Scrub beets, leaving root end& about 1/2 inch of the stem. Rinse in clean water several times to make sure that all garden dirt has been removed.
In a large pot of boiling, salted water, cook beets just until tender (about 20 minutes).
Drain, reserving 1 cup of the cooking liquid.
Refresh beets under cold water, slip off skins& snip off any root end remains.
Slice beets& set aside.
Meanwhile, in a very large stainless steel or enamel pot, stir together sugar, vinegar, water, reserved cooking liquid& salt.
Tie pickling spice& chilies in a double thickness of cheesecloth& add to pan.
Heat almost to boiling, stirring often until sugar is dissolved.
Add beets, return to boil& boil for 5 minutes, stirring often to distribute the spice flavour.
Remove spice bag.
Pack beets into sterilized canning jars to within 3/4 inch of rim.
Pour in boiling pickling liquid, leaving 1/2 inch of headspace.
Insert a chop stick or long narrow plastic spatula along the sides of the jars to release any air bubbles; add more liquid, if necessary, to re-establish the head space.
Seal with prepared lids& transfer to a boiling water bath.
Pour in enough hot water to come 2 inches above the jars.
Cover, bring to a boil& boil for 30 minutes.
Transfer to a rack to cool.
Check seals, wipe jars, label& store in a cool, dry place.
