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Show U-I Sugar Company Makes Statement On Beet Contract Inability of the Utah-Idaho Sugar Su-gar Company to reach a contract agreement with its beet growers in Utah and Southern Idaho at the two day conference held in Salt Lake City this week was explained explain-ed Friday in a statement issued by Douglas E. Scalley, vice president presi-dent and general manager of the sugar company. The contract offered to growers by the company is the highest thus far offered in the United States this year, according to Mr. Scalley, and is exactly the same contract as the one recently approved ap-proved by the same beet grower associations for the Lewiston and Ogden .districts, in Utah, and for the Twin Falls and Rupert districts dist-ricts in Idaho, with another sugar company.- Moreover, Mr. Scalley added, "the contract now offered is' actually higher than the one which prevailed last year. It is definitely de-finitely higher than contracts already al-ready approved for most other areas of the country." Mr. Scalley conceded that certain cer-tain advantages which growers and processors have enjoyed in the past five years under the federal government's emergency sugar program pro-gram can no longer be expected. 1 For one thing, he explained, the guarantee of a minimum price for his beets which the grower has enjoyed since 1943 is no longer in effect. Moreover, he explained, the government will no longer pay a portion of the cost of transportation transporta-tion of field labor to the places where it' will be needed, as it has done during the emergency years. However, the company will continue contin-ue to co-operate with its growers and with local farm labor organizations organ-izations and other processors of agricultural commodities to supply needed field labor for handling this year's crops, and has already taken substantial steps to this end. Mr. Scalley's complete statement follows: The prices which growers will receive for their sugar beets under the contract offered by this company com-pany will depend in part, as usual, upon the net returns which this year's sugar crop will bring. The proposed scale will assure to the grower increased payments per ton for his beets over prices which he received for his 1947 beets at all levels of sugar beet net returns of -5.50 per hundred pounds and up. For example, if the sugar we make from this years' beets brings a net return when sold of $7.50 per hundred hun-dred pounds, the growers will receive re-ceive an increase of 61cents a ton for beets of 16 percent average sugar content. The per ton increases in-creases for similar beets at other sugar x market levels are as follows: foll-ows: 3c per ton at $5.50 net return re-turn for sugar; 17c a ton at $6.00 net; 23c per ton at $6.50; 47c at 7.00 net. Proposed beet prices will : remain the same as those on the Mr. and Mrs. Les Welton and daughter, Leslie, returned home after spending a week in Las Vegas, Veg-as, Nevada, visiting. Mr. and Mrs. Glen Cahoon. 1847 scale, if net sugar returns reach $5.25 per hundred or less. This same contract has already been approved by the Utah Beet growers Association and the Idaho Beet Growers Association for the Lewiston and Ogden, Utah, and Twin Falls and Rupert, Idaho, areas with another company. The proposed pro-posed contract is the highest on record thus far offered in the United Unit-ed States for 1948. In other areas where beet contracts con-tracts between growers and processors pro-cessors have already been approved approv-ed (areas which contribute approximately approx-imately 30 percent of the total domestic do-mestic sugar beet production) the prices agreed upon are definitely iower than , those offered by this company. |
