The Lee County journal. (Leesburg, Ga.) 1904-19??, 1918-03-08

Hoover SAID, ian examination Was
made Of lie costs and profits Of reiii-
inc ana II was hnully determined that
the spread between the cost q raw
and The sale Of refined cane sugar
should be ilmitcd to S1.30 per hundred
mounds. The pre-war differential haa
averaged about 50 cents and increased
costs were found to have been impos-
ed by the war in increased cost OF re-
filming. losses, cost of bags, labor, liisul-
ance. interest and other things, rather
more than cover the difference. AFTER
prolonged negotiations the renners
were placed under agreement estap,
fishing these limits on October /, ana
anything over this amount to be agreeu
extortionate under the law.
"In the course Of these invesuea'
tions 1T was found by canvass OF the
Cuban producers that their sugar had'
during the first nine months OF the
past wear. sold for an average OF about
S4.24 per hundred f. 0. b. Cuba, 70
which duty and freight added to the
retiners' cost amount to about 5000
ner hundred. The average sale price
of granulated hy various reineries ac-
cording to our investigation, was about
$50 per hundred, or a differentlai OF
$1.S4. . .. On
oIn reducfng.the differentiar to $1.3O
there was saving to the public of 81
cents per hundred Had such a diI.
eomo,s+io1 boon. in use from the list OF
January. 1917. the public would nave
saved in the first nine months OF the
wear about S24S000o0."
Next Year.
with q view to more efficient organ
;1ation Of the trade in imported sugars
navt wear two committees have been
formed by the food administration
/ A committee comprising repre-
eontatives of all Of the elements OF
American cane refining groups. The
principal duty of this committee IS TO
divide the sugar imports pro rata TO
their various capacities and see that
absolute justice is done to every re-
finer
2 A committee comprising three rep
resentatiyes OF the English, French
ana Italian governments; two repre-.
sentatives of the American retiners,
with a member of the food admlnistra-
zion Only two of the committee have
arrived from Europe, but they repre-
sent the allied governments. The du-
ties Of this committee are to determine
the most economical sources from a
transport point of view of all the al
lies to arrange transport at uniform
rates. to distribute the foreign sugar
between the United States and allies,
subject to the approval of the Amerl-
can. English French and Italian gov
ernments.
This committee, while holding strong
| views as to the price to be paid for
| Cuban sugar, has not had the final
voice. This voice lrts rested in the
governments concerr" d. together with
| the Cuban government, and / wish to
state emphatieally that all of the. gen
| tlemen concerned as good commercial
men have endeavored with the utmost
patience and skill to secure a lower
price, and their persistence has re-
duced Cuban demands by Is cents per
hundred. The price agreed upon is
about $3.50 per hundred pounds, t. 0. b..
Cuba, or equal to about Sc duty paid
New York.
"This price should eventuate,"
MIR. Hoover said, ITO about $3.50 /
per hundred forrefined sugar from
the refiners at seaboard points or
should place sugar in the hands of
the consumer at from az to 9
cents per pound, depending upon
locality and conditions Of trade, or
at from I to cents below the
prices of August last land from one
half to a cent per pound cheaper
than today.
"There is now az elimination OF
speculation, extortionate profits, and
in the refining alone the American
people will save over S250o0,000 of
the refining charges last year. A part
of these savings goes to the Cuban,
Hawaiian, Porto Rican and Lousianian
producer and part to the consumer.
Appeals to prejudice against the
food administration have been made
because the Cuban price Is 81 cents
above that of 1917. 1t is said in effect
that the Cubans are at our mercy ;
chat we could get sugar a cent lower.
We made exhaustive study OF the coss
OF producing sugar in Cuba last year
through our own agents in Cuba, and
we find it averages $3.50, while many
producers are at a higher level. we
found that an average profit of at
least cent per pound was necessary
in order to maintain and stimulate
production or that a minimum price OF
S4.S7 was necessary, and even this
would stifle some producers.
aThe price ultimately agreed was %
cents above these figures. or about one,
| fifth of a cent per pound TO the AmeFi
can consumer and more than this