The Bridgeport times and evening farmer., 1919-08-27
PRIVATE GAR LINES FACTOR
 IN MEAT CONTROL SCANDAL
Federal Trade Commission Recommends Ga
 Operation on Equal Terms to All Shippers

" dSiililS lOil, Aug. "ASCTlDing to
 private car lines position as one of
 the principal factors in the concen-
 tration of control of the American
 meat industry, and showing that the
 Big Five Chicago packers own more
 than 90 per cent. of the equipment
 suitable for shipment of fresh beef
 and carcass meats, the Federal Trade
 Commission made public special
 Private Car Line Report" to the
 President. It recommends as a remedy
 that all cars used for the transpor-
 tation of meat animals and all refig-
 orator cars and equipment be operat-
 ed on equal terms to all shippers
 ''The most important types of prt- vate cars considered" says the Com
 missions letter to transmfttal to the
 President, "are the brine tank refrig-
 orator car equipped for the trans
 portation of dressed meat carcasses,
 and the ventilator refrigerator car
 suitable for packing house products
 and for vegetables and fruits. The
 three principal classes of owners are
 the packers, the railroads, and private
 car companies leasing their equipment
 to shippers and railroads.
 The refrigerator car made prac- ticable a moro extensive and econom-
 ical use of food products. For fruits and vegetables 1t encouraged the de- velopment of production in regions especially fitted therefor by soil, cn-
 mate, and season of growth In the meat industry it facilitated the con- centration of slaughter by making practicable the long-distance shipment of fresh meat, in place of the ship ment of live cattle to the localities ot consumption. It has also tended to the curtailment of the local slaughter of meat animals.
 '"The present countrywide system of distribution by the five big packers through their branch houses and ped- dler car routes Is built around the principle of refrigeration and has grown up, historically, from their control of refrigerator car lines in conjunction with the various pools and combination maintained almost continuously for more than 50 years
 i ''Extensive ownership of brine tank refrfgerator cars by the five big pack CTS is a principal factor in their con trol of the meat industry On De- cember 31, 1917, they owned l5, 454 brine tank cars, adapted to the ship n1ent of fresh beef and carcass meats, which Is over 90 per cent Of the total euuipnnent of this type of car. 1 Their ownership, until recently. Of ac- cessory facilities such as icing sta lions and platforms located advan- tageousIy in trunk line territory, siren gthened their control over the ] industry.
 '.Tn turn, the volume of traffic of the five packers has enabled them to secure from the railroads advantages over competing shippers Formerly In the shape of direct rebates, these ad- yanta ees are now usually in expedited service to the big packer cars; in favorable mixing rules which include all their diversified products and i even many articles not related to the packing industry; by allowances paid to some of the big packers by car riers for the performance of a part of tho transportation service; by ia vorable arrangements and lease of stockyards by the railroads to some of the big packers; and by the sale to the railroads of pumping posts
 manufa ctEred by a subsidiary of one
 of the Big Five packers
 "On the other hand competitors of
 the big packers in meat and other
 food lines obtain no advantage from these concessions
 .'The small independent packer cars are misused and diverted, fre-
 ouently being out of his service Tor
 extended periods in several instances as long as six months
 "In 1917, cars of the Big Five hackers and of their subsidiary com Danies maintained an average of SO.o miles per car per day, while the average for the cars of their com petitorE. the independent packing companies, was only 54.5 miles. 's,be situat ton in the fruit and veg | etable business differs from the pack | ing industry in that in most cases | cars are furnished, not by the ship pers. but by the carriers or priVate car companies. The exclusive con ! tract. by which a carrier agrees to use | the cars of one company to the ex- | clusion of all other equipment, has in | some cases operated to the detrimenI | of both producer and consumer The ! stockholders of Armour & Co. own | the Fruit Growers Express Clnc-) ! with 5.66O ventilator refrigerator cars which has exclusive contracts
 with seven railroads in the Southeast
 which carry the large majority of the frigerating fruits and vegetables from By virtue of these contracts and re- | frigerator fruits and vegetables from the more important growing districts there. The Fruit Growers Express | has failed to maintain it's refrigerator ' car equipment in satisfactory condi-
 ton with the result that shippers have frequently suffered unnecessary i'm 1 pairment Of their products. Yet, be- cauEe of the exclusive contract, cars ! could not be obtained from other | sources.
 I "In connection with the operation
 of the special facilities necessary fo.
 icing refrigerator cars, both before
 shipment and during transit. many ' TODAY'S WANTS