year just
closed spent for the same purposes an average of Gdes. 15.12 per capital.
In Haiti the demands for productive and constructive expenditures far
exceed the funds -available. Additional capital and recurrent expenditures
of considerable magnitude must be made before the country can be
considered even moderately well-equipped with those institutions, services
and facilities which are ordinary furnished by the Government. It is
particularly necessary in Haiti, therefore, that public funds should be
apportioned according to the importance and urgency of the need and
should be spent with the most rigorous economy.
The maintenance of order and security is a primary duty of the Govern-
ment. Both military and police functions in Haiti are combined. in the
Gendarmerie, now designated by a law enacted after the close of 1927-28






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


the Garde d'Haiti. This organization is thoroughly organized and well
disciplined. Its total expenditures during 1927-28 were Gdes. 6,427,467.21 a
sum slightly under that expended in 1926-27. Decreased expenditures were
largely due to savings made by the coast guard due to the unseaworthiness
and consequent non-operation of a vessel formerly used as a coast-guard
tender. If this vessel is replaced, expenditures of the Garde d'Haiti during
the year or years of purchase will show a substantial augmentation;
but no marked increase in the operating expenses of the Garde is expected
to occur in subsequent years.
Costs of the Department of Foreign Relations, due principally to the
travel expenses of new diplomatic appointees increased from Gdes. 555,-
375.62 in 1926-27 to Gdes. 579,224.57 in 1927-28. Aside from unforeseen
contingencies, the present expenditures of the Department of Foreign Rela-
tions would seem for all ordinary purposes to be sufficient.
Included in the expenditures of the Department of Finance are pensions
and payments of miscellaneous claims. Because recognized claims vary
widely from year to year there has been no uniformity in the expenditures
of this department; but their consistent decline during the past five years
points to increased regularization of financial obligations. Expenditures of
Gdes. 634,274. 38 in 1927-28 were materially smaller than those of the pre-
ally the same in the two years. There was ilkewise only a slight increase
in the Department of the Interior which includes for purposes of fiscal
classification, the President, the five Secretaries of State, the Councillors
of State, the Prefects, and the organizations immediately appertaining to
these various functionaries.
Consistently rapid increases of expenditure by the Public Health Service
are noted in the table under discussion and are amply justified. Prior to the
Treaty of September 16, 1915, little or no attention had been paid to public
hygiene in Haiti. There was extreme need for the treatment of diseases
prevalent among the population and for the eradication of causes of disease.
Poverty and ignorance were widespread; living conditions bred disease;
disease lowered vitality and reduced productivity; and no adequate facilities
existed through which to inculcate principles of hygiene. The influence of
the Public Health Service, extended through a system of modern hospitals
and rural clinics which are directed by an efficient central organization,
has reached and benefitted a very large part of the population. From the
standpoint of this office, a gratifying feature of public health administration
in Haiti is its carefully formulated program and continuity of policy. Ad-
ditional expenditure ordinarily represents an expansion of activities planned
and anticipated in advance. It is interesting to note the trend of expenditures
of this service. In 1924-25, compared with the preceding year, they increased
45.39 per cent; in 1925-26, 28.31 per cent; in 1926-27, 20.75 per cent; and
in 1927-28, 5.42 per cent. A lower rate of increase in the year just closed






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


is not to be attributed to any lessened interest in public health work. It
emphasizes rather the large expenditures made in previous years and indi-
cates that public health activities, following the period of initial establish-
ment and expansion, are approaching a normal rate of growth.
Expenses of the Department of Public Works were substantially the
same as in 1926-27. It should be understood that the Gdes. 34,I10.49
mentioned in the tabulation of expenditures relates only to the office of
the Secretary of State for that department. Expenditures on construction
and repair, with the administrative and operating activities incidental there-
to, are charged to the Public Works Service and amounted in 1927-28 to
Gdes. 8,435,445.55. As has been the case for several years, costs of this ser-
vice exceeded all items of- expenditure except that for public debt. In addi-
tion to expenditures from revenue, an amount of Gdes. 2,183,489.38, as
shown in table No. 50, was devoted to public works from the proceeds of the
Series A loan. If this sum is added to the Gdes. 8,435,445.55 already men-
tioned, a total of Gdes. 10,951,309.47 is obtained, representing all expendi-
tures on account of public works in 1927-28, an amount slightly less than
the total spent for this purpose in the preceding year. Due to the practical
exhaustion of the balance available from the loan, extraordinary credits
for the Public Works Service, as shown in table No. 49, were larger in
1927-28 than in the previous year, and in 1928-29 capital expenditures
from revenue surpluses may be expected materially to increase.
All construction work is assigned to the Public Works Service. Appro-
pIriations for construction are made to this service, although in many cases
the expenditure is for a building or other facility to be used by another
department or service. For example, the figure just mentioned includes
expenditures made in 1927-28 on a building for the law courts at the
capital and on an addition to the main agricultural building near Port-au-
Prince. It will be seen, therefore, that due to the concentration of capital
expenditure in the Public Works Service, the expenditure figures given for
other departments and services do not represent in many cases the total
expenditures pertaining to those organizations, especially with respect to
buildings and equipment. On the other hand, expenditures of the Public
Works Service indicate very clearly the comparatively large sums that
have been and are being devoted to constructive undertakings. Most im-
portant among these are roads, bridges and trails. Haiti now has a system
of highways connecting the capital with all important ports except Jeremie.
Striking progress has been made in the improvement of the trails which
penetrate the interior. Indeed, one of the manifestations of reconstruction
activity most frequently commented upon is the transformation of a country
where travel was generally impossible to one where transportation in prac-
tically every district is safe, comfortable and rapid. The benefit has accrued
chiefly to the Haitian peasants who are now able to bring their produce to
market with comparative ease. Improved transportation has been a direct






HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


Stimulus and saving to producers. Agricultural enterprise has been encour-
aged, domestic and foreign trade facilitated, and points of interest in
Haiti made more accessible to tourist visitors. Costs of policing and
governmental administration have been incidentally diminished. In general,
the work of the Public Works Service correlates closely with all other
reconstruction and development undertakings. Further capital expenditure
of this nature is unquestionably needed; and should be made as revenues
increase, with due regard to the needs of other departments and services
and with care to avoid any undue increase of recurring obligations for
operation and upkeep.
Expenditures of the Departments of Justice and of Agriculture in 1927-
28 remained about the same as in previous years.
For the Agricultural Service expenditures decreased from Gdes. 2,542,-
380.38 in 1926-27 to Gdes. 2,170,007.41 in 1927-28 or 11.51 per cent. This
service is engaged in the promotion of agriculture and in the administration
of the central. agricultural school. Vocational education is conducted
through the Department of Labor, and expenditures for this purpose, rose
from Gdes. 557,200.68 in 1926-27 to Gdes. 615,663.31 in 1927-28, an in-
crease of 10.49 per cent. Expenditures on agricultural and industrial
schools have steadily grown since 1924-25, when this indispensable branch
of public education was inaugurated. The Department of Public Instruction
increased its expenditures from Gdes. 1,996,720.01 in 1926-27 to Gdes.
2,o59,021.14 in 1927-28. Finally, it should be recalled that all costs of
constructing schools are included in the expenditures of the Public Works
Service. Capital expenditures on education in 1927-28 were Gdes. 639,991.80,
while capital appropriations for this purpose were Gdes. 1,550,000.00,
forecasting a substantially larger expenditure in 1928-29.
Statistics of expenditure, as presented in table No. 50, fail to present to
the public a clear picture of the efforts and accomplishments of the Govern-
ment in extending public educational facilities. Unfortunately, total expen-
ditures both capital and current for all educational purposes cannot be
segregated for the entire fiscal year just closed. Total expenditures for all
educational purposes in Haiti in 1924-25 were Gdes. 3,284,372.61. Appro-
priations in 1927-28 for these purposes totalled Gdes. 5,241,568.00. An
indicated increase of 59.59 per cent during the three years succeeding 1924-
25 is not, of course, strictly accurate, since expenditures are not perfectly
comparable with appropriations. Nevertheless, the actual increase, compar-
ing either expenditures or appropriations, is believed to compare very
favorably with provision made in other countries similar to Haiti for the
financing of educational progress.
The percentage of all governmental expenditure which goes to public
instruction should indicate whether education is receiving its proper propor-
tion of the revenues. In 1927-28 of total appropriations amounting to Gdes.
46,068,641.91 for all purposes, an amount of Gdes. 5,241,568.oo or 11.38







HAITI: REPORT OF FINANCIAL ADVISER-GENERAL RECEIVER


per cent was voted for public instruction. This may seem a small percent-
age compared with what is spent in more advanced countries for this
purpose; but it should be kept in mind that Haiti in the early stages
of development has required a disproportionately large expenditure on the
establishment of order and security and on public works. A reasonable
balancing of expenditures can only be obtained as revenues gradually
increase. Nevertheless, as educational expenditures in 1924-25 were only
S.15 per cent of total governmental expenses, the last three years have
been marked by a steadily increasing emphasis on education.
In the case of a country like Haiti, if progress is being made in'laying
the foundations-of public instruction, capital expenditures should be rela-
tively large compared with current costs. In 1924-25 capital outlay took
24.54 per cent of total educational expenditures. In 1927-28 appropriations
for capital purposes were 29.61 per cent of all educational credits. These
figures are believed to be large compared with other countries. They indicate
that educational facilities are expanding and at an increased rate. Addi-
tional appropriations are made, of course, for current expenditures as new
buildings are completed.
The results of increased expenditures are evident. Although school sta-
tistics are not on the whole thoroughly reliable, the enrollment of pupils has
apparently increased during the last three years by over forty per cent and
actual attendance perhaps by as much as fifty per cent. It is probable, more-
over, that the quality and general effectiveness of instruction have likewise
improved.
While encouraging progress has been made in attacking Haiti's most
important and difficult problem, much remains to be done. Probably more
than ninety per cent of the people are illiterate; not more than one-fourth of
the children of school age are receiving elementary schooling. Worse than
illiteracy is widespread lack of the simplest training in community living
and hygiene and in the agricultural and industrial arts by which the masses
earn their livelihood. No school system, moreover, can afford to expand so
fast that it outruns the supply of trained teachers. The evident need of
providing more schools, more adequate facilities for training teachers, and
means of insuring efficiency and permanence of tenure in the teaching staff
presents to this office a financial problem as important as it is appealing.
Give increasing revenues and continued coordination of all classes of gov-
ernmental expenditure, the solution of the problem should be possible.
Expenditures of the Department of Religion increased from Gdes. 387,-
544.26 in 1926-27 to Gdes. 424493.79 in 1927-28, due to the appointment of
a coadjutor-bishop and ten additional priests, the institution of three new
seminary scholarships, and an increase of the travel and clothing allowance
of priests.
Miscellaneous non-revenue expenditures amounting to Gdes. 2,183489.38,
which were solely for public works, have already been noted. Pension