The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1891-03-27

NEW YORK, March 26-The Times has
tbe foIloyin.: 1.-The unsettled condition
of the sugar market in view OF the TACT
that the new sugar tariff goes into effect
April l, has been the cause OF some very
wild stories as to what the barons OF the
sugar trust are engaged in at present. The
details of the startling scheme which the
trust was reported to be about TO carry
through were given to the pubic yester-
day by morning paper, a scheme WHICH,
however, proves TO be absolutely lmpos-
sible as well as illegal.
1.-The price of sugar after April l Will at
once drop TO AZ cents IN consequence OF
the removal of the duty on raw material
Of certain quality. Meanwhile the trust
has overestimated the supply which would
be needed during the month of March,
when of course the products or the duty
paid material will have to be used ana the
price will remain above q 6cents-
Consequently about two weeks ago
they found themselves wit h nearly 100000
barrels of refined sugar on hand more than
would be needed 10 supply the market be-
fore April /. This sugar had been made
from duty paid material and must oe sold
at cents or more to save great loss. Large
shipments TO foreign markets were natur-
ally the result of this state OF things, and
here comes the OASIS OF Jne SenSaIlondi
story of yesterday.
"All exported sugar manufactured from
imported materials are allowed a draw
back of 21@ cents a pound, which IS sup
posed to make up for the duties paid on
The raw material. 1t was at once con
Guided that the large shipments abroad
were nothing more or less than conslgn-
ments of sugar upon which the drawbacks
of 25 cents pound was to be collected
from the government
after the new tariff went into effect
nnder which sugars of certain grades are
TO be free, the astute 'barons' OF the
trust intended of course, to relmport the
sugar on which they had already received
the above 213 cents pound, IN drawback,
and sell il at the new price of Al cents,
thus covering the loss which had threat
ened them.
.'The backbone of this neat little theory
was, however very quickly extracted yes
terday by men who are familiar with the
law as far as the sugar trade IS concerned.
Chief Clerk of Customs Joseph j. Couch
smiled knowingly when the matter was
brought to his attention and turned to the
law on the subject. He then quoted the
following provision as to what IS on the
free list: Articles the growth, produce
and manufacture of the United States
when returned after having been exported
without having been advanced in value OF
improved in condition by any process OF
manufacture or other means; provided
that this paragraph shall not apply to any
article upon which an allowance of draw
back has been made-the reimportation OF
which is hereby prohibited except upon
payment of duties equal to the drawbacks
allowed or to any article manufactured IN
BONDED warehouses and exported under
any provision of law.
"1his would, of course, prevent any
such attempt on the part of the retineries
here as had been indicated. \ very widely
prevalent feeling OF dissatisfaction exist:
among the jobbers of the sugar trade IL
consequence of the way in which the mem
bers Of the trust hoodwinked them at the
beginning of this month. 1t was ther
said that the refinery price would be main
tanned at least Ga cents pound through
out the month. At the same time hint
was thrown out that the price might risl
to 40 even. But few days after mos
of the jobbing firms had loaded up at o9.
the refneries dropped To Ga, and now |,
o.. Between $1,000 and 10000 barrels
have also been shipped abroad by the re
ineries."