The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1917-06-20
TOWER or STRENGTH.
FEDERAL RESERVE AND FARM
LOAN SYSTEM.
War Brings to Front Their Value I'm
Aiding Planters to Own Acres.

washington, June 1.-the hum
dreds Of offers Of landowners all over
the United States to place their hold
ings at the disposal of the govern
ment to meet the present war crisis is
directing attention more than could
possibly be done through any other
one agency to the great advantages of
both the federal farm loan banks and
the federal reserve system, as a means
of assisting the Southern farmer to
be homeowning and self-supporting.
Approximately a million acres of
land in every part Of the United
States has been offered to the United
States department of agriculture for
use. These offers run all the way
from a few acres up to large tracts
some embracing $4,000 acres. These
offers can not be accepted for the
reason that the government, while
endeavoring to show others how to
farm successfully, has no means at
hand to undertake the proposition
at this time.
FARMERS are writing in large num-
Ders to inquire what assistance they
cen expect from the government in
extending their agricultural activi-
ties and in generally broadening the
scope of their work. They need
money, they say, if they are to do
big things and desire before embark
ing too deeply to know what they
may expect under all circumstances.
One Of the important questions put
up to the federal authorities is that
of lending money on live stock. farm
ing implements and growing crops.
The farmers believe these assets rep
resent value equal to land.
In the letters many Of these farm
ers point out that the farm loan board
will lend money on land at 4 1-2 per
cent. interest without hesitation, while
not single dollar is to be had on live
stock or growing crops.
Farmers, particularly renters, num-
bering about one-half the agricultural
population of the whole country. are
informing the government through
their congressman that they need not
only seed, fertilizer. fencing and ma
chinery. and that they must have
money for this or some kind of guar
antee if they are going to plant on
larger scale. fhsre are thousands
of acres Of land which could be put
20 goodkpss. they say, il 1t could be
properl drahsa. and this :, will Vi II. take
money.
The pswer which the government
has made to these letters and in
quiries Is that at the present time
there Is no provision for the federal
farm loan banks to loan on anything
but land and that the local banks
should take care Of the situation.
Local bankers are said to be some
what skeptical about making these
loans. The war may be terminated
ut almost any time. they say, or peace
overtures begun. which would mean
that there would be dumped on the
American markets this fall so much
agricultural products and such bump
er crops of cotton, corn and other
commodities that the losses would be
appalling.
The situation. as explained here to.
day. makes the small farmer realize
that he must place himself in con-
ditiOn to take advantage of the fed
eral land banks and this he will do
by becoming homeowner instead of
a crOpper or renter.
The land loan banks stand ready
to serve as reserve line behind the
man who owns his land and it is ex-
pected that as result of the present
situation the work of the land banks
will be increased very largely in t..o
near future.