Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-02-05
u. S. FUR FARMERS
FACE PRICE DROP
0verproduction of PeItS Has
Forced Down Values in
Domestic Market.

An overproduction of furs for the
1e30-31 season unquestionably is hang
ing over the fur markets of the world.
The fur farmers of the United States
are likely to be seriously affected, but
they will not be damaged to the same
extent as those in a similar line of in
dustry in Canada, according to author1-
ties in the fur industry in this country.
Perhaps the most dangerous feature
of the situation Is the announced inten-
sion of the Russian Soviet government
not only to produce peltS at the highest
possible rate, but to process and man.
ufacture those raw materials into nm.
ished garments. No small part OF the
profits Of the fur industry results from
the dressing OF furs for wearing APP
parel.
Many Become Trappers.
Lack Of employment, both in the
United States and Canada, has worked
to increase the production Of raw furs
in each country. Men without jobs
went into the brush" this Winter,
realizing that they could live more
cheaply in the woods than in the towns
and at the same time have an oppor-
tunity of earning substantial profltS
from their efforts on the trap lines.
This tendency has been more pro-
nounced in Canada than in the United
states, although the regulation OF hunt
ers and trappers in the Dominion is
probably better taken care OF than
within the United States.
Canadian raw-fur production for the
1929-30 season was valued at $l8,475,-
473, according to officials OF the Depart
mert of Commerce. There were $780,
1913 pelts taken during that year. This
was an increase of more than 1,50O,O 600
compared with the previous year, ana
a similar increase is anticipated this
season. It is doubted If the Canadian
raw-fur production would be valued at
more than $4,000, 900, however, accord
ing to fur men in the United States.
Much of the increase in Canada came
from three lines-muskrat, with an in-
crease of 900 pelts erTnine ana Sill
yer fox. The great Mississippi Valley
Is the greatest field OF production OF
muskrat In the world and the climate
is such that decided advantage is
given American trappers, when 1t comes
to competition with Canada.
Silver Fox Pelts.
All of the production of silver fox
pelts in the United States results from
breeding and raising in captivity. NO
small part of the Canadian output also
is so produced, and perhaps there is
slight advantage with the Canadian fur
farmers Farmers in neither country,
however, will be able to show heavy
balances on the right side of the ledger
this year.
In the fur sales just concluded in
New York over $4,000, 900 worth of sill
yer fox pelts were disposed of, but the
highest price paid for one pelt was only
slightly over $500. Ofhcials of the Ameri-
can fox industry say that it costs APP
proximately $50 In feod, labor and other
charges to produce a silver fox peit, 10
say nothing Of interest on investment
and other charges. Prices they say,
are at present below cost Of production.
Russia, with a tremendous territory to
draw upon, can put procesSed silver fox
furs in the London and Paris markets
at prices with which American ana
caaSisn proesse s ssnet eo snprsS
out. The conclusion drawn by Ameri-
can authorities Is that only the "fittest"
can survive in the fur farming field.
Prices of finished fur garments have
declined fully as sharply as have the
prices of raw furs.
Proposed Oil Legislation.
Quilts are commencing to rise on the
petroleum industry and it gives evil
dehce of being a. very "fretful porcu-
pine" when it is faced with legislation.
either state or Federal. Every State
now has q gasoline tax. In AZ States
the Legislatures will hold sessions in
1881 and already there are indications,
according to leaders in the oil industry,
that advances in gasoline taxes are
contemplated in many. They fear that
any increases will check sales of gaso-
line and further delay recovery of the
petroleum industry to prosperity.
Petroleum production has been and is
being curtAiled. Drastic measures have
been taken to keep uflneeded crude be-
meath the surface. But stocks Of crude
and gasoline are still high and addi-
tional consumption is needed, as well
as curtailed production, to balance the
scales. Gasoline taxes aggregated $685.
100000 in 1880. That represents a gain
Of over $500, 100000 in 10 years, for the
total in 1920 was $4,700,000. If that
burden on the ultimate consumer is in
creased in 1881, the oil men fear it will
check motoring and reduce consump-
ton.
The automobile manufacturers are
fully aware Of this situation and have
joined hands with the petroleum or
CARNATIONS to fight additional taxation.
The tax trend has been steadily upward.
The first State to adopt the tax, oregon,
started with q levy Of cent a gallon.
To-day the Oregon rate is 4 cents Only
three States have taxes as low as 2
cents a gallon and from that they run
up to cents in Florida, South Carolina
and Georgia.
Average Gasoline Tax.
The oil and automobile men point !
out that tax of cents, the lowest now
on the statutes, involves a cost of l |
cent for each miles of distance trav- !
eled by car making IL miles CT a gall |
lon of gas. The average motorist is be- !
lieyed to travel between 5000 and 10, 1000 |
miles a year. The tax, therefore, i'm |
In addition to the cost of the gas.
Advocates Of the higher tax rates |!
point out that the greater part of the |
taxes collected by these ievies are de- |
voted to the building and maintenance |
OF roads and that this is a charge |
which the motorists who use the roads |
should pay. The problem is extremely |
now in view of the fact that |
this country contemplates the expendi-
ture of some $4,000 100000 on roads |
this year and must get the money to |
pay for them. The opponents of tax |
advances warn that the goose that lays |
the golden tax eggs may easily be
killed
In addition to the State tax legisla-
ton, the petroleum industry Is appre- |
hensive a. to Federal legislation. There |
is . possibility that a measure may !
come through Congress for a Federal |
tax, the returns from which would go |
to the building of highways
The demand from the aviation in |
dustry IL counted on by petroleum pro-
ducers to help out the situation to |
greater extent this year In 1880 some
thing like 25,5o0,0o0 gallons of gasoline |
were used in the operation of aircraft |
and the consumption Is constantly ex-