The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-01-17

The average price of sugar In 1890, be- |
fore the duty was removed, was GIT per
pound. Taking the lowest year, say, 1891, |
it is found that sugar sold at an average
price during that year at cents pound. |
This was under free trade, admitting all
the raw sugars of the world to our mar
kets duty free. Therefore, if the lowest
price a cents) be taken as an average, 1t
will give a guide to go by. in the event
that we ever again return to absolute free
trade. During 1898 the Chino factory pro-
duced 256 pounds of graduated sugar per
ton, and the Norfolk 250 pounds per ton. !
In the new factory at Hueneme produc- |
ton of about 270 pounds is anticipated. !
However, let US take the average as 25O
pounds, which is the product Of one ton
Of beets manufactured into" granulat ted
sugar. If we multiply this figure by four,
| it gives us $40 as the net result from,
given ton of beets manufactured into
granulated sugar at freetrade prices.
There is seven years contract in our
| new factory at Hueneme paying 81 as an
| average price for beets. If we add to this
| the cost of manufacturing these beets
| into sugar, we will find that So would
| cover every expense. Our figures, based
| on averages in our factories located in
! California and Nebraska, show that $2.5O
! per ton covers the actual expenses OF
| manufacturing sugar, and in the new fac
| tory, which is three times as large as
| the Chino factory, we expect to reduce the
| cost below 50; but, for the sake OF con-
servatism, we will place the figures at So.
| Per
| Ton.
| Reets 81. 90
Expense Of working beets into sugar 80. 800
Total $500
Amount realized from the sale of the
product at 4 cents per pound .......... 1000
Net profit, per ton Observation-Disclosures. $500
M foo MI q MAMMA otlT-
ing at least 100000 tons Of beets into
sugar per annum $780, 900 multiplied by So
! would give $780, 900 (this at cents per
pound; at cents per pound, rs per cent
less, $7s0,OO0), as the income to be de-
river under absolute free trade, should
the price of sugar be at the lowest price
prevailing during the yeas when all duty
! was removed from raw sugar.
! "The annexation of the Hawaiian
islands, if anything, is more advantageous
to the home producers than the treaty
conditions of free sugar produced by con-
tract coolie labor. Now, they must manu-
facture sugar under the labor and tariff
laws of the United States, instead of under
the coolie-labor system. 1t is a fact that
the total consumption of sugar in the
United States doubles every fifteen years.
The consumption in 1882 was 1,O6l, 22O
tons, whereas in 1897 the consumption
| was 2,O96, 1858 tons. Total production to-
day in the United States, including Ha-
waiian islands, is only 100000 tons. The
annual increase in consumption Is ABOUT
| 300, 900 tons, which is the average produc-
! ton Of cane and beet sugar In the United
States proper to-day.
No Fear of Competition.
From the above it will be seen that
there is absolutely no fear OF competition
from internal sources for the next quar-
ter of century at least. 1t is difficult,
, without an appearance of egotisrn, to
| suggest that the experience of the Messrs.
i Oxnard and Cutting, covering over eight
wears of labor under varying conditions OF
location and environment, has given them
, | peculiar advantages EXPERIENCES IN the
actual making of sugar from the beet Is
3 a. small part of the knowledge required to
engage successfully in the business. The
3 location of a factory, the securing of the
raw material, the negotiation with farm
: ers-these and other details not to be
, foreseen by any inexperienced person,
| however intelligent or cepable-can only
! l he learned by the experience of actual
+. operation The knowledge of what to
, avoid is as imoorIant as that of what to
provide, and thus early in the industry
I | has been presented the spectacle Of two
factories, under different ownerships,
|; drawing from similar localities and erect
: ed under similar conditions showing bal
ances on different sides of their income
account for the same year.
..The following statement of the results
i: of the campaign of 1898 is submitted:
!. . Tons ETAOIN
: Work IA lONHSlRasA
t Exp. CMFW YPPPke
q | Maintenance ETAOINSHRDL
Per TON. ETAOINSHR
| Profit SHRDLUCMF
= Profit (Net) ETAO]
CIR. 546 ST. 05 So SO 81 6s s131 (s24 2s5 26l
+ Norfolk 81, O66 2.53 450 1.20 $50 (1O2, 5l8 O0l
o Chino Al, 1902 2.s2 sos 1.5o s56 GIGS, 1876. COZ
r Big Profits.
This statement shows that Grand island
s made profit per ton of beets of $3.50 on 6
d tonnages of 1856 tons. Norfolk made s
profit of $3.50 per ton on a tonnage o.
q $1,000 tons, and Chino a profit of So
= per ton on tonnage of 1902 tons. TIT
a above figures are exclusive Of the cost O
/ maintaining the factories through thu
closed season. and include, in the case o