Wicked Refiners

A new angle was put on the investigations into the sudden rise in the price of sugar from seven to ten cents by charges of Senator Reed Smoot of Utah against sugar refiners. Senator Smoot's attitude bears weight because he is next in line by seniority right for the chairmanship of the Senate Finance Committee--the committee which passes on tariff measures. What is more, he comes from Utah, one of the four leading beet sugar producing states. These states (Colorado, Utah, Michigan and California) produce over 70% of native beet sugar.

Senator Smoot points out that the Fordney-McCumber Tariff cannot be held entirely responsible for a rise of three or four cents in the price of sugar, since the new rate is only an increase of .76 to 1.05 cents a pound over the previous tariff.

He claims that sugar refiners (who refine raw sugar imported from Cuba and elsewhere) have manipulated the rise. He furnishes them with the following motives:

First, the sugar refiners want to secure a lower tariff on sugar.

Second, they plan to create a prejudice against beet sugar producers, destroy the American sugar industry and gain control of the entire domestic market.

Third, they want to recoup their losses sustained in 1922 when they reduced the price of Cuban sugar for the purpose of "dealing a deathblow to the beet sugar producers of America."

Mr. Smoot's attitude is not unlike that of the United States Sugar Manufacturers' Association. They point out that of the sugar consumed in this country only about 20% is produced here; so the price is fixed by those who handle imported sugar. The United States Sugar Manufacturers' Association does not, however, place the blame definitely on the sugar refiners or any one else.