SUGAR: THE OUTLOOK IN THE COLONIES. 137 



but without result. In 1895 Austria and Germany opened 

 negotiations without success. France alone refused to do 

 away with the sugar bounties. 



On the 30th of May of the present year, finally, a new 

 Act was promulgated by Germany on the bounty question, 

 to last till 1903. This is avowedly a warlike Act to compel 

 France to agree to the abolition of premiums. As at first 

 •drafted, these were to be raised from i"2 5 to 4 mks. per 

 100 kilos, on raw sugar, and from 2 to 5*25 mks. on refined. 

 The adopted rates are, however, 2*50 mks. on raw and 3*55 

 on refined sugar ; and the question is naturally mooted as 

 to whether the original intention is still maintained. Is it 

 a warlike move to render the continuation of the bounty 

 system impossible — the burden devolving upon the tax- 

 payers is supposed to be much greater in PVance than in 

 Germany, the yield is lower, labour is dearer and there are 

 fewer people to bear the load — or is it yet another conces- 

 sion to the powerful agricultural class, making the towns 

 pay for agricultural depression ? 



The result of this legislation it need hardly be said is 

 being watched with breathless interest. Austria has 

 immediately followed suit : has indeed made a larger in- 

 crease in her bounties. Holland is concerting measures. 

 All eyes are fixed on France. What will be the next 

 move in this bitter bounty war ? 



It will be readily seen that, while the cane-producing 

 countries of the tropics were formerly in straitened cir- 

 cumstances, the effect of this new legislation is disastrous — 

 the price of sugar being, as far as gold countries are 

 concerned, below the cost of production. The British 

 Colonies may be ruled out, as far as export is concerned, 

 and, when it is remembered that some of these Colonies 

 have all their eggs in one basket — growing nothing but the 

 sugar-cane from one end to the other — and, further, that 

 in their long struggle they have either locked up all their 

 available capital in costly machinery, or are heavily mort- 

 gaged, it becomes a question of imperial policy whether 

 the powerful and wealthy mother country cannot with 

 advantage lend a helping hand to her struggling depen- 



