The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1919-10-26
RAIL ROADS "FAYORING"
FIVE BIG PACKERS, is
GROCERS' ACCUSATION

uilU ULlIU hUUUUh IUN
Chicago, oct 25.-The invasion" of
the wholesale grocery business by the
9o-called big five packers in the direct
result of preference in service given
them by the railroads according TO the
testimony of Walter X. Scott. traffic
representative. given before the Inter,
state Commerce Commission here Thurs.
gay at the Congress Hotel
Mr.. Scott said that the railroads have
nation of the grocery business by pro
viding shipping service which the whole
sale grocers cannot get.
The packers are afforded regular.
ity Of railroad service which the whole.
sale grocers do not enjoy he said.
and this has served not only to handi-
cap the wholesale grocer. but TO eucour.
age the invasion Of the packer into the
wholesale grocery line. The packer al.
ways knows when his cars are due to
arrive at their destinations the whole
sale grocer never knows The packer
gets a special service faster than the
wholesale grocer, because he ships all
his freight in refrigerator car and
gets the expedited handling that is
given to perishable goods These ship
ments, however contain large amounts
OF canned goods. soaps. sauces and 9th.
er staple products which do not require
refrigerator or expedited service Even
on periShable freight the wholesale gro.
Ger cannot procure as good service as
the peddler car Of the packer. In the
peddler car system the packer has re-.
ceived preferential treatment in both
rates and service The peddler cars are
hauled by the railroads subject for Ger.
tain minimum charges for the entire
service, and when the packer had only
meats to carry he often paid a deficit
to make up the minimum Now in
many parts Of the country he puts gro
Gerry items in the car without any uddi-
tional expense. In addition to the pref
erential service, by loading his canned
goods and soaps with the fresh meats
In the refrigerator car, he obtains the
same expedited handling of this lower
grade Of non-perishable articles as he
does Tor ms fresh meats; the whole
sale grocer. however. must take his
chances with the usual run Of lower
grade freight"
The witness went into the history
OF the packers socalled invasion Of the
. wholesale grocery trade. He said that
the big five packers used two import
ant systems OF distributing their goods
the branch house system and the car
route Tor peddler carr system. More
thah ohe-haIt Of the branch houses are
located IN the Atlantic seaport states;
mere the peddler car does not run. The
peddler car system is found in the states
OF the south and middle west, including
ONO ON the east to the Dakotas and
IeN's on the west The direct distrbu'
uoh oil products by the packers started
IN lhe 6os, prior to that time whole
s1lerS hau peeh the distributing media
ana lhe wholesale grocers had distribute
eu many OIL the products for the pack
trS. with the advent OF the branch
mouse ana the peddIer car systems, how
ever the packer displayed an increased
tendency to distribute his own products,
ana IN addition the products purchased
from olHerS. moro ana more products
were audtu TO lhe packers Hst' until
III recent years ne mas ceased distilo.
u'Iis everything lHrough wholesale
grocery ana mas invaded practically
nearly every "hoIesaIe grocery Inc with
the exception oI Hour ana sugar.
Inc transportation advantages pro
Nlued lhIough the raIIioadS nave played
CONSPICUOUS parts IN lhlS SOcdllcu IN