IG IO (CAO o204 i EME MAI ONLI 9 
Havana Correspondence 
Havana, October 22, 1921. 
Sucar: With the grinding season practically at an end (only one mill, “Santa 
Lucia,” in Oriente Province, is still in operation), Cuba has experienced the most disas- 
trous season in the history of her sugar industry. 
Starting the season under a heavy handicap of indebtedness, the aftermath of war- 
time speculation and easy money, combined with high production costs, every mill on 
the Island has experienced a loss, ranging from a few thousand dollars in the case of the 
smaller mills and running into millions of dollars deficit by the larger operators control- 
ling several centrals. 
It is seriously questioned as to whether or not a number of the weaker and smaller 
mills will be in a position to resume operation at the beginning of the next zafra. Various 
estimates have been made from time to time as to the probable number of such mills 
that will be unable to operate unless financial assistance is forthcoming in the near 
future, well informed parties agreeing upon fifty as being the maximum. 
That the crop next season will be greatly decreased is believed by everyone who has 
studied the situation, many factors combining to contribute to such a situation: first, 
by reason of the comparatively small amount of replanting which was done this season, 
it being estimated that in order to insure a normal return from season to season, it is 
necessary to replant about one-fifth of the total acreage; second, because a large number 
of the fields have been allowed to go uncleaned, for the same reason that prevented the 
replanting, namely, lack of finances, which will, of course, also tend to further decrease 
the output for next season; third, on account of the idleness of the mills, previously 
mentioned, which will be unable to open. 
This decrease in next season’s crop, it is thought, will have a very favorable effect 
in the restoration of normal conditions, because if another bumper crop were to be har- 
vested again next season on top of the one just ended, combined with the carry-over 
from this grinding, which will be quite large, it would retard the return to normal at least 
a year, if not longer. 
One of the most favorable signs recently has been the increase of sales during the 
past few weeks, although the price realized for this sugar has been low. It is felt that 
one of the most essential factors in the stabilization of the industry is the removal of 
just as much of the crop now held in the various warehouses as possible, so that there 
will be no obstacle in the way of next season’s crop when it starts coming from the mills. 
There have been a great many rumors of negotiations pending for the sale of large 
quantities of sugar to European interests, but nothing definite has developed as yet as 
the result of these negotiations. During the past few days a similar rumor has been in 
effect that a syndicate said to represent American interests has been endeavoring to 
buy up the remaining sugar crop. 
It is not believed that the sugar interests will benefit very much by the loan, which 
is now almost assured, inasmuch as the government itself is badly in need of funds and 
naturally will be the first to secure relief. It may be, however, that Congress may see 
fit to come to the aid of the harassed sugar interests with some constructive legislation 
which may prove helpful between now and the beginning of the next grinding season, 
although the attitude of that body thus far has been far from encouraging. 
Another problem confronting the mills next season will be that of labor. Owing to 
the inability of a great many mills to pay cash to these laborers this year, many of them 
have experienced a great deal of hardship and have gone back to their native homes 
greatly disheartened. Whether this will affect immigration to Cuba next year or not 
will not be known until an effort is made to again secure labor for the cane fields from 
Haiti, Jamaica and other lands. 
