New-York tribune., 1919-05-17
Barnes Wants Corn
Trades Limited to
100000 Bushels
President Chicago Board of
Trade Agrees to Lay Mat
ter Before Executives at
Wheat Directors Request

As the result Of a conference be-
tween Mr.. Barnes and L. F. Gates,
president of the Chicago Board of
Trade, Mr.. Gates agreed to put before
the executive oficep of the Board the
suggestion of Mr.. Barnes that the ex
change revive the rule limiting the
amount of open trades in corn, for
any one interest or individual, to
100000 bushels. Mr.. Gates said he
had no doubt the outcome would be
satisfactory to the Wheat Director,
and the latter declared that if his
suggestion was adopted, he would feel
justified in cabling his chief, Mr..
Hoover, that further regulations might
not be necessary. Mr.. Barnes en-
phasized the fact, however, that the
boarding provisions of the food ad-
ministration law would run against
purchasers of contracts for future de-
livery on the exchanges when made in
such quantities as to fall within the
limitations of the boarding section;
This law will remain in force until
the proclamation of peace.
julius Barnes, Federal wheat d.
rector, was instructed yesterday.
through receipt Of ar order signed by
President Wilson on Wednesday, ito
exercise authority to license the wheat
handling trades, to make regulations
TO assure the guaranteed price of
wheat being fully effective, and to
exercise other powers granted bv
Congressional legislation.
food administration grain corporation
to alter its corporate name to United
States Grain Corporation after july l.
1919, and directed the grain corporation
TO increase its capital stock from $780,.
100000 to S5Oo'OOO,ooO All the stock
OF the corporation will be held by the
President of the United States.
Mr.. Barnes has been in conference
mere with representatives Of the vari-
Gus wheat trades to formulate contracts
between the grain corporation and
mills and grain dealers, including iob.
bers and bakers, and these plans are
taking form rapidly.
Early in June there will be called a
general conference of delegates from
interested organizations, including
growers organizations in New York. to
discuss the plan Of operation. At that
time the grain corporation will listen
to suggestions for any modification
proposed in the contracts thew are now
working out, and by July l it is an
ilcipated that the new licenses and the
new contracts will be in general use.
THESE contracts are aimed to provide
that, throughout the United States,
wheat in the berry shall sell aways
at S2.26 or it's proper relation, so that
the producer, everywhere, will get the
full government guaranteed price.
II, thereafter. it becomes necessary.
IN order to fairly reflect a proper
world value of wheat to the consumers
of this country, the readjustment will
be made on the manufactured product
through mills. Under the safeguards of
such contracts and by contracts with
the Jobbers and bakers. this readjusted
price will be then quickly reflected to
the final consumer
Mr.. Barnes made it clear that there
Is nothing in the situation as to the
OLD crop of wheat and -four and prices
ruling thereon, to justify an expecta
ton of lower bread prices until the
new crop begins to move, in about six
weeks