The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1918-04-26
SHORTA GEgOF. SUGAR BAG !.
SUPPLY BECOMES A ACUTE
AND MAY REACH FAMINE

l. Z "A 80 Il = 4 ; :
High as the price Of bags has risen,
sugar producers are facing still higher
prices for the shortage Of bags has
now become acute. Producers here have
| in many instances recognized. the i'm
! Lending danger Of this but soon they
viii all be realizing il for war demands
have cut very. deeply into the supply.
ID On the subject Of the shortage Of
bags for the shipment Of sugar, Facts
About Sugar says in its issue of April
At NO time since the outbreak of the
European war have the domestic and
Cnbal fugar producers faced such un-
favorable prospects relative to their
sugar bag supply as is the case at pres
Iyent. Not only has the price of bags
scared to a.record high mark, approx
InAtcly now 53ia cents for Cuban bags,
as compared TO pre,war prices ranging
from thirteen 70 eighteen cents, but
due tsi . scarcity Of shipping a strong
Possibility exists Of producers in the
Western Hemisphere failing to obtain
bag supplies anywhere approac hing
their .requirements for 1919.
situation Now Acute ,.,.
slt "a survey, conducted by Fncts About
Sugar this week among the leading
lveal dealers in the inte and sugar lag
trade clearly, indicates that the bag
sitpaticn in so far as the supply FOR
1919 is concerned Is most acute It
also shows that the sugar producers
generally are well, aware, of the diff
,cllties they face, as the bag trade re-
ports that there has been an active
demand for bags for as carly delivery
in Sl9l9 as can be obtained.
y On the other hand, the s1rvey shows
that II is practically impossible to place
any large volume Of orders IN this
market for bags for future delivery,
masraNch, as local dealers can not Sc
cure- firm, acceptances from Calcutta
to cover this business sought. A prom
inent bag dealer who was interviewed
this week gave the following cNplarH
ton. Of conditions in the Calcutta
market He said: H.. To-
Heavy Demand for War Use
lowing to: the heavy acquisitions
made by the British government on
the. Indian iute crop during 1917, and
SO far in 1918, to meet military re-
quirements in bags and other jute
products, fully fifty percent of the
crop is being annually absorbed by this
demand, This continued heavy govern
mept absorption of the crop has driv-
en- the, prices of jute and bags stead
lily upward in the past four years, and
the Calcutta market has become a high
ly speculative one. The trade there is
disinelined therefore to deal in any fu-
ture business and it is almost impos-
sible fer American dealers. to obtain
| firm offer. by cable for either burlap
or bags purchased for delivery at any
time far in the future.
| 'In edition, there are disturbing
! complications relative to exchange and
the uncertainty of shipping possibili-
tics that make it very difficult to 81.
| cure bags at the present time for LHe
in the 1919 crop seasons of the vari'
Gus producing countries. Even with
the high freight rates prevailing, such
as the rate quoted at present of 800
a ton fer sugar bags from Calcutta to
the Pacific Coast, it is almost impossi-
bic t. get space for bag shipments, and
some Prti0n will have to be taken by
both the British and American govern
ments if the necessary shipping space
is to be provided to move the bags
needed for next years crop.
at has been reported from the
United Kingdom during the past few
weeks that there is a possibility of the
British government taking over the
jute and burlap market in CalcuttI
during the present year in order that
the speculative element now in con
troll may be eliminated. If such prove =
to be the case it may mean a lower
price for bags for 1919, and very like
ly will mean also that provisions will
te made to supply the producers OF
the Western Hemisphere with bags
Whether or not, in that case, after the
government has taken the portion OF