The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1899-06-17

to consolidate their interests and
form one company practically
controlling the sale of milk around
The bay. At n meeting held yesterday
il was decided to take immediate steps
10 secure the cooperation of as many
of the large dealers as possible and
start the business Of the company with
a cash capital Of $3.50 0G0 The move
ment is one of vast Importance to the
public generally. and especially to large
consumers Of milk, not only on account
of the basic principle of the intended
consolidation being monopolstic, but
for the reason that it Will bring into
practice a new system as regards the
delivery Of milk to customers.
The idea Of consolidation originated
With T. B. Stewart, president Of the
santa Clara Ranch Company. Several
months ago he became interested in the
methods followed by Eastern milk deal
crs. and ever since has urged in every
way possible the introduction of II sim
liar system as regards the sale OF milk
i'm san Francisco. After several weeks
of earnest labor he managed to secure
cooperation from dealers to such an
extent that an agent was sent to New
the consolidation system as practiced in
those large business centers. ,'hia
agent returned 10 San Francisco about
q month ago. His report was 50 salts
factory that the dealers most Interested
st once began To work up q sentiment
iu favor Of the foundation of big com
Tany. The crystalHzation Of their labor
in this direction was Witnessed at yes
terday's meeting.
1T is estimated that 10000 gallons Of
milk are daily consumed in Sar Fran
cisco. Of which 10000 are supplied by
Marin County. The proposed company
viii include only San Francisco milk
men. but on account Of the large
amount of milk furnished by Marin
County any consolidation without the
cooperation Of the dairymen Of this
county is practically a visionary
scheme.
Tt is oftener the rule than the excep-
tion i'm San Francisco that the wagons
Of three or four companies supply milk
To families in the same block; in fact. it
sometimes occurs that two or three
different milk concerns supply milk to
different families living in the same
house The plan Of consolidation will
change an this. for only one wagon will
supply the people of each district. or
regular route. This will do away with
the plan whereby a wagon of one COM
pauy carries milk all around the city
while perhaps the wagons of two or
three other companies Will at the same
time encompass nearly the same dis
trict, the customers living in the same
house or only a door apart. The amount
of profit shared by each firm will de
pend upon the relative number Of the
employees hired. wagons and stock sub
scribed and customers obtained.
1t viii thus be seen that he move
ment toward consolidation OF interests
into one large company is confined
90 san Francisco. but while this is true
IT all depends upon the dairymen of
Alameda, San Mateo and Marin coun-
ties whether or not the milkmen can
carry out their intended plans. If the
oompany should be formed and few
mlkmen refuse to enter, these Tefrac-
tory firms could greatly hinder the
operation of the company provided they
could secure a milk supply. and it is to
do away with this obstacle that the as
sistancc and cooperation of the dairy
men is asked. What the promoters of
The intended company wish, therefore,
is to secure contracts with ali the
oairymen Of Alameda, San Francisco,
san Nateo and Marin counties to give
it their entire milk supply as long as
the company is willing to pay as much
for the milk rs any firm not member.
II the dairymen ali enter into this
agreement any firm with the temerity
10 compete with its gigantic opponent
would soon find itself financially throt-
tied. Here is where the monopolistic ele-
ment enters. II no outside firm could
obtain a sufficient supply Of milk to
carry on business. and. therefore. the
company should have no competition.
il could regulate the price Of the fluid
70 suit its own notions
In the counties named there are
q bout 100 dairymen, representing n can
ital Of perhaps $10O000O. Negotiations
with the other dairymen have been
carried 70 a point where the signing of
contracts is about all that remains IN
be done but the dairymen of Marin
County have not reached a definite
conclusion. though it is more than
probable that they will come to an am
icable agreement with the promoters
If the great undertaking. NJ. T. Frei-
tas is the wealthiest dairyman in the
county and owns three ranches, from
which 500 gallons Of milk are daily
shipped to the metropolis. In addition
he owns stock on several other ranches
and IS interested in the shipment of
about as many more gallons from these.
lie supplies milk to the California Milk