Daily capital journal. (Salem, Oregon) 1903-1919, 1919-01-24
APPREHENSION FELT
FOR DAIRY INTERESTS
ON ACCOUNT OF DROP
Butter And Butter Fat Have
Dropped Nine Cents Dur
ing Past Week.

There will be joy in the heart of the
Salem housewife today as she views
the collapse of the inflated butter mar
kct. The Marion County Creamery,
which has for weeks past been quoting
6S and SO cents for butter and butter
fa. today announces drop of 8 cents,
following the action Of Portland and
Seattle controllers. This win mean a
corresponding cut in the retail prices,
which for several weeks have been
ranging up to rs cents or more.
In the Portland market yesterday
there was drop of cents pound on
butter, making total decline Of 8
cents during the past week. Evidently
the creamery men have decided it was
time for q voluntary adjustment Of tho
market to conform to the law of supply
and demand The excessively high
prices all along the coast has stimu-
lated production to such degree that
the drop was bound to come sooner or
later. Along with the drop in butter
goes slash in the price of butterfat
at stations, the Portland dealers quot
ing so cents pound, which will be
curdling news to the dairymen, who
with the exhorbitant prices on mill feed
were just making feir profit at the
high prices.
The break in the market was not con-
fined to Portland and the Northwest,
as reports from the National Cream
cry Association indicate that dairy
products everywhere are on the tobog-
gan. In the San Francisco market there
was more spectacular fall than IN
Oregon, and this means that the Cali
fornia shippers will lay down butter in
Portland at 40 Or so cents. Receipts in
San Francisco are said to be twice as
heavy as they were at this time year
ago.
Substitutes Have Effect.
Not only has the high price of but
ter in Salem tended to cut down con-
sumption, but the coming in Of Chicago
packing house substitutes has had its
effect upon the situation. Thousands
Of pounds Of the white brick combina-
tions. retailing at about 40 cents a
pound, arc being consumed by the Sa-
lem housekeepers bent upon economy.
Really there is more cause for appre-
hension than satisfaction in the stu
alton in Marion county, for there will
be nothing to encourage the dairyman
to continue in business unless there is
an immediate drop in feed prices. Sen
ator Pierce, Of Union county, who is
fathcring a bill for the help Of the
dairy industry, makes the statement
that $4,000 dairy cattle were slaught-
cred last year, and the killing is likely
to continue. The bill which is being
prepared by Senator Pierce, provides
for heavy tax on olcomargarine and
kindred substitutes for butter, the pro-
eeeds to be used in building up the
dairy industry.
Another bit Of encouragement is held
out to our dairymen in the move now
under way to organize state dairy
council which will further tho inter
ests Of the dairymen in every direction.
F. +. Deckebach, of the local creamery
association, has this week been max
ing canvass Of the leading business
men and bankers in company with
Commissioner Nickel, in the effort to
secure members and financial backing
for the organization in Salem. He
states that they have already secured
the names of 65 prominent financicrs
of Oregon who can be depended on to
back upi the move. Later they expect
to include all the leading dairymen and
dealers Of the state in powerful body
that will be in position to safeguard
an industry that is in dsnger Of being
throttled by present conditions.