Evening star., 1923-04-19
Prices of Sugar Unwarranted al
This Time, Says Senator.

Senator Mcclellan OF Tennessee,
,, democrat, in a statement issued to-
day attacking the manipulators of
sugar prices, declared that the pres
ent high prices were entirely unwar-
ranted.
Il want" said Senator Mcclellan,
most respectfully and earnestly to
make four suggestions to the Presi-
dent, which If followed, in my judg-
ment. will break up the sugar corner
and restore a normal price for this
prime necessity of life.
First, the President has the au.
thority under the tariff act OF, last
September to reduce the tariff 90 per
cent. This would reduce the price OF
sugar at least l cent per pound
Second. the President can take ac,
ton against the sugar trusts and
gamblers under the federal trace
commissi6.. act of 1914. Section SIX
specifically states upon the direction
of the President or either House 70
investigate and report the 1acts re-
antitrust acts by any, corporation
the Trade Commission has full power
to investigate this situation. IL mas
full power to prevent unfair compeli-
tion or unlawful trade practiCcss.
Third Section 3 Of the Claytoil
antitrust act Of 1914 will furnish
the President and the Attoreny Gen
eral ample authority TO deai WIZ
this sugar situation: These sugar
people are beyond doubt operating
in restraint of trade. They have be
yond doubt already created a monopoly.
They should be indicted and trled IN
the courts as by plain law proyloeo.
In these three specific acts the Pfes-
ident has abundant authority. to
break this corner In sugar. Out he
can even go one step further.
Fourth. IF he were to make pubic
statement that unless the grip OF inns
trust upon sugar is released ana prices
restored to normal, he would go oefore
the Congress at the December session
and recommend to Congress tnat an
excess profits tax on sugar dealers De
enacted into law, which VIII recover IN
largest measure the unfair and unholy
profits the sugar trusts and other
gamblers are now making, the corpora
tions and trusts would be broken, and
'normalcy' in sugar prlces-to use tne
Presidents own word-wouid ne re-
stored.
These men will not take chance
to make these great profits If they
know that Congress VIII force tnem
to return their unconscionaole gains
States for the benefit Of the people
That Congress will act favorably
upon such a recommendation there
can be no reasonable doubt.
Question of Tariff.
The President is quoted as saying
that the tariff does not AFFECT the
price of sugar and that this is shown
by the fact that the tarin in Canada
is less and that the price is greater
there.
"To say that the price of an article.
the production cost Of which is cents
or less per pound. and the taH6 there
on is IL cents per pound. Is not az
fected by the tariff is making quite
startling statement. to say the least
of it. That he is in error does not ad-
nit of a doubt. Again, the President
is apparently in error in his conten-
ton that the Canadian tariff on sugar
is less than the American tariff. The
American tariff on sugar works out
I.s6 cents per pound. 1 have before
me a copy of the sugar tariff act of
Canada of June 8, 1922, in which the
lowest duty Is 2 cents per pound and
the highest duty. 2.3s cents per pound.
depending upon degrees Of polariza-
ton. Refined granulated sugar is
quoted in New York at 9.25 to $40.
Refined granuiated sugar In Canada is
quoted in Canada at 1859. The larger
Canadian tariff would seem to account
fully for the larger Canadian price Of
sugar"