The Hawaiian gazette., 1890-05-06
UR SAN FRANCISCO LETTER.
(oontinued from first page,.
The Sugar Tariff.

10th, by the committee on Ways
and Means. At the last moment
the sugar schedule was changed
from the advalorem basis to free
sugar up to No. 16 d. S. and 4-10c.
per Id. above No. Is d. S. Home
producers to receive bounty of &c.
per Id. for fifteen years. The great
Importance of this change, and the
far-reaching results of its applica.
ton can scarcely be comprehended.
We believe that the more this sugar
schedule is analysed, discussed and
criticised the stronger and better it
will appear, and it is not unlikely,
now that the way has been opened
for free sugar at once, by this &C
ton of the Ways and Means COM
mittee, that ''furore" will rapidly
spread all over the country for its
accomplishment. The wedge hav-
ing entered, neither political party
can withdraw it and expect to re-
tain hold on the people. 1t does
not require statesman to see that
both parties should vie with each
other in securing its success, rather
than throw impediments in its way.
We presume that the bill excludes
from it's benefits any country that
should increase its present export
duties.
The bounty is fixed for fifteen
years at &c. per Id. To meet the
objections that will be raised to
this clause on the ground that the
home production may possibly, al
though not probably, increase to
an extent to make this tax bur-
densome, 1t is quite likely that 1T
may be modified somewhat, say to
a twenty years bounty, beginning
with &c. per lb. and reducing 1-1Oc.
per lb. each year until expiration.
This has advantages both for the
people and the producers, and
would no doubt hold good to ma
turity, even under a change of ad-
ministration, as it will be in the
nature of a bond given by the Gov
eminent. After analysing the bill,
it appears to us to have within it
the elements of the following effects:
1t will give the consumer the full
benefit of the duty taken off, say
about &c. per ID. No country can
absorb it by an export tax, and no
country can add it to its price for
raw sugar without combination
of all sugar-producing countries,
which is quite impracticable. The
constantly increasing production
of sugar in the world will favor
competition for market like the
United States. We will continue
to receive cur raw sugar at the
bare cost of production, or as near
to it as we do at present. Such a
tariff will stimulate consumption
largely, thereby increasing the
business of the carrying trade on
sea and land, and the business of
importation and distribution. 1t
will employ to the fullest extent
the refining capacity of the coun-
try, which is now idle to the ex-
tent of thirty per cent on the aver
age of the year. The running of
refneries to fullest capacity means
the cheapening of cost of refining,
which means not only cheap sugar
at home, but also large possibili-
ties of export trade in refined to
Europe, South America and
Australia, making more bust
ness for the carrying trade as
we'll. The protection to refiners of
Aloe. per lb. duty. plus }c. cost of
bringing sugar here, or say a pro-
lection of &c. per h.. would pro-
badly rarely if ever admit of foreign
refined importations, for the reason
already given, that the United
States would probably become large
exporters of refined, and yet the
fact that foreign refined could come
in at that difference would prove
the security of cheap sugar always
for the consumer. Such tariff
Will prove a better restriction to
monopoly than an antitrust bill:
The color limit 10 No. 16 d. S. will
bring in few old-fashioned sugars
for old-fashioned people to use, but
the country is educated to the use
of refined, and will not take a back
track readily, even if such sugars
can be imported at price to COM
pete with refined as produced on
the new basis, which is doubtful.
The bounty, which should be looked
upon as the fair payment made for
the greater saving of free sugar,
should be made sufficiently binding
to satisfy producers of its stability,
and if that is done, sugar-raising in
the United States will be at better
odroo+aro than II wouId ha rndar