Evening star., 1942-09-05
WPB Ready 10 Force
Merchants 10 Limit
Store inventories
Anti-Hoordine Order
Expected to Be Put in
Effect EorIy in '43
By the Associated Press.

By the Associated Press.
The War Production Board
moved today to crack down on
merchants boarding of civilian
supplies in order to assure an
equitable Nation wide distribu-
tion of necessities,
The WPB approved yesterday a
program under which inventories in
the hands of retailers and whole
salers will be controlled.
The plan. expected to become eff
fective early in 1943, resulted from
problems created by heavy buying
on the part of some dealers, threat
ening to create shortages in some
areas while an abundance of needed
supplies was available elsewhere.
WPB Chairman Donald M. Nell
son said the plan would contribute
to an equitable distribution of in
ventories and could be accomplished
without unnecessary hardships or
difficulties" for the retail and whole
sale trade.
Will Limit Inventories.
But the plan means that those af
fected will not be able to stock up
beyond normal inventories as safe
guard against anticipated shortages
in some lines.
A special committee drafted the
program after comforting with hun
dreds of merchants and manufac-
turers. The latter also may be lin
tied irlfheir inventories.
A WPB order will be forthcoming
which will require reports from each
dealer Of his stock on hand and his
sales by quarters of the year. accom-
panied by a statement of the nor
NAL inventory. This would be a
stock bearing the same relation to
sales as the average quarterly in
ventory of the years 1894 in
elusive, had to sales.
Unless these reports showed that
stocks had been reduced to such an
extent as to require no Government
regulation, an order would enforce
control
Small Dealers Exempted.
Although excess inventories are
now in process of reduction" the
committee report said, there are
indications that abnormal advance
buying and attempted accumulation
of inventories will again take place
in many lines of merchandise during
the months ahead"
Some manufacturers and mer-
chants would be exempted. Those
whose businesses for the year end
ing September 80, 1912, crossed less
than 100000 or whose inventories
we're less than S25,000 cost value
would not be affected
The order would not cover mer-
chants primarily engaged in the food
business, or eating and drinking
establishments. secondhand stores,
florists and antique shops, dry clean
ers, shoe repair shops, steel and other
metal warehouses, auto and parts
dealers. farm implement and fuel
dealers.
1t VISA estimated that 200, 900 Arms
would be affected
Inventories now are at the high
tSb lcfGl All tilc CUui1tly llIoJOly, ~
was reported, largely because of
heavy buying by merchants in
anticipation of shortages resulting
from the conversion of durable goods
industries to war production.
May Force Resales.
Prompt announcement of the long
range programs was decided on in
order to guide merchants in the
placing of orders and balancing in
ventories by cutting purchases of
items in which they are overstocked.
No specific plan was advanced for
the reduction of inventories if con-
troll proves necessary, but previously
WPB sources had indicated that
sales to other merchants or back to
manufacturers might be invoked.
Manufacturers will be required to
file the quarterly Inventory and sales
reports, as we'll as the retailers and
wholesalers. The inquiry into manu-
facturers' inventories was recon-
mended, the committee explained
because it seriously questioned
whether any plan could be effective
which did not include manufacturers