Evening Republican, Volume 22, Number 203, Rensselaer, Jasper County, 22 August 1919 — ELEVEN CENTS MUST BE LIMIT, SAYS GOVERNMENT. [ARTICLE]

ELEVEN CENTS MUST BE LIMIT, SAYS GOVERNMENT.

Washington, Aug. 21.—Active control of sugar prices was resumed today by the government, through an agreement reached between the department of justice and the food j administration that licenses will be revoked by the latter when it is shown dealers halve been profiteering. Sugar should reach the consumer ■at approximately eleven cents a pound, it was announced, based on the ownership of the entire amount of domestic and Cuban crop by the United States sugar equalization board, which is selling to refiners ajt 7.28 cents a pound. Refiners are under contract with the board to sell at 9 cents, less 2 per cent discount for cash. Wholesalers and jobbers are allowed a maximum of 68 cents per 100 pounds for handling, and retailers are permitted a profit of one to one, and one-half cents per pound, making a fair eleven cents, except in cases where dealers have purchased at an “unreasonable” price due to misunderstanding in the trade. When this is a fact, a reasonable balance over the actual cost will be permitted. When the house agricultural committee’s amendment for extension of the powers of the food control act before it, the house tonight was prepared to take action tomorrow on the ‘amendment and thereby make it sfirst extensive step toward beating down living costs. The amendment, which was reported to the house today by a unanimous vote, includes retailers among those liable under the food <ft>ntrol act, and its enactment along with the control exercised over sugar, officials believe, will do much to curtail profiteering by retailers. -“Our desire is to secure a fair price for the consumer,” said Attorney General Palmer in announcing his resumption of sugar control, “and we do not wish to pursue a wholesale policy of recommending the cancellation of licenses. Where trade adjusts itself to a fair price for the future, past transactions, unless flagrant, will not ordinarily be made the basis of a recommendation by this department for the cancellation of the license.” Sale of army subsistence supplies now in progress will cover virtually the entire surplus, the war department announced today, including enough to give two pounds of meat and one and one-quarter pounds of canned vegetables to every person in the United States.