The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1930-08-08
RETAIL MERCHANT
SECRETARY OFFERS
PLAN TO AID FARMS
Barometer OF Grain Market Not
Reflected in Bread, Says
W. D.. Powell
WARNS AGAINST PACKERS
Fears Lifting OF Consent De-
cree Would Multiply Chain
Store Conditions

ander Legge, chairman OF n feQeIdl
Farm Board, was urged to seek the
cooperation of bakers Ito assist, or
encourage, a better price for wheat"
in a letter just sent him by w. D.
Powell, secretary of the North Dakota
Retail Merchants association.
Mr.. Powell, writing in behalf of the
associated retail merchants. called at
tention to a news dispatch quoting
Mr.. Legge to the effect that lit has
been computed that of every dollar
spent by the consumer for bread, 81
cents never gets to the baker but is
consumed :, distribution costs from
the bakery to the consumer"
The farm board chairman was fur
Their quoted as saying that 1.-THE COM
bination of the packing industry with
the retail food trade which might
result from modification Of the con-
sent decree would at least elimipate
doubt as to who is profiteering."
Bread is now being retailed at Far
go at 1871 cents per III pound loaf,
Mr.. Powell said in his letter.
Little Profit to Retailer
"The retailer handles this l2h cent
loaf of bread for two cents" the letter
continued. I'm outlying towns, the
extra cost allows the retailer IN cents
per loaf. I noticed today, where one
country town merchant was selling
the IN pound loaf at II cents, his
profit therefore, being n cent.
"Your statement would have 1t ap-
pear that aside from the one to two
cents per1h pound loaf profit OF the
retailer, that there is a loss OF four
cents per loaf, after the bread leaves
the bakery, and before 1t reaches the
retailer. Or that the retailer gets 6
cents profit, instead Of what he &C
tually does get, which Is l, IN or z
cents.
This is a time for general cooper
alton, and q better understanding.
Would it not be well to have the pub
lie know that with wool at 40 cents
per pound, a price which would give
the producer a fair profit, that the
finished suit of clothes selling, say at
t35, would show very little difference
In prices as compared with wool at 20
rents per pound? This applies, In q
hmilar way at least, to the cost OF
The finished loaf Of bread, In compar-
son to the reduced price OF wheat.
In other words. wheat prices off one
third would reflect only a portion OF
that loss in the cost Of the finished
loaf of bread.
Millers in Position to Aid
considering that people generally
are buying bread produced in bak-
cries, why would it not be well for the
federal farm board to seek the CO.
operation OF bakers. through the
American Bakers association, to as
sist. or encourage, q better price TOR
wheat? It would not be difficult to
get at the exact, or slight, difference
in the cost Of bread to the consumer
for each IS, 80, or As cents advanced
in price of wheat to the producer.
1.-The flour milling industry Is IN q
similar position to the baker, as re-
CARDS the cost Of the raw material
with, however. q less spread. The
independent retailers handle the
bread with very little II any net prof.
1t. In making this statement, I am
presuming that the same condition.
apply throughout the country Is n
North Dakota. It would, therefore
appear that If every industry at IN.
terest would exert an interest In thu
matter Of a better price for wheat
that some good would result. TIT
producer, as we'll as the consumer, o.
wheat products, Is at least entitled
to know the exact truth relative Il
manufacture and distribution o
T wheat products, and this you are In 1
position to give them.
Opposes Favor to Packers
"As to the modification Of the pack
ers consent decree, it would mean n.
more, or no less than a gift. worth
many millions Of dollars, to the larg'
meat packing institutions. Evidence
is at hand which shows conclusivel,
that the large interests r movinl
gradually, but surely, toward the con
troll Of wholesale and retail distribu
ton Of food products. In this con
nection, the main thing is to elimi
nate the competition maintained b
the independent retailers, and I ma
Guy 11lOCpCAAOSAAV WA4O4C00ASAO a. "VA
with this impeachment out Of tn
way, the chain system would hay
clear sailing for increased net earn
ings. The modification Of the pack
ers consent decree would mean tn
establishment Of an additional ma
tion-wide chain system dealing 1
food products. and, thereby, add I
the pressure o being exerte
against the independent retailers. !
this regard it is well to keep in min
that it is the independent dealers WI
are holding down the price to tt
consuming public. The chain systel
would have it appear the other wa
and have resorted to. every devi,
known to further such impression.
Zone thing is sure, the producer
raw food stuffs must have q prot
on his products. If he is to kee
going. 1t would appear to me tn
this would be a good time to show tt
consumer that q better price on Il
major crops OF the producer won
not reflect anywhere near an eve
advance in the finished product
him."
.LEGGE OPTIMISTIC
Boise, Idaho, Aug. 8.-R-Alexal
der Legge. chairman Of the FEEDER
farm board on q tour Of the west, d