The Hawaiian gazette., 1886-11-09
= German on Sugar Bounty.

The consequences of the sugar
bounty system IN Germany, are thus
I depicted in a speech by Deputy Geh-
lert, d member Of the Right, in the
I German Reichstag:-Says the Arg0sy.
e The sugar industry is quite forty
years old. Until about 1875 it slowly
but surely developed through its own
natural strength. and was till then
/ one Of the most valuable elements Of
our national production. Since that
time 1t has been subsidized by the
state, at & cost Of s7.500,000, and has
slOwl ' N consequence Of this stimu-
lus attained its present dimensions.
II size and soundness be equivalent
things. then the condition Of the
sugar industry has become extraor-
binary sound In the past ten years.
Some s2O.O00,O0O to 925.000,000 have
been sunk in building factories, which
employ $1,000 workmen. But, gen
tlemen. IN the year of the sugar crisis
the state subsidy amounted to fully
100000; reckoned in one way, this
subsidy was equivalent to q dividend
Of eight TO ten per cent. on the CAPT
tai invested IN building the factories;
reckoned IN another way, the state
paid the whole Of the wages of these
$1,000 workmen. who would surely
not receive more than S2.000,000 in
wages. Gentlemen. would not any
industry. textile or other, under SINH
lar conditions have expanded to q
similar extent? And yet there follow
ed the great sugar bankruptcies, and
heavy losses on realisable property,
both to the state treasury and to PR
yate individuals: there were thOus-
ands Of wOrkmen thrown on the
streets-as to whose fate the specu-
lative element in the industry pays
little heed; there were accumulated
stocks, and miserably low prices; in
short, there was the crisis which still
lasts. and which has assumed a yet
broader basis. When people say:
Oh. but we have exported such and
such & quantity is that the ques-
ton IN point? The real question is
whether this export has been done at
profit or at a loss, and If at the
latter, since when has it been held
that the heaviness of the weight sold
Is desirable element in loss? Would
to God that not a pound Of sugar had
been exported from Germany, if the
result had been a lossl People say
again: But 100000 to $4,000,
600 has been invested in sugar fac
tories : Good Heavens what are
these s20.0O0.000to f25,000,000 worth |
to day. What would the shares in |
these factories fetch on Change? Or |
the increased value Of the sugar es-
tates Is adduced: but how does their 1
value compare with their values on
paper, to-day, when the subsidy Is
still being given7 II these last fctic- /
iOus assets were taken at their real |
value, and If the patient State Treas
ury were TO be quite closed, what 1
would remain Of the brilliantly de I
Yeloped sugar industry Of the in /
dustry which on the whole appears
in a highly satisfactory state &c, /
&c No, l cannot discern the small |
est gain to our country, nor any 4
reason to maintain the present state /
of things The profit of this system
can only be reaped by England 1t |
Is German capital that has enabled |
England to give sugar to her cattle; !
It Is German capital that has so de /
yeloped the English manufacture Of .
sweets that 1t successfully completes /
with the German manufacture IN the /
markets Of the world, and in Germany
itself With the sugar exported TO 4
England q part Of the German con
sumption was exported We pay one /
and a half to two million sterling to /
enable England to consume what 4
would properly be worked up by our
German industry. Gentlemen,
fear that this system has made Us the 1
laughing stock Of our English 4