The Parma herald. (Parma, Idaho) 1903-1917, 1905-03-25
o.r6eld's Report on Beef Industry
49, Eaxoro packers

Tho Garfield report on the organiza-
zion conduct and profits of the corpor-
s,,ons engaged In the beef packing in
s',strv has been submitted to Presi-
sent Roosevelt and by him transmit
ssd to Congress. The conclusions ar
s,ged at by the commissioner after.
narbaps. the most drastic investiga-
,,on of business methods ever known,
were wholly unexpected at least by
,bose who for some time past have
bsen indulging in unfriendly criticism
,,non the business conducted by the
great western packers.
This report indisputably demon
strates that the charges of combina-
lion market control, extortion and
others along these lines have been
sitber the result Of transformation or
actual ignorance of existing condi-
tIons or OF deliberate. misrepresenta-
tion in aid of sensational journalism.
The investigation was set on foot
nv Congress, conducted by the Depart
ment OF Commerce and Labor and was
especially in charge of the commits
sioner of corporations, James r. Gar
field. II has been carried on for near
" year, and during period when
the popular mind was inimical to cor
porate interests. Its subject, too, be-
ing one of vital interest to the public,
as (. involves a necessary food pro
duct, there was every motive on the
part OF the government officials for a
most thorough and searching investi-
CATION. The report itself bears ample
testimony that the experts employed
by the government have gone to the
very bottom in their efforts to get at
the actual facts of the situation.
There Is too much of it in a book of
about 300 pages for anything like de-
tailed revision, but 1t may be said that
It shows clearly and conclusively that
the severe criticism upon the methods
Of the packers has been unreasonable
and without foundation.
The report shows that most OF the
recent complaint has really been pop
ular clamor II not delusion based upon
inadequate information. 1t would ap.
pear that some such official investiga-
ton was necessary to clear the atmos-
phere, for now it would seem to be
almost impossible to continue charges
that have been so completely refuted.
To summarize briefly this report. it
is shown that, instead of the practice
OF extortion and the amassing OF
enormous fortunes by Illegal methods.
the packers are engaged In business
really less profitable than any other
large industry requiring similar large
investment. The commissioner shows
that in the year 1902 when prices were
highest the business was less profit
able than usual and that some of the
leading packers were actually losing
money on every head of cattle slaugh-
tered. Regarding control of cattle
prices at the different stock yards of
the country, there is not the slightest
hint that any irregularity has existed.
The commissioner specifically finds.
after the closest examination of all
books and papers by government ex-
perts. that there is no over-capitaliza-
ton OF the several great firms and cor
porations engaged in the beef indus
try, and as to actual net profits, he
calls attention to the fact that from
July !, 1908, to July 1, 1904, these
were shown to be by two of the prin-
clpal companies, as ascertained from
their books, only so cents per head of
cattle slaughtered, or 1876 cents per
hundred weight of dressed beef, or
less than one-eighth of a cent per
pound.