Evening star., 1924-03-05
CUBA LOSING GRIP
0NSUGAR INDUSTRY
u. S. to Raise Greater Acre.
age This Year-Prices Ex-
pected to Remain Steady.
BY J. C.. ROYLE.

Special Dispatch to The Star.
NEW YORK. March 5.-The posi-
tion of Cuba in the sugar industry Is
steadily becoming of less Importance.
Consumers and retailers who keep in
close touch with the market are
optimistic that future prices will be
confined within moderate range
unless unexpected weather develop
ments disrupt conditions. They are
therefore buying refined sugar only
for immediate needs at present.
,preferring to let the refiners run that
risk and carry the stocks.
The biggest beet sugar year in the
history of this country is in the
making. according to estimates of
ers assert that If conditions during
the growing and harvesting season
are even reasonably favorable, the
year will see production of beet
sugar not hitherto approached.
Big Contracts Expected.
Records of the Colorado crop re-
porting service, affiliated with the
sugar beets were the most valuable
crop in that state last year in pro-
portion to the acreage planted. An
increase of acreage of at least 20
per cent is indicated there this year
The Great Western Sugar Company
expects to contract this season for
more than 10000 acres. the Holly
Sugar Corporation for $1,000 to $4,000
acres. the Indepedent Sugar Corpora
tion for 5000, the l-erican Beet
National Sugar Company for 5000
acres. Equally heavy paintings are
expected in other sugar beet states.
Reasons for Optimism.
The optimism of the manufacturers
and growers is based on two factors.
The first Is the success which at
tended the invasion of eastern mar
kets. hitherto in the grip Of the cane
sugar ref1ners, in 1923, and the re-
sultant high prices which the product
yielded. The second is improved
feeling which exists between the
growers and manufacturers as a re-
suit of the 1924 contracts which have
tain states. in Michigan and Ohio
and on the Pacific coast. These con-
tracts. in most instances, are on a
higher sliding scale basis than ever
before has been offered beet farmers.
This has promoted an accord which,
il is believed, will tend toward bet
ter handling of beet workers and
more advantageous sale Of the manu-
factured product
Banking Position Good.
The effect Of the industry on the
financial and business position of the
country as whole is illustrated ac-
ourately in the banking position in
the intermountain states. For exam
pie, the index of rediScounts and
loans at the Salt Lake City branch
Of the federal reserve bank serving
Utah. the larger part Of Idaho and
in 1920 these items reached a peak
of S4i.00O.0O0, compared with de-
posits of s6.500.000. the present total
of rediscoun:s and loans Is around
sS.0U0.00o. with deposits of S9,OGV,UU0.
This improved condition is attributed
largely to the recovery of the sugar
beet industry.
The companies making sugar there
are in greatly improved condition
and the farmers who planted beets
have prospered. There is a notable
lack of the complaints which have
come in such volume from the agr-
cultural sections devoted largely to
wheat, or in which crop diversified
tion has not been practiced, and this
has been attended by reports of bet
ter trade by merchants and large
sales by manufacturers and whole
salers in other sections.
Company Control Changing.
a deal is now ION the fire" which
may result in a realigment of the
sugar situation in Wyoming and
California. The Holly Sugar Cor
poration of Colorado has acquired
large minority interest in the stock
Of the wyoming Sugar Company, op-
Grating a plant at Worland. in the
Big Horn basin, and has obtained an
option on the remainder. The Great
Western Sugar Company has offered
to take over stock and option at
profit, and if the offer is accepted the
Holly Corporation will abandon its
plan of transferring its plant at Ana
helm, Calf. to Torrington. Wyo.,
where it has contracted for 5000 acres
Of beets this season. The Worland
district would be considerably ex-
panded.
The Great Western Company con-
siders the Torrington district as trib-
utary to its factories In western Ne
braska, and Is wiling to take over
the Worland plant at a profit to the
Holly company. provided the Torring
ton factory Is not put in operation.
AS an inducement. it Is said that
Great Western is willing to divert
enough beets from the Billings, Mont,
district to the Holly plant at Sheri-
dan to allow capacity operations
there.