New Britain herald., 1930-01-13

ant industry In the Philippines, the islands supplying almost ten per cent of the American supply. Ten years ago the islands furnished less than two per cent of our sugar. What Congress does with respect to the sugar tariff cannot help having important repercussions in the is- lands. + it's chief industry is to be wrecked in order to aid the beet sugar interests of the United States then it is self-evident that the Filipinos will be more eager for in- dependence from a government which 'punishes' them in this man. ner for being part of the nation.
 Certain senators in Washington have justly become alarmed at the prospect. Realizing that the sugar interests of the continental United States will be satisfied with nothing but a stiff duty on imports or bounty on home grown sugar, they feel inclined to take refuge in the time worn method to provide delay a committee of investigation. Sen ator Bingham of Connecticut ap- pears 10 be the spokesman for this group, having introduced resolu- ton in the Senate which proposes that the President call a conference on questions incident to the Philip pines, to meet in Manila next Sep tember, to hold hearings, and report possibly next year. By that time something will have been done about the sugar schedule and there will have been an opportunity 10 calm the troubled islands, or make an attempt to do so.
 Coalition senators from the West, led by Senator Borah, think well Of the bounty plan because it is just as effective, if not more so, than higher tariff in keeping out sugar. The history Of bounty legislation in the United States and it's effects is interesting.
 From April, 1891 to August, 1894, raw sugar was admitted into the United States free of duty. But at the same time a bounty of two cents a pound was paid on sugar prUduc- cd within this country, the total thus paid in this period totalling nearly sG0,000,000. Loss of tariff revenue upon sugar, however, was estimated at so5o,0O0,0o0. That was virtually the beginning of the beet sugar in- dustry in the United States.
 Then, as is now proposed, the sugar bounty was inserted in the tariff act tthe. Mckinley act of lS90) in order to reconcile the west ern states to the general increase in other duties. The Wilson-Gorman act (Democratic) of 1894 reintroduc- ed the tariff on sugar to make up for the loss of revenue due to the lowering of other duties. Twice Tn the '90's the sugar industry was used as a football by both parties.
 Hawaii being officially a territory of the United States, and complete free trade existing between the United States and Porto RICO, the proposed sugar bounty would fall most heavily upon sugar producers in Cuba and in the Philippines. In 1876 the United States signed a treaty with Hawaii whereby Hawaiian sugar was admitted free Of duty, but the imports from Hawaii were not large enough to af- feet the price of sugar in the United
 
 States, although the Hawaiian sugar industry flourished under the ar rangement. During the period Of sugar bounties (from 1891 to 1894 the Hawaiian sugar industry de- clined sharply. Hawaii officially was not annexed to the United States until 1893.
 It is not too much to expect that history will repeat itself in' case the government adopts the sugar bounty plan. The sugar industry in the Philippines is certain to suffer, along with that in Cuba. The latter, not be- ing under the flag, will merely lose some or the good fortune it has been having as a sugar producer for the American people, but in the case of the Philippines the American na- ton in all probability will regard it. self as possessing some responsibili ties in maintaining prosperity in the islands,
 Except for those identified with the beet sugar interests, the present status quo in sugar seems to be sat isfactory 10 American consumers There is no reason why the situation should be radically altered.
 RIFFS IN REALTY
 Because the building and con- struction program of the nation has been lagging during 1929, President Hoover has urged immediate expan-