The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1901-08-22
SUGAR TARIFF REVISION
CONGRESS SURE TO TAKE SOME
ACTION,
The Trust Increases It's Stock Fifteen
Million and Reaches Out for
Cuba.

1t is announced that at a meeting of
stockholders, common and preferred, of
American sugar refining company, to
be held on September Is next, a propo-
sition will be made for an increase of
$4,000, 900 of new stock, one-half COM
mon and the other half preferred. a
circular letter proposing the new issue
is in the printers hands, and will he
issued to the 1000 stockholders in a
day or two. The meeting of the board
of directors at which the issue of the
circular was approved, President
Havemeyer when asked about the cir
cular, expressed surprise that the news
had become public. He denied the ru-
NOR current that the money derived
from the new stock was = be used to
acquire properties of competitors of the
American suTar refining company. He
intimated that his company had in
mind operations in fields outside of
the United States and not far from our
shores"
The extension of the business of the
sugar trust into Cuba and Porto Rico
implied" by H. o. Havemeyer will
probably have a far-reaching effect on
the sugar-growing industry in this
country. The possibilities of Cuba in
sugar production are practically un-
limited" said Mr.. Havemeyer. "At
present the production of the world is
about two-thirds beet sugar to one
third cane, which is a result of the cut
ting down of Cuba's production during
the Spanish war. Conditions are ripe
there now for a resumption and in
crease of that former production. What
we want is to get the raw material into
this country, and when we have such
a country as Cuba next door, within
easy reach, why not utilize it? A
duty of half a cent on the refined sugar
would protect the people here. 1t is not
possible under present conditions to
place a duty on imports from Porto
Rico, but the production of Porto Rico
anyway is limited compared to that Of
Cuba. That duty of half a cent would
more than even things up. You want
to have SUGAR grown where the condi-
tons are the best for it. There is no
place where they are better than in
Cuba. There is no discrimination
against one part of the country rather
than another. You wouldn't want to
protect the growing of sugar in Fifth
avenue or Hoboken. 1t must be grown
where it grows best"
The possible effect on the sugar grow
ers of this country might be, it was
limited, to drive them more into the
possible development of the Cuban SUI
gar production would be far-reaching
in it's effect on some of the southern
states.
The recommended increase of $15,000,-
600 in the capital stock of the American
sugar refining company caused a good
deal of discussion in lower Wall street,
1t is considered by sugar brokers and
importers from the commercial stand
M nf Hh.aNr t1sin 10, HgrIIts TO- ffaf
ON prices of raw and refined when the
American sugar refining company
should enter Cuba as a large producer
of cane sugar Thus it was said that
if raw sugar from Porto Rico and Cuba
was admitted to American ports free
of duty, the cost of Cuban sugar laid
down at New York would be, say, 2lac.
which would mean that refined sugar
could be sold at a good profit at 81
cents pound. 1t was this that inter
ested sugar men more than any posi-
BILE effect the proposed increase would
have on the market value of the stock.
That there will be some kind of a
readjustment of the sugar tariff as it
affects Cuba and Porto Rico sugars is
generally admitted. The beet sugar
raisers of this country, it was said, are
not in favor of any radical reduction
of the duty on raw sugar, even if a
be put on refined sugar, for with cane
sugar selling at2A cents, the price for
beet would have to to be correspond
ingly reduced, and at best only a fair
profit is now made by beet growers at
present prices. 1t was said that all of
the large sugar men are already more
or less personally interested in the
raising of sugar in Cuba. Mr.. Have
meyer and the Howell interests are
known to be largely interested in SUI
gar ventures there. AS to the produce
ton of cane sugar, it was said that the
island has already raised as much as
100000 tons. and that the production
would be soon increased to 100000
tons. or more than double the consump-
ton of the United States.
The published interview in which
President-Havemeye of the American
sugar REFINING company announces
what Legislation the next Congress is
expected to pass on the sugar question
is of interest more for what it, over
looks, says a Washington dispatch to
the New York Evening Post, than for
what il comprehends. Mr. Havemeyer
treats Porto Rican raw sugar as if il
could be admitted free only by legisla-
ton. whereas it is the purpose of the
president in a few days to sweep away
all tariff barriers between Porto Rico
ana tne rest OF the united states ana
Congress will hardly venture to pick
out single one and set it up again.
As to Cuban sugars, both the cane
growers and the beet growers will re-
sist to the last extremity their admis-
sion free. The section of the Dingley
act authorizing regular reciprocity
treaties has expired by Limitation, and
the section authorizing reciprocity in
certain products without the formality
of ratification by the Senate does not
include sugar in the list. The next
Congress is likely to walk very care
fully i'm any matter where favors to
the trusts might be expected What
Mr.. Havemeyers company might do is !
10 set up refineries in Cuba and Porto |
Rico, and conduct their campaign from |
there, with the ultimate view of annex |
alton and free trade. Beyond that, ii |
IS questionable if it can expect help |
from Congress on the very eve of an |
other general election.-Springfield Re-