The Breckenridge news. (Cloverport, Ky.) 1876-1955, 1918-01-23

and the sale of refined cane sugar
should be limited to s1.3O per hundred
pounds. The pre-war differential had
averaged about So 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, insur-
ance, interest and other things, rather
more than cover the difference. After
prolonged negotiations the refiners
were placed under agreement estab-
fishing these limits on October /, and
anything over this amount to be agreed
extortionate under the law.
"In the course of these investiga-
lions It was found by canvass of the
Cuban producers that their sugar had,
during the first nine months of the
past year, sold for an average of about
1924 per hundred f. o. b. Cuba, to
which duty and freight added to the
refners' cost amount to about $500
per hundred. The average sale price
of granulated by various refinerles, &C.
cording to our investigation, was about
$3.50 per hundred, or differential Of
S1.S4.
"In reducing the differental to S1.30
there was saving to the public of "a
cents per hundred. Had such diff,
ferential been in use from the list OF
January, 1917. the public would have
saved in the first nine months Of the
year about s24, 100000"
Next Year.
With q view to more efficient organ
ization of the trade in imported sugars
next year two committees have been
formed by the food administration:
1. A committee comprising repre-
sentatives 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
resentatives of the English, French
and Italian governments; two repre-
sentatives of the American refiners,
with q member of the food administra-
arrived from Europe, but they repre-
sent the allied governments. The du-
ties of this committee are to determine
the most economical sources from
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 Ameri-
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 has rested In the
governments concerned, together with
the Cuban government, and | wish 10
state emphatically that all of the gen.
tlemen concerned as good commercial
men have endeavored with the utmost
patience and skill to secure lower
price. and their persistence has re-
duced Cuban demands by Is cents per
hundred. The price agreed upon is
about $4.G0 per hundred pounds, (. o. b.
Cuba, or equal to about So duty paid
New York.
"This price. should .eventuate,"
Mr.. Hoover said, ITO about $3.50
per hundred for refined sugar from
the refiners at seaboard points or
should place sugar In the hands Of
the consumer at from 8La to Q
cents per pound, depending upon
locality and conditions of trade, or
at from to cents below the
prices Of August last and from one
half to cent per pound cheaper
than today.
There Is now an elimination of
speculation, extortiOnate profits, and
In the refining alone the American
people will save over $25,0OOOO0 of
The refining charges last year. part
Of these savings goes to the Cuban.
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 "a cents
above that Of 1917. 1t Is said In effect
hat the Cubans are at our mercy;
hat We could get sugar cent lower.
We made exhaustive study of the cost
IF producing sugar In Cuba last year
through our own agents In Cuba. and
We find 1t averages $3.50, while many
producers are at a higher level. We
'Ound that an average profit of at
east a cent per pound was necessary
n order to maintain and stimulate
production or that minimum price of
;4.37 was necessary, and even this
would stifle some producers.
"The price ultimately agreed was %
,ents above these figures, or about one
fifth of cent per pound to the Ameri-
AN consumer, and more than this
mount has been saved by our reduc-
ion In refiners' profits. II we wish to
title production in Cuba we could
axe that course just at the time of all
ines In our history when we want
production for ourselves and the al
les. Further than that, the state de-
will assure you that such a