Evening star., 1923-10-09
1928 SUGAR OUTPUT.
19,375,Ol0'T TONS
Estimates Put Consumption
at $4,000 Tons More Than
Years Probable Crop.
by j. C. ROYLE.

Special Dispatch to The Star.
NEW YORK, October 9.-The prob
able consumption of sugar in the
world for the year of 1923 now is
estimated 19.375.0o0 long tons. The
production of sugar in the world
for the year up to December 81 of
this year is estimated at 19.337,00
tons. This does not mean that there
will not be enough sugar to go
around, but it does mean that the
difference between production and
consumption--approx $4,000
tonS-will have to be withdrawn from
the initial stocks which existed in
warehouses at the beginning of this
year.
Steady Prices Predicted.
1t also means that the world posi-
tion of, sugar will be less favorable
. at the end of this year than at the
end Of 1922 and gives justification for
the belief that Irrespective of how
they may be moved by temporary
speculative impulse the general level
OF sugar prices will be fairly stable
and strong for some time to come.
For world supply and demand have
been proven to be far more potent
factors in the eStablishmen of prices
artificial means of regulation.
AS to the sugar situation in the
United States, the production of beet
sugar undoubtedly will be heavier
age was increased and. there is every
indication that the yield and sugar
content Will be unusually heavy. This
sugar is now being produced in the
factories of the west. but will not
suffice. of itself. to meet the coun-
try's requirements. The cane sugar
produced in the south also is coming
on the market, but this is even less
4 factor in supplying consumers.
Cuban Crop Practically Sold.
The Cuban crop amounted to $780,
600 tons and it is estimated that less
tuba unsold or not taken care of by
lolilng arrangements. At the start
or the year estimates of the Cuban
crop ran as high as 100000 tons.
Ihls falling off in actual production
was held responsible for the sharp ad-
vance in sugar prices-last spring, but
was counteracted in good part by the
reports that the European sugar beet
production would be heavy
Prices dropped, but dealers and re-
tailers held OFF for still further recess
s1onS,, until stocks reached denger-
ously low point. Recently they have
mad 70 buy on rising market. caus-
ing the abrupt recovery of last month
Situation In Europe.
The latest estimate of the Euro
pean beet sugar crop is 5,344 600 tons
but since there was a shortage of
supplies in Europe in the early part
of the year. Europe entered the 1929
"a sugar beet crop season with re-
duced stocks of sugar and will be
compel ed to draw more heavily than
usual on the new crop during the
last three months of this year. Soviet
Russia has come actively into the
market. both for Czechoslovaki ian
sugar and for the Japanese product.
and has become a factor in the Euro
pean market.
1t has been possible because of
lew ocean freight rates, to ship full
duty sugar, such as those from Peru.
Brazil and Java, to this country at
lower price level, than in ordinary
years. but even with the advantage of
low rates they have had only a minor
influence on the market or on prices,
and the trade al present is not con-
sidering them seriously. Moreover.
India has taken 100000 tons Of Java
sugar and 10000 additional tons were
destroyed in the Japanese earth
quake and fire.
Dealers Oppose Tariff Changes.
There has been some discussion re-
garding lowering of tariff rates as a
means OF reducing sugar prices, but
dea erS and producers maintain that
"OrIQ supply ana demand Is the uOn1-
nant influence and that alteration of
the tariff could not nullify this in
fuence.
Certainly no alteration of the tariff.
they say, would suftlce to produce
more sugar in Cuba or other produc-
.jng countries until the next crop year.
Neither would such changes induce
consumers to buy at advantageous
periods, it being an economic truism
that they always rush to buy on
rising market.