El Paso herald. (El Paso, Tex.) 1901-1931, 1919-01-21
GRAIN DEALERS
IN A COMBINE?
Secretary ella yton Says
No; Explains Some
Charges Made.

Charges that the FL Paso Grain
Dealers association is a trust were
Indignantly denied Tuesday by Walter
Clayton, secretary.
The association came into exist
ence." he said, at the request Of state
food director Peden and we have been
attempting to do the things he wanted
US to do"
Says Prices Very High.
The charges against the association
were made in the following letter to
The Herald:
7 assume that my experience IS no
different to that OF any other con-
sumer who has bought or attempted to
buy grain products from any Of the
Fl PasO grain houses since the Or
ganization OF the FL Paso Grain Deal
ers' association.
call any one Of FL Paso's grain
houses members Of the socalled asso-
ciation) and ask for a quotation on
any certain article OF grain. and
guarantee you will be quoted the same
price for the same quantity by every
one OF them. 1 further guarantee that
the price quoted viii be so high as to
astOnish you, especially II you happen
to have any knowledge Of the buying
Kansas City or Omaha markets. from
which FL Paso dealers largely draw
their supplies.
Calls 1t a Combine.
Take corn for instance: Rio Grande
valley corn is being sold at retail by
some stores (who are not members Of
the Grain Dealers association for as
low as $3.50 delivered in single sack
lots Of 100 pounds. But call any one or
all OF the members Of the Grain Deal
ers' association and ask for a quota
ton on white corn in a similar amount
delivered, and they will reply con-
certedly S4-35. making no distinction
between Rio Grande valley, Kansas or
Missouri corn. What is true OF corn in
this respect Is true Of other commodi-
ties
why are the prices OF members OF
the Grain Dealers association invari-
ably higher than those who are not
members OF the organization? VIII
some supporter OF the Grain Dealers
combine explain the merits OF the as
sociation2 Was II instituted and has
It been conducted with the full lnowl-
edge and approval OF the local food
administrator How and who has II
benefited as a war measure2 Now
that the restrictions on practically all
food products have been withdrawn,
why the necessity OF such q price fix
ing committee, and has It legal or
moral right longer to exist2
VIII some one answer? I venture
to suggest the Grain Dealers associ-
alton will not reply"
Clayton Defends.
Answering it, Mr.. Clayton said;
There Is no trust about the local
Grain Dealers association I am not
surprised that certain valley corn can
be bought here cheaper than the mem
bers OF the Grain Dealers association
sell it. There IS a great deal OF valley
corn 10 be had At various stores in Ei
Paso, cheaper than the members Of the
Grain Dealers association sell II, but
this corn has been brought in from
the valley without being milled or
It IS sacked in old. dirty
sacks in most cases and all the sacks
are OF uneven weight. Only today q
man from the valley wanted to sell
ne some feterita, but Il was sacked in
sacks Of uneven weight. I would have
TO unsack Il. clean II OF pebbles and
trash and resaek II before I could
sell It.
The FL Paso Grain Dealers associa-
ton came into being at the request OF
Mr. Peden. We meet occasionally and
set prices We base our prices upon
the daily quotations. plus a sufficient
profit to pay for the cost OF hauling
and delivering Sometimes the market
drops after we buy a carload Of corn
and we often sell II cheaper than we
paid for It, or we must hold It and
take chances on the market rising
We fix all our prices upon the Chi
,ago market price, plus sufficient
profit to pay for handling and de-
livery.
IF we handle valley corn. we have
L cleaned and properly sacked and
We cannot sell II any cheaper than
any other white corn"
Necessity still Exfsfs-S
Regarding the necessity for the or
zaniZation continuing in existence, Nj
Clayton said: a circular from Mr.
7eden's office some two. or three
weeks ago said that certain require
nents heretofore exacted or requested
could now be dispensed with, but there
s still a need for our association We
we're brought into existence at Mr..
9eden's request in order to prevent
any dealer taking advantage OF a
scarcity OF food and raising prices Z