Sponsor (Nov 1948-June 1949)

that in the past private stations haven't been ti><> worried aboul their public responsibility and feel that main still neglect that phase of operation. However, the newer stations recognize the need for public service and cooperate with the government's farm, labor, and educational programs. That segment of Puerto Rican government that doesn't believe in private ownership I it's sizable, this segment) would like to see a dual operation on the island with private and government-owned stations both serving listeners. If they get away with it in Puerto Rico, there is little doubt that it'll spread to the U.S. mainland and at least be the beginning of the end of free enterprise in broadcasting as it is known today. Thus far the private station owners have been able to block the government's going into the broadcast advertising business. The Federal investigation turned up some unsavory messes, "inspired campaigns" and a lot of other conditions which stopped the station plans. On the gala opening dav of W1PR, the big government l().()()()-watt transmitter, there was a short circuit. The station wasn't gala that day. or for sometime thereafter. The government operation, despite the current commercial prohibition, does carry advertising. It's for products from government factories, including rum. The excuse is that since the station is rendering a service to the Island community, it doesn't make sense not to advertise governmentmade products on its own station. The owners of non-government stations do not hope to prevent this. Being fatalistic by nature I most Latins are), many station owners feel they'll eventually lose the battle and will have to compete with the Island government for business. There are many businessmen who don't look at it the same way. They expect to fight to the bitter end the invasion of business b\ government. They know it's especiallv tough on Puerto Rico because PR is in everything. New businesses get 12year tax exemption and main of them get other helping hands which do not show on the record. The Puerto Rico Industrial Development Corporation under Teodoro Moscoso. Jr.. is putting $5,000,000 into San Juan's new Caribe Hilton Hotel of 300 rooms. This is more than PRIDC is putting into other individual efforts to bring industry, money, and U.S. business to Puerto Rico. Nevertheless Munoz Marin. PR's first elected governor, estimates it will cost a minimum of S(>(>( MIDI ).()(>(>. to bring enough industrv to Puerto Rico to increase the Island's standard ol living appreciably. This means 31)11.1)1 II I new jobs for the jibaros. With government involved in practically all phases of Puerto Rican life, it's not surprising that station owners feel that eventually it will compete with them for advertising. That doesn't mean that they expect to give up the fight or lose gracefully. They're going to battle until the first non-government commercial hits the government air over WIPR or any other state-owned outlet. If and when the pro-government forces win in Puerto Rico look for their opposite numbers in Washington to start advocating Federal-owned U.S. stations. It's only a short jump from Puerto Rico, politically and physically. For U.S. advertised products, PR improves as a market practically daily. In 1948 Puerto Rico spent some $220,000.000 for mainland products and exported $360,000,000 in sugar and the increasing number of products manufactured there. Puerto Ricans. like most Latins, spend a great part of what they make. Current retail sales figures aren't available, but in 1944 local businessmen reported that retail sales topped $145,000,000. PR's sugar shipments to U.S. increase annually. In 1949 it's expected that production will exceed 1.250.000 tons. This can be appreciated when contrasted with 1949 production of sugar of the World's greatest sugar cane producer. Cuba. While expected to exceed 6,000,000 tons. Cuba will ship to the I .S. under 5.000.000 tons. Puerto Rico is now the world's greatest producer of rum. Many rums credited to other countries are actual I v distilled in the U.S. Caribbean outpost. Puerto Rico also sends considerable leaf tobacco, needlework, candy, as well as fruit, to the L.S. Production of pineapples, oranges, and grapes is increasing annually. It costs little if anything more to ship from PR to the South and main other sections of the nation, than it does to ship from most states. It is because of this that firms like Textron have opened great factories on the Island and other firms are moving there monthly. Two hundred and twenty have moved to date. Of course the 12-year tax exemption is a great lure and even if the Time Magazine (Please turn to page 65) Borden's for KLIM presents Bobby Capo at WAPA Frigidaire has Pito Alvarez de la Vega covering baseball Despite illiteracy, there's fan mail aplenty in Puerto Rico 6 JUNE 1949 33