Evening star., 1942-08-18
Zone Price Ceilings
Studied by 0PA 10
Spread Meat Supply
ANA Chief Predicts
Nation Will Face Shortage
OF 5000, 600, 900 Pounds


Of 5000, ,000, 900 Pounds
Adjustment of meat price cell
ings by zones in order to relieve
shortages in areas where the
ceilings are low is under consid-
Grafton by the Office Of Price
Administration, a spokesman
said today.
Some method of "leveling" prices
would help. it is believed. to correct
maldistribution and assure that
packers deliver a normal proportion
of their output to every area instead
of favoring those cities where CELL
ings are highest.
The new turn in the critical meat
situation followed statement by
Roy F. Eendrickson, administrator
of the Agricultural Marketing Ad-
ministration, that a 5000 100000
pound shortage Of meat for civilian
consumption would develop in the
months ahead, and that conse-
quently, meatless days and rationing
are within the possibilities facing
the public.
The suggested zone adjustment,
according to the OPA spokesman
might mean lowering of prices in
some areas as well as a ceiling in
crease in others. since OPA will at
tempt to preserve the existing ceiling
average Prices now vary as much
as cents a pound from city TO city.
New Pricing Formula.
New England has been mentioned
as low-ceiling area, with resultant
shortages in butcher shops, while
New York City, with higher prices
has so far had little difficulty.
For areas in the lower price
brackets a new pricing formula
might be offered in lieu of the exist
ing ceilings under which beef and
veal packers prices are frozen at
March levels, pork at February
levels and lamb at July quotations.
Equitable distribution of meats
was a major item on the agenda of
the Foods Requirements Committee,
headed by Secretary of Agriculture
Wickard, scheduled to meet later in
the day.
There was an indication that a
meat ALLEGATION order was in prep
artion by the War Production Board
and might be discussed at the COM
mittee session.
Such an order would require pack
ers to make shipments to all areas
as in the past.
Half Truth" Charged.
At the same time, the Depart
ment of Agriculture was charged
with telling only half truth" in
| attributing the current meat short
age to the opera ton of the Lease
Lend Act in statement issued by
Wilbur La Roe, jr., counsel for the
Emergency Conference of Meat
| Packers.
Mr. La Roe. who represents large
number of small, independent pack
ers, contended much of the short
age is due to the Government policy
of fixing prices on processed meat
but not on livestock.
The Department of Agriculture
| tells only half truth when it says
the shortage of meat is due to in
creased exports to the armed forces
and to our Allies" he said. "A con-
siderable part of the shortage is
attributable to an extremely unfair
Government price policy under
which prices are fixed on meat
products, but not on live animals
causing slaughtering and packing
to be conducted at heavy loss.
Plants Close Down.
Several plants have closed down
and others are curtailing operation
simply because our Government will
not fix prices on farm products
The price administrator has re-
quested Secretary Wickard to dc
so, but he refuses. The meat
shortage will become more acute
unless Mr.. Henderson and Mr.
Wickard can get together"
Under the terms of the Price
Control Act, the Office of Price Ad
ministration may not put ceiling.
on farm commodities below parity
prices without the consent of tht
Secretary Of Agriculture.
The suggestion that "meatless
days. or meat rationing might bt
necessary in view of the presen
shortage, made yesterday in Chi
cago by Mr.. Hendrickson, brough
from OPA rationing spokesmen thei
familiar answer: I'VE have no plan
to ration meat and cannot do 81
unless ordered by WPB"
National Income Figures.
Mr.. Hendrickson told members o
the National Association of Retail
Meat Dealers that the statistica
outlook for the year which begal
July l, 1912, was this:
The bumper livestock crop is ex.
pected to yield 21.7 billion pounds
of meat compared with an average
of 178 billion for the 1874 period
But we shall ship about 80 billior
pounds to Russia and England K
sustain troops now fighting and wht
will be in combat when the secont
front opens"
Our armed forces and our allie
will require approximately IS pc
cent of our federally inspected mea
production. The quantity of fed
orally inspected meat left over TO
civilian consumers in this countr,
will be about II billion pounds. Tha
would be suf11cient under norma
conditions. But, with the nationa
income at high level, civilians will
want to buy IA billion pounds. TIL
result: shortage of three billiol
: pounds.
j Mr.. Hendrickson said three thing
! should be done:
!. Il. We need to keep livestock pro
n d,,rfiNp hiob lnvole