EXCERPTS FROM HEARINGS. 259

our natural products, 1s specialties; and in the production and in the market-Ing
 of specialties we have nothing in particular to fear from cartels or other
organized methods of selling, since the cartels are practically all confined to
staple products in which no particular concern has or can develop good
will

Alfred Terrell, of the Simmons Manufacturing Co., Kenosha, Wis.,
in speaking of the combination of English bedstead manufacturers,
said *

About four years ago we became very much interested in the export business,
and we have made considerable progress, but one of the biggest disadvantages
we have met with is the British competition caused by a combination of manufacturers.

¢ * *' We went after the South American business about three years ago.
We had a very good representative down there and the only thing that knocked
us out was this 10 per cent rebate. The only things we could sell were certain
articles we were making that were not made by the federation,
Louis Swift, of Swift &amp; Co., Chicago, Ill., with regard to the German
 potash syndicate, said: :

A large quantity of German potash was sold to American buyers and the
German Government took exception to the sale, claiming that the price was
too low, and they would not let.the sale go through. They right away made
legislation so that the sale could not go through, and it had to be canceled and
annulled, and another one was executed at a much higher price with their
approval.

Charles H. Jones, president of the Commonwealth of Shoe &amp;
Leather Co., of Boston, Mass., stated :
We do encounter a great many obstacles and find ourselves handicapped
in a number of ways in exploiting our goods in any country, for the reason
that that market is already occupied by some other group of manufacturers
from some other country, and they are well intrenched in the business and
it is hard for us to break in. In all of the South American countries there
are German and English interests that have controlled the business for a great
many years and they know all the details and methods of getting around those
obstacles and financing that we do not know anvthine ahout.

2. FOREIGN BUYING COMBINATIONS.

(a) Organization. Methods Employed, etc.

As to combinations of buyers in the copper business, John D.
Ryan, president of the Amalgamated Copper Co., New York City.
said:
The business has been done in foreign countries largely with foreign dealers
who made combinations; who withheld their business when there was an
overproduction or when there was any chance of making a break in the price;
who manipulated the speculative markets for copper abroad; who kept the
actual consumers out of the market; and who prevented their buying until
such time as they had driven the price to as low a level as they thought it could
be driven. They bought all that they could buy of us, and when they got
through buying the domestic consumer, who never was allowed to combine
with us and who had to buy for himself and on his own judgment, followed
them along, and as a result paid seven-eighths of a cent a pound more, which
is the cost of manufacturing copper into wire, and manufacturing it into other
products. In other words, the German had his copper manufactured for the
same cost as the American consumer had his copper raw, and was not able to
meet his competitor in any market of the world. Now, that is our line of business.
 I say, honestly, in my opinion, that this question applies with greater
force to the lumber business.
E's

dr

The people who really handle large quantities of copper between the producer
 and the manufacturer in Europe get together and sav. * Now. it looks