THE SUGAR DISPUTE.

Stratford Evening Post, Volume XXVII, Issue 27, 1 June 1915, Page 6

THE SUGAR DISPUTE.

MR KNOX REPLIES TO MR HUGHES. Unitkd Trem Abrogation.

(Received 10.15 a.m.)

Sydney. June 1. .Mr Knox replies to -Mi' Hughes' statement on the sugar position &ad says: The Colonial Sugar Company wrote Mr Holrnan five weeks ago. pointing out the probable .shortage. MV. Hojmaii replied.that if he ed it noee,ssary lie, would set*. Subsequently : a : .series of letters passed and interviews were held, but the, ,Com-

pauy was still without any official confirmation ol' an understanding to chase a quarter ol' a million pounds

worth of Java sugar. He never proposed oi- said anything in favour ol a remission ol' duty. He then traverses Mr. Hughes' statement that the Company was aware there would be a shortage and could have adverted it. Not till April 20th did the Company know, and it informed Mr. Holrnan on April 26th. It .sold the three thousand tons of sugar to Canada on .March 12th before the shortage was apparent. They now would have to import at £-1 per ton above what Canada paid. Mr. Knox admits that probably the Company could have bought at less than they were paying lor Java sugar it the New South Wales and the Federal Government had taken the warning given seriously and not delayed negotiations in dealing. "'With regard to Mr. Hughes' statement that handling imported sugars was one ol the Company's clliei sources of gain, Mr. Knox deel ires the margin of profit was very small, lie had informed Mr. Holrnan that 1;e expected four per cent profit on the Java sugar in bond, whilst the distributing trade received from the Company six per cent discount lor merely selling the sugar. He denies that any trader or manufaehuvr \v:is ever debarred from buving the Com pany's sugars at list pel -:'s and dis counts.