§ Sir D. NEWTONasked the Minister of Agriculture whether he can give par- 2114W rticulars to show how the beet-sugar subsidy for the seasons 1928–29 to 1930–31 will be divided between factories and growers under the new contracts recently agreed between the National Farmers' Union and the beet-sugar factories?
Mr. GUINNESSThe price to the grower for beets delivered at established factories in each of the seasons 1928, 1929 and 1930 agreed between the National Farmers' Union and the Factories Committee is 46s. per net ton of 15i per cent. sugar content. Taking past results as a guide, the following calculation shows how the receipts of the sugar factories are related to the price which the beet grower receives for the raw material. The average extraction of sugar for the last three seasons for factories in Great Britain was 13.3 per cent. and the average sugar content in beets was 17.01 per cent. The white sugar extraction in a sugar content of 15½ per cent. would therefore be about 12.12 per cent., or about 2.4 cwts. of sugar for each ton of beet delivered to the factory.
s. d. The world price of 1 cwt. sugar at present is approximately 17 0 Add subsidy (at October, 1928-September, 1931, rates) 13 0 Add preference 4 3⅓ 34 3⅓ Amount obtained by factory on 1 cwt. of sugar after allowing for marketing charges 33 0 2.4 cwts of sugar from 1 ton of beet at 33s. 79 2 4/5ths cwt. of molasses which with subsidy gives 6 0 1 1/7 cwt. of dried pulp 5 8 90 10 The factory pays the grower for beet 46 0 Leaving the factory share of the receipts per ton of beet 44 10 This statement does not enter into the relative costs of growing beet or of manufacturing sugar.