The Dolores star., 1918-02-08

and the sale Of refined cane SUGAR
should be limited to tl-9O per hundred
Dounds- The pre-war difIerential had
averaged about IS cents and increased
costs were found to have been impos-
ed By the war In increased cost of ~
nning. lcsses, cost Of baga, lab6r. insurt
ance. interest and other things, rathes
more than cover the difference. After
prolonged negotiations the refinerD
were placed under agreement estab-
fishing these limlts on October I. and
anything over this amount to he agreed
extortionate under the law.
.In the course Of these investisa-
lions II 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
$4.24 per hundred I. q. b. Cuba. to
which duty and freight added to the
renners' cost amount to about &5.88
per hundred. The average sale price
Of granulated BY various reflneries, ac-
cording to our investigation. was about
$50 per hundred, or diRerential Of
Sl.S4.
there was 4 saving to the public OF "a
cents per hundred. Had such dif-
ferential been In use from the LIST OF
January, 1917. the public would have
saved in the first nine months Of the
year about s24sO0O00
Next Year.
With q view to more eficient 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 IL to
divide the sugar imports pro rata to
their various capacities and see that
absolute Justice 10 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.
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 gov.
eraments.
This committee, while holding strong
views as to the price to be paid for
Cuban sugar, has not had the nnal
voice. This voice has rested In the
governments concerned. together with
the Cuban government. and I wish to
state emphatically that all OF the gen.
tlemen concerned AZ good commercial
men have endeavored with the utmost
patience and skill to secure 4 lower
price, and their persistence has re-
duced Cuban demands by Is cents per
hundred. The price agreed upon 10
about $3.50 per hundred pounds. I. o. b.
Cuba. or equal to about 80 duty paid
New York.
This price should svsntuats,"
M. Hoover said, ''to about $50
per hundred for refined sugar from
the reflnsrs at ssaboard points or
should place sugar In the hands Of
the consumer At from "a 70
cents per pound, depending upon
locality and conditions Of trade, or
at from I 70 cents below the
prices Of August last and from one
half to cent per pound cheaper
than today.
"There ID now IN elimination Of
in the refining alone the American
people viii save over $25,O00.O 900 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 il "a cents
above that Of 1917. It II said In effect
that the Cubans are at our mercy
that we could get sugar q cent lower.
We made exhaustive study Of the cost
Of producing sugar In Cuba last year
through our own agents In Cuba. and
we nnd 1t averages $3.50. while many
producers are at q 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 a minimum price Of
N.37 was necessary, and even this
would stifle some producers.
"The price ultimately agreed was q
cents above these figures. or about one
nth Of cent per pound to the Ameri-
can consumer, and more than this
amount has been saved BY our reduc-
tion in renners' profits. II We wish to
stifie 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-
partment win assure you that such .