THECUBAREVIEW 33 



SUGAR REVIEW 



Specially tDrillen for The Cuba Review by WilUU <fe Gray, New Ymk, N. Y. 



Our last report was dated August 6th. Since that time the market has continued quiet 

 and about the only item of interest has been the fact that the International Sugar Committee 

 has availed itself of the two remaining options in the Cuban Agreement covering 250,000 

 tons of sugar additional and any quantity made in excess of this amount, which oj)tions ex])ired 

 August 15th. With the 250,000 tons mentioned above, 3,250,000 tons of the 1917-18 crop 

 have been ])urchased and arrangements have been made to take any available quantity in ex- 

 cess of this figure. The formal notice of the Committee issued on August 14th, was as follows: 



To the Seller and to all Parlies to the Agreement as to Cuban Sugars 1917-1918 Crop : 



Gentlemen : — 



At a Special Meeting of the International Sugar Committee, held at the office of the Com- 

 mittee at 111 ^^'all Street, New York City, on Wednesday, August 14, 1918, the following 

 resolution was unanimoasly adopted: 



"Resolved, That the options granted by the Seller to the Buyer in Paragraph 4 of the 

 Agreement as to Cuban Sugars 1917-1918 Crop, to be exercised on or before the 15th day of 

 August, 1918, as to 250,000 tons and as to the balance of the crop already made or to be made, 

 are hereby availed of by the Buyer, and that notice to such effect be at once formally given to 

 the Seller." 



This notice is to advise the Seller and all Parties to the said Agreement that the Inter- 

 national Sugar Committee avails itself of the option to purchase the third additional 250,000 

 tons of sugar, and also avails itself of the option to pmchase all of the balance of the crop 

 already made or yet to be made during the crop year 1918, as provided for in Paragraph 4 of 

 said Agreement. 



Yours very truly, 



INTERNATIONAL SUGAR COxVIMITTEE 

 By E. S. Keelej', Secretary. 



New York, August 14, 1918. 



The visible production in the Island to August 24, was 3,170,.588 tons with eight centrals 

 still at work. We have increased our own estimate of the crop to 3,350,000 tons, although 

 we have as yet received no new estimate from Messrs. Guma-Mejer, the well-known statisti- 

 cians of Havana. 



Negotiations are still pending regarding the price to be paid for new crop sugars. It seems 

 to us that the Intel national Committee has about given up hope of obtaining the Cuba crop on 

 the basis of 5.10c. f. o. b. Cuba, and it appears that they will have to advance their views 

 further to about the basis of 5.35c. f. o. b. Cuba, which figure would probably be acceptable. 



It has been reported that arrangements are pending with regard to the importing of 100,000 

 tons of sugar from Java to be transported by Dutch steamers. Our cable from that Island 

 received on August 26, gave exports during July as 13,000 tons to Europe, and 95,000 tons to 

 other countries, a total of 108,000 tons, against 100,054 tons in July, 1917. 



We have received on August 12th, our special cable from the Philippines giving exijorts 

 during July as 17,200 tons, of which quantity only 3,700 tons is coming to the United States. 



As regards our Domestic Cane crop in Louisiana the situation is very encouraging and no 

 complaint is being made from any source except the apprehension of inability to save the crop 

 after it is made, owing to the inadequate supply of labor. 



Mail advices which have just reached us from Argentina are discouraging, weather con- 

 ditions having caused da,mage to the cane fields. We do not look for a crop there to exceed 

 100,000 tons, in view of which the Argentine Government has authorized the importation of 

 125,000 tons of refined and 75,000 tans of raw sugar free of duty. 



The Sugar EquaUzation Board has decided on the question of an increased margin for 

 refiners and same will be retroactive, applying as of August 1st. The new margin will be 

 1.45c. per lb., against 1.30c. net formerly, and the increase will be paid from the funds of the 

 Sugar Equalization Board. The letter issued to refiners covers considerable detail, and we 

 give herewith a resum6 of the plan adopted: 



