The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1919-06-13
Milk Producers Face Grand Jury
Investigation for Organizing
/ Selling Association.
INTERESTS BACK OF MOVE
Midwest Milk Manufacturers Associ-
alton, Which Includes the Armours,
Swifts and Other Market Manip-
& uIators, Suspected of Engi.
~, neering Attack.
BY ROBERT M. BUCK.

the Milk Producers association of IL
linois and its new cooperative enter
prise, the Milk Producers Co-opera-
tive Marketing company?
Nine years ago the dairy farmers in
the milk district surrounding Chicago
found that they were being squeezed
to the wall by the big interests that
were trying to corral the milk indus
try-the Armours and the Swifts and
other big milk-buying interests that
manufacture condensed milk, butter
and cheese. They found these big in
terests squeezing down the price the
farmers could get for milk, but they
found that when the price went down
for them it did not go down for the
consumer at the same time.
Milk Producers Organized.
The organized big fellows were
screwing down the price paid the
farmers and screwing up the price
charged consumers and were getting
the fat profit at both ends.
So the farmers Of the district or
ganized-like labor union.
In 1915, the Illinois state legislature
passed law permitting cooperative
associations to organize under certain
circumstances. Last fall the associa-
ton of farmers organized by author
lily of that law the Milk Producers
Cooperative Marketing company,
which undertakes to market the milk
of member farmers.
A Political Attack.
The company is under fire from two
sources-or rather the group of farm
ers composing 1t is under fire. In
February, 1918, before the cooperative
company was formed, several of the
officers and members of the Milk Pro-
ducers' association were indicted by
the grand jury in the criminal court
of Cook county. They still are await
ing trial, the Judge few days ago
having called on the states attorney
for more specific bill of particu-
lars and giving him 10 days in which
to file it.
This attack is not very important,
1t having been generally understood
in Chicago that the states attorney,
Maclay Hoyne, made it for political
purposes prior to his becoming a can
didate for mayor. He hoped to make
folks believe that he was fighting to
reduce prices for the consumer;
whereas he was only fighting to pro-
tecl the profits of those who stand
t"1ween producer and consumer.
MiddIemen Start New Probe.
There is now, however, more seri-
Gus attack pending before the federal
grand jury at Chicago. The leaders of
the milk producers organized move
ment say they welcome this investiga-
ton, but they also say they scent
pressure behind it and wonder wheth-
er the Armours, the Swifts and the
other food-hog interests that control
the transformation of milk into manu-
featured products have not had some
thing to do with the new attack made
on this cooperative enterprise.
There is an organization known as
the Midwest Milk Manufacturers as
ISOLATION, with Offices in the Westmin-
ster building, Chicago. Its president
is John H. Harris of the Wisconsin
Butter & Cheese company of Elkhorn,
Wis. It's treasurer is r. G. Fraser of
the Wisconsin Condensed Milk COM
pany. It's secretary is r. E. Little,
who says that among it's members are
found the Carnation, Borden's and
Libby, McNeill & Libby's condensed
milk interests. He denies that his
organization has had anything to do
with a fight on the Milk Producers
association or it's cooperative.
General Manager Potter of the Milk
Producers Cooperative Marketing
company said he did not know who
is behind the attack on the producing
farmers, but he added:
The proceeding gives us an inklins
that there is pressure back of it and
we suspect it is the pressure of big
fellows who are interested in breaking
up our collective marketing.
I'VE have got the milk producing
farmers together. We guarantee them
a market for their milk at the best
prices we can get and pay them on the
average of the prices we obtain. We
have not affected the retail price tc
the consumer, but we have got more
Tor the farmer in exchange for his
milk. We are getting close to the big
fellows who have combined to keer
the prices down on the farmer. They
do not like our organization and they
would like to see 1t put out of the
way. We have found out that the
farmer has to organize or the big fell
lows will eat him up, and we have
done 1t, that's ALL"