Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1915-11-16
Proposed Consumption or Pro-
duction Tax Upon Domestic
Sugar Would kiII Home In
dustry in Many Different
Districts
AIM IS TO LET CUBANS
IN AT 20 CENT A POUND
Campaign to Accomplish De-
struction of Domestic Cane
Industry Said to Lie Back OF
Lowry Letter to President

DUWFy ICttCt " I1CotuCit'
Utter destruction Of the United
States domestic cane sugar industry
is said TO be the aim of the New
York sugar CLIQUE" which, led by
Frank c. Lowry OF the Federal Sugar
Refining Company, Is starting an agi
tation IN favor Of consumption or
production tax upon domestic sugar
The figures proposed, II is declared,
would result In Cuban raw sugar get.
ting into the United States under a
preferential which would amount on
analysis to only 3-S cents per pound,
the>resuIt Of which would be to drive
into bankruptcy. the cane growers Of
Porto Rico, Louisiana and probably
Hawaii. as well as m0eL Of the beet
growers Of the western mainland.
An expose Of the plan is contained
in 8 letter received today by the star.
Bulletin from the washington offices
Of the American Cane Growers Asso-
citation, which follows, in full:
washington, B. c.,
"Oct. 27. 1915.
"The Star-Bulletin,
Honolulu. Hawaii.
Dear Sirs: The New York Jour
nal Of Commerce Of October 20 re-
produces letter from Frank C. Low
ry Of the Federal Sugar Refining Co.
to President Wilson, n which he
urges consumption or production
tar upon domestic sugar. ! am en-
closing copy herewith.
"The Iz6wry Ietter is regarded here
as intended 10 feel out the sentiment
IN Congress- towards such radical
innofftion IN our fiscal system as az
intcfnal tax on sugar rather than
as indicating the terms really favored.
by the re6ners.
Worklno Many Months. q, -
.'BInoe early 1ulhmsr ne New York
sugar clique has been working on an
amendment 70 the sugar schedule Of
the Underwood law with view Of
Offering Il q fe1ief measure for an
empty treasury.
sThe importing and refining inter
ests OF New York and the seaboard
cities are as much opposed to free
sugar as the domestic producers. This
is thoroughly understood In sugar cir
cles. It is currently reported that
what they actually want Is either a
continuation Of the import duties as
now enforced by the treasury depart
ment with an internal tax Of IL cent
q pound on domestic sugar. or duty
OF cent per pound on foreign sugar
with q concession Of 20 per cent forl
Cuba and the internal tax of IL cent
q pound on domestic sugar.
The import duties now enforced on
96 deg. sugars are as follows: For
eign, 1.256; Cuban, 1.00lS. If the plan
of the refners to impose duty OF
l. cent on foreign sugars should be
successful. Cubas. under the recipro-
city treaty. would be admitted At
S-l0ths Of q cent q pound; and II the
proposed consumption tax of half Al
cent which has been hatched In New
York should prevail, Cubas would
only be at disadvantage of 3-S cent
per pound as compared with domestic
sugar unless they were also subject,
ed to the internal tax after passage
through the custom-house.
Lona-sousht Triumph.
The success OF such plan as out
lined by Lowry would enable the re,
finers, by this indirect method, to |
triumph in the campaign of ultimate.
ly securing q tariff Of one-half cent
on foreign sugar less 20 per cent
preferential for Cuba that they have
been prosecuting for the past three |
years. Louisiana, Porto Rico and
most Of the beet territory in the west.
ern states cannot continue to culti- |
vate- sugar under these terms.
The friends of the domestic sugar
industry in congress are determined
that this crop shall not be singled out
for destruction. If an attempt is
made at the approaching session to
put q production tax on sugar, amend
ments viii be offered to impose sim
liar tax upon the cotton, corn and /
wheat crops OF the country. Such &C.
tion would probably result in the de-
feat of the refiners plan.
This recrudescence of activity on
the part of the Federal Sugar Rein
ing Co. illustrates the necessity of /
constant vigilance by the domestic
sugar producing interests If they ex-
pect to continue in business. The
Seaboard rehners realize now that
their attempt to destroy the domestic
cane sugar industry, especially in /
Louisiana through the enactment of
the sugar schedule of the Underwood
act, has failed and they are seeming
ly on the eve or another campaign
along different lines to accomplish our
destruction, II possible"
u