South Bend news-times. (South Bend, Ind.) 1913-1938, 1915-11-29
WHEAT IS TAKEN
OVER BY CANADA
Grain Will be Used to Fill Or
derS Secured by Great
Britain.

chief grain commissioner. Sunday
Communicated nearly 16.OOO.oOV
! bushels OF Nos. /. and 3 northern
wheat in terminal elevators at Port
Arthur. Fort William and in eastern
/ Carada.
This wheat will be used 10 all or
ders secured by the British in the
I United Kingdom and from the allied
/ governments. a price 10 be paio .or
I the grain will be decided upon later
To Prevent Undue Profits
The action was taken by the Can
adam government TO prevent abnor-
MAJ profits 10 grain dealers and
/ spectators such as would follow the
/ purchase Of the wheat in the open
market.
Having in mind what happened
/ last year. Sir Robert Borden took
/ the matter up with the imperial
government last summer and asked
aid in securing orders for Canadian
wheat from England and the allied
lowers. The British government
now has asked the Canadian govern
ment TO provide a large quantity OF
grain.
Much Owned i'm L. ;.
one of the interesting situations
! created by the order is the fact that
considerable portion OF the wheat
! in store which was Communicated
! by the government. was owned in
/ the United States There will be no
| change as TO destination or route OF
! transit The wheat will go forward
as arranged and without delay, but
there is a new ownership. IL has
passed from private hands. foreign
or domestic, into the hands OF the
Canadian government
An official statement issued to-
night says:
The phenomenal crop OF wheat
in the Canadian west has brought
upon the government the duty OF as
ssting 10 the farthest extent possible
in its marketing. The supply OF
wheat the world over is known to
/ have been abundant and the import
ance Of taking advantage OF every
opportunity TO provide for the dis
posing OF our grain is, on that ac-
count. the greater For many
months the government has been in
touch with the British authorities
With a view 10 procuring orders from
the United Kingdom and the allied
| governments in order that the ut
most share Of the consuming de-
mand in those countries may be
turned toward our Canadian surplus.
As a consequence OF this the British
! government has requested the Can
adam government 10 provide within
a short time a very large supply OF
Nos. ]. and 3 northern wheat.
Market Rises AbnormaIly.
| The problem of meeting these re-
quirements and of doing so at such
prices as would induce the repeti-
ton Of orders in Canada then con-
| fronted the government The effect
of government purchases in the
open market such as were made by
different countries a year ago. is well
\ known to the public. The market
rises abnormally, adding TO the pro-
fits Of grain dealers and spectators.
who have purchased the grain which
! the governments require. The ad-
vance in price Of large amounts or
grain in store becomes the loss OF
the purchasing government and the
profit, not Of the producer. but OF
the owner Of the stored grain.
ITO secure the desired end this
year the dominion government de-
/ termined Saturday TO commander
all Nos. !. 2 and northern wheat
| in store at the head OF the lakes and
eastward This involves the purchase
Of anywhere from 1900. 900 TO 10
! OOO. 600 bushels The price to be
paid has not yet been settled by the
government, but will shortly be fixed
on fair basis. The commander
/ ing order goes no farther than is
stated above and instructions have
/ been given that all loading now un-
der way is 10 be continued and no
delay whatever occur in the trans
portation Of the Communicated
grain from the elevators 10 ocean
terminals
ct will be observed that the order
does not apply TO grain in elevators
west Of the lakes. or in transit at
the time the order takes effect, or
subsequently, thereto.
There are. Of course. many ques-
tions Of important detail that arise
and demand adjustments and these
will be given the fullest considera-
ton and the prOmptest decision poo
sible.
Expect No Radical Effect.
There seems no reason why the
grain markets should be radically
affected by the action taken. OBJ
viously il does not involve any in
crease in the worlds consumers. or.
indeed in the worlds consumers de-
mands II means simply the filing
Of the existing demand TO the ex-
tent OF the grain taken by this much
Of the Canadian surplus instead OF
huing the same from other surplus
es
If the result should be a rise in
the Canadian prices then beneficial
effects viii largely accrue TO the
grain farmers themselves and not To
the holders Of grain in store. While
the holders OF grain in store are en-
titled 10 fair treatment. IL has been
thought desirable not TO precipitate