The Hawaiian gazette., 1911-01-27
CONDEMNED INFORMATION
REGARDING SUGAR STOCKS

AshNAkDANH nuNAh bLOVhh
Wakefield, Garthwaitc & Co, Of San
Francisco, with headquarters in the
Tirst National Bank building, have Is
sued a most attractive pamphlet en-.
titled "Hawaiian Sugar Stocks as In
vestments." The little book contains
much valuable information regarding
the sugar industry and values, carefully
compiled. In regard to the prices OF
sugar for the Eve years TO come, as
affecting these Islands, the company
has this TO say;
New York Market Prices Of Raw Sugar
During 1911.
1t appears now as IL market condi-
tiOns would prevail during 1911 under
which the Hamburg market price would
fix the New York market price at parity
with its OWE The 1901 European
beet sugar production, for which the
harvesting of beets commenced in Sep.
TENDER, is now found to be exceeding
the production Of 1909-l0 (6,927 900
short tons) by abOat 1,6sO,00O short
tons.
OF the excess about $50, 900 short tons
had not been estimated in advance. The
explanation given for missing this
quantity in the estimates is that the
last end of the beet growing season
made an unexpected increase in the
weight of the beets and the percentage
of their sugar content. This 100000
tons is considered by European sugar
market authorities an overproduetion
or surplus.
The immediate effect of the discovery
Of a probable surplus or overproduction
for 1901 was the lowering of the
Hamburg market price below the cost
of European beet sugar production. The
New York market price which had been
higher than parity with the cost of
beet sugar production in Europe neees-
sarily declined to parity with the Ham
Burg price. Domestic and Cuba raw
sugar had to be sold at the Hamburg
market price in New York in order to
prevent the sale Of the European sur.
plus in the United States.
Until all of the European surplus OF
overproduetion of 1901 becomes alb
sorbed into consumption, the Hamburg
and New York market prices viii be at
parity more or less below the Euro.
pean cost of production of beet sugar.
Practically, the European overprodlc.
ton is the only surplus of sugar which
is probable for the market of 1911. The
quantity of cane sugar production for
1901 is already closely known, and it
is said win be about as it has been es.
timated The limit of the probable
cane sugar production for l9l1-l2 is al.
ready estimatable from the planting
done for it in 1910. Cuba is known To
be the only country which will material.
ly increase its production in 1911-l2
over the production estimated for 1910.
il, and the limit of its increase, about
100000 tons, win not be an overprodue.
tion.
Statement of Estimated 1911 SConsump-
ton and Supply.
The 1911 sugar consump-
ton of United States
(estimate) ..........4, 294 ,O20 tons
Domestic production for 1911:
Hawaii ........... 5Ss, 900 ton,
Louisiana, Texas, Porto
Rico and Philippine
Islands ........ $4,000 tom
California, Colorado,
Utah, other States
(beet sugar. ....... 100000 tom
Total domestic produc.
tion .......".... i, SOS, 900 toni
Foreign, Cuba ........... 100, 900 tom
9,s6s, 900 toni
Foreign, Java, etc, and
Europe (Hamburg) -. $4,000 toni
1t woald appear from this estimate
that the European surplus of beet sugar
production estimated, 100000 tons, will
not become absorbed by consumption
during 1911, unless the United States
consumption increased very much more
than can be safely estimated.
New York Market Prices Raw Sugar
During 1912.
But, assuming the sugar consumption
of the United States to increase 279 III
tons during 1912, as estimated, it would
appear as if the surplus wo1ld becom
absOrbed durinp 1912 The history o