108 SUGAR 



revenue. The German Government saw that their 

 wise and moderate system had about done its work. 

 In 1888 they took steps gradually to make a transition 

 from the system of duty on the roots to the evidently 

 more rational method of charging the duty on the sugar 

 actually produced. In 1892 this period of probation 

 was accomplished, the factories were under full excise 

 supervision and all the sugar paid the duty. But the 

 German Government were wide awake to what was 

 going on in France, so they presented the manufac- 

 turers with a temporary direct bonus on exportation, 

 which was to be abolished as soon as France and other 

 countries ceased to give direct or indirect help to their 

 sugar producers out of the revenue. Here again the 

 German Government were quite wise and reasonable. 



The French Government followed suit in 1897 ; but 

 again they made a mistake in overdoing it. They 

 abolished the duty on the roots and levied it, very 

 properly, on the actual sugar. But instead of coming 

 to terms, in conformity with the German friendly 

 overtures, they disregarded the invitation and gave a 

 bonus on exportation just double that of Germany. 

 This, as the French Minister said, was a defiance and a 

 challenge. 



The German production had now increased tol,821,223 

 tons, nearly three times that of France. Their revenue 

 from sugar had gone down from 63,249,000 marks in 

 1875 to 33,624,000 marks in 1886, and 14,677,000 marks 

 in 1887. Then they began their reforms and the revenue 

 recovered to an average of about 76,000,000 marks in 

 the years 1889-92. After that the full duty on all the 

 sugar was secured, and the revenue went up to 84, 92 

 and 99,000,000 of marks for the next three years. The 

 stimulus had done its work, for not only had the German 

 production gone up to nearly 2,000,000 tons but their 



