THE CUBA REVIEW 



35 



SUGAR REVIEW 



Specially Written for The Cuba Review by Willett & Gray, of New York 



Our last review for this magazine was dated November 14, 1913. 

 ^ At that date centrifugal sugars from Cuba were quoted at 3.64c. per lb. and the quota- 

 tion is now 3.39c., a decline of %c. per lb. while passing over from the old crop basis for 

 earliest deliveries of new crop. 



A small stock of 12,857 tons of old crop sugar still remains in warehouse here unsold 

 but little, if any such remains in Cuba and all business now centers about the new 

 Cuba crop. The estimates given out this week by the Cuba sugar crop experts indicate 

 a considerable increase over last year and therefore the early prices for earliest produc- 

 tions of E>ecember, January and February have fallen to the lowest level because these 

 shipments will mostly come into the United States at the present duty rates. Naturally 

 the March production and shipment should be of some higher value because of the re- 

 duction of duty on March 1st to 1.0048c. per lb. for Cuba 96° test sugar. 



Present quotations for the different months are, for December 2 l/32c. per lb. c & f 

 and for January and February 2.00c. c & f. 



The United Kingdom entered the Cuba market this week for about 15,000 tons for 

 January shipment at 1.90c. per lb. f. o. b. Cuba. Further shipments are wanted but at a 

 slight reduction to 1.87 ^/4c. per lb. f. o. b. 



Owing to reduced supplies in Continental countries for this campaign it is expected that 

 largely increased purchases by the United Kingdom will be made over last year when 

 about 250,000 tons were taken for the United Kingdom not counting the resales to the 

 United States. 



It will be difficult to measure the course of prices for the United States until the new 

 duty comes into operation, but if sugars can be held back in Cuba better results will 

 come to planters and bankers than if forced to sale before wanted by our refiners. Very 

 considerable supplies will be required by our refiners for January and February meltings 

 although these supplies must naturally include largely the Porto Rico and Hawaiian free 

 sugars which will suffer by the reduced duties while Cuba sugar should be increased in 

 value thereby, to some part at least of the about 34c. per 100 lbs. duty given Cuba. 



European beet crops will reach about the last estimates given out but show a con- 

 siderable deficiency for continental countries offset by increase in Russia, which latter 

 does not possess as much importance to the world's supplies as does the deficiencies 

 named. 



The course of beet quotations has been downward until previously anticipated level of 

 9s Od per cwt. f. o. b. Hamburg has been touched and %d upward reaction came to-day. 

 Inasmuch as both Europe and Cuba are at or below cost of production it is reasonable 

 to expect that resistance to further declines will be met in both countries and that Cuba 

 will receive help in this direction for any sugars that will arrive in the United States 

 after March 1st next. 



The Louisiana crop is coming in fast and many estates have finished or are fast finish- 

 ing crops. The planters in Louisiana have suffered so severely of late years from com- 

 petition of other cheaper producing countries that they have entered into a virtual com- 

 bination of interests to try and recoup their losses by a series of lawsuits against the 

 American Sugar Refining Company, whom they claim to hold responsible for their losses. 

 Some 170 suits have been entered in the United States District Court at New Orleans, 

 aggregating some $120,000,000 under the Sherman Anti-Trust Law which allows suits 

 for three times the actual damage proved. Not much interest is shown thus far in these 

 suits outside of Louisiana and we mention this only as an item that may or may not 

 have an influence on the business of the company at some future period. No further 

 demand for Cuba sugar has come from Japan thus far and this particular business is 

 probably awaiting the opening of the Panama Canal next summer. 



It is noticeable that the low value of Cuba sugars in 1913 has diminished the importa- 

 tions here of the Philippine sugars some 100,000 tons and the island production is likely 

 to find its principal market in the future outside of the United States. 



Our domestic beet refined sugar crop has been so lightly disposed of thus far that it is 

 likely to be a somewhat competitive feature for cane refiners throughout the entire season 



