34 THECUBAREVIEW 



We ant icii:);itccl this downward trend to the market in our last review and gave reason for 

 it. 



The present quotation has been reached Ijy several declines at frequent intervals as fol- 

 lows: Sept. 8th, 4.45c.; 10th, 4.48c.; 13th, 4.45c.; 15th, 4.42c.; 17th, 4.2(k;.; 23d, 4.()lc.; 24th, 

 3.89c.; Oct. 4th, 3.64c.; 6th, 3.70c. 



As the course of the refined sugar market had much to do with the making of the decline 

 in raws, we will give the changes of market quotations for Cane Fine CJranulated diu'ing the same 

 time. Sept. 8th, 5.39c. net cash basis, 9th, 5.194c.; 23d, 4,704c.; 24th, 4,802c.; 27th, 4.851c.; 

 28th, 4,802c.; which governs to this writing. 



Domestic Beet Granulated, which was 5.30c. less 2% basis on Sept. 8th, changed to 5.20c., 

 then to 5.10c. to 5.00c. or 4.90c. net cash on Sept. 14th; Sept. 23d to 4.704c. net cash; 24th, 

 4.655c. net cash; 28th, 4.606c. net cash; Oct. 7th unchanged at 4.606c. net cash, all New York 

 basis for delivery in Buffalo-Chicago territory. 



The distribution of the Domestic refined reached New York State, Pennsylvania and 

 the New England States in competition with the Cane Granulated. 



Except for a very considerable increase of business by the cane refiners for the export 

 trade the declines from this competition would no doubt have been greater. The total sales of 

 refined for export principally to Europe during the month under review reached some 90,000 

 tons. 



Whatever may be the local country demand for cane refined for the months to come re- 

 mains to be provided for by purchases of raw sugar to much the same extent as the consumption 

 may require. 



Last year the local consumption of October-November-December amounted to about 

 300,000 tons raw cane sugars for refining. 



The present stock of sugar in Cuba and the United States together is 532,823 tons against 

 469,416 tons at the corresponding date last year, which is abundant for requirements, and some 

 old crop Cubas will be carried over into 1916, unless the European demand should increase 

 sufficiently to absorb the surplus which is not likely. 



The influence of the European war in causing high i^rices has no doubt come to an end, 

 and the condition of supplies and demand must now be considered as nearly upon the former 

 normal basis existing before the war as to future prices. 



The cost of production of sugar in Cuba is increased by various causes, so that the crop 

 of 1915-1916 will cost the planters something more than in previous years. At the present 

 values of 2 ll-16c. cost and freight, if it should apply to the New Crop of Cuba, will result in 

 much less profits to planters than the last crop gave them. 



At present values there is not room for such a further decline as was seen the last month, 

 neither can it be expected that any materia! advance will be made for the remainder of the 

 year to the New Crop. 



The sugar situation taken altogether as a whole, we must consider as on a more favorable 

 basis for later continued improvement after it becomes evident that market values have dropped 

 beneath the real values based upon the favorable outlook for 1916. 



TARIFF.— (.Spma/ Telegram from Washington, D. C, October 7, 1915.)— After holding 

 steadfastly to the opposite course ever since the present Tariff law w-ent into effect. Secretary 

 McAdoo now announces his intention of asking Congress to continue the present duty on sugar 

 after the 1st May next, when it would expire under the law. The announcement was formally 

 made by the Secretary, and there can be no doubt of its authenticity. Nothing has been said by 

 the President, but those close to him say the Secretary's announcement embodies the Adminis- 

 tration policy. The new legislation is to be asked as an emergency revenue measure of uncer- 

 tain duration. Mr. Kitchin, the new Chairman of the Ways and Means Committee, is friendly 

 to the change, and the way through Congress seems comparatively clear. The measure would 

 save a revenue of between $50,000,000 and $60,000,000. The Secretary also asks for the reten- 

 tion of the present war emergency general tax. 



At this writing, Oct. 7th, the raw market is much firmer, with an advance established for 

 October shipment Cubas at 2Mc. c & f, 3.76c. duty paid, on sales to operators. There are 

 no further sugars offered at this basis. Porto Ricos in port and for shipment sold to refiners 

 at 3.75c. basis for 96° test. 



