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Focus on the Economy
Hawaii Island Economic Development Board

October 25, 1998
Election campaigning does its part for the economy

By K. T. Cannon-Eger

As we draw near the end of this election season, it's a good opportunity to look at what elections mean to the island's economy.

First, there are quite a number of jobs created. There are 59 precincts in Hawai`i County staffed by a total of about 450 workers, according to Al Konishi, deputy county clerk.

"Each precinct worker is paid approximately $75 with the chairman getting about $10 extra depending on the size of the precinct," Konishi said.

People work very hard for that $75. Precinct workers take a training class before the primary and again before the general. Frequently they set up equipment the night before the election. They show up for work at 5:30 a.m. to open the polls at 7 a.m. and stay at least an hour after polls close at 6 p.m. They bring their own lunches and provide their own transportation.

In addition, on election day there are approximately 80 workers at the ballot-counting center and 30 at control center answering questions from the precincts all day.

Add to that about another 40 people for ballot collection teams, trouble shooters and observers. All of these people also are paid around $75 according to Konishi.

Those wages and other costs, such as printing ballots and providing boxes of supplies to each precinct, are paid by the state. Other expenses are paid by the counties.

"When we mail out absentee ballots, when we mail information to precinct workers, that's a county expense," said Ed Kozohara of the elections division. "The county budget for July 1 this year through June 30, 1999, for the elections division is $538,000. Most of that, $317,000, is for wages. The rest is for telephones, rental of vehicles, advertising, warehouse rental and so on."

Konishi said during an election season from May to December, "the regular staff here grows from five to 18. We spend about $5,000 during the primary and general to advertise where the polling places are and the times the polls are open.

"Probably the biggest economic impact of an election is the dislocation of people on a working day. Tuesday, Nov. 3, is a working day for most people. I would estimate that election day is one of the least productive for the national economy because people have to figure out when to go vote within the working day and employers have to give time off."

Neither Konishi nor Kozohara had a total state and county budget figure for the general election, but Konishi offered a comparison to a single issue.

"When it looked like we might have to have a special election for the constitutional convention issue, it was estimated that the special election would cost $2.1 million for the state of which $140,000 would be spent in Hawai`i County. That includes the cost of workers, ballots, training, etc. at the state level."

It does not include county expenses for advertising, mailing, staff and so forth.

Beyond the public cost of running an election are the expenses candidates and issues campaigns incur for headquarters rental, telephone service, letterhead, "Dear Friend" cards, yard signs, banners, bumper stickers, T-shirts and advertising.

A full page ad in the Sunday edition of West Hawai`i Today costs $1,104 or $1,072 for the daily paper, according to advertising manager Gloria Fleming.

"The primary brought a big influx of advertising," Fleming said. "We are seeing an increase in advertising over September of 1996."

She also said it remains to be seen what the impact of advertising will be for the general election.

"A lot of that comes in the last week or two," Fleming said.

A full page ad in Sunday's Hawai`i Tribune Herald costs $2,899 or $2,843 on a week day.

"We are seeing less [political advertising] than in 1996, but we expected that," said Renee Carpenter, advertising manager. "In 1996 there was a hot mayoral contest. Yes, there is a gubernatorial race this year and a couple of ballot issues, but you can't really compare this election to two years ago."

Many campaigns use less expensive radio advertising. Newspaper ads are sold at regular rates. By law, radio stations offer the bottom of the rate card to political campaigns.

"Political advertising revenue obviously adds something, but it's hard to say just what it is this year," said Buddy Gordon of Big Island Radio. "This is the first year I have seven radio stations (KIPA, KHWI, KAOE, KAOY, KLUA, KPVS and KKON)."

For KIPA alone, advertising for races from governor to county council is similar in volume to the previous election cycle, which included the mayor's race, according to Gordon.

Station managers are reluctant to divulge the low political rate. Campaigns can spend "anywhere from $6 to $20 on a 30-second spot, depending on the time slot and station," an industry source said.

Printing locally seems to be down along with the rest of the economy.

David McCasland of APG Printing and Graphics in Kailua-Kona said, "Campaigns are not spending much at our store. We've gotten some small jobs, but the big boys seem to be printing everything in Honolulu or out-of-state.

"We've just added bigger machinery for folding -- we can do 16-page signatures -- and a programmable cutter. Our price has always been fair and our quality's good."

Long-time Hawai`i County businessman Roland Higashi said, "Political printing adds a little bit to our Hawai`i Printing Corporation business, but not much. We try to concentrate on our regular customers. There's a little bit more business in political T-shirts than in printing."

As you drive along, you can see other campaign expenses. Each yard sign runs around three to five dollars and T-shirts for roadside wavers are approximately ten dollars each. Banners mounted on pipe get up into the $50 to $75 range or more depending on size.

The last day of walk-in absentee voting in Hilo is Saturday, Oct. 31, at 4 p.m. Every other walk-in absentee polling place in Hawai`i County closes Friday, Oct. 30, at 3 p.m. Precinct polls open Tuesday, Nov. 3, at 7 a.m. and close at 6 p.m.

Other activities

The Hawai`i Farm Bureau Federation (HFBF) 51st annual convention will be held at the Kona Surf Hotel in Kailua-Kona Thursday through Saturday, Oct. 29-31. Coordinators are Ellen Mehos, 322-0935, and Diane Ley, 969-4876.

American Farm Bureau Federation national president Dean Kleckner will attend and will address the commodity advisory group Thursday morning.

For more information and to register, contact the coordinators or call the new toll-free HFBF office number 1-800-482-1272.

The 28th annual Kona Coffee Cultural Festival kicks off Sunday, Nov. 1, with a Big Island brunch and marketplace at the Kona Surf. The marketplace, featuring Big Island produce and 100 percent Kona coffee, will open at 9:30 a.m. Brunch seating is from 10 to noon.

Activities continue Nov. 7-14. For more information, see the web site www.konacoffeefest.com or contact Current Events at 326-7820.

Congratulations to the coffee community for receiving a brief mention in Incentive magazine's August feature on specialty coffee companies. In "Sips of statistics," Incentive said, "Coffee was first served in this state: Hawai`i circa 1825."

For more information, check www.gastronomy.com or www.incentivemag.com both of which drew upon the National Coffee Association of America's winter coffee study.

Today is the last day of National Specialty Coffee Week so celebrate with some locally grown beans.

Focus on the Economy is a weekly column on science, technology, business and agriculture provided by the Hawai`i Island Economic Development Board, which receives partial funding from the Hawai`i County Department of Research & Development and GTE Hawaiian Tel. Readers with announcements or questions are invited to write to K.T. Cannon-Eger, HC 1 Box 5164, Kea`au, HI 96749-9511 or phone (808) 966-8565. E-mail to billeger@gte.net

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Focus on the Economy
Hawaii Island Economic Development Board

October 18, 1998
It takes more than electrons for a High Tech Park

By K. T. Cannon-Eger

What makes a high tech park? And what makes that park successful? Infrastructure, tenants and partnerships with the community are among desired qualities according to several in the business.

University Park is located on 163 acres between Komohana Street and the University of Hawai`i at Hilo campus.

"Infrastructure and proximity to the university make it possible to attract high tech tenants," said Gerald DeMello, UHH university relations director. "The computer science program at UHH is growing. That's the kind of thing industry looks for before coming.

"These companies also seek a workforce with expertise and training and a certain ambiance."

University Park already is home to the Joint Astronomy Centre operated by Great Britain, Canada and the Netherlands; the California Institute of Technology, the Japanese National Telescope (Subaru), and the Gemini facility.

Ground has been broken for the Institute for Astronomy, which will house the institute when it moves from UH-Manoa to Hilo next year. A new home for the USDA Agricultural Research Service, a business incubation facility, and a planetarium are among future plans.

When University Park was envisioned, advanced telecommunications services were desired, according to Alan Okinaka, island manager for GTE Hawaiian Tel.

"The university worked with us to ensure fiber optic cables were brought to the park," Okinaka said. "Today the fiber optic cable provides high speed communications for the Subaru and Gemini group at the park.

"Fiber optic cable is one of the media by which high speed communications is possible. We can also use copper, radio and coaxial cables to provide high speed communications. Fiber optics has the advantage of not requiring repeaters for on-island routes, it is non conductive, very high capacity, and we can provide higher speeds by changing the terminal equipment.

"The customer determines the speed they need and we provide it," Okinaka said. "For example, Subaru has a 600 megabit-per-second connection from the summit."

Given that there are about eight bits per character, that means 75 million characters can be transmitted in one second. In another example from Okinaka, if there are 2,500 characters on a page, the Subaru connection speed would allow 30,000 pages to be sent in a second.

Partnerships are another important component in the success of research and technology parks.

"The main reason we've stayed in business over here," said Don Malcolm, founding president of the Maui Economic Development Board, "is we had private sector and public sector involvement. Any such enterprise has to form different partnerships at different times.

"All need the cooperation of the university in a way that decentralizes research and lets centers of excellence be created," Malcolm said. "There needs to be collaboration between federal and state research interests. Sen. Daniel Inouye has done an excellent job of bringing economic opportunity to the islands at these technology centers."

Malcolm also said, "You need to have persistance. Usually creating a successful park takes longer than anyone expects -- probably 15 years. You need to have an active program of marketing. And you need a substantial amount of land to show you are in for the long haul and to allow for expansion.

"Economic change has been the hallmark of the past couple of decades. We have to learn to take the risk and move along."

The Maui Economic Development Board, formed following a mayor's conference on the county's economic future in late 1981, received state funding a few years later to travel around the islands explaining the process. Economic development boards were formed on O`ahu, Kaua`i and Hawai`i following that tour and all are still in operation.

The science and technology committee of the Hawai`i Island Economic Development Board (HIEDB) is compiling a list of speakers to be distributed to schools on the Big Island.

"One of the greatest contributions we of the scientific and technical community on the Big Island can make towards the education of our island's children is to share our knowledge and joy of learning in the classroom," said committee chairman Robert Saunders.

E-mail your interest to Saunders, clipper@interpac.net, or telephone HIEDB at 966-5416.

For more information on HIEDB, check the business development category on the Hawai`i Island Electronic Village web site www.hiev.org or write 200 Kanoelehua Avenue Suite 103-281, Hilo HI 96720.

Other activities

Wednesday (Oct. 21) the Hawai`i Island Chamber of Commerce economic development committee will hear from Frank Ritenour on the development of alternative telecommunications. Ritenour is with GST Telecommunications.

The luncheon meeting will be held in the Museum Meeting Room at Nani Mau Gardens. Call Lorraine at the Chamber, 935-7178, to make reservations.

October 26-31 Fourth annual Kohala Coast Writers' Cup at Hualalai Golf Course. Contact the Kona-Kohala Resort Association (808) 886-4915 for details.

Thursday, Oct. 29, at 2 p.m. Eastern Time is the launch of Discovery with astronaut Sen. John Glenn, 77, aboard for a mission of eight days and 20 hours.

How fast our world moves! Consider that someone John Glenn's age in the year Glenn was born (1921) would have been 17 years old during the Civil War.

Glenn is not the first U.S. elected official to ride a space shuttle. Sen. Jake Garn of Utah was the first in 1985 followed by Rep. Bill Nelson of Florida in 1986.

Tuesday, November 3, the polls open for general election at 7 a.m. and close at 6 p.m. For those unable to get to their precincts on election day, walk-in absentee voting now is available in several locations throughout the County. Check newspaper listings or telephone the elections division, 961-8277, for details.

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Focus on the Economy
Hawaii Island Economic Development Board

October 11, 1998
Today's youth needed to fill future tech jobs here

By K. T. Cannon-Eger

High technology jobs exist on the Big Island now and many more are anticipated in the future. The question arises, how do we meet the need for more technical employees in the future?

"You have to be sure you are building interest in the local schools," said Donald Malcolm, retired president of the Maui Economic Development Board. "We need a program of economic literacy. Computers in the schools assist in this effort as does internet access."

Malcolm was instrumental in building the public and private sector support needed for the state's first conceptualized research and technology park, now a reality in the Kihei area of Maui.

"Whatever you call it, high tech or The Information Age, we've come to a change in the way companies do business and the ways in which we educate our children."

Andy Perala, communications manager of Keck Observatory, agrees about the necessity to concentrate on our young students.

"We visited with more than 900 school kids last year," Perala said. "We have an active outreach program. Recently, that included a day-long simulation of sending a satellite to the moon, which was done with students of Fran Pavao at Waimea Elementary. We also work with high school science teachers.

"The best question I've heard in all my time here came from a fourth grader at Honoka`a and she asked: `What is space?' It's a question that couldn't be answered, yet space is all around us."

Another effort of Keck Observatory with local students is Project SUN (Students Understanding Nature), which is part of a Pacific ultraviolet radiation monitoring project.

"It can be enormously important in the future to gather that baseline information now," Perala said.

Keck Observatory hired 12 student aides this past summer.

"Most of them were from Honoka`a High School," Perala said. "They worked in the computer engineering and electronics departments. They got actively involved in real projects: loading software, maintaining hardware. They've been valuable here and we think we've been able to offer valuable training."

Art Kimura, program director of Future Flight Hawai`i, said,

"Hawai`i currently has a unique infrastructure that offers space science education programs at various levels for K-12 students and the community. A Challenger Learning Center at Barbers Point Elementary School on O`ahu is one of only 30 nationwide. There students spend three hours in a simulated space station and mission control to rendezvous with Comet Halley in 2061 or participate in a simulated exploration of Mars or the moon."

Future Flight Hawai`i is a summer space residential and non-residential camp experience for students and families managed and supported by Hawai`i Space Grant College, University of Hawai`i at Manoa. More than 3,000 students and parents over an 8 year period have voyaged on simulated missions to the moon and Mars using the lava fields at the Hawai`i Volcanoes National Park.

"With a teacher staff of 30, the program uses space themes to catalyze student interest in science, math and technology, while attracting families to visit the Big Island," Kimura said.

Courses are offered for teachers. The next one is in the spring in Kona.

"Primarily we try to introduce space themes to provide a structure in which science, math and technology can be introduced into the regular classroom curriculum," Kimura said.

Teachers interested in the course, which will be held at the Ellison Onizuka Space Center at the Kona-Keahole Airport, should contact Kimura via e-mail art@kalama.doe.hawaii.edu or telephone 934-7261.

Class size is limited to 14 teachers, so early registration is recommended.

Other economic development opportunities in October are:

Today (Oct. 11) the Big Island Association of Nurserymen will hold a plant sale at Lanihau Shopping Center in Kailua-Kona.

Wednesday through Saturday, Oct. 14-17, is the last Friends of Hilo Public Library book sale of the year. Go early for the best choice on bargain priced books.

Is your business showcase `losing face' in the fast changing market place? Need more space to add that exclusive new product line? Is your cash flow feeling the squeeze?

Find out how to help your business grow with a guaranteed loan from the U.S. Small Business Administration (SBA), the nation's top lender for small businesses. Together with UH Hilo Small Business Development Center Network, SBA is presenting a workshop on Tuesday (Oct. 13) at the Natural Energy Laboratory Hawai`i Authority (NELHA) in Kona and on Wednesday (Oct. 14) at the University of Hawai`i at Hilo Manono Campus Multi-Purpose Room. The time for both workshops is from 9 to 11 a.m. The fee is $10.00.

The workshop will "debunk stories about government guaranteed loans and the application process," according to SBDC. "During the two-hour workshop, loan specialists and consultants will discuss eligibility, preparing the application including the business plan and financial projections, and presenting the loan package to the bank."

Advance registration for the workshop is recommended as seating is limited. For more information or to register for this hands-on workshop, please call SBDC, 969-1814.

Friday (Oct. 16) is the first day of walk-in absentee voting for those who can't make it to their polling places on General Election day.

Saturday (Oct. 17) is the NBC series premiere of Wind on Water, 7 p.m. on KHNL.

Sunday (Oct. 18) Hawai`i's vireya rhododendron growers will hear from Dick Ottaway of Australia. The slide-illustrated lecture will feature gardens down under.

The meeting will be held at 1 p.m. in the Komohana Ag Complex in Hilo. For more details, contact Mitch or Sandy Mitchell, 967-7209.

The Hawai'i Small Business Development Center Network, a partnership program between the University of Hawai'i at Hilo and the U.S. Small Business Administration, and the Hawai`i Island Chamber of Commerce will co-sponsor a seminar on "The Basics of Exporting." The seminar will be held Tuesday, Oct. 20, 1998 at the UH Hilo Campus Center Room 306/307 from 9:00 a.m. to 4:00 p.m. The fee is $40.00

The seminar will be presented by George Dolan, former Director of the Honolulu District Office of the U.S. Foreign Commercial Service of the U.S. Department of Commerce. Dolan will cover all aspects of exporting, including research, export opportunities, how to establish contacts, financing, methods of payment, order processing and shipping.

Registration deadline is Friday (Oct. 16). For more information or to register, please call SBDC at 969-1814.

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Focus on the Economy for October 4 Focus on the Economy
Hawai`i Island Economic Development Board

October 4, 1998
Big Island one of the state's High Tech Partners

By K. T. Cannon-Eger

Planning and action to ensure Hawai`i's place in a high-tech future are underway at the state level. Participants from the Big Island see current success and readiness for expansion available here.

"HI-Tech Hawai`i: Governor's Partnership for Action, is a one-day forum involving government, university faculty, and the private sector to define ways and formulate an action plan to make Hawai`i a world-class player in science and technology," said Janis Y. Togash, communications director of the Department of Business, Economic Development & Tourism.

DBEDT, the Chamber of Commerce of Hawai`i, the Queen's Health Systems and the University of Hawai`i are organizers of the conference to be held Thursday, Oct. 8, at the Hawaiian Regent Hotel.

"Several individuals from Hawai`i Island organizations and/or businesses participated in work groups in preparation for the forum, or will be participating in the forum as group facilitators or leaders," Togash said.

"For example, Tom Daniel (NELHA), Pat Sullivan (Oceanit), and Mark Huntley (Aquasearch) contributed to the reports for the biotechnology sector and the natural resources & environment sector. In addition, William Richardson, Chairman of the Board for Kona Bay Oysters & Shrimp Co. will also be participating in the forum as a facilitator."

Tom Daniel, scientific and technical program director at the Natural Energy Lab of Hawai`i Authority, was among participants on the Natural Resources and Environmental Management work group chaired by Pat Sullivan, CEO of Oceanit Corporation.

"Something that amazed me during pre-conference work was finding that panelists from several fields -- education, government, research -- view NELHA as the most successful example of trying to figure out how to make the best use of our natural resources in an environmentally sensitive manner," Daniel said.

"The unique features of our area are cold sea water and high sunlight. The ability to mix warm and cold seawater to get any temperature makes this place attractive for a great many uses.

"We have master permits in place, which help cut start-up costs to new businesses."

Daniel also cited the value of Keahole's sunlight, necessary for anything that grows in seawater, as a valuable economic asset over other latitudes.

What is needed to make Hawai`i's potential an actuality, according to Togash, is "movement forward on the concept and identification and implementation of actions necessary to make it happen. In addition to changes in government policies to facilitate expansion of technology activities in the State, strategic alliances between and among government, the private sector and the University also are needed to promote technology-based development."

Governor Ben Cayetano noted, "This forum is more than just a meeting of minds. The focus is on actions that can be implemented."

Other panel presentations are: Dual-Use Technology as Stimulants for Economic Growth, Economic Potentials from Advances in Healthcare, Information Technology and Economic Development, and Biotechnology's Future in Hawai`i's 21st Century Economy.

The latter presentation will be made by Dean Charles Laughlin of the UH-College of Tropical Agriculture and Human Resources, which has a big presence in Hawai`i County.

"Current surveys indicate the value of the state's biotechnology industry to be $34 million with 396 employees," Laughlin said. "A more than 10-fold increase in value and a doubling of employment is seen by the year 2000. By 2020, in conservative projections, the value of biotechnology to Hawai`i may be $7.3 billion with 9,000 employees."

Laughlin will discuss Hawai`i's advantages, impediments and actions necessary to overcome impediments.

"There is a great competitive opportunity in functional genomics -- not just inserting a single gene but the ability to redraw the genetic blueprints of plants to re-direct metabolic pathways of common crops," Laughlin said. "The vision is to transform plants into low cost production units that can grow everything from modified food to human vaccines to industrial chemicals. The future lies in the integration of biochemistry and biotechnology."

Laughlin also will discuss the commitments various states are making to this industry. He cited California where $80 million has been dedicated for a biotechnical research park at CalState, $100 million for a biomedical research lab at University of Southern California, and a $600 million deal between a seed company and UC-Berkeley.

"We're not going to eclipse the tremendous biotech development in California, but we can be a very important destination for biotech industries."

William Fennie of the Hawai`i Island Space Exploration Society (HISES) said one or two members of the volunteer organization would attend the forum.

Founded in 1996, HISES "wants to see economically beneficial, environmentally sound, culturally appropriate uses of space technology benefit all who call Hawai`i home," Fennie said. "HISES believes that space enterprise offers a golden opportunity for economic growth."

He cited two examples: the Universal Space Tracking Network founded by Apollo astronaut Pete Conrad that is tracking, controlling and downloading science data from orbiting satellites from a facility near South Point and NASA Jet Propulsion Laboratory, which will test a probe at Loihi seamount that could be used to explore below the icy surface of Jupiter's moon Europa.

HISES is planning the fifth space enterprise roundtable luncheon, titled Hawai`i Space Tourism Opportunities, Thursday, Nov. 5, at 11:30 a.m. in the Royal Kona Resort.

For more details, contact Fennie at 326-1910 or write 75-5751 Kuakini Highway #201, Kailua-Kona HI 96740.

Other Big Island participants in the HI Tech forum include Edwin Hayashi, Harry Kawamura and James Yoshida of Hawai`i Community College and Hawai`i County Council Member Bobby Jean Leithead-Todd.

"I got started as a member of the Hawai`i Island Economic Development Board Science and Technology committee before I ran for office," said Leithead-Todd. "My interest has continued through service on the board of HTDC for the past three years and my hopes for building high tech industries on the Big Island.

"We now have fiber optic cables all over the island. We have an improved ability to look at companies who rely on telecommunications, companies interested in telemedicine.

"Until we have more facilities built up here, the best way we can participate with facilities and expertice on O`ahu is through telemedicine. It certainly folds in with the dreams of the Five Mountain Medical Community.

"High tech, in terms of the kinds of diversification we want for our economy, is a natural fit. We've been sending our kids to college and the military. Now we need to provide the interesting and challenging jobs for which they've been trained."

Break-out sessions will deal with strategic issues. Discussion groups include University Research, Technology Transfer and Entrepreneurship; Developing and Maintaining a Competitive Workforce; Securing Adequate Venture Capital and Investment; and Establishing Supportive Frameworks for Development.

Plenary session speakers include Pamela Samuelson of UC-Berkeley; John Dean, CEO of Silicon Valley Bank; Gerald C. Hsu, chairman, president and CEO of Avant! Corporation; S.L. Chan, chairman, president and CEO of ESS Technology; Ron Higgins, CEO of Digital Island and David Lee, member of the Board of Regents, University of California, and chairman of CMC Industries and Cortelco.

For further information and to register, contact Frank Fukunaga at the High Technology Development Corporation, frank@htdc.org or telephone (808) 539-3601, or write HTDC, 300 Kahelu Avenue # 35, Mililani HI 96789.

>From 1984 through 1996, HTDC conducted an annual Governor's Symposium on High Technology. Telecommunications was the subject of the 1987 event held on Maui.

The change to a one-day action-oriented forum comes at the request of private industry, the university and state government. Sponsors of the forum include The City of Kapolei (The Estate of James Campbell), SONY, and Probio.

Scholarship available

"The National Press Club, one of the nation's oldest and most prestigious press organizations, is looking for talented minorities in high school who want to study journalism in college," said a release from the organization.

"Each year, the National Press Club awards a $10,000 college scholarship to a minority student planning to pursue a career in journalism (newspapers, radio, television, magazine, trade paper). The scholarship awarded over four years ($2,500 a year) is named for Ellen Masin Persina, a Press Club member who died in 1992 at age 41."

Qualifications include evidence of an ongoing interest in journalism through work in high school and/or other media, a one-page essay on why the student wants to pursue a career in journalism, at least two and not more than three letters of recommendation from persons who are not in the student's family, a 2.75 grade point average or better in high school and letters of admission and enrollment confirmation from the college of your choice.

For more information, write to the National Press Club, 529 14th Street NW, Washington DC 20045.

Voter registration

Tomorrow (Oct. 5) is the deadline to register to vote in the 1998 General Election. Register to vote before 4:30 p.m. if you are a US citizen, a legal resident of Hawai`i and will be at least 18 years of age by election day.

You must re-register if you changed your name since the last election or moved and changed your home address.

Voter registration is possible at a number of locations throughout the county including several police stations and community association offices. For more information, contact the election division at 961-8277.

Coming events

Sunday, Oct. 11, the second annual Big Island International Marathon and Ekiden Relay will be held in along the north Hilo coast through town and ending at Queen Liliuokalani Park on Banyan Drive. Many off-island competitors. Big Island International Marathon & Ekiden Relay may be reached by writing P. O. Box 11211, Hilo HI 96720.

The Hawai`i Tropical Fruit Growers annual conference will be held at the Hilo Hawaiian Hotel Friday and Saturday, October 16 and 17. Sunday, Oct. 18, farm tours are planned. Contact Ellen Mehos for details, 322-0935.

Saturday through Monday, Oct. 17-19, the 25th Waikoloa Open Golf Championship -- 54 holes of championship golf -- will be held at Waikoloa Village. Call 883-9621 for details.

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Focus on the Economy
Hawai`i Island Economic Development Board

September 27, 1998
Rambutan, lychee lead exotic tropical fruit sales increase

By K. T. Cannon-Eger

Exotic tropical fruit sales are on the rise, according to a recent report from the Hawai`i Agricultural Statistics Service. The annual report, released in mid-September, shows "sales for 1997 totaled 1.1 million pounds, 16 percent more than the previous year. Higher sales were reported for specialty pineapples, rambutans, atemoyas, lychees and persimmons.

"Decreases occurred for star fruit, mango, cherimoya and other minor specialty fruits.

"The 1997 farm value of tropical specialty fruits is estimated at $1.4 million, 66 percent above the 1996 value. Rambutan, lychee and specialty pineapple were the top three contributors towards the 1997 value."

Acreage devoted to tropical specialty fruit has grown steadily over the past three years from 415 acres in 1995 and 580 acres in 1996 to 650 acres statewide in 1997.

Of 130 farms in the state, 80 are located in Hawai`i County. Big Island specialty fruit orchards cover nearly 300 acres with more plantings accomplished so far in 1998. Lychee, mango, rambutan, specialty pineapple and longan are the top crops for new plantings.

Fresh mango imported into the United States comes mainly from Mexico where more than 82 million metric tons with a farm value of more than $42 million were listed in a report from the U.S. Department of Commerce for 1997. (A metric ton is 2,204.6 pounds)

Top mango producer in the United States is Florida with 1,400 bearing acres producing 5.5 million pounds in 1997 for a farm value of $1.45 million.

Other exotic tropical fruit surveyed by HASS include abiu, atemoya, caimito, cherimoya, durian, langsat, loquat, mangosteen, sapodilla, soursop, white sapote, breadfruit,canistel, jaboticaba, jackfruit, poha, rollina and others.

The tropical specialty fruit report of HASS does not count banana, papaya, pineapple or guava production, each of which is featured in its own report.

In 1997, according to the HASS annual banana report released July 1998, total state production was 13.7 million pounds, five percent above the previous year.

"Total acreage-in-crop reached a record high of 1,590 acres."

More than half that total, 840 acres, is planted by 48 Big Island farms. Of the total production, 9.8 million pounds came from the Big Island.

The state production is about half of the market for bananas. Nearly 16 million pounds were imported. The U.S. Department of Commerce fresh banana import report shows the greatest quantity of imports to the nation from Costa Rica, Ecuador, Honduras, Colombia, Guatemala, Panama, Mexico, Nicaragua, Dominican Republic and Venezuela.

Annual papaya production, most of which is used fresh rather than processed, tops 42 million pounds.

"Farmers continue to develop orchards outside the Puna district of the Big Island where papaya ringspot virus continues to hamper yield," according to a monthly fresh papaya report from HASS.

August fresh papaya output was more than 2.7 million pounds, one percent higher than last year. of which nearly 1.9 million pounds came from the Big Island.

On the world market, more than 13 billion pounds of foreign papaya have been produced each year from 1994 through 1997. According to the Food and Agriculture Organization, approximately 40 percent of world papaya production comes from Brazil.

"Trailing behind are Thailand, Nigeria, India, Indonesia and Mexico."

Guava production has declined for three consecutive years, according to the HASS annual guava report issued in July. Of the 130 guava farms in the state, 125 are in Hawai`i County, many of them smaller farms. Guava acreage statewide totaled 880 in 1997 of which 420 acres are on the Big Island and 460 on Kaua`i, Maui or O`ahu.

The decline in market demand wasn't limited to Hawai`i.

"U.S. imports of selected guava products in 1997 were lower than 1996," according to HASS. "Paste and putee were down 21 percent to 7.8 million pounds. The Dominican Republic, Mexico, Ecuador and Brazil respectively made up nearly 75 percent of the imports.

"Guava jam imports decreased five percent from a year ago to 2 million pounds. Brazil and Costa Rica accounted for most of the guava jams imported into the U.S."

An opportunity to learn more about tropical fruit comes with the eighth annual International Tropical Fruit Conference to b held Friday through Sunday, Oct. 16-18, at the Hilo Hawaiian Hotel. Sponsored by the Hawai`i Tropical Fruit Growers, the conference will feature presentations on technology in Taiwan and Australia.

Keynote speaker is Yan Diczbalis, a researcher with Australia's Department of Primary Industries and Fisheries at the Berrimah Farm in the New Territories. Diczbalis has done extensive work in the cultural practices for rambutan, durian and mangosteen.

A special panel with Jeanne Vana of Dole Food Company, Lesley Hill of Wailea Ag Group and Bob Hamilton of Plant It Hawai`i will deal with converting former sugar cane land to tropical fruit orchards.

Postharvest treatment updates will come from Peter Follett of the USDA Agricultural Research Service and Robert Paull of UH-CTAHR.

Adding value to tropical fruit will be discussed by Letitia Uyehara of the Hawai`i Department of Agriculture, Wayne Katayama of Kilauea Agronomics and Jennifer Weinert of Island Fruits.

Tropical fruit tasting, a lu`au and auction, and field trips to the O`okala and Papa`ikou area also are planned. For further information, contact HTFG at 322-0935 or write P. O. Box 1390, Kealakekua HI 96750. Conference pre-registration at a discounted price ends Thursday, Oct. 8.

One post-harvest treatment, irradiation, will be the subject of a presentation by Dr. Michael T. Osterholm, state epidemiologist for the Minnesota Department of Health, Monday (Sept. 28) in the Hilo Hawaiian Hotel Moku`ola Room at 5:30 p.m.

Dr. Osterholm, who will speak on the incidence of foodborne illnesses, comes to the Big Island at the invitation of Friends of Agriculture.

"Irradiation provides the greatest likelihood of substantially reducing bacterial and parasitic causes of foodborne disease associated with numerous foods," Osterholm said in an editorial published in The New England Journal of Medicine last year.

"We must not let any group use arguments without a scientific basis to keep such an important technique from the marketplace."

The meeting is free and open to the pubic.

Book specials

The Friends of Hilo Public Library will hold the last book sale of the year Wednesday through Saturday, Oct. 14-17. Hours are Wednesday, 9 a.m. to 7 p.m.; Thursday, 10 a.m. to 7 p.m., and Friday and Saturday, 10 a.m. to 4 p.m.

"The library will be undergoing renovation and storage space will be limited," said Jane Webb of the Friends. "The improvement project is expected to take nine months so the Friends will not be accepting donated books for that period of time.

"All the monies taken in at the Friends' booksales are put back into Library projects."

Books are bargain priced at 50 cents and $1.00.

Manrique International Agrotech announces the publication of two reference books: Sweet Potato production principles and practices and Cassava production principles and practices.

Browse a list of publications as http://www.lava.net/manrique or e-mail manrique@lava.net or write P. O. Box 61145, Honolulu HI 96839.

New web site

A new web site specific to GTE Hawaiian Tel http://www.gte.com/HI just opened. Lots on information on a great many things including the current effort at recycling telephone books. Make sure yours get to your favorite school for the competition to see who can recycle the most.

Coming events

Today is the seventh annual Sam Choy Poke Contest at the Hapuna Beach Prince Hotel starting at 11 a.m. Tasting of the dishes from professional chefs and backyard cooks will be open to the public after judging.

Today, the Crown Princess pulls into Hilo Harbor for a day visit. Welcome to 1,600 cruise ship passengers.

Wednesday (Sept. 30) Waimea Main Street's annual town meeting will be held starting at 5:30 p.m. in Kahilu Town Hall. Program includes presentation of a cooperative effort to "End the Era of the Accidental Tourist to Waimea" by supporting, marketing and promoting existing Waimea businesses, accommodations, activities, ranches and farms.

For more information, contact Deborah Swanson, 885-6707.

Saturday (Oct. 3) is the annual Ironman Triathlon in Kailua-Kona. Approxmiately 1,500 entrants participate in a 2.4 mile open ocean swim, 112 mile bike race and 26.2 mile run. Contact (808) 329-0063.

Tuesday, October 6, Dan Boylan of UH West O`ahu history department will speak on "The Big Five and the Unions" at 7:15 p.m. in the Lyman House Memorial Museum. The lecture is part of a continuing series celebrating the centennial of the Hawai`i Island Chamber of Commerce. Sponsored by a grant from the Hawai`i Committee on the Humanities, lectures are free and open to the public.

For further details, contact Lyman House at 935-5021.

Thursday, Oct. 8, through Sunday, Oct. 18, is the Hamakua Music Festival. This year's program includes Keali`i Reichel, pianist Lorin Hollander, Jesse Colin Young, Honolulu pop group Forte, jazz piano and vocals by Gene Harris and daughter Niki and much much, more.

Tickets at Byrd's or telephone 775-8272.

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Focus on the Economy
Hawaii Island Economic Development Board

September 20, 1998
Sawmill expanding to build Big Island industry

By K. T. Cannon-Eger

Forestry is receiving increased attention as a sustainable and value-added agricultural industry for the Big Island.

With the state Board of Land and Natural Resources approval last week of a forest management plan for the Waiakea Timber Management Area, 12,000 acres of state land in Hilo, and a similar plan still under consideration for the Hamakua Timber Management Area, attention turns to the practicalities of enabling the growth of this local industry.

Hawaiian Eco-Woods in O`okala is part of that mix. This newly established business evolved from a small custom sawmill built by the Paiva brothers back in 1952. It became the Reis Ahualoa Sawmill in the 1970s.

"The major product was green lumber for fencing, corrals, and other building materials for sugar mills throughout the state," said Eric Renz, executive director. "When the mills here went out of business, I worked with the family to prepare a grant from the Rural Economic Transition Assistance -- Hawai`i program.

"These funds enabled the business to lease equipment, infrastructure, and raw materials and to develop value-added products, production techniques and business opportunities."

Since that time, purchase of the property was negotiated and a substantial loan was obtained from the USDA Rural Development Business and Industry Direct Loan program.

"With that $2 million loan, we were able to go to the mainland and purchase a lot of really good used equipment," Renz said. "We are creating a facility that can process timber at a low price that can in turn can create a sustainable local value-added hardwood industry. Without this capacity, it would be almost impossible to do."

The business, employing 14 people currently, emphasizes selective harvesting and reforestation of timber, training programs and community development.

"We can process ironwood, eucalyptus, or tropical hardwoods -- basically any kind of wood that we can find a use for.

One focus is to produce low-income housing with a tropical flair and quality construction," said Renz. "Our primary goal is to work with the Department of Hawaiian Home Lands in their forests, and with the Department of Labor to create a training program with this home building."

Current products include flooring and art frames. In addition, a house using kiln-dried pre-cut lumber is under construction on Moloka`i.

"This is a high-end product," Renz said. "With the new equipment we will have greater capacity. We will be able to handle lumber all the way through gift products and decorative veneers.

"Another of our efforts is in community development. We have the assistance of Myra Ikeda to work with people to show them the opportunities in value-added wood industry."

Located on 22 acres of industrial property, Hawaiian Eco-Woods also will be able to offer some land for lease to related enterprises. One such effort is a local nursery providing seedlings to Hamakua Timber.

"We've got a lot of work to do here," Renz said. "The (sugar) mill shut down more than 10 years ago and there are a lot of weeds and mud to clear from some areas. We have an additional six people working on the (saw) mill expansion."

The site also will house a future community information center, which is being developed in cooperation with the Hawai`i Forest and Communities Initiative (HFCI).

One of the continuing projects of HFCI is the creation of a web site with links to other sites containing information on forestry, especially those in Hawai`i.

"HFCI needs community help in monitoring these sites to ensure that the information contained in them is current and of good quality," said J. B. Friday, assistant specialist with the tropical forestry extension at UH-CTAHR.

"HFCI is looking for teachers and class groups interested in monitoring forestry web sites," said Michael Robinson, HFCI coordinator.

To contact HFCI, call Robinson at 1-888-943-4335.

"Should someone need processing time as they work with timber from their own lands or need to develop partnerships to bid on harvesting from the Waiakea Timber Management Area, that's something we can do," Renz said. "Our purpose is to facilitate the expansion of the forest industry.

To contact Hawaiian Eco-Woods, telephone 962-0119 or write P.O. Box 70, O`okala HI 96774.

Francis Blanco state director USDA Rural Development for Hawai`i and Pacific said the loan to Hawaiian Eco-Woods (Ahualoa Sawmill) was announced by Secretary of Agriculture Dan Glickman when he came to Hawai`i in June on his way back from China.

Blanco's own interest in the forest industry was sparked by a trip to the mainland two years ago.

"In visiting the Pacific northwest, I was able to experience the harvesting and sawmill operations there," Blanco said. "The group that went from Hawai`i came back convinced that this is something we should be doing here.

"Taking it to the next platform, particularly in the secondary wood manufacturing process, has taken a lot of time and effort. The loan program has given this local company the working capital to get things going. It's certainly exciting.

"This is a community-based effort. I'm glad that we were able to put faith in it and fund the expansion."

The agency has two types of lending: direct as the lender of last resort or guaranteed where partnerships are formed with private lending institutions.

For more information on the USDA Rural Development Business and Industry Direct Loan program, contact Blanco in room 311 of the Federal Building, 154 Waianuenue, Hilo HI 96720, or telephone him, 933-3001, or Steve Chapman, 933-3020

Another opportunity to gain information on the forest industry is conference to be held on the Kohala Coast. "Visions for the 21st Century -- Forestry, a Land Use Alternative" is set for Friday, Oct. 30, from 9 a.m. to 4:30 p.m. at the Hapuna Beach Prince Hotel.

Sponsored by the Hawai`i Leeward Planning Conference, Hawai`i Island Economic Development Board and Kona-Kohala Chamber of Commerce, the conference is designed to provide basic information on forestry and its potential to the Big Island. Speakers will include former state forester Libert Landgraf and Monty Richards of Kahua Ranch.

Other presenters include Guy Cellier of Forest Solutions and Peter Simmons of Kamehameha Schools Bishop Estate.

The day-long program will include presentations of forestry products, wood slicing, particle board, custom furniture, and art and collectibles.

The conference concludes with C. Brewer's J.W.A. Doc Buyers' insights into new opportunities in agriculture.

For details and to register, contact Bev at 329-2334 or write to Hawai`i Leeward Planning Conference, P.O. Box 635, Kailua-Kona HI 96745.

Correction: the correct URL for Ka`u Business is http://www.viamall.com/kaubusiness/ or contact via e-mail (kaubiz@hialoha.net) Thom Reece.

"Please understand that we are still under construction even though there are clost to 100 pages on the site," Reece said. "Our motto and tag line is Elevating our Standard of Living while Preserving Our Lifestyle."

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Focus on the Economy for Sunday, Sept. 13 Focus on the Economy
Hawaii Island Economic Development Board

September 13, 1998
Ancient crop still important to Hawai`i farmers, festivals

By K. T. Cannon-Eger

Taro crops grown in Hawai`i have seen ups and downs both in price and availability. The cultural importance of the "staff of life" of the early Hawaiians continues and some Big Island farmers, with some Federal assistance, are adding new plantings.

"We have received initial approval on our grant proposal to the Rural Economic Transitional Assistance-Hawai`i (RETAH) for mechanized harvest," said Tom Menezes. "We are looking at planting 60 acres in three different types: for the poi market, Samoan table taro and Chinese taro. Depending on the market, it will take about a year to plant out that acreage."

As is true with many farmers, it's a case of too little then too much.

"The drought late last year that carried through to early this year has set back planting to some extent," Menezes said. "Now with this rain, it's the other way around. It's too wet to get into the fields."

He does not face a shortage of huli as some farmers do because Menezes planted several acres of huli as a seed bank.

Jerry Konanui, president of Hui Kalo Moku O Kewae, said a shortage of huli is holding some farmers back from planned plantings.

"I get so many calls from people wanting to plant in the Kea`au area, Hamakua and Ka`u," Konanui said. "There's a demand for taro and there's a good price."

The Hawai`i Agricultural Statistics Service (HASS) reported a record low harvest for 1997 which "helped boost farm prices to a record high average of 51 cents per pound, up four percent from the previous year."

HASS also reported the largest gain in acreage was on the Big Island. Big Island prices were ahead of the state average for poi taro at 60 cents per pound. Chinese taro average price was 46.3 cents per pound, up from 44.7 cents the previous year. The value of all sales on the Big Island was $699,000 of the state's total $2.6 million. The majority of taro grown in the state comes from Kaua`i.

Poi millers utilized 1.48 million pounds of taro during the fourth quarter of 1997, up 24 percent from the previous quarter, according to HASS.

"Total taro for poi production for 1997 is estimated at 4.9 million pounds, down two percent from 1996," according to a quarterly milling report.

The HASS annual taro report cited 493,000 pounds of taro imported to Hawai`i in 1997, up one percent from 1996.

"Fiji remained the main source of imported taro with a total of 442,000 pounds or 90 percent of the total. The Cook Islands were a distant second with 45,000 pounds."

Taro also was imported to Hawai`i from Thailand, Costa Rica, Canada, Guam and Vanuatu.

"Pocket rot is affecting both wetland and dryland varieties," Konanui said. "New farmers have to be real careful. I've been advising growers planting new land to get tissue cultured taro for pest free plants. Snails are also a problem in some areas such as Waipi`o, but not as bad as Ke`anae on Maui or Hanalei in Kaua`i."

Hui Kalo has four people available to go out to schools and other venues for workshops on planting methods. Contact Konanui at e-mail jerryk48@gte.net or telephone 965-8394 or write P. O. Box 371, Pahoa HI 96778.

Both Menezes and Konanui agreed that farmers turn to profitable crops.

"When the taro price is down, they plant ginger," Konanui said. "When the ginger price is down, they plant taro."

HASS reports that ginger farm prices are at their lowest level in 27 years, 40 cents a pound compared to 75 cents a pound last season. A record harvest of 18 million pounds came from 360 acres, most of which is in east Hawai`i.

The sixth annual Honoka`a Taro Festival will be held Saturday, Nov. 14 in the Honoka`a gym from 9 a.m. to 4 p.m. Activities include a poi eating contest, taro variety tastings, displays, entertainment, farm products and plants for sale, children's games, fire dancer and hula.

"The Farm Bureau will have big display this year," said organizer Kathleen Baker. "Any food vendor wishing to reserve space must attend a class on Thursday, Oct. 1, at the Honoka`a Gym. The class will be conducted by the Health Department and vendors will get certified."

Contact Kathleen Baker, 775-0043, or Earl Nakashima, 775-9987.

By the way, congratulations to Nakashima on receiving the first annual Kona-Kohala Chamber of Commerce humanitarian of the year award, co-sponsored by Island Business Magazine.

"Taro was mentioned in Chinese books as early as 100 BC," according to Taro varieties in Hawai`i recently republished by UH-College of Tropical Agriculture and Human Resources. "It was evidently thriving in Egypt at the beginning of the Christian era, as Pliny refers to it as one of the established food plants of the country. The accounts of the early European navigators tell of the cultivation of this crop in Japan and the western Pacific islands as far south as New Zealand. Taro has long been intimately identified with the south Pacific, but nowhere has it attained so much importance as in the Hawaiian group."

The 1939 bulletin by Leo D. Whitney, F. A. I. Bowers and M. Takahashi is available at Cook's Discoveries in Waimea. More than 80 varieties are described from corm to leaf. Information on distribution, use and origin of names also is provided.

Coming events

Today is the last day of the Big Island Farm Fair at the old Kona airport. Hours are noon until 11 p.m.

Activities include livestock show and silent auction, agricultural displays, petting zoo, country market, plant and flower sales, cooking and horticultural demonstrations, entertainment, food booths, carnival rides and games.

This afternoon, the Daughters of Hawai`i and the Calabash Cousins of Hulihe`e Palace will serve tea at the Royal Summer Palace on Kailua Bay from 2:30 to 5:30 p.m.

Call 329-1877 for ticket information and wear your Aloha Festivals ribbon.

In Hilo, the Kalima and Brown families present "a thousand years of melody" Hawaiian music concert in the UH-Hilo Theatre at 7 p.m. Wear your Aloha Festivals ribbon.

Thursday through Sunday, Sept. 17-20, the annual Hawai`i County Fair sponsored by the Hilo Jaycees will be held on the grounds of Afook-Chinen Civic Auditorium.

Chairperson is Dolly Jitchaku, 935-3969

Dr. Herbert Marutani, retired UH-CTAHR extension specialist in agricultural economics, will present an introductory two-hour workshop in farm management at three locations on the big island.

Prospective and current farmers will hear of basic economic principles, recordkeeping, budgets, marketing, business plans and use of credit.

The Hilo workshop will be held Wednesday, Sept. 16, at 6:30 p.m. in the Komohana Agricultural Complex. Telephone reservations to 959-9155.

In Waimea, the workshop will be held Thursday, Sept. 17, at 6:30 p.m. in the state office building. Telephone reservations to 887-6183.

The Kona workshop will be held Tuesday, Sept. 22, in the Cooperative Extension conference room in Kainaliu at 6:30 p.m. Telephone reservations to 322-2718.

The Big Island Dendrobium Growers Association (BIDGA) and the UH Cooperative Extension Service are sponsoring two educational meetings. Thursday (Sept. 17) at 7 p.m. in the Komohana Agricultural Complex, guest speakers will provide information on design considerations for greenhouses, shadehouses and irrigation systems.

Saturday, Sept. 26, an orchid farm tour will visit five Puna area orchid nurseries. Registration for the tour is required by Thursday, Sept. 24. Contact Kelvin Sewake at 959-9155.

Saturday, Sept. 19, is the primary election. Polls open at 7 a.m. and close at 6 p.m. If you are in line at 6 p.m. you will still be able to vote.

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Focus on the Economy
Hawaii Island Economic Development Board

September 6, 1998
Economist says Hawai`i County ahead of state in job creation

By K. T. Cannon-Eger

Tourism, cruise ships, filming, health care, diversified agriculture and astronomy are among sectors of Hawai`i County's economy credited by Dr. Leroy Laney for a rise in jobs.

"At the beginning of this lackluster decade, Big Island job growth fell from heights well ahead of the rest of the state to about zero, matching what was going on elsewhere in the state for around four years. But for almost three years now, Hawai`i County has been well ahead of the rest of the state in job creation," Laney told the Hawai`i Island Chamber of Commerce (HICC) annual economic forecast luncheon, sponsored by First Hawaiian Bank.

Increases in tourism accounts for some of the new jobs. The Big Island showed an increase in Japanese visitors of 17 percent during 1998 and mainland arrivals also are up five percent from a year ago.

"Despite recent Japanese tourism weakness, there are some interesting trends going on in that market," Laney said. "A recent Big Island Visitors Bureau survey showed you are developing a repeat visitor base -- more than 18 percent of Japanese visitors now have been to the Big Island before. And more are choosing to stay only on the Big Island -- almost 20 percent compared to five percent in earlier surveys."

Part of the reason, Laney indicated, was a more diverse and adventurous vacation opportunity in Hawai`i County.

The passenger cruise ship schedules for Hilo Harbor and Kailua Bay indicate 96 foreign ship port calls this year, down from the 1992 high of 119 but well above 1996 (75) and 1997 (70).

"Even using conservative estimates of passenger spending here, debarking passengers may pump $16 million annually into the Big Island economy," Laney said.

Harbormaster Ian Birnie recently reported in the HICC newsletter that the number of domestic ship arrivals was projected to be 104 plus foreign ship arrivals of 86. The total number of visitor days was 180,400. At an average expenditure of $88 per visitor per day as estimated by the HVB, the total projected impact of visitor expenditures is $15,875,200.

Add to that the spending by Sailors and Marines on liberty from visiting US Navy ships.

"We just had 350 aboard USS Frederick and 130 from USS Honolulu last weekend," said Kona's Jonathan Hodkinson, state president of Navy League. "Those folks stay over, rent cars and are a real boost. Average spending, conservatively, is about $100 per day."

John Davis, president of the Hilo Council NLUS counts 2,600 officers and crew for a total of 11.25 days which equals a total of 29,250 visitor days. This is based on five US Navy and Coast Guard ships visiting the east side so far this year. That means an additional $2,925,000 in visitor spending for east Hawai`i.

And that doesn't count what the ships spend to get to the Big Island and for services from local businesses while in port.

"The great battle tender USS McKee visited Hilo for the International Festival," said Hilo NLUS immediate past president Bill Eger. "During her long-weekend stay, McKee paid for tug and harbor pilot services, telephone lines and pagers, trash removal and sewage disposal, rental vans and KMC buses, fresh Big Island fruit and vegetables, and county water among other expenditures. That adds nearly $161,000 to the mix, which includes more than $67,000 in fuel for the transit.

"In addition, approximately 2,000 east Hawai`i residents and their children toured McKee during three days of public visiting hours."

For information on future NLUS activities in Hilo, contact Davis at (808) 935-8575 (mornings) or Dee Coates, (808) 775-9727. In Kona, contact Judy Alderson, (808) 322-6696. For information on cruise ship arrivals and greetings, contact Destination Hilo or Destination Kona Coast.

The Big Island as a destination also gets a boost from the film and television industry, Laney pointed out.

"NBC has picked up Wind on Water -- a ranch family drama set on the Big Island -- for its Saturday night fall line-up. Baywatch segments and a feature movie are also in the pipeline."

At the luncheon, HICC president John Tolmie recognized Mayor Stephen Yamashiro, director of the Department of Research & Development Diane Quitiquit and Film Office coordinator Marilyn Killeri for their contributions to improving this segment of our economy. Tolmie noted that in excess of 50 percent of the Wind on Water crew has been hired locally.

Killeri said, "It's a community effort to make things like this happen. The Big Island is incredible. Everyone just steps up to the plate and does what needs to be done."

Park ranger Mardie Lane at Volcanoes National Park agrees.

"This is a real magnet. Filmmakers have come from all over the United States, Canada, Australia, Germany, Italy, France, the Netherlands, Switzerland, Japan, Brazil, Uruguay, Austria, the Czech Republic and Latin America."

She listed nearly 50 projects filming in the park through July. A two-page application for permission stresses care for preservation of natural, historic and cultural features. Clean-up and restoration are required.

Estimates of the impact of filming on the Big Island are near $300,000 per month. The NBC series offers the potential for $1.6 million, according to the Kona-Kohala Chamber of Commerce newsletter.

Among the businesses employed by the film industry are local caterers.

"We just did a Honda commercial last week," said Lisa Werner of Island Grinds catering service.

"I'd love to see some class offered on how to meet the requirements of this industry. Right now, we're all learning on the job.

"On every job we've worked, I've noticed a high percentage of local hires. It's a lot of very hard work that moves very quickly and is quite demanding and intense.

"Filming is a very good industry for the island. They leave the place cleaner than when they found it."

To contact Island Grinds, see Lisa and Norena at the Bayfront lunchwagon Monday, or Wednesday through Friday or telephone (808) 964-5392.

Web site address is www.filmbigisland.com for Hawai`i County's Film Office. Persons with experience in the industry are urged to sign up. The office also seeks unusual locations that may be of interest to photographers and filmmakers.

Killeri may be reached by writing the Big Island Film Office, County of Hawai`i Department of Research & Development, 25 `Aupuni Street, Hilo HI 96720, or by telephoning the Kona office, (808) 326-2663.

An information sheet on filming in National Parks stresses the importance of irreplaceable resources and values.

"When the National Park Service speaks of managing resources and values, it refers not only to tangible natural and cultural features such as animals, plants, waters, geological features, historic buildings and monuments, and archaeological sites, but also to intangible qualities such as natural quiet, solitude, space, scenery, a sense of history, sounds of nature, and clear night skies.

"Both tangible and intangible qualities are important components of people's enjoyment of parks. The NPS's primary responsibility is to protect those qualities, while making them available for non-degrading public use and enjoyment. Other uses, such as motion picture filming, may be permitted in parks when they will not jeopardize park resources or values, interfere with public use and enjoyment, or create unacceptable administrative burdens."

For information on the permitting process at the National Park contact Lane at P. O. Box 52, Hawai`i Volcanoes National Park HI 96718 or phone (808) 985-6018.

Laney mentioned to the Chamber luncheon that special events also have significant economic impact. The bank-sponsored survey previously studied the annual Billfish Tournament and Ironman Triathlon.

"Plus the inestimable value of publicity and advertising lead Hawai`i County to have a higher profile throughout the world," Laney said.

The Ironman Triathlon World Championship is watched on television in an estimated 50 million homes worldwide. Sales of Ironman-licensed products, which include Timex watches and Huffy mountain bikes, are expected to exceed $175 million in 1998, according to an Ironman Properties spokesperson.

Predicting that the state economy will still have at least several more years of slow growth, Laney said, "I don't believe we are on the verge of any kind of economic boom here."

Laney noted that the Big Island continues to face persistent vocal minorities who often oppose almost any kind of new job creation and economic development.

"Potential investors outside the County economy are likely to wonder about a community that consistently says `No' to relatively clean industries like forestry, a prison, geothermal energy generation, fruit irradiation, tourism development and large-scale agriculture. Sooner or later, the community must come to terms with this, if it is to have any economy at all."

Screening, health class set for fairs

Saturday, Sept. 26, is walk-in screening day for artisans wishing to participate in the 23rd annual Hilo Christmas Fair in late November.

For show details, send a self-addressed, stamped envelope to HCF Screening, 111 E. Puainako, Suite 405, Hilo HI 96720 or telephone 966-6977.

Screening will be done in the conference room of Komohana Ag Complex. Drop-off between 8 and 9 a.m. and pick-up between 3 and 4 p.m.

To be eligible for a food booth at the sixth annual Taro Festival in Honoka`a in November, vendors must attend a class on Thursday, Oct. 1, at the Honoka`a Gym. The class will be conducted by the Health Department and vendors will get certified.

Contact Kathleen Baker, (808) 775-0043, or Earl Nakashima, (808) 775-9987.

Coming events

Enjoy the Big Island Farm Fair at the old Kona Airport this week (Sept. 10-13) sponsored by the Big Island Farm Bureau.

Hours are: Thursday (Sept. 10) 6 p.m. to midnight; Friday, 6 p.m. to midnight; Saturday, noon to midnight and Sunday, noon to 11 p.m. Admission: Adults $2.25, children 4-12 $1.25, children under four free. Contact Diane Ley (808) 968-6951.

The sixth annual Wood Show sponsored by the Hawai`i Forest Industry Association is open at Aloha Tower, Pier 10, through Sunday, Sept. 13. Hours are 11 a.m. to 9 p.m. except Sundays until 5 p.m.

Entries were received from woodworkers throughout the state including 10 from the Big Island. More than 100 pieces from small carvings to large furnishings are on display.

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Focus on the Economy
Hawaii Island Economic Development Board

August 30, 1998
Sectors of Big Island's economy showing improvement

By K. T. Cannon-Eger

There are a number of indications that the economy is improving on the Big Island.

Tourism increases, both in visitors arriving by airplane and by cruise ship or US Navy port calls to Kailua Bay and Hilo Harbor. People are coming for specific activities or events such as the Billfish Tournament, Ironman Triathlon, Merrie Monarch Festival, or Cuisines of the Sun.

"Hotel occupancies on the Big Island are the highest this decade," said Rep. Bob Herkes (D-Puna, Ka`u).

New enterprises to fill niche market demand for alternate accommodations and ecotours have shown great growth on the Big Island. One seven-passenger van, Kipuka Tours, just celebrated its first anniversary of being in business. Operated by Steve Slater of Kipuka Smoke Shop in the Hata Building on Kamehameha Avenue in Hilo, the tailored tours offer out-of-the-ordinary opportunities for the adventurous.

"I took a Kipuka tour recently to determine if this was something we wanted to recommend to our guests," said Tory Mospens of Kia`i Kai Bed and Breakfast on the historic Puna trail in Hawaiian Paradise Park. "Steve knows all these great spots. He can twist and wind off the beaten track on roads I never knew existed. There's always something to see."

To contact Kipuka Tours, e-mail kipuka@hilo.net or phone (808) 961-5082.

Kia`i Kai is available on the web at http://home1.gte.net/kiaikai or telephone (808) 982-9256.

Special attractions such as the Ellison Onizuka Visitor Information Station at Hale Pohaku on Mauna Kea offer unique opportunities to residents and visitors alike. The Center at the 9,300-foot elevation is open Thursday through Sunday and is accessible by two-wheel drive vehicles. Those wishing to continue to the summit must have four-wheel drive vehicles.

Look in on the Institute for Astronomy web site www.ifa.hawaii.edu or telephone (808) 961-2180 for more details on directions, hours of operation and safety precautions. Road conditions may be checked by phoning (808) 969-3218. For special events, telephone (808) 935-4515.

Advances in technology continue to improve our lives from expanded access to and use of the internet for business and research to the completion of GTE Hawaiian Tel's system to 100 percent digital switching.

A mention in national media can have dramatic results for local companies. For example, shortly before Mother's Day, typically a busy time for the floral packing and shipping industry, a mention on ABC's Prime Time Live with Diane Sawyer increased web page hits for The Tropical Connection in Pahoa from an average of 30 hits a day to more than 1,500 in one measured three-day time period. In all, a total of more than 1,600 orders were placed for Mother's Day. The activity has continued.

"The average number of hits per day increased to 50," said office manager Shawna Saia. "Before the Prime Time mention, we averaged five orders per week over the internet. We average 35 per week now so it definitely has increased."

Go to www.tropcon.com to check out Tropical Connection's site or telephone (808) 965-8444.

The percentage of growth in GTE Hawaiian Tel lines, both for residential and for business use, has been on an upward track since 1988. In 1988, there were 64,000 lines in Hawai`i County. At the end of 1997 there were 89,000, according to island manager Alan Okinaka.

"That doesn't count cell phones," said Okinaka. "This island has the reputation of the highest growth of cell phone use in the state."

A state-of-the-art agricultural research center is in the planning stages for construction at University of Hawai`i at Hilo's Research Park. It will house the USDA Agricultural Research Service and a Business Incubator Technology Services (BITS) facility. A second BITS facility will be constructed at the Natural Energy Lab of Hawai`i Authority (NELHA) on the west side.

In addition, Sen. Daniel K. Inouye announced that more than $1 million has been approved for planning and design for the marine mammal research and education center to be located at NELHA, as announced in the Kona-Kohala Chamber of Commerce newsletter.

According to Inouye, the "center will utilize and integrate various energy technologies developed at NELHA, resulting in applications of energy, biological, and marine mammal research. It also will be an excellent opportunity for the children of Hawai`i to have hands-on experience in science and technology."

Diversified agriculture continues to show strong growth in Hawai`i County as established enterprises and new farms move on to former sugar cane fields. Value-added products such as roasted coffee, salad dressings, jams and pickles demonstrate success.

"Whatever's made in Hawai`i just flies off the shelves," said Joan Desilets of Kona Wine Market.

The Kona Coffee Council reported in June that, "for the first time Gillies Coffee Company (of New York) will pass the baton to 100 percent Kona coffee as the highest priced premium beans, surpassing Jamaica Blue Mountain in value."

Interest in agriculture extends to food festivals, farmers' markets and collections of recipes, according to Alaina de Havilland, a food consultant based on the Big Island. She is nearing completion of a food festival and crop map.

"This project has gotten much bigger than I anticipated," de Havilland said. "Already I've listed 39 food festivals on the Big Island and more come out of the woodwork every day."

A California company that produces videos on food festivals has expressed interest in making a video of Hawai`i's food festivals. De Havilland also reports a former editor of Gourmet magazine has made plans to visit with a team of photographers.

"This map project has led to offers to do the same thing for Northern and Southern California, the Catskills and Long Island," she said. "We all want to eat when we travel and to feel as if we're getting a good deal. Historic and cultural information about the crops and foods of an area is of great interest to many people."

Contact her via e-mail alaina@gte.net if you can provide additional information on food festivals in Hawai`i County.

Another indication is the success of her recent book, Pacific Palate: Cuisines of the Sun, published by Abbeville Press. Local distributors have had to reorder twice and the book is just coming to store shelves.

"It was selected by the Book-of-the-Month Club for October," de Havilland said.

Pacific Palate's collection of more than 175 recipes for everything from beverages to desserts encourages chefs to "experiment with ingredients and not shy away from unconventional flavors and combinations."

Shrimp and papaya skewers utilizes jalapeno pepper and turmeric among other seasonings. Macadamia nut oil, lime zest and grated ginger add to the flavors of Spicy coconut opakapaka. There are recipes for bamboo shoot pickles and banana chutney that set one's mouth to watering. Book signings are scheduled for Kona Borders on Saturday, Sept. 12, at 2 p.m. and Hilo Borders for its first anniversary Saturday, Sept. 19 at 2 p.m. Another signing will be held at Kona Wine Market in September, date to be determined.

An economic forecast for Hawai`i County will be presented to the Hawai`i Island Chamber of Commerce by Dr. Leroy Laney, professor of economics and finance at Hawai`i Pacific University, at 11:30 a.m. Wednesday (Sept. 2) in the Crown Room at Hawai`i Naniloa Resort. Call 935-7178 for details and reservations. His presentation will be repeated at the Kona-Kohala Chamber of Commerce meeting Thursday (Sept. 3) at the Kona Surf. Call 329-1758 for details and reservations.

Not all is sweetness and light, however. There are some indicators that point to the severity of economic difficulties we face -- an increase in thefts, for example.

Lanihau Center recently asked employees and customers with handbags to conceal them very carefully. Safeway in Hilo actively encourages its employees to warn customers not to leave handbags unattended in carts.

Agricultural thefts have increased, both of product and equipment, on cattle ranches, banana groves and anthurium farms.

Even churches aren't exempt. Malia Puka O Kalani Catholic Church in Keaukaha recently reported two thefts of sound equipment from the church hall and from the church itself. A pastoral associate estimated it would cost approximately $2,500 to replace the stolen equipment -- a heavy blow for the 300-member parish that is so active in our community.

Coming events

Today, the Hulihe`e Band concert honoring Kamehameha III will be held at Hulihe`e Palace in Kailua-Kona at 4 p.m.

September 4-6 is the Hapuna Roundup Invitational Pro-Am Golf Tournament. Call (808) 880-3481 for more details.

Saturday, Sept. 5, Aloha Festivals Royal Curt visits Pu`uhonua O Honaunau at 7:30 a.m. with offerings from the land then proceeds to the ocean for pikai (washing) of the Mo`i and Mo`i Wahine in preparation for a successful reign.

>From 8 a.m. to noon, the Keiki Makahiki is set for Pu`uhonua O Honaunau including games, hula, and hands-on arts and crafts.

For all Aloha Festivals events, contact Gloriann Akau, 885-8086.

Friday and Saturday, Sept. 4 and 5, the Hawai`i Organic Farmers Association will hold a conference on soil health. The conference is co-sponsored by Maui County Farm Bureau, Acres USA, and the Maui County Office of Economic development.

It will be held in Kula Agricultural Park, lot 9, beginning with registration on Friday at 8 a.m.

Speakers include Dr. Mitiku Hapte, UH soil microbiologist; Bob Shaffer, organic farmer and CEO of Native Cultures Inc.; Roy Smith, organic farmer and Mae Nakahata, HC&S soil agronomist.

On Saturday, Tane Datta of the Big Island herb farm Adaptations, will speak on making the transition to organic practices. Datta is HOFA certification chairman.

For more information, contact HOFA at (808) 573-0995 or write P. O. Box 984, Ha`iku HI 96708.

Tuesday, September 8, Hawai`i County's harbormaster and historian Ian Birnie will speak on "Railroads of Hawai`i Island and the Rise of Business" at 7:15 p.m. in the Lyman House Memorial Museum. The lecture is part of a continuing series celebrating the centennial of the Hawai`i Island Chamber of Commerce. Sponsored by a grant from the Hawai`i Committee on the Humanities, lectures are free and open to the public.

For further details, contact Lyman House at 935-5021.

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Focus on the Economy
Hawaii Island Economic Development Board

August 23, 1998
`Awa replacing sugar cane in Pacific island farms

By K. T. Cannon-Eger

A recent conference on `awa production, supported by a grant from Rural Economic Transitional Assistance-Hawai`i (RETA-H), attracted more than 130 farmers and land owners.

Of particular interest was production of `awa on former sugar cane lands.

Dr. Vincent Lebot of the root crops program, International Center for Agronomical Research and Development based in New Caledonia, is the author of "Kava: The Pacific Elixir." He spoke on production in the Pacific Islands.

"The cultivation of the crop is now expanding throughout the Pacific. In Vanuatu, there are more than 4 million plants in the ground today. That is approximately 5,000 hectares considering that most of it is still intercropped.

"Fiji has a planted area of 4,200 hectares in 1994 but it is estimated to be around 3,000 hectares today. In Samoa the total area is estimated to be more than 800 hectares and growing at a rate of 20 percent per year.

"Tonga (800 hectares) and Pohnpei (300 hectares) are also expanding their crops. Overall, more than 10,000 hectares are in production. And Hawai`i wants to join the club."

`Awa, `ava or kava is a giant pepper plant "found on all the tropical islands of the Pacific except the coral atolls," according to Native Planters in Old Hawai`i published by the Bishop Museum. "It is strictly an Oceanic plant, whose place of origin is unknown."

Spread throughout Polynesia by ancient voyagers, Piper methisticum was and is made into a beverage to induce relaxation.

"In historic times it has been so used by all classes of people, especially fishermen, farmers, hunters, and the like whose strenuous work left them stiff and taut with fatigue. The ali`i class drank for pleasure largely, the kahuna class ceremonially, and the working people for relaxation after labor."

At the recent `awa conference, Dr. Dennis McKenna, a consultant to the herbal products and neutraceutics industry, said, "It is interesting to watch as this plant with a long history of use spreads into our culture."

Known as a modern natural anxiolytic, `awa is viewed as an alternative to anxiety-reducing drugs such as Valium. Benefits of `awa include no addiction, no cognitive impairment and no impairment of reactive time or memory, according to McKenna.

Jerry Konanui, president of the recently organized Association for Hawaiian `Awa (AHA), said some companies are interested in a supply of 2,000 pounds per month and are willing to pay between five and ten dollars per pound, wet weight, plus shipping.

"Mostly, there are small backyard growers (in the state)," Konanui said.

There is interest in larger acreage plantings.

John Cross of C. Brewer's diversified agriculture division said the main difficulty now is a supply of planting material. Costs to begin cultivation are being worked on.

"We estimate it will cost between $12,000 and $15,000 per acre to establish `awa from start to harvest," Cross said. "The land has to be double-tilled and hilled up. Then there are the costs of purchasing 5,000 plants per acre, planting, weed control, and everything up to harvest."

Supplies of nursery stock for planting are being produced by Liloa Willard's Ho`owaiwai Farms in Papa`ikou and Ed Johnston's `Alia Point `Awa Nursery in Hilo, among others.

In the Ho`owaiwai Farms greenhouse, more than 12,000 plants were potted in three days from cuttings taken from a nearby field. Node plantings had an 80 percent take. Varieties being propagated include Puna Emerald Green, Lo`i, `Alia #7, Hana Kapi`ai, Mo`i and Hiwa, among others.

Willard started by collecting several `awa varieties to preserve the strains. With the expansion of interest in `awa, field plantings began abut 10 months ago.

"Kava usually likes well-drained soil and some shade. Planting in Hamakua is unique," Willard said, referring to the deep clay soil and open field planting. "We have cloud cover about half the time. We have not had to irrigate except during the drought this spring."

Ho`owaiwai Farms utilizes weed mats after some experiments with macadamia nut husk mulch. They are using Safer Soap as an insecticide and fertilize with pelletized chicken manure.

Johnston also started by collecting `awa varieties more than 13 years ago.

"We must preserve and enhance the old forest plantings of `awa to ensure a future for `awa in Hawai`i," Johnston said in the July AHA newsletter. "Since each plant had to have been deliberately put in place, plants in the forest should be respected as native Hawaiian artifacts worthy of conservation.

"Systemic disease is a major problem in many `awa producing countries. Hawai`i is fortunate to have an abundance of remnant plantings left in remote forests. These plantings are far less likely to harbor the diseases which can be picked up through years of cultivation around other crops. `Awa expert Vincent Lebot has commented that, because `awa has been propagated by cuttings for so long, it is especially likely to pick up viral particles and other pathogens in its vascular system.

"In our remote valleys and forests, it is still possible to find remnants of `awa plantings surviving after a hundred or more years in isolation. Preserving the old forest plantings of Hawaiian `awa is one way to ensure we will have clean, disease-free planting material in the future."

Another source is Sean Spellicy of Royal Palm Enterprises who may be contacted at the Wednesday or Saturday Hilo Farmers' Market or call 966-7169. All of these nursery people know others to whom they can refer you if they are out of stock.

Jim Henderson of Moloka`i, who attended the AHA conference, has about two acres of `awa planted at the east end of the island. The oldest plants are about two years old. The major variety he has planted is `Alia #3.

AHA will sponsor a session for Moloka`i residents on Saturday, Sept. 12. For information on that conference, call Pu`u O Hoku Ranch on Moloka`i, (808) 558-8109.

The `awa conference in August was sponsored by AHA, RETA-H and Ho`owaiwai Farms.

For more information, contact AHA president Jerry Konanui by e-mail jerryk48@gte.net or telephone 965-8394 or write P. O. Box 371, Pahoa HI 96778.

Contact Liloa Willard at Ho`owaiwai Farms, 964-5222, or write 27-714 Ka`ie`ie Homestead Road, Papa`ikou HI 96781.

Contact Ed Johnston at `Alia Point, 961-4953, or write P. O. Box 636, Pepe`ekeo HI 96783.

Knauss fellowship

"The National Sea Grant Federal Fellows Program announces the opening of its national competition for the 1999 Dean John A. Knauss Marine Policy Fellowship," according to Makai, the University of Hawai`i Sea Grant College newsletter.

"The program, sponsored by the National Oceanic and Atmospheric Administration's National Sea Grant College Program, provides a unique educational experience for graduate or professional degree students in a marine-related field who are interested in national policy decisions affecting marine resources.

"Established in 1979, the Knauss Marine Policy Fellowship matches qualified students with hosts in the legislative branch, executive branch or other appropriate institutions located in the Washington DC area for a one-year paid fellowship. A stipend will provide $30,000 per student."

Deadline for application submittal is Tuesday, Sept. 8. Applicants are urged to make an interview appointment with Charles Helsley on Set. 14, 15 or 16 by calling (808) 956-7031.

Hawai`i County Sea Grant extension agent is Sara Peck in Holualoa, 329-2861. Information also is available from the Cooperative Extension Service in Komohana Ag Complex, 959-9155.

Ka`u site grows

The Ka`u Business web site http://www.viamail.com/kaubusiness/ has expanded with free community discussion, announcements and help wanted ads. Community profiles are in progress for Miloli`i, Ocean View, Na`alehu, Kahuku, Wai`ohinu and Pahala. To contribute information on history, demographic information and so on, e-mail kaubusiness@hotmail.com or write to P.O. Box 6308, Ocean View HI 96737.

Coming events

Jim Hollyer, the web master of www.hawaiiag.org which is a project of the USDA, UH-CTAGR, the Hawai`i Department of Agriculture and the Hawai`i Farm Bureau Federation, will hold a series of workshops throughout the state.

Covering an introduction to computers, the two-and-a-half to three-hour class will offer hands-on experience in locating agriculturally related sites on the internet.

Limited enrollment is available and advance reservations for the $5 session are required.

In West Hawai`i, the session will be held Friday, Aug. 28, from 6:30 to 9:30 p.m. at the UH Center administration building #3 computer lab. Call 322-2718 for reservations.

The Hawai`i Small Business Development Center Network will present "Financing Options for the Small Business" on Thursday, Aug. 27, at the UH-Hilo Manono Campus multi-purpose room from 9 a.m. to noon. Fee is $25 and advance registration is required. Contact SBDCN at 969-1814.

The investiture of the Royal Court for Aloha Festivals will take place Saturday, Aug. 29, at Halema`uma`u Crater in Hawai`i Volcanoes National Park at noon. Performance by Halau O Kekuhi. The Kohala Slack Key and Ululele Festival will be held Saturday, Aug. 29, from 9 a.m. to 4 p.m. in Kamehameha Park. Kindy Sproat, David Gomes, Ikaika Lancaster and Keahi Akana, John Keawe, Na Keiki O Hilo, Cameron Hunt, Sonny Lim, Kevin Haleamau, Eddie Ku and Friends, Peter deAquino and Garret Trobst, Ku`ulei Ahuna, Kazuyuki Sekiguchi and Iwao Yamaguchi and others will appear.

The Ka`u Hula Ho`olaulea, an Aloha Festivals event, will be held Saturday and Sunday, September 5 and 6.

For information on all Aloha Festivals events in Hawai`i County, contact Aloha Festivals chair Gloriann Akau, 885-8086.

Wednesday, Sept. 2, Dr. Leroy Laney, professor of economics and finance at Hawai`i Pacific University, will present the First Hawaiian Bank annual Hawai`i County economic forecast at the Hawai`i Island Chamber of Commerce general membership meeting.

The luncheon gathering will begin at 11:30 a.m. in the Crown Room, Hawai`i Naniloa Resort.

Call Lorraine at the Chamber to make reservations, 935-7178.

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Focus on the Economy
Hawaii Island Economic Development Board

August 16, 1998
South Pacific's kava attracts business attention

By K. T. Cannon-Eger

The `awa plant, as it is called in Hawai`i, has attracted a lot of media coverage this year. The Wall Street Journal, NBC's Dateline and ABC's 20/20 all recently covered `awa or kava, as it is known elsewhere in the South Pacific.

Touted as stress relief for the 21st century, the plant known botanically as Piper methysticum is becoming a hot topic among Hawai`i farmers, land owners and processors.

In May, the Association for Hawaiian `Awa (AHA) was formed as a non-profit organization for "research, education and preservation of the cultural and medicinal values associated with the `awa plant," according to Jerry Konanui, president.

"Many `awa growers now are small backyard operations. We are networking with Maui, Moloka`i and Kaua`i. With the assistance of a grant from Rural Economic Transitional Assistance-Hawai`i (RETA-H) and help from the University of Hawai`i Small Business Development Center, we've gotten the industry fired up."

Ed Johnston, AHA treasurer and project coordinator, said "There's just something about `awa. I have to see it keep growing. Jerry and I kept networking and realized we weren't getting to everybody.

"That's the reason for the organization. Sen. Daniel Inouye's work with RETA-H has been of tremendous help in supporting our efforts."

To continue to spread the word and learn more about `awa's the economic potential, a seminar was held at Ho`owaiwai Farm in Papa`ikou. More than 130 people attended from every populated island in the state, except Ni`ihau, as well as representatives from Tahiti and Fiji.

The seminar opened with cultural and historical perspectives presented by Kepa Maly of Kumu Pono Associates.

"There are several native traditions regarding the origin of `awa in Hawai`i. Perhaps the most significant narratives describe `awa as having been brought to Hawai`i from Kahiki (the ancestral homelands) by the akua (gods) Kane and Kanaloa. These two akua planted `awa at various localities throughout the islands. In places where no water could be found with which to prepare the `awa, Kane even caused water to appear, thus forming many springs and streams in the islands.

"Here, `awa was important in many aspects of Hawaiian life. Uses of `awa ranged from ceremonial observances and offerings to residential use."

The many uses of `awa throughout the South Pacific, from New Guinea to Hawai`i, are becoming known to the world at large. Along with other herbal products, `awa appeals to "baby boomers looking for alternatives," said Dr. Qun Yi Zheng, senior vice president of Madis Botanicals in New Jersey.

"Kava, echinacea, St. John's wort and ginseng are all popular food supplements now," said Dr. Zheng. "It is estimated that the market value (retail) of all neutraceuticals exceeded $1.6 billion in 1997." Some say that it could be as much as $3 billion. Conservative estimates of market growth are seven to ten percent per year while others estimate as much as 20 percent.

"Demand for kava is at a record high (for the past five years)," according to Dr. Zheng.

Farm gate prices range from a low of two dollars per pound wet weight to a high of ten dollars. Most Hawai`i `awa production is fresh root while much of the industry tends to use dried roots.

There is a three- to four-year growing cycle. Some suggest that perhaps two years will be enough, but the question remains for farmers: if you invest time and land, in three years will the demand still be there?

"There are no guarantees," said Dr. Zheng. "But I believe it will be."

He was particularly impressed by a recent study of Hawaiian `awa samples which had high percentages of extractives and kavalactones. Of the 15 identified kavalactones, six are designated as major active ingredients. Different `awa types contain varying proportions of these six kavalactones: demethoxy-yangonin, dihydrokavain, yangonin, kavain, dihydromethysticin and methysticin.

Some are sedative and muscle relaxants while others are euphoriants producing a sense of well being and calm, according to Dr. Dennis McKenna.

Dr. McKenna has worked in the fields of pharmacognosy, ethnopharmacology and ethnobotany for more than 20 years. He is on the editorial board of Phytomedicine. When he appeared on an herbal panel at the American Psychiatric Association annual conference, more than 250 psychiatrists showed up in a room slated to accommodate 50. As a measure of the interest in plant-based alternatives, McKenna noted that the tape of the panel was the fourth highest seller at the conference of more than 10,000.

"Kava is a sacred plant as well as a medicine," McKenna said. "It has an important role in the ceremonial and religious life of a culture."

Therapeutic uses in Europe currently include bladder and urinary tract infections, sleep disorders, insomnia, restlessness, stress, anxiety, muscle relaxant, and analgesic. Because kavalactones work on receptors other than the opiate receptors, "they may point the way to new pain relief drugs," McKenna said.

To contact the Association for Hawaiian `Awa, e-mail Konanui at jerryk48@gte.net or telephone 969-7079 or write to the association at P. O. Box 636, Pepe`ekeo HI 96783.

More next week.

Coming events:

Today and tomorrow are the last two days to tour USS McKee, the battle tender visiting Hilo for International Festival. McKee is at Pier Three and tours run from 1 to 4 p.m. each day.

Children are welcome, but all should wear closed toe shoes (no zoris) for safety.

More than 1,200 sailors arrived aboard McKee Friday, Aug. 14. In addition to social activities and sports events, several McKee work crews have participated in community relations projects from Hilo High School and the Palace Theater to `Ainahou Ranch at Volcanoes National Park.

"The Palace Theater needs a lot of help," said McKee's Chaplain King. "Our work crew is going back on Monday." Many thanks McKee for your can-do attitude and smiling faces!

A fiction writers' group meets tomorrow (Aug. 17) at 9 a.m. in the Hilo Borders Books. Contact Tom Callos at 935-1892 for information. The poetry writers meet in Borders Cafe Expresso Wednesday (Aug. 19) at 6 p.m. Contact Jennifer at 933-1410 for details.

Covering an introduction to computers, the two-and-a-half to three-hour class will offer hands-on experience in locating agriculturally related sites on the internet.

Limited enrollment is available and advance reservations for the $5 session are required.

The Hilo session is tomorrow (Aug. 17) from 6:30 to 9:30 p.m. at UH-Hilo. Call 959-9155 for reservations.

In West Hawai`i, the session will be held Friday, Aug. 28, from 6:30 to 9:30 p.m. at the UH Center administration building #3 computer lab. Call 322-2718 for reservations.

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Focus on the Economy
Hawaii Island Economic Development Board

August 9, 1998
University forester to help money grow on trees

By K. T. Cannon-Eger

Listening to all the enthusiastic interest in forestry on the Big Island and throughout the state these days, it's easy to adapt an old saying. According to the enthusiasts, money does grow on trees!

The estimates for farm gate value of the forest industry to the state exceed $27 million, according to an independent study done a few years ago. The majority of that value was in koa. A number of other varieties have entered the picture recently including teak, mahogany, Queensland maple, Australian red cedar and tropical ash.

The majority of agriculturally-zoned lands in the state are in Hawai`i County. A recent change in Real Property Tax assessments has included timber plantings in an agricultural category.

For the first time in the history of forestry in these islands, the University of Hawai`i College of Tropical Agriculture and Human Resources has a resident extension forester available to assist both small and large landowners throughout the state.

J. B. Friday received his masters in forestry at Yale in 1985. Tropical field work followed in Puerto Rico as well as several years as a volunteer with the Peace Corps in the Philippines.

He and his wife Katie moved to Hawai`i in 1990. He completed his doctorate in agroforestry at UH-Manoa in 1997. They have a five-year-old son and now reside in Hilo.

"My goal is to pull together the information available on forestry and make it available to people -- both information on specific species and information on management," Friday said.

"There is a lot of information available and we hope to provide a central location for access."

Friday has an office in the Komohana Agricultural Complex at 875 Komohana in Hilo. He may be reached via e-mail jbfriday@hawaii.edu or telephone 959-9155.

"There have been many foresters in Hawai`i doing extensive work throughout the years," Friday said, giving credit to the U.S. Forest Service and the Department of Land & Natural Resources Division of Forestry and Wildlife in addition to University of Hawai`i researchers.

"Foresters are the original environmentalists. People realized hundreds of years ago in Europe and Japan, and at the end of the 1800s in Hawai`i, that you couldn't just keep cutting trees down without growing new ones.

"In the United States, the profession of forestry got started at the beginning of this century. Forestry has always been about managing forests sustainably so that they will be there in the future.

"Forestry involves a mosaic of different uses including conservation, agriculture, commercial forestry, recreation and watershed. We get so many essential things from our forests."

Demonstration projects are in the planning stages or underway. One involves cooperation with the Hawai`i Agriculture Research Center (HARC, formerly HSPA) on species and provenance improvement. Friday hopes to be able to offer training at demonstration projects, especially in the Hamakua area.

"In thinking about planting new forests or reforesting former sugar cane lands, people must first consider species appropriate for each climate and soil type. The source of seed is very important. Some species are very site specific.

"It's tough to grow trees with weed problems and with low soil fertility. You can't just put in trees and go away for five years. The trees will be gone, choked out by weeds."

Friday believes a lot will be learned in the next five years.

"Instead of a couple of dozen, I see a couple hundred growers throughout the state. By the time five years has gone by, we will have improved koa and eucalyptus varieties. We will see restoration of a lot of mauka koa forests.

"My hope is that we also will be doing a better job of controlling invasive alien pest species such as miconia."

Funding for the UH-CTAHR forester position has come through the Hawai`i Forest and Communities Initiative with a match from the university. Additional funding is anticipated from the USDA Fund for Rural America next year.

To learn more about forestry, contact Friday and check out web sites www.hawaiiag.com or www.koaseeds.com in the forestry or wood sections.

Further information is available from Andie Beck of the Hawai`i Forest Industry Association (HFIA), which publishes a quarterly news journal. HFIA sponsors the annual WoodShow, the sixth of which is scheduled for September 5 through 13 at Aloha Tower in Honolulu.

WoodShow judge Jamie Robinson will present workshops on working with veneers, marquetry and joinery on curved surfaces in Honolulu September 5 and 6. If there is interest, other workshops will be scheduled for Hawai`i County.

Contact Beck at 959-5945 or write P. O. Box 10216, Hilo HI 96721.

The Big Island Woodworkers Guild holds its East Hawai`i wood show at Wailoa Center through August 29.

Coming events

This is the big week (Aug. 10-17) for the annual International Festival of the Pacific. In addition to several public events, the arrival of more than 1,500 cadets and sailors from Japan and the US Navy will fill the island's calendar.

TS Ginga Maru arrives at 9:15 a.m. Thursday, August 13, and the USS McKee pulls in Friday, August 14.

For information on International Festival activities, contact Richard Yorioka at 934-0177. To offer assistance to US Navy sailors, contact the Hilo Council of the Navy League president John Davis, 935-8575 (mornings) or treasurer K.T. Eger, 966-8565.

The Ahahui O Na Opio of Ka Uhane Hemolele O Ka Malamalama Church will sponsor its second annual Queen Lili`uokalani Mele Ho`ike Saturday (Aug. 15) at Edith Kanaka`ole Tennis Stadium from 10 a.m. through 7 p.m.

Funds raised through the event provide scholarships. Tickets ($10) cover all-day entertainment and Hawaiian plate. Tickets are available at the Puhi Bay Store.

Saturday and Sunday (Aug. 15-16) the Pu`ukohola Heiau National Historic Site will hold a festival. "Ke Kulana No`eau O Ka Wa Kahiko" (The Skilled Crafts of Ancient Hawai`i) is this year's theme. Free workshops offer the opportunity to learn lauhala weaving, lei making, gourd designing, Hawaiian quilting, poi pounding, use of medicinal plants and many more crafts.

Hours are Saturday 7 a.m. to 3 p.m. and Sunday 9:30 a.m. to 3 p.m.

Saturday, August 22, the fifth annual Kona Marathon will be held along the route of the Ironman Triathlon. Half-marathon, a 10 kilometer (6.2 miles) and a 5 kilometer (3.1 miles) race also are offered.

For information, e-mail jtl@gte.net or check the web site www.home1.gte.net/aesoft/kona_marathon or telephone 325-0287. Kona Marathon & Family Runs also may be contacted by mail to 73-4158 Ka`ala Place, Kailua-Kona HI 96740.

Tuesday, August 25, the Small Business Conference will be held at the King Kamehameha Kona Beach Hotel from 9 a.m. to 4 p.m.

Sponsored by the Kona-Kohala Chamber of Commerce (KKCC) and the Big Island Business Council, the conference will cover six specific issues: privatization, labor, insurance, taxation, capital formation and international trade.

"The goal of the county conference is to identify issues within each of the six categories that are problems of small business, that will enhance small business or need to be changed to create a better business environment," said Marni Herkes of KKCC. "We will analyze and discuss the issues and we will prioritize the issues to take to the statewide Hawai`i Small Business Congress in Honolulu."

Bill Wong is West Hawai`i liaison for the conference. For more details and to register, contact KKCC at 329-1758.

Registration deadline

If you are not registered to vote or have moved or changed your name since the last election, now is the time to take of those matters. The primary election will be held Saturday, September 19. The general election will be held Tuesday, November 3. You must be properly registered 30 days prior to any election in order to vote.

For further information, contact the office of the County Clerk, elections division, at 961-8277.

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Focus on the Economy
Hawaii Island Economic Development Board

August 2, 1998
Macadamia harvest hits record 58 million pounds

By K. T. Cannon-Eger

The macadamia nut crop hit an all-time high 58 million pounds net, wet-in-shell, for the 1997-1998 harvest, according to the new Hawai`i Agricultural Statistics Service (HASS) annual report.

This represents 1.5 million pound increase over the previous crop year.

"However, drought conditions that occurred early in 1998 affected orchards in the South Kona and Ka`u areas and will likely impact next season's crop," HASS said.

The effects of the drought will be measured during a survey this fall.

"Overall yields averaged 3,020 pounds per acre (net wet-in-shell), 80 pounds above the previous season."

Total planted and harvested acreage remained the same as last season. There are an estimated 1.56 million macadamia nut trees in the state of which 92 percent are six years old or older.

"The farm price for net, wet-in-shell macadamia nuts averaged 75 cents per pound, three cents less than the 1996-1997 average. The farm value for the 1997-1998 crop is estimated at $43.5 million, one percent less than the previous year, with higher production offset by lower prices."

The equivalent wholesale value, according to HASS, was $76.4 million with an average wholesale price of $4.93 per pound. The equivalent wholesale value is more than the kernel (bulk shelled) value reported in 1996-1997 of $69.8 million.

Tree losses due to macadamia quick decline (MQD) "were estimated at 7,000 trees in 1997, up 2,000 trees from the previous year. Losses were more prevalent in the east Hawai`i orchards but also occurred in other areas including Maui. Varieties most affected were Ikaika, Ka`u and Keauhou."

Crop losses culled by processors were caused by immature nuts, moldy nuts, stink bug and koa seed worm, among other causes.

The customs value of macadamia nuts imported to the United States for the calendar year 1997 was close to $14 million from Australia, more than $4 million from Costa Rica and $3 million from Kenya. The total customs value of imported nuts was reported at $28.5 million for 2,898 metric tons, as reported by the U.S. Department of Commerce.

The macadamia nut "is the number one diversified crop in Hawai`i ranked by value," according to the University of Hawai`i College of Tropical Agriculture and Human Resources (UH-CTAHR) "Major production of macadamia is on the island of Hawai`i. Commercial plantings are also on Maui and Kaua`i. The major varieties grown in Hawai`i are the result of the UH-CTAHR breeding and selection program."

UH-CTAHR places the value of Hawai`i's macadamia nut industry at $175 million annually.

Howard Hirae, UH-CTAHR extension agent, reviewed tree planting methods at the recent annual conference of the Hawai`i Macadamia Nut Association (HMNA) held at the Royal Waikoloan Hotel.

The 10 "commandments" of planting trees are:

Thou shalt not plant above original soil level.

Thou shalt not plant root bound plants without root pruning.

Thou shalt not plant in field underlain with pahoehoe.

Thou shalt not plant during dry seasons.

Thou shalt not plant in compacted soil.

Thou shalt not plant in field without following soil test recommendations.

Thou shalt not plant plants with kinked roots.

Thou shalt not plant in harsh environments.

Thou shalt not plant during leaf flushed.

Thou shalt not plant in impervious containers.

Suggestions for post plant care of roots include:

Always keep roots covered especially in soil erosion areas. Take special care to prevent root injury or damage. Minimize traffic over root zones to prevent compaction. Keep soil healthy with organic matter, nutrients, moisture and air.

The board of HMNA elected David Rietow to a sixth term as president of the statewide organization. Rietow is president of Agro Resources Inc., an agribusiness management company farming more than 1,200 acres of macadamia nuts.

Under Rietow's leadership, HMNA instituted a voluntary assessment program. The program assesses both growers and processors based on nuts harvested and processed. Funds generated are used primarily for HMNA industry-wide research and development programs.

Also re-elected were vice president Mark Crawford of MacFarms of Hawai`i and secretary Midge Mebane of Hallelujah Hill. HMNA's new treasurer is Jim Trump of Island Harvest.

For membership and program information, contact HMNA executive director Ellen Mehos by e-mail mehos@kamuela.com or telephone (808) 322-0935 or write P. O. Box 1390, Kealakekua HI 96750.

Among studies underway or in the planning stages are:

The Reno Diet-Heart Study sponsored by the International Nut Council (INC), which looked at the effect of nuts on weight and satiety. "The manuscript is currently under review for publication in the American Journal of Clinical Nutrition," said Rick Vigden of MacFarms of Hawai`i.

INC also sponsors the Harvard Study along with the Olive Oil Industry and Peanut Council. The study, to be completed by early 1999, is looking at the effect of a higher fat (mostly unsaturated fat) diet on weight loss and satiety.

An Allergenicity Study is underway at UC Davis in California. A nut book is in production with Dr. Gene Spiller that will include historical and nutritional information.

INC is working with the USDA and an outside laboratory to reanalyze the nutrition composition of tree nuts. The updated information will be included in the USDA nutritional database for use by professionals and the industry.

Dr. Mike Nagao of UH-CTAHR presented remarks on macadamia nut varieties to the HMNA conference.

"Selection of new macadamia nut cultivars has been an integral part of the horticultural research program at UH-CTAHR. Of the 13 cultivars developed in Hawai`i, seven are presently recommended for commercial orchards in Hawai`i," Nagao said. "They include Purvis 294, Ka`u 344, Kakea 508, Kea`au 660, Mauka 741, Pahala 788 and Makai 800.

"Two older cultivars, Ikaika 333 and Keauhou 246, still can be found in older orchards throughout Hawai`i, but are no longer recommended for newer plantings.

"Several promising new selections which were previously described by Drs. Philip J. Ito and R. A. Hamilton in 1989 have been planted at several locations of the island of Hawai`i for further evaluation.

"Performance of commercial cultivars at the Waiakea Station showed that 741, 788, 800, 294, 344 and 660 had a tendency to maintain higher kernel quality through the entire fall harvesting season and into the spring months compared to 246, 333 and 508. Kernel quality of 246, 333 and 508 tended to fall sharply after the fall harvesting season.

"Yields of 856 from 10 to 14 year-old trees at the Kona Station were comparable to high yielding 344 trees, while the performance of 835 and 863 was similar to 294. Although 816 and 849 showed some promise in earlier tests, they will be eliminated from further testing due to a high incidence of stick tights associated with 816 and the thin shells and low yields associated with 849.

"Selections 835, 856 and 863 warrant further testing over a wider range of growing sites. Both 835 and 856 are currently undergoing further testing in a replicated trial at the UH Captain Cook Station.

"Kernel characteristics (the percentage of recovery of number one kernels vs. percentage of floaters) of un-named selections 816, 835, 849, 856 and 863 were highly influenced by planting location. Selection 835 tended to be more stable over the locations tested."

For further information on macadamia nut tree varieties, contact Hirae at the Komohana Ag Complex, 959-9155.

Orchid special

Planting and packing orchid plants will be the subject of a workshop Thursday, Aug. 13, from 9 a.m. to mid-afternoon at Hawai`i Tropicals Direct in Kapoho.

Sponsored by the Hawai`i Orchid Growers Association (HOGA), the sessions will include presentations and hands-on experience.

Minimizing attrition and maximizing growth in deflasked orchid seedlings will be covered in the morning session. Among speakers are Glen Barfield, Leonard Gines, Jeff Newman and Gordon Heit.

Growers are encouraged to bring sample compots and plug trays.

For shippers who are tired of giving credits on plants that come out of the shipping box looking like road kill, the afternoon session is tailor-made.

Time-saving techniques and demonstrations by nurseries will come from Puna Orchid Farm and Glenwood Orchid Acres.

Contact Judy Schilling before Monday, Aug. 10, for more details, (808) 966-4356.

Master woodworker

The Hawai`i Forest Industry Association will sponsor woodworking seminars featuring Jamie Robertson of Concord, Mass., in September.

Currently, seminars are scheduled for O`ahu. HFIA is surveying woodworkers to determine interest in holding a separate seminar on the Big Island. For details, contact Andrea Beck, (808) 959-9545.

Master woodworker Jamie Robertson favors veneer. To achieve an illusion of depth, each is placed in hot sand to burn its edges -- a technique called marquetry, as old as the Renaissance.

Of the descriptions of his furniture, "punk Amish" is the one he prefers. The basic design is traditional; the departure comes in the detail -- sometimes sleek, often whimsical patterns.