Evening star., 1933-09-30
PR|CE-F|X|NG PLAN
FOR RETAIL TRADE
MEETS OPPOSITION
Peek to Reject Ban on Sales
at Less Than 7K2 Per.
Cent MAKEUP.
INSISTS CODES ASSURE
FAIR DEAL FOR FARMER
Johnson Expected to Approve Char
ter With Wholesale Cost Plus
Feature Shortly.
By the Associated Press.

BY the Associated Press
The N. R. A. and Farm Administra-
ton apparently were at odds today over
The Governments policy toward price,
fixing bv the huge retail trade business.
Hugh S. johnson was expected mo-
nentarily to approve retail code de-
signed to stabilize prices by prohloltlhg
tetailers from selling at less than WHOLE
hale cost plus 10 per cent.
A similar provision proposed by Ihe
food and grocery branch OF the ousi-
ness-prohibiting retail sales az @SS
than a 10 per cent mark-up over
wholesale cost-was slated for nat re-
section by the Farm Administrator
Both codes eventually must receive
President Roosevelt's approval II Jonn-
son signs N. R. AS retail charter To-
dav as officials predicted, it would 60
immediately to Hyde PARK 1oi plonAu. ~
cation, while hearings preparatory ~
final drafting of the grocery oooe "o -'0'
begin until october g.
Ruling Made by Peek.
.ectioe III TODD food prices proposed not only
clG ner cent minimum mark-up loI le
to;1ers hut also a 212 per cent marx
I'M for wholesalers, farm olnclalS uio
c1oeed that George N. Peek, admlnlstra-
for has ruled out price-fxlng 1or uis-
frihutors except where codes or marAee- e.
ing agreements assure parity prizes ioi
farm products. ., u,os renre-
The Farm Administrator was iepI ppoIe
sented as feeling that on Iie ,aawes m
nrice fixing after a COMMONLY IeHses w.
tthe farmers hands is a mistake. II mas
Getermined rather on the poilcy "
krinoing reluctant middlemen mto
,,oarSeting agreements which NIX oniy q
rinimum price for farm prooucts aiio "
mo axim1m price to the consumer.
The N R. A. retail code received oy
,ohnson-still confined in Walter Reeo
TosnitaI after a minor operatlon-ooes
not cover the retail drug business.
separate charter for this olVisloi' ""'
nearly complete, however: ~.
The N. R. A. has jurlsdlction ovei S..S
wage and hour sections OF tne Ioo4 t,ase H
Crocerv code and will pass on tneSe
y9-ovisions October S. Farm admlnlstra-
fors we're hopeful their own hearlngs
hepinning four days later would oexeiop
defnite provisions for improving iai"
prices.
Determined on Pressure.
The Evansville, Ind, milk marketing
aoreement. meanwhile, furnished tne
FTst concrete instance OF the aomlnIs-
fration,s determination to Apply pres
sure to arrive at pacts which mean
higher prices to the producer. :,
Distributors there, farm otnclaS sala'
refused to sign an agreement Wucn
contained only the lowest price which
might be paid the producer ano t tne
highest which might be cnargeo 'iie
consumer. =.
rided to slap a blanket license on the
milk handlers which binds them TO
observe the pact, anyhow. ana an
no11ncement of that decision was ex-
The agreement is effective for 30
dav period and hearing is to be held
then at which the distributors may
present their pleas for fixed resale
price schedules. ...
Unless there is a change of attitude
by farm act officials, only the price 10
be paid the man who mliks tne COW
and the highest price which may ne
charoed the person who drinks the milk
is to be allowed.
Consideration may be given cases
where the handlers of a commodity
offer to pay full parity price to the pro
ducer and there may be concessions,
but by and large, price fixing past the
farmer will get an official froWn.
Arguments Checked.
Farm prices must be lifted in hurry,
officials believed, or there is trouble
ahead. The voluntary agreement meth
Cd has been slow. Ohclals SAID II
would simplify matters if an industry
were told what price it might pay the
producer, establish maximum to pro,
feet the consumer in certain cases. and
let competition take care of the retail
In checking over the voluntary agree
inents signed thus far, officials have
come to the conclusion that IN many
Continued on Page 2. Column 81