Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1908-12-16
WHY BEET SUGAR GROWERS MUST HAVE
PROTECTIVE TARIFF

has been testified here by witness
or two that there has been great
and increase of the sac
charine matter In these beets. Do
you have any reasonable hope Of get
ting 1t up as high there as 1t is in
Germany?
Mr.. Smith: do not see why we
can not, and ! believe we can do II.
But It has taken one hundred years
to develop the sugar beet to Its pres
ent state of perfection in Germany
and France, and while we are sup
posed to be more rapid than they are,
| do not think we can expect any such
result for twenty or twenty-five years
yet.
Mr.. Clark: ! supposed you began
where they left OF. After that ques-
ton, here Is another. Do you sugar
men up there believe the time will
ever come, and If so how long will 1t
be before II does come, when this beet
sugar industry will be able to get
along without any protection?
Mr.. Smith: believe so, Mr.. Clark.
! do not think that we ought, or that
any industry ought, to expect to be
perpetually protected. But even If
that should be necessary. IL seems to
me that 1t would be much better pol
icy for this country to continue to
protect an industry that will supply
1t with all It's needs.
Mr.. Clark: did rot ask you that.
asked you a plain and simple qucs-
ton.
Mr.. Smith: Well. ! think so. I do
not know as you and ] will live TO
see it. but think that some time the
industry will be able, by improved
methods. to do 1t. But 1t can not be
done until there is some improve
ment or until we are willing to re-
duce the wages that we pay. The
bulk of the entire cost of beet sugar
is paid out in labor.
Mr.. Clark: You do produce beet
sugar cheaper now than you did ten
years ago; that is, so far as the total
cost Of the product is concerned?
Mr.. Smith: | suppose so. | have
not been In the business SO long as
that. This business started about
ten years ago.
Mr.. Clark: Yes, I know.
Mr.. Smith: might say that this
company which ! represent Is also
engaged In farming. We have farm
of about 10000 acres, upon which
We are raising quite large quantity
of sugar beets. as well as doing 9TH
er branches of farming, SO that we
are somewhat familiar with both
ends of the proceeding. ] wish to
say. also, that we have an organiza-
ton Of sugar factories in Michigan,
ident. and | am requested to repre-
sent them here and present their po-
sition In this matter at this time.
That Is. they have agreed that II Is
absolutely essential to the success of
their business that the tariff should
not be reduced. and they have given
me the statistics of the cost Of man
ufacture of their sugar, and I will
say that the average cost for the
past five years, presented by the fol-
lowing sugar companies, the Ger
man-American Sugar Company, at
Bay City; the st. Louis Sugar Com
pany. of st. Louis, Mich; the Mount
Clemens Sugar Company, at Mount
Clemens; and the Holland Sugar
Company, at Holland. has been in
excess of 81 n hundred pounds.
Mr.. Underwood: To what extent
did they exceed It?
Mr.. Smith: The average Of one
company is $4.l3 and the average
of another is Sale for the past five
years.
Mr.. Dalzell: That does not Include
interest on capital?
Mr.. Smith That includes no re-
turn on the investment whatever.
Mr.Underwood: But 1t does In
clude everything else?
Mr.. Smith: 1t includes everything
else.
The Chairman: How much are
they getting out of the alcohol?
Mr.. Smith: They are selling mo-
lasses.
The Chairman: The same as they
were the last time we had tariff
hearings?
Mr.. Smith: Yes. sir.
The Chairman: There is no change
in that?
Mr.. Smith: There is no change In
the method
The Chairman: That is what I
mean, or in the amount you get out
of 1t there is no change?
Mr., Smith: They are getting more
FOR their molasses now than they did,
because great part OF 1t is now
sold for cattle feed. for feeding pur.
poses, and the high price of other
feed has brought the price of mo-
lasses up.
Mr.. Underwood: In estimating the
cost OF the sugar, do you give credit
for the by-DrOduct mr. 10 tho hy-nrod-