Jamestown weekly alert. [volume] (Jamestown, Stutsman County, D.T. [N.D.]) 1882-1925, 1916-11-23
EX0RBTANTE
PROFITS FROM
Low GRADES
Grain Dealers Net Unearned
Profits on Low-Grade :
Wheat.


ton showing the high milling value
of such low grade grains, coupled
with the exposure of an arbitrary
post card" system of grading
wheats at the primary market, and
the sale of the wheat at the terminals
under another grading system, are
set forth in a bulletin made public
today by DR.. E. F. Ladd, president
of the North Dakota Agricultural
college.
The bulletin, amplifying previous
bulletins along the same line, goes
further than before, DR.. Ladd set
ting forth not only the milling val
ues of wheat, but also laying bare
system of grain handling by which
the farmers receive from $40 to $3.50
less for each carload of grain, than
such grain is actually worth at the
terminals, even after the hauling
charge is deducted.
In other words, DR.. Ladd shows
that the Grain Bulletin card sys-
tenn of establishing grades, by
which a great many grades are set
forth in addition to those regularly
accepted at the terminals, nets vast
profits to grain handlers without ev-
en- resorting to mixing"
The bulletin pictures the progress
of grain from the farm to the grain
handler; thru the mills, back thru
the wholesale houses and to the ulti-
mate consumer.
1t is a publication of far-reaching
Importance, coming, as it does, at a
time when there is so much agita-
tion bearing upon the grain situa-
tion.
The Spread il. Values.
DR.. Ladd sets forth, in series of
tables, the effect of terminal grading
as against primary market grading,
and the increased value of wheat by
milling.
Using the 10000 pound basis as
indicating a carload, he presents da-
ia as to the market value of flour,
bran and shorts, or mill products,
and the difference in the returns to
the buyer.
On No. 1 northern wheat, bought
from the farmer, Oct. IA, at card
value of $1.5s bushel, the farmer
receives a total of $1,526.75.
The Minneapolis value of this same
wheat is $1,673.34, less $66 in
freight, thus indicating a net gain
in value as between the primary mar
ket and the terminal market of
$80.59, on a single operation other
than the mere shipping.
Milled, this same carload of wheat
is found to be worth $2,O34SS. that
the sale of by-products
as we'll.
Returned to Fargo in the form of
finished -four, screenings. bran,
shorts, and sold at the market quo
tation, this carload of wheat would
be worth $2,55S.47-a net gain from
the time the wheat was purchased
from the farmer till it reached the
consumer of $1,031.72.
What the Bulletin Says.
The sensational Bulletin, among
other things, concludes that:
Arbitrary grades, not recognized
even by the Minnesota warehouse
commission, are fixed by buyers for
North Dakota elevator managers
farmers being compelled to sell un-
der such arbitrary ''post card"
grades.
Low grade wheats net greater
profits to the grain handlers and
milling interests than do the high
grade wheats.
The feed" grades of wheat are
established evidently for the pur-
pose of inducing the belief that such
low grade wheats are valueless for
purposes.
The Minnesota warehouse commits
sion establishes seven grades Of
wheat; the "post card" grading sys-
TEN under which the farmers sell,
II grades.
No matter what the grade at the
primary, the grade at the terminal
comes within the definitions laid
down by the Minnesota warehouse
Wheat Us bought from the farmers
on one set Of gradings and rules, and
is sold at the terminals on another
set.
The mere operation of shipping
grain from the primary to the ter
minal brings an increased value to
the shipper Of from $71.S3 to $780,