Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-11-08

Latest Attack on Sugar Industry
Frank c. Lowry Is on the job again.
Ee is the philanthropic gentleman who
was paid by the Sugar Trust to lobby
the free sugar provision through Con-
gress. Lowry posed as secretary of
the Committee Of Wholesale Grocers.'
a. organization the existence of which
was confined to the fertile mentality
Ct its secretary. Under this committee
name. he sent out circulars printed on
yellow paper in patches of 10000 at
time. all over the country. and tried
20 convince housewives of the truth
of Senator Ollie James statement,
that sugar meant a reduction in price
If two cents q pound.
Mr.. Lowry's latest move in the in
terest Of the "peepul" is TO suggest thu
placing Of a consumption tax of ons
cent a pound on sugar-breily to tax
the domestic competitor of the Sugar
Trust out Of business, so that imported
foreign sugar. handled by the refiners
will hog the whole market
At present the refiners. who are the
importers OF raw sugar. pay duty OF
one cent pound on their imported
raw sugar-the Cuban product makes
up their entire importation One hun.
cred pounds of raw sugar makes SO
pounds of refined. The domestic pro-
duction is not subject to tax, but by
: the substitution of a uniform con-
sumption tax for dutiable sugar, the
reflners would gain seven cents a hun.
dred and their competitors lose one
hundred cents a net gain 10 the re.
f1ners Of sl.07 a hundred That would
mean the end Of competition for the
Sugar Trust
Because of the duty" saws Mr.
Lowry, in his letter to President vii.
son. containing his latest suggestion.
the consumers will pay about ss4,-
100000 more than would be the cost
under free sugar. OF this amount the
United States Government will collect
in duty approximately $4,000, 900, less
about ss.ooo,ooo. which will be refund
! ed in drawbacks on sugar exported.
. Because Of the enhanced value of their
product as a result of the duty. the
producers within our borders will d.
, vide as an indirect subsidy the bal
ance OF approximately SIS, 900, 900.
, mus according to Mr.. Lowry. the do
. nestle producers get more from the
tariff than does the Government.
. This does not at ali square with the
. findings Of either the Republican or
the Democratic members of the financ:
: committee after the hearing of April,
1912. when Mr.. Lowry was witness.
Tho report of the Republican menu
bers stated:
The committee does not subscribe
20 the contention that the retail price
per pound OF our entire CONSUMPTION
IS raised by an amount equal to the
duty collected per pound on our duti
able sugar imports. nor does it con-
cede that II the duty we're abolished
the retail price of sugar would be
lower by the amount Of the duty re-
mitted"
The minority report. signed by Sen
ators Bailey. Simmons. Stone, John
Sharp Williams. Kern, and Johnson,
declared:
The tariff on sugar is peculiarly a
revenue tariff. Very much the major
part Of the tax levied upon the con
sumner Of sugar and sweets goes actu-
ally into the United States Treasury
for the use and behoof and benefit of
the American people A minor part
Of the tax goes into the pockets Of the
producers"
Yet every last one Of these gentle
men, with the exception Of Bailey, re-
tired, and Kern. paired. when the test
came and they heard the crack Of the
White House whip voted for free
sugar against their expressed convic-
tons. Hence the hole in which the
Democrats find themselves today on
account Of the sugar schedule.