New Britain herald., 1919-10-17
THE PACKERS.

@ Reports that the five big packin s |9ompanies of Chicago are on the eve EPf becoming grocers to the entire 4 nited States whether the country Evils it or no were submitted for di- |8 est by the Federal Trade comm;s- E#ion yesterday, and left to the dis Erection of the public. With the re- Aort questions as to the economic S8alue of this control of trade were asked, and pertinent questions they 3Does this widening of activity result |Ah additional economies in production |8nd distribution, and will it bring l8bout lower prices, better service and Quality of goods?'
 |8 In addition to a practical monopoly sXn poultry and dressed meats the Hackers are so extending their work #1at almost every conceivable article h the grocery line will eventually be Controlled by them. Soda water is Killing into their grasp, they dictate B# R far removed from their trade. Their profits are reputed to be enor- Mous, the Armour Grain Co, is said # have paid a dividend of 7S per Bent on it's capitol stock and to have Fad surplus of undivided profits Amounting to almost five and @ half Million dollars for the year 1918.
 N Subsidiary corporations, formed by he companies and kept secret, are bid to be the source of much of their Revenue. The meat trust is an enor- ous octopus with tentacles that Brain every town big enough to he 8rced to buy meats and supplies from arkets- The market owner may do Mttle but buy from the packers. He ay not be sure, even in the smaller HI aces. of a steady supply of meats om the farmer and thus is forced M align himself with the big fellows
 order to obtain his stock in trade. # The questions asked by the trade bnmission are apt, and it is time B at we ask it of ourselves. there #bon it is time that we act There
 e laws in existence which might 8gulate the activities of the packers Md which may be enforced by the M1blic as~represented in Washington hd the higher courts of the land. 8here is no doubt but that organiza
 pns such as the packers have form ed & e instruments for the better serV- e of the country, for the cheapening hd standa rdization of quality in all
 oductS, but the rub comes in the M ct that they are also instruments
 extortion, providing that their M yners wish to use them as such and
 c great profits cited in one instance
 ads one to believe that the control
 Id raising of prices might be the
 ime motive back of the organiza- pn of the system. In the right
 nds, the big distribution and pro-
 Ould be an extreme benefit to the
 lited States. In the wrong ones it
 menace. The packers have in 5ted that their profits are low, and M i've produced the books of the father
 operations to prove it, It seems to M the subsidiary organizations that
 e yielding the returns.
 While we speak of governm ent
 vnership of various sorts, it might & well 10 consider the case of the
 ckers. Their corporations would
 fruitful field for the public's gain, & oviding the public could get them
 d operate them properly. In the
 ndition we are now in we may not
 gislate the corporations out of ex- M ence, at once, because. when all is
 i'd and done, they have solved a
 stribution problem that may have
 en a serious difficulty under other
 .cumstances. Deprived of this vast \ an that has grown up in our midst
 would indeed be facing great costs
 q unreliable deliveries. There is
 thing to take it's place.
 Som must be done, however, Ee packers have become too big for
 and for their own good. We
 lst limit their powers and do it
 adually so that they will not go out
 business. A fair profit should be Mt to them though they should not
 len have the opportunity for extor- # bn. Remedial Legislation will be
 I'd to find. Congress faces a gi-
 ntic task.
 Louis F. Swift, of Swift & Company
 nied the allegations of the trade