Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1919-07-11
TRADE BODY
WARNS u. S.
OF PACKERS
Report Charges Big Five
Nears Control of the
Nations Food.

Washington, July 11.-An ap-
proaching~ packer domination Of
all important foods in the United
States, and an international con-
troll of meat products with foreign
companies seems a certainty un-
less fundamental action is taken to
prevent it. the Federal Trade com
mission declared today in part one
Of its report to President Wilson
on the extent and growth of pow
er of the five packers in meat and
other industries"
"A fair consideration of the
course the five packers have fol-
lowed and the position they have
already reached" said the report,
must lead to the conclusion that
they threaten the freedom of the
market of the country's industries,
and of the by-products of the in
dustries linked Herewith. The
meat packers control OF other
foods will not require long in de-
veloping."
ail Publicity Urged.
Declaring ''the hlst0ry of the
packers growth is interviewer with
Illegal commissions, rebates and
with undisclosed control of COR
porations,s the report urged the
importance of full publicity of cor
porate ownership for all indus
tries.
"As to devices for securing con-
troll, there does not exist adequate
law" the report said "In its alb
sence unfair competition may run
its course to the goal Of monopoly
and accomplish the ruin of compet-
itors without the secret ownership
being suspected and consequently
without complaint to the commits
sion or investigation of facts. The
competitor is in jeopary so long
as he has not the knowledge of
true ownership and the public is
entitled to such knowledge.
Run 762 Companies.
Alleging that the "big five" pack
ers-Swift and Company, Armour
and Company, Wilson and Com
pany; Morris and Company: and
the Cudahy Company jointly or sep
arately WELD controlling interests
in 574 companies, minority inter
est in 95 others and undetermined
interest in 93-a total of 762 COM
that they produce or
deal in some IT'S commodities,
largely food products, the report
gives this picture of growing pack
~
lated industries:
Interests Are Many.
In addition to meat foods, they |
produce or deal in such diverse |
as fresh tomatoes |
and banjo strings, leather and cot
ton seed oils breakfast foods, gin
fiz, curled hair, pepsin and wash
ing powders.
They have interests large !
enough to be dominating in most |
Of these services connected with |
the production and distribution of |
animal foods and their by-pro- |
ducts. They are in cattle loan COM
panies making the necessary loans |
10 growers and feeders of live |
stock; are interested in railways
and private car lines transporting
livestock and manufactured animal
products and in most of the i'm
Dortant stockyards of the company
and livestock trade papers.
They are interestd in banks
rom which their competitor pack
ng houses borrow money; they
are principal dealers on the pro-
Tision exchanges where future
prices in standard cured animal
products are determined.
'"They are important factors in
he leather industry, in oleomar-
yerine and lard substitutes, in cot
on seed oil, in fertilizer, in soap, in
glue, etc.
Have Advantage In Distribution.
Their vast distributing system
With the advantages arising from
he control of private cars, cold
torage, and q network of branch
louses, has enabled them to extend
heir activities on a large scale
nto poultry, eggs, cheese, butter,
ice, breakfast foods, canned vesa-
ables, soda fountain supplies and
lther lines.
individuals of the Armour fam
ly are owners of grain and ele-
ator companies, and J. Ogden
Armour is a prominent factor in
he American International corpor-
tion with its shipping and ship ;
interests, its import and
xport companies in various lines,
Is connection in a company to de-