Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1916-04-24
Higher PRICES
FOR SUGAR NOW
EXPERT belief
Old Law of Supply and Demand
at Work, Says Truman
G. Palmer

lowing communication Is Seif-explan-
atory and sets forth the real reason
why sugar continues to advance:
The press OF the country is pub
fishing numerous guesses which are
assigned as reasons for the present
increase In the price of sugar. The
following article from the New York
Herald Of March 81, gives the real
economic reason and, IL your local
press has not correctly informed their
readers this might be used TO advant-
age. The Herald's sub-head tells the
whole story.
THE old law of supply and demand
is responsible for far more than is
attributed to IT, Respectfully,
TRUMAN G.. PALMER"
No Limit In Sight for Sugar Prices.
To what price sugar may rise no
one would make a guess yesterday in
the sugar district The world situa.
ton affecting that food staple is I'M
precedented. In general terms, the.
world, outside of Germany, Austria
and their allies, wants 100000 tons
Of sugar. The sugar In sight amounts
70 only about 100000 tons. The su-
gar crop of Cuba is the largest in
its history. Planting of cane was
Stimulated by the high prices and the
weather has made this a favorable
growing season. With all these condi-
lions the total Cuban crop cannot ex-
coed 100000 tons.
In ordinary conditions a crop OF
that size in Cuba would mean refined
SUGAR at 31c a pound wholesale in
this country. The price OF sugar yes
terday 1T wholesale was &c a pound.
This refers to fine granulated sugar,
the basis Of price for refined sugars
and the staple of that commodity as
sold for consumption.
Price will take its usual part in
controlling the equalization of supply
and demand should sugar continue to
'dicted. especially In the western part
81 this country, where wholesalers
have been expecting that increase for
some weeks. II sugar goes to 10c its
excessive cost to the consumer will
result in greater economy in its use.
In the sugar market district here this
natural equalization was the subject
Of discussion as principal check on
continued rise In price.
That sugar Is likely to go higher
wss q general impression near the
foot of Wall street. where are collect
I'd the offices of the great refineries,
the brokers and the experts Of all
kinds In the sugar trade.
The war is the cause Of the prices. |
England in 1915 consumed 100000
tons Of sugar. The campaign for re-
duction Of consumption of Injuries |
there is expected to reduce that |
amount to 100000 tons this year |
England has bought 100000 tons of |
raw sugar in Cuba, and about 100000 |
tons of refined sugar here. Experts |
calculate that England will want l.
100000 tons more. which must come |
out OF the current crop of Cuba, cal
culated at 5000. 900 tons. She will |
supply her allies.
German and Austria supplied the |
greater part Of the sugar consumed |
IN England, Switzerland and other
European countries before the war.
They do not supply any of Ii now,
and that means withdrawal from the
worlds supply, outside of the Teu-
tonic countries, OF more than mil
Hon tons year.
Cuba Cane SUGAR Corporation
Refuses to Sell Sugar.
New York Commercial, March 2S;-
With half of its 1916 production dis
posed of the Cuba Cane Sugar Corpo-
ration yesterday declined an offer for
the remainder OF the out-turn of the
present campaign. according to re-
ports In sugar circles. ALTHOUGH the
offer carried with 1t payment for the
entire 100000 to 100000 bags at
the current price of raw sugar. which
IS 4Hc pound. As the sugar aver
ages about seven bags to the ton the
transaction would bring $4,000. 900 to
the Cuba Cane Sugar Corporation. but
would require a heavier outlay on the
part of the buyer. as the quotation of
4Hc q pound includes only costs and
freights to New York. Duty and 9TH
er expenses would bring the total to
b.89e a pound