The Birmingham age-herald., 1919-02-19

could be extended near the larger towns, possibly with municipal help and the operation therein protected from illegitimate competition, I believe they would not only succeed, but would greatly stimulate the local production of meat animals. One effect would be great stabiliZation of prices by wider based market than that now so largely dependent upon a small group of buyers.
 ANOTHER PHASE
 Another phase of the question liei around the fact that I feel the soSu- tions propounded by the trade commis- sion will not entirely solve the prob lem of the invasion of many other lines of food handling besides animal prod ucts. This portion of their business is l more largely supported by their larger credits and their elimination of the wholesale grocar, rather than upon railway privileges. As to whether such goods can be vended more economically direct than through the wholesaler is | matter of much contention: It seems | to me, however, that this whole phase | of absorption of other food industries l requires consideration. It appears to
 me at least worth thoughs as ts wheth-
 CT these aggregations should not be confined to more narrow and limited ac- l tivitieS, say those involved in the slaughter of animals, the preparation
 and marketing of the products there l from alone. Such course might solve
 the branch house problem and it is
 not an unknown legislative control, as ! witness our banks, railways and in | surance companies. | One other cause also chokes the free
 marketing of food in the United States, which will not be reached by the ulti
 mate action on the above lines and
 that is the present insufficient stand
 ardization of our food products, and
 this would contribute to strengthen 1 the independent manufacturer.
 | In summation, I believe that the ul- timate solution of this proglem is to | be obtained by assuring equal oppor- | tunity in transportation. equal oppor- | tunity in the location of manufactur- | ing sites and of terminal sites, and the | limitation of the activities of these businesses. In this situation, I be- l lieve that the 50 minor meat packing l establishments and the hundreds ot
 other food preservers could success ] fully expand their interstate activities l and that local slaughter would in l crease with economic gain to the com | munity and all through continued com petition constantly improve our manu- 1 featuring and distributing processes tC
 the advantage of both producer and 1 He uctdlicu lHCtiOuS, C-A cept in the manifest case of car and
 stockyard control, require much more i thought.
 WOULD DISRUPT DISTRIBUTION
 The activity of the food administration ia necessarily founded on securing the largest service and the least disruption
 and danger to distribution during this period of national strain. To take such a radical step as to seize the packers branch houses for the war would effec' no permanent values and would surely
 disrupt distribution at this time. The packers are today performing their eco
 homie duties of preserving and distribut- ing the meat supplies of our own popula- tion and the allies, as distinguished from the social results of their organization and the only outstanding question from a purely win-the-war point of view is whether the packers are today imposing upon their competitors and whether theil remuneration is exorbitant. These are matters which can be remeded during the war by regulation and taxation.
 I would, in any event, separate the
 whole problem into question as to what should be done war emergency ano
 what should be done as a permanent solu- tior of the whole question. l do not fee
 that the government should undertake
 the solution of the problem by the temper dTy dutnOTlly cOHIeTTeu uHueT tHc Woi
 powers of the railway and food admins
 trations, which must terminate with
 peace, but rather that it should be laid Ibefore Congress for searching considera- ton, exhaustive debate and development of public opinion, just as has been neces- sary in the development of the public in terest in our banks, insurance companies and railways. Yours faithfully,
 F HERBERT HOOVER. His Excellency, the President of the
 United States. Washington, D. C.
 SWIFT ISSUES STATEMENT MT. L. F. Swift, president of Swift & tCo., made the following comments with regard to MT. Hoover's letter to tht President on the packing industry;
 T am naturally greatly interested ii MT. Hoovers letter to the President
 which was written last September, ant
 welcome it as an honest expression O. opinion about the packing house situa ton. I am only sorry that MT. Hoove
 had not had opportunity to avail himsel
 of the information brought out at tn, recent congressional hearings in Wash
 ington.
 'The principal issue seems to b. whether or not there is monopoly. ant II believe it was clearly demonstrated a Itfese hearings that the large packers ar, in active competition with each other 1Eere are absolutely no agreement
 trol prices. and they together handle les than 40 per cent of the meat supply O the country. The largest company han T 11-~- l. - q A