Arizona republican., 1903-04-15
PHOENIX. ARIZONA. APRIL 15, 1903.
Failure of the Anti-OIeo Law.

When congress. under pressure from the dairy interests of New England, was passing the anti-oleomargarine law, the cattle raisers of the west in sisted that the law would be failure. This opinion has been confirmed. Fig ures made public by the commissioners of internal revenue a few days ago show very conclusively that the law has failed to meet the purposes in tended.
 It was the expectation of the promo ters of the law that it would practically drive oleomargarine out of the market, at least as a competitor of butter. That it has utterly failed in this object is proved by the commissioners figures which show that total of 50,000,0oo pounds of oleomargarine has been sold in the eight months ended February 2s. a decrease of only 30 per cent from the corresponding period of the previous year, and a decrease by no means sur prising. in view of the fact that in the first few months of this period the pro- duction was materially curtailed, be- cause the manufacturers were engaged in adjusting their methods to the pro- visions of the new law. Since what might be termed the readJustmens period the sales have steadily increased. and it is doubtful if the next eight months will show the slightest diminu- ton. In the judgment of some au- thorities they will show an increase.
 Out of the total of 50,0O0. 900 pounds sold only 16Oo0 pounds was artificial? colored, and thus subjected to the tax of 10 cents a pound. The remainder was technically uncolored. and paid the tax of one-quarter cent a pound, in lieu of a two cent a pound tax provided by the old laws; but this does not mean that it was white, the manufacturers having so adjusted the proportion or lawful ingredients as to give their product reasonably rich color without the use of artificial coloring matter, this being accomplished by an increase in the amount of cottonseed oil and of genuine colored butter entering into the composition of the oleomargarine
 Moreover, the government has sui fered a considerable loss of revenue as a result of the new law. For the eight months ended February 2S, 1901, the the revenue collected in the form of taxes on oleomargarine and licenses to sell the same amounted to s1,s63, ,46l73. Receipts from the same source for like period ended February 2S, 1903, amounted to only s526, ,1O3.S7. a decrease of s1,337, 357.s6.
 withstanding the decrease in rev enue, the number of licensed retailers Of uncolored oleomargarine has greatly increased. the license fees having been reduced from s2sO for wholesalers and s4s for retailers to s20O for wholesalers and s6 for retailers of the uncolored product.
 It was the freely admitted expecta- tion of the promoters of the law that white oleo" would find little sale, and had it been necessary to make the product white this assumption would doubtless have proved correct; but the skill of the producers in giving to their product a yellow tinge has defeated all such expectations.
 The anti-oleomargarinel law also pro- vided for the proper labelling of reno vated or process butter. for the sys- tematic inspection of the factories, and imposed a tax on the product of one quarter cent a pound. While there are no figures with which to make com parisons, it is the opinion of those familiar with the trade that the sale of process" butter has undergone no ma terial diminution. The receipts for the eight months ended with February from this source amounted to s95. .46S.40, showing sales of 3S,iS7,3 ,360 pounds. With no little shrewdness the manufac- turers, although compelled to label their product renovated butter" have seized on the government inspection as furnished a guarantee of purity, and advertise it as prepared under the supervision of the United States gov ernment."
 Taking a general view of the results of the law. it is doubtful if it has in any way benefited the producers of genuine butter, while it has occasioned no inconsiderable loss of revenue to the government
 Strenuous Days for Corporations.