Evening star., 1934-08-28
TRADE EREGROUP|NG
IN n. R. A. REDUCES
COSTS
ESQ PaCtS in 10 Basic Sec
tionS Aim in ReaIign-
ment Move.
RELATED INTERESTS
PUT IN SAME CLASSES
Producing, Fabricating and Serv-
ice Industries and Distribu-
tors Fundamentals.
BY the Associated Press.

BY the Associated Press.
N. R. A. hailed it's far-reaching re-
alignment of codes today as an i'm
portant step toward greater efficiency
and economy.
1t divided American industry into
% classes, the initial move toward
cutting down the number of codes
from 682 to about $50 and grouping
them in 10 grand divisions. Mergers
are relied on to make the drastic re-
duction in the number of codes.
Codes with similar or related inter-
estS were grouped together in an order
published today. Allied businesses
will thus receive identical treatment
on common problems, officials said.
The codes also are expected to be
easier and cheaper to administer.
The % claSsifications in turn are
based on four fundamental groups as
follows:
Producing industries Food, textiles,
leather and fur, ferrous metals, nom
ferrous metals, non-metallic products,
fuel, lumber and timber, chemicals
and paints and drugs, paper, rubber.
Fabricating Industry.
Fabricating industries Equipment,
manufacturing, graphic arts, con-
struction.
Service induStrieS-Public utilities,
transportation, communications, fl
nance, amusements.
Distributing trades-ProfeSsions and
service, wholesale and retail codes.
A special economic unit recon-
mended the plan, which resembles
closely the Census Bureau grouping
and the international classification.
The contemplated code mergers
officials said, will take place be-
tween units of almost identical eco
nomic interests whose separation at
this time is based on arbitrary and
personal rather than economic rea-
sons"
Men to Be Transferred.
The plan viii involve the transfer
of a number of experienced men in
N. r. A. so that they can stay with
the codes with which they are IA
miliar
The plan, besides producing more
order in a situation that had grown
cumbersome, is expected by officials
20 slash the overhead cost of indus
trial self-regulation.
The probable ultimate lineup OF
the industry divisions was given as
follows:
l. Food, farm products.
2. Textiles, furs, leather
8. Basic materials, steel, lumber,
building materials, fuels.
4. Chemicals, drugs, paints, paper,
rubber.
5. Equipment, machinery, tools,
fixtures, vehicles.
6. Manufacturing of use goods
from household appliances to musical
instruments.
Construction, Utilities.
T. Construction in all branches.
8. Public utilities electric, gas,
water), transportation, communica-
tions.
y. tlnance, graphic arts, amuSe-
mentS.
10. Professional, service trades; all
wholesale and retail codes Except
foods.
Because of the relationship be-
tween food codes and the agricultural
adjustment programs, the announce
ment said, mo. l division is vertical
from first manufacture through retail
sale. Co-ordinating machinery. how
ever, will be established for uniform
trade policy between divisions . and
10, and if later found desirable the
food distribution codes are arranged
so that they can be readily grouped
with other distributing trade groups" I"
JOHNSON DENIES ROW.