Evening star., 1929-06-27
Stephen Love Tells Senators
Hoover Gave Him View,
Not Mentioning Rate.
WALL STREET DECLARED
OPPOSING INCREASE
Serious Condition Exists in Beet
and Cane Industry, Associa-
tion Head Ayers.

BY the Associated Press.
Testimony that President Hoover had
told him within the last three months
that he was much interested in pro-
lection for the domestic sugar industry"
was given before Senate finance sub
committee today by Stephen H. Love,
president of the United States Beet
Sugar Association.
Love said Mr.. Hoover had expressed
this view to him in Utah during the
last campaign and in Washington since
the election
DO you believe he favors increased
duties?" asked Senator Connally, Demo-
crat, of Texas
Yes, but / don't know what rates
he favors," the witness replied. ADDING
that ne was not trying to speak for the
Love declared that Wall Street inter-
ests with large Cuban holdings, include
ing the National City Bank and the
Cuban government, were the source
OF the anti-sugar tariff propaganda"
He contended the increase Of approxi-
mately two-thirds of cent pound In
the raw sugar duty was urgently needed
to protect American producers and said
the facts are unrefuted that serious,
critical condition exists in the beet and
cane industry Of continental United
States.
Raw Material Lacking.
Nearly q third of the beet sugar
plants" he continued, must shut down
for lack OF raw material. Half Of the
Louisiana sugar cane mills are idle.
Only one important company In the
entire beet sugar industry Is paying
dividends.
Foreign sugars are being dumped on
the American market below cost Of pro-
duction.
"Cuba is both producing too much
sugar for her own good and Is attempt
ing to market too large q percentage of
detriment of the American sugar in
dustry. She Is forcing upwards Of 20
per cent Of this. onto the American mar
ket because other countries have higher
sugar tariffs than the United States.
We are confronted with q farm re-
lief problem. The country is producing
q surplus Of certain crops. Productiun
oI peel. cane and corn sugar. 10y
an important farm activity, embracing
millions of acres In score Of States.
can be greatly expanded. More than
any other, the sugar crop could contrib
ute toward q more diversified arriclfl-
ture in the United States"
Love added that on the basis of pres-
ent differences In production costs q
much higher increase in duty was war
ranted than the 81 hundredths of 1
cent per pound requested by the Amer
ican sugar farmers.
Love disagreed with Labor Depart-
ment report read by Senator Harrison.
Democrat, of Mississippi, showing that
30 per cent Of the labor employed ia the
beet fields of Ohio. Michigan, Minne-
sofa and South Dakota, were Mexicans.
He conceded that Mexicans were used
20 large extent in many Of the II beet
states, but said they constituted less
than per cent in Utah and Idaho.
answering arguments that the Great
western Sugar Co. was earning huge
pronts. Love said considering its in
vestment the profits could not be re-
garded as excessive.
Speaks for Trade Body.
Preceding Loves testimony. q. r.
Parker OF New York, representing the
American Exporters and Importers' AS
Sociation, had protested against the
House bill rate of 2.40 cents a pound
on Cuban raw sugar, as against a pres
ent rate of 1.76 cents.
He said his organization had been
engaged in fostering American foreign
trade. principally its export business,
for % years and urged that the tariff
be considered from the standpoint of
continuing this export trade.
America consumed about 100000
tons OF sugar year, he declared. but
furnished only about 20 per cent itself.
while Cuba provided almost half of
this amount and American possessions
the remainder.
Because of her close geographical and
important political position, Parker
t1o mi
sideration in the matter. Parker said
Cuba paid nearly one-Quarter Of the
total American customs, yet I'VE are
preparing to tax every man, woman
and child In this country and at the
same time lose sight of our peculiar
political relationship to Cuba"
Low Price Held Blow.
OF the record. Love testified that
the beet sugar factories would not be
able to do any business this FAN with
New York bankers because Of the low
Especially the National CITY Bank"
interrupted Senator Smoot, Republican,
Utah.
why the National City Bank?" asked
Senator Harrison.
II did not mention that bank" Love
replied.
1.-THE National has its money in
Cuba" Smoot answered.
Senator Smoot disclosed he was con-
sidering sliding scale sugar tariff,
but was not certain whether the plan
could be worked out.
Asked by Senator Connally, Demo-
crat, Texas II the higher duty would
not stimulate Philippine production,
Love said he thought 1t would. although
the agitation for restriction on Philip
pine free sugar imports would tend to
keep the islands from going into ur-
limited production.
Love added that 1t was mighty
poor brand OF craftsmanship" not to
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