The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1917-08-13
Food Administration An
nOunces Plan for Control
ling Cereals.
TO FEED SOLDIERS
AND HOME PEOPLE
Effect Expected Upon Flour
and Bread as Result Of
Supervision.

Washington, Aug. la.--Thc food ad
m'nistration announced tonight it's
Plan for controlling wheat, flour and
bread revealing that the government
Is prepared TO take over the whole 1917
wheat harvest IL necessary to conserve
the supply obtain just prices for Amer
cas- fighting forces and their allies ana
reduce costs to the American public
Establishing of huying agencies nj
all the principal terminals licensing OF
elevators and mills. fixing of a price
to be considered fair. regulation Of the
| middIeman and of grain exchanges
with the elimination of trading In rn-
ttircS. are the chief features OF tho
! plan. Th" licensing viii begin Sep
trmbcr T.
The minimum pric" Of s. for wheat
! fixed by congress does not become
effective until next year. but the ad-
miniStration proposes to exercise II
very thorough control over this years
| crop through powers conferred under
the food ana export control acts
| Following IL the administrations am
| uounccmcnt:
The disturbance of the wroll's
| commerce and short supplies has
caused a greater disruption Of the
normal markets for wheat than for
any other cereal
| 81. AS "A result Of The isolation Of
| certain of the worlds wheat rroducine
| countries tn" normal determination Of
the price of wheat by the cbh and flow
of commcrc" is totally destroyed
"2. In order To control speculation
and Ia secure more equitable distrbu
| tion Of the available wheat and flour
| between Nh"ir countries, the allied gov
rrnmcnts hay" placed the whole pur-
rhaS" of their supplies in the hands
of one buyer. Also the European ncu-
trails are now buying their wheat
through single government agents In
stead of IN the normal course of com
mcrCr. Therefore, the export price of
wheat aud flour. and thus the real
price. If not controlled. will hc subject
to almost Il single will of Tho foreign
purchaser.
Danger of Congestion.
"%, In normal times American wheat
moves largely to Europe in the fall
months. This year the shortagr Of
shipping neccsstatcs it's distribution
over the entire year. Therefore, there
is danger Of a giut In our warehouse
system over u considerable period
=. There are large stocks of wheat
which caUnot be drawn upon by the
allies during the war. but in the event
of peace or defeat Of the submarines,
these would be available and might Sc
rously dcmonlizc the demand for
American wheat.
No Set Price for 1917 Crop.
~. II must be clearly understood
| that the guaranteed minimum price oi
s. per b,lshcl for wheat. set out in the
food bin. docs not apply to the 1917
harvest, hnt only to the 1915 harvest.
and then under conditions which must
hc elaborated There is therefore M
determined price for the 1917 harvest
Government Action Needed.
"rhc result of this situation is that
the normal price making machinery Is
entirely broken down unless some eff
Il ci"nt government action Is brought IN
r to play. either (D the American pro
huc"r may fac" q slump in wheat, pos
sihlN below his production cost. and
(h) tho export price of wheat Whicf
ult imat"ly determines the real price l.
J. at the will Of u single agency; tcp SONS
~ one must huy the surplus wheat a
ii any given amount and If III" sHrrlu,
/" passes into speculative hands it vi
II be held for higher prices later in tbs
~ year: th) with stabilized prices eNtrf
n hazards are introduced into all diStrt
So button links which must he paid fo
'' hv the consumer. It must b" cviden
/ that the United states government cal
'H more Justly deal with the situation
~ than any of the agencies mentioned.
"Thcr"for" the food administratlo
~ las determined to take the followin
course:
w. To License All Producers.
"a First order to eliminate spccu
:, lation in wheat and flour. all elevator
ns and mills over 100 barrels daily ca
ed pacitS will b" required to take out
r. government license, the conditions I
cc this license to be
bc| That only reasonable and custon
sh AIRY charges shall be made for ware
Ifl house service. That no wheat sha
he stored for more than 50 days with
=, out the approval of the food admin.
IL ltration; that certain information
u to receipts and shipments shall
ch supplied regularly. The grain e,
- changes are bein. asked to suspel
all dealings and quotations in futu