The Sisseton weekly standard. (Sisseton, Roberts County, S.D.) 1892-1929, 1921-07-22
ICE I CREAM
PROFITS TO
BE PROBED
uGUGE GAINS BY DEALERS AND
2 PRODUCERS ARE ALREADY
BROUGHT TO LIGHT By IN.
VESTIGATION


Investigation Of alleged unreason-
ADle profits made by retailers and
manufacturers on ice cream will he
sS0ntinued today by the state depart-
sment of agriculture. This was learn
4 "a last night, when Clifford A. Ives,
4 lS0cretary of the Ives Ice Cream conn
Dany, announced that he had been
asked to appear today before j. II.
May, deputy commissioner in charge
ss0f the investigation.
s Mr. Hay issued a report yesterday
9of Investigations to date, which
charged that both retailers and man
!: ufacturers were taking an unfair, ex-
cessive profit on ice cream combina-
IMtions. that they had admitted theiy
\ prices were too high, but that neither
had indicated any willingness or in
y tention to debate current ice cream
profits.
Probability that the investigation
might take some new turn was sug-
gested by Mr.. Ives recall before the
deputy commissioner. as Mr.. Ives has
previously testified in regard to ice
cream prices and practices.
Explanation Is Made
A. H. Ives, president of the Ives
company, last night admitted that
Mr.. Hays description of the prices
charged by wholesalers and retailers
was correct, but said that he had
failed to take several factors into ac-
count. For one thing, he said, ice
cream dealers have an active season
of only three months, and during the
remainder of the year their equip
ment is largely idle.
Mr.. Ives said that he could see no
possibility of any reduction in ice
cream prices so long as commodities
cost what they did at present.
Mr.. Hays report charged that
profits on ice cream products ran
from 800 to 900 per cent on some
of the higher-priced sundaes. Ice
cream cones, he declared, we're sold
at especially excessive rates.
In his report, Mr.. Hay said:
'sDishers are used to scoop the ice
cream out of the large cans in which
r. ho Thocn
are known by numbers, as Numbers
10, 12, IA, 16. Is and 20. This means
that No. 10 will give 10 servings,
a No. 12, 12 servings and 80 on. They
will fall short of this, however, by
about 10 per cent. Number 12. IA
and 16 are most commonly used for
fee cream sodas and sundaes.
Syrup Home Made
'sIt is practice of the trade for
the retailer to make his own syrups
from sugar simply by melting the
sugar and adding flavor. The syrup
is often thinned with water. A gal
Ion of syrup will give from so to Is
servings. A customer is supposed
to receive ose ounce of syrup on an
ordinary sundae.
"a few dealers have cut the price
of an ice cree N soda from 2 to 5
cents, but in general the retail prices
are the same in the summer Of 1921
as in 1920. The buyer invariably
pays the federal tax.
tsThe current price asked for
plain ice cream for home consump-
tion according to the testimony,
varies from so to 20 cents per quart,
with so cents as the average price.
The retailer buys the ice cream for
$1.O5 to $190 a gallon. delivered at
his place of business. II he sells this
at so cents oer quart for home use,
he makes 100 per cent profit and
better. II he sells it at so cents pc,
quart, he makes profit Of 66 2-3 per
cent and better.
How Profits Mount
ssUsing the largest size Of disher
made, No. 10. the retailer can
serve at least nine dishes or sundac
from one quart. This sundae is sup.
posed to contain, in addition, one
ounce of sugar syrup, which costs
less than a cent Nine sundaes, sold
at 20 cents each. deducting a syrur
cose Of 8 cents, leaves him net $1.72
for . quart Of ice cream which cost
him from 26 to 80 cents. This af.
fords him gross profit Of from 325
to 375 per cent. Just what percent.
age Of profit he makes whsa he uses
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