Standard granulated sugar is quoted to-day at 8 cents, and it is my honest belief that standard granulated sugar should sell for 12 cents a pound in order that the majority of the sugar planters in the State of Louisiana will be able to pay expenses for the year 1920. C. D. KEMPER. Sworn to before me this 18th day of December, 1920, in the presence of J. D. Perilloux and Jas. J. Schwartz, two competent witnesses who have signed these presence with me, notary, after due reading of the whole. [SEAL.] Witnesses: J. D. PERILLOUX. ROBT. E. BRUMBY, Notary Public. FRANKLIN, LA., December 18, 1920. I, John M. Caffery, a resident of the parish of St. Mary, La., do hereby certify that I am the manager of the Columbia Sugar Co., a Louisiana corporation engaged in the business of raising sugar cane and manufacturing the same into sugar. That this company cultivates 3,000 acres of land in sugar cane; that the present harvest season is nearly closed and the costs of production are known. That according to the records of the Columbia Sugar Co. the cost of producing plantation granulated sugar is 12 cents per pound. That on the market of to-day plantation granulated sugar is quoted at 7.46 cents per pound, which means a net loss to the Columbia Sugar Co. of 4.54 cents per pound on all of the sugar which it has produced from the crop of 1920. That the Columbia Sugar Co. makes advances to a number of tenants who are engaged in raising cane, and the accounts of these men, who are experienced cane farmers, show that the cost of producing a ton of cane of the present season is $14; that according to the prices of to-day's market this cane which these farmers have raised will bring them $6 per ton. Therefore these cane growers will lose 57 per cent of the money which they expended to raise their cane crop. JOHN M. CAFFERY, Manager the Columbia Sugar Co. Sworn to and subscribed before the undersigned notary in the presence of A. W. Gullet and E. J. Badeaux, competent witnesses, this 18th day of December, A. D. 1920. [SEAL.] ROBT. E. BRUMBY, Notary Public, St. Mary Parish, La. Witnesses: A. W. GULLET, E. J. BADEAUX. BERWICK, La. I, J. A. Pharr, president of J. N. Pharr & Sons (Ltd.) certify that the Glenwild Plantation, located in St. Marys Parish, La., raised during the crop season of 1920, 4,166 tons of cane. That the cost of this cane at the end of the cultivating season was $13 per ton, and the harvesting cost approximately $2 per ton, or a total of $15. Since only 3,309 tons were so d to Glenwild factory, the remainder having been put down for seed and charged to the 1921 crop, and credited to the 1920 crop at $7 per ton, this cane would have to sell for $20 per ton if plantation is to have no loss, whereas from the present market it would appear that the price would be $6. The above is based upon charging each crop with the seed cane used and crediting same to the crop year in which the seed was grown, also crediting the plantation with all feed raised and charging this back each month as it is used at the same price as original y credited to crop. J. A. PHARR. Signed and sworn to before me, notary, this 18th day of December, 1920. [SEAL.] PAUL CHOTIN, MORGAN CITY, LA., I, E. A. Pharr, secretary-treasurer of J. N. Pharr & Sons (Ltd.), do hereby certify that the plantation of 1,500 acres, under my direct supervision, cultivated in cane and corn during season of 1920, made an outlay per ton of cane of $11 up to the harvest season. I furthermore state that the harvest cost approximates $4 per ton, the exact figures not being known, as we are only two-thirds through harvesting the crop. In order, therefore, to avoid a loss on said crop the company will have to receive a price of $15 per ton; whereas the present price, as indicated by the market, is $6 per ton. Attest: [SEAL.] STATE OF LOUISIANA, Parish of St. Mary, ss: E. A. PHARR, Secretary-Treasurer. K. S. FOSTER, Notary Public. Before me, the undersigned authority, personally came and appeared William Schwan, to me well known, who, being duly sworn according to law, deposed and said: That he is the manager of Germania Plantation located in St. Mary Parish, La., comprising 550 acres of land, providing homes for about 50 people and employing labor drawing pay rolls amounting to about $12,000 per annum. That during the year of 1920 now closing, the crop of sugar cane raised on this plantation was below the average, and the cost of production of the cane was $16.27 per ton. That the market value of this cane on to-day's market is about $6 per ton, and $10.27 per ton below cost of production and showing a total loss on operations of $6,891.17 for the year. This exclusive of interest, taxes, insurance, and depreciation. WM. SCHWAN. Sworn to and subscribed before me, this 22d day of December, at Centreville, La. ISAAC S. WOOSTER, Notary Public. [SEAL.] STATE OF LOUISIANA, Parish of Iberia, ss.: Before me, Ventress J. Smith, notary public in and for Iberia Parish, La.. personally appeared Henry N. Pharr, vice president of J. N. Pharr & Sons (Ltd.), who certifies that the following statement regarding the operations of the Orange Grove factory of J. N. Pharr & Sons (Ltd.), at Olivier, La., is true, according to the best of his knowledge and belief: The Orange Grove factory ground 15,000 tons in 44 days in 1920 (completing its operations to-day), compared with 25,758 tons in 58 days in 1919. The cost of manufacture per ton in 1919 was as follows: Making a combined manufacturing cost of $3.16 per ton. It is impossible, since grinding operations were only completed to-day, to give absolutely accurate figures for this season. Almost exactly the same amount was expended in repairs this year as in 1919, but the reduced tonnage increases the indirect cost of manufacture per ton from $1.08 to $1.87. The reduced tonnage, on the assumption of 1919 costs, increases the direct cost of manufacture from $2.08 to $2.56 per ton. Due, however, to increased cost of cotton. goods and fuel oil, there was a positive increase of 21 cents per ton on filter cloths and containers and 56 cents per ton on fuel in direct manufacturing cost. On this basis the total costs per ton for 1920 are: Factory operations (direct, 1919 basis). Increase on fuel oil.. Factory operations (indirect, actual). $2.56 .21 .56. 3.33 1.87 Making a total of $5.20 per ton total cost of manufacture in 1920. In compiling the above figures interest, taxes, and depreciation have not. been taken into consideration. [SEAL.] OLIVIER, LA., December 18, 1920. J. N. PHARR & SONS (LTD.). Per H. N. PHARR, Vice President. VENTRESS J. SMITH, Notary Public. STATEMENT OF MR. JOSEPH E. REID, NEW YORK CITY, N. Y. The CHAIRMAN. The committee is informed that certain witnesses who are representing the china-clay industry, of kaolin, will not desire to be heard to-day; they are going to appear before the House to-morrow. Joseph E. Reid, of New York, is here representing the fruit producing. Mr. Reid, are you ready to proceed? Mr. REID. I am, Senator. Mr. Chairman and gentlemen, I am here representing the receivers and distributors of Bermudan products in New York, also some of the growers of seed potatoes shipped to Bermuda, and, in turn, sent back to the United States after the crop has been grown. It is my understanding that a brief has been submitted by the Bermudan interests to the British Embassy and to the State Department, and a copy of that has been placed with your committee. So I will not refer to that in any other way. I have also been advised that a copy of the letter has been sent to the various members of this committee and the chairman, and with the chairman's permission I would like to read the communication. Senator SMOOT. Who is it from? Mr. REID. It is from Mr. Nix. Senator SMOOT. I guess we all have a copy of it. Mr. REID. I leave that with the chairman, whether read or not. Senator SMOOT. Put it in the record. Mr. REID. Very well. I think it covers the matter as viewed from the standpoint of the receivers. And attached to this letter is a list of the names of the various receivers and growers referred to. (The letter referred to and submitted by Mr. Reid is printed in full, as follows:) Hon. BOIES PENROSE, JANUARY 8, 1921. Chairman Finance Committee of the Senate, Washington, D. C. DEAR SIR: We, the undersigned dealers and growers of farm products in the United States, do hereby petition the honorable members of the Finance Committee and request that new potatoes and onions from Bermuda be eliminated from the emergency tariff bill now before the Senate and that the duty on all Bermuda vegetables remain unchanged, for the reason that a very large percentage of said crops is shipped to the New York market at a time when there are practically no new potatoes and onions, grown in the United States, ready for shipment; and, therefore, said shipments from Bermuda do not in any way interfere with crops of new potatoes and onions grown in the United States. We also beg to call your attention to the fact that these new potatoes and onions, as well as early vegetables, have been grown especially for the New York and other large markets in the United States for the past 20 years or more, and coming forward at a time when such goods can not be grown in the open fields of this country, it is therefore necessary for the dealers here in the United States to look to Bermuda for their early supplies of new potatoes and onions. We, therefore, sincerely hope and earnestly petition the honorable members of the Finance Committee to take these matters into consideration and to make no change in the duty on vegetables from Bermuda, thereby doing a great good to the people of the United States, who are dependent upon the shipments from Bermuda for their early supplies of new potatoes, onions, and vegetables. We also beg to call your attention to the fact that the total shipments of new potatoes, onions, and vegetables from Bermuda to the United States each season are very meager and limited as compared to the production of such goods grown in our country, and the bulk of the Bermuda shipments arrive on the New York market between December 1 and April 1. We further beg to call your attention to the fact that the bulk of the seed, fertilizer, containers, and other materials required in the growing and shipping of these crops from Bermuda originate in the United States and are shipped to Bermuda for the sole purpose of growing and shipping these crops for the United States markets. In this connection it is interesting to know that, according to the Department of Commerce statistics, during the 10 months ending October, 1920, the exports from the United States into Bermuda amounted to $3.320,338, and imports from Bermuda into the United States amounted to only $1,532,428, making a trade balance in favor of the United States of $1,789,910. Respectfully submitted. Peter McClees; S. H. and E. H. Frost; W. C. Deyo & Bro.; Hait & In the interest of the New York receivers, I would like to say that it is our desire, if your committee can see your way clear to allow it, that that be given consideration; that you eliminate a tariff upon new-grown Bermudan potatoes. There is no tariff on potatoes at the present time, either coming into the United States or going to Bermuda. Bermuda has arranged her tariff act of 1921 allowing potatoes to come in free from the United States. I would like to say that these potatoes from Bermuda come into the United States commencing the 1st of December, and that there are very few that come forward before January 1, and are usually out of the way during the month of March. A few have probably dragged along later on. There is no competition between the shipments of these new potatoes from Bermuda with the growers of the United States or any other country to our knowledge. The seed for these potatoes are grown especially, largely in the United States, to be shipped to Bermuda. They are mostly what we call the Red Bliss Triumph, the Red Bliss variety. They are shipped down to Bermuda during the months of October and November, and come onto the market, as I say, during the winter months, at a time when there are no other new potatoes coming in the market. Secondly, there is no competition with even our home-grown potatoes, because they are of an entirely different variety and inferior grade, and the demand for new potatoes is limited to those who can, of course, afford to pay the price. A crop of potatoes during the last six years, according to statistics, averaged 154,821 bushels, which approximately covers 60,000 barrels. These are shipped during probably an outside period of 20 weeks, or an average of 3,000 barrels each week, to the New York market. But these potatoes are not all distributed on the New York market; they are sent to near-by towns-to Philadelphia, to Baltimore, Washington, and as far west as Pittsburg and Chicago. The New York market requires, so it is stated, 40,000 barrels of potatoes a day for home consumption. Senator NUGENT. Of those new potatoes? Mr. REID. Of the old potatoes. Senator NUGENT. I understand that you desire to have the tariff levied on new potatoes only? Mr. REID. Pardon me, Senator; I desire to have the tariff eliminated from the new potatoes from Bermuda only. I am speaking now of Bermuda potatoes. Figuring on the basis of 40,000 barrels a day, or approximately 100,000 bushels, you can see that the quantity of potatoes from Bermuda consumed in New York on the same basis would not cover one day's demand. The quantity coming in from Bermuda is so very meager in comparison with the quantity of potatoes, as I understand it, grown in the United States, that we are told that it figures on the basis of 0.004 of 1 per cent of our United States crop. The cost of these potatoes grown in Bermuda is probably beyond ordinary comprehension. In the first place, we are told that this crop that is now coming in on the market costs $13 a barrel for the seed potatoes in Bermuda. The barrels, the weighing material, the fertilizer are mostly received from the United States. The crop is a very hard one to grow, very expensive, but the result of that crop, figuring in comparison with our United States growers of crops, ranges in Bermuda from four barrels of potatoes to one of seed. We are told that the crop in the United States runs from 10 to 20, or an average of 15. Snator MCCUMBER. Why is it necessary to raise the seed here in the United States to be planted in Bermuda? Mr. REID. They can not grow their own seed. Generally they have to get it from northern sections, the same as Virginia and other southern points generally go to Maine or some northern section for their seed to obtain the best results. Senator SMOOT. Do you mean to tell us that there can only be four barrels of potatoes grown from one barrel of seed potatoes? Mr. REID. That is the average figure furnished us. Senatr SMOOT. And the seed potatoes cost $13? Mr. REID. I am speaking of last year. Senator SMOOT. So that that is $3.25 a barrel for seed potatoes? 30422-21-12 |