The sun., 1919-08-08
u S. WHEAT PRICE
LOW, SAYS BARNES
Rates Elsewhere Are Above
Guarantee Price Here,
He Asserts.
BREAD CHEAPEST FOOD
Denies Quotations on Other
Foods Are Influenced by
This Grain.
BREAD CHEAPEST FOOD

nubliC yesterday ueIenuS inc 1OVefn-
nents guarantee price OF s2.2s a
husbel to the wheat grower, insisting
that the rates now existing In the
Irnlted Kingdom and wheat produce
ing countries in Europe are much
higher. Argentine wheat has jumped
n such a figure that It costs so cents
bvshel more than American, wheat
for delivery in Europe.
In his desire to correct what he
regards as a popular misapprehension
of the wheat situation Mr.. Barnes
accuses the housewife of failing by
careful study to buy the foods that
will bring down living costs. He said
~ -four were distributed free to the
bakers II would hardly be possible to
hiring back the cent loaf. To cut
cent from the price of a 10 cent
loaf would mean knocking IS cents a
hushel from the price Of wheat. He
ssd that the cost Of the flour Is only
"a ner cent Of the retail price Of
bread and that bread is still the cheap
est food.
The Wheat Director backs up his
contention that the wheat price is
fair with a description OF the efforts
Of British dealers to stock up months
ahead at the American figure. He
said the American market is not being
injured by the expectation of wheat
10 Europe.
Denies Wheat Controls Prices.
Mr. Barnes denied that there was any
relation between the wheat price and
other foods, citing market figures show
ing greater increases in other commod-
tiles. II at any time the world market
mice of wheat drops Mr.. Barnes said
he would not hesitate to make a cut in
the guaranteed price. He was unable to
saw whether there would yet be another
rise.
In case of profteerlng in any city
the United States Grain Corporation will
DUNN its reserve stocks on the market.
Mr. Barnes's statement follows:
"our people should understand the
salient facts regarding the worlds wheat
situation.
promise since June 1 of probably 400.-
100000 bushels.
~. Shrnkage. the result of lesser
acreage and of soil deterioration. in
European wheat and rye production,
promising. outside of Russia, total
bread grain yield of 1900, 000. 900,
against normal production of 1,S00.-
100000 bushels.
20. The elimination by war and famine
Of Russia. Rumania and India, formerly
contributing to consuming Europe 300,-
5000 bushels of bread grains.
~. The advance in Argentine prices
under world demands until to-day. with
longer voyage and higher freights. Ar
gentine wheat costs delivered in Europe
fully so cents per bushei more than
American wheat delivered in Europe.
rs. A broad survey of the world wheat
price, actual and guaranteed, in various
countries Indicates:
Per bu.
Average farm price TO American wheat
grower under the guarantee price,. SOS
Average farm price in the United King
dom during last calendar year.......... as
Average farm price for four big produc-
ing countries United States, Canada,
Argentina and Australia. producing
L5OO0o,O 900 bushels ..................... la
Average grower price largely guaran-
teed OF Europe's fifteen consuming
countries producing sooooo.Oco bushels
AVtraSe az ali wheat 1rowsr. wc,vb,sd 90
according TO the size of their contri-
button to the total crop of the world.
works out an average world grower
nrce OF ......................... 2 4e
g. The farm movement, this new,
crop to July 25, has already totalled
loS,O0O,00O bushels, and of this. at the
guarantee price, the Grain Corporation
has bought not over 100000 bushels.
II has no authority in law to get it ex-
cept by purchase from growers who can
not find a better buyer. For four
.bar
the guarantee basis.
Prices Abroad ArtincfaIIy Cut.
Y. Nothing supports the theory of in
innate relation and influence between
wheat price and other foods. In 1917
wheat sold, Chicago, in May, at $3.45.
while corn sold at s1.74. In September
the stabilized fair price of wheat was
haugurated at s2.17, and continued for
months, while corn had advanced, SELL
ing during September at s1.s5 to s2.24,
and continuing during the succeeding
months OF October and November in the
nelghborhood Of 50.
Flour fell from May price of s1.06
per one-sixteenth barrel to SO cents in
september, and thereafter ruled in the
Helshoorhood OF so to SIS cents for al
most two years, while the combined
pIlce OF bread, corn meal. sugar, beans,
nee onions, butter. cheese, steaks, ba-
eOn' pork chops, ham. lard, prunes,
cannon and eggs rose from 400 in May,
$50 In September, and then success
neV advanced until the high point of
december, 1918, of 5.495, since which
uihe there has been moderate and
S.eddy fall. Meantime -four was still In
Oecenber. SO cents per sack
.. Britain, France and Italy all have
~.lhcially reduced -four and bread
P'NrS' buying their raw material at the
"oliu price and absorbing the loss by
eeSuohal taxes. Any sale of wheat or
moa, by us at reduced prices to them
,'. yuu only save their national treas
es While depicting ours, and without
70 70; :, posslole reflection in the bread price
" sneir people which Is already fixed.
-, IN America flour is so per cent. of
n n'e Hhal Wholesale cost of bread, and so
yer cent is made up of labor, other in
ss'eulehts and delivery. Roughly speak,
10 reduce the 10 cent loaf OF bread
,s, cents 65 cents per bushel must be
M" M" from the price of wheat II flour
nv. supplied to bakers free (the present
VI labor and other materials re-
,ai'ihs the sameJ We could hardly at
"in retail cent loaf.
Oh, bread, fortunately. is already the
!. eapest item in the diet. At 265 pounds
si hour per person per annum, flour
~ Vne covers between 80 per cent. and
~ per cent. OF the entire diet, in terms
~ eelores' In other words, about. 81 6 |
A.. year buys over one-third of the in |
W. food, and IL all other foods
80 al the same rate the total cost of |
IA per person per year would be about |
AZ ~ 90 or total national food bill of |
sSo,nOVv,ooO'OoO. instead of $4,000, 00O.- /!
Nv as at present calculated. This Of |
: &C.. Is lmpracticable, but let us spend \