The Washington herald., 1921-05-01
ARGENTINE SUGAR
STILL REMAINS AN +.
UNCERTAIN CROP.
Marketing Facilities Are
Poor and Labor Ill
Adapted.
CLIMATE is FACTOR
Large Area in Sugar Belt Ex-
|. posed to Early Heavy
Frosts.
CLIMATE IS FACTOP
BY JULIUS KLEIN.


. Recently United States Commercial
Attache at Beunos Aires.
within q fortnight the 1891 grind
Ding season will begin In the Argen-
tine sugar mills, but this year the
much-discussed question of the dis
possl of the exportable surplus will
q not come to the fore because, ac-
cording to the latest reports, there
are no prospects of any such sur
plus. 1t will be recalled that this
problem was the subject of q sharp
. and prolonged conflict last year be-
tween the government on the one
hand and the growers and foreign
buyers on the other. The former
had declared its intention to protecs
Sthe interests Of the local market by
assuring an adequate supply for do
mestic consumption before permit
ting any expectations.
. In May. 1920. exports up to 100, 900
htons were declared permissible, but
fonly upon condition that the export
krs set aside certain quantities for
ne local market and that the do
mestic price be below IS cents Ar
gentine paper a kilo equivalent to
about 7.3 cents United States q
tions. however, the price In the do
nestle market began to rise after
some of the permitted exports had
been moved. including some $1,000
ttons to the United States; serious
storms destroyed nearly a third of
the crop early in July. and by the
latter part of that month sugar was
selling in Buenos Aires at retail for
e5 cents (Argentine) a kilo. This
situation brought on legislation
providing for government expro-
priation of $4,000 tons at a low price
with a view toward protecting con-
sumers-a measure which naturally
aroused the bitter hostility Of the
growers.
This issue is not likely to come up
during the 1921 season because of
the decline in the yield. which will
probably not exceed 10000 long
TINS. as against 225.ooO last year.
$4,000 in 1919, 10000 in 1913. and
$4,000 in 1917. These figures bring
out one important aspect of the Ar
,gentine sugar ndustry-namely. the
wide fluctuations Of its output from
year to year Normally the country
is not in a position to export sugar.
Since the home consumption aver
ages about 100000 tons a year. and
in only four years during the his
~y OF the industry has that figure
been exceeded by the total output.
In 1914 and 1915 there were record
yields OF 27s.0OO and 3s6.0O0 tons.
respectively. but those years and
1919 and 1920 were the only ones
when an export surplus was avail
able.
IA - 81 1t, n
the development cf the industry in
Argentina. The most serious Of
these has been the climate in the
sugar belt in the provinces of Tucu-
man and Jujuy. which lie close TO
the main ridge of the Andes. in tAe
northwest corner CT the republic, in
an area which. because of altitude
and environment. is much exposed
TO early frosts. These come in June,
within month or six weeks of tie
Beginning of the harvest. and have
been most disastrous in recent
years, notably in 1916 and 1917.
when the yield was cut to less than
W per cent OF the average figure.
If the crops have matured with suf-
fcient rapidity the danger from
damage by the frosts is materially
lessened. This fac. has led to the
Introduction since 1916 Of Java cane
in place of the native variety be-
cause the former natures much
more rapidly.
This change makes necessary the
refitting Of MANY of the forty-odd
mills OF the district with heavier
machinery Of the sort required for
W new type OF cane. The restora-
of normal conditions in the su-
n industry will therefore reveal
an attractive Argentine market for
such equipment. The Introduction
Nof the harder cane will tend to
stabilize the industry and may even
provide a modest surplus for export
each year.
n Another obstacle to efficient sugar
lgrowing and marketing in Argen-
tina is that of inadequate and ex-
pensive transportation, both on the
plantations and between them and
the markets. The Cuban sugar in
d1stry was remade with the intro
keuction of light railways and other
forms of efficient TRANSPORTATION.
The reports of Industrial engineers
who have recently studied the situ-
Sstion in Northern Argentina indi-
late that similar improvements are
prerequisite to any considerable
Expansion Of the industry in that
egion. though the prospects of Ar
Eentine retaliatory measures against
the Fordney tariff may seriously
hamper American participation in
Ithis work
sThe remoteness Of the sugar area
from the larger centers of home
consumption and from the exports
points. necessitsting a rail haul of
~ nine hundred miles, places
rgentine product at a decided
hissdvantage as compared with the
Peruvian or Brazilian sugars, which
fs grown close to the seaboard.
PIE prospect of Improvement in this
regard ID the construction of the
Paita-Antofagasta railway, which
vas begun by the Argentine gov
ernment a few weeks ago. As soon
~ this line is completed any avail
ble surplus of Argentine sugar
an be readily exported to the con-