Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-07-11
FOOD LEGISLATION.
IS CALLED URGENT
Cannot Safeguard Farmer or
Consumer Without 1t, Mr..
Hoover Tells President.
CITES WHEAT SITUATION

I'VE are practically helpless to safe
guard either the farmer or the con-
sumner until the pending legislation is
in report on the food situation sub
mitted to President Wilson.
The food administrator reports that
unless strong and efficient government
action is taken Immediately farmers
will face a slump in wheat prices and
consumers will be caught In situa-
ton even more serious than that which
already is resulting in actual under
nourishment" in the great consuming
centers. 1t is charged that the specu-
lators are taking large part of the
prices now paid by consumers.
The report in the form Of a letter to
the President. was issued through the
public information committee. with the
statement that publicly was given 1t
"in order that the country may know
how serious and far-reaching the con-
sequences may be, both to the farmers
OF the country and to the consumers, Of
the present delays in passing the pend
ing food legislation
No comment by the President ac-
companied the report, although he has
more than once demonstrated his i'm
patience over the repeated delays in
Congress which have kept the entire
food control program In state OF
uncertainty for weeks. Mr.. Hoover's
letter follows:
"In response to your request I send
you herewith the following notes COM
piled by myself and my associates upon
the present situation with regard to
wheat:
Discusses Wheat Situation.
a. The 1917 harvest promises to
yield CTS, 00O. 900 bushels. The normal
international consumption and seed
ra, liraJ 10 G. a n
same volume In 1918 as in 191D,
amounts to about 6oo.o0o.u0O bushels,
thus leaving theoretical export bal
ance of 7s,oOo.ooo bushels. Tho con-
Servation measures are already nav
ing a marked effect. and it is not too
much to hope that the national saving
may be SO.OOO.0uo to 1oo,00O,0O0 bushels,
and, therefore. the export balance in
creased to. say, 15S.00o.oo0 to 10000
900 bushels.
90 The experience this year in the
rampant speculation, extortionate prof
it's and the prospect of even narrower
supplies than 1916 harvest and carry
over must cause the deepest anxiety.
No better proof of the hardship worked
upon our people during the past year
need be adduced than the recitation of
the fact that the producer received On
average of s1.51 per bushel for the 1916
wheat harvest; yet wheat has been as
high as 1925 at Chicago and the price
based upon this speculative price of
wheat, so that through one evil cause
or another the consumer has suffered
from so to 100 per cent and the pro-
Queer gained nothing.
After much study and investigation
it is evident that this unbearable in
crease in the margin between producer
and consumer is due to not only rank
speculation. but more largely to the
wide margin Of profit demanded by
every link in the chain to insure them
from the great hazards Of trade in the
widely fiuctuating and dangerous price
situation during a year when all normal
sterilization has been lost through the
interruption Of world trade and war.
"All these factors render 1t vitality
necessary to initiate systematic meas
ures which will absolutely eliminate all
possibility of speculation. cure extor-
tionate, profits and effect proper distri-
button Sand restriction on exports to
point within our own protection. These
measures cannot be accomplished by
punitive prosecutions OF evil-doers, but
only by proper and anticipatory organi-
cation and regulation all along the dis
tribution chain.