Evening star., 1949-07-24

the people of the island to gird
politicians, along with Communi:
squaring off for a free-for-all
against the present government.
1.-The abundant economic sweet
ness we have enjoyed for several
years." as one Cuban newspaper
man put it, in true Latin phrase
ology, threatens to take on a bit
ter tinge and the political light
which shone rather brightly over
the fatherland during and after
the war is now burning with oil
minished luster."
All of which is bound to have
serious repercussions in many sec
tors of our own economic world.
Cuba has not only been, but WILL
continue to be, the source OF the
major portion of one OF our most
essential food and industrial
products, both in war and peace
It is also one of our three largest
and most profitable customers.
u. S. Officials Concerned
Not even the powerful United
States can afford to consider
lightly any country with which we
do upward of a billion-dollar an
nual cash trade, much less ma
ton in whose chief industries
United States citizens have in
vested more than 100000 In
fact, at the beginning OF Worlo
War II, citizens of this country
had invested more money in Cuba
than in any ether nation except
Canada.
Last years sugar crop Chat is
the 1947-8 CROP was sold at good
prices. We not only took the reg
ular basic quota of 1,923,580 tons
but 1,O16,987 additional tons, be-
cause there were deficits in the
quotas from the Philippines. Ha-
waii and other so-called domestic
areas" This year 0948-9 the
island has already supplied us with
an initial quota of 1.928,000 tons
and also nearly 100000 tons OF the
625 .O0O-ton deficit of the domestic
areas" 1t is expected there will
be a demand for more later in the
year. Fortunately large amounts
have been sold to European coun-
tries, principally under the Mar
shall Plan.
But difficulties loom on the
horizon, and there has not been
very much realistic planning to
meet them. Officials of the Cuban
government have talked a good
deal. but so far concrete efforts to
meet eventualities have been few
United States officials and most OF
our people connected with the In
dustry itself are greatly concerned
about the consequences to us Of
any serious setback in Cubar
economy, which would result from
a slump in the islands sugar in
duStry.
In wartime when the Philippine:
were taken over by Japan and oul
Allies were cut off from their ma
ior sugar-producing regions, Cuba
as usual was called upon to come
to the rescue. AS in World War
we urged her to plant more sugar
cane and produce more and more
sugar and molasses. In 1941 the
total Cuban sugar production
amounted to about 100000 tons
a year. BY 1948 her output had
increased to 100000 tons OF
sugar and 33o,0oo,OOo gallons of
molasses. The 1949 crop was
slightly less than the previous
year. but still way above the pre-
war level.
SUGAR Nations Recover
Now the Philippines and other
large sugar-producing areas are
getting back into production. BY
next year, at least within two
years, they will all be in their
stride once again. BY that time,
if war does not come, the Euro
pean countries, France, England
and Holland, and the others will
be able to depend upon their own
colonies and possessions for the
greater portion of their needs: In
our own country beet sugar grow
ers in the Middle and Far West
as we'll as the cane, growers OF
Louisiana and the South, are not
only demanding more protection
from foreign competition. but
larger subsidies and bounties from
the Government, so they can ex-
pand their output.
Although the Cuban growers have
all made profits this year as they
have for several years, they know
lean times are coming. The reduc-
ton in the volume of exports is
inevitable. Left to themselves they
would be able to trim their sales
and batten down for the storm
But insofar as Cuba and the
United States are concerned nc
private industry in the world is sc