San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-10-10
SUGAR RESERVE
SUPPLIES WILL
| Be WITHDRAWN
Production Will Not Exceed
Consumption This
Year.
DEMAND A BIG FACTOR
Lower Tariff Rates viii
j Have Little Effect
r. on Price.
DEMAND A BIG FACTOR
BY j. c. MYLE.

copyright. by The San Antonio Ihent'
New York, Oct. 1O.-The probable
consumption of sugar in the world
for the year of 1923 now is estimated
19,375,0OO long tons.
The production of sugar in the
world for the year up to December 81
of this year, is placed at 1887 900
tons.
This does not mean that there VIII
not be enough sugar to go around,
but it does mean that the difference
between production and consumption
-approximately $4,000 tons-will
have to be withdrawn from the initial
stocks which existed in warehouses at
the beginning of this year.
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 specula-
tive impulses. the general level OF su.
gar 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 rae
tors in the establishment of prices
than tariff regulations or any other
artificial means of retaliation.
! Beet Sugar Output.
As to the sugar situation in the
United States the production OF beet
sugar undoubtedly will be heavier
than it was last year. q,
The beet acreage 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 i'll the
South also is coming on. the market.
but this is even less factor in sup
plying consumers.
The Cuban crop amounted to 3,GOO,-
/ 900 tons and it is estimated that less
than 10000 tons of sugar remain in
Cuba unsold or not taken care of by
| tolling arrangement.
At the start of the year estimates
of the Cuban crop ran as high as H..
10C. 600 tons. -.
This falling off in actual produc-
tion was held responsible for the
sharp advance .in--sugar prices last
spring, but twas counteracted in good
part BY the reports that the Euro
pean sugar beet production would be
heavy.
prices dropped but dealers and re-
tailers held off for still further recess
sions until stocks reached dangerous
ly low point.
Recently they have had TO buy on a
rising market causing the abrupt re-
covery of last month.
The last estimate of the European
beet sugar crop is 5,344,0 600 tons. but
since there was q shortage of supplies
in Europe in the carly part of this
year, Europe entered the 1924 su-
gar beet crop season with reduced
stocks of sugar and will be compelled
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 Ccechosloka-
Wan sugar and for the japanese prod
uct and has become factor in the
European market.
Rates Have Little Effect.
II has been possible because of low
ocean freight rates to ship full duty
sugars such as those from Peru, Java
and Brazil to this country at lower
price level than in ordinary years, but
even with the advantage of low rates
they have had only n minor influence
on the market or on the prices and
the trade at present is not consider
ing them spriously
Moreover, India has taken 100000
tons of Java sugar and 10000 addi-
tional tons were destroyed in the Jap
anese earthquake and fire.
There has been some discussion re-
garding lowering of tariff rates as n
means of reducing sugar prices. but
dealers and producers maintain that
world supply and demand is the
dominant influence and that altera-
ton Of the tariff could not nullify this
influence.
Certainly no alteration of the tar
iff. they say, would suffice to produce
more sugar in Cuba or other pro-
ducing countries until the next crop
year.
:. Neither world such changes induce
consumers to buy at advantageous pc
fiods. il being an economic truism
that they always rush to buy on ris-
ing market.
Big Building Boom.