The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-08-30
THE PRICES OF SUGAR
TRUST PROMPTLY ADVANCES BATES
UNDER THE NEW TARIFF.
Consumers Already Get Five Pounds
Less for n DoI1ar-Conditions In
dicating Further Decrease

In big black type the Sentinel OF yester-
day morning declared that sugar is 5s
cents less per 100 pounds than il was n
year ago." The Sentinel was nearer cor
rect than usual when il speaks Of such
matters. Aug. q. 1898. the jobbers' price
Of granulated sugar in this city was $50
a hundred pounds. Yesterday the price
was S435. or "a cents less a hundred. The
Sentinel. or the person who furnished il
with its figures. selected a date last year
when sugar was high because the crop
was short and the stock was controlled
by spectators.
The Journal has obtained from the most
reliable sources-the Troublesome figures
which expose the duplicity OF the Sentinel
and make it evident that it was attempt
ing to humbug its readers. Jan. ?. 1894.
the price of the American Refining Com
pany. which is the official name Of the
American Sugar Trust. for granulated
sugar in New York was 81 a hundred. and
the trusts agent in this city delivered il
to iobbers or wholesale dealers here for
$AS5. After that there was a slight adj
vance. but again June 1 the price was 81
in New York and s4.S5 here. At that date
it was known to the trust that its bill
would become a law. and the price was
gradually advanced until yesterday the
New York price was So and the Indianapo-
lis price $5.35, an advance of 81 on each
one hundred pounds. That is an advance
of % per cent. to the trust in New York
a very good start.
There is no reason for this advance ex-
cept the imposition Of the duty Of 40 per
cent. on raw sugar. And that reason is
only a pretext, since the raw sugar from
which the graduated is made cost the re-
filming trust nc more in January and May
than did that of which the present $ gran
ulated is made. Moreover the trust has
enough sugar In Its warehouses which was
to p sunn1v wi tbe cou nne ~ l per s Sent, or as siy
months. The trust has the matter in its
own hands. 1t could keep the price of sugar
where IL was June L II II desired, but II
being worth 40 per cent. more by manipu-
lation. because all sugar imported now
must pay that duty, IL can advance the
price of granulated sugar 40 per cent.
above the June price. of "a per hundred.
which would make the New York price
$500 and the Indianapolis price $685..
II do not think" said a dealer, yester-
sugar much 1nai abe above erS SIS cam a huhPd dr gr say tnst
the price of raw sugar is 50; add a 40 per
cent. duty and the price would be $40. Tn
diferential duty 12h cents, or 62ie cents.
which added to $i.2O makes $.s212 The
would not only be a large pro1t. but any
advance would invite Germany and France
20 import refined sugar. which would pre-
But you forget" said a listener, that
the duty, on refined sugar is also 40 per
cent. and the foreign importer must pay
40 per cent. ad valorem upon the price or
refined sugar. If the price of refined sugar
is 81 per hundred at the port OF New Iorh
before the duty is paid it Will be worth
$500 when the duty is added. To this must
be added the differential duty of f2la cents
a hundred. making 1ne price of the inn
ported $5.7212. Therefore the trust can safe
Of foreign campetition. and even above
that inquire. as not enough sugar Is now
4 he SHARED nv other nAIlOnE 10 mAferiallV
affect the trusts price"
If $50 is the limit at the present price OF
raw sugars TO which the trust can safely
push the price, S6O5 would be the Indian
apolis price, and that price would be over
80 per cent. over the price OF June !. 1881;
1t remains with the trust whether IL Will
make a further advance or be satisfied at
the present with % per cent. on the New
York price.
If the Sentinel had been seeking for facts
TO present to it's readers. IL would have
gone to any reputable retailer of sugar and
learned that during May and a part OF
June the trade sold twenty-five pounds OF
graduated sugar for 81, whereas it is now
selling but seventeen pounds for that
money. Twenty-Five pounds for a dollar Is
Asa cents a pound and seventel n pounds
for a dollar is SIS cents a p~ound-an in
crease of LA cents a pound, and an in
crease of 1.34 cents on 454 cents is 9.3 per
cent. That is, the increase since May to
the consumer OF graduated sugar who buys
a dollars worth at a time.
At the rate that sugar is advancing some
retailers are asking a dollar for sixteen
pounds, and several leading retailers told
the Journal yesterday that before Septem-
Der is through they expected that would be
the retail price. Sixteen pounds for a dol
lar means 6.25 cents a pound, or LII cents
a pound more than the May price-an ad-
vance of 1896 per cent?
How many sugar consumers understand
the grasp which the Sugar Trust has on
the trade? Do they know that the retailer
who sells a barrel of sugar a month In In
dianapolis must march TO the orders of the
trust or go out of the sugar business? Such
is the case. 1t has an agent and a stock in
this city, which Is sold TO wholesalers.
There is one price for all. and all must sell
at a certain figure named by the trust-that
is, not below a certain figure. All the job
bers or wholesalers in Indiana must sell at
the price given them by the secretary OF
the Indiana association. which Is given him
by the trust in New York. IL a iobber
should sell a barrel of sugar a fraction or
a cent below the trust price. he could be
expelled from the association and the trust
would not furnish him another pound OF
sugar.
And so with the retailers. An of them
who do business in indianapolis must sell
at the price named by the association. Aug.
9 that agents circular made the price severn
teen pounds of graduated sugar Tor a doi-
lar. If any retailer should advertise to
give eighteen pounds for a dollar, he could
not get another barrel to retail. One deal
er, TO win trade. announced twenty pounds
for a dollar. and so sold IL. When he went
for another stock he could not buy a bar
rel in any city.
like rebelling against the tyranny of the
trust, but when they had considered the
matter they thought IL better 20 continue
to sell sugar than not TO have any TO sell.
Under the present regulation. Jobbers are
sure of a mall profit and retailers are
equally certain Of the same. Before this
ARRANGEMENT jobbers and retailers rarely
made any profit In sugar, unless the latter
did so by selling less than sixteen ounces
to the pound.
The American granulated sugar is the
best in the world, and has been so for
wears. The rehneries OF Germany and Eng.
land do not make so fine graduated sugar
as does the trust or as did the trust com
petitors before they were gobbled up.