FTC: Made In The USA Comments Concerning Geary S. Corves, Jr--P894219
Geary S. Corves, Jr
June 6, 1997
Federal Trade Commission
Dear Mr/Madam Secretary:
I just finished reading a news article concerning the "Made In America" question as relates to labeling products produced fully or partially in the US, versus products produced to the same degrees in other countries. Since I worked at one time for medium sized companies (two different entities) that produced 100% USA made products, I am well aware of the value of the marketing advantage such labeling gives to the producing company.
To a degree, the sales advantage of the "Made In USA" label helps to offset the usually higher price of those products, due in great part to the higher wages and benefits paid to American workers. Granted, we hope the American workers are more efficient or productive, but the multiple in cost is substantially greater than any multiple attributable to productivity.
I support the positions of the group that wishes to retain the current standard or the group that proposes labeling more accurately reflecting the "USA" content; e.g., using a single digit from 5 to 10 to reflect content. Anything below 50% would be unlabeled, 50% to 60% would be labeled 6, 60% to 70% labeled 7, etc., 90% to 100% labeled 10. This would probably require some small additional monitoring by the FTC, but the penalty could be strong enough (no label allowed for violators) to minimize fraud.
I do understand and to a degree sympathize with companies (Stanley Co here in Connecticut) who are multi-national in the scope of their production capabilities, but if they wish to take advantage of "off-shore" lower costs and therefore lower prices or higher profits, then they should be ready to expend more advertising or sales effort to achieve the market share they desire.
Since I do not understand the relationship of the FTC with the Congress on deciding such matters as this, I am sending copies of this letter to my Senators and Representative.
Geary S. Corves, Jr.
Copies: Senators Dodd, Leiberman, Representative DeLauro