34 THECUBAREVIEW 



Insurance, the only other expense, is naturally a little higher from Cuba to make a cost, 

 freight and insurance quotation. 



A correspondent reports that "the heavy consumption tax on sugar in Japan has tended 

 to keep sugar values at a high level and naturally kept under any increase of consumption 

 as compared with a few years ago. 



"The consumption of sugar in Japan still remains at 12% pounds per person or per 

 capita. 



"I do not mean that the amount used has not increased at all ; there is an increase 

 from less than 297,600 tons to more than 310,000i tons in a few years, but the Japanese 

 population has increased more rapidly than the consumption, hence the continued per 

 capita of 12% pounds without increase, owing to the increased values." 



"The demand for Brown sugar has decreased, while especially Centrifugals and Gra- 

 nulated has increased, showing progress in our living standards." 



,, Refined sugar is being replaced by Centrifugals since the increase of taxation in 

 1907, and Centrifugals are also replacing the superior grades of Browns from Formosa, 

 which pay the same tax as Centrifugals." 



The writer gives an insight into the sugar trade of Japan not heretofore generally 

 understood, and gives an indication that from the low point of 12% lbs. per capita con- 

 sumption, an important rise is probable in this progressive nation, and what is of as 

 much importance is that any increase is to be filled with Centrifugal sugars under the 

 present tariff advantage to this grade. Here then opens up large possibilities for the 

 island of Cuba, which has already cut quite largely into the trade of the United King- 

 dom with the island of Java. With the several recent outlets opened for the sale of Cuba 

 sugars outside of the United States, it is a question if the value of the Cuban product 

 can be kept in 1914 as much below the parity of world values in Europe as it was in 

 1913, say %c to %c per lb. 



Certainly our United States legislation on sugar, and the opening of new markets to 

 the Cuba crop, based on the lowest cost of production in the Sugar World makes for 

 Cuba a wonderful outlook in the future for a steady and profitable increase in yearly 

 crop production. 



It is finally decided by the Attorney General of the United States that thf; 5 per cent 

 advantage in duties on sugar by American vessels is null and void by reason of its 

 interference with many commercial treaties, so that eventually the clause may be re- 

 pealed by Congress. In the meantime duties will continue to be paid under protest on a 

 bare possibility of future recovery of the 5 per cent. 



We add herewith our latest estimate of the World's coming Production and Con- 

 sumption : 



The new cane and beet sugar crops of the World give promise of a normal increased 

 total yield, estimated to outturn possibly 790,981 tons more than those of last season. 

 In the 1912-13 campaign the production was, Cane — 9,185,755 tons ; E/uropean Beets 

 8,320,000 tons and American Beet 624,064 tons; total of 18,129,819 tons while for the new 

 season 1913-14 estimates are Cane 9,865,800 tons ; European Beets 8,415,000 tons and 

 American Beet 640,000 tons; total of 18,920,800 tons. 



Half of the increased production is in Eastern countries, where it will be absorbed, 

 except possibly it may admit of exports of part of the next Java crop to Europe. The 

 increase in Louisiana and Hawaii will be consumed in the United States. Cuba promises 

 about the same production as last season. 



The only increase in Europe is in Russia where most of it is wanted to fill depleted 

 stocks, leaving only a moderate quantity, probably, for export. Our latest cable also 

 indicates a slight increase in Germany. 



Invisible stocks in principal countries are still less than the normal (since the great 

 deficiency in production of two years ago) and the actual consumption throughout 

 the World is largely increasing, indicating that not more than the usual stocks will re- 

 main at the end of this campaign to carry over to the next season. 



Finally the remaining small stock in Cuba should be wanted by our refiners at full up 

 prices. 



At our last writing cane granulated was quoted at 4.25c. less 2 percent but since that 

 date quotations have advanced to the 4.35c. basis, although at the close all refiners are 

 quoting on the basis of 4.30c. less 2 percent. 



New York, November 14, 1913. 



