SUGAR BOOM CHECKED One of the curiosities of markets in
the last few weeks has been the development of a sudden boom in the raw sugar market. Cuban raw sugar rose from 6s. 61d. per cwt. at the beginning of April to 8s. 41-cl. last week, the market suddenly discovering that there was a genuine shortage of sugar for prompt delivery. The shortage was occasioned by the desire (Continued on page 836)
FINANCIAL NOTES
(Continued from page 834)
of some countries to import more sugar than usual to build up a defence reserve and the reluctance of others to export the usual quantities for the same reasons, coupled with the partial failure of the Indian crop and heavy imports of Java sugar into India.
This was a situation which obviously could be adjusted through the normal machinery of sugar restriction ; for plenty of sugar exists, for instance, in Cuba, and could be released on the authority of the International Sugar Council. The machinery of sugar-control is somewhat more cumbersome than is the control of, say, rubber and tin. But a statement in the House on Friday by the President of the Board of Trade shows that it has now been put in motion. Doubtless in due course an additional quota will be announced. That cannot at present affect the price of spot sugar. But in anticipation forward sugar has already fallen.
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