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perience, and why should we be subject to labeling a package which has no purpose to the consumer. Because, understand me, 90 percent of that product, gentlemen, is sold in units of pennies, nickels, and dimes to the consumers. It is not sold in jars like that. That is a trade jar. The few jars that are sold to the consumers are 4-, 6-, and 8-ounce packages. Those packages, gentlemen, only represent a very small amount of the distribution of confectionery in this country.

For your information, if I may inject it, to give you a picture of the candy industry, less than 2 percent of the confectionery sold in the United States at retail is in packages of a dollar or over. There is not 10 percent of confectionery which is sold in original packages in this country direct to the consumer. It is all sold in bulk. People buy it in small units. They buy it in pennies, nickels, and dimes. You cannot put a label on that.

The dealer that gets that jar of goods opens it, puts it on his tray or counter. The consumer comes in and says, Give me 5 or 10 cent's worth ", or whatever unit he buys. There is no label goes with that to the consumer. The consumer is protected through the original set-up of the law in the primary ingredients that go into the product, and the fact that we compound it on these products that are wholesome and conform with the regulations of the Food and Drugs Act relieves us from the obligation of being put to the unnecessary trouble of labeling these packages where it doesn't mean anything to anybody.

Mr. COLE. Mr. Heide, practically everything, as I understand it, that goes into this candy is labeled under this law?

Mr. HEIDE. Congressman Cole, everything that is put into this product is controlled by the Pure Food and Drugs Act. I would like to say that the manufacturers as a whole in the candy industry are intensely interested in the welfare of the consumers of their candy, and they cannot afford to put in anything that is not good.

Mr. COLE. What I mean is, you have testified yourself that practically every constituent of this bottle that makes up this candy comes from a hundred different sources.

Mr. HEIDE. Yes, sir; a hundred and one sources.

Mr. COLE. All of which will be labeled under the provisions of this bill?

Mr. HEIDE. All of which are controlled, Congressman Cole, by the original Food and Drugs Act, in its original form.

Mr. COLE. Yet, a manufacturing concern taking just two of the articles that go into this candy and who attempt to put those together in some way, would have to have that labeled, wouldn't he?

Mr. HEIDE. Sure he would, and every time we change a mixture we would have to label it.

Mr. COLE. You spoke a while ago, with a great deal of persuasion, about these big chocolate creams. Did you bring any along!

Mr. HEIDE. I didn't bring along any chocolate creams. I spoke about deception, Congressman. If I were to take a cream fondant and that cream fondant, which has a sweet taste, but has no flavorif I were to add brown color and give it a chocolante flavor-if I were to do that-and then would put on a label that those goods are chocolate, that would be deception and fraud, but when I take

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this cream and I add different colors and flavors I am not misrepresenting that. That is just a form of confectionery which appeals to the eye which the consumer buys for the appeal of eating confections.

If I were to take these particular creams that I have set up here as an exhibit, which has 8 flavors and 8 colors, and were to color them with a chocolate brown and add an artificial chocolate flavor, and try to sell them as a chocolate product, that, gentlemen, would be deception; but I am offering these under the trade name of " Darling Creams", and they can be offered under any other name you wish to give the product.

Here I have another exhibit. There again is a starch gum candy. It has got five colors and five flavors. There is no intent at deception.

Mr. CHAPMAN. That is what you call an old-fashioned gum drop! Mr. HEIDE. An old-fashioned gum drop; and if it tastes good you enjoy it.

Mr. KENNEY. Is there starch in that?

Mr. HEIDE. I beg your pardon?

Mr. KENNEY. Is there starch in that?

Mr. HEIDE. Yes; there is.

Mr. KENNEY. If I had known that, I wouldn't have eaten it.

Mr. HEIDE. There is starch in it, but the molecules of starch are broken down, Congressman Kenney, so that the starch does not add to your weight.

Four exhibits are offered, two of which represent hard candy while the third represents a starch jelly type of confection and the fourth represents the usual crystallized creams sold in almost every market in the United States. For the information of the committee and for matter of record. we are attaching to this report the contents of exhibits A and B, along with the color and flavor of the assorted jellettes, which are starch jelly confections and also crystallized creams which are starch jelly confections, and also crystallized creams known by the trade brand of "Darling Creams."

Dairy butter is permitted to contain artificial color without making any statement of this fact on the label. Butter is a natural product and the introduction of color creates uniformity of color otherwise impossible, particularly during certain periods of the year. The addition of color to butter is in no way harmful and since it has been practiced for many years, a precedent has been established which legalizes such a practice.

We respectfully request that the same consideration be given to other products which have been manufactured and sold for long periods of time and which have as much right to an equally valid precedent as dairy butter. Certainly if permitted in one case-and the butter regulation is carried into the new bill as you will find on page 44, line 8-it should, out of fairness, be extended to other food products, especially since confections are not natural products nor made in imitation of natural products while dairy butter is a natural product and the addition of color changes its normal appearance.

Gentlemen, in conclusion. I thank you for the privilege of appearing before you, and I would like to make this statement to you.

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There is no country in the world that has demanded from confectioners what this pure food bill incorporates and is asking us to comply with at the present day. We are very far advanced in the confectionery industry, but certainly when it comes to quality and to fine products, I don't think we are quite equal to what the greater nations of the world have been producing for centuries, and are making today.

As to the regulations that are asked of us, if they would serve a purpose that was really protecting the public beyond what the food bill does in its present form, in its primary raw materials that go into the compounding and forming of confections, if it added anything to it, we as an industry would be glad to comply with it, but it is an unnecessary and added burden.

We have got to change our formulas from time to time. We have got to do the came thing as the stylists do. We have got to watch the consumer appeal, and if we don't, and we miss that, we are out of luck.

Mr. KENNEY. Mr. Heide, are the products which you exhibit here made out of sugar?

Mr. HEIDE. Sugar? Corn syrup, flavors, colors, fruits, and everything and anything that might be in there to conform to the present Food and Drug Act.

Mr. KENNY. Do you use any substitute for sugar?

Mr. HEIDE. No; we do not use any.

Mr. KENNY. You do not use saccharine!

Mr. HEIDE. No.

Mr. KENNY. Do any of the other manufacturers use saccharine as a substitute for sugar?

Mr. HuDE. Not to my knowledge, and there again I would say to you, when a substitute is used, it should be incorporated on the label.

Mr. CHAPMAN. Do you use any glucose?

Mr. HEIDE. We use corn syrup, and corn syrup is a natural product derived from corn. I know it is known as glucose.

Mr. KENNEY. We have a big factory in our town devoted to its manufacture, and we call that factory the glucose factory.

Mr. HEIDE. I don't know where corn syrup has gotten such a black name, except it be the misnomer of glucose. For a long time, and in the minds of fanatics, of which we have quite a few, there was the thought that because of the "glu" it must be glue. That is about the only reason I have ever been able to figure out for the prejudice against corn syrup. Why, sugar in its form of predigestion takes the form of glucose in your system, in the process of digestion, so it cannot be so harmful.

Mr. COLE. Mr. Heide, if the effective date of section (k), on page 9, were extended beyond 12 months, you wouldn't have so much objection to it, would you?

Mr. HEIDE. I wouldn't have the objection to it. provided the order to establish standards will become mandatory. It is not mandatory now-and that the Congress will insist that the departinents or the subordinates under the Congress will carry out the regulations within the specified time, and during that specified time to leave us run under our labeling as we have been. Does that answer your question!

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Mr. COLE. Of course, under this, it would become effective 12 months after it is passed.

Mr. HEIDE. Twelve months.

Mr. COLE. And as to some business it would be very easy to comply. How long a time would you want so far as the candy business is concerned?

Mr. HEIDE. It all depends, Congressman Cole, upon what cooperation we will get from the Food and Drug Department, and from the commission that is to be appointed, and that commission will serve and act and expedite its business.

Mr. COLE. Let us assume that will be done, of course.

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Mr. HEILE. I can only answer that by stating that in the past 25 years there have been no standards practically that they have been able to establish for confectionery, and those standards that have been established in some instances for instance, we manufacture a product called "almond paste.' We have insisted on a standard for almond paste from the Food and Drug Department in order to prevent some of the adulterated products that are put on the market for almond. But, gentlemen, there is no enforcement of it. Our competitors who are making compounds other than what the almond paste standards are today are shipping it all over the country, and there is no enforcement. We have got it right in our own town. Of course, you say that is intrastate, but even interstate the standard has been established on almond paste which we have manufactured for over 30 years and we had a patent on, and had a reputation for, and we forced those standards on our own initiative to prevent this thing, and the standards are not being enforced because there is no machinery to carry it out, and we won't have much success unless the proper provision is made. I am honest in my statement. Unless the proper provision is made to get these standards established and the proper machinery set up for the enforcement of them, you are going to do the honest manufacturer more harm than what you are going to do him good.

Mr. COLE. Still you haven't answered my question. I say assuming that they will expedite the administration of the Pure Food and Drug Act, and I believe they will, to bring the standards along, in what time do you think they can do that? Can you give us some idea?

Mr. HEIDE. Congressman Cole. I can answer that question only to the extent of what the machinery set up by the Government will cooperate and help the manufacturers in the confectionery industry to establish their standards. If it is a slow-moving body it may take 5 or 10 years. If it is an alert, active committee, that gets on the job. I would say possibly in 2 or 3 years we could get a complete picture that would conform with the regulation, without putting it on the label. But why should we, in the meanwhile, have to be subject, because of lack afton because, as you read in that bill, gentlemen, and you can't get away from it, it is not mandatory. It is whenever the spirit moves them, and it may never move them, like so many other measures.

Excuse me. I am talking as a manufacturer. Not in any manner of criticism, but simply to establish the fact.

Mr. CHAPMAN. We thank you, Mr. Heide.

Mr. HEIDE. Thank you for the privilege.

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(Mr. Heide submitted a list of the members of the National Confectioners Association for the record which is of too great a length to be printed here.)

Mr. CHAPMAN. Is Mr. Sol Herzog here?

Mr. HERZOG. Yes.

Mr. CHAPMAN. Do you have any exhibits along!

Mr. HERZOG. I think I should have raided some beauty shop in New York before I came here that I might possibly have competed with what Mr. Heide has given you.

STATEMENT OF SOL A. HERZOG, GENERAL COUNSEL, BEAUTY AND BARBER SUPPLY INSTITUTE

Mr. HERZOG. My name is Sol A. Herzog, general counsel for the Beauty and Barber Supply Institute. My office address is 535 Fifth Avenue, New York City, and the address of the institute is the same. Mr. CHAIRMAN. Who constitutes the membership of the Beauty and Barber Supply Institute?

Mr. HERZOG. The membership is divided into two classifications, active and associate memberships, the active membership being the wholesalers in the cosmetic industry. We are the conduit through which the materials, supplies, equipment, and machinery manufactured for use in beauty and barber shops reaches the retail shops, because very little of that business is done directly by the manufacturer to the retail shop, the bulk of it going through the wholesaler, and for upward of 30 years this association as been continuously in existence, and within the past 15 or 18 years some of the manufacturers who are interested in the activities of the association have joined as associate members.

Mr. CHAPMAN. Is it a national association!

Mr. HERZOG. It is a national organization the members of which comprise about 65 percent in number of the wholesalers in the United States, and they do approximately 85 percent of the total dollar volume done in the wholesale cosmetic and beauty shop and barber shop supply business.

Mr. KENNEY. Is it a stock company!

Mr. HERZOG. It is a membership corporation organized under the laws of the State of New York, and it has functioned continuously since the beginning of the century. It is one of the oldest organizations in the country.

I might add further, gentlemen, that our industry is not a large industry. Our total annual business is around $35,000,000, and the size of the concerns in the industry cannot either be characterized as large. There are just a very few who do as much as $1,000,000 of business annually, by far the largest proportion being between $50,000 and $150,000 a year.

Mr. CHAPMAN. We will ask you also to give the clerk of the committee a list of the membership.

Mr. HERZOG. I will be very glad to mail you the current list. I will mail that from New York on Friday.

Most of our business is interstate in origin, in that it comes into our wholesalers' establishments from outside the State, and a very substantial portion is interstate in the sale end of it. Just what that proportion is I cannot tell you with exactitude, but in many sections