Evening star., 1933-03-21
WORLD SUGAR CROP
SHORTAGE IS SEEN
Spectators Have Bid Up
Value Of Staple More Than
$100,0OO,OO0.
Special Dispatch to The Star.

NEW YORK, March 21.-Record raw
sugar trading here reflects the belief
that the present world crop will be
1891 900 tons below estimated needs.
This has caused spectators to rush for
raw and refined sugar. Their bidding
has added more than 100000, 900 to
market values Of the present crop In
recent sessions on the New York Coffee
and Sugar Exchange.
Discussions of sugar allotment plan.
the possibility Of revision Of the Amer
ican tariff on that commodity, indica.
tions Of Cuban segregation program
and sharp reduction in Java's 1884
crop are parts Of the world sugar pic
ture.
Like an unusually intricate piece Of
jig-sawing, the allotment plan, designed
to parcel out the sugar market among
the various sources of American supply.
fits into the world sugar scene. Our
sugar comes from six sources-domestic
beet and cane; duty free sugar grown
In Hawaii, the Philippines, Puerto Rico,
and Cuba.
Quota Program Considered.
Congress Is now considering some
! way OF working out world sugar quota
program. Meanwhile the Tariff Com
mission is studying data on sugar pro-
duction costs, both refined and raw,
and will start to write . report recon-
mending duty changes. This report
may not be ready for some time.
Cuba remained out Of the American
market as q seller Of raw sugar while
1t was selling around .65 cent a pound.
The market bulge. which began early
in February, however, caused Cuban
raw to be sold at rs, though real
offerings did not come in here until
the price reached 81. During the 10
day shutdown Of the local sugar ex-
change Cuba sold some raws here at
los cents . pound. The trade hears
that Cuba may segregate part OF her
this market reach l.50 cents pound.
Meanwhile, Javanese production is
looked upon as the key piece to q jig
saw puzzle Next year Java intends to
plant only enough cane to produce a
crop Of 100000 tons. It now has the
largest carryover Of any sugar producer
in the world-2.447,000 tons for the
year ending March 81, 1888, against
,S82 900 tons a year ago
The huge Javanese carryover results
from a lessened demand from British
India, which is the worlds largest sugar
producer. and the military operations
In the Far East, as both China and
Japan buy most Of their sugar from
Java Although India consumes all OF
its own sugar. it often Is forced, de-
port the commodity. It purchased
8ll 900 tons in the l93l-l932 crop year.
Crop Rotation Planned.
Java, in view of the large carryover-
which compares with l 900 900 tons for
Cuba as OF January !, 1e33-plans to
rotate its crops. In place OF sugar cane
1t will plant rice, maize and padi IN
1894.
Beet growers in America have not
indicated intentions OF increasing
paintings this year. With the exception
Of Germany. this also applies to Euro
pean beet sugar growers. Before 1882
Germany exported sugar. but that crop
was SO small that it had to import
sugar, q situation which it will correct
in the present growing season.
Russia, despite the success Of its five
year. program, Is not producing enough
sugar for its own use. A Soviet
restaurant menu brought here recently
showed tea listed at kopecks and
sugar 80 kopecks.
Before the present advance in raw
sugar got under way in February this
column on January 26 directed atten-
ton to the prospective shortage In
world sugar this year. Then 1t was
emphasized that total sugar in this
; country did not exceed 10000 tons.
Sugar supplies, like any other COM
modify whose prices are declining, were
permitted to run low.
Trading Expands.
Sudden realization of the smallness
of invisible supplies brought rush for
refined, which the refiners refused to
supply. Today the trade estimates not
more than one-half the offered book
ings we're accepted by redners during
the last 10 days With the 1932-l933
crop at 24,153,000 tons. against 26,-
426 900 in 193l-l932. and with con-
sumption at 26,144,000 tons, against
26, 706 900 in the preceding year, there
was reason enough for actual users OF
sugar to replenish dwtndling inventories.
Sugar trading last Saturday on the
local exchange reached 44,800 tons, the
highest for any two-hour session IN
three years. The average five-hour
session turnover for the last year has
been only 10000 tons The increased
activity, with a consequent quickened
fow Of brokerage commissions, explains
the rise in price OF sugar exchange
memberships from $4,000 on March 5
to S4.10O on March IA. Today one
seat was offered at $4,000.
(copyright. 1933o