Page Two
I
THE MICHIGAN DAILY
Thursday, March 15, 1973
Buyers refuse
high be
WASHINGTON () - Orders
from food chains for wholesale
beef have shown a sudden de-
cline in the first hint that con-
sumers may be rebelling -in
large numbers against higher
beef prices.
Supermarket industry spokes-
men said food chains are order-
ing less because consumers are
buying less, but they cautioned
the decline might only be tem-
porary.
The Washington, D. C., division
of Safeway, Inc., confirmed
there was lower consumer de-
mand for beef in its 240 stores in
Washington, Maryland, Virginia
and Delaware.
"Meat sales are soft," the
spokesperson said. "Prices are
going up and people are looking
for substitutes. The consumer is
definitely looking around."
The National Association of
Food Chains, a trade group, said
that in a telephone survey last
week of 16 food chains, 15 re-
ported they were ordering less
beef than before.
"But the real question is whe-
ther this is going to continue," a
spokesperson said. "A one- or
two-week decline is not going to
have any appreciable effect on
the wholesale market."
T i m o t h y McEnroe, a
spokesman for the National As-
sociation of Food Chains, warn-
ed against jumping to conclu-
sions that the decline in demand
would continue or that it would
result in lower prices.
He noted that choice cattle
were reported as selling for
$45.50 per hundred weight at Om-
aha, a record high, and that
choice beef carcasses were sell-
ing at 70 cents per pound in
Chicago, also a record high.
SF
1
00,
ef costs
He said that in order for the
consumer to benefit, the lower
demand, "has to go all the way
back to cattlemen."
A spokesman for a major sup-
ermarket chain noted it is com-
mon for consumers to reduce
their purchases of an item after
the price goes up. But he said
"beef is one item that is unusu-
al in that when the price goes
up on beef, quite often people
still want it even at a higher
price.'
At the same time, the Cost of
Living Council said it has pre-
pared a detailed study of how
livestock and meat prices could
be frozen at levels recorded ear-
lier this year.
The food industry's advisory
committee, named by President
Nixon to watch over food prices,
rejected the ide, of a moat tice
freeze after receiving the study,
but a spokesman said the idea
could be revived at any time.
The Nixon administration view
is that' steadily rising consum-
er demands for beef in the Unit-
ed States was the reason for
higher beef prices. The adminis-
tration said it has taken steps to
increase the supply of beef and
has predicted that prices will
begin to do down later this year.
The Cost of Living Council
study on a meat price freeze sug-
gested alternative plans, to freeze
prices at each stage of produc-
tion, beginning with the farmer,
or to freeze them at the packers'
or retailers' stage.
Opponents of farm price con-
trols, including Agriculture Sec-
retary Earl Butz, contend con-
trols would make matters worse
by causing shortages and result-
ing in establishment of a black
market for food.
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AP Photo
Snow-bound breakfast
Sioux women prepared breakfast at Wounded Knee yesterday while 60-mile an hour winds battered
the town. The government later announced it would permit food and fuel through its cordon.
NEGOTIATIONS STALL: '.
Bizzard hits Wounded Knee
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WOUNDED KNEE, S. D. (ilP) - move to take Wounded Knee while
A major winter storm hit south- negotiations are in progress."
western South Dakota yesterday, His comment came the same
stalling negotiations between In- day as the first meeting of.: the
dians holding Wounded Knee and reservation - governing 0 g 1 a 1 a
federal authorities. Sioux Tribal Council since the
A government spokesman said takeover of Wounded Knee Feb.
National Council of Churches ob- 27. The council passed a resolu-
servers will be permitted to take tion Tuesday asking the Bureau of
food, fuel and medical supplies to Indian Affairs (BIA) to remove
the militant Indians, who have all nontribesmen from the reser-
held the village 15 days. vation - where 11,000 Oglala Sioux
Roads in the Pine Ridge Reser- Indians live.
vation area were almost impas- The council also approved a res-
sable as a blinding snowstorm olution saying AIM would be held
struck the area. Four to five in- responsible for all acts of vio-
ches of snow was reported on the lence while its members remain-
ground, but high winds were caus- I ed on the reservation.
ing deep drifting.
' The continuation of negotia- Dick Wilson, chairman of the
tions with the Indians in Wounded'
Knee hinges on the weather," said
Jack Hushen, a government
spokesman. MIDNIGHT MOVIE-
Jack Murray, an Interior De-
partment spokesman, said no time
has been set for another meeting
between- government and Indian
negotiators. However, he said "one
will be held."
Federal - "authorities were in
telephone contact with leaders of
the American Indian Movement
(AIM), Hushen said. However; he
would not connment on conditions'_
in the besieged village as the bliz-
zard hit southwestern South Da-
kota. Wounded Knee is one of
eight villages on the reservation.
Harlington Wood, an assistant9
U. S. attorney general who met
with the Indians at Wounded Knee'
Tuesday, said, "There will be no _
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tribal council and one of the tar-
gets of the invaders, said he had
been assured by Wood Tuesday
that "negotiations were not go-'
ing to continue very long."
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