The Washington herald., 1909-05-25
Heaven Ssre the Sugar Trustl

Heaven Ssve the Sugar Trust
\ Western Senator lately declared with
some fervor that trusts are ghosts" II
sppeared subsequently, that the Senator
had said more than he meant His in
tention was 10 disclaim the existence OF
a trust in the particular industry Tor the
protection OF which he was pleading
Some trusts there may be that are ghosts
merely the product OF an overheated
imagination; but the trust which Sens-
tor Clay. OF Georgia. held Up 70 scorn
last week is not Of that variety A most
solid and substantial monopoly Is the
sugar trust, with a fast grip not only
Upon the production and distribution OF
sugar. but also upon the rich bounty OF
g patenalist;c government Il is the
beneficiary OF the most generous favors
bestowed upon any industry through the
protective tariff. and these favors are
guaranteed TO It for the next four years
by binding compact entered into with the
sugar-beet growers. the terms OF which
are that IN return for the concession OF
limited free sugar from the Philippines
the existing sugar schedule OF the tarin
VII remain undisturbed- The pending
tariff bIIl. therefore, makes but : trifing
change in the sugar schedule: not enough
TO affect the price Of sugar 10 the con
sumer OF 70 reduce the profits OF the
trust but Just enough to give Republican
orators a coiorabIe ground for pointing
to revision downward IN that particular
schedule
Since the enactment OF the (DingIey law
we are now citing the uneoatradieted
statements Of Senator Clay-the situation
with respect TO the importation Of raw
sugar has wholly changed. Although the
duties on both raw and refined sugar re-
main nominaily the same, TIE fact is that
the sugar trust gets its rsw material on
much more favorable terms as 70 tarin
duties-and consequently much cheaper
than before the enactment OF the Dingley
law. Its immense importations OF Gu
ban sugar come in at q reduction of .
per cent; its sugar from Hawaii and
Porto Rico comes in free and its sugar
from the Philippines at a concession OF
. per cent Now. who has reaped the
advantage OF this importation OF raw
material at less than the originally in
posed tariff duties? Not the consumer.
for the price OF sugar has not been re-
duced 70 him Senator Clay IS OF opinion,
after a careful investigation, that the
planters in our tropical dependencies and
the sugar-beet growers in our own country
have not profted substantially by either
freer trade IN the one instance OF by pro-
lection IN the other. simply because the
trust owns immense plantations in Cuba,
Porto Rico, and Hawaii, and II controls
the majority Of the stock OF the beet
sugar refneries in the United States
Tie trust then. IS the principal benea-
ciary both OF free OF freer trade IN raw
sugar and Of protection 10 the home
grower EverywheTe Il fxes the price Il
pays for raw material and the price the
consumer pays for the refined product
Thus every possible advantage accru-
ing By reason OF the existing sugar tariff.
as modified by the admission OF raw
sugar at less than dutiable rates or free
Of duty altogether. swells the profits OF
the trust and clinches its monopoly. Ob-
tanning its raw material az q bottom
price. It gains equally By the free ad-
mission Of Hawaiian OF Porto Ricaa sugar
or by the protection Of its Michigan beet
sugar plants. The consumer gains ab-
solutsiy nothing II Senator Claws cal
culation be correct. the people OF this
country have paid the sugar trust $50
10000 annually IN profits for the last
dozen years, or S650.0000O0 altogether
while the government has surrendered
vast sums In revenue from importations
AL ostensibly for the protection OF the
cane and beet sugar interests. The
trust has pocketed the revenue thus given
Up by a generous government. maintain
ing meantime the price Of its refined
product 10 the Consumer price about
cents q pound in excess Of that
charged the foreign consumer by this
same trust
These plain facts are so amazing It Is
almost inconceivabIe that Congress rep
resenting the American people would al
low the sugar schedule 10 stand for q
single moment But the equally amazing
truth IS that no schedule IN the entire
bIl is in 50 little danger Of serious alter
alton Senator Clay proposes the aboli-
ton Of the so-caIled differential on re-
fined sugar. which shuts out the foreign
refined produces, n the hope that a little
competition would enable the consumer
to reap SONS of the enormous advantage