The sun., 1919-07-29
CANADA PUZZLED
BY EXPORT WHEAT
Conference Called to Dispose
Of Crop Faces Many Dis
turbing Elements.
SHIP PROBLEM SERIOUS
Farmers Who Did Not Mako
Demand for Fixed Price
May Get So.
special DespateA to Tnn sur.


OTTAWA, July 2s.-Arl the elements
that make for serious trouble were pres
ent in connection with a conference that
opened here to-day to decide on how to
handle and where to cell the export
wheat crop. Sir George Foster presided
ana there were present T.. A. Crerar,
ex-Minister Of Agriculture. representing
the United Grain Growers Of Manitoba ;
y. Robertson. British Export Mission In
New York; James Stewart, Canadian
Wheat Export Director; e. w. Beatty,
president Canadian Pacific Railroad,
and representatives of the millers and
farmers, though the Canadian Council
of Agriculture as such was not repre-
sented.
Rains Of the last week have improved
the crop prospects and II Is stated that
there will be 100000, 900 bushels of
wheat for export. But the combined
problems of shipping, price and finance
demand definite action. At the present
time the British Government requires
about 10 per cent. of all Canadian ton
mage. and that amount is likely to be
needed for some months. Most of that
tonnage is used for Transported Cana
dian troops and freight, but 1t is with
drawn from the open market Strikes
are seriously lessening the ships avail
able For the first time IN years the
royal mail out of Montreal will next Sat-
urday be put aboard the freighter Turco-
man. White Star Dominion, Just into
port bound for Avonmouth, in order to
prevent any delay. II the British Gov
eminent buys the crop 1t will also ar
range for the tonnage. but the deal Is not
closed.
Early in 1917 Canada had a large
~ uyhn httf
shipping problem was at that time be-
coming very acute. The Australian crop
could be purchased for $1.19 but could
not be landed in England except at very
high cost. A British offer of S1.29 was
made through the Minister of Trade and
Commerce, Sir George Foster. After ne
gotiations the Canadian Council Of Ag-
riculture decided to accept $40.
Meantime the United States entered
the war and soon after fixed the price on
wheat at s2.20. The Canadian price was
put at that and Mr.. Foster and the
farmers were willing to forget things,
But the Canadian Government did not
guarantee any price on the 1919 crop.
October options on the Winnipeg mar
ket closed at s2.4515 to-day, December
at $2.42. That begins to look like $3.50
or SO wheat, and the farmers who did
not demand a fixed price-T. A. Crerar
Is one of them-are free to hold out for
an open market.
They claim that wheat was worth
away above the fixed price in the last
three years; that they have been forced
to pay the profiteers the top notch for
commodities 1t is their turn now.
Minneapolis grain men are credited
with boosting prices at Winnipeg to ere
ate a situation which will make it diff
ficult for the Canadian Government to
market the entire 1919 export surplus in
the United Kingdom. If the British
Government refuses to pay a high price
and no deal is made. 1t will be up to
the Canadian Government to get the
| ships and the market and to finance the
crop. BY far the simplest way will be
to sell the crop to Great Britain. for be-
tween London and Ottawa the deal could
| be financed.
An issue of bonds to Finance Great
Britain would be good talk. With the
American farmers getting S2.26 for their
wheat Canadians will not be satisfied
with less. But the British can buy IL
for less in the open market, and they are
not ruled by sentiment on wheat flour
and bread.