The Adair County news., 1918-11-27

.fOrelgn pork purchases.
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-
Aviation. The current peace talk has
alarmed the holders Of corn, and there
has been a 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 ere
ated a great deal of apprehension on
the part of corn holders. This decline
has spread fear among swine growers
that a similar reduction in the prices
of hogs would naturally follow. More
over, the lower range Of corn prices
would, If incorporated in a 13-to-1 ra-
ito, obviously result in a continuously
falling price for live hogs. In view
of these changed conditions many
swine producers anticipated lower
prices and as a 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 8 per
cent, while the highest unofficial esti-
mate does not exceed 10 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 q 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 endeavor
TO maintain the agreed price. The re-
suit in any event has been a failure
to 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; it
has sharply curtailed consumption of
pork products and temporarily de-
creased the labor staff of the packers
about 25 per cent
The exports Of 130,000,000 pounds
OF pork products for October COM
nared with about 100000 pounds
in October year ago, and the
export orders placeable by the Food
Administration for November, amount
to 17O,00O,000 pounds as contrast
ed with the lesser exports OF
9S,OOO,OOO for November, 1917. The
Increased demands of the allies are
continuing, and are in themselves
proof of the necessity for the large
production for which the Food Admin
istration 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.
-. 1t must be evident that the enor
nous shortage in fats In the Central
Empires and neutral countries would
Immediately upon peace result in ad
ditional demands for pork product:
which, on top Of the heavy shipment!
to the Allies, would tend materially
to increase the American exports, Ia
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 deman'
with the return to peace. So far as !
is possible to interpret this fact, it ap
pears that there should be even
stronger demand for pork product
after the war, and therefore any alarr
of hog producers as to the effect o
peace is unwarranted by the outlook.
In the light of these circumstance
it is the conclusion of the conference
that attempts to hold the price OF hog
to the price of corn may work out
.fhe disadvantage of pork producer
1t is the conclusion that any interprt
cation of the formula should be
broad gagged policy applied over
.Icag period. 1t is the opinion OF til
conference that In substitution of til
previous plans of sterilization tn
Live Stock Subcommittee Of the Ayr
.cultural Advisory Board, together wit
,fhe specially invited swine represents
lives. should accept the invitation
the Food Administration to join Wit
the Administration and the packers
determining the prices at which col
troIled export orders are to be place
This win be regularly done. The II
fauence of these orders will be directe
To the maintenance Of the common o.
s5ect-namely. the sterilization OF tt
price of live hogs so as to secure as Il
rs It u possible fair returns to Il