Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-09-21
With Price of Flaxseed Going
Lower Farmers in North
west are Losers
THE TRUST ALSO HARD HIT
Rockefeller, Who is Said to Have "cor-
nered" the Supply Stands to Lose
s5oo,ooo Because Of the Bumper
Crops That Have Been Raised On
New Lands.

Sioux City, Sept. 2l.-With the price
of flaxseed going lower and lower each
day, the farmers of this section see
profits which they expected to reap go
glimmering, and while the break will
cost the American Linseed Company
over 100000 loss, it will also cause
the farmers to receive from so to IS
cents less for their flax than they ex-
pected.
Flaxseed is now about ready to place
on the market, and spot No. north
western is selling for s1.o2. as COM
pared to $1.08 for last week, while No.
/ is quoted today at SO cents. This is
from so to Is cents under what the
farmers on the O.Neill line of the
Great Northern and on the South Da-
kota lines of the Omaha railroad and
the Milwaukee and ST. Paul. where
large areas of new land have been
planted in fax, expected to receive.
John D. Rockefeller, through the
American Linseed Company, an auxil-
larry Of the Standard Oil Company, has
enjoyed a corner in f1axseed for good
many months. So thoroughly has the
flaxseed been cornered that many in
dependent mills have been compelled
to shut down and wait for the new
crop. In order to secure all the flax
in the northwest the American Linseed
Company has been compelled to pay
high prices for the seed. 1t is estimate
hal C00 001
to 9,0O0,OOO bushels of old fax, bought
at prices ranging from $1.20 to $3.50
per bushel. Farmers were compelled
to pay $1.75 to 1923 per bushel for
fiaxseed to use for seed. AS a result
of the corner in fax linseed oil has been
advancing in price for more than a
year.
Now there is bumper crop Of flax
to place on the market. The price has
slumped, and the flax which John D.
Rockefeller bought for $1.40 per bushel'
and as high as $3.50, is worth only VI,
and No is selling for SO cents.
Slump Will Hurt John D.
While the slump will cost Mr. Rock
efeller tens Of thousands of dollars, 1t
will be a blow to the farmers of the
northwest who expected to realize $l.4O
to $1.50 per bushel for their flax seed
this wear. Grain men believe the price
will go up, and that Rockefeller Will
protect himself by forcing it to the fig
ure at which he bought the old flax.
Flax is not worth $1.40 per bushel to
any manufacturer of linseed oil who IS
compelled to sell oil for less than 81
cents per gallon. If the independent
dealers can buy fax for 81 per bushel
they will be enabled to sell oil at much
less than the American Linseed Com
pany, and will get all the business.
Men representing the trust have been
in the fields Of the northwest watching
the crop and reporting to headquart-
ers. The crop is large, and nature mas
been working against Mr.. Rockefeller
in the fax situation.
Along the Platte line of the Milwau-
kee and ST. Paul Railroad Company
alone ii is estimated that $4,000 acres
of flax will be harvested. 1t will yield
from 10 to IL bushels per acre. Every
thing has been favorable to the flax
crop When it was sown the rains We're
even over the state of South Dakota
and all the flax got an even start Flax
is an inexpensive crop to produce ana
it looked to the farmers. until the last
few days, that they would receive wv
to s25 per acre for the crop. But the
slump in the price will reduce the
price to s13 to SIS per acre, and 1t
may go lower. In the meanwhile the
trust is losing money, and at any mo-
ment may resolve to bull the market
and complete their corner. 1t is said
that the man who holds his flax is
WISE