The sun., 1918-12-27
Ask GUARANTEE FOR
PRICEOF 1919 WHEAT
Food Board and Department of
Agriculture Seek Protec-
ton for Producers.
TRGE ACTION IN CONGRESS
Extension of Purchase Date
Beyond June, 1920, at 1920
Rate, Is Necessary.

W,sHlNGroN, Dec. 26.-Legislation
n make effective the wheat price
Guarantee Of s2.26 a bushel for the
1913 crop and at the same time TO
.afeguard the Government against
Iosses was recommended to Congress
to-day by the Department OF Agri-
culture and the Food Administration.
, memorandum sent TO Representa-
I've Lever (South Carolina). chairman
of the House Agricultural Committee,
made the following recommendations:
First. extension by Congress be-
vond June l. 1920, Of the date for
the Government purchase of the
1919 crop.
Second, continuance of the Food
Administrations grain corporation.
or creation of a new agency to buy,
store and sell 1919 wheat that may
be offered to the Government.
Third, possible legislative pro-
visions to protect the Government
against wheat or flour brought in
from other countries during the
period of effectiveness of the guar
anteed price, and also to protect
buvers Of such wheat as long as the
wheat is in this country and not
consumed.
The memorandum was compiled
with the APPROVAL of President Wilson.
and Secretary Houston in submitting
4, said: THE Government has made
guarantee and 1t goes without say
ins that it must be made effective"
Extension of Purchase Date.
Regarding extension of the date of
Government purchase the memoran-
dun said:
1T will be impossible to carry out
the guarantee, as it Is intended by
June /, 1920. and II producers cannot
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
must have ample funds to at all
times purchase throughout the United
States at the guaranteed price such
wheat of the 1918 crop as may be
offered to it and also provide storage
facilities to take care OF the same by
lease or purchase Of facilities now In
existence. or by building additional
facilities, or both.
THE appropriation will have to be
on a basis to enable the guarantee
price to be maintained at all times
by purchase of wheat with funds pro-
vided by the Government and with
out relying on outside credit"
1918 Crop Price Maintained.
The Food Administration grain cor
poration is maintaining the price for
the 1918 CropCSith its capital of $780,
900 900 and it's credits, combined with
the export demand for wheat. The 1915
crop is estimated at 917, 100000 bush
els. and on November 20 last the
movement from the farms amounted
20 5sS.OOO,O0O, OF which 2540O0, 900
was in storage.
1t will be Observed said the
memorandum, that there Is very
large amount of the 1918 crop yet
70 be moved from the farms, and il
will take all the resources of the
grain corporation and the most care
FIJI attention to every detail to carry
out the guaranteed price for the crop
Of 1918. In fact, II the export demand
should diminish. it is possible that in
order to maintain the guaranteed price
l may be necessary that there be a
further appropriation by Congress.
ION the other hand, II the demand
FOR export wheat should continue, il
is hoped that on June l, 1919, the
Grain corporation may have been able
TO carry out the obligations of the
United States as to the 1918 cror
without impairing its capital of $780,.
600 900
See Larger 1919 Crop.
The carving 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 100000 acres larger
than that for 1918, and II an increase
~ spring wheat is planted, the har
vest Of 1919 may be in excess OF thai
n 1918, when the yield was estimated
at 9l1100, 900 bushels.
Export of 1918 wheat is estimated
az about 3l0,000,0O0, a larger figure
han can be expected for the 1915
crop, because Of shipments from Can
ada, Australia, India and Argentina
Domestic consumption of the 1911!
crop, including the seed wheat reserve
the memorandum stated, cannot eX
coed 640,000,000 bushels as a maxi
mum. The possible 1919 crop wa
fixed at l,ll4,50O.OO0 bushels, o
which 100000 would he used fol
seed requirements, 55O,00O,0OO bush
els for domestic consumption, leav
Ing $500, 900 bushels for export.
The 1919 crop for export, it wa!
pointed out, might sell in competition
with that from other countries at ;
price considerably lower than tn,
guaranteed price, which would prob
AMY result in similar reductions a
home.
HilIed Father TO Protect Mother
PROVIDE TauAnI