The morning news. [volume] (Savannah, Ga.) 1887-1900, 1895-10-13
THE SUGAR TRUSTS DEAL.
some Kicking by Wholesalers, But
Not Much of IL.


The report in yesterdays Morning News
OF the action Of the sugar trust in taking
entire control of the sugar market by
fixing price to all consumers and for that
purpose making the wholesalers simply
their commission agents. requiring them
to sell at the figures quoted by the trust.
was read with general interest and was
the subject Of much discussion.
There is some kicking. but the large
wholesalers seemed to be satisfied with
the situation. 1t puts an end to rebates
and rate cutting in sugar. Every mer-
chant knows exactly what every other
merchants sugar costs him and what fig
ure he is allowed to sell at.
Sugar is now quoted in the Morning
News at refners' prices. with the state
ment simply that Savannah prices are
Is cents higher than refners prices. This,
a prominent wholesale dealer informed a
Morning News reporter yesterday, means
that the wholesale dealer is allowed
profit of 80 cents barrel When it is con-
sidered that the buyer is compelled TO
buy by the 100 barrels and assume all the
risk of loss on the SALE IT will be seen
that there are no great profits in the SUI
gar business for the wholesalers. Compe-
tition is knocked out cold. because no mat
ter what wholesale dealer the retail mer-
chant buys from, he must pay the same
price for 1t. 1t may also have the effect
Of interfering with the favorite practice
OF many retail grocers of making leading
offers In the way of bargains in sugar.
The plan laid down by the trust for the
sale OF sugars appears rather complicated
at first glance and many people have
failed to grasp it. For the benefit Of the
retail trade throughout Savannah's terri
tory and for that of many wholesalers as
well as the Savannah Wholesale Grocers'
Association has prepared a circular for
distribution, explaining the plan and it's
application. The following extract is TAX
en- from the circular
me equality plan for the sale of re-
nned sugar, means simply uniform de-
liVered selling price to every railroad sta
ton and river point, by which each dealer
IN the same town buys his sugar at the
same price fluctuations excepted) from
any Jobbing market; thus securing to the
wholesale dealer fixed selling price, bas-
ed upon the refiners' cost and. freight, and
at the same time furnishing the retail
added.
Rate books are made up for each state,
containing the names of every railroad
station in such state. Opposite each sta
ton so named are the figures, which, to-
gether with the daily price of sugar. at
TO the trade at that particular town for
that day.
These figures referred to constitute the
rate per 100 pounds on sugar from the
nearest refinery to the station named plus
two points to cover the cost Of the freight
on the wood.
To illustrate, take Abbeville, Ca, the
equality rate for Abbeville is AZ cents
With granulated sugar worth at the re-
finery to-day at 4.Sl, the selling price in Alb
beville would be 4.S1 plus 49, or 5.24, which
would be the laid down price at Abbeville
Now a Savannah salesman's price would
be to the Abbeville trade 5.2i. In billing
out the goods, however, the Savannah
wholesale grocer would have to credit on
the bill the amount of freight on the sugar
sold, from Savannah to Abbeville.
The Macon jobbers' price to the trade
in Abbeville would also be 5.24 and he
would likewise credit on his bin the
amount of freight on the sugar from Macon
to Abbeville.
THE Montgomery jobbers price to the
trade in Abbeyille would also be SPA with
a credit on the bill Of the local freight on
the sugar from Montgomery to Abbevllle.
Thus II will be seen that the Abbeville
dealer would buy his sugar at the same
cost at his depot from either of the three
named jobbing markets.
The real benefit Of the system, lies in
the fact that the selling price for refined
sugar In Abbeville, Ca. Lake City, Fla,
/ Franklin, Tenn, Chester, S. c, or any
other point in the entire territory before
named is the same whether sold from Sa-
vannah, Macon, Montgomery, Jackson
vile, New Orleans. New York or any other
iObbing DOint