The Stourbridge Observer, Cradley Heath, Halesowen & District Chronicle.
Stourbridge, West Midlands, England, 1874-09-19 00:00:00

THE HARVEST AND CHEAP BREAD.

Glancing at the good effects on the community generally
of a plenteous harvest and cheap bread, the Daily Telegraph
has the following leader

The position-of England as regards dependence upon
foreign supply for her staple food is unique amongst
nations. Whether or not a higher cultivation or a
greater spread of the people over the soil would enable
her to be less dependent for her corn upon other
countries, is not now the question. We have to deal
simply with the fact, and that fact is sufficiently im-
pressive. There are, at most, four nations in
Western Europe which can be said to depend in
any degree upon importations of foreign
food grains, but with none of them is
the necessity so constant or so large as with
England. Belgium, which comes nearest to us,
barely imports a fifth of what we do, at her worst;
and in the years of bad harvest France does not take
nearly as much as that. Our normal importations,
however, are from thirty to fifty millions' worth a
year, with a tendency in recent years to reach and pass
the latter figures rather than to fall back on the former.
To us, therefore, all countries that have corn to spare
look in the first instance for their market. If we want
little and they have much to sell, corn will be very
cheap, unless some other importing country has had
a very bad harvest, and comes to the market for an
unusual share. A tendency of this latter kind
sometimes happens, and prices then are kept from fall-
ing as they otherwise would; just as, on the other
hand, should the harvest in France, Germany, and
England be had all at one time, the price of corn will
go much further up than if the home supply were de-
fective with us alone. Nor must it be forgotten either
that a necessity of this nature lays us open to anothet
sort of danger. There may be a failure of supply from
some of the producing countries, so that we can-
not got what we want at our price; and should
this also fall out when harvests generally are
short, food naturally would be very dear. We
are thus subject to two kinds of dangers which do not
touch countries that have enough and a surplus at
home with anything like the same force. We may be
subject to a competition in the market which forces up
prices beyond the point they would reach did every-
body want only what may be called their normal sup'
I ply; and we may have to put up with less than we
require, and take it dearer, because the usual sources
have been partially dried up.
A conjunction of this kind happened last year. The
harvests of Europe were bad generally, v. that there
was greater demand and less to meet ft with near
home. Russia, the great wheat-growing country of
Europe, could not give us more than half what she sent
in 1872; and the harvests of Hungary were likewise so
bad that her neighbours could not get their usual
quota from thence, and had to come into closer com-
petition with us for what they needed. The look-
out was, so for as Europe was concerned, a gloomy
one, and, had there been nowhere else to go, we
should have had food at famine prices. Fortunately
the world is wide, and many lands find it profitable
to grow corn for Europe. Ihe harvest in America
was abundant, and made up our deficit, so that
bread did not get so dear after all. Still bread has
been dear—it could not well be otherwise—for
although corn may be bought in the Western
States of the Union at the price of fuel, or cheaper,
freights must make it comparstively dear before
it can reach the European consumer. Such a
state of things naturally made people look for-
ward with some anxiety to the present harvest.
It was felt that, in the critical state of our trade,
a prolongation of high prices for food might
lead to serious dangers. Our own harvest would
not be enough to relieve us either. If France
and Belgium and Germany came into the mar-
ket with the same necessities as last year, prices
must keep up, whether our own crops were good or
not. But, on the other hand, should there be a
general average of good harvests, we might fairly
expect a great fall. This was not a thing to calculate
upon, because we depend upon several continents for
our supply ; and although the crops of Eastern Europe
might be plentiful, if those of America and Australis
proved bad there might be only partial relief.
But if so favourable a year did come, then bread
would be cheap. And it has come. From all places
of any importance accounts are favourable as to
the harvest. France has a good crisp rather above
average • so has Russia, Austria, Germany, and Spain;
while the yield of California and the Western States
is very large. Wheat has accordingly fallen since the
end of June from Bs. to 10s. per quarter, or to the
lowest average level that it touched in 1872; and if it
be remembered that we have never had corn so dear
ast year as in 1867 and 1868, that there has been
no speculative trade, or hardly any, causing prices to
fluctuate, this plunge is very gnificant. Even
allowing for the tendency to clear out old stocks
at the end of harvest, and to sell the first samples
of the new crop to raise money, which sends prices