April 27, 1975 – world of sugar is tart at times _ chicago tribune archive

THE WORLD OF SUGAR Is looking sweeter these days-but complex prob- lems still loom on the horizon.

Just a few short months ago, house- wives were paying [and quite angrily] record high prices for sugar. White sugar vs cane sugar But in the last four months, the price of sugar has fallen to a more palatable level.

Whether sugar prices drop further this year, or even rise again, depends largely upon the same factors that caused sugar to soar in 1974, according to Robert Quittmeyer, president of Amstar Corp., the nation s largest manufacturer of sugar.

Quittmeyer, whose company markets the familiar Domino brand sugar, said he hopes sugar prices won t soar in 1975. Pure cane sugar vs granulated sugar He has had enough flak from housewives and politicians.

GIVEN FAVORABLE weather condi- tions in the sugar-producing areas of the world, prices shouldn’t rise significantly, he believes.

Spot raw sugar prices peaked at 64? cents a pound last November, compared with 12 cents a pound in January of 1974. Cane sugar calories The present raw sugar price is now ap- ? 27 cents a pound.

Quittmeyer doesn’t expect raw sugar prices to get back down as low as 12 cents a pound again-a price level he describes as unrealistic.

“The present level of about 27 cents a pound for raw sugar is needed to pro- vide sufficient new production incentives to maintain retail sugar prices at a rea- stable, acceptable level,” he said.

QUITTMEYER NOTED that In four of the last five years, sugar production has lagged behind consumption. Is cane sugar brown sugar And because production was heavily affected by bad weather, sugar stocks were reduced in 1974 to their lowest levels in 10 years.

The Amstar chief emphasized that sugar stocks must be built up again, for if unfavorable weather affects pro- duction again in 1975, sugar prices will most certainly soar.

Quittmeyer described the events which caused the upward explosion In sugar prices last year as “one mini-disaster after another,” all adding up to a tight supply situation for the commodity.

Poor planting c o n d i t i o n s “played havoc” with the European sugar beet crop, and yields were additionally af- fected by crop diseases, he said.

PERSISTENT rains hindered the planting and harvesting in many areas: and there were summer in be- tween. Cane sugar vs regular sugar Hurricanes and typhoons caused severe damage to sugar cane crops. What is a sugar cane Crop disasters In Russia forced that country to turn to already depleted world sources of supply.

The sugar shortage was aggravated by hoarding and stockpiling as prices rose dramatically, Quittmeyer added. Sugar vs cane sugar Bad news fed on bad news, and the emotional environment clouded the un- factors that were affecting the sugar situation.

Prices began falling after December as household and industrial sugar users began to work down their sugar stocks.

The Amstar president also emphasized there is still a “tremendous, unsatisfied”

Sugar, he noted, is a relatively cheap source of food energy in a world short of calories. How long does it take to grow sugar cane And it takes less land to provide calories from sugar than from such foods as potatoes, corn, wheat, eggs, or beef.

IN THE MORE developed countries, sugar consumption has been relatively stable. Granulated sugar vs cane sugar In the United States, per capita consumption is about 100 pounds a year. Cane sugar ?? However, high prices may have affected sugar consumption.

Quittmeyer believes that form of sugar policy or program should evolve to pro- test the interest of- both the consumer and the producer and refiner.

Domestic sugar production accounts for 55 per cent of United States sugar consumption, with the remaining 45 per cent coming from foreign sources.

“We will never be self-sufficient in sugar, nor should we be because of the high capital costs that would be re- quired.” he said. Is cane sugar the same as brown sugar “On the other hand, we should not be too heavily dependent upon outside sources.

“THE PRICE OF sugar should be high enough to first maintain the level of sugar production in this country, then provide enough incentive to increase domestic production.”

About 30 per cent of the sugar con- in this country is processed from sugar beets grown by farmers in the Western half of the United States. Sugar cane vs sugar beet The balance. Cane sugar meaning or 70 per cent, is refined from raw sugar produced either domestically or abroad from cane sugar.

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