Speech #840117157

I think it Is pertinent to what I am now discussing: During the early months of 1933 the United States Tariff Commission made a careful appraisal of the prevailing sugar situation and recommended a program emphasizing supply controls rather than the traditional tariff method of assistance. In a letter to the President of the United States. dated April 11. 1933. the Chairman of the Commission outlined the failure of the tariff to solve the sugar problem. His letter pointed out that the price had declined to disaster levels for both American and Cuban producers. that both the domestic industry and that of Cuba required price relief. that prices should be raised by limiting. through a quota system. the supply of sugar offered for sale in this country. and that if some type of quota system were instituted by this country. the duty on Cuban sugar might be reduced to help restore the purchasing power of Cuba. Pursuant to the study by the Tariff Commission in 1934. Congress passed the socalled JonesCostigan Act. which established quotas for domestic sugar producers. the offshore islands under the American flag such as Hawaii.