Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1919-09-01
SUGAR SHOULD
y ONLY SELL AT
ELEVEN CENTS
Dealer Shows Poor Judgment
When He Tries To Sell CommOd-
ity for More Money.
BY FREDERICK ]. HASkIN.


BY FREDERICK ]. HASKIN.
Washington Bureau. The Argus
Washington, ID. c.. Sept. 1.-The
dealer who seeks to profiteer in
sugar is showing poor Judgment
In the case of almost any other
commodity. il is a question Just
what is a fair price and what con-
stitutes prOfteeTing. But, although
most people do not seem to realize
il. sugar is still being sold under
the wartime regulations made by
the food administration, and rigOr-
ously enforced by that organiZa-
ton during the war.
The food administration is now
a mere whispering shadow of its
former self. but this sugar agree
ment remains as a monument TO
its days Of glory, and makes it
easy for the department of justice
to get the man who seeks to gouge
the public on sugar prices. Three
wholesale dealers have recently
been arrested. and one jObber has
had his license revoked. for Charg-
ing excessive prices for sugar.
Our desire is to secure a fair
price to the consumer" said At
torney-General Palmer in an
nouncing rigorous enforcement OF
sugar regulations. I'VE do not
wish to pursue a wholesale policy
of recommending cancellation of
licenses. Where trade adjusts it
self to a fair price for the future,
past violations, unless fragrant,
will not ordinarily be made the
basis of a recommendation by this
department for the cancellation of
the licenses"
Any housewife who pays more
than II cents a pound for sugar is
Novercharged, according to the food
Administration. The producers
and refners are getting the same
price for sugar today that they
received during the war. That
price is to continue in effect for
the remainder of the year by
agreement between the refiners
and the government. If more than
II cents is charged the consumer,
prohteering is going on, and the
government agents will take sum
mary action against the profiteers.
As High As 16c.
Reports have reached the food
administration that retailers have
been getting as high as 16 cents a
pound for sugar in Chicago. Many
cities report that the retailers are
charging IA and Is cents, while
right here in Washington, under
the very nose of the food admins
tration, grocers are charging as
high as 1917 cents.
There is positively n justifica-
ton for an increase in the price
Of sugar at this time. Last Octo-
Der the sugar equalization board.
which is a part of the food admin
istration, purchased the entire do
nestle and Cuban crops of raw
sugar. The Cuban crop alone is
estimated at more than four mil
lion tons. One-third of this crop
was allotted to Great Britain.
There remains about one million
tons of the American portion of
the Cuban crop, and this is now
NailabIe for distribution III this
country just as fast as 1t can be
shipped and refined.
The equalization board sells raw
sugar to refners at 7.28 cents
pound. Refiners are under contract
with the board not to charge more
than cents to the wholesalers.
The latter are allowed a maximum
margin of profit of So cents per
100 pounds for handling, while the
retailers are permitted to take a
profit of liz cents a pound max
ing a fair price of II cents to the
consumer.
Every sugar dealer in the coun-
try binds himself to live up TO the
price arrangement made by the
food administration. when he takes
out a license to deal in sugar.
This license can be revoked at any
time by the food administration
for the, violation of any of the con-
ditions of sale and distribution.
Food Administrator Hoover's large
organization has been reduced TO
a skeleton, and because of the lack
of agents to see that the regula-
tions are lived up to, many dealers
have been able TO do little cheat
ing.
When there was (; scarcity of
sugar reported in certain parts of
the country few months ago, the
jobbers Immediately took advant-
age of this situation to boost the
price. This was in direct violation
of the terms of their agreement.
But it is certain that the price of
sugar would have been even high
er in this country if It had not been
under government control all
through the war.
While there is an obvious search
" OF sugar in this country. the
sweet tooth which endured such
great hardships and privatiOns
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