Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1918-12-27
LEGISLATION To
GUARANTEE WHEAT
PRICE IS URGED.
Secretary Houston Asks That
Date That Government Pur-
chase Be Extended Beyond
June I, 1920.
Esy noaaIse JOURNAL sreelAL LACED w,sr1

tsY MORNING JOURNAL SPECIAL LEASED WiREl
Washington, Dec. 26.--Legislation
to make effective the wheat price
guaranteed for the 1919 crop and at
the same time safeguard the govern
ment against losses was recommend
ed to congress today by the depart
ment of agriculture and the food adj
ministration.
A memorandum sent to Represent
alive Lever of South Carolina, chair
man of the house agricultural com
mittee, made the following recon-
mendations:
Extension by congress be-
yond June l, 1920, of the date for the
government purchase of the 1920
crop
Second--Continuanc of tho food
administration's grain corporation or
creation of new agency to buy, store
and sell 1919 wheat that may be Of
fered to the government. and
Third-Possible legislative provis-
ions to protect the government against
wheat or flour brought in from other
countries during the period of ef-
fectiveness of the guaranteed price
and also to protect buyers of such
wheat as long as the wheat is in this
country and not consumed
The memorandum was compiled
with the approval of President Will
son and Secretary Houston in SUBJ
hitting il said: The government has
made guarantee and it goes without
saying that it must be made effect
i've"
Regarding extension of the date of
government purchase, the memoran-
dunn said:
at will be impossible to carry out
the guarantee as It IS intended by
June !, 1920, and if producers can
not sell their wheat to the United
States before that date and are left
with wheat on hand, it Will be felt
that the obligation of the United
States has not been carried out in
good faith
''The government purchasing
agency" the memorandum set forth
must have ample funds to at all
times purchase throughout the Unit
ed States at the guaranteed price
such wheat of the 1919 crop as may
be offered to it and also to provide
storage facilities to take care of the
same by lease or purchase of facilities
now in existence or by building adj
ditional facilities. or both,
1.-THE appropriation viii have to be
on the basis to enable the guarantee
price to be maintained at all times by
purchase of wheat with funds pro-
vided ~ the government 3ld ta-
out relying on outside Din
The food administratio graW
poration is maintaining u. srrg sr
the 1918 crop with its a1 ai f
TO tea.le H'id ou eg y9,
49,. atG Ea lI a1ltls
ut will be observed ia
memorandum, that Their eDN
large amount of the 1918 cp SaG VI
be moved from the farms nd
take all the resources o. tile e4a.al
corporation and the most efH
tention to every detail to 'iy GU
the guaranteed price for lie crop of
1918. In fact. if the export demand
should diminish, 1t may be necessary
that there be a further appropriation
by congress-"
The carrying out of the guaranteed
price for the 1919 crop presents a
much more difficult situation, it was
pointed out, because the winter wheat
acreage is about 10000 acres larger
than that for 1918 and if an increase
in spring wheat is planted the harvest
of 1919 maye be in excess of that of
1918.
Export of 1918 wheat is estimated
at about 310.000.000. larger figure
than can be expected for the 1871
crop, because of shipments from Can
ada, Australia. India and Argentine
Domestic consumption of the 1871
crop, including the seed wheat re-
serve, the memorandum stated, can
not exceed G40,00O,OOO bushels as a |
maximum. The possible 1919 crop
fixedF at t114,5O0,OO0 bushels, of |
which 100000 would be for seed |
requirements, 550,000!00O bushels for
domestic consumption, leaving 49, |
100000 for export
The 1919 crop for export, it was
pointed out, might sell in COMPETE |
ton with that from other countries at
4 price considerably lower than the |
guaranteed price