Evening star., 1917-02-22
PAPER MEN ARRIVE
FOR CONFERENCES
To Take Up Price Fixing Plan
With Members of Federal
Trade Commission.
BIG PROBLEMS TO SOLVE

Newsprint paper manufacturers be-
gan arriving here today for conferences
with the federal trade commission on
proposal that the commission fix news
print prices for a period of six months.
Manufacturers representing about one
third of the production of the United
States and Canada have signed the pro-
posal. Those coming did not JOIN in
the suggestion and are here at the re-
quest of the commission, which wishes
their views on it.
Restoration of free competition in
newsprint paper manufacture is the
aim of the commission. and If 1t ac-
ceptS the proposal it will work with
that purpose in view. The commission,
it was stated today, is bent on fixing a
cure for conditions and not mere pal
liative- At the end of six months the
commission feels that conditions in the
newsprint industry will have been
shaped so that unrestrained competition
will insure fair and equitable prices.
Up to Manufacturers.
Acceptance of the proposal hinges on
the attitude of the manufacturers who
are arriving here. Those who already
have signed the proposal represent
output of the United States and Canada.
Their surrender in the face of criminal
indictments. officials believe. will break
the news print market and force prices
to an equitable level whether all other
manufacturers join in or not. Members
of the commission are hopeful that
most of the other big manufacturers
will come in.
Discontinuance of the Department of
Justices criminal investigation has not
been promised any manufacturers. it
was made clear today. but it is not be-
Heved if indictments are found the
cases ever will come to trial if, in the
meantime. competition should be re-
stored. The attitude of the commission
toward offenders is that corrective
interests of the public than are punt
tive measures.
Difficulties in Way.
Many difficulties are seen in putting
any price-fixing plan into operation.
If the cost of production were the
same in all mills. it would be a COM
paratively simple matter. and a fiat
rate would be put on paper. but costs
are different in all mills. and a scale of
prices will be necessary. The ques-
tion of redistribution also presents
puzzle. The commission probably would
work out some arrangement whereby
newspapers as far possible would
purchase their newsprint from the
nearest mill and thereby cut freight
rates to the minimum.
Publishers probably will be called
into the conference if the price-fixing
proposal should be accepted. and it is
considered likely a distribution plan
might be proposed. under which they
would be asked to use a minimum of
paper to conserve the supplies. While
the commission holds there is no actual
shortage of newsprint. it does not
wish to encourage an extravagant use
of it and create real shortage. Man
ufacturers, it is understood. are will
Ing. under a distribution plan, to keep
enough of their machines on newsprint
to care for all necessary newspaper
uses
A census of pulp wood consumption
made by the forestry bureau in CO.
operation with the Newsprint Manu-
facturers' Association, announced to-
day. shows that $50 mills reporting
used in 1915 about 3.419000 cords of
wood and produced approximately p
239, 900 tons of pulp.