The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-05-19
prSSraN WHEAT.
Likely to Drive the American Producs
Out of Europe.

ssr-.,.,F-x Ir,so Wheat Prices ard Supply,
Rad before The Royal Statistical SocieTy
a. London. February y. vas briefly SUM-
-rzrizel tn the press a month ago. 1A-
fau rpco-< Ia now a. hand i did not
excite as much attention on this side o.
ne Atlantic a. on the other, prcnaniy
for <hs reason that comparatively few IA
the wheat trade here take oroSd
enough view o. their business 20 make 3
study OF II the world over. or have either
tine or disposition 20 go deep into the
statistics % me worlds product when 4
is SO easy 20 Join the great army OF
sstaSlars" and buy when some captain Is
huying or sell when ne Is selling. A
larger proportion OF che members % the
grain trade IL the United Kingdom than
IN the United States are familiar
with the statistics Of the world
wheat output. exports. imports. rate OF
consumption. stocks on hand and the Ike
A. The Chicago Board OF Trade. the New
York Produce Exchange. and. 10 a small
er extent elsewhere. ~ Is SO much easier
20 % what Jones Is doing. or what Roo
inson is presumed 70 be doing, fnasmuc2
as Jones and Robinson have long been
respectively eminent and successful--st Is
50 much less trouble, we repeat. 30 follow
them and snap a profit out of the market
that the incentive. as many book al X, 20
Become an expert 81 the history and prac-
Tice OF the grain trade, and the move
ment IN leading import and export coun-
tries. has not been sufficient 20 develop
relatively many IN America who deal
directly II The cereal on the basis OF dis
counting tne effect Of the laws OF supply
and demand.
For this reason Mr.. Craw.ords valuable
paper came 20 as IN summary month
sso without creating a ripple.
He began by pointing out that from
supply OF II GO GO bushels England has
sunk TO one OF ss GO. oOo bushels. while its
foreign supply has advanced from s., GO. :
019 20 I72.O0o CO. bushels or from an
.mportaf ton OF one-third of It's supply
England has gone 20 an importation Of
two-1hirGs. while there has been a de-
cline OF more than one-half In the home
product A significant point I'm consider
ing this lies in the fact that the United
States has been the dominant factor in
supplying Great Britain with wheat fer
the past twenty-five years Ar. Crawford
made the point also that the decline In
wheat acreage in the United States from
Isso-s2 10 1898 Of :. 5Eso,0ao acres is an indi-
cation that wheat at 8 per bushel is not
attractive 10 American farmers. The
claim that the yaule of our wheat prod
net is now not much over 10 per cent. OF
the total value of our farm products was
not brought out and perhaps IL was just
as well that II was not, as IL is Of less
import than some economists have sought
10 make IL.
Perhaps the most interesting portion of
Mr.. Crawfords compilations and COM
parsons were those with reference to the
cost OF wheat-growing In the United
States and elsewhere. The gentleman
named, like everyone else who has sought
10 gather like tata. would doubtless be the
last 10 claim absolute accuracy for them :;
they are probably as nearly accurate as
practicable. The figures are as follows:
COST OF PRODUCTION OF WHEAT
England ........... 100 Russia ............. "a
Western states -. sOlndia ............... 90
Dakota ..-..-...-... 81
II viii be seen from this that Russia
produces wheat cheaper than Dakota,
and Il Is probably true. IL IS to he re-
GREETED Argentina was left out; evident
~ It was difficult 10 obtain estimates
from there. The general opinion is. how
ever. that Argentina can raise wheat as
cheaply. II not more cheaply, than any
other country.
To the foregoing points the reply was
made: THE exact measure in which the
lower cost OF production in the great
wheat exporting countries will be re-
fected in HE value of their grain in con-
suming markets depends. of course. on
| the charges for conveying the grain TO
It's destination. These charges. as ! have
shown, have been materially reduced In
| the twenty-five years 1898. the reduc-
| ton amounting. on the whole. 10 not less
| than 30 per cent. Here. then, We have
| two factors of some significance. which
| should not he forgotten when other the
| cries are advanced to account for the fan
| in the price OF wheat"
| The paper concluded with the express
/ sion of opinion that:
| NO single factor can be pointed 70 as
/ the sole cause Of these changes. They
have been effected by a combination OF
/ -fs. Ilftr n
/ clear that an important element in the
/ situation since lS79-S has been the set
/ element and exploitation OF fertile areas
/ Of virgin soil in The United States, which
/ can pc made 10 produce given quantity
/ az wheat at a lower cost than would be
/ incurred In raising the same quantity n
| the oder fields Of production. This c.
/ veiopmeut has been concurrent with. and
! indeed facilitated by extensions and i'm
! provements In the channels of communt
/ cation and transport. Examples have
! been given OF the estimated cost OF pro-
I duction In three great countries con
! trthntiug 20 the bread supply Of the
/ United Kingdom. II has been shown that
/ In a group OF states producing two-thirds
( OF the wheat crop OF the United States
/ the estimated cost of production IS IS
! 81. CS cents per bushel, while IN Da-
! ko;a wheat can he grown at an outlay OF
{ - So 0s& cents per bushel. On 2 belt 81
| half 81 the Russian empire q bushel o.
! sprlng wheat (thts variety forms thu
! bulk Of the crop can BE produced, a.
/ cnr8ing 20 the Official estimates. n az av-
/ erage cost Of =. 81. GO centsl. An Off
/ clal calculation puts the cost OF prod AZ
/ ton in India az s.. ld. 81 ceuts) per bash
/ al. converting the rupee at SIS exchange
! value tn the year In which the official eS-
/ tignatc was made. lS7a-Sa.'
! The possible OF probable influence al
/ Russia on the price of wheat in years 70
/ come with the Siberian railway open and
! the settlement and development IF aDota
or vast area OF arabic lands an accom-.
! riishea fact. IS discussed substantially q:
I follows:
.One az the greatest drawback % TIT
| DEVELOPMENT OF the wheat-Erowing fn
dsstry n Russia has been the lack O
! facility OF transit. Tnt1 comparatively
!. recent times the whole % the grain wa.
/ conveyed In the Interior on he canal,
/ and rivers The cultivation % wheat foI
/ EXPORT was accordingly. confined mainly
{ 20 the ueie hfsorhcod Of navigahIe rivers
! With which the country IS richly eu,
/ dowed England has one mile ~ railway
70 every six square miles of territory. sut
/ Russia one mile - every i05 s9uare mile.
/ 81 ARIA. EnJ Russia Is improving ln thi,
I respect. both as 20 extension Of railways
( ana decrease in the cost % freiEht TIE
( development % the fertile region il 10
( Vet complete and as facilities increase 20
/ CARRYING their grain - rnarket. O. i re q
[ rredt>t that Russia will produce grain a. ,
{ lower price Than all transfer II out % ,h
/ United states. except 81 course. in n,
condensed form u cattle hogs ana n,
/ proiucts thereof
ore comment tor records that an exam
fnatton Or al the data ad3Gcsd 81 3icate
/ fear ssir es,ffe % some a,3Var tasy.sS ~ ia