Sugar refinery

“ The refinery proper is the largest building in the Western country used for manufacturing purposes, and, together with its adjuncts of cooper-shops and warehouses, covers five entire blocks and employs 500 men. It has a capacity of working up 400 tons of raw sugar a day, but runs only to the extent of about 200 tons a day, making the value of its present product $7,500,000 a year. ”

“ The juice is strained, boiled, and worked over to [258] remove the impurities, and then, in a brownish mass called raw sugar, is sent to great refineries to be made by more boiling and other processes into the white sugar we use daily. This sugar industry is very important, as figures show that each American, both grown-ups and children, consumes an average of more than seventy pounds of sugar a year.
A SUGAR REFINERY
Away down South is the land of cotton as well as the land of sugar, and there is no more beautiful sight than a field white with the opening bolls of the cotton plant. ”

“ Sugar Manufacture.—Sugar manufacture includes three processes—expressing the sap, evaporating, and refining. The first two are carried on at or near the plantations; the last is an affair requiring an immense capital and a most elaborately organized plant. The refining is done mainly in the great centres of population at places most convenient for transportation. The raw sugar may travel five or ten thousand miles to reach the refinery; the refined product rarely travels more than a thousand miles. ”

“ One big sugar refinery formerly employed 2,500 men, working them fourteen hours a day. Employees now work two hours a day. The refinery still is in operation fourteen hours daily. There are seven shifts of workers. All told, there are 25,000 employees of that refinery. All are happy and have all of the food, clothing and shelter the land affords. The children have big sticks of candy as large as they can carry--and there is no talk of conservation of supplies anywhere. ”

“ A few years ago all sugar went out in barrels or bags, while today a modern refinery turns out about twenty different styles of container, and twenty-four kinds of sugar. It is obvious, therefore, that the packing room of a refinery is an interesting place, covering as it does a large area and including a great amount of special, intricate machinery for filling, weighing and sewing or sealing packages. ”

“ The range of the country absorbed by each refinery is often very extensive. The Sugar Congress of 1894 estimated that half the cane-harvest was transported by rail, and that freight from one canton to another in the sugar district brought the railways more than a third of what they got for conveying sugar from Tucumán to the coast. Each railway company tries to keep along its own line the cane it carries to the refineries, so that the transport of the sugar when it is made will fall to itself. ”

“ Therefore in order to utilize the lands which it had acquired the Company planted them with cane and began the production of sugar; it was of course already a transportation company; and now it has built a refinery in Boston, to which its raw sugar is shipped from Cuba on its own steamers, and there refined; thus completing the cycle of operations from planting the cane to marketing the product. No other sugar producing enterprise has ever gone into the business upon such comprehensive lines. ”

“ In addition, it is claimed that since the total supply of raw sugar permitted to enter the mainland market is limited the mainland refiners are in effect also subject to the refined sugar quota, although in contrast to the unchanging quotas of the territories the mainland quota will vary with changes in the total consumer demand. Because this demand tends to be stable, however, the mainland refiners' share of the refined sugar has not, it is urged, greatly expanded during the years when quotas were in effect. ”

“ Formerly a large part of the sugar manufactured in Louisiana by the plaintiff was sold in the Middle West and in Minnesota, Iowa, the Dakotas, etc., and it was to meet that market that the Chalmette refinery was built. But the great and rapid increase in the production of beet sugar, which now forms one sixth of all the sugar consumed in the United States and is sold at prices below those of cane sugar, has driven the plaintiff out of those markets to a great extent. ”

“ Thus, while the mainland refiners are legally free to purchase and refine all sugar within the raw sugar quota and Puerto Rican refiners are limited to their shares of the refined sugar quota, Congress apparently thought that Puerto Rican refiners operated at costs sufficiently low to insulate them from mainland competition. ”

“ It is interesting to stand by in the sickly-sweet [Pg 253] atmosphere and watch how, in the constant spinning and evaporation from the heat, the stuff loses much of its brown appearance and becomes, when thoroughly dried, like the cheap brown sugar as we know it at home. It is further refined in other hot chambers until it is quite white. Then men with sacks catch the stream of sugar as it rushes from the mouth of the refinery. ”

“ The Secretary duly considered 'the processings of sugar' to which proportionate shares pertained, but concluded that this factor could not fairly be applied. This was so because it referred to processings of raw sugar from sugar cane, whereas the three largest Puerto Rican refining concerns restricted themselves to refining raw sugar after it had already been processed. He felt bound, therefore, to give no weight to this factor in the sum he finally struck, and gave equal weight to past marketings and ability to market. ”

“ Another drawback is that the Hindus do not take kindly to sugar manufactured by the European process, consequently chini, or sugar made from rab by the native method, commands a better price than, sugar made in a modern refinery. Religious and caste prejudices exert a strong influence also. In modern sugar refining, animal charcoal is the principal purifying and decolorizing agent, and this, together with the fact that ox-blood has been used for clarification, causes the Hindus to reject sugar prepared by such means. ”

“ Since exchange quotations for refined sugar futures are net cash ex-exchange-licensed warehouse, Chicago, while refiners' quotations are f.o.b. refinery, less 2% for cash, it is obvious that there must be a difference between refiners' prices and exchange quotations.
It is equally obvious that the differential should approximate the freight rate between Chicago and the Seaboard, where the refiners are located, with allowance also for the cash discount. When the markets are in line such is the case. Conversely, when the differential is higher or lower, the markets are out of line. ”

“ It leaves the various heating coils and tubes as hot water and is returned to the boilers for the generation of more steam.
Live steam, that is to say, steam just as it comes from the boilers, is used extensively in the vacuum pans for boiling the liquor to grain.
A refinery melting one thousand tons of raw sugar each day requires about 5500 boiler horse power. On the Atlantic coast coal is the fuel used, while on the Pacific coast oil is burned. ”

“ Sugar refineries located at Marseilles claim that it is cheaper for them to purchase sugar in Java than beet sugar of northern Europe. On the other hand, the argument of Paris refiners is just the reverse. The total refined sugar consumed is 375,000 tons, the colonial and indigenous production of raw sugar is nearly 1,000,000 tons more than sufficient to meet the demands of the entire refining industry of the country. ”

“ The uniform agreement's effect, when added to this, is to deprive the grower of the advantage of the individual efficiency of the refiner with which he deals, in this case the most efficient of the three, and of the price that refiner receives. It is also to reflect in the grower's price the consequences of the combination's effects for reducing competition among the refiners in the interstate distribution of sugar. ”

“ The growers' only competitive outlet is the one which exists when the refiners compete among themselves. There is no other market. The farmers' only alternative to dealing with one of the three refiners is to stop growing beets. They can neither plant nor sell except at the refiners' pleasure and on their terms. The refiners thus effectively control the quantity of beets grown, harvested and marketed, and consequently of sugar sold from the area in interstate commerce, even when they compete with each other. They dominate the entire industry. ”

“ Looking at them simply as an entertainment, the mills of these great sugar estates are not incongruous with the easy delight of the place. Everything is open and airy, and the processes of the beautiful steam machinery go on without the odors as without the noises that make most manufactories odious. In the centrifugal process of sugar making, the molasses passes into a large vat, by the side of which is a row of double cylinders, the outer one of solid metal, the inner of wire gauze. ”

“ People who are to be believed tell me that the percentage of juice extracted from the cane is 50 per cent. below that attainable with modern machinery in many parts of the West Indies. It is obvious that until up-to-date appliances are substituted for the crude and obsolete methods of manufacture, the sugar industry has no prosperous outlook before it, nor can it hope to compete with beet sugar. ”

“ There appears to have been considerable manipulation, foreign sugar being imported with the view of producing a panic, followed by a decline of market prices, after which Marseilles refiners would buy. All sound arguments are in favor of protecting the home sugar industry.
It has been suggested that manufacturers weigh the fuel used more carefully than hitherto; the extra trouble would soon lead to economy for all interested in sugar production at ruinous cost. ”

“ As business grows, instead of decreasing—risks increase. Any machinery which might operate to eliminate or reduce this uncertainty or speculative element in a jobber's business, would, we believe, be welcomed. Exchanges provide just such machinery.
Other commodities, such as raw sugar, wheat, cotton, pork and coffee have had this machinery for years and it was provided for refined sugar on May 2, 1921, when trading in refined sugar futures was inaugurated on the floor of the New York Coffee and Sugar Exchange, Inc. ”

“ The idea that stabilization of prices paid for the only raw material consumed in an industry has no influence toward reducing competition in the distribution of the finished product, in an integrated industry such as this, is impossible to accept. By their agreement the combination of refiners acquired not only a monopoly of the raw material but also and thereby control of the quantity of sugar manufactured, sold and shipped interstate from the northern California producing area. ”

“ Until recently, several hundred thousand dollars' worth of coal was annually brought from Australia, but California oil is now being substituted for coal. The refuse which remains when the sugar making process is completed is returned to the land as fertilizer. The economies effected in fuel and in fertilizer, together with the freight saved on impurities carried in the raw sugar, amount to a considerable sum and to this extent increase the profit of the business. While at the sugar plantation we were shown an immense pumping plant used in the irrigation of the land. ”

“ The writer is sometimes asked by managers of small factories, turning out plantation yellow clarified sugars, if it would not pay them to employ bone-char filters to use in connection with the remainder of their factory, in order to be able to work up an industry with the low-grade open-kettle sugars, during the intercampaign. Most assuredly such a combination of small plantation factory and refinery would not be a paying affair. It takes men of experience and special training to carry out successfully the more detailed work in any technical line. ”

“ The committee on exhibition at Prague has issued several interesting pamphlets, from which we learn that in Bohemia, in 1819, there existed one beet sugar factory. In 1890 the total number of factories was 140; last year 370,000 acres were planted in beets, and the yield was 3,700,000 tons; yield of sugar averaged 2,700 lb. per acre; 40,000 hands were employed. During the past 24 years 17,900,000 tons of coal have been consumed, and the working capacity per factory is now far greater than formerly. There are at present seven sugar refineries in Bohemia. ”

“ The old mill crushed enough cane during six months to make two or three hundred tons of sugar. The modern factory deals with sufficient to produce anything from six to ten thousand tons, and in some cases more.
Steam has taken the place of fires at the boiling stations, and boiling in vacuo has been as fully adopted in Queensland as in other parts of the sugar-producing world. In the old mill the masse cuite, the last stage of the product before the sugar is dried off, had to be dug out from tanks, men standing up to their knees in the sticky substance, and handling it in buckets. ”

“ Notwithstanding the crude character of the factories and machinery, the recovery of sugar is generally good, the average being between 9 per cent and 11 per cent of the weight of the cane, with single crushing.
Almost all of the factories are managed by Americans, but, as has been said, the equipment they have to work with is by no means modern, and under the extremely uncertain political conditions that prevail there is scant encouragement for outside [232] capital to come in and improve matters. Just when a change for the better will come is impossible to say. ”