New-York tribune., 1919-08-27
Grain Corporation
Decides Scale of
Prices for Wheat
announcement of Basis for
Purchasing Lower Grades
To Be Made sat Once;
Few Buyers of Flour

.rnouncemcnt that the United States
lain Corporation would at once de-
W. the basis on wMch it will pur-
GO Iass the various lower qualities Of
usaat srat was made yesterday by Julius II.
ss-nes United States Wheat Director
p. scale will probably be made known
's The decision to take this step fol-
,.asd an all-day meeting at the Offices
:; the Grain Corporation at az Broad
'. Wv during which the subject Of wheat
srsd;ng and the prices received by the
:.rn,er we're discussed with various
ssn,hers OF Congress. representative
4 farmers organizations and vice
.rssdents of The Grain Corporation.
Nr. Barnes stated that the Grain
Corporation would follow this course
.s protectio- 10 the producer against
a,derpaymen: a. of the proper relative
sslue Of his wheat. and in order to re-
.ssure country buyers of the ultimate
rslue Of lower grades on arrival at
10 terminals l. has not been neces-
ssrv for the Grain Corporation to an
sonnes a basis on which to buy lower
onalities Of wheat for tho past two
ysars because of the prcpondcrance Of
iirh-crade wheat N past crops. The
wheat director urged that every pos
s;bIe consideration be given the pro-
ireer unfortunate now in the charac-
ssr Of his yield, ard the establishment
n basis as close to the guarantee
orce OF No. as could be justified by
;ntsrpretation in favor Of the producer
Of every practical doubt.
MIR parres pointed CUT that the rel
.tiye prices which the Grain Corpora
ION might fix would bear Il relation TO
.he guaranteed price at the terminal
markets only. and not 20 the current
nrice. which in such markets as MIN
neapol;s is ruling 80 to 40 cents above
me guarantee basis, and that no at
tempt would be made by the Grain
CORPORATION 70 reflect an premium
basis above the actual guarantee price.
He added thar with the execution of
1900 contracts between the Grain
Corporation and country mills and
dealers any producer who felt that he
vas not being fairly treated in grades
and prices could by submitting a SAM
pie through the mails receive deci-
SION binding on the buyer as to the
propey relation 70 the guarantee No. l
vrice at the terminals, but not as to
currently ruling in the terminals and
ing.
It was pointed out that large pro-
portion Of the crop in the Northwest
lad been shrunk and damaged, but
that the wheat contained high per
centage Of gluten strength. Director
Barnes said that after announcement Of
the scale country buyers must pay to
the producer not less than the freight
and handling charge relation to the
Grain Corporation terminal prices.
Flour Goes Begging
1t developed, also. that the govern
ment has been Offering unlimited guam
titles Of -four at $3.50 barrel, and at
slO45 in wood, but has been unable
to attract buyers. For ten days. it
seems, advertisements have announced
-four for sale at that price +. o. b. New
York for delivery to any place IN the
United States 10 wholesalers. but up
10 the present time only three carloads
had been ordered, two Of these having
later been recalled.
1t was explained by grain corporation
officials that the -four is of soft wheat,
and that the paople Of the United
States will not buy anything but hard
winter wheat -four. which IS selling at
1885 in bags retail, and S14.25 in
wood. Soft wheat -four. il was explain
ed, however. Is as nutritious as the
hard wheat variety, but has a slightly
different taste
Congressman George NJ. Young. of
North Dakota. who is chairman of the
delegation OF Representatives. declared
that if the new scale does not effect q
reduction in the price OF any OF the
grades Of wheat, it VIII, however. assure
to the consumer better grade of flour
for his money.