New-York tribune., 1902-05-15
THE CUBAN SUGARINQUIRY
A BROKER AND \ BEET SUGAR MAN
GIVE OPPOSING VIEWS

Washington May l4-1IanueI Rionda OF the sugar
brokerage house Of Czarnikow. MacDougall & Co,
Of New-York, London and other cities. resumed his
testimony before the Subcommittee of the Senate
Committee on Relations with Cuba to-day. being
under cross-examnatiOn by Senator Teller. He
said that his house now has stored in Cuba about
fourteen thousand tons OF which is owned by
various refneries in the United States. His firm
had made advances TO the owners of the Cuban
plantations and had with these plantations
by which they agree 10 sell their entire product
Through the house represented by Mr.. Rionda- II
sales are made through any other channel the firm
gets commission
Mr.. Rionda said that IL the reciprocity bill should
pass as it now stands it would have the effect Of
repeating the countervailing duties sugars from
European countries provided by the Dlngley law,
and in that event not many years would elapse be
fore the sugar refining business OF the United States
would become thing OF the past. This remark
applied TO the beet sugar production Of the United
States and the sugar production OF Cuba, Porto
Rico and Hawaii We would then get all our sugar
from Germany Not being a reiner, he declined to
what would be the effect of repeating the differ
sntial duty on refined sugar. With the countervai-
Ing duties in effect the United States is the prin-
ripal market for the sugar Of the world. ne
ssid, 80 per Of 1t coming this country. The
rates. but there times when the market condi-
tions reverse this situation
Hayward G. Leavitt. president and manager of
the Standard Beet Sugar Company. Of Leavtt. Neb,
Thirteen years, but never had been associated with
Mr.. OGnard. His factory had been in existence
about two years, and its capacity is sixty tons
OF sugar a day He took issue with Mr.. Rionda
on the point that the Cuban planter gets the bene-
mt Of the countervailing duty European sugars
contending that Treasury statistics show that for
the last year the refneries had absorbed the
benefit He therefore argued that the refneries
also would the full benefit OF the proposed
further reduction Cuban sugar
Mr.. Leavitt called attention the fact that in
his statement before the Industrial Commission
Ar HaVemeyer had said that the American
pany refnes 80 per of the refined sugar In the
United States. He argued that there is virtually
Only one purchaser for raw sugar in the United
States. leaving 10 competition worth speaking Of
History had shown that the Cuban does not
store his sugar. Hence" he added. the conclu-
sion is logical that If to give the Cuban
planter a further advantage of 80 cents per hun
oredweight as IL is sought by the pending Iessla-
realize that advantage than he is realize the
isting advantage
Speaking of the Brussels agreement. Mr. Leavitt
said that Its effect would be to place sugar pro-
cucuon on normal basis. and that when carried
into erect Cuban sugar would longer be Obliged
10 compete with countries paying enormous boun-
fles 70 their sugar producers. Another effect would
toe the restoration of the sugar refining business
OF England, making that country a competitor
with the United States in purchasing Cuban sugar
and thus giving Cuba access to the worlds mar
kets. Mr.. IeaVitt declared that all the modern
mills make a small profit.