St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-01-06
DILEMMA ON SUGAR,
Grave Concern Is Felt Over
the Action Of European
Countries.
CABINET DISCUSSES 1T.
Repeal Of the Diffepential
Duties by Congress Is
Wanted.
TROUBLE OVER IMMIGRATION
May Follow if Some Action
Be Not Taken--Special
Message Probable.
TROUBLE OVER IMMIGRATION

WASHINGTON, Jan. 5.-The protest OF
Austria against the American dlScrilnl-
hating duty on sugar fixed by the state
department yesterday, experimenting
as it does similar action by Germany, is
giving the administration grave con-
Germ. An evidence of this was con-
ference today lasting about an hour be-
tween Secretary Gresham, Secretary
Carlisle and Attorney General Olney.
Secretary Gresham is concerned IN the
subject from diplomatic point OF view;
Secretary Carlisle is interested Ill the
effect of possible retaliation upon the
revenues of the government, and upon
Attorney General Olney devolveS the
duty of giving an opinion as TO the le-
Eaity of any proposed move by this
government The protest of the Aus
lrian minister undertakes to show III the
first place that the imposition of the diff
Eerential duty of One-tenth OF one cent
per pound OH American sugar is in Vio-
iation Of article 5, of the treaty of 1890,
between the United States and Austria
Hungary. Then 1t is asserted that the
exchange of notes preceding the recip-
rocity agreement under the Mckinley
act established a new basis of CONNER
clal relations, and that AuStro- Hungary
conceded to the United States the same
reduction of duties that it granted to
other countries. under what is known as
1.-The most
Favored Nation Clause.3
The Austrian minister also shows that
payment of bounty upon sugar pro-
duced in Austria is not the act of
the imperial government, but is
entirely provincial affair, and so COR
responds to the independent action Of
any Of our states.
Inasmuch as the bounty system of
Austria differs from Germany, it was
contended that the same construction
which put the differential tariff On Ger
man sugar did not apply to the Austrian
sugar But when this question came
formally before Secretary Carlisle, upon
an inquiry from the collector of customs
at Baltimore. the secretary disposed Of
the contention in these words, in a let
ter dated Aug. 81 last:
1.-The department is in receipt of
your letter of the 18th inst, in which
you request to be informed what coun-
tries granted direct or indirect bountieS
ON sugar. In reply have stated that
Germany and Austria Aungary grant
by law direct bOuntieS OH sugar, and
that under the operation Of the laws of
France, Belgium. Denmark and the
Netherlands providing for remission
of internal revenue taxes Oh beets used
i'll the production of exported sugar in
direct bOuntieS may apparently be
earned by the exporters. Respectfully,
~. q, CARLISLE, Secretary"
This letter not only disposed of Ger
many and Austria, but also held subject
to the additional tax sugars coming
from four other European countries. 1t
may be more than a coincidence that
each OF these four countries has begun
the application Of restrictions upon the
importation Of American cattle or other
food products. The whole situation is
made more grave by the belief which is
entertained by the administration that
it is we'll nigh hopeless TO appeal to COLI
gress for aid. If it is finally held by
the administration that the sugar duty
is a discriminating duty, then there
probably will be another appeal 10 con-
KreSS 10 repeal II, Out IL III IS Helu W Ue
fair tax, and not in contravention of
favored nations clause, the case pro-
badly will be one requiring simple eX-
eCutiYe action.
Fhe Figures Collected
by the treasury department bearing on
the subject show that during the past
fiscal year the imports of beet root su
gar into the United States from Europe
amounted III value to $l5, 79i, 900. Ger
many stands first in the list with SILL
063, 600, Belgium comes second with
81, 357, 900. Austria third with LAP, 795,
France fourth with S422, 042, and the
Netherlands fifth with $33S, 722. All of
this sugar came into tue United States
last year duty free, and it is c0ntended
that the effect Of the ditferential of ONE
tenth of q cent per pound, i'll addition
to the duty of 40 per cent levied on all
sugar, will be to prohibit the traffic.
There are. it is learned, other disturb
Ing elements entering into our relation
with these continental European pow
ers which undoubtedly nave had the
effect TO stimulate the retaliatory policy