seasons. They wanted to be sure that the Army and the Navy would not press for a change in the sanitary provisions which would enable them to buy fresh meat from the Argentine-fresh meat, not canned meat. We assured them that we had no intention of asking for any change in the sanitary provisions which would allow those carcasses to come in.

Senator ADAMS. They understood that that went to the extent that there would be no effort to crowd the ratification of the treaty which has been pending on the sanitary phase of the matter.

Mr. NELSON. That phase of it, sir, I had nothing to do with. I am talking about the things that I did have something to do with. Senator ADAMS. I am wondering just what was the understanding.

NO OBJECTION RAISED TO PURCHASE OF 20,000,000 POUNDS OF CORNED BEEF

Mr. NELSON. They talked with the State Department on some of those other matters. I am trying to tell you about just the things I had something to do with. They asked how much we wanted to buy. We told them 20,000,000 pounds as an outside limit. They said, “Ïf it is not more than that, we will raise no objection," and, as a matter of fact, they made public statements, some of which are in the record. They issued a publicity release after leaving my office, the whole group of them. Those were the assurances which we gave them, sir. Senator BYRNES. The statement has been made by some gentleman that while the members of that association agreed, it did not represent an agreement on the part of the much larger number of producers, not members of the association. I assume that you talked with the only representatives you could find of people engaged in the production.

CHANGE IN SPECIFICATIONS PERMITTED PURCHASE OF LIGHTER GRADE CATTLE

Mr. NELSON. That is right, sir; and we talked with the people who apparently were directly interested in getting the specifications reduced for the benefit of the producer.

Senator BYRNES. What was the effect of the change in the specifications as to the producers?

Mr. NELSON. It enabled them to use up surpluses of the lightergrade cattle, in which there were surpluses that could be sold to the Army, and they could not have been sold to the Army had they not reduced the specifications. The same thing was true with regard to lambs. By increasing the weight they were able to use up surpluses which would not go into the market.

Senator BYRNES. And, in accordance with that agreement, the Army and Navy proceeded to act upon it?

Mr. NELSON. Yes, sir; and we gave them assurances that those specifications would be changed, after, of course, talking it over with the Army and the Navy. They made the change in the specifications. We did not make it. They were the ones who represented the producer when they came in here asking for the change in the specifications. Apparently, they were the ones that were interested.

Senator BYRNES. Certainly this is true: Whether or not they were authorized to represent all of the producers, by reason of their representations all producers have profited?

Mr. NELSON. They have profited, sir, without any question.

Senator ADAMS. Senator Byrnes, let me call attention to this fact: It was stated on the floor of the Senate that at these conferences there were present Lt. Col. Paul P. Logan, chief of subsistence of the Quartermaster Corps; Mr. Douglas C. MacKeachie, Deputy Director, Division of Purchases, Office of Production Management; Mr. J. Elmer Brock, president of the American National Livestock Association, Kaycee, Wyo.; Mr. F. E. Mollin, secretary of the American National Livestock Association, Denver, Colo.; Mr. Frank S. Boice, chairman of the legislative committee of the American National Livestock Association, Sonoita, Ariz.; and the following members of the legislative committee of the American National Livestock Association; Mr. A. D. Brownfield, Deming, N. Mex.; Mr. J. H. Mason, Spearfish, S. Dak.; Mr. William M. Wright, Deeth, Nev.; and Mr. George Jones, Marfa,

Tex.

I recall that because on the floor Senator Butler, of Nebraska, said that he had some word from the United States Livestock Association, as distinguished from the American National Livestock Association, and he left the impression that the United States Livestock Association had not concurred in the understanding. Were they represented there? Has there been any contact with that group? Mr. NELSON. No; there has not.

Senator ADAMS. I gather that that group is more of a Midwest

group.

PACKERS DO NOT PRODUCE CORNED BEEF EXCEPT ON SPECIAL GOVERNMENT ORDER

Senator BROOKS. As I understand, no packer in America is producing corned beef in any considerable amount except on special order. Is that correct?

Mr. NELSON. I think generally that is true. If any is being produced, it is a very small amount.

Senator BROOKS. The amount you are expecting to require is 20,000,000 pounds?

Mr. NELSON. As a maximum.

Senator BROOKS. As a maximum for the Army and Navy.

Mr. NELSON. That is correct; for the Army and Navy.

Senator BROOKS. As you see your problem now, you are going to utilize the full present packing facilities of America, without an order for corned beef.

Mr. NELSON. Yes, sir. That is our expectation.

Senator BROOKS. The Army has reduced its specifications in compliance with the understanding you had with the American National Livestock Association, so that there may be a greater outlet for fresh beef than has heretofore been possible?

Mr. NELSON. That is correct.

Senator BROOKS. That arrangement would use up the surplus which is represented in the smaller-sized cattle and the larger-sized lambs. Mr. NELSON. That is correct.

Senator ADAMS. I find in the Congressional Record of March 20, at page 2479, a copy of the release from the Office of Production Management, Division of Purchases, dated February 26, 1941. I think we

ought to put that in the record at this point, because it shows the details of the understandings which have been referred to.

The matter referred to is as follows:

OFFICE OF PRODUCTION MANAGEMENT,

DIVISION OF PURCHASES,
February 26, 1941.

A wider range of meat products, particularly fresh meats, will be bought by the Army as a result of agreements reached in a recent conference of leaders in the livestock industry with officials of the Army Quartermaster Corps and the Division of Purchases, Office of Production Management.

This conference, held in the office of Donald M. Nelson, Director of the Division of Purchases, brought about extension of weight ranges and a liberalization of the grades of meat which can be bought for the Army ration.

Agreements reached included the following:

1. The Army will buy spiced pork products, commonly known to the trade as spiced ham, in 12-ounce cans.

2. Heifer meat of proper quality will hereafter be included in all tenders of army-style boneless frozen beef, which will be used in large quantities in

maneuvers.

3. Subject to further study and perfection of a grading system, the Army will consider the inclusion of heifers of proper grade in all beef purchases.

4. Federal specifications are being revised in conformance with A. M. S. standards, and as production conditions warrant full consideration will be given to the use of other grades whose quality is satisfactory to the Army and which are in surplus.

5. The Army has ordered that lambs up to 60 pounds in weight may be purchased until April 30. This is an increase from the previous limit of 45 pounds. 6. Beef weights have been lowered in Army specifications to 450 pounds. Further lowering of this weight limit to 400 pounds will be given consideration. 7. The Army will buy large quantities of (reserve) C ration, each can of which contains about 6 ounces of domestic meat.

In this connection, it is pointed out that the American soldier is getting in his regular ration substantially more fresh meat than the per capita average of consumption by the entire country.

As a general rule, the soldier gets meat or protein foods at 18 of his 21 weekly meals.

His breakfast, for example, includes bacon or eggs, or the two together, or meat in some other form-ground beef, for instance, creamed and served on toast.

Five days in every week find meat-roast, steak, chops, or what not-on the noonday menu. On an average, each man is allowed one-half pound of meat at this meal, the exact allowance varying with different kinds of meat. If steak is served, for instance, the allowance is 50 to 55 pounds for 100 men. Ground steak for meat loaf is figured at 35 pounds for 100 men, chuck meat for pot roast at 65 pounds for 100 men, and so on. On Friday noon, fresh fish is served.

Every Saturday noon, by Army tradition of long standing, the soldier gets baked beans in place of his meat ration-the beans being flavored with salt pork or bacon. The soldier usually gets two meatless suppers per week, the meat ration being replaced at those two meals by some such dish as spaghetti and cheese.

The soldier gets a carefully balanced meal and fruits, vegetables, and starches are served, of course, in proper proportion to balance the meat which is consumed. At the conference were Lt. Col. Paul P. Logan, chief of subsistence of the Quartermaster Corps; Mr. Douglas C. MacKeachie, Deputy Director, Division of Purchases, Office of Production Management; Mr. J. Elmer Brock, president of American National Livestock Association, Kaycee, Wyo.; Mr. F. E. Mollin, secretary of American National Livestock Association, Denver, Colo.; Mr. Frank S. Boice, chairman, legislative committee of American National Livestock Association, Sonoita, Ariz.; and the following members of the legislative committee of the American National Livestock Association: Mr. A. D. Brownfield, Deming, N. Mex.; Mr. J. H. Mason, Spearfish, S. Dak.; Mr. William M. Wright, Deeth, Nev.; Mr. George Jones, Marfa, Tex.

Mr. NELSON. It may interest you to know that that release was written by the representatives of the livestock association. I left them in my office to write the release, and they wrote the release.

Senator BYRNES. How about a company expanding its plant so as to increase production? Could that be done in time to care for any of the orders you have in mind?

Mr. NELSON. My personal opinion is that it could not be done, due to the present situation with respect to canning machinery, and so forth. That is a personal opinion, and is not given after any research. It is a personal opinion, so I wish you would accept it as such.

Senator BROOKS. You are contemplating the purchase of 20,000,000 pounds of canned beef. Do you have any estimates as to the increased number of pounds which will be necessary or will be used by the Army and Navy by virtue of the changed specifications reducing the size of the cattle and the size of the lambs?

PURCHASE OF ARMY EMERGENCY RATION

Mr. NELSON. I mentioned one other thing, which perhaps you did not catch. The Army is also planning a canned emergency ration, which will have 12 ounces to the can of which 50 percent will be ground domestic beef of the type used in corned beef emergency ration, of which they expect to buy a large quantity. It will be a new product, using fresh American beef.

Senator BROOKS. Canned in the United States?

Mr. NELSON. Yes, sir; canned in the United States.

Senator BROOKS. How many pounds do you anticipate in that requirement?

LOWERING OF WEIGHT SPECIFICATIONS FOR CATTLE PURCHASES WILL BROADEN BASE OF COMPETITIVE PROCUREMENT

Col. PAUL P. LOGAN (Chief of Subsistence of the Quartermaster Corps). The lowering of the weight of beef to 450 pounds will not increase the consumption of beef by soldiers, but it will materially broaden the base of our competitive procurement, and afford, particularly to the Colorado and Texas yearling developers, an opportunity to sell young "critters" that will dress between 450 and 485 pounds-beautiful stock, but which has not up to now been acceptable on Army contracts, because the bottom of our weight grade was 500 pounds.

UNITED STATES LIVESTOCK ASSOCIATION, PRODUCERS OF HEAVIER CATTLE

Senator BROOKS. I think that probably explains the difference between the American National Livestock Association, the president of which is a western representative, and the so-called United States Livestock Association, which represents producers who bring their stock up to a heavier weight, the finished product being fed with corn in the Middle Western States.

Colonel LOGAN. The feeders usually run up over 500 pounds. It is the heifers and the light cattle that are developed in the West that are particularly usable under this arrangement, although many 450-pound cattle are being fed through the Middle West in Iowa, Illinois, and Indiana.

Senator BROOKS. Then, as a matter of fact, the changed specification does not increase the number of pounds used by the Army.

Colonel LOGAN. No, sir. A soldier will eat about the same quantity of beef.

Mr. NELSON. But the emergency ration will increase the demand, Senator.

NUMBER OF EMERGENCY RATIONS TO BE PROCURED

Senator BROOKS. Have we any figures as to the emergency ration, in number of pounds, comparable with the 20,000,000 pounds of corned beef?

At

Colonel LOGAN. At the present time we have in storage 675,000 class Crations, each 1 of which consists of 3 cans containing different types of meat dinners. Each 1 of these cans contains 12 ounces of food, half of which is meat. The total of the 3 is 18 ounces or thereabouts. the present time we are buying in Chicago 750,000 more of these rations. The award has been made, and the deliveries will be made in the month of April. These are the class C rations, and it is highly probable that throughout the rest of the coming year we will have considerable increasing need for the class C ration, which is a reserve ration.

Senator ADAMS. In the release to which I have referred the following statement occurs:

In this connection, it is pointed out that the American soldier is getting in his regular ration substantially more fresh meat than the per capita average of consumption by the entire country.

Colonel LOGAN. That is very true, sir.

Senator HAYDEN. As to the use of the canning equipment, there is certain equipment available in the United States to put up canned meat in small amounts.

Colonel LOGAN. Yes.

Senator HAYDEN. Is it your contention that the purchase of the emergency rations will keep that equipment occupied?

USE OF LOWER GRADE OF BEEF IN MANUFACTURE OF SAUSAGE

Colonel LOGAN. I think it will, sir, but there is the other factor of the lower grade of beef being limited in quantity, and therefore adaptable only to certain uses. The primary or principal use of it is in sausage. The secondary use is in canned meat. If, thrust on top of that, is the third load of corned beef for the Army, there will probably be an undue rise in prices in the cheaper types of meat of which the people in the lower income brackets ordinarily use a great deal. I refer to sausage and the cheaper canned meats.

Senator HAYDEN. That is exactly what I was told when I made inquiry in Arizona in a small store some distance from a railroad. The proprietor showed me small cans of corned beef, and said they came from Argentina. I asked him, "Why did they send them here to sell in a cattle country?" I also asked him where he bought it. He said he bought it from a wholesaler in Flagstaff. I went to the wholesaler in Flagstaff, who told me that he could not get any small cans of beef of that kind in the United States. I said, "What kind of canned beef do you get?" He said, "Only large cans to fill the requirements of the Civilian Conservation Corps camps. They are made under contract." I said, "Why do the packers fail to provide small cans of meat?" He said, "Because they can make