CHAPTER IV. TEMPORARY PROVISIONS.

Article 29. For the execution of this law the representation and administration of the association are entrusted temporarily to a special committee, composed of the commissioner mentioned in Article 10, who presides over it and executes its determinations, and of four members nominated by the Government of the King. The committee shall proceed with the rules and means which shall be established by royal decree.

The functions of the commissioner and of the special committee shall cease from the day of the seating of the new administrators elected according to the by-laws already approved.

During this period the chambers of commerce and trades and the communes of the island must give promptly gratuitous execution to all the requests of the commissioner.

Article 30. Near the minister of agriculture, industry and commerce, there shall be a commission composed of five members nominated by royal decree. This shall give advice concerning the bylaws of the association, concerning the regulations for the execution of this law, and concerning all the other questions which the minister himself shall submit to its examination.

We order that the present, furnished with the seal of State, be inserted in the official collection of laws and decrees of the Kingdom of Italy, commanding every one concerned to observe it and to cause it to be observed as the law of the State.

Given at Racconigi, on July 15, 1906.

VICTOR EMANUEL.

(Seal :)

The Keeper of the Seal, GALLO.

F. Cocco ORTU.
A. MAJORANA.
MASSIMINI.
GIANTURCO.

EXHIBIT F.-RUSSIAN LAWS REGULATING THE PRODUCTION AND SALE OF SUGAR.1

LAW OF NOVEMBER 20, 1895.

The Imperial State Council in its session of the united departments, after considering the proposition of the Finance Minister, "concerning certain regulations with respect to the sugar industry," decrees that the following provisions apply respecting the sugar production in the campaigns of 1895–96, 1896–97, 1897–98:

ARTICLE I. For each campaign of sugar production the committee of ministers on the proposal of the Minister of Finance determines: (a) The quantity of sugar, which is to be brought on the domestic market by the granulated sugar factories and the beet sugar refineries.

(b) The quantity of an unconditional inviolable stock of sugar of the said factories.

1 Translated from the German translation of Preyer, Die russische Zuckerindustrie, Leipzig, 1908.

(c) The limit price of sugar for the domestic market up to which the said stock remains inviolable and the conditions under which sugar may be brought on the domestic market from this stock.

ARTICLE II. The sugar produced in each campaign by granulated sugar factories and beet sugar refineries which exceeds the quantity determined for the domestic market (Article I, a), is regarded as surplus and is subject to a special additional tax of 1.75 roubles per pood besides the sugar tax (consumption tax).

ARTICLE III. This surplus (Article II) is reckoned for the individual factories, according to the quantity of production which exceeds 60,000 poods.

Note 1. To the Finance Minister is left:

(a) To fix the method by which the current and definite computations are to be made for the determination of the surplus for the factories.

(b) To determine, which products can be taken for the computation of production in the determination of the surplus and which can be transferred from the surplus to the inviolable stock (Article IV).

Note 2. If in the computation of the surplus in the campaign of 1896-1897 it shall appear that by individual factories sugar has already been brought on the market from the surplus, then for these factories equal quantities of sugar are reckoned in the surplus for the following campaign. In such case this quantity is to be deducted from the production of the general surplus of the campaign 1896–

1897.

ARTICLE IV. The unconditional inviolable stock (Article I, b) is formed in each campaign from the general surplus and is completely maintained from this. For the individual factories this stock is reckoned in the quantity of the general surplus on the basis of the regulations contained in Article III.

Note. For the security of the current payment of the tax in the amount of 75 kopecks on the sugar which is brought on the market by the factories, the sugar transferred to the inviolable reserve is taken over by the State at a price and under conditions which are to be fixed by the Finance Minister.

ARTICLE V. The existing sugar surplus of the factories (in excess of the required unconditional inviolable stock) may be brought on the domestic market only after full payment of the additional tax. The sugar tax for this sugar is paid according to the general provisions for sugar of the current campaign. It is suggested, however, that the manufacturer leave this sugar in storage in the factory as a free stock, and in this case he does not need to pay either the sugar tax or the additional tax until it leaves the factory.

Note. The existing free stock of sulplus sugar of a factory at the end of a campaign can upon the request of the manufacturer be reckoned in with the production of the next campaign in this factory with cancellation of the computation of the surplus.

ARTICLE VI. The sugar stored in a factory in the inviolable stock is subject neither to the sugar tax nor to special taxes before leaving the factory, which, however, is allowed only under the conditions provided in Article VII. The sugar held in the inviolable stock must be unconditionally replaced in every period by sugar of new production.

Note. In case of the closing down of a factory its existing inviolable stock is at the disposition of the manufacturer at the close of the campaign. He is obligated either to export it abroad (Article IX) or, if he brings it on the domestic market, to pay the sugar tax according to the general provisions of the following campaign, as well as the additional tax. The payment of both taxes by the manufacturer must also take place in case of forced sale.

ARTICLE VII. If the sugar price in the domestic market shall exceed the limit prices (Article I, c) the Finance Minister ordains that the requisite quantity of sugar from the inviolable as well as from the free stock to be brought upon the domestic market until the price falls. For this sugar the payment of the additional tax is not requisite, but only the sugar tax for sugar of the current campaign. ARTICLE VIII. In case the sugar existing in the inviolable or free stock falls below without fault of the manufacturer, the Finance Minister is empowered not to bring this sugar into the reckoning for the quantity fixed for the factory and to remit the payment of the sugar tax and the additional tax for him.

ARTICLE IX. In the case of exports abroad from the sugar surplus such sugar is entirely exempt from the payment of the sugar tax and the special additional tax.

Note. In case the sugar price shall so increase on the foreign European markets that this advance operates as a stimulus to a considerable overproduction by our factories, the Finance Minister is empowered to submit a proposal to the committee of ministers to the end of suspending temporarily the freeing of the exported sugar either wholly or partially from the additional tax.

ARTICLE X. From the granulated sugar factories as well as from the beet sugar refineries, sugar may be shipped only with the permission of the tax inspector who must certify with his signature the observance of the legal regulations.

ARTICLE XI. Manufacturers who in an unauthorized manner bring sugar upon the market from the unconditional inviolable stock as well as from the surplus without payment of the sugar tax, and further owners of refineries and dealers who acquire such sugar unlawfully brought upon the market, are to be brought to account according to Article 1096 of the provisions regarding consumption taxes and internal taxes,

ARTICLE XII. The Finance Minister has the authority, in accord with the State Comptroller:

(a) To issue regulations regarding the bookkeeping of the individual factories respecting the additional tax affecting the sugar surplus.

(b) To fix the method for reckoning the surplus of the individual factories and for establishing the unconditional inviolable stock, as well as to make regulations concerning its preservation in the factories and its liberation on the market.

(c) To issue regulations for exportation.

(d) To give all instructions and explanations which shall become necessary respecting the application of this law.

CONCLUSION. His Imperial Majesty, after approval of these regulations by the State Council in general session, has given them his august confirmation and commanded their execution.

ampun de atent of the general normal Is se raznee of ministers fee Minister.

POLL STOP TOdotin for a given camsef production, then Wonder fer the mantity fixed for the ve doomed to the intiminal factories in prodienen visk er weis 8000 poods. retul store productora for a given cam useful production, then

the summits of the actual point in cher the quantity fixed for the incest: margt stile internered as follows:

The part of the summits whè is expressed by the difference Serveen the tal of the general normal useful) production is apport cel ex cluster in cz the factories which have exceeded the granites ippert noed to them from the normal (useful) production see No. 4, and indeed in proportion to the excess incurred by each

The part of the surplus remaining over is apportioned to all factories in proportion to the actual production of each individual factory which exeeds 8.00 poods. In this case, however, the surplus computed according to paragraph a is to be deducted first.

4. Under the normal (useful) production of each factory for a campaign is to be understood the quantity which is obtained through the apportionment of the general normal (useful) production to the individual factories corresponding to their productive capacity. The normal production of a factory may not be placed under 80,000 poods.

5. In order to compute the productive capacity of an operating factory the extent of its actual production in the last ten campaigns is taken as a basis. From this is to be deducted:

(a) For the campaigns 1896-97 to 1902-03: The quantity of sugar which has been included from the free stock of a preceding campaign in the production of the following campaign.

(b) For the campaigns from 1903-04 on:-the surplus computed according to No. 3 (a).

6. The productive capacity of the factories named under 5 is fixed as follows:

For factories which have been in operation eight or more yearsas the arithmetical mean of the production of the three largest

years.

For factories which have been in operation from five to seven years as the arithmetical mean of the production of the two largest years.

For factories which have been in operation from two to four years as the largest production.

For factories which have been in operation one year-as this production.

7. The productive capacity of newly established factories and of such old ones as were temporarily not in operation in the course of the last ten campaigns is fixed for the first campaign or the resumption of activity according to their actual production in this campaign, but not higher than 160,000 poods.

8. The productive capacity of factories which have been enlarged for the purpose of extension of operations is fixed according to the regulations which have been established for existing factories (Articles I, 5 and 6), or in case of a special application from the manufacturers according to the regulations for newly established factories (No. 7 and Article V).

9. The unconditional and inviolable stock is computed for the individual factories:

(a) In case the actual production does not exceed the general, normal production upon the basis of No. 2.

(b) In all other cases upon the basis of No. 3b.

10. The existing free stock of sugar at a factory at the end of a campaign at the request of the manufacturer in the quantity specified by him is reckoned in with the production of the new campaign. This provision extends to the free stock of sugar which remains over at the end of the campaign 1902-03.

11. The stone buildings of the granulated sugar factories and beet sugar refineries now in operation which are situated outside of the capital, in order to assure the payment of the sugar tax on the basis of paragraph 4 of section 9 of appendix I to Article 339 of the regulations concerning consumption taxes, are taken as pledge with the special permission of the Finance Minister in each individual case. ARTICLE II. Paragraph 3 of the note to Article 996 of the regulations concerning consumption taxes is abolished.

ARTICLE III. With respect to such of the newly erected factories whose equipment was begun before the publication of these regulations in the "Collection of Laws and Government Ordinances" and whose production begins not later than with the campaign of 1904–05, the restrictions of Article I, No. 7, have no application. The productive capacity of these factories in the first period of their activity is to be reckoned equal to their actual production in this time.

ARTICLE IV. In the determination of the productive capacity of the factories for the campaigns 1903-04 and 1904-05, the production of the years prior to the campaign 1895-96 is not to be brought into reckoning.