The copper country evening news. [volume] (Calumet, Mich.) 18??-1907, 1897-05-17
'IBETALK ABOUT SUGAR
Gossip About the Tariff Rate
ard the Trust.
MANY WAYS OF MAKING PROFITS.
senatorial Speculation In sugar-Compe-
tition Of German Growers-A Great
Stake For the American Farmers to
Strive Fora Nation of sugar Eaters.


Strive Fora Nation of Sugar Eaters.
WASHINGTON, May Id Special. Sugar
Is now the chief topic of conversation at
the national capital. Will the Sugar trust
be able to hold the advantage which 1t
gained in the finance committees revision
of the tariff bill, or can 1t be compelled to
let go? This is the question. That the
trust has powerful friends in the senate is
not TO be denied but the men who wish to
reduce the profits of that great corporation
appear TO he in the majority, and the out
look is that they will carry the day. The
advantage which the trust gets in the sugar
schedule Is not in the amount OF direct
duty levied. 1t lies in what is called the
differential-that is, the difference between
the rate of duty on raw sugar and refined
sugar.
: Under the present law this difference Is
one eighth of cent pound, and with
that slight advantage the trust has been
able to continue paying IL per cent diyi-
dends upon its watered stock. Besides the
| one-eighth of u cent nominal advantage, In
| the practical operation of the law there Is
| another source of trust profits, Tor III Is
well known that with an al valorem rate
! of duty the shrewd operators of the trust
are able to import vast quantities of raw
! sugar at undervaluations If consign-
ment Of sugar is not valued properly OF
course the importer gains just so much in
the amount of duty paid and the govern
ment loses the revenue. For this reason
the house in its bill made the duty specific.
| That was the only way TO cut of the un-
| dervaluations. The senate COMMITTEES, how
ever increases the amount of diiferential
and also makes the duty both specific and
ad valorem.
Just what the differential will figure
out in practice, if the senate revision be
made law, no one appears to know. The
| experts do not agree. But the difference
between the duties on raw and refined sug-
ars cannot be- less than three-eighths of a
cent pound, and some estimate 1t as high
as flve-eighths Whatever it is, evidence
accumulates that the figures made 10y the
finance committee are practically what the
representatives of the trust asked for. The
best guide to the value of the proposed
rates of duty to tho trust is found in this
fact, and also in the effect which the pub
LEGATION of the new schedule had upon the
price of sugar shares in Wall street.
Senatorial Speculation.
There has been great deal of gossip
about senatorial speculation in sugar.
TithouG doubt some senators did buy sug-
Ia. "res in Wall street and sold them out
at IT. But il is not a crime for SEN
ators l.. -culate in sugar. There is no
law acail. except the law of propriety.
| doubt If there has been much specula-
ton this year, perhaps not tenth part of
what there was when the Wilson bill was
revised in the senate three years ago. The
scandal created by that orgy of specula-
ton inculcated in senators minds whole
some fear of public opinion. There is talk
| of q senatorial investigation concerning
the charges of speculation, but it is gener-
| ally doubted If the senate will notice the
matter in any official way.
In addition to the favorable rates of duty
| in the sugar schedule the trust was able
to work into the finance committee's re-
vision of the bill clause abrogating GER
tain parts of the treaty between this coun-
try and Hawaii. Under the treaty sugar
grown in the Hawaiian islands is admit
ted to the United States free of duty. In
asmuch as about all the product of the is
lands is taken by the Spreckels and other
Pacific coast refneries, rivals OF the New
York concern, the latter wanted to compel
Hawaiian sugars to pay duty on importa-
ton to this country. If they could sue
|
. vital part of the treaty through congress,
the eastern trust would consider that it
had made big stroke. But the sentiment
in congress is decidedly against this pro-
ceeding.
Sugar From Germany.
One argument used by the Sugar trust
people is that while they may have been
largely i'm control of the market for some
! years past the price of sugar to consumers
has gone steadily downward. In support
of this they quote the following prices OF
refined sugars for the years named: In
1879, S.7S cents; in 1889, $50; in 1896,
4.53, and now, f.. 10. While these figures
are no doubt substantially correct sugar
experts tell me the reduction in price Is
, due wholly to the competition of German
sugar growers and not to any desire on the
part of the trust to make this article OF
household necessity cheaper for the people.
In recent years the production of beet
sugar in Europe has increased more than
5000, 900 tons, and this vast output has
: had to find market Germany, France
| and Austria now pay an export bounty on
sugar, and the price of sugar in this coun-
: try is really regulated in Europe, not by
the Sugar trust in New York. If it were
not for the trust, no one doubts that sugar
J would be Oh reaper than it is in our markets.
Beet Sugar.
Just at this time sugar appears to be a
} leading topic of consideration in all branch
es of the government Congress has wal
over the schedules on its hands, and the
agricultural department is trying tointro'
duce the growing of beet sugar among our
farmers on u large scale Secretary VII
son has sent out beet sugar seeds TO about
10000 farmers, and he is now following
this up by putting in the field experts
whose duty it Is to gather facts which may
guide capitalists in locating beet sugar fac
J tories. Practically all of the farming re-
gion in the great middle part of the coun.
, try, from Alabama northward, Is believed
to be available for growing beet sugar.
, Secretary Wilson, who is hard headed,
, practical Scotchman, predicts that in five
, years this country will produce half the
sugar 1t consumes.
What great stake this Is for the farm
ers of America TO strive for may be judged
by the figures. Our average importation
L n