New-York tribune., 1889-12-31
PITY THE POOR BEEF MEN.
DO THEY ALWAYS DO BUSINESS AT A Loss'
THE SENATE COMMITTEE on MEAT PRODUCTS
FINDS SOME DIFFICULTY IN EXTRACT
ING INFORMATION.

evidence already enormous added to IL greatly !"
New York Yesterday. IL IS known as the commute
on the Sale and Transportation OF Meat rrouuo0'
and has had assigned 10 II the wide field OF exannS
" all questions touching the meat product Oh ."o
rnitod statess and particularly the question stated
obove The fact is ,lat the "middeman' seems 10
be altogether too much OF man In the meat ii'arhc'
No matter how cheap beef " on the hoof may De- ue
private customer sees reduction IN MS pu.oio'
hill Wamba the son of Wltless. marVeiled tna'
moor Saxon calf should become rich Norman 'eai
and when plain Western steer appears Oh INC '"oio
Of the East its palatabc disguise as prime ou'''
steaks and all the rest Of it Is sure 10 DC aeo"'n'
panied By a Fictitious disguise of value
The committee sat in one Of the, parlors OF the
Hoffman House, Senator Vest. of Missouri. the CHAIR
man. presided, aud the other members present "ero
Senator Henderson. Of Nebraska and senator riuno'
of Kansas .
shippcr on large scale Of beef alive ana dead. nc
said that he had been making contracts win inc
steamship companies for shipments since lo'o' anu
added that the contracts were not made far In al
yanoe and that the freight rates were nXed iom
time to time. A., u
senator Vest remarked that in the west the com
mtee had been told that the capacity Oh Steamships
for freight was taken far ahead that OUTSIDE deae
who wanted to ship cattle had no snow
THAT'S not So" said Mr. Eastman brisKy. -
could double my shipments If l wanted to-
Butt asked Senator Vest how about any new
men who want to ship 7"
Mr.. Eastman replied that 1t would be hard for out
siders to get any stock space. Contracts for tha
are made in advance, because accommodations are
limited.
Presently Senator Vest put this pertinent question
We have taken testimony to the effect that tho price
Of cattle has been going down steadily for years ana
that It is now low that producers are going out OF
the business. How this be, when the price 10
the consumer remains as high as ever n
Mr. Eastman attempted explanation on the
ground OF the difference of weight between the beaSt
when in the enjoyment Of life and the edible and val
uabIe parts which remain after the separation OF
what &c known in the trade as "the fifth quarter
and more generally as ofal. Then Senator Vest
wanted to know why New-York beef which came from
Chicago, was better than Washington beef
NEwYoRKERs WANT GOOD BEEF.
"New-Yorkers insist on having good beef said Mr.
Eastman, and the butchers know it,
~hl, remarked Senator Plumb. "NewYork gets
the best beef as well the best of everything that
is going"
speaking about the car companies, Mr.. Eastman
informed the committee that these companies get so
much mile for the OF their cars and If they did
such good business that they could afford to divide
their mileage with the dealers they would do So
If that is not cutting rates, it is very close to it,"
said he, "and it ought to be stopped. 1t is simply
an evasion of the Interstate Commerce Law. These
car companies build and the railroads using them
pay the companies by the mile, but as An Induce
ment to shippers to use their cars, the companies
will divide this mileage with them. Such terms have
been offered TO me, but have declined them.'
Mr.. Eastman told senator Manderson that he did
not know Of any combination between the railroads
and the companies, but that the stockholders were
generally the same in both He did not think that
this evasion Of the Interstate Commerce Law had
been brought the attention Of the Interstate Com
merce Commission. Combinations Of buyers in Chicago
put the price of bee' were not feasible They
could not last. 1t probable, however. that when
the Chicago buyers f6und that certain amount OF
beef would arrive in the city, they might combine on
that day to keep down the price.
J. Bruce Ismay agent Of the White Star Line, testi-
fed that that line carried live cattle and dressed beef
to England. Tramp steamers came to New-fork
seeking cattle freight only II there good demand
Vernon II. Brown, general agent OF the Cunard
Iine said that that line did not ship live cattle ana
had only one boat for dressed beef
SOME MENTAL. ARITHMETIC.
Bernhard Beinecke has been in the slaughtered
beef and canning business since 1871. lie supplies
hotels and restaurants, and Senator Vest tried to ma
out from him what profit he made on 1,oOO-ponnd
corn fed steer purchased in Chicago or Kansas CITY,
brought to New York. slaughtered here and disposed
IL "a
ing and brain -cudgelng and figuring and reckon
ing of the proportions and values of prime parts and
chucbs, plate, navel and brsket (Which are corned
and shipped mostly to England) and rumps, hlp''
hides fat blood, etc, Mr.. Deinecke said that the
pr0ht would be S4 95. But in little while he said
that il wouldn't. because he had not deducted ex'
penses lie had only given the "gross profts.'
I'VE want the net profits said tho chairman
adding with wisdom, There is no such thing as
gross profit"
Joseph Schwarzschd, whose house saughters about
500 cattle a week. meant we'll but when 1t came to
figuring Senator Vest found great difficulty in get
ting him TO distinguish between dressed beef and
live After several efforts to get him the right tack
the witness exclaimed have everything home In my
books I don't have II in my head here'
Senator Vest got him to persevere in his caicula-
tons.
"You would lose 30 on that steer" said Senator
Vest when the witness again came to full stop,
" and you're not doing business that way
well there's some llvers and things, thatn be
20 shings," was the
"How much is that in money y was asked
81 mean New-York shngs-two and a half dol
lars" After that was added, the sum stood Price
for live steer, $40 40 returns from selling the car
cass. $40 so profit, 40 cents.
aWhy,n exclaimed the chairman, ont of that come
rent, interest and so on. You're dead loser'
"Wen7 quoth Mr.. Schwarschd, sometimes we
make little money, ana that makes IL even again"
"Mr. Armour, in Kansas said the chairman, ties.
titled that no was losing 70 to S6 head on corn fed
cattle. Where Is the money going to You're not
running this thing for fun, are youl The butchers
come before and they arc not making money.
Meanwhile the consumer is paying as much ever"
1.-The consumer is going to tho poor-house,a said
Senator MandersOn.
senator Henderson tried the witness on the shipping
question. MIR. Schwarzschild said that his firm
hv tho IackaWauua nd
Railroad which supplied the cars
Iiow much rebate do they give you ~ was asked.
None that | know Of" the reply.
William Ottman said that cattle selling in
Chicago at from % to S0 75 per hundred pounds lie
sold prime roasting beef TO restaurants and hotels at
l6 and II cents pound, aud charged . cents for
short lons For private customers the prices were