The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-04-26
NORTHWESTERN BUSINESS GOSSIP
Will the Big Beef Companies Consolidate Beef Prices
May See Slump President Of the M. & ST.
L.-C. NJ. & st. p Surplus, Will It Be Used to
Build to the Coast S. VI
! Build to the Coast {


VIII the. big meat concerns go round
the ends of the Sherman antitrust law
and consolidate their interests in one big
corporation? The six big packing con-
Germs intend to control the meat trade to
the farthest limit. If they. find the. anti
trust law an obstacle, the natural conclu-
sion is that they may follow the path
round the ends' which ahas been we'll
beaten by the. industrial mergers in the
past six years.
The Sherman antitrust law was framed
to suit arcient conditions in the trade of
this country. America is travelling at
such a fast pace industrially that ten
years carries one back to trade methods
now clothed in moss. When the Sherman
law was framed the countrX was getting
to be big boy in the world of traffic.
It had big concerns in every line aud
many of them There was disposition
on the part of some of the largest to "get
together" on prices and to make trouble
! for new competition in order to make
their profits more secure. The railroad
managers believed in the pool as an eff
Elective means of maintaining rates.
Manufacturers believed in agreements and
associations as aids in controlling the
| situation, Public sentiment was against
both. The interstate commerce law
abolished the pool, and the Sherman anti
trust law was aimed at price agreements
| and arrangements were made to hold
competition down to level harmless to
the big fellows. When congress adopted
the pooling clause Of the interstate COM
merce law Senator Platt of Connecticut
predicted that actual consolidation would
! be the result. The history of American
/ railroading in the past ten years and the
! gradual consolidation of numerous lines
Into big systems shows that fPlatt's pre-
lzdiction was good No one predicted con-
4 solidation as a result OF, the <anti-trust
law, but it came. ~
Nine-tenths of the industrial combina-
tions organized in recent years have had
| for their main purpose elimination CT
competition and actual control of the out
put. While there was, up to within recent
years no disposition to make the anti
trust law live factoE, yet it was a
menace to those in trade who believed in
getting together Their condition pro-
duced the "gentleman's agreement
among heads of various Industries, but the
agreement usually proved unsatisfactory
The most effective way to eliminate COM
| petition, control price and get round the
Law was found in actually consolidating
the properties which gives us the modern
thrust with its economics, stifed competl-
:tion, watered stock, and in many cases ad-
vanced prices. >
Agreements i'm Beef.
What the public terms the beef trust
| is one of the remaining industries. de-
pending upon agreements, arrangements
and various other methods in keeping
down troublesome competition and pro
noting economies in operation. Undls'
| turbed by higher authority, the agreement
has evidently been effective. The various
concerns have grown soafast that the!
have hardly had the time to consider con.
solicitations. 1t was not. many years age
that the Cudahys found out what a really
/ big thing they had and put blanke'
i mort gage on the earning power OF then
business Iby a remarkably large capltallza'
i ton: The Swiftss have .blossomed into e
see, 600, 900 capitalization IN reeenEtyears
4 and the other big concerns nave poomc(
along at a pace just as fast. Inc amol
+ ton of each big packer to, grow big IN
1 world Of slaughter houses, canned meats
\ and summer sausage, promoted lVel.
+ competition for awhile, but harmony IA
i finally prevailed and competition is Delnl
.Elaid in a grave alongside: the buried nope
of the small meat packer
T. Now that the community OF lnteres
among the meat concerns is working mar
=, moniously. the Sherman law is resur
rected hy the president, who believes il
thriving the coat on before throwing
away. II Philander G. Knox can max
). the coat fit the meat combine may con
vert itself into new form.
4 Prices May Decline. s
When the steer from Montana and IN
Dakotas comes to market the price
| ooobt ba- 4
Commission merchants say that the nero
;. on the plains of the northwest are 70 pc
cent larger than those Of last year. chi
cago: expects to receive 1000 more car
II loads from the states mentioned than l!
:, 1901, Montana and Dakota cattle are i
fne shape this year and will finish on wei
on the growth of grass resulting iron
western cattle will not be under way Il
good shape before August !. Grower
are expecting a good year and intend t
market their stock to- the best advantage
Z They intend to keep the steers until the
are several hundred pounds heavier on Tn
5 average than they are now. This mean mean
that the quality of beef will be. Dette
and will command a better price than !
usually paid for northwestern grass cat
tie. The American public is doing I
wonderful stunt at eating beef and !
4 paving butcher bills more promptly thai
\ ever before Whether the Increases
supply of grass cattle will materially at
n feet the price of meat depends on severa
conditions, but there is a rainbow of hop
in that quarter and August will tell tn
story.
The NJ. & St. L. President.
Once a year party of men all Q
medium stature and tat bank account
comes to Minneapolis from New lori
4 and holds two-hour session in modest
lily furnished Office on the eleventh foo!
. of the Guaranty Loan building. IWely'
months Of the business history OF thu
Minneapolis & st. Louis road are re
viewed, the future policy is canvasset
, dividends are declared, and the visit ives
is concluded by a trip Of inspection owe