Sugar and the Tariff

Report Outline
American Sugar Tariff Policy
Tariff Commission Investigation
Effects of a One-Fourth Reduction

Sugar Duties as a Political Issue

A situation which, may make sugar duties an important subject of discussion in the presidential campaign has been created by the filing of the United States Tariff Commission's report on its sugar investigation—recommending reductions in duties—with the President, immediately following charges by Senator LaFollette that sugar interests have attempted to “intimidate and otherwise obstruct” the commission in its inquiry, and the announcement that John W. Davis regards the tariff and “honesty in government” as the principal issues before the voters.

The majority report of the Tariff Commission, signed by Commissioners William S. Culbertson, David J. Lewis and Edward P. Costigan, is emphatic in its assertion that the sugar duties in the Fordney McCumber tariff act are too high. It recommends a reduction by approximately 25 per cent. A minority report, signed by Thomas 0. Marvin, chairman of the commission, and William Burgess, which was sent to the President with the majority report, is understood to recommend retention of the present duties.

The present full duty race, under the Fordney-McCumber act on 96 degree centrifugals, which form the basis for all price quotations on raw sugar, is 2.206 cents per pound. Very little sugar comes in at the full rate however, the bulk of American sugar imports coining from Cuba at a 20 per cent reduction in the full rate. The present Cuban rate is 1.7648 cents a pound on 96 degree centrifugals.