Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1919-09-25
TO ACT ON WHEAT QUESTION.

TO ACT ON WHEAT QUESTION.
Farmers Congress Expected to Tako
Definite Stand at Kansas City.
Kansas City. Sept. 25.-The proba-
bility that delegates to the lnterna-
tional Farm Congress, which meets
here Sept, 25-27, will take definite ac-
ton in the controversy over wheat
prices fixed by the United States Grain
Corporation, was indicated in a state
ment made by W. 1. Drummond, gen.
eral manager of the congress. which
accompanied the announcement that
Julius H. Barnes, president Of the
grain corporation, had accepted an in
vitation to speak here.
Following round table discussion
of wheat prices, in which farmers and
others attending the congress will be
given an opportunity to question Mr..
Barnes at length, 'the congress may
take action in the form of passing
resolutions either in approval, in disap-
proval, or suggesting changes" in the
corporations price-fixin policy, ac-
cording to DR.. Drummond.
Mississippi Valley at critical time
when it, seemed the much-heralded
bumper yield Of wheat this year would
grade lower than No. 2. Opposition to
the grain corporations policy in
price fixing, which, altho more than
doubling the pre-war price on No. l
wheat, had also made a difference OF
more than double the pre-war margin
between each grade Of wheat, came
particularly from official quarters in
Missouri and Kansas and from some
of the leadf4 farm papers in the two
states. DR.. H. ]. Waters, formerly
dean of the Kansas State Agricultural
School, led the opposition to what he
termed an overturning of customs set
by years Of marketing experience be-
tween producer and buyer
The contention of DR.. Waters and
Of other opponents was along this line.
Under the usual system Of marketing
practiced before the war. 1t had be-
come customary to make a difference
Of about l cent a pound between each
grade of wheat. When q standard
price on No. 1 wheat, now more than
double the average price Of pre-war
days, was set by President Wilson,
the fixing of relative prices on lower
grades was left to the discretion Of
the United States Grain Corporation.
which fixed prices for those grades in
the same ration Of increase which de-
termined the increase Of No. wheat.
This system of establishing standard
prices, however made a difference OF
about 8 cents q pound between each
grade Of grain, whereas the opponents
of that policy asserted that, in deter
mining the prices for lower grades Of
wheat, the grain corporation should
have followed custom and marked the
down scale OF prices by / cent differ
ences in each grade.
" The grain corporation, 1t is said,
contended that the ratio Of increase
should be maintained for each grade.
It was contended, for Illustration, that
if pre-war prices on No. wheat were
81, and on No. 2 wheat 80 cents, and
the price Of No. should have been
doubled to 50, then the No. 2 price
also should be doubled, making It
$1.9S. Leaders of the opposition are
contending that the 1-cent difference
should be maintained, which on that
basis would put No. 2 wheat at $1.99.
The reason for this opposition, ac-
cordlng to DR.. Waters, was apparent.
In the critical days Just before the
harvest, it seemed to farmers and farm
leaders that weather conditions would
lower the grade Of the big bulk Of
grain harvested in Kansas and Mis-.
souri, to No. 8 and No. 4 grades, when
a No. 2 grading had been anticipated.
Under the grain corporations policy.
No. 4 wheat would have sold at nearly
6 cents pound under the No. Z price,
loss Of practically cents a pound
in the difference in prices fixed by the
corporation and prices declared to be
fair and in keeping with market Gus
tom by those who opposed the govern
ment price standard. 1t would. ac-
cording to DR.. Waters. have meant a
loss Of millions Of dollars to farmers of
tho middle west.
These fears Of wheat being of low
grade fortunately were unfounded be-
cause of improved weather conditions,
and something Of a lull in the con-
troversy followed, but, according to
Dr. Waters, the principle Of the cor
poration's price fixing policy is wrong,
and when the opportunity is given to
question Mr.. Barnes he declares the
leaders of this opposition will put Mis-
souri and Kansas farmers clearly on
record, as to their position in the mat
ter of fixing prices on lower grades OF
wheat. -@