Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1902-03-30
cuBA's SUGAR SITUATION.

Cuba's fate still hangs in the bal.
ance as far as aid to its sugar industry
is concerned. Those Republican Con.
gressmen who have fought so well for
protection to the domestic sugar in.
dustry had not been overcome when
the last mail left the coast. Then the
committee on Ways and Means had
apparently abandoned the form of
special tariff reduction in favor of a
plan for reciprocity which chairman
Payne had introduced in the House.
The main feature of this bill is that 1t
compeis the enactment by Cuba "of
immigration and exclusion laws as full.
ly restrictive of immigration as the
laws OF the United States" a conces.
sion that free and independent Cuba
should unhesitatingly refuse.
During the Republican discussion
over the Cuban sugar question the
point was made that bounty be paid
to the American beet sugar manufac.
turers in the shape of rebate of the
internal revenue tax on alcohol to an
amount approximating the loss the
beet sugar men would sufier through
twenty per cent tariff reduction to
Cuba. One Of the by.products of the
sugar beet is low grade black molas.
SEES from which alcohol is made. The
present internal revenue tax on high
grade alcohol is $2.07 a gallon, and the
idea is to pay back a portion of that
tax to the beet sugar producers. This
plan, however, would be opposed by
the producers of corn alcohol and is
not likely to be very seriously consid.
cred
Judging from an article that has
quite recently appeared in a paper
published in Havana, the "Avisidor
Commercial" 1t is a moot question
whether the Cubans themselves really
desire any aid for their industry. That
paper says:
Cuba can produce sugar more
cheaply than any other country,
and she will find markets If the
Government to be established
knows how to obtain liberty-to
offer Cuba's market to the country
which gives the most in return. If
the United States makes less
than so per cent reduction in the
tariff the first thing the new Gov.
eminent should do is to demand
the right to make commercial
treaties with other nations.
This throws the onus of proof more
thoroughly upon the shoulders of the
Sugar Trust, and the Administration,
to show why any direct aid whatever
should be given to this one Cuban in.
dustry when an Independent willing.
ness is expressed for commercial lib.
erty and reciprocity.
The idea that limit OF $50 900 tons
be placed upon the quantity of Cuban
sugar to receive any tariff concession
seems to have fallen to the ground.
As our Washington correspondent
points out, II would clearly demoralize
the market and defeat the object de.
sired when receipts approached the
limit. The most popular plan is that
which would allow a rebate of twenty
per cent, for a term of three years.
But the beet people seem afraid to
concede even this much lest the Senate
Increase the amount of the rebate.
The Senate undoubtedly is more favor.
able TO some form of assistance for
the Cubans than Is the House, many
OF whose members seek reelection
this fall, and who would find It difficult
to explain to their constituents why
they abandoned the protective tariff
doctrine.
Should the President, in case Con,
gress refuses to aid the Cubans. enter
into treaty for the annexation of
tneir island that would be subject to
ratification by the Senate alone and
would relieve the members of the low,
err chamber from any responsibility
But Hawaii, in such an event. would
have to compete as a sugar producer,
on even terms with Cuba. the ques.
tions OF labor freights, insurance and
proximity to market being decidedly
against us. In this connection 1t is
well to remember that Cuba already
possesses storage facilities for as
much sugar as constitutes the annual
crop of Hawaii, hence manipulation of
the market would be easy, against our
interests by the large financial body
that is said to control the bulk of the
product Of the Cuban mills.
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