Hawaiian Commercial and Sugar Company | Images of Old Hawaiʻi

December 10, 2023 by Peter T Young Leave a Comment

Isthmus

Volcanoes in the Hawaiian Islands form in response to hot-spot magmatism deep below the lithosphere. As a volcano is moved away from the hot spot by motion of the Pacific tectonic plate, it ceases volcanic activity and a new vent forms.

Thus, a chain of volcanoes forms along the direction of plate motion, with younger volcanoes near the position of the hot spot.

As volcanoes emerge above the sea surface, they form a gently sloping volcanic shield; the period from when a new volcano breaks the sea surface to the end of shield building is estimated to last about 0.5 million years.

Throughout the growth of a volcano and for some time after completion of its shield, weight on the thin oceanic crust causes the volcano to subside. During shield building, rapid growth outpaces subsidence and there is a net increase in height and area. However, when shield building ceases, net subsidence submerges many areas formerly above sea level.

In addition, over long time periods, erosion is an important factor in changing the topography of an island. Erosion is difficult to model because there is no accurate way to determine the timing and magnitude of all events. (Price and Elliott-Fisk)

Maui is a doublet – that is, it originally consisted of two distinct islands which were later united. (USGS) West Maui and Haleakala lava flows joined to form a broad, low isthmus. (Holthus) The 7-mile wide valleylike isthmus earned Maui the nickname of the “valley isle.” (Britannica)

“The north side of the isthmus, the location of Pauleukalo Marsh and Kanaha Pond, consists of stream-transported sediments and beach material. The marshes have formed in coastal depressions. Kanaha Pond formed in weathered lava. During floods, freshwater overflows the wetland and the barrier ridge and discharges directly to the ocean.”

“The beaches along the north side of Maui’s isthmus are discontinuous and fronted by beachrock outcrops. Beach rock up to 790 ft offshore from the present beach indicates a general trend of erosion over the last few hundred years.”

“The south side of Maui’s isthmus supports a 4 mi long, gently curved barrier beach which separates Kealia Pond from the ocean. Water level fluctuates seasonally, forming a 400-500 acre shallow, brackish pond in winter and spring, and exposing extensive red-brown mudflats in summer.”

“The wetland is slowly filling with stream-transported deposits of terrigenous material and wind-blown beach sands. The pond’s

drainage outlet is periodically blocked by sand, but clears during heavy streamflows.” (Holthus)

The abundance of water in Nā Wai ʻEhā ((“The Four Great Waters”) – Waiheʻe River, Waiehu Stream, Wailuku (ʻĪao) Stream and Waikapū Stream are in central Maui) enabled extensive loʻi kalo (wetland kalo) complexes, including varieties favored for poi-making such as “throat-moistening lehua poi.” (CWRM)

Nā Wai ʻEhā once “comprised the largest continuous area of wetland taro cultivation in the islands.” Its “complex agricultural system of wetland kalo cultivation,” together with the abundant protein sources in the streams and nearshore waters, supported one of the largest populations on Maui.

The fertile kalo lands, complex system of irrigation ʻauwai (ditches) and abundant fresh water from Nā Wai ʻEhā sustained Hawaiian culture for 1,000-years.

Given the makeup of the Nā Wai ʻEhā, Waiheʻe River and ‘Īao historically would have flowed continuously to the coast; Waiehu Stream would have flowed continuously to the coast at least 95 percent of the time; and Waikapū Stream would have flowed continuously to the coast less than half of the time. (USGS)

While water was flowing in the river valleys, in about 1840 it was estimated that, “The isthmus is too dry to be fit for cultivation; it is in extent about twenty by fifteen miles. During nine months of the year it is a fine grazing country, and feeds large herd of cattle, that are mostly owned by foreigner.” (Wilkes (1840-41))

“The district of Wailuku is composed of valley and upland. The soil in the former is extremely rich and well watered; the upland, also, produces good crops when sufficient moisture can be had. Potatoes, corn, sugar-cane, and sweet potatoes, are the chief products of the windward side of the island.” (Wilkes)

“Between the beaches of Kahului and those of Maalaea and Kalepolepo lies a vast expanse of level land, forming an isthmus connecting east and west Maui, which as it exists is fit for nothing except the pasturage of animals and in some places not even fit for that owing to an entire destitution of water supply.” (Pacific Commercial Advertiser, June24, 1876)

“The area of this land is perhaps not less than fifty thousand acres, and capable, if irrigated, of producing many thousand tons of sugar. Most of this belongs to the government, and if the spirit of enterprise were rife among those in authority …”

“… this whole plain could be turned into a garden, for there is an abundance of water running waste upon the highlands of Haleakala amply sufficient if utilized for this purpose to supply the entire tract.”

“The subject of irrigation of this plain has been more than once brought forward for consideration, but no thorough investigations have been divulged, if they have ever been made, as to the best means of bringing down the waste water on to it, or the probable expense that would accrue, although the feasibility of the project is not to be doubted.”

“During the reign of Kamehameha V, some investigations were said to have been made, but as to their nature or comprehensiveness the public were allowed to remain in the dark, or to be satisfied with the dicta of his imperious ministry, that the engineering would be too costly and the whole affair too ponderous to be handled by the government.”

“This is certainly one of our first and greatest needs, and with reciprocity to back us there would be no fear of the result… We have heard of a suggestion to irrigate this plain, or a part of it, by water derived from the streams of Waiehu and Waihee, much of whose water now runs to waste.” (Pacific Commercial Advertiser, June24, 1876)

By the 1870s, growing plantation interests in the region sought out ways to turn what had become almost desolate isthmus lands and neighboring kula lands of Maui, green with cane.

Their economic plan was made viable by the passage of a Reciprocity Treaty between the United States and the Hawaiian Kingdom on January 30, 1875; and subsequent ratification of the treaty by King Kalākaua on April 17, 1875.

The treaty went into effect on September 9th, 1876, and on September 13th, 1876, King Kalākaua granted issuance of the first Water License for construction of the “Haiku Ditch,” and drawing water out of streams of the Hāmākua Loa District.

The initial development of the ditch system was authorized as a part of the Hawaiian Kingdom’s program to promote prosperity for all the people of the Kingdom. (Kumupono)

Sugar was planted and the West Maui streams were diverted. In addition, five ditches originating in East Maui at different levels are used to convey the water from that region to the cane fields on the isthmus of Maui.

In order of elevation they are Haiku, Lowrie, Old Hamakua, New Hamakua, and Kailuanui ditches. They cross about 20 gulches east of Maliko, all of which have more or less water at all times and large quantities after storms. (USGS, 1910-1911)

Wailuku Sugar was organized in 1862 by James Robinson, Thomas Cummins, J Fuller and agent C Brewer. In 1878, through his friendship with King Kalākaua, Claus Spreckels secured a lease of 40,000-acres of land on Maui and by 1882 he founded the Hawaiian Commercial Company (later known as Hawaiian Commercial & Sugar Company – HC&S.)

The late-1890s saw internal family conflicts. Spreckels lost control of HC&S and in 1898; it became a part of Alexander & Baldwin Co. Following the 1948 merger of HC&S and Maui Agriculture Co., HC&S became a division of Alexander & Baldwin.

Fast forward to December 2016, Hawai‘i saw its last sugar harvest on the Maui isthmus. In December 2018, Alexander & Baldwin (A&B) announced that it had sold its 41,000-acre sugar plantation in Maui’s central plains to Mahi Pono LLC, a joint venture between Pomona Farming LLC, a California-based agricultural group, and the Public Sector Pension Investment Board (PSP Investments), one of Canada’s largest pension investment managers.

Much of the sugar land is now in diversified farming (with orchard and row crops such as lime, lemon, orange, tangerine, coffee, avocado, macadamia nut, ‘ulu, onion, kale, lettuce, watermelon, bananas, coconut, and lilikoi) by Mahi Pono.

As of December 2022, Mahi Pono had planted more than 1.64 million trees on approximately 8,625 acres of land. In addition to our tree plantings, we have also prepared over 9,000 acres of grass pastureland to support our Maui Cattle Company grass-fed beef operations. Their products are typically sold under the Maui Harvest brand. (Mahi Pono)

November 27, 2021 by Peter T Young 1 Comment

Haiku Plantation

On May 31, 1858, H Holdsworth, Richard Armstrong, Amos Cooke, G Robertson, MB Beckwith and FS Lyman (shareholders in Castle & Cooke) met to consider the initiation of a sugar plantation at Haiku on Maui.

Shortly after (November 20, 1858,) the Privy Council authorized the Minister of the Interior to grant a charter of incorporation to them for the Haiku Sugar Company.

At the time, there were only ten sugar companies in the Kingdom of Hawaiʻi. Five of these sugar companies were on the island of Maui, but only two were in operation. The five were: East Maui Plantation at Kaluanui, Brewer Plantation at Haliimaile, LL Torbert and Captain James Makee’s plantation at ʻUlupalakua, Hāna and Haiku Plantation.

The mill, on the east bank of Maliko Gulch, was completed in 1861; 600-acres of cane the company had under cultivation yielded 260 tons of sugar and 32,015 gallons of molasses. Over the years the company procured new equipment for the mill.

Using the leading edge technology of the time, the Haiku Sugar Mill was, reportedly, the first sugarcane mill in Hawaiʻi that used a steam engine to grind the cane.

Their cane was completely at the mercy of the weather and rainfall; yield fluctuated considerably. For example it went from 970-tons in 1876 to 171-tons in 1877.

(In 1853, the government of the Kingdom of Hawai‘i had set aside much of the ahupua‘a of Hāmākuapoko to the Board of Education. The Board of Education deeded the Hāmākuapoko acreage which was unencumbered by native claims to the Trustees of Oʻahu College (Punahou) in 1860, who then sold the land to the Haiku Sugar Company (Cultural Surveys))

In 1871 Samuel T Alexander became manager of the mill. Alexander and later his partner, Henry Perrine Baldwin, saw the need for a reliable source of water, and started construction of the Hāmākua ditch in 1876.

With the completion of the ditch, the majority of Haiku Plantation’s crops were grown on the west side of Maliko gulch. As a result in 1879 Haiku mill was abandoned and its operations were transferred to Hāmākuapoko where a new factory was erected, which had more convenient access to the new sugar fields.

Other ditches were later added to the system, with five ditches at different levels used to convey the water to the cane fields on the isthmus of Maui. In order of elevation they are Haiku, Lowrie, Old Hāmākua, New Hāmākua, and Kailuanui ditches.

The “Old” Hāmākua Ditch was the forerunner to the East Maui Irrigation System. This privately financed, constructed and managed irrigation system was one of the largest in the United States. It eventually included 50 miles of tunnels; 24 miles of open ditches, inverted siphons and flumes; and approximately 400 intakes and 8 reservoirs.

Although two missionaries (Richard Armstrong and Amos Cooke) established the Haiku Sugar Company in 1858, its commercial success was due to a second-generation missionary descendant, Henry Perrine Baldwin. In 1877, Baldwin constructed a sugar mill on the west side of Maliko Gulch, named the Hāmākuapoko Mill.

By 1880, the Haiku Sugar Company was milling and bagging raw sugar at Hāmākuapoko for shipment out of Kuau Landing. The Kuau Landing was abandoned in favor of the newly-completed Kahului Railroad line in 1881, with all regional sugar sent then by rail to the port of Kahului.

By 1884, the partnership of Samuel T Alexander and Henry P Baldwin bought the controlling interest in the Haiku Sugar Company. (Dorrance)

Baldwin moved from Lāhainā to Hāmākuapoko, he first lived in Sunnyside, in the area of upper Pāʻia, and then moved further “upcountry,” building a family estate at Maluhia, in the area of Olinda.

The largest landowner of the upper Pāʻia region was the Haiku Sugar Company. By 1897, the Haiku Sugar Company and the Pāʻia Plantation had become business partners of Alexander & Baldwin, Ltd. Their company stores offered goods to the population of the plantation towns from Hāmākuapoko to Huelo. (Cultural Surveys)

Brothers Henry Perrine and David Dwight Baldwin laid the foundation for the company in the late 1800s through the acquisition of land. Experimentation with hala kahiki (pineapple) began in 1890, when the first fruit was planted in Haʻiku.

In 1903 the Baldwin brothers formed Haiku Fruit & Packing Company, launching the pineapple industry on Maui. Maui’s first pineapple cannery began operations by 1904, with the construction of a can-making plant and a cannery in Haiku.

1,400 cases of pineapple were packed during the initial run. In time, the independent farmers for miles around brought their fruit there to be processed.

Haiku Plantation remained in operation until 1905 when it merged with Pāʻia Plantation, to form Maui Agricultural Company. In 1948, Maui Agricultural Company merged with HC&S (Hawaiian Commercial and Sugar Company.)

Remnants of the initial Haiku Mill remain on the east bank of Maliko Gulch. It is partially restored and used in conjunction with various events (engagements, vow renewals, concerts, corporate events and other celebrations.)

The mill operated for eighteen years, from 1861-1879, and then was abandoned. The original structure was 50′ in front by 160′ deep. The front portion measured 50′ x 50′ and rose two stories in height, while the remainder of the structure had ten foot high walls enclosing an excavated interior, with a wooden floor (no longer intact) running the length on either side.

Seventy-five to eighty percent of the walls remain intact, although no roof, or traces of it, remain. The walls are made of basalt stone, with door and window openings framed in cut basalt brick and block, and vary in height from ten feet on the sides to thirty-five feet for the rear wall, and have a thickness of three to four feet. (Lots of information here from NPS, Cultural Surveys and Haiku Mill.)

November 17, 2021 by Peter T Young 3 Comments

Closing Years of Spreckelsville in Spreckels’ Hands

Claus Spreckels (1828–1908) was perhaps the most successful German-American immigrant entrepreneur of the late-nineteenth century; he was one of the ten richest Americans of his time.

The career of the “sugar king” of California, Hawaiʻi and the American West consisted of building and breaking monopolies in sugar, transport, gas, electricity, real estate, newspapers, banks and breweries.

The first industry in which Spreckels succeeded was quite typical for German immigrants: beer brewing. In the spring of 1857, together with his brother Peter Spreckels and Claus Mangels, among others, he founded the Albany Brewery, the first large-scale producer of beer in San Francisco.

Though profitable, he sold his beer operation in 1863 and switched to a new field that would make him rich: sugar. That year, he started the Bay Sugar Refining Company, but sold it three years later.

He then constructed the California Sugar Refinery in 1867 to process sugar. While grocers, then, sold “sugar loaves,” Spreckels introduced the European process of packaging granulated sugar and sugar cubes (so customers could more easily divide the portions.)

Spreckels came to Hawaii in 1876 on the same ship that brought favorable news of the Reciprocity Treaty with the United States. In effect, the treaty gave Hawaiian sugar planters a price increase of two cents a pound and thus set off an economic boom in the island kingdom.

Spreckels had originally opposed the treaty; but after it passed, he quickly made up his mind to take advantage of it. He decided that the arid central plains would be suitable for a sugar plantation if he could get water. Two years later he returned to Hawaii accompanied by a well-known California irrigation engineer, Hermann Schussler. (Adler)

In 1878, through his friendship with King Kalākaua, Claus Spreckels secured a lease of 40,000-acres of land on Maui and by 1882 he acquired the fee simple title to the Wailuku ahupuaʻa.

That same year, Spreckels founded the Hawaiian Commercial Company, which quickly became the largest and best-equipped sugar plantation in the islands.

As a vehicle for carrying out his plans, Spreckels incorporated the Hawaiian Commercial Company in San Francisco on September 30, 1878. The authorized capital stock was $10,000,000, represented by 1,000 shares having a par value of $10,000 each. Claus Spreckels was the majority stockholder. At par, his holdings amounted to $5,200,000.

His interest and investment prompted the Hawaiian Gazette to say, “With an aggregation of brains, business enterprise and capital, this new company will infuse new life and health into the great sugar industries of Hawaii. …”

“It is more than probable that the Island production can be increased six-fold.” (Hawaiian Gazette. October 30, 1878) (The six-fold increase in production was realized in 11 years. (Adler))

In 1880 Spreckels engaged Joseph and Andrew Moore of the Risdon Iron Works, San Francisco, to build a mill with a capacity of about twenty tons a day. Construction of three more mills got underway the next year, with improved design based on experience with the first mill.

These mills were completed by 1882, and capacity was thus increased to about 100 tons a day. The crop for that year was estimated at 12,000 tons, a four-fold rise over the yield for 1880. (Adler)

The Hawaiian Commercial and Sugar Company was incorporated (1882) in San Francisco and went public; it took over the assets of the Hawaiian Commercial Company. Capital stock of the new company consisted of 100,000 shares of $100 par value. Purposes of the company as stated in the charter were much the same as those of Hawaiian Commercial.

After the incorporation of the Hawaiian Commercial Company, Spreckels moved swiftly to make his plantation the most modern and the most productive in the kingdom. (Adler)

Spreckels was the first island planter to achieve nearly complete control of sugar from growing to marketing. In this he set the pattern which the Hawaiian sugar industry.

The plantation, with its vast fields of cane irrigated by the Spreckels ditch, was the first link in the chain of vertical integration. The second link was the Honolulu firm of William G. Irwin and Company (Spreckels and Irwin), which acted as agent for the Spreckelsville plantation and also for others.

In the 1880’s and 1890’s it was one of the leading sugar agencies of the kingdom. The Irwin company also acted as agent for the Spreckels Oceanic Steamship Line, which during the last two decades of the nineteenth century dominated the transport of Hawaiian sugar.

Oceanic thus formed the third link in the chain of control. The last link was the Spreckels refinery in San Francisco, where most island sugar was refined.

Besides setting the pattern for vertical integration, Spreckels made many pioneering contributions to Hawaiian sugar technology.

Spreckels was the first to use a five-roller mill, instead of the usual three-roller of the time. (This increased the percentage of juice extraction from the cane, that also resulted in better drying of the bagasse (which could then be used for fuel)). (Adler)

Spreckels was the first to use electric lights in the mill. (Electric lights permitted the mills to operate night and day, and thereby avoided the expense of shut-down during the height of the grinding season. His use of electric lights in 1881 preceded the lighting in Iolani Palace by five years.) (Adler)

Spreckels was the first to use rail in hauling cane. (An ingenious system of permanent and portable track connected up with the existing railroad running to the port of Kahului.)

(At Spreckelsville, rails radiated in all directions from the mill buildings and also connected them with each other. Thus Spreckels found a solution for intra-plantation cane hauling, inter-mill and intra-mill transport, and for getting sugar directly to the wharf at Kahului.) (Adler)

Spreckels was the first to use a steam plow. (Among the advantages of the plow were that a greater area could be plowed per day than with oxen or mule teams; more effective plowing increased the sugar yield per acre; and there was a saving of man power.) (Adler)

Spreckels knew water was key to growing sugar and he built the largest irrigation ditch that had ever been undertaken in the islands. On his last trip to Spreckelsville, in August, 1893, Spreckels was making plans for an electric power plant to operate pumping stations. This would enable him to increase the water supply and hence the acreage in cane. (Adler)

The Advertiser observed, “The company means business. … A vast improvement will be noticeable in the commerce of this kingdom, and ere long, these islands so little known beyond the Coast states will be distributing their staple products all over the American continent.” (PCA, April 2, 1882)

The Gazette agreed, “Claus Spreckels has certainly made out of what was once considered worthless land a waving plain of cane. One must ride through these acres and acres of cane to fairly understand how great the enterprise is …”

“If this is gathering wealth to the owners and projectors, it is also scattering money among the Hawaiian people. We learned that during the construction of the mills the payroll of the plantation rose … A large portion of this must find its way into the pockets of the Maui people, native and foreign, another portion must come to Honolulu.” (Hawaiian Gazette, August 23, 1882)

In 1892 the plantation was called “the largest sugar estate in the world.” It contained 40,000 acres, of which 25,000 were good cane land. Twelve thousand acres were under cultivation. The fields extended for fifteen miles and were several miles wide.

The mills had a capacity of 30,000 tons a year, and were “fitted with the most perfect machinery and appliances which the ingenuity of man has yet devised.” (Adler)

But all was not rosy for Spreckels and his sugar plantations.

Upon public issue in 1882, the stock sold around $60. By the fall of 1884 the company was deep in debt, and the price was down to 25 cents. A personal loan by Spreckels of $1,000,000 and authorization by the directors of a bond issue moved the price up again. Good crop reports in 1885 reinforced this upward movement.

Then, in 1890, the U.S. Congress enacted the McKinley Tariff, which allowed raw sugar to enter the United States free of duty and established a two-cent per pound bounty for domestic producers.

The overall effect of the McKinley Tariff was to completely erase the advantages that the reciprocity treaty had provided to Hawaiian sugar producers over other foreign sugar producers selling in the U.S. market. The value of Hawaiian merchandise exports plunged from $13 million in 1890 to $10 million in 1891 to a low point of $8 million in 1892. (La Croix)

In the 1892 report of the board of directors, the stockholders were told in effect that the stock was valueless and the corporation deeply in debt.

The depressing effect of the McKinley bill on the price of sugar and the lack of water (no rain having fallen on the Hawaiian islands in a long period) were the main reasons given as an explanation for the disastrous turn which affairs had taken. (Adler)

“Fifteen gentlemen representing over eight thousand shares of stock in the Hawaiian Commercial and Sugar Company met yesterday (17th inst.) in the law offices of Blake, Howison & Williams and expressed themselves very freely concerning the board of directors, who had permitted the affairs of the great corporation to become badly entangled”.

“It appears that at a meeting held when the report was ready for presentation several of the stockholders declined to accept the situation and suggested that an assessment might be levied and tile money thus raised be used to carry the corporation through the financial breakers.”

“This was agreed to and it was anticipated that the assessment would be about $1 a share. The good people who had invested their wealth in the Hawaiian Commercial Company were horrified by an invitation to come forward and yield up $5 a share.”

“This, the directors argued, would bring $500,000 into the treasury and would be needed, every cent of it. The date on which the assessment became delinquent was fixed at January 27th.”

“The levy was considered exorbitant, and a few days ago a number of stockholders, representing 10,000 shares out of a total of 100,000, met and appointed a committee to wait on Claus Spreckels, who is popularly supposed to have possession of 60,000 shares, or a controlling interest in the corporation, and ask him to withdraw the assessment altogether or reduce it to $1.”

“As Attorney Williams explained to the meeting yesterday: ‘Mr. Spreckels declined to listen to a paper which I had drawn up with care, and after investigation of the situation, politely requested them to vacate his office. They left.’” (Hawaiian Gazette, January 31, 1893)

Then, “a bitter family feud erupted, pitting Spreckels and his sons Adolph and John against his sons Rudolph and Claus A. ‘Gus’ Spreckels.” (Hamilton)

“There is litigation in the family of Claus Spreckels, the sugar king.”

“C. A. Spreckels, the youngest son, has begun it by filing a complaint against his father, Claus Spreckels, charging that the latter has conspired with John D. and A. B. Spreckels and other directors of the Hawaiian Commercial and Sugar Company to crowd the plaintiff and other stockholders out of the corporation.”

“Allegations of fraud to secure the desired end are made, with various revelations in connection with the business of the sugar company.”

“Claus Spreckels and the two elder sons are asked to pay $2,500,000 to the corporation as damages for their fraudulent conspiracy, and a demand is made upon the Court for an injunction to prevent the carrying out of the plans.” (Hawaiian Gazette, December 12, 1893)

An out-of-court settlement of the suit in January, 1894, gave Gus Spreckels control of Hawaiian Commercial and Sugar Company. His brother Rudolph became a director. Claus Spreckels and his other sons, John and Adolph, were ousted.

Hackfeld and Company replaced Irwin and Company as Hawaiian agent for the Spreckelsville plantation. Control of the Hawaiian Commercial and Sugar Company and of the Spreckelsville plantation thus slipped from the hands of the elder Spreckels. (Adler)

The upstart triumph was short lived, however, for in 1898 a competing firm bought out the company and ousted the brothers from its management. (Hamilton)

The buyers of HC&S included James B. Castle, S. N. Castle estate, William R. Castle, Henry P. Baldwin, and Samuel T Alexander. The firm of Alexander and Baldwin became Honolulu agent for the plantation in place of Hackfeld and Company.

“Stock once 25 cents, is up from $28 to $34 and over and will go to $50.” (PCA, October 13, 1898) “The stock of the company now passes largely into the hands of residents of Honolulu.” (PCA, October 15, 1989)

At the time of these last events Claus Spreckels was 70 years old. In his declining years, then, he saw the magnificent plantation which he had founded slip not only from his grasp but from that of his family. (Adler)

October 13, 2019 by Peter T Young Leave a Comment

Claus Spreckels

Claus Spreckels (1828–1908) was perhaps the most successful German-American immigrant entrepreneur of the late-nineteenth century; he was one of the ten richest Americans of his time.

Though profitable, he sold his beer operation in 1863 and switched to a new field that would make him rich: sugar. That year, he started the Bay Sugar Refining Company, but sold it three years later.

In 1878, through his friendship with King Kalākaua, Claus Spreckels secured a lease of 40,000-acres of land on Maui and by 1882 he acquired the fee simple title to the Wailuku ahupuaʻa.

That same year, Spreckels founded the Hawaiian Commercial Company, which quickly became the largest and best-equipped sugar plantation in the islands.

The Spreckelsville Mill was actually four mills in one complex (it was located just to the northeast of the present Kahului Airport, near the intersection of Old Stable Road and Hana Highway.) The town of Spreckelsville built up around it.

Part of the production innovation was the use of electric lights; the first recorded onshore use of electric lighting in Hawaiʻi was at Mill Number One of the Spreckelsville Plantation on Maui on Aug. 21, 1881.

To satisfy the curiosity of people anxious to see the “concentrated daylight,” Capt. Coit Hobron ran a special train from Kahului, and King Kalākaua, Widow Queen Emma and Princess Ruth were among those who came to view the lights.

Spreckels modernized and mechanized the sugar production process, from hauling cane to the mill, to extracting the juice, reducing the juice to syrup and producing sugar grains. The raw sugar was then packed and shipped to his refinery in San Francisco. (Miller)

Sugar is a thirsty crop and Spreckels built the Haiku Ditch that spanned thirty miles and delivered fifty million gallons of water daily, irrigating twenty times as much land as had previously been irrigated.

Looking to upgrade from the mule and oxen means of moving sugar to the mill (as well as reduce costs,) Spreckels built a narrow-gauge railroad to haul the sugar from the plantation to the mill.

By 1881, twenty miles of iron track were completed. The rail line also transported the processed sugar to Maui’s major port, Kahului. By 1885, Spreckelsville had forty-three miles of railroad, four engines and 498 cars for hauling cane.

Needing transportation to move his Hawaiʻi sugar for refining on the continent, he formed JD Spreckels & Bros. shipping line in 1879, which was incorporated as the Oceanic Steamship Company in 1881.

It was the first line to offer regular service between Honolulu and San Francisco, and his sons managed to reduce travel time immensely. While the sailing ship Claus Spreckels made a record run of less than ten days in 1879, by 1883 the new steam vessel Mariposa needed less than six days.

Spreckels incorporated the Hawaiian Commercial and Sugar Company in 1884; it included four sugar mills, thirty-five miles of railroad with equipment, a water reservoir and the most advanced ditch system in the Pacific region. (Spiekermann)

Spreckelsville was the largest sugar estate in the world by 1892.

Claus Spreckels was a controversial figure. For friends, he was a man “with a fine presence, an open, pleasant countenance and a cheerful word for everybody.” Others, however, characterized him as impatient, implacable, and ruthless, driven by “Dutch obstinacy.” (Spiekermann)

Hawaiʻi served as only one of the venues for the Spreckels holdings. During the 1880s and early 1890s, he bought and built up several blocks of office buildings in San Francisco.

Claus Spreckels was a financial and an industrial capitalist. Obtaining, investing and multiplying money was his main business, and his role as a pioneer of Hawaiian sugar planting and Californian beet sugar production was merely an outgrowth of his desire to increase his fortune. (Spiekermann)

Although none of his firms survived, his name today is still mentioned in San Francisco and Hawaiian travel guides as an example of an exceptional self-made man: “The life of Claus Spreckels is one of the interesting and absorbing personal histories of which America is so proud.” (Spiekermann)

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April 22, 2016 by Peter T Young 1 Comment

Kahului Harbor

Before European contact, ‘Iao Stream served to irrigate lo’i in terraces that extended well up into ‘Iao Valley. Nearby is Kanaha Fishpond, which is said to have been built by Chief Kiha-Piʻilani, son of Piʻilani and brother-in-law of ʻUmi, (in about the 16th century.)

After contact, the port and town of Lāhainā was the first trading location to become established on Maui. As early as 1819, whaling lured thousands of sailors to Lāhainā. Meanwhile, even by 1837, Kahului was described as a settlement of 26-pili grass houses.

During King Kamehameha’s campaign to unify the Hawaiian Islands, the principal military encounter on Maui took place within Kahului Bay. For two days, there was constant fighting between the two sides until Kamehameha conquered them with the help of the western military expertise and firearms of his western advisors, John Young and Isaac Davis.

It was a bloody battle and by the time it was over, the beach between Kahului and Pāʻia was covered with the canoes and bodies of fallen warriors.

With the success of the first oil wells in Titusville, Pennsylvania, the whaling trade began to decline in the 1860s. It was about at this time when Maui turned to the emerging sugar industry to fill its economic void.

The isthmus between Haleakala and West Maui contained rich soils ideal for crop cultivation. Within a few short years, the region soon supported one of the largest sugar plantations in the world.

In 1876, following the Reciprocity Treaty, other Westerners gained interest in Maui’s agriculture potential, including Claus Spreckels (who came to Hawaiʻi from San Francisco.)

Spreckels leased land from the government and obtained the water rights needed to build a large irrigation ditch that provided water for crops. These events set the stage for the establishment of Maui’s first railroad system.

Rail transported cane from the fields to the harbor. Passenger cars were added to the rail system and in 1879 Thomas Hobron founded the Kahului Railroad Company, the first railroad in Hawaiʻi that provided passenger service between the population centers at Wailuku and Kahului Harbor.

Early development at Kahului Bay started in 1863 with the construction of the first western building, a warehouse near the beach.

In 1879, to facilitate the loading and unloading of goods and passengers, the first small landing was constructed in Kahului Bay. By the turn of the 19th century, Kahului supported a new customhouse, a saloon, a Chinese restaurant, and a small but growing population. (DOT)

When Bubonic Plague was noted in Kahului on February 10, 1900, “we found that the inhabitants of Chinatown, where the disease was discovered, had been moved to a detention camp some distance from the town, Chinatown destroyed by fire”. (Carmichael) The rebuilding of Kahului town coincided with the evolution of Kahului Bay into a full-scale commercial harbor. (Noda; DOT)

Kahului Commercial Harbor is a man-made port, dredged from naturally occurring Kahului Bay. As a harbor, its chief advantage was a narrow break in the coral caused by the fresh water from the Waikapu River, which emptied into Kahului Bay at one time. The break allowed ships to anchor inside the protecting reef.

The anchorage was less than ideal. It was exposed to the full force of the trade winds, there was very little deep water and a heavy surge as well. The harbor has a long history of development, including construction of breakwaters and harbor dredging dating back to the early 1900s. (DOT)

The development of the harbor began in earnest under the leadership of Henry Baldwin. During this time, the railroad and harbor depended on each other to provide service to the merchants and the sugar cane plantations. (Noda; DOT)

The harbor complex originated in 1900 when a 400-foot long east breakwater was constructed by the Kahului Railroad Company.

In 1901, the rail company purchased its first tugboat, the Leslie Baldwin, to tow lighters to and from vessels. Harbor development was initiated three-years later by Kahului Railroad Company, who was at the time a subsidiary of Hawaiian Commercial and Sugar Company.

“(T)he growing commercial importance of Kahului Harbor, a seaport of this Territory, in the Island of Maui, demands that adequate facilities be provided for the proper handling of freight and passenger traffic under government supervision and control”.

The Territorial Senate then addressed a Resolution, asking “That the sum of $100,000.00 be inserted in the Appropriation Bill for the purpose of defraying all costs incidental and necessary to condemn the new Claudine Wharf and moorings in Kahului Harbor, Maui, now owned and controlled by the Kahului Railroad Company, Limited”

“… whereby said wharf and moorings shall become the property of the Territory of Hawaiʻi; and also to construct a new wharf in said harbor at which large vessels may dock and load or discharge freight and passengers.” Wm T Robinson, Senator 2nd District; February 23, 1911.

Pier 1 was initially 500-feet in length and was constructed between 1921 and 1924, along with a pier shed that was 374 feet long. Subsequent construction lengthened Pier 1 to 929-feet.

The first 627-feet of Pier 2 was constructed in 1927 at the location of the old “Claudine Wharf,” and extended in 1929 by 894-feet.

The first involvement of the Army Corps of Engineers with the project came in 1913 when the east breakwater was extended 400-feet. The west breakwater was constructed to 1,950-feet in 1919, and the structures were extended to their current lengths in 1931. (DOT)

The harbor basin has been widened and deepened at various times to reduce navigational hazards due to increased traffic within the harbor and to accommodate larger vessels.

Kahului Harbor is one of nine commercial harbors (seven deep-draft and two medium-draft) found throughout the state. Because of Hawaiʻi’s geographic isolation, nearly all of its imported goods arrive via island ports.

Honolulu Harbor serves as the hub of Hawaiʻi’s commercial harbor system from where inter-island cargo distribution branches out to serve the neighbor islands. (Lots of information here is from Hawaiʻi DOT Harbors Master Plan.)

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