New-York tribune., 1901-11-24
GERMANY'S SUGAR TRUST.
REVELATIONS REGARDING AN ALLEGED
SECRET COMBINATION

London, Nov. 23.-The British sugar magnates
assert that their Investigations have revealed
the existence in Germany of great trust called
the "KarteI,'' which has been In existence
about year. and that ii is chiefly owing to its
agency that the price of sugar has been forced
down in England and other countries to the
lowest point in the history OF the industry and
that Germany to-day is enabled to dictate to
the world the price OF that commodity. The
exact extent of the "Kartel' discovered.
they say, only quite recently. The magnitude
Of its operations supplies the missing factors in
the present alarming condition Of the sugar
market.
The abolition Of this organization will be one
Of the CHIEF objects Of the nations other than
Germany attending the forthcoming Brussels
conference. Already British firms have entered
into negotiations with leading American sugar
interests, and tables are now being drawn up
showing the transactions OF the ''Karten" with
view Of submitting them to the authorities at
Washington The British Government will be
urged to empower it's representatives at the
Brussels conference to threaten retaliatory
countervailihg measures unless the "Karteil" is
broken up or. at least modified.
The latest figures available in London show
that Germany now produces third of the
worlds supply OF beet sugar Of which she ex-
ports less than 1.250O00 tons, after COM
pletely supplying her population. These
exports, which are almost one-ffth OF the
worlds available supply. sent out at a loss
to German manufacturers: but, thanks to the
kartell,' plus the bounty. they are able not
only to make up for this. but to reap a hand
some profit. in addition to gaining absolute con-
troll Of the sugar market
The kartell" is run very secretly but from
confidential reports shown to representa-
tive of The Associated Press in London it is
learned that it consists of an ironclad combina-
ton of almost all producers and refiners to keep
up the price of sugar in Germany. This is done
so successfully that the German consumer to-
Gay pays thrice as much for sugar as the Briton
does for the same article imported from Ger
many. Ihe members of the 'kartell' bind them
selves to buy from and sell to only those af-
hliated with the combination. This has worked
SO satisfactorily that the "Kartell' now includes
practically every factor of the sugar interests
IN Germany, from the agricultural producer TO
the refiner. The latter agrees ALWAYS to nav
IL 10 marks a hundredweight for the raw ar
tlce. though natural conditions might ordinarily
allow him to buy three marks cheaper This
however, lnsures permanently high price TO
the consumer The enormous profits conseouent
upon these methods are pooled in the .'Kartel,
and are divided upon elaborate and Ingenious
scale. and the surplus product is disposed of at
a slight loss In other European and American
markets. though even this deficit is often mada
up by the bounty that Germany provides
British sugar authorities are quoted as saw
Ing that the German "kartell' and bounty com
oined VIII within two years ruin the beet and
cane Industry in other countries especially I,
Cuba and the other West Indies.