The Hartford republican. (Hartford, Ky.) 18??-1926, 1919-05-09
WHEAT PLEDGE WILL
Bring PROBLEMS
Lack OF Plan BY Congress
Leaves Much To Be
= Puzzled Out.

Washington, May 3.-Embar-
RAISING complications in regard to
the payment to farmers for this
years wheat crop are raising.
How is the fund OF $1,000, 900
made available for carrying into ef-
feet the s2.26 wheat guarantee to be
used? This IS the question that the
government authorities have not yet
answered
Congress did not lay down any
guarantee plan. one method pro-
posed is that the fund be drawn on
TO pay back to the farmers any de-
fciency that may occur in the price
of wheat. Thus. for instance, II
wheat should naturally drop to $3.50
per bushel, the grain corporation
would stand ready to buy at s2.26
N else would see that producers of
grain get their full price through
bonus to them.
The recent statement of Herbert
,pNover that the price of grain would
: I've been some $3.50 per bushel had
&c not been for government interior
ence and price-fixing has put a new
face on the situation. Some persons
now predict that the price of wheat
will in fact go to some such level be-
fore the end of the present season
and that then the grain corporation
will be faced with the duty of main
tanning price Of S2.26 per bush
eli in favor of the flour miller.
New Problems Arise.
Embargoes will be removed, 1t Is
assumed, when peace is restored, and
Il will then be necessary TO settle the
question as to whether the grain pro-
dueed in this country can be freely
sold abroad, or whether the grain cor
poration is TO be permitted to take it
over at the old price. Most persons
assume that the corporation can not
take the grain in this way after the
conclusion of peace and that conse-
Quently the billion dollars may be
needed in buying the grain at higher
prices, IL established in the market
in accordance with the Hoover pre-
diction and in supplying it at fixed
price to the consumer.
The determination OF definite
policy may have to await the return
70 this country of Herbert Hoover.
Both the farmer and the consumer
of bread are demanding protection.
Senator Kellogg, OF Minnesota, who is
receiving many inquiries from the
whsat-producing Northwest, said to-
day:
LAS / understand it, the plan con-
gress had in mind authorizes the
president to purchase the grain at
the guaranteed price and to sell il at
a world market price. There is a
provision in the bill which is sup
posed to effectuate that object.
Gives President Power.
at provides that the President may
purchase, for cash, or sell, cOnsign or
contract for the sale OF, for cash or
on credit, wheat of the crops of 1918
and 1919 and flour produced there
from at the guaranteed prices or at
such other prices and on such terms
and conditions as may be necessary
TO carry out the purposes of this act
and to enable the people of the Unit
ed States to purchase wheat products
at reasonable price"
"Of course" added Senator Kel-
Iogg, 1.-The grain corporation, which is
the machinery to be used in purchase
aud have some influence in foreign
markets in fixing the worlds level
prices. because whatever amount Eu-
, rope draws from Argentina, from
Australia, from Canada and India
Wand those are the only countries
1om which the European countries
can obtain a supply-in all human
probability she must still purchase
from us 100000, 600 to $50, 000,0 900
bushels of wheat, depending upon the
worlds crop, and while we may have
a much larger surplus than that, yet
1 think anybody will realize that our
selling agency may have some in
fluence in the European countries in
fixing prices. But undoubtedly,
should there be a great world sur
plus, we could maintain the world
market at S226 bushel.
OF the $1,000, 100000 appropriated
for the purpose of holding the wheat
price at s2.26 a bushel not to exceed
100000 may be used for admins