The Owosso times. (Owosso, Mich.) 1897-1926, 1912-02-02
BEET SUGAR CALLED BENEFiT
IN HOLDING TRUST PR cEs
DOWN.
Continued from page I

IN HOLDING TRUST PR cEs
DOWN.
Continued from page
the American sugar market. He thinks
that the Arbuckles and the Spreckels
with comparatively smaller output
never surrendered 10 the American.
And before the American h d oppor-
tunity to finish its contest with its re.
naming competitors. along came the
beet sugar industry
Mr.. Fordney believes That the Amer
lean tried to crush this ind lstry by get.
ting free sugar from Cuba II got u
tariff concession of 20 per cent on su-
gar, which. In Mr.. Fordne,'s opinion,
was the cause of pntting the brake on
sugar beet development in the United
States. But in spite of Cuban reciproc
ity and ever ything else thu beet sugar
industry fourished And it is Mr..
Fordney's opinion that the American.
finding that the beet sugar industry
was bound to succeed. concluded that
the wise thing was to purchase stock in
beet sugar companies.
Mr.. Fordney is sat 'sfied, however,
that the American never got such hold
upon beet sugar factories as to domi.
nate their policy. Hence, although he
is ready to agree with the most radical
that the American did things in re-
straint Of trade he will not agree that
punishment for its misdeeds ought to
BIZ visited upon the sugar bet Industry
Indeed, he takes the position that the
development of beet sugar was one of
the most effective factors in preventing
the American from get ing control of
the American market And, while
others on the committee are busy ing
themselves with other features of the
investigation, Mr. Fordney is preparing
to uphold the beet sugar industry an
TO press the claim that it deserves we'll
OF congress He is shaping material
which may later be incorporated in a
report to the House
Whatever NAV have been the inten-
ton of the American Sugar Refining
Company" said Mr.. Fordney in an au-
thorized interview, cit does not domi-
nate the beet sugar industry and never
did Although large individual stock
holder, it never owned the controlling
interest in the Michigan Sugar Com
pany, never elected a director of that
company and never elected it's officers
The committee has letter from the
American Sugar Refining Company.
written in December, stating that it
had sold 5000 shares of the Michigan |
Sugar Company stock. This leaves it
with less than 30 per cent of the CAPT
tai stock of the Michigan company. 1t
has also recently sold stock in another |
beet sugar concern. This apparently |
indicates that though the American |
may have intended at one time to pur-
chase more stock and control these con.
Germs. vet its present policy is in snoth-
er direction.
From. the standpoint of the con.
sumner the greatest evidence of the value |
of the beet sugar industry AMI of it's
competition with the cane sugar rein |
cries is found in the trend of prices last |
summer and fall. In July, August,
September and October there was no
beet sugar in the market. excepting at
the end of October. That was the can.
ming season, and everybody remembers
that the price went up to 8 cents a
pound or more at retail. The whole
sale price reached as high as 50 rs per
100 pounds with the American; 81 25
with the Federal, the Spreckels concern;
and 81 so with the Arbuckles. This
in price indicates that the
three concerns were not fixing prices
by agreement.
These concerns claimed that they
fixed their high prices in accordance
with the prices of European raw sugar
quotations on the New York market,
and that the price was justified by a
coming short crop. Whatever may haye
been the theoretical price of European
raw sugar on the New York market, it
had no actual price there, for there was
none imported during the four months
in question. The refneries were get
ting their sugar from Cuba and the
West Indies chiefly and were paying
prices fixed previously by contract.
The actual average price paid for raw
sugar during August was 1914 per 100
pounds.
TWICE-T TESTIMONY