198 THE SUGAK INDUSTRY. 



eminent. In addition to extraordinarily high protection against foreign competition by 

 means of very liberal duties on imported sugar, direct export bounties are still paid in 

 Europe as follows: France pays a bounty of 30 to 39c per 100 Ibs. on all domestic sugar 

 exported; Germany, 27 to 38c; Austro-Hungary, 27 to 42c. A direct bounty on production 

 of 45 to olc per 100 Ibs. is paid in the Netherlands, and Bulgaria pays the extraordinary 

 bounty of 4c per Ib. for 10 years. 



In the United States, the bounty of 2c per Ib. provided for in the McKinley tariff 

 of 1890 was offset by the admission of imported raw sugars free of duty. The system of 

 direct bounties paid by the respective states has been tried in this country with some 

 success. The present encouraging condition of the industry in Utah was brought about 

 in the first place by the state bounty of Ic per Ib.. which helped the Lehi factory over its 

 first season or two. Nebraska would have had no beet sugar factory, probably, but for 

 the bounty equal to $1 per ton on beets grown in the state, which was paid for the first 

 few years. The law provided a bounty equal to about Ic per Ib. on sugar, conditional 

 upon the farmers being paid at least $5 per ton for beets. 



In New York, the bounty paid by the state also helped to insure a speedy begin- 

 ning of the industry. It became a law May IS, 1897, and appropriated $25,000 to be appor- 

 tioned to sugar manufacturers pro rata, provided that none received more than Ic per Ib., 

 and provided that not less than $5 per ton was paid for beets grown in the state by others 

 than the manufacturer of the sugar. The law also authorized the state commissioner of 

 agriculture to spend 10 per cent, of the appropriation in practical and scientific experi- 

 ments in growing sugar beets. It provides for the inspection and sampling of beets. In 

 1898, $50.000 was appropriated for this bounty. 



In New Jersey, the legislature of 1898 passed a similar law, but it was vetoed by 

 the governor, on the ground that experiments did not indicate sufficient grounds for 

 believing that the industry could be made a practical success in that state. 



In Washington, the legislature of 1897 passed a law offering a bounty of Ic per Ib. 

 on yugar made within the state containing 90 per cent, of crystallized sugar, produced 

 from beets for which not less than $* per ton had been paid. This bounty goes to any 

 factory that is completed prior to November 1, '99, and shall continue for three years. 



Michigan, by act of March 26, '97, offers a bounty of Ic per Ib. for 90 per cent, crys- 

 tallized sugar made from beets for which at least $4 per ton of 2000 Ibs. has been paid, for 

 all beets containing 12 per cent, of sugar, and a proportionate amount shall be paid for 

 beets containing a greater or less per cent, of sugar. The law carefully provides for 

 inspection, weighing, etc., and appropriates $10,000 for paying the bounty, with the pro- 

 viso that any deficit be paid from the general fund not otherwise appropriated, to which 

 is added a final section, as follows: 



Sec. 8. Every person, firm or corporation that shall erect and have in operation 

 in this state a factory for the manufacture of sugar from beets, with a capacity of 2000 

 Ibs. of sugar or upwards per day while this act is in force, shall be entitled to receive 

 from the state the sum of Ic per Ib. for all sugar manufactured from beets at such fac- 

 tory, for a period of at least seven years from the taking effect of this act. 



Under the latter clause there is no limit to the amount the state may be called upon 

 to pay, and as the Bay City factory during its first campaign of '98 made some 7,500,000 

 Ibs. of sugar, it draws $75,000 bounty from the state. This law has led to the placing of 

 contracts for the erection of at least two other factories in Michigan as we write, so 

 that '99 will see at least three factories operating in that state that will pay for beets 

 upward of $500,000 a year. 



Exemption from taxation for all property invested in the beet sugar industry 

 (except special assessments for local improvements in cities and villages) is offered by 



