Evening star., 1902-01-15
BEET SUGAR. IN EUROPE
GENERAL ANXIETY AND UNCER-
TAtsTr ABROAD.
Operations and Exactions of the Car
;H z
tel I'm. n.4ermany--Cost to
Consumers.

THE generaEfeelng of uncertainty and
anxiety about the future of the beet sugar
industry in Europe seems to grow more
acute with the progress of the seasons
campaign" says United States Consul Gen.
eral Mason at Berlin, Germany. in a report
| to the State Department, In which he brings
out some very interesting points in regard
to the German Cartel a secret working
combination between raw sugar factories
and refineries, by which high prices are
maintained for all sugar consumed In Ger
many. An official estimate, it Is stated,
places Germany's yield of raw sugar this
year at 2o73,000 tons, as against 1,974.so
last season. On December Z, 1t is stated,
high commercial authority estimated the
visible supply of raw sugar in the principal
european markets at 1,640,S13 tons, which,
added to the visible stock of raw sugars in
the United States and Cuba, made total
OF l,s23,S2l tons in sight
Prices of Sugar Fall.
Under these conditions, and in view of the
growing production of sugar in the United
States, Cuba, Porto Rico and Hawaii, says
| Mr.. Mason, prices of raw sugar in the Ger
man market have sunk until the condition
of the whole producing interest would be
desperate We're it not for the Cartel" The
profits of this combination, states Mr.. Ma
son, added to the government bounty paid
on exports, enable the factories to pay a
proportionately high rate for beets anu at
the same time sell their exported product
IN fol- e1gn markets at prices with which
other nations find it difficult to compete,
ana which in effect give the German pro-
Queer commanding position in the worlds
sugar market.
Operations of the Cartel.
The Cartel" says Mr.. Mason, was or
ganized something more than year ago,
q q g tofn D.
sugar-producfng interests in Germany In
general terms, the consul general continues,
the Cartel guarantees producers of raw
sugar certain minimum price and takes
their entire product. Any difference be-
tween this minimum and lower price
which may rule the worlds markets is
made up by the refiners, he says. On the
other hand. the raw sugar producers guar
antee to pay a fixed minimum price for
oeets, to produce no raw sugar for con-
sumption in Germany, and to sell their raw
sugar only to refineres belonging to the
syndicate.
Among the results of this clever
scheme, says Consul General Mason, two
may be cited which will explain the present
situation: On the one hand, the factories
are able to pay for beetS about 70 cents
per ton more than the general sugar market
price outside of German markets would JUS
thy, and, on the other, reffneries are able
to control absolutely the price of sugar for
consumption in Germany, and this they do
so effectively that ordinary white lump
| sugar costs TO-DAY at any grocery store in
Berlln lR to SA cents per pound, or nearly
| three times what is charged for the same
grade of German-made sugar in London;
and this at a moment when Germany. has
| just harvested the largest beet-sugar crop in
| her history, and when Industrial depres-
| sion and diminished wages render high
| prices for any food material especially
| burdenseme to the people"
| Exactions of the Cartel
The exactions of the Cartel" he further
states, became SO oppressive that a union
OF heavy .sugareeonsumers was formed and
a break for independence was made. Mean
while meetings have been held to discuss
plans for reducing the area of beet sugar
culture and to consider what viii be the
| effect on German sugar interests should
| the pending International conference at
Brussels vote to abolish export bounties-a
result which. he says. is not expected by
| those familiar with the situation He
points out that France refused In 1898 to
give up her bounty system and it is
thought that Russia will sustain her this
year in opposing any serious change in
existing laws. As to the reduction of the
beet sugar area, Mr.. Mason says that it is
probably a fact that every beet farmer
and factory manager seens anxious to per-
suade everyone else to restrict his area
of beet culture for next year but has no
serious Intentions of restricting his own,
and very unpromising outlook is the re-
suit Inc peet farmers and factory mana
gers, he says, are aware that action of
this sort would be abortive for Germany
unless other countries would join In a gen.
! eral agreement.
Meanwhile, states the consul general the
principal lesson which American sugar
growers have left to study is the intel
ligent utilization of the two prin ncipal waste
products of beet-sugar manufa cture-the
spent pulp and crude molasses, the latter
containing usually from 40 to 80 Der cent
of sugar which cannot be cryStaiized or
account of the potash salts which the crude
| Sirup contains,