The Prince George's enquirer and southern Maryland advertiser. (Upper Marlborough, Md.) 1882-1925, 1918-01-25

averaged about IS 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 ref1ners
were placed under agreement estao-
fishing these limits on October 1, ana
anything over this amount to be agreed
extortionate under the law.
"In the course Of these inyestlga-
lions 1t was found by canvass of the
Cuban producers that their sugar nao'
during the first nine months Of the
past year, sold for an average OF ABOUT
S424 per hundred f. o. b. Cuba, to
which duty and freight added to the
refiners' cost amount to about $ooo
Der hundred. The average sale price
of pranulated by various refneries, &C
cording to our investigation, was ABOUT
ST so per hundred, or differential OF
$184
"In reducing the differential to $1.3O
there was a saving to the public OF o.
cents per hundred. Had such oil
ferential been in use from the lst Oh
January, 1917, the public would nave
saved in the first nine months OF the
year about $24, 100000"
Next Year.
With q view to more efficient organ
lzation of the trade in imported sugars
uext year two committees have peen
formed by the food administration:
1. A committee comprising repre-
sentatives Of all Of the elements OF
American cane refining groups. Inc
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 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 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 Ameri-
ran. 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
he Cuban government, and l wish to
state emphatically that all of the gen.
tlemen concerned as good commercial
men have endeavored with the utmost
patience and skill to secure q 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, f. 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 i
the refiners at seaboard points or
should place sugar In the hands OF
the consumer at from sE2 to 9
cents per pound, depending upon
locality and conditions Of trade, or !
at from 1 to q cents below the
prices Of August last and from one /
half to a 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,O00,OOO 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 "a cents
above that of 1917. 1t is said in effect
that the Cubans are at our mercy;
that we could get sugar a cent lower.
We made exhaustive study of the cost
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 higher level We
found that an average profit Of at
least a cent per pound was necessary
IN order to maintain and stimulate
production or that minimum price OF
s437 was necessary, and even this
would stife some producers.
1.-THE price ultimately agreed was %
cents above these figures, or about one
dfth Of a cent per pound to the Ameri-
can consumer, and more than this
amount has been saved by our reduc-
ton in ref1ners' profits. If we wish to
stifle production in Cuba we could
take that course just at the time OF all
times in our history when we want
production for ourselves and the al
lies. Further than that, the state de-
oartment will assure you that such a
course would produce disturbances in
| Cuba and destroy even our present
supplies, but beyond all these material
reasons Is one Of human justice. This
great country has no right by the
might of its position to strangle Cuba.
Therefore there is no imposition
| upon the American public. Charges
| have been made before this commit
fee that Mr.. Rolph endeavored to ben
| eft the California refinery of which he
was manager by this "a cent increase
In Cuban price Mr.. Rolph did not fix
the price. 1t does raise the price to
| the Hawaiian farmer about that
amount. 1t does not raise the profit Of
The California refinery, because their
charge for refining is. like all other re-
| iners, limited to $1.3O per hundred
pounds. plus the freight differential on
| the established custom of the trade.
Mr.. Rolph has not one penny OF In
terest in that refinery"