The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-06-24
The Price of Wheat.

The farther along we 60 into the
crop season, the more it begins to look
like high prices for wheat in the north
west this year. AS nothing can be
more important for the general pros
perity than the remuneration to the
farmer for that which he produces in
quantity greater than anything else,
this question Of the price is worth
thinking about. It is only few years
since wheat of the quality Of No. 1
northern sold in Minneapolis in the
sixties, and wheat futures sold down
to CO.'S cents. The production Of wheat
did not increase, however, in any i'm
portant degree for several years, and
last year it fell back materially. Dol
lar wheat became a reality.
This year the country started in with
a price incentive calculated to make
the farmer SOW more wheat, and he did
1t, altho the acreage showed no such
increase as might have been expected.
An early spring came on, glowing re-
ports came from the southwest winter
wheat fields, and the spring wheat went
into the ground under conditions high
ly favorable. Naturally the idea grew
that there would be so large crop
produced this year that last year s
price level would be abandoned, and
while no one Of Judgment believed that
60-cent wheat would again be seen as
a crop-average price, general trade ex-
pectation was that level would be
found and maintained about midway
between the extreme low point of a
! few years ago, and the level of the
dollar line. -. T.. -
More recently there have been de-
velopments that make it appear un-
likely that the wheat crop will this
year be merchandised on a price basis
much below last year. It is not only
that the weather in the northwest is
bad and that this suggests smaller
yield, for even with the further rains
and excess moisture and the backward.
ness Of the plant by ten days to two
weeks, there is yet ample time for good
weather to come along and put things
right. Moreover a high price, secured
+ by reduction in quantity produced
would be only left-handed benefit to
the northwest after all. The changing
feeling is not so much one Of high
prices to be gained by losses in the
spring wheat fields as feeling that ne
matter what the northwest farmers may
produce, however big the yield, the
price will 60 down only slightly if al
: all.
It is almost certain that the white
wheat harvest will fall below forme
expectations. One estimator puts i
at 37O,oOO,0OO bushels for maximum
D He may be too low, but even allow
ing 40O,ooO,O0O bushels for white
wheat, and that the northwest vii
/ produce 2oo,ooo,ooo bushels, whicl
1 would be a very satisfactory crop
& the total does not show anything t
n suggest a range under 80 cents 70
cash wheat, with plenty Of chance
that it may average much higher.
An important consideration in thi
connection is the attitude of the farm
er. He has been educated up to do
lar wheat and it will be Difficult
matter to separate him from this ide;
Some farmers there are who always Sc
their wheat Immediately, no matte
what the price, because they have t
do it, but Of recent years their nun
Der has decreased. Thousands {
farmers everywhere are prosperor
and free from pressing debt, and VI
less all signs fail, they will not rus