New-York tribune., 1902-05-06
HAVEMEY FIR HEARD AGAIN
BY SENATOR TELLER AS
TO SUGAR TRUSTS BUSINESS
METHODS
ASSERTION THAT RECIPROCITY WILL
BENEFIT THE CUBAN PLANT
ERS REPEATED
IRY rELEGRArH ro rHE rR1nrNE. ]

! Henry o. Havemeyer president Of the Sugar
| Trust was resumed to-day by the sub-commit-
| tee of the Senate Committee Relations with
Cuba. Senator Teller, of Colorado author Of
| the resolution alleging that the Sugar Trust
had bought up most OF this years crop of raw
sugar In Cuba and was holding 1t on the island
| until Congress dispOses of the proposed reel
| procity legislation. conducted the examination,
| and diverted the investigation from inquiry
| into the charges he made to an investigation OF
| the business methods of Mr. Havemeyer's COM
| pany, particularly in its relations TO it's chief
| competitor the Beet Sugar Trust which oper-
| ates largely in Mr.. Teller's State Senator
| Platt of Connecticut. chairman of the commit
tee. called Mr.. Teers attention to the fact that
| the Senate did not authorize an inquest into any
| feature of the Sugar Trusts business except the
| point touched by the Teller resolution but the
| Colorado Senator insisted that he had a right TO
| develop any line of testimony he wished. and
| that when he made his speech against Cuban
| reciprocity he would show the pertinency to
| that question of the facts ne trying TO
| draw from the president of the Sugar Trust
| With broad intimation that he considered Mr.
| Teller's questions to Mr. Havemeyer not at all
| germane TO the subject in hand. Mr.. Platt per-
mitted Mr. Teller TO continue his inquisitorial
! methods unhampered.
| Mr.. Havemeyer was on the stand about two
| hours and was excused the condition i'm
posed by Senator Teller. that the president of
| the Sugar Trust would promptly respond to
| summons to appear before the committee again
| at an early date. when his examination will be
| continued and perhaps concluded.
| Nothing as to the Sugar Trusts holdings
| at present In Cuba or as to the effect Of reci-
| procty on the price to consumers in the United
| States was developed by the examination of
| Mr.. Havemeyer to-day. He repeated his
| tions of last week that the proposed tariff re-
| ductons would in way help the Sugar Trust.
| but that it's benefits would go wholly to the
| planters in Cuba. and also that the price OF
| sugar in the American market and throughout
| the world fixed in Hamburg. that any
| increased importations from Cuba under a
| ciprocal trade arrangement with the United
States would not lower the price of sugar in this
| country unless it happened that the Cuban pro-
! ducton equalled the amount of sugar which has
| to be brought to the United States every year
| to supply the demand Mr.. Havemeyer pointed
| out how the admission of free sugar from
| Hawaii and Porto Rico had not lowered the
| price in the American market. but had ma
terially benefited the producers in those islands.
THE TRUST AND BEET SUGAR.
| Mr.. Teller went some length in examining
the witness into the cause OF last years reduc-
| tion Of the price OF sugar at Missouri River
! points, the witness insisting it mot the
/ difference in price but the more important feat
| could not give the name of any sugar factory
making such contract but said that the terms
were made by the beet factories OF the South
west-'of Colorado and Nebraska" he added
| He had never seen one OF the contracts after it
was signed. but he had seen the blank forms.
Suppose suggested Senator Teller lit
should turn out that none of the contracts was
eve- signed?"
My apprehension is that the contracts were
cd nd I
Did you lose money in your reductions?"
We did He said that he had no intention
Of destroying the beet sugar industry. 1T was"
he said. but not for the record. only little
Southwestern scrap and did very little harm
Mr.. Havemeyer said that his company makes
no contract with persons buying its sugar
quirng them to sell trust sugar exclusively
That tried some years ago." he said. but
the system was abandoned"
EFFECT OF RECIPROCITY
Mr.. Havemeyer insisted several times that the
sugar company would have to pay much for
Cuban sugar it pays If the proposed
Congressional concession should be made
Suppose should take the entire duty off Of
Cuban sugar. would there be a reduction in the
price of Cuban sugar." he was asked.
There would be until the volume Of the
Cuban sugar production should approximate our
consumption. Until then the Cubans would get
the benefit"
Suppose % per cent should be added to the
duty?"
The added expense would come out of the
Cubans. The price would be the Hamburg price
plus the duty"
Mr.. Teller questioned the witness to where
he would secure his sugar should the Cuban crop
not be marketed for several months.
He replied that he would look to Porto Rico
and South America, where there is an mex
war 100000 tons were imported from South
America He said that the Cuban planter is
not in a financial condition TO hold his crop In
the event Of there being no legislation until next
session.
Mr.. TeIler-Suppose don't make any con-
cession to Cuba. where Will the crop be mar
keted?
Mr. Havemeyer-It will come right here, and
will get II. anyhow.
"If we should reduce the tariff on sugar 20
per cent. would the consumer get any advantage
of that?'
None whatever
Would the trust get any?'
None whatever"
Mr.. Havemeyer insisted that It was not in the
power of the trust to get it If they fit. be-
cause the prices would Immediately advance to
Offset the advantage.
But" said Senator Teller. suppose you say.
We will not pay you more than half of this
concession and we viii take the other half"
The witness answered that the price imme-
die tely augments to the parity of beet sugar in
bond.
Gould the Cuban get much for his sugar in
England in the United States?"
Just the difference in freight"
Mr.. Havemeyer contended that sugar from the
Haw allan Islands comes in free, and asked:
w hy don't they gouge the Hawaiian out of all
he has got?' Continuing, he said there no
philanthropy that protects Hawaii that would
not reflect in Cuba.
Mr. Teller interjected the remark that sugar
from Louisiana was free. which brought from
the witness the statement that the trust did not