Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1910-01-28
Friday Morning january % 1910.
PROFITS IN THE MEAT BUSINESS.

PROFITS IN THE MEAT BUSINESS.
Washington dispatches state that inves-
LEGATIONS in fifty cities by agents Of the
Agricultural Department reveal suggestive
facts about the advance in the price of
the necessaries of life In these cities the
average increase charged TO the consumer
over the wholesale price paid by the retail
dealers was 38 per cent In eleven Of
these cities the rate of increase was more
than SO per cent. in twelve cities it
ranged from 40 to so per cent. In the
other twenty-seven cities the advance over
the wholesale rate was from 20 to 40 per
cent These figures seem to indicate that
retailers in some parts Of the country are
making excessive profits. Whether the re-
tail dealers are acting independently,
whether they are operating in conformity
with an agreement among themselves. or
whether they are bound by an agreement
with the wholesale dealers, is a matter
upon which enlightenment is greatly
needed. The public comedies the small
dealer is entitled to fair and reasonable
profit. But when, as stated on the author
ity Of the Agricultural Department, the
consumer is compelled to pay to the re-
taller for ordinary articles Of food prices 38
per cent. above the wholesale cost of these
commodities, the situation resolves itself
apparently into one of extortion, rather
than Of fair profits.
Senator Bristow, of Kansas, in an inter-
view, asserted that revolutions have been
started by less than American people are
suffering now" The price Of meat, in his
judgment. ought to be less today than it
was twenty-five years ago, instead Of
greater, because in the preparation and
sale of meats now there is no waste.
When ! was boy" he declares, "25 per
cent. Of the carcass went to waste. Now
nothing is wasted, not even the blood"
And yet despite the economics which are
employed. the utilization of all parts of
carcasses for commercial purposes and the
profits derived from the sale of by-pro-
ducts. the price Of meat has steadily ad-
vanced. In explanation Of this advance,
it is alleged by the packers that the sup
ply Of live stock in the United States has
not increased proportionately with the in
crease Of population. But the investiga-
tons of the Agricultural Department show
that this claim is not sound. Our esteemed
contemporary. the Philadelphia North
American published yesterday statements
which il declares to be based upon indis-
putable authority. During the ten years
from 1899 to 1909, says the North Ameri-
can, beef cattle in this country increased
from 27.994.225 to 49,399,000, an in
crease Of 70 per cent; the number Of
sheep from 39.l14,453 to 56.084 900, an
increase Of 43 per cent; the number of
swine from 8.651,63l to 54,l47, 900. an
increase of 40 per cent. In this period the
increase Of population, it is estimated, has
not exceeded 20 per cent, and therefore
the claim that there is scarcity Of meat
per capita is unfounded.
In Canada. where the pinch of high prices
is also felt, but less acutely than in the
United States. the Department of Labor of
the Canadian Government has arranged to
publish weekly list Of wholesale and re-
tail prices for the information of consumers.
The Canadians. with the facts provided by
their Government. will be able to fix upon
the wholesale dealers and the retailers the
exact degree of responsibility which at
taches to each of these classes for the ad-
vance in the cost of living Mr.. Fisher,
the Canadian Minister of Agriculture, has
demonstrated recently that the British
householder is able to buy bread made of
American -four and bacon from American
hogs cheaper than the consumer in the
United States. The advantage which the
Briton enjoys in respect to cheaper bread
and meat has direct bearing on two sub
jects of great importance to Americans.
The first is that the British dealer is salts
fed with smaller profits than the American
dealer The second is that, despite the
Cidhu III NCitulh QuditCtS Ill tihS Souiitiy
that there is a scarcity Of meat in the
United States, American bacon is exported
to Great Britain and is sold there to con-
sumers at figure below the prevailing
price in this country.
II the facts in the possession of the Gov
eminent prove, as alleged. that there is nc
scarcity of cattle in the United States, that
the packers combination makes large
profit ESTIMATED at $7.40) on each head
of cattle slaughtered, that by enforcing
agreements in restraint Of trade prices art
kept above a fair and reasonable profit
the Government must act energetically ant
speedily for the relief Of consumers, II tn,
packers combination fixes the price to tn
wholesale dealers and the latter bind tn,
retail dealers to sell at stipulated price
then, so far as the products Of the packing
houses are concerned the retail price 0
meat is fixed by the Western packers. Blu
the advance in prices is not confined to al
ticles alleged TO be controlled by the pack
ers' combination. There has been an in
crease in the retail price Of food commod
ties in general use. The adoption in hi
country Of the Canadian Governments pla
Of publishing weekly the list of wholesa
and retail prices might prove of subtanti
advantage to the American consumer
would know at least, after the facts we
laid before him, whether the wholesa
dealer or the retailer gets the lions sha
Of the profits.
IN THE INTEREST OF AORALIT