Report of the Preparatory Commission on World Food Proposals.

  • FAO Preparatory Commission on World Food Proposals
Date:
1947
Catalogue details

Licence: Public Domain Mark

Credit: Report of the Preparatory Commission on World Food Proposals. Source: Wellcome Collection.

    89/96 page 89
    APPENDIX VII BACKGROUND MEMORANDUM ON SUGAR . (Prepared for the use of the Commission) Prewar Position 1. World sugar production averaged 31-2 million metric tons (raw basis) during the 5 prewar years, 1935-39, or about 5 million tons more than the average of each of the 2 immediately preceding 5-year periods. Disappearance or world consumption averaged about the same as production during the 1935-39 period, but world prices for unprotected raw sugar ranged about the low level of 1 cent per pound. Prices for protected sugars, which made up the bulk of production, averaged materially above that level and ranged from 3 to 15 cents per pound. 2. Immediately following World War I, sugar was unusually scarce and prices sky- rocketed. This situation generated a marked expansion in production throughout the world. The beet-sugar producing countries of Europe increased production rapidly from the low levels prevailing during the war period, and launched programmes of national self-sufficiency in sugar. This trend was continued until the outbreak of World War II. In the 1920’s the important cane-sugar producing areas which were the principal sugar- exporting countries, also expanded production at a rapid rate, partly through the introduction of improved varieties of cane. The result was that, when the world was plunged into the great economic depression in the early 1930’s, sugar was being produced in excess of requirements and surplus stocks piled up. (In 1929 the world carryover was 9 million tons). It was not until the middle 1930’s that these surplus stocks had been liquidated at a tremendous loss to producers. Production in many of the important exporting areas was forced sharply downward, and production and marketing controls of various kinds were put into operation. Despite these actions, the principal importing countries continued to expand production behind protective trade walls, and, therefore, their requirements and exporters’ surplus supplies still failed to balance. Although world prices had improved slightly from the depression lows, they continued at low levels. Thus, there were indications that further adjustments were needed. Production and Trade 3. Cane sugar is produced in nearly all of the important tropical areas of the world and beet sugar in many of the temperate countries. In many countries cane sugar is produced in sufficient quantities to provide only for domestic requirements but there are a number of areas, namely Cuba, Dominican Republic, Brazil, Peru, Haiti, Java, the Philippines, Formosa, Australia, South Africa, and British, Portuguese and French Colonies, where sugar is an important export crop. Only a few countries produce an export surplus of beet sugar. In normal times, they are Czechoslovakia, Poland, Germany, Denmark, Union of Soviet Socialist Republics, and sometimes Sweden. TABLE I Estimated production and consumption by Continents—1935-39 average ; Production Consumption Continent 1,000 Metric Tons 1,000 Metric Tons (Raw value) (Raw value) North American, Central’ America and 7,912 7,427 West Indies. Europe yaa ay ae: ou ae 9,245 11,477 Asia ... a8 ete pi aah = 9,825 8,847 South America eh is “ap ia 2,198 1,853 Africa... Sais ae ae os ee 1,061 894 Oceania er bis hy aid a 944 454 Total Ap oe 31,185 30,952
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