New-York tribune., 1918-02-24
Last Years $3.50 a Bushel
Minimum Ordered
Continued
Forestalls Action
Proposed in Congress
Stimulation of Spring
Planting Also Considered
Farmers Praised

years crop-was fixed by President
Wilson tonight for the coming seasons
wheat yield The price is for No.
Northern spring wheat at Chicago, with
scale Of differentials for other mar
kets.
The diferentials differ to slight
extent from those now operative, and
range from a minimum of s. to a maxi
mum Of S2.2S.
In fixing price now for the new crop,
which will lot be harvested until June
the President was believed to have had
two objects in view. The first was to
anticipate legislation pending in Con-
cress to fix prices at from s2.25 to So.
The other was to stimulate spring
planting.
Close Down Was Feared
The introduction of the price-raising
bills had begun to check the flow of
wheat to market, and food administra-
ton officials feared that mills soon
would have 10 close down. Hoping the
legislation would pass, farmers. it is
declared, have been refusing to sell at
the present price of $3.50.
In enacting the food control law Con-
gress put guaranteed price of So on
next seasons crop, and this has been
construed IS a minimum price. To
draw wheat to market, the President
fixed a price of S2,2o on last seasons
yield. and it had this effect until the
hill NV cO6
Then the flow began to stop.
Food Administration officials have de-
clared that, if the bills passed, the gov
ernment would be forced to raise pres
ent prices to the new levels, and that
to do so would upset the food admin
istration's -four and bread programme.
Presidents Statement
In q statement accompanying his
proclamation, the President said:
"Under the Food Control Act Of Aug
ust 10. 1917, it is ny duty to announce
a guaranteed price for wheat of the
1913 harvest. l am, therefore, issuing
proclamation setting the price at the
principal interior primary markets. 1t
makes no essential alteration in the
present guarantee. 1t is continuation
OF the present prices of wheat with
some adjustments arising from the
designation of additional terminal mar
ketlng points.
This guaranteed price assures the
farmer Of q reasonable profit, even il
the war should end within the year and
the large stores of grain in those sec
tlons OF, the world that are now cut off
from transportation should again come
into competition with his products. To
increase the price Of wheat above the
crease Of price, would have the effect
O. very seriously hampering the large
operations of the nation and of the
] Allies by causing the wheat of last
years crop to be withheld from the
market. 1t would, moreover, dislocate
all the present wage levels that have
e,ecn established after much anxious
discussion and would therefore, create
an industrial unrest which would be
Aafm1u to every industry in the
country.
Il know the spirit of our farmers
ana nave not the least doubt as to the
loyalty with which they will accept the
present decision. The fall wheat plant
a"s' winch furnishes two-thirds of our
wheat production, took place with no
other assurance than this. and the
farmers confidence was demonstrated
~ tne tact that they planted an acre
age larger than the record of any pre-
eeding year, larger by 100000 acres
s.ah the second largest record year,
anu aUoO,oUO acres more than the av-
.,iaee Tor the five years before the out
pleak OF the European war
Why Wheat Was Chosen
1T seems not to be generally under
stood why wheat is picked out for price
determination, and only wheat among
lhe cereals. The answer is that, while
normal distribution of all our farm
products has been subject to great dis
lurbances during the last three wears
because OF war conditions, only two
mmodltles-namely, wheat and sugar
have been so seriously affected as to
require governmental intervention.
me disturbances which affect these
products (and others in less deproeS
arise from the fact that all of the over
seas shipping in the world is now under
government control and that the GOV
ernment is obliged to assign tonnage
TO each commodity that enters into
commercial overseas traffic. 1t has
consequently been necessary to estab-
llsh single agencies for the purchase of
the food supplies which must go abroad.
The purchase of wheat in the United
states for foreign use is of so great
volume in comparison with the avail
able domestic supply that the price of
wheat has been materially disturbed,
and 1T became necessary, ia order to
protect both the producer and the con-
sumer, to prevent speculation. 1t was
necessary, therefore, for the govern
ment to exercise a measure of direct
supervision as far as possible to con-
fol purchases of wheat and the
processes of its expectation. This su-
ppefVlsion necessarily amounted to price
hxing, and | therefore thought it fair
ana wise that there should be a price
Nated that should be at once liberal and
equitable. - y
Next to the Soldier"
Those peculiar circumstance gov
esshing the handling and consumption
VI wheat put the farmer at the very
Ieh're OF war service. Next to the SOL
asef himself he is serving the country
Sh sau the world, and serving it in way
snlcn IS absolutely Fundamental to his
own own future safety and prosperity. He
soldier can. op'" "' ''Ac
ne farmer is also contribut;no
continued on Last pooe