Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1902-02-23
Industry Is Profitable.

/ Industry Is Profitable.
That the beet sugar industry in Am
erica is a profitable one is shown by
the figures given by w. Bayard Cutting
and Henry T. Oxnard directors of the
American Beet Sugar Co. In a circular
issued by them these gentlemen say:
During 1898 the Chino factory pro-
/ duced 256 pounds of graduated sugar
per ton and the Norfolk $50 pounds
per ton. In the new factory at Hue
meme a production Of about 27O pounds
is anticipated. However. let us take
the average at $50 pounds, which is the
product of one ton Of beets manufac-
tured into graduated sugar. II we
multiply this figure by four 1t gives us
$40 as the net result from a given ton
OF beets manufactured into granulated
sugar at free trade prices.
There is seven-year contract in
our new factory at Hueneme paying 81
/ as an average price for beets. II we
add to this the cost OF manufacturing
| these beets into sugar we will find that
50 would cover every expense. Our
/ figures, based on averages in our fac
tories located in California and Ne
braska, show that $3.50 per ton covers
! the actual expenses OF manufacturing
sugar, and in the new factory, which is
three times as large as the Chino fac
tory. we expect to reduce the cost be-
low so; but for the sake of conserva-
tlsm we will place the figure at 50.
Per ton
Beets Observation-Disclosures. $500
Expense of working beets into
Iotal Observation-Disclosures. SIOu
Amount realized from the sale Of
the prouct at four cents per
pound .T.................. 1000
Net profit per ton ........... $500
THE factories are capable of manu-
/ featuring at least 800, 900 tons of beets
into sugar per annum; 100000 multi
piled by SO would give s1,O5O,OOO. (This
at four cents per pound at three cents
per pound, % per cent less, $3.50 ,OO0) -.
as the income to be derived under alb
solute free trade, should the price OF
sugar be at the lowest price prevail.
ing during the years when all duty
was removed from raw sugar"
1t Is probable that in these state
ments Mr. Cutting and Mr.. OXnard
were a little enthusiastic, but at the
same time no one in the United States
is better posted on the beet sugar in
dustry than Mr.. Oxnard. who is inter-
ested in a number of highly successful
plants, and the showing made would
scarcely indicate that the beet sugar
industry is in need Of all the protec-
ton, which some people claim that II
should have.
Side Of the Refiners.
On the other side OF sugar tariff
Legislation stand the refners, who
want the highest possible tariff on re-
fined sugar, and as cheap raw sugar as
1t is possible to get The American
Sugar Refining Co., Is the one great
interest in the sugar refining business.
II does not control the business entire
ly, but II does the great bulk of the
sugar refining in the United States.
/ The combination OF sugar refiners was
effected in 1887 Previous to that time
competition had been very strong, and
great many of the plants were not
making money. The companies which
entered the combination and the capt
tai stocks at the time were: The
Havemeyer & Elder Sugar Refining
Co., 100000; the Dicks 4 Meyer Co..
/ 100000; the De Castro & Bonner Su-
gar Refining Co., s35O,OOO; the Moiier
& Sierck Co., 100000; the Oxnard
Bros. Co, 100000; the F. o. Matthels-
! OCH " NltCHtIS sugar htHHluB w.,
100000; the Havemeyer Sugar Rein
ing Co, 81, 100000; the Forest City SUI
gar Refining Co., 100000; the Boston
Sugar Refining Co., $1,000 the Stan
dard Sugar Refining Co., $l,OOO,OOO; the
Bay State Sugar Refining Co., 1925, 900;
the St. Louis Sugar Refining Co., $685.
900; the Louisiana Sugar Refining Co.,
100000; the Planters Sugar Refining
Co., s25O,OOO; total capitalization be-
fore consolidation, $6,G9O,OOO. When
the combination was made the capital
stock Of the new company was placed
at $5O,00O,00O. The first step OF the con-
solidation was to close down a number
of the plants and centraIze the bust
ness. The number Of plants operated
by It was soon reduced to six or seven.
Since its organization the American
Sugar Refining Co.-which is often re.
ferred to as the "trust"-has secured a
number Of plants that did not como
into 1t at first and secured much
firmer hold upon the sugar refining
business Of this country than IL had