Evening star., 1902-08-26
CRITICISM OF W|TTE
Finance Minister Surprises
Russian People.
LAST NOTE ON SUGAR
THREATENS TO ABROGATE
TREATIES IF PRESSED.
ox,.s1 u.
Countries Which Discriminate Against
Russia's Product Will Meet With
Retaliatory Measures.

| correspondence VI Tue Associated preSS.
| ST. PETERSBURG, Saturday, August O.
The last note of NJ. Witte, the Russion minis
ter of finance, to the foreign press on the sugar
question has not been published in Russia.
Among those Russians who have read it in
! foreign newspapers it appears to have caus-
ed unbounded astonishment. NJ. Whites
| conviction that in this question the powers
| will be guided by their interests and not
| by what is right and his threat in case
any increase of duties is enforced against
Russian sugar, that the Russian govern
ment will consider itself free to disregard
treaty stipulations when it thinks fit along
with the system Of guerrilla tariff warfare
| he laid down, are considered as out-witting
| even the Russian finance minister,
The Russian critics of NJ. Witte point out
that as the sugar convention will become
effective after the expiration of most of
the Russian commercial treaties. the finance
| ministry will be wise not to take general
| measures against the powers collectively,
but to adopt measures which will be the
| most advantageous for Russia in the special
circumstances of each case They also
point out that about a year ago NJ. Witte
was Illuminating threats of what he would
do in case Germany carried out her tariff
policy. threats of which nothing more has
been heard.
Subject of Lively Interest.
Always subject of lively interest, NJ.
Witte and his financial system and policy
have lately more than ever engaged the
serious attention of Russian economists
and of affairs generally. They are
filled with unconceaied misgvings when
they consider the situation of the country
after ten years of his administration, and
1t is expressing matters mildly to say that
the possibility of his plunging the country
into series of commercial conflicts has
caused downright alarm in wide circles of
the Russian public. The anxiety from this
source would be intensified if it We're not
suspected that NJ. Witte is indulging In a
bit of bluff.
Since NJ. Witte procured the closing of
the Imperial Free Economical Society. after
over 100 years of honored activity, his crit
les have been largely silenced, except in
private conversation and in foreign pubica-
tons. Lately, however, they have taken
courage.
The last formal onslaught is made in the
Preusssche Jahrbuchen by Paul Rohrbach,
who uses Russian materials and cites Rus
sian authors Mr.. Rohrbach summarizes
his results as follows:
q. The balance of trade is absolutely de-
pendent on the grain export. Such eXporta-
ton should not exist at all. 1t is mpossi-
ble permanently to maintain this system,
which habitually forces a very large part
of the population to go hungry. Signs that
the bounds of endurance have been over
passed begin to heap up, such as disease,
abnormal mortality and peasant revolts.
Unwise Industrial Scheme.
90 NJ. Whites scheme of industrial de-
velopment is unwise. The human factors
and other essential conditions are too I'M
favorable for export trade, while the
high tariff and crushing taxes prevent the
development of the domestic market. a
crisis already lasting several years is the
result.
''3. The introduction of the gold standard
was, in these circumstances, a most daring
experiment. The immense loans Russia has
made and is striving to make would have
no bad effects if there was prospect of
the export trade being increased. There is
no such prospect. The grain export dis
trict is not large, comprising mainly the
northwest and Turkestan require more
ever, in the black earth district the soil
that without improved methods, which de-
mand a more highly educated people. no
increase of productivity is possible. The
falling off in yield per acre has hitherto
been, in part, compensated by the extension
of the railroad system. There remains,
however, considerable tillable land to
be brought within range of the export har-
bors. Aside from its distance from the
worlds markets, Siberia contains little till
able land, and 1t has been largely settled
already Moreover cotton-growing Tur-
kestan will require great deal Of Siberian
grain"