The Era-leader., 1918-11-21

AGRICULTURAL AuplSOIy Do'iu anu 'Ae "
industry to consider the situation In tn
The conference lasted for three do
executive committee Of the fifty packir
for pork products and with the member
foreign pork purchases.
The conclusions Of the conference
The entire marketing situation has
iso changed since the September joint
conference as to necessitate an entire
ALTERATION in the plans Of price staDl-
ilization. The current peace talk has
ALARMED the holders of corn, and there
has been q price decline OF from 20
cents to 40 cents per bush2l. The fact
that the accumulations Of low prlceo
corn in the Argentine and South Atfl-
ca would, upon the advent Of peace
and liberated shipping, become avail
liable to the European market mas 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 a l3-to-l ra-
to- obviously result in a continuously
failing price for live hogs. In view
of these changed conditions many
swine producers anticipated lower
prices and as result rushed tne'r
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 . per
,cent., while the highest unofficial est-
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 II per
cent. more than last year, during the
corresponding period, demonstrating
the unusually heavy marketing of the
available supply. In the face OF the
Iexcessive receipts some packers have
mot maintained the price agreed last
month. On the other hand, many
|of the packers have paid over the
Iprice offered to them in an endeavo'
to maintain the agreed price. The re-
suit in any event has been failure
to maintain the October price basis
determined upon at the September con
ference and undertaken by the pack
,ers. Another factor contributing Il
the break in prices during the month
has been the influenza epidemic; Il
has sharply curtailed consumption o.
pork products and temporarily de
;creased the labor Ttaff Of the packeS
iabout Is per cent
The exports of i30,000,000 pounds
of pork products for October com
pared with about 100000 pounds
lin October a year ago, and tn
export orders placeable by the Foo'
Administration for November, amour
ito 170,OOO,O00 pounds as contrast
ed with the lesser exports o
;9S,OO0,O00 for November, 1917. Tn
Increased demands of the allies ar
continuing, and are in themselve
proof of the necessity for the larg
;production for which the Food Admin
istration asked. The increase In eS
port demands appears to be ampl
lsufficient to take up the Increase Il
hog production, but unfavorable mar
'ket conditions existing in October al
ford no fair index Of the aggregat
supply and demand.
It must be evident that the enol
,mous shortage In fats in the Centra
lEmpires and neutral countries woul
Immediately upon peace result In at
dltional demands for pork product
which, on top Of the heavy shipment
ito the Allies, would tend material
ito increase the American exports, II
asrnuch as no considerable reservoir {
supplies exists outside Of the Unite
States. It seems probable that tn
;present prospective supplies would +
inadequate to meet this world deman
with the return to peace. So far as
lis possible to interpret this fact, 1t al
pears that there should be even
stronger demand for pork produc
after the war, and therefore any alar
of hog producers as to the effect ,
peace is unwarranted by the outlook.
In the light of these Circumstance
II is the conclusion of the conferen'
that attempts to hold the price of no,
TO the price Of corn may work out
the disadvantage of pork producer
irt Is the conclusion that any interpr
tation of the formula should be
ibroad gagged policy applied over
long period. 1t is the opinion of ii
conference that In substitution OF II
spreyious plans Of stabiliZatiOn tt
Live Stock Subcommittee of the Agr
cultural Advisory Board, together wit
the specially invited swine represents
ttves. should accept the Invitation