The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1919-05-07
PRICE OF FLOUR
MUST Be LOWER,
BARNES WARNS
Speaker at Chicago Hits at
Speculation on Board of
Trade in That City.

CHICAGO, Ill, May 7.-"Unless the
advance In -four prices is checked by
the millers we viii sell enough to stop
it. The millers will also be placed on
the basis of the regulations OF 1917,
with only thirty days supplies" was
the statement OF Julius H. Barnes.
president of the Food Administration
Grain corporation, In an address be-
fore the Board Of Trade here yester-
day. Mr.. Barnes reached Chicago at
noon from Minneapolis and left for
New York at 1910.
A minute before his train started he
told reporter that he had arranged
for imports of only 10000 bushels
OF wheat from Canada, and that he
would sell enough -four to stop the
advance, which, he says, is unwarrant-
ed. as no scarcity exists
Power Over Exchanges.
Asked as to the power of the Grain
corporation to regulate trading In
coarse grains on the exchanges, he
said it had none, but the food admins
tration had.
Mr.. Barnes talked rapidly and said
a number Of things in the open meet
ing. Referring to the exchange, he
said:
Il tell you frankly that when a
huctuation In corn occurs such as on
Monday, in which q decline of 10 cents
to IL cents was followed by reaction
Of cents to 6 cents, at q time of the
year when no growing crop of corn
Is endangered, and when such f1uctua-
tons are rapidly made and occur on
such slight cause, 1t is well to con-
slider whether 1t is not clear indica-
10 nV1tr ~ IT,
facilities of speculation on so large q
scale that it is overwhelming your
legitimate functions These functions
of furnishing security to country and
terminal holders. or providing secur-
ity against unusual market loss to
those engaged In handling the actual
crop. may we'll be overwhelmingly de-
feated by the volume of speculative
trade itself"
Tells Of World Conditions
The United States, Mr.. Barnes DO
clared, is the only country with sufi.
cient food for its needs, and this ques-
ton has not been overlooked In a
desire to feed the world He said he
was in favor of removing regulations
governing food prices, but unless a
fair price is maintained 1t will be
necessary to keep the restrictions on
-four
Acreage in the allied countries this
year is short and In the central EN-
pires acreage is only "a per cent oil
normal, he added. He declared he be
lieves that Germany should be made
to pay for supplies, as charity is not
a factor in dealing with her.
He asserted interested authorities
abroad are deliberately trying to ere
ate the impression there is a stupen
dous wheat supply and are venturint
even to forecast the exact price i
which the American crop must be mar
keted, the favorite basis being $1.2:
per bushel.
Neutrals Eager to Buy
This, he said, was in spite of thu
fact that with the second largest croI
ever raised we were denying the op
portunity to neutrals to supply thei
urgent demand when they would g1adl,
pay $3.50 for the privilege, so that on
own people may not be forced to pa,
more than a fair price basis during
the life of the food administration.
A meeting of all grain interest
with millers, bakers and others ha
been called by Mr.. Barnes to COME
with him in New York, May Is, +
talk over the wheat situation and wha
is to be done In handling the neN
crop soon to be harvested.