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American Sugar KingdomThe Plantation Economy of the Spanish Caribbean, 1898-1934$
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Cesar J. Ayala

Print publication date: 1999

Print ISBN-13: 9780807847886

Published to North Carolina Scholarship Online: July 2014

DOI: 10.5149/9780807867976_ayala

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The Sugar Tariff and Vertical Integration

The Sugar Tariff and Vertical Integration

(p.48) 3 The Sugar Tariff and Vertical Integration
American Sugar Kingdom

César J. Ayala

University of North Carolina Press

This chapter describes how the price war of 1890 pitted sugar refiners from the East Coast of the United States against those of the West Coast. The process of horizontal consolidation was a struggle for control of the market for refined sugar in the United States. The refiners' attempt to monopolize sugar refining spilled over into a contest for the sources of raw sugar outside the United States. These attempts to control foreign sources, in turn, brought refiners face to face with the tariff, which regulated competition between domestic and foreign sugar producers selling in the U.S. market. The tariff was crucial to the struggle among refiners for control of the sources of unrefined or raw sugar. Capitalist enterprises always compete with each other in a terrain regulated by the state.

Keywords:   price war, sugar refiners, horizontal consolidation, struggle for control, refined sugar

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