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Cultivation System

The Cultivation System (Dutch: cultuurstelsel) was a Dutch government policy from 1830–1870 for its Dutch East Indies colony (now Indonesia). Requiring a portion of agricultural production to be devoted to export crops, it is referred to by Indonesian historians as tanam paksa ("enforced planting").

Background edit

By the late 18th century, the business model of the old Dutch East India Company, which relied on monopolies and domination of markets led to the ruin of the company.[1] By 1805, the Dutch part of Java produced a revenue of only 2.5 million Java Rupees. The government of Herman Willem Daendels from 1808 to 1811 raised this to 3.5 million just before the English conquest.[2] During the British occupation of Java, revenue rose to 7.5 million Rupees for Java and its dependencies in 1815. Another 2 million were contributed by the native lands.[3] Most of this income was raised by a land tax.[4] However, the land tax system soon failed, because in the long run, the tenants were unable to pay the amounts required.[5]

From the late 1820s, the East Indies government then came under increased financial pressure. This started with the Dutch involvement in the Padri Wars (1821–1837). It was followed by the costly Java War (1825 to 1830). The Belgian Revolution of 1830 then brought the finances of the Netherlands themselves into trouble. The costs of keeping the Dutch army at a war footing until 1839, made that this turned into a financial crisis that almost ended in a state bankruptcy.

In 1830, a new governor general, Johannes van den Bosch, was appointed to increase the exploitation of the Dutch East Indies' resources. The Cultivation System was implemented only on land controlled directly by the colonial government, thus exempting the Vorstenlanden (princely states) and the particuliere landerijen (private domains).[6]

Implementation edit

 
Sorting tobacco leaves in Java during colonial period, in/before 1939.
 
Collecting natural rubbers in plantation in Java. Rubber tree was introduced by the Dutch from South America.

The cultivation system was primarily implemented in Java, the center of the colonial state. Instead of land taxes, 20% of village land had to be devoted to government crops for export or, alternatively, peasants had to work in government-owned plantations for 60 days of the year. To allow the enforcement of these policies, Javanese villagers were more formally linked to their villages and were sometimes prevented from traveling freely around the island without permission. As a result of this policy, much of Java became a Dutch plantation. Some remarks while in theory only 20% of land were used as export crop plantation or peasants have to work for 66 days, in practice they used more portions of lands (same sources claim nearly reach 100%) until native populations had little to plant food crops which result famine in many areas and, sometimes, peasants still had to work more than 66 days.

To handle and process the cash crops, the Dutch set up a network of local middlemen who profited greatly and so had a vested interest in the system: compradores somewhat like the cottier system in Ireland. It was financed partly by bonds sold to the Dutch themselves and partly by introducing a new copper coinage at about a 2:1 ratio to the old, thereby gaining a massive seigneurage from the depreciation at the expense of the local economy.[7]

'An ingenious device for increasing the Government profit was devised by General Van-der Bosch at the same time as he initiated the culture system. An enormous amount of copper coinage was manufactured in Holland, the intrinsic value being rather less than half the nominal value. This coinage was made a legal tender, and the cultivator was paid for his produce in this copper coin. Thus, as Mr. Money in his work Java; or, How to Manage a Colony, naively remarks:- "The loans, raised in Holland to start the system, produced an effect in Java equal to double their amount."'[8]

Effects edit

The policy brought the Dutch enormous wealth through export growth, averaging around 14%. It brought the Netherlands back from the brink of bankruptcy and made the Dutch East Indies self-sufficient and profitable extremely quickly. As early as 1831, the policy allowed the Dutch East Indies budget to be balanced, and the surplus revenue was used to pay off debts left over from the defunct VOC régime.[9] The cultivation system is linked, however, to famines and epidemics in the 1840s, firstly in Cirebon and then Central Java, as cash crops such as indigo and sugar had to be grown instead of rice.[10]

Political pressures in the Netherlands resulting partly from the problems and partly from rent seeking independent merchants who preferred free trade or local preference (see the Henry Scott Boys work cited above) eventually led to the system's abolition. Legal milestones to achieve this were the Suikerwet and the Agrarische Wet, both introduced in 1870. This was the start of the free-market Liberal Period in which private enterprise was encouraged.

See also edit

References edit

  1. ^ Money 1861, p. 55.
  2. ^ Money 1861, p. 56.
  3. ^ Money 1861, p. 60.
  4. ^ Money 1861, p. 61.
  5. ^ Money 1861, p. 75.
  6. ^ Goh 1998, p. 14.
  7. ^ Boys 1892, p. 67.
  8. ^ From Section 5 of Some Notes on Java and its Administration by the Dutch 21 April 2008 at the Wayback Machine, by Henry Scott Boys, Late Bengal Civil Service, Allahabad, Pioneer Press, 1892
  9. ^ 1
  10. ^ Van Schendel 2016, p. 31.

Sources edit

  • Boys, Henry Scott (1892). Some Notes on Java and its Administration by the Dutch. Allahabad: Pioneer Press. OL 24154014M.
  • Goh, Taro (1998). Communal Land Tenure in Nineteenth-century Java: The Formation of Western Images of the Eastern Village Community. Department of Anthropology, Research School of Pacific and Asian Studies, Australian National University. ISBN 978-0-7315-3200-1. Retrieved 17 July 2020.
  • Money, J.W.B. (1861), Java: Or, How to Manage a Colony, vol. I, Hurst and Blackett, London
  • Van Schendel, Willem (2016). Embedding Agricultural Commodities: Using Historical Evidence, 1840s–1940s, edited by Willem van Schendel, from google (cultivation system java famine) result 10. ISBN 9781317144977.
  • Witton, Patrick (2003). Indonesia. Melbourne: Lonely Planet. pp. 23–24. ISBN 1-74059-154-2.

Further reading edit

  • Ricklefs, M.C. (1991). A Modern History of Indonesia, 2nd edition. MacMillan. pp. 119–24, 126, 128. ISBN 0-333-57690-X.

cultivation, system, dutch, cultuurstelsel, dutch, government, policy, from, 1830, 1870, dutch, east, indies, colony, indonesia, requiring, portion, agricultural, production, devoted, export, crops, referred, indonesian, historians, tanam, paksa, enforced, pla. The Cultivation System Dutch cultuurstelsel was a Dutch government policy from 1830 1870 for its Dutch East Indies colony now Indonesia Requiring a portion of agricultural production to be devoted to export crops it is referred to by Indonesian historians as tanam paksa enforced planting Contents 1 Background 2 Implementation 3 Effects 4 See also 5 References 6 Sources 7 Further readingBackground editSee also Dutch East India Company and Commissioners General of the Dutch East Indies By the late 18th century the business model of the old Dutch East India Company which relied on monopolies and domination of markets led to the ruin of the company 1 By 1805 the Dutch part of Java produced a revenue of only 2 5 million Java Rupees The government of Herman Willem Daendels from 1808 to 1811 raised this to 3 5 million just before the English conquest 2 During the British occupation of Java revenue rose to 7 5 million Rupees for Java and its dependencies in 1815 Another 2 million were contributed by the native lands 3 Most of this income was raised by a land tax 4 However the land tax system soon failed because in the long run the tenants were unable to pay the amounts required 5 From the late 1820s the East Indies government then came under increased financial pressure This started with the Dutch involvement in the Padri Wars 1821 1837 It was followed by the costly Java War 1825 to 1830 The Belgian Revolution of 1830 then brought the finances of the Netherlands themselves into trouble The costs of keeping the Dutch army at a war footing until 1839 made that this turned into a financial crisis that almost ended in a state bankruptcy In 1830 a new governor general Johannes van den Bosch was appointed to increase the exploitation of the Dutch East Indies resources The Cultivation System was implemented only on land controlled directly by the colonial government thus exempting the Vorstenlanden princely states and the particuliere landerijen private domains 6 Implementation edit nbsp Sorting tobacco leaves in Java during colonial period in before 1939 nbsp Collecting natural rubbers in plantation in Java Rubber tree was introduced by the Dutch from South America The cultivation system was primarily implemented in Java the center of the colonial state Instead of land taxes 20 of village land had to be devoted to government crops for export or alternatively peasants had to work in government owned plantations for 60 days of the year To allow the enforcement of these policies Javanese villagers were more formally linked to their villages and were sometimes prevented from traveling freely around the island without permission As a result of this policy much of Java became a Dutch plantation Some remarks while in theory only 20 of land were used as export crop plantation or peasants have to work for 66 days in practice they used more portions of lands same sources claim nearly reach 100 until native populations had little to plant food crops which result famine in many areas and sometimes peasants still had to work more than 66 days To handle and process the cash crops the Dutch set up a network of local middlemen who profited greatly and so had a vested interest in the system compradores somewhat like the cottier system in Ireland It was financed partly by bonds sold to the Dutch themselves and partly by introducing a new copper coinage at about a 2 1 ratio to the old thereby gaining a massive seigneurage from the depreciation at the expense of the local economy 7 An ingenious device for increasing the Government profit was devised by General Van der Bosch at the same time as he initiated the culture system An enormous amount of copper coinage was manufactured in Holland the intrinsic value being rather less than half the nominal value This coinage was made a legal tender and the cultivator was paid for his produce in this copper coin Thus as Mr Money in his work Java or How to Manage a Colony naively remarks The loans raised in Holland to start the system produced an effect in Java equal to double their amount 8 Effects editThe policy brought the Dutch enormous wealth through export growth averaging around 14 It brought the Netherlands back from the brink of bankruptcy and made the Dutch East Indies self sufficient and profitable extremely quickly As early as 1831 the policy allowed the Dutch East Indies budget to be balanced and the surplus revenue was used to pay off debts left over from the defunct VOC regime 9 The cultivation system is linked however to famines and epidemics in the 1840s firstly in Cirebon and then Central Java as cash crops such as indigo and sugar had to be grown instead of rice 10 Political pressures in the Netherlands resulting partly from the problems and partly from rent seeking independent merchants who preferred free trade or local preference see the Henry Scott Boys work cited above eventually led to the system s abolition Legal milestones to achieve this were the Suikerwet and the Agrarische Wet both introduced in 1870 This was the start of the free market Liberal Period in which private enterprise was encouraged See also editLandrentestelsel Max HavelaarReferences edit Money 1861 p 55 Money 1861 p 56 Money 1861 p 60 Money 1861 p 61 Money 1861 p 75 Goh 1998 p 14 Boys 1892 p 67 From Section 5 of Some Notes on Java and its Administration by the Dutch Archived 21 April 2008 at the Wayback Machine by Henry Scott Boys Late Bengal Civil Service Allahabad Pioneer Press 1892 1 Van Schendel 2016 p 31 Sources editBoys Henry Scott 1892 Some Notes on Java and its Administration by the Dutch Allahabad Pioneer Press OL 24154014M Goh Taro 1998 Communal Land Tenure in Nineteenth century Java The Formation of Western Images of the Eastern Village Community Department of Anthropology Research School of Pacific and Asian Studies Australian National University ISBN 978 0 7315 3200 1 Retrieved 17 July 2020 Money J W B 1861 Java Or How to Manage a Colony vol I Hurst and Blackett London Van Schendel Willem 2016 Embedding Agricultural Commodities Using Historical Evidence 1840s 1940s edited by Willem van Schendel from google cultivation system java famine result 10 ISBN 9781317144977 Witton Patrick 2003 Indonesia Melbourne Lonely Planet pp 23 24 ISBN 1 74059 154 2 Further reading editRicklefs M C 1991 A Modern History of Indonesia 2nd edition MacMillan pp 119 24 126 128 ISBN 0 333 57690 X Retrieved from https en wikipedia org w index php title Cultivation System amp oldid 1172559280, wikipedia, wiki, book, books, library,

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