The Kendrick gazette., 1920-12-10
The Wheat Situation
By A. N. Rognstad

A subject of vital interest to
farmers was discussed IN an article
written by Mr.. F. W. Lutz, and pub
llshed IN the kendrlck Gazette Of
December 3rd.
In view of the fact that the i'm
preston contained in MIR. Lutz'
article that there is World surplus
of wheat, feel it my duty to pres
ent few facts to show that this is
incorrect.
The World is short of wheat, the
United States is over-sold and prices
certainly must go higher.
A recent report by the Jnterna-
tionaI Agr icuituraI Institute, with
headquarters at Rome, Italy, esti-
mates wheat for 1920 I'M Belgium,
Bulgaria. SPAN, Finland, France.
Italy, Netherlands, Sweden, Swift
erland, Canada, United States,
Guatemala, British India, Japan,
Algeria, Egypt and Tunis at 258,-
$4,000 quarters or SO percent of
the average previous tve years.
In orther words, the Worlds
wheat crop, two years after the
signing of the armlstice is actully 2
percent below the preceding year
average.
DR.. Alonzo Taylor OF the Unlver-
sity of Pennsylvania, who was one
of Herbert Hoover's experts dur
ing the World war, in a notable ad-
dress recently before The Land
Grant College meeting in Mass
achusetts, proved by mass of sta
tlstical data that there is no World
wheat surplus and that the entire
American crop will be needed dur
ing the year of 1921.
The American Farm Bureau Fed
Grafton, with headquarters at Wash
Ington, D. g., state that crop re-
ports show the wheat crops of the
northern Hemisphere to be more
than 100000, 900 bushels under that
of year ago. That the crop of the
United States IS l90, 600 900 bushels
under that of year ago and that
the combined crops of the United
States and Canada are 1000. 900
bushels under that of year ago.
1t is claimed by experts that out
of possible export surplus of $780,
OO,0OO bushels in the United States,
that 200, 900, 900 bushels have al
ready been sold. The speculators
who sold this wheat to foreign
buyers are now manipulating the
market in order to buy as cheaply
as possible to fill their contracts.
1.-The Chicago Board of Trade as
now conducted" said Senator Cap.
per "is the Worlds greatest gamb'
ling institution" More wheat
was sold in the month of October
than was raised in the entire Unit
ed States this year. This year, corr
crop was sold ID times in Chicago
before bushel of corn had reached
the market. The 1919 wheat crop o1
the United States was sold lS time:
in Chicago.
The average price of wheat fol
= the 3 years prior tc 1917, when the
Government fixed the price o,
wheat, for the period from July
to Nov. l, was IS cents per bushel
The average price Ut wheat fol
the same 3 years, but from Nov.
to July /, was $l.25 per bushel, ;
difference of 40 cents per bushel.
For the same period from July
to November l, 85.9 percent of tn
wheat passed out of the farmer
hands. I do not believe that an!
banker or businessman would con
slider this good business practice.
The United States Bureau o
Crop estimates show in their las
report that the 1920 wheat crop o
the United States is 750.648 90
bushels or as stated above 10000
600 bushels under that of year age
Deductlng the exDortable surplu
of 25O,000,0O0 bushels leaves ar
proximately 10000. 900 bushels fo
home consumption. Again report
show that about so percent of tn
1920 crop isstill in the hands of tn
farmers, which leaves not to e,
coed $50 or 200 million bushel.
available for immediate use.
In normal times this amour
would have been in the hands c
wholesalers and retailers long agt
but instead of the wholesaler bu,