The herald., 1896-07-08
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WALL STREET SPECULATION
The Prussian Government and the Sugar
Bounty
A Condition by No Means Encouraging, but
the Sugar Beet Growers Have Their
Way for the Time Being

A. T.. Tennille, the Washington cores
pondent of the New England Grocer.
writes to his paper concerning the German
beet sugar industry as follows:
From the time when the Prussian gov
ernment began the systematic encourage
ment of the beet sugar industry down to
1887. the tax on sugar for home consump-
ton was calculated upon the amount of
beets worked up by each separate factory.
1t being assumed that the quantity OF
roots required to produce a given weight
of sugar would be uniform and invariable.
The proportion adopted was twenty units
of raw beet root to one unit of sugar, which
at the time when the law was enacted
was approximately correct. But under
the stimulus of the export bounties pro-
vided by the same law, the German beet
growers and sugar makers worked hard
and intellgently to improve and increase
their product. By careful selection and
cultivation the beets were so improved that
from twelve to fourteen tons of roots would
yield ton of sugar Great advance was
also made in the machinery and processes
employed in the sugar factories, so that,
as final result, the German government,
which paid nearly twelve cents per cwt.
bounty on all sugar exported, and charged
a tax of the same amount on all sugar for
home consumption that could be made
export bounties completely absorbed the
entire revenue derived from the sugar
taXi .,.,
come apparent as early as 1869, and an at
tempt was made at that time to revise the
law, but the sugar producing interest was
during the sugar season of 1S66-67, the gov
ernment was paying about SLY bounty on
each 224 pounds Of sugar exported to for
elgn countries. This was more than the
imperial treasury could we'll withstand, and
the export bounty was reduced to 59.5 cents
per 2A pounds-a little more than u of 4
Sugar growing still continued to be the
most profitable form of culture for Ger
man farmers; the area Of cultivation and
number OF sugar factories continued to
increase; loud complaints were heard
against system that favored one class
and an m he IN 5na enee e
reduced the sugar bounty by half, that is
to 29.7 cents per 224 pounds, and decreed
the S1st of July, 1897, provided that in the
mean time Austria, France and other
bounty-paying countries should likewise
reduce their bounties on exported sugar.
Several attempts have been made to reach
such an international agreement but with
out successful results, and under cover
ton or abolition of bounties. the German
Agrarians have rallied and secured the
adoption Of the present law which restores
the export bounty of 1S87-59.5 cents per 224
pounds, and raise the tax on sugar for
home consumption from s4.2S to s4.99 per 224
pounds, or about 90 cents per English
be added to the retail price of sugar. al
ready very high. and tend to still further
retard the increase of sugar consumption
In Germany, which is now only 2S.8 pounds
per capita, against 1888 pounds per capita
In England and n pounds in the United
States. This low rate of consumption will
not appear unnatural when it is remember
ed how large percentage of the working
Glasses in Germany must live with the ut
most economy, and that sugar which sells
in the United States for and cents per
pound, costs at retail ~ cents per pound
in Germany.
From the statistics that were brought
out in the recent debate, it appears that
manufacture in Germany has reached a
higher standard of scientific perfection
than has been attained in any other Euro
pean country. Every step. from the prep
aration and fertilization of the land to the
smallest detail in the factory process, has
been reduced as nearly as possible to exact
scientific methods Comparing the results
attained in this country with those of
France, the country probably next in rank
In respect to the perfection of it's beet
sugar industry the following exhibit is pre-
sented:
Campaign 1s95-96-Factories operated in
Germany, 397; in France, 355. Area of beets
planted, in Germany. S74,1!4 hect.: IN
France. 200. .O93 hect. Beets harvested, in
Germany, 11,672 900 tons; in France. 5.411-
Germany, 1925 per cent; in France. 12 per
cent. Beets required for unit sugar, in
Germany 7.25 units: in France. S.08 units
"All these statistics were cited to prove
that the German sugar producers are safe
from all European competition, and do not
need the protection of an increased export
bounty but nothing would withstand the
demand of the Agrarians. and their VIC
tory Is one of the most significant events
in recent German legislation"