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Show Much of the present depression in the cattle market undoubtedly is due to the fact that hides have dropped to almost the lowest levels in a great many years. Hide prices now are not much higher than they were in the serious depression which followed the world war and it is not over-production of leather or the fact that there is a larger number of hides available than usual. As a matter of fact, leather and hide stocks are less than normal and still the market continues con-tinues to decline. Hides in Los ingeles are now quoted at practically practical-ly one-half the value a year ago. Competition from substitutes is the reason given for the present serious condition. Last year, for instance, manufacturers of composition soles took away from leather tanners an amount of business equivalent to the product of 750,000 hides. Composition Composi-tion soles, according to the shoe manufacturers, are less dressy and less comfortable than leather but can be made cheaper. Despite the fact that American shoe manufacturers made 3,000,000 more shoes in 1928 than in 1927, the amount of sole leather leath-er used was 15 percent less. Foreign competition is also hitting American leather manufacturers more so than in many years, due to cheap foreign labor and what many in the trade deem totally inadequate tariff protection. An authority in the Jios Angeles trade declares that the reduction in hide values during recent months is equivalent to 75c to $1.00 per hundred weight loss to the packer on ever? steer he buys. While many other packinghouse by-products from cattle cat-tle are enjoying a good market, particularly par-ticularly livers and hearts, the amount of money involved is not sufficient to by any means offset the lessened value o hides. Thus the meat packer must consider the lessened less-ened value of hides and force the beef to carry practically the full load when the meat is passed on to the consumer. consum-er. The pressing problem at this time seems to be some means of making leather more popular. As long as hides are virtually a drug on the market, mar-ket, the packer is up against a very serious problem. The hide makes up about 6 percent of the total weight of a steer, so that It may easily be realized that the cattleman is vitally interested in this problem. The automobile industry, once a great user of leather, is now using substitutes almost entirely. Wide use of tractors and trucks, both on the farm and in the City, has taken away another huge outlet for leather, for these mechanical horses do not use harnesses. Just at present, many novelties are being made of leather in an effort to broaden the market. Truck and traveling bag manufacturers are developing de-veloping a greater market for leather leath-er novelty goods through the use of bright colors and 'they have also taken tak-en a lesson from the automobile manufacturers, man-ufacturers, in that they are producing new styles and new designs each year, so that the fastidious traveler must buy new luggage more often, in order to be in style. Perhaps this program may aid in developing a greater outlet out-let for leather. Then too, the draft horse associations are now putting on a well directed campaign to again popularize the use of horses and mules on farms. Possibly, the leather leath-er people may be able to regain part of the lost harness goods market through aiding in such a campaign. Many leaders in the trade feci that a higher tariff on foreign hides, leather and substitutes, will help to solve the problem. To this end, the cattlemen's organizations, hide tanners tan-ners and others are putting their case before Congress. |