The times., 1898-08-08
A SUGAR AND COFFEE WAR.
How the Trust Is Said to BE Eating
the ArbuclIes

How the Trust Is Said to BE Eating
the Arbuckles.
1t is the belief of many of the fnan
cial people and others who have watched
the career of the great Sugar Trust that
it will soon score another victory-per-
haps one of the most important in all its
history. There are indications, it is said,
that the long fight against the Arbuckles
coffee concern may result in it's utter de-
feat and the most absolute supremacy
yet for the Havemeyer concern.
The Sugar Trust is rapidly complet-
ing a series of buildings in Williamsburg,
Greater New York. which will consti-
tute the largest coffee roasting plant in
this country. These buildings are to be
utilized In the manufacture Of an enor-
nous quantity of roasted coffee, and the
trust is to sell the coffee at a figure
which will give no profit. but which will
be a positive loss. The Arbuckles must
meet the price or go out of business. All
through the year the work of building
the new structures and adapting the old
ones that form the group has been in
progress, but not until Saturday did the
secret of the extensive and closely guard
led operations leak out.
The plant comprises three buildings.
They occupy the entire block in Will
Hamsburg bounded by River Street.
North Second and North Third Streets
fnd the East River. Two OF these build
ings are new. One is four stories high.
about eighty feet deep and fifty feet
wide. II will be the roasting house. The
other is a power house The third build
ing is eight stories high, and was for
merly sugar refinery. 1t has undergone
extensive alterations TO fit it for the pur-
pose of what is called a package house
in a coffee roasting plant.
In addition the Sugar Trust has built
an immense pier on the property.
The roasting house will be equipped
with twenty-five roasting machines. They
are not yet in place, but the building
seems otherwise complete.
The plant will be operated by the
American Coffee Company, the leading
members of which are the magnates of
the American Sugar Refining Company,
otherwise known as the Sugar Trust.
They are the same magnates-Have-
meyer, Searles, Parsons and the like
who are associated in the Woolson Spice
Company, and the same policy, that of
cutting prices on coffee in order to en-
barrass if not ruin the Arbuckles, which
has actuated the Woolson Spice Company
since the Sugar Trust got hold of 1t, will
be followed by the American Coffee Com
pany.
The Arbuckles 1t will be remembered
announced about two years ago that they
would erect and operate sugar refinery
in Brooklyn for themselves in order to be
ind ~ r.
as that refinery was started the
Sugar Trust bought the Woolson Spice
Company and instituted the coffee war
that has ever since been raging. 1t is es-
tirnated that at little or no expense to
them the Sugar Trust has thus caused
the Arbuckles TO lose over 81, 600 600.
The Sugar Trust at present has no mill
in this section of the country, the plant
Of the Woolson Spice Company being in
Toledo. O. When the Williamsburg plant
is completed, which is likely to be in time
for operation by October, the trust will
be in a position to make the fight with
the Arbuckles one of the most exciting
in the history of commercial rivalry.
The beginning of the fiercest battle be-
tween the Sugar Trust and the Arbuckles
was at the preliminary skirmish over
the war revenue bill two months ago.
The story of this struggle is nos yet
told fully, but already ii is far enough
advanced to afford some idea of the prob
able results.
When ii became evident that there
might be a tax on coffee the Arbuckles
bought supply large enough to last
them a year This was raw coffee, OF
course The Arbuckies were of the opin-
ion that the tax would DE on the raw
berry. The immense purchases of cof-
fee made by them and the probability
thar the raw coffee would be taxed caus-
ed the price 10 60 up several cents a
pound The Arbuckles themselves were
obliged TO pay a large price, more than
they had paid in several years.
After they had purchased an their sup
ply for a year or more, the Sugar Trust
came to Washington. II is not stated
what arguments were used with the leg
islators here, but there was no tax put
on raw coffee. 1t is supposed that the
Sugar people said TO the legislators that
evidently there would be very little mon
ey to be gotten out of taxing raw cof-
fee for the good reason that the Ar
buckles had already purthasad their sup
ply in advance. The Sugar people had
no. laid in any extra supply.
The price of raw coffee went down sew
eral cents Immediately when the war rev.
enue bill was passed, with nothing of q
coffee tax visible. This put the Arbuckles
at once at great disadvantage with the
sugar people The Sugar Trust bought
its raw coffee and is still buying il at q
low price The trust will, it Is said, sell
its coffee at price where it can simply
come out whole. and despite the Ar
buckles old and tried methods and ma
chinery, their rivals expect that they viii
be obliged to sell at loss to save any
trade.
In the sugar business the trust is pur'
suing the same methods. The price OF
sugar is low and it will be lower. WITT
its control of the field and its thorough
understanding of the business, the trus
is now manufacturing sugar at price
where it is not losing any money, bu
where the Arbuckles to compete mus
lose on every pound If the talk of th'
street is true.
The end of this cannot be long delayed
unless something unforeseen should hap
pen Agreeably to its old reputed meth
ods the trust is said TO intend TO keel
up the game sf ruinous competition unti
the Arbuckles' capital has been exhaust
ed and its plant and good will absorbed
by the great octopus of industry.
GARCIA'S CAMPAIGN.