The St. Johns herald., 1918-02-28

supposed to take no more than 50 cents a hundred pounds profit. This regu- lation was made by the food admins traitor, which now asks the housewife . 10 reduce sugar consumption as much '. as pOssikle using other sweeteners, aud also reminds her that she should nav no more than cents a pound for sugar.
 Control of Cane Refiners' Profits. "Immediately upon the establish ment of the food administration" MT. Hoover said, "an examination was made of the costs and profits of refn- ing and it was finally determined that the spread between the cost of raw and the sale of refined cane sugar should be limited to S1.30 per hundred pounds. The pre-war differential had averaged about S5 cents and increased costs were found to have been impOs- ed by the war in increased cost of re" fning, losses, cost of bags, labor, insur- ance, interest and other things, rather more than cover the difference. After prolonged negotiations the retiperS were placed under agreement eaTab- fishing these limits on October l, and anything over this amount to be agreed extOrtionate under the law.
 "In the course of these investiga- tions 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 S4.24 per hundred f. O. b. Cuba, to which duty and freight added to the refiners' cost amount to about S5.66 per hundred The average sale price of granulated by various rehnerieS, ac- cOrding to our investigation, was about S7.5O per hundred, or a differential Of $1S4.
 "Tnreducing the differential to S1.3O there was a saving to the public of. 54 cents per hundred Had such diff ferential been in use from the 1st or January, 1917. the public would have saved in the first nine months of the year about S24SOOO"0."
 Next Year.
 With a view to more efficient organ ization of the trade in imported sugars next year two committees have been formed by the food administration:
 l. A committee comprising repre- sentatives of all of the elements of American cane refining groups. The nrincipaI 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 refners, with a member of the food administra- | ton. 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 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 gOva 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 wi>E the Cuban government and 1 wish to state emphatically that all of the gen. tIemen 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 15 cents per hundred. The price agreed upon is about S4.6O per hundred pounds, f. o. b. Cuba, or equal to about $6 duty paid New York.
 "This price should eVentuate,"
 Eir. Hoover said, "to about S7.30
 per hundred for refined sugar from
 the refiners at seaboard points or
 should place sugar in the hands of
 the consumer at from 9R to 9
 cents per pound, depending upon
 locality and conditions of trade, or
 at from to 2 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 $25,000,00O 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