The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1889-09-11
THE BEEF COMBINE.
Kansas Cattle Raisers Relate Their Expert


KANSAS CITY, Sept s.-Before the senatorial
dressed beef commission to-day ex-Gov. Click
of Kansas testified that the prices of cattle had
deprecated 40 per cent. in thirty years, the
cause being the establishment in Kansas City
of great packing interest. which had de-
veloped first a great competition among the
sellers of cattle. and afterward combination
among the packers, which was powerful that
its members could buy the cattle at their own
prices. He said: II have shipped cattle to
Kansas City and have placed them on the mar
ket here at the market price. The packers
buyers protested that the price was too high,
and assured me that if did not want to sell at
their price I could reship my cattle and send
them to Chicago. | did that several times and
found each time that the Armour-M Morris-Swift
combination controlled that end of the route
too. | was forced in the end to sell at their
prices"
The effect of the depreciation in the prices
had been to drive many cattle-ralsers OF Kan
sas out of the business altogether. The packers
also controlled rates on the railroads to en- ex-
tent, and the packers of Kansas City had al
most ruined the butchers of Atchison, and
would have done SO entirely had not the city
council passed and enforced a city ordinance
requiring the inspection of beef on the hoot.
Witnesses said there were many buyers on
the Kansas City market, but they were afraid
for their lives almost They were practically
controlled by the combine. This combination
had lowered the price of cattle. Chicago con-
trolls the markets of the country. According
to witnesses, the railroads discriminate heavily
in favor of the packers. The price OF beef to
the consumer remains as high as ever.
a. j. Morris of the packing firm OF Morris,
Butts & Co. was sworn. His testimony was
given very reluctantly, and his answers were
given only after deep and long consideration
Several times Senator Vest was obliged to put
an fba th,,ro he IN coll forth rpgnOnSn
to some of his questions. He asserted that the
dressed beef business was going to the dogs
quite as fast as the cattle business. There was
too much competition. None of the packers
were making money. Senator vest contra
dicted this statement with clipping from CHI
cago paper, in which the reporter showed that
the profit on each head of cattle handled by a
packer netted him profit of Sl2 Mr.. Morris
sneered at the statement There was nothing
like that amount of profit in the packing busl-
ness now. The reporter did not know what he
was talking about.
"We're losing money" he said.
what makes you stay in the business,
them? asked Mr.. Vest
Pride and the hope of better times"
"Are not the packers attempting to drive
slaughtering butchers out Of the business" in
quired Mr.. Plumb.
The witness replied reluctantly, but was at
last forced to admit that his customers had re-
ceived threatening letters from one OF the
packers in the combine. The wit
ness had seen the letter, but did not
have it with him at the time. The wit
ness firm was not in the combination. They
themselves had received threatening letters, but
they did not frighten them at all. The witness
had TO personal knowledge of combination
between Armour, Swift, Morris and Hammond
by which the territory east of the Mississippi
was divided between them in such a manner
that neither would encroaeh the territory of
the others. The prices of dressed meats were
fixed, he thought, by the individual firms each
in his own territory.
Gov. Click also said that there were no
adequate sanitary regulations at the Kansas
City yards. He thought congress should stamp
out Texas fever. Senator Vest said that was
just what congress would do. Senator Coke
said it shouldn't be called Texas fever, for it
was as prevalent in other sections as in Texas.
Numerous witnesses gave their experience on
the Chicago market. They found that there
was no competition between buyers, and that
when once they refused bid for stock that was
the last they would see of buyers until the
shippers were ready to sell at a lower figure
than had been first offered. The unanimous
opinion of witnesses was that combine exists
among the packers.