Legation of the United States,
Brussels, March 29, 1899.
(Rec’d April 14.)
No. 185.]
I inclose a copy and a translation of this nonofficial statement and will
advise the Department by cable of the official promulgation of the royal
decree.
[Inclosure—Translation.]
The additional duties to which Belgian sugars are subjected on
entering the United States of America have been provisionally fixed
at 4.50 francs for raw sugars and 5.36 francs for refined
sugars.
As to German sugars the rate of such additional duties is 3.10 francs
and 4.44 francs, respectively, making a difference in favor of
Germany of 1.40 francs (on raw sugar) and of 0.92 franc (on refined
sugar).
Sugars of Austrian origin pay additional duties of 3.42 francs and of
5.25 francs, respectively, on raw sugar and refined sugar, thereby
receiving an advantage of 1.08 francs and of 0.11 franc over Belgian
sugars. It is well known that in Austria sugar manufacturers have
formed a syndicate whereby, from the high duties which foreign
sugars pay on entering that country, manufacturers can raise the
price of sugar for the interior of the Empire; and so, independently
of the direct export bounty, the Austrian manufacturers have the
advantage of an indirect bounty for which no equivalent exists in
Belgium.
A similiar syndicate is at present in formation in Germany.
Consequently to reestablish the freedom of competition in the
American market, the additional duties on Belgian sugars should at
the outside be 3 francs for raw sugar and 3.25 francs for refined
sugar. In any case the difference of the additional duty on these
two kinds of sugars should not be above 0.25 franc, as one can not
lose sight of the fact that, contrary to the case in other
countries, the entire Belgian bounty arising from the surplus
production is fixed according to the richness of the raw sugar.
Since there exists in Belgium no bounty to cover cost of refining,
the difference between the duties on raw and refined sugar ought to
be fixed in proportion (to cover this).
The figures 3 francs and 3.25 francs above given have reference to
the present situation. They should naturally be reduced to 2.25
francs and 2.43 francs for brut and refined sugars, respectively,
from and after the 15th of August, 1899, the date of beginning work
in the
[Page 91]
manufactories, when
will come into force the law of 29th December, 1898, which raises
the rate of the “prise en charge” from 1,900 to 2,000 grams per
hectoliter of juice at one degree of density, as the application of
this measure will have the effect of diminishing in the proportion
of the difference of the above figures the indirect protection which
sugar receives in Belgium.