AGRICULTURAL RELIEF 677 pay the equalization fee, but we know that ; ¢ to have to pay it if benefited under this ba he Sther Jellow 1S going So, you are here f 1 $0 lof thom poy hol, , y e here for a selfish motive—I do not say that in an offensive way—but you are here trying to keep as many as you can out of th dairy business and at their own expense? of the Mr. Soxupes, Yes. r. AsweLL. Mr. Kincheloe, I think when the ti the dairy industry produces a surplus that the dairy hon will be hot Mr. KiNCHELOE. Absolutely; and we all know that is the only reason the tariff is effective, because they do not produce any surplus, Mr. AsweLL. Will not that be time enough to come? Mr. MEenGgEs. I would like you to tell me whether you export milk products? Mr. SEXAUER. Yes, there are some milk products exported—not a very large amount, and just why I am not in a position to say whether it 1s because of a particular special market that some one has built up or not, but there has been some milk products exported dur- ing the past year. The amount of exports as compared with the amount of imports 1s at the ratio of about 6 to 1; there are about six times as much imported as there is exported. i MenGEs. What prices are you getting for your export prod- Mr. SEXAUER. I can not tell you that. As an organization we do not export and the companies who do export are not telling us what they get. Mr. Menges. You do not know what products constitute the most of the exports? Mr. SExAavEiR. No; I haven't that information; it is available, but I haven't it. 2k Menges. That would be mostly canned milk and powdered milk? Mr. Sexaver. Most of that would be in the form of condensed milk and evaporated milk. Presumably somebody has a market they have built up over a period of years. It is, however, a preferred market where they sell advertised brands and might be able to get a sufficient amount for a certain quantity to reimburse them for exporting. Mr. MENGEs. Is not that exportation largely to Australia? Mr. SEXAUER. I can not tell you—to Australia? I would not think so. But I can not tell you. Mr. MENGES. What I am getting at is whether the Canadians are not endeavoring to get more of that export trade than we are? Mr. SEXAUER. Practically all the condensers to-day who are exporting milk to establish plants in Canada for the purpose of exporting—I refer to thé large condensers who were built up in this country—are manufacturing practically all of their milk in Canada for export, except such as, for instance, the Carnation Co. under a certain export trust law which we have passed in this country have been allowed to form the American Milk Co.; and they have established some plants in Europe to take care of their export trade; and the Borden Co. operating for the exportation of Borden's Condensed Milk; and practically the entire amount of that is manu- factured to-day in Canada. We are losing that business. because we can not compete In costs.