38 ANNUAL REPORTS OF DEPARTMENT OF AGRICULTURE.. 



of retail packages has been accepted by the packers. Audits of the 

 books of commission merchants in some yards revealed conditions 

 which clearly needed correction, and satisfactory jjrogress in this 

 direction has been made. An offensive boycott by one group of 

 market agencies against another at one of the principal stockyards 

 was promptly stopped, and the principle of open, competitive mar- 

 keting established. Certain arbitrary price discriminations work- 

 ing to the injury of live-stock owners are being brought to an end, 

 and actual market values substituted in the sale and purchase of live 

 stock. Complaints against commission charges in one market and 

 the announcement that formal hearings would be held resulted in 

 bringing into conference representatives of the commission mer- 

 chants and of the live-stock shippers tributary to that market. At 

 this conference it Avas agreed that the matter of the reasonableness 

 of commission charges should be informally submitted to representa- 

 tives of the Department of Agriculture without the expense of a 

 formal hearing, and that all parties would abide by the decision ren- 

 dered after such informal hearing. Developments so far indicate 

 that there is a growing spirit of understanding and willingness to 

 cooperate between the traders on the various markets, the packers, 

 and the stockyards agencies. 



In the enforcement of this act the dominating thought is to bring 

 about harmony and cooperation and remove cause for antagonisms, 

 misunderstandings, and irritations, to the end that confidence in the 

 manner in which live stock is marketed shall be established. 



THE GRAIN FUTURES ACT. 



In August, 1921, Congress enacted the future trading. act, which 

 provided for governmental supervision, through the Secretary of 

 Agriculture, over future trading on grain exchanges. An appeal 

 was made to the courts, and in May, 1922, the Supreme Court of the 

 United States rendered a decision Avhich invalidated the regulatory 

 portions of the act. The decision, however, pointed the way to the en- 

 actment of legislation which should accomplish the purposes of 

 Congress, and such legislation has since been enacted under the 

 interstate power of Congress. The constitutionality of the new 

 act has in turn been attacked, and pending the decision of the court 

 little progress can be made in its enforcement. 



