The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1920-03-19
HOUSE HEARING ON PACKER BILL BRINGS
GREAT DEMAND FOR LEGISLATION TO
CONTROL THE MEAT PACKERS

way. l think government by legisla-
ton is proper" He also said, IF it is
right to divorce wholesale groceries, it
is right to divorce butter, eggs, cheese,
and poultry. If it is not right to d.
vorce wholesale groceries, it is not
right to divorce other things.
Railway Brotherhoods Endorse Lcgis
r. Brotherhoods Endorse Legislation.
The members of the Committee on
Agriculture were deeply impressed
when Warren S. Stone, Grand Chief
of the Railway Locomotive Engineers,
appeared in favor of legislation which
would adequately control the packers
Mr.. Stone commented on the continu-
Gus increase in the cost of living, and
the burden it is placing on the con-
sumers and urged that the railroads
acquire the stock yards and refriger-
ator cars, in order that there might
ben a inequality of opportunity for
distributing live stock products, and
in order that the cooperative associa-
tions of producers and consumers
might have a better opportunity for
direct trading. Mr.. Stone said that
he appeared, not primarily in his Of
fetal capacity, although there are
2, 100, 900 members of the Railway
Brotherhoods, but as a citizen con-
cerned with the problem Of the high
cost of living.
Lasater Challenges Packers Efficiency
Mr.. Ed. C. Lasater Of Falfur,ias,
Texas, member of the Farmers Ma
tional Council, large live stock
grower and dairyman of Texas, ex-
pressed himself without any quibbl;ng
on the packer legislation. He said:
Mr.. Lasater said that we could not
get legislation on the packers by pink
tea" hearings and that we must face
the facts, that the live stock protluc-
ers of America are getting discourage
stock unless they have better chance
He quoted the charge of the Federal
Trade Commission the the joint leg
islative funds of the packers have been
used to pay the unautited expenses
of lobbyists, and help elect friendly
congressman. He turned over to the
Committee the report on the cost of
production of cattle on his ranch,
compiled by Price-Waterhousc, and
Ernst and Ernst, and the figures o
the Department of Agriculture on the
cost of production. The Certified Pub
lie Accountants figures covered the
years 1913 to 1917, and showed that
the cost Of production of a twelve
months calf on the average was
$4G97. Mr.. l.asatcr sold three crops
at a price of $500 per head, ut q net
loss of over $1,000 per head; figuring
interest charges on his equity OF about
sixty per cent in the business, and he
stated he got a little over per cent,
while the banker got $ per cent I'll"
cost of producing two-year-old.i was
SGT Ca, of thrcc-ycar Odds, $500. An
audit of his books by Price, Water
house, and Ernst and Ernst showed
for nine years operation a profit, in
round figures, of $G44,437, on an av-
crage investment of $2,53G, 900, which
was an average Of about 2.S per cent
Hc had sold, however, real estate for
$737, ITO, so that his net loss on his
nine years work was in round fig
ures, $92, 1913. To meet the situation
Mr.. I.asater urged that the railroads;
be required to acquire the refriyerat-
or cars and all stock yards, which had
a business in the last calendar year
of over 100000 head of cattle, on
which may have in the future calen-
dar year. He also emphasized the
need Of securing cheaper credit for
live stock producers who now pay
about 8 per cent, which is often near
ly half the cost of production.