The evening Caledonian. [volume] (St. Johnsbury, Vt.) 1918-1920, 1918-11-14


The conclusions of the conference
! The entire marketing situation has
so changed since the September joint
conference as TO necessitate an entire
alteration in the plans of price stabi-
Itzation. The current peace talk has
alarmed the holders of corn, and there
has been price decline of from -
cents to 40 cents per bushel The fact
that the accommodations Of low priced
corn in the Argentine and South Afri-
ca would, upon the advent of peace
and liberated shipping become avail
able to the European market has Gre
ated a great deal of apprehension on
the part of corn holders. This decline
has spread fear among swine growers
that similar reduction in the prices
OF hogs would naturally follow. More
over, the lower range of corn prices
would, If incorporated in 13-to-1 "a
rio, obviously result in a continuously
falling price for live hogs. In view
of these changed conditions many
swine producers anticipated lower
prices and as result rushed their
hogs to market In large numbers, and
This overshipment has added to and
aggravated the decline.
The information Of the Department
of Agriculture indicates that the sup
ply of hogs has increased about s per
cent, while the highest unofficial estl-
mate does not exceed Is per cent. in
creased production over last year. On
the other hand, the arrival Of hogs
during the last three weeks in the
seven great markets has been u per
cent. more than last year, during the
corresponding period, demonstrating
the unusually heavy marketing of the
available supply. In the face of the
excessive receipts some packers have
not maintained the price agreed last
month. On the other hand, many
of the packers have paid over the
price offered to them in an endeayOr
TO maintain the agreed price. The re-
suit in any event has been a failure
10 maintain the October price basis
determined upon at the September con-
ference and undertaken by the pack
ers. Another factor contributing TO
the break in prices during the month
has been the influenza epidemic; 1t
has sharply curtailed consumption of
pork products and temporarily de-
creased the labor staff of the packers
about % per cent.
The exports of 130.000,000 pounds
Of pork products for October COM
pared with about 52,00000O pounds
in October year ago. and the
export orders placeable by the Food
Administration for November, amount
TO 170,0OO,OOO pounds as contrast
cd with the lesser exports OF
oSOO0,0O0 for November, 1917. The
increased demands of the allies arc
continuing, and are in themselves
proof of the necessity for the large
production for which the Food Admin
isNation asked The increase in ex
port demands appears to be amply
sufficient to take up the increase in
hog production, but unfavorable mar
ket conditions existing in October af
ford no fair index of the aggregate
supply and demand.
It must be evident that the enor
nous shortage in fats in the Contra
Empires and neutral countries would
Immediately upon peace result in ad
ditional demands for pork product!
which, on top of the heavy shipments
10 the Allies, would tend MATERIAL.
TO increase the American exports, in
asmuch as no considerable reservoir o
supplies exists outside of the Unitet
States. 1t seems probable that tn
present prospective supplies would b.
inadequate to meet this world demand
with the return TO peace. So far as
is possible to interpret this fact, it al
pears that, there should be even
stronger demand for pork product
after the wfr, and therefore any alarl
IF hog producers as to the effect o
pence is unwarranted by the outlook.
In the light of these circumstance
IL is the conclusion of the conferenc
that attempts to hold the price of hog
10 the price of corn may work out
the disadvantage of pork producer:
It is the conclusion that any interpre
tation of the formula should be
broad gagged policy applied over
long period. 1t is the opinion of tn
conference that in substitution of III
previous plans of sterilization I'll
Live Stock Subcommittee of the Ayr
cultural Advisory Board, together wit
the specially invited swine representa-
tives. should accept the invitation o
the Food Administration TO join wit
the Administration and the packers /
deterfnigfng the prices at which cor
troled export orders are to be placed
This WIN be regularly done. The II
ausnce{of these orders will be directe
to thef maintenance of the common ~
iect-AameIy. the sterilization Of til
price live hogs so as to secure as ia
as IT possible fair returns to tn