Evening star., 1920-04-03
MOVE TO STABILIZE
MARKET PRICES Of
H|DESAND LEATHER
Bill introduced in House De-
signed to Lower the
Cost of Shoes.

To stabilize the hide and leather
market and thus check prices OF
shoes from going higher. and to lead
eventually to lower prices for shoes
is the purpose of a bill fathsred by
Representative Kreider OF Pennsyl-
Hania. which is now receiving serious
attention in the House.
Representative Kreider Is a shoe
Manufacturer himself, his business
'eing capitalized at more than seven
million dollars. He has five factories
and hve distributing houses in the
Principal cities of the country.
The furnishing of information to the
pubic as to the available stocks of
hi1es and skins in the country will
prove an important factor in reducing
ahe cost of shoes and leather goods
generally. according to statements
made to the House committee on the
census by witnesses asking for the
passage of the Kreider bill This
measure gives authority to the di-
rector of the census to ascertain
monthly the amount of raw materials
and leather in the United States.
Representative Nichols Comment.
During the war the public vas led
10 believe that there was not suffi-
cfent amount of leather in the country
10 keep the people properly shod.'
said Representative Charles A. Nichols
or Michigan, discussing the legisla-
tion. This thought became general
when announcements were made
showing the requirements of the gov
ernment. Millions of pairs of shoes
were wanted for our armies; the ar
mics Of other nations wanted our foot
wear; surely IL looked as though there
were not enough animals in existence
TO supply the hides to make even
those.
The harness and saddle REQUIRE
ments of the United States Army
were beyond conception. We do not
, than 20 per cent of the number of
hides needed for our normal shoe
and leather requirements. With the
outbreak of the war our foreign
stores were cut on. There was gen
eral panic in the hide and leather
market and prices began to jump.
Statistics Were Lacking.
Had the census bureau been gath
ering statistics Of hides and skins. as
It had been gathering information
concerning other raw materials. such
as cotton. wool. iron, wheat. etc,
prices would not have reached any
thing like the level they did. That
was the trouble-no one knew what
we had In the country or where the
stocks were located. The men in the
business did not know the conditions
that existed. The result was a big
IuSu Oh lhC pAIt VI th0 AOt
hides. of the shoe manufacturers for
leather and Of the people for shoes.
The demand was enormous and the
activity in the market was without
precedent. South America furnishes
us a large part of our hides and
skins-the dealers there reaped a
harvest. -
The committee was assured by
witnesses that with a census of raw
stocks taken every month the people
- ~ HvU~x
of shoes to put away in order to save
money; the retail shoe dealer will
not have to stock up 50 heavily, for
stocking up beyond normal require
kments costs more money and makes
priees higher; the manufacturer VIII
know he can get all the leather he
needs and will not rush around bid
ding against the other manufacturers
in a wild desire to have his orders
lhlled; the tanner will go along in
of hides and skins will not be able to
take advantage of the excitement to
boost prices At the same time the
| farmer and country butcher Will be
assured Of reasonable pronf, De-
cause they were not so greatly bene-
fited by the jump in prices as were
the others who handled the proouct
after him.
Discusses Pr0AteeFing.
'..rhe committee learned that much
of the talk of pronteering In the shoe
! business was the jumping of prices
in the hide and leather market. IT
developed that q tanner would sell
leather to a manufacturer and per-
haps later buy 1t back at an advanced
| figure to sell to some one else. For
efRn buyers came to tho United States
with pockets full of gold and outbid
our own people. with the result that
Gour government had TO take steps to
PEE that our supplies were not cleaned
put entirely.
"Shoe manufacturers and others told
us that in the absence Of this infor-
nation conditions In the shoe and
Gather trade are somewhat chaotic.
The retailers are not placing their or
ers now for next seasons stocks as
hey usually do this time OF year. be-
ause of at desire to protect their Gus
omers against too high prices. The
manufacturer Is going slow and is
rot making up shoes in advance of
prders.
THE committee Is Of the opinion
khat soon after the census bureau gets
Into operation on this particular work
the effect on prices will be seen. and
has therefore ordered a favorable re-
port on the Kreider bill. The situa-
tion will be explained to the House.
and there Is no doubt In my mind but
that the members will agree that this
BE- one way in which high prices can
be reached and prevented from going
Further"