, 1921-08-02
THE BIG FIVE ABROAD.

From the final report of the ub-committe on
trusts and profiteerfng, of the British parliament COW
ering the years of the war and down to 1920, it is
learned, that notwithstanding the declaration Of our
own political federal trade commission, the British
Investigators found no existing combination among
the so-called "big five" And independent packers who
came in competition in purchases made in the United
States on behalf of foreign governments and by deal
ers and agents on behalf of private concerns, certified
that they had met nothing unfair on the part of the
big five"
The parliament committee reports in this language,
under the subhead of american Bacon:
with Denmark out of the market owing to the
war United States bacon, and to a less degree Can
adam bacon, became the standby of this country. Now
that Danish bacon is again being brought in, the i'm
pcrta.ions of United States bacon are diminishing.
Ire chief importers are the Big Five (Swifs Amour,
Morris, Wilson and Cudahy), but there are about 30
much business as the large group. All sell their prod
ucts through agents in this country, sometimes branch
or related houses of the packers, sometimes British
houses. Wholesalers either buy from these agents or
send their Representatives to America to buy there,
according as the market appears likely to be favor.
able or not. The federal trade commission reported
that a combination exists in the United States between
the five large companies named Our witnesses who
had bought in the United States assured us, however.
that they had never perceived anything but keen COM
petition among the large packers, and the representa-
tives of independent packers stated that they had not
met any unfair competition on the part of the Big
Five, and in any case, were prepared to face with
eduanimity any competition on their part short of a
deliberate attempt to put them out of business. Com
binations for export are, moreover, legal in the United
States,and one group of independent firms are so
associated together for trade with the continent. 1t
was not denied that the Big Five could, if they COM
bined, control the trade, but the witnesses maintained
that the facts within their knowledge disproved the
existence Of any such endeavour. The result of the
policy of the ministry of food during the war ap-
pears, on the whole, to have been to maintain the po-
sition of the independents. The capacity of the lat
ter to compete depends, as far as we could ascertain,
on the quality of their products
'tSome of the agents on this side claim to act in
perfect independence of the houses consigning to
them, selling the bacon for what it will fetch ac-
cording to the state of the market. Others work more
closely to the instructions of the exporting firms,
whose selling agencies they practically are but they
also maintained that they could not control the market
here. Both classes of agent, of course, kept their prin-
cipals informed of the present state and probable fu-
ture course of the market, so that they might know
whether to push or restrict their exports. American
bacon for export is borax-cured to stand the long jour
ney, although such bacon is not allowed to be sold in
the United States. 1t can, therefore, be kept in cold
storage in America, and supplies to the United King
dom can be to some extent regulated. The agents Of
the American houses all denied that they acted in CO.
operation with each other or with any other group
of agents and no allegation of such action was made
to us. They all arrange for the smoking of the bacon
consigned to them and sell to anyone who wishes to
buy. Representatives of the wholesale trade stated
that they found the keenest competition among the
American packers agents for their custom"
The policy of the Wilson political government or
anyone else jumping on big business, simply because
1t is big BUSINESS is one of tire crimes Ams-ica has
suffered under for a series of years. 1t has caused
more injury to American business and enterprise at
home, and especially abroad, than business can build
up in twice the number of years the tearing down
process has been in progress. The same demagogues
who have sought to destroy American foreign business
in the past now tell us we must have foreign exports
to make us prosperous. Beyond needful and proper
regulation American business should be unhampered.
Our captains of industry will do their part in keeping
our merchant flag on the high seas and contribut-
ing to the commercial Importance and wealth of the
country.
The world would have suffered untold ~hardships
during the war but for American bacon. 1t would suf-
a tAIa.. J. tLA -, ,a-1l - l. - rI
where is the sense in crying down a big industry be-
cause of its size?