Evening star., 1927-05-23
SUGAR TARIFF CUT 1
|SFEARED IN SOUTH.
Bowl" of Louisiana, Hit by
Flood, in Danger of An
other Catastrophe.
BY j. G. R0YI4F.
Special Dispatch to The Star.

Special Dispatch to Ihe star.
NEW YORK. May 23.-"The sugar
howl" OF Louisiana, which has suf-
fered so seriously from the floods in
the Mississippi Valley, has been in
danger and still is in danger Of a
far greater catastrophe. according to
southern sugar men. That danger
is the effort of the raw sugar pro-
ducers to have the American tariff
barriers on Cuban raw sugar low
erred. The central part of Louist-
ana can and will be replanted with
improved varieties Of cane, bat
planters say it could never recover
from competition with cheaply pro-
dlced Cuban sugar it the tarin pro-
lection We're lowered.
The Cuban producers have not re-
laxed their efforts in that direction.
This was plainly shown by the pub
lie utterances Of President MachadO
of the island during his visit to this
country. lie laid particular stress on
the idea that Cuba would buy from
that country which bought from her.
This is the leading argument of those
in favor Of reduction of tariff, who
assert that If Cuba could make more
money from her sugar she could buy
more manufactured goods from the
United States.
6,000,000 Tons Year.
President Machado admitted that
Cuba was in position to produce
100000 tons of sugar year. This
wear the Cuban production was re-
stricted by government regulations to
4.5O0 600 tons. With that amount
available for export to the United
States and with the tariff wall low
cred. the Louisiana cane producers,
the Midwest and intermountain
Western sugar beet producers and
the Porto Rico, Hawaii and Philip
pine Islands cane growers would be
wiped out. according to domestic
producers.
According to President MachadQ,
the sale Of raw sugar brings to Cuba
under present conditions over $1o0
per capita. Most of this sugar is
purchased by the United States. What
Cuba buys from the United States
would not approach an equal sum.
In fact the Cuban product comes into
direct competition with the Louisiana
crop right in the latter's own terri
tory around New Orleans.
The disaster to the Louisiana crop
seemingly has given confidence to the
Cuban producers, for although demand
has been light for refined owing to
the late coming of warm growing and
preserving weather, the offerings from
the island have been light and the
planters there confident that they will
be able TO market the remainder Of
the 1926-27 output at gradually ad-
about 25 900 tons of Cuban sugar now
remains to be made, according to the
restriction order 4,473,00 tons having
been made up to May Is.
Question Undecided.
The question as to whether there
will be a restriction on the Cuban
crop next year Is still undecided
President Machado is known to have
told American refiners that the
policy of the Cuban government has
not yet been determined. He hoped
that all interested in Cuban sugar
production would be able to agree
as to the best course to follow, but
it no such decision were reached he
would take the responsibility of de-
Gliding the matter in accordance with
the best interests of his country.
With the possibility of such drastic
curtailment plainly displayed, all that
stands between the American public
and an artifcially stimulated advance
to prices comparable to those which
existed some years ago are the domes-
tic producers, according to sugar men.
A drastic cut in production might
force Great Britain and other con
tinental countries into the market
against America and cause decided
advance if the domestic growers
should not be able to compete. They
claim they certainly could not com
pete IL the tariff barrier were lowered
This involves the 616,073 tons pro-
duced in Porto Rico and the 775.000
tons produced in Hawaii. In answer
to the Cuban plea, based on probable
higher consumption of American
goods, the domestic growers point out
that while Cuba sells the continental
United States $125 worth of goods for
each of her citizens and buys far
smaller total from this country,
Hawaii sells the continental United
States annually $500 worth of products
for each inhabitant and buys Ameri.
can manufactured goods to the
amount of $3.50 for each Of her citizens.
The total overseas Hawaiian trade
amounted to S1S6, ,662 20a In 1925 and
90 per cent of this commerce was with
continental United States.
Continental United States sold Porto
Rico $s5, 100000 worth OF goods in
1925 and bought $4,000, 900 in island