Evening journal., 1918-08-31
federal Price FOR
TOMATOES TOO Low
Navy Departments Action
Causes Acute Situation,
Gamers Say
APPEAL TO SENATOR
SALISBURY TO AID

WASHINGTON, d. c., Aug. 5i-An
order from the Navy Department call
ing on the tomato packers Of the East
for one-third OF their entire pack Of
this season, at a price OF $50 per
dozen, number 3 standards, and $3.50
per dozen Of number 10 standards, has
caused an acute situation in the can
ming trade OF Delaware, Maryland and
New Jersey. which unless rectined by
a fairer price. threatens many Of tho
leading Gamers with practical bank
ruptcy. The price fixed by the Navy
Department is nearly 80 cents a dozen
less than the actual cost Of produC-
tion.
a delegation consisting OF Senator
Thomas II. Robinson. William e.
Robinson and Richard Dallam, Of Bel
Air. Aid, and George NJ. Numsen, OF
Baltimore, were in Washington yester-
day to seek relief from the ruin which
they say threatens their business. They
called upon Senator Salisbury, OF Del
aware; Senator Smith, OF Maryland,
and Senator Martin, OF Virginia, with
whom they conferred at length.
The delegation pointed out that the
order Of the Navy Department Is EVIL
dently based on a radical misapprehen-
sion OF the cost Of tomatoes. Several
months ago the army and navy called
for a contract based on a price Of s2i
a ton for tomatoes. This price was
soon proved to be so far below the
actual market that both the army and
the navy recalled the order Al mat
time Senators Salisbury and smith
brought the matter 10 the attention OF
the Senate and an Investigation by the
commltte on agriculture soon showed
that s2i a ton was unreasonably low
price. The Gamers showed that the
lowest price paid for tomatoes this
season has been s2s a ton, while al
times $40 a ton has been the prevailing
price. One OF the Gamers has even
paid SIS per ton.
THE average price has been s32 per
ton at which figure the present order
OF the Navy Department would entail
A rulnous loss to every Gamer. In
1915. Maryland furnished OF the total
pack Of i3,142,OO0 cases no less than
G .0i2. 900 cases. while Delaware ranked
next with $4,000. In 1917 OF the total
pack Of i5.O76,07i Maryland furnished
{. .933. .239 and Delaware followed with
1 $50. 500 cases.
The order OF the Navy Department
named $50 per dozen for the No. 3s,
$50 for the No. Hos as a provisional"
price. and promised that an investiga-
ton as 10 the tomato packing situation
would be made by the Federal Trade
and on the basis OF that re-
port ten navy would pay a Just and
fair" price, II 10 developed that the com-
Missions report warranted an increase
over the price fixed In the commanders
ing order" But there was no assur-
ance that the price named by the navy
would not be the lnal price and the
delegation OF Gamers today showed by
the figures which they submitted TO ths
that this price did not sp-
the actual cost OF produo-
ton.
They made it clear that their sole OBJ
lection TO the price fixed by the navy
was the ObsOlute impossibility Of pro-
ducing the goods at that price, in view
Of the cost Of tomatoes and the great
increase in the cost Of cans, packing
boxes, labor and all the other elements
Of production. They pointed out that
today the most inefficient labor in a
Gaming factory is being paid 40 cents an
hour and that all other labor was pro-
high. They also assured
the Senators that their only concern
was the absolutely hopeless situation
created by the order Of the navy, and
that they were not demapding the
higher price with a view 70 profit. but
we're, on the contrary. willing to ac-
,ept a price which the navy would
ind represented actual cost, leaving ths
natter Of profit 10 future negotiations.
Senators Salisbury. Smith and Mar
lin were impressed by the statements
made and will take steps early next
week 10 secure an interview with Ad-
niral MCGOWAN whose department is
iued the order. when the Gamers can
ay their case before him. The price
lxed for the navy will be followed by
he army, so that it is essential that
he naval officials should be convinced
hat the price fixed by them is below
he cost Of production, and must be in
reased.