New Ulm review. (New Ulm, Brown County, Minn.) 1892-1961, 1919-09-24
SHORTAGE DUE TO
HIGH CONSUMPTION
OTHER REASONS FOR PRESENT
SUGAR SCARCITY GIVEN
BY BROKER
NEW CROP TO BE EXPECTED
BY THE MIDDLE OF NEXT
MONTH

The present scarcity Of sugar in New
Ulm and all over the Northwest is a
puzzle to many. People ask themselves
in vain what the reasons may be for this
shortage. In order to get an idea of
what the underlying conditions are
attention should be given to the in
creased consumption of the United
States for the first seven months of 1919
over any previous similar period, says a
circular sent out by the Meinrath Broker
age Co., of Minneapolis. The Statistical
Department of the Z. S. Sugar Equaliza-
ton Board show the consumption Of the
United States January LIST to July 31st,
1919 as 2,614,000 long tons against
2,288,000 long tons last year, an increase
of $4,000 tons for this period. Beet
sugar distribution also increased con-
siderably during the same period 466,
coo tons were used in the same period
against 100000 tons in the previous. year.
Export to Europe:
Considerable is said with reference
to exporting sugar from the United
States to Europe Refners exports,
January 1st to July 31st, this year, We're
411,OO0 long tons as against $4,000
ton in 1918
The reason for this heavy increase
is that when the u S. Sugar Equali-
zation Board contracted with Cuba last
year for the entire Cuban crop Of raws
they were dealing for the European
Allies as well and each of these countries
was allotted their proportio : Of this
sugar. AS they have st sufficient
capacity for refining, considerable
quantity of raws have besasrafnEa by!
; the U. S. refners, and eysGsstt
Europe as refined.
The Invisible Supply"
Furthermore, in previous years, it
has been customary for jobbers, manu-
! facturers and retailers to accumulate
more or less sugar during the spring
months, this being known as the invi-
sible supply" Jobbers thought nothing
of having considerable sugar on hand
and retailers likewise. This year there
was practically no invisible supply when
the demand began to increase in April,
May and June, since which time, the
consumption demand has been greater
than the Refners and Producers were
|
able to cope with.
More Difficulties.
Further difficulties have arisen in
the way Of marine strikes, resulting in
decreasing the receipts Of Cuban raws
for several weeks, and more recently
the railroad strike in California which
stopped for nine days, all shipments
from beet producers who were just
getting started on new crop, being a
month later this year than usual due
to very unfavorable early growing wea-
ther idrouth>.
New Sugar Coming.
The u. S. Sugar Equa:lzation Board
have purchased total so far Of CSC, 900
bags new crop California Beet Sugar,
| which is being distributed throughout
the central states through the Food
Administration Sugar Distributing COM
mitee and the various District Beet
Sugar Brokers Committees, the inten-
ton being to relieve so far as possible
with the limited supplies available, cases
of actual distress although sugars can
not begin to be manufactured and
shipped rapidly enough to takeS care
of the heavy demand that now exists
for sugar.
Distribution Faulty.
That the Sugar Equalization Board
has not been entirely without fault
in creating the present condition is
claimed by local sugar distributors.
The men at the head Of this organiza-
ton may be well meaning and able blsi-
ness men but they lacked the experience
of the men in charge Of sugar distrii-
button for many years, it is said.
r. NJ Hicks, of the New Ulm Gro
Gerry Company, states that the sugar
shortage will soon be at an end Octo-
Der 10th will find enough sugar in the
hands Of distributors and retailers to
satisfy all demands. Parts Of the sugar
supply already are being distributed
through the regular channels, the Equali-
cation Board gradually turning over
this work to the brokerage firms.
Examinations are being written here
to day by applicants for appointment as
postmaster at Gibbon.