The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1920-04-09
Prices Based on Louisiana Crop Fall
Congressional Co m m IL { q Q

Poland to Get Grain Corporation
Flour-Reeds Wants Senate Inves-
tigation of Charges by Spokane
Federal Grand Jury on Wheat
NEUTRALITY-SUSPICIOUS. Give Con-
sumers Case Against Packers.
Washington, D. C.-One-fortieth Of
the sugar used in the United States
is produced in Louisiana. The Louisi-
ana crop last year was a failure
only about one-third Of normal. Its
cost per pound was ruinously high.
But then so was the cost of the
wheat raised in eastern Montana and
western North Dakota, on the aver
age, any time these past four years.
The American public was not CON-
PEELED to pay for it's flour and its
bread price high enough to yield a
profit to the farmers who harvested
four bushels per acre in the drouth
area of the Northwest.
Cuba's sugar crop last year was
100000 tons, or enough to supply
the United States. 1t was offered to
the United States government at 6h
cents a pound. Seven members of the
sugar equalization board, appointed
by the president, urged that this Of
fer be accepted, as had a similar Of
fer the previous year. One member
advised against it. Herbert Hoover
advised against it The president took
Hoovcr's advice, although Hoover had
been out of the country and knew
nothing Of the situation. The Cuban
offer was made first in August and
again in September. Meanwhile the
high retail price and the scant supply
of sugar had become a national scan
dal. The president again refused the
offer of the Cuban crop, which would
have made the retail price of sugar
in the United States II or IL cents
pound.
PALMER'S TELEGRAM
Then Attorney General Palmer,
who had announced himself as the
Jack who was to kill the Giant of
high prices, sent this telegram 70
United States District Attorney
Mooney, ut New Orleans, on Novem-
Der S:
"Your wire of the 9th, detailing re-
suits Of conference. Consider agreed
price rather high, BUT HEREBY
CONCUR IN MAXIMUM FIXED
PRICE OF II CENTS FOR LOUISA
ANA PLANTATION CLARIFIEDS,
10 CENTS FOR LOUISIANA CLEAR
GRADUATED. understanding that
all contracts for higher price to be
abrogated. Further suggest, if pos
sible, you secure an agreement in
writing by authorized committee Of
Louisiana producers and refiners, to
be used as prima facie evidence where
prices are charged in excess of agree
ment. You are hereby instructed to
Immediately prosecute any violator of
th;c ,rrooI nr;rnc DAJ hFI,p1s
This telegram, according to Mr..
Zabriskie Of the sugar equalization
board laid the basis for an immedi-
ate increase in the price of the Cuban
crop to match the fixed price" which
was to be paid for Louisiana sugar.
Today the people Of the United States
are engaged in paying about $780,
100000 more for their sugar for the
year 1920 than would have been the
case if the president had bought the
Cuban crop and if Palmer had not
made his deal with the Louisiana
The house Of representatives is so
worried at this deal in sugar that it
voted, by 1863 to 1874, to conduct
thorough investigation into the whole
scandal.
SOLDIER BONUS MOVES
Bonus legislation for war veterans
has been pretty fully threshed out in
hearings before the ways and means
committee, which has been forced by
public opinion to decide that some
thing must be done for the boys who
served with the colors. 1t now seems
likely that the committee will report
q bill giving 81 q day for the time
served by each man, with q minimum
payment which will be fixed some
where between SIS and 1925.
The American Legion Spokesman
asked that the veterans be each Of
fered three alternatives vo-
cational training or a $50 bond, or
chance to develop a homestead on
land to be reclaimed by the govern
ment for their use.
The Veterans of Foreign Wars sug-
gested $l-u-day bonus, with 500
additional for those who went over
seas.
The World War Veterans, Inc, and
the Rank and File Veterans associa-
ton asked for 81 day, with a mini
mum of $3.50.
The Private Soldiers and Sailors
Legion asked for a $500 lump sum
payment.
Most of the organizations are
agreed that vocational training is of
great Importance, but that it should
be dealt with in a separate bill and
not confused with the bonus issue.
Veterans or others desiring to ex-
press opinions on these points should
promptly write to Chairman Fordney
of the ways and means committee of
the house, or write Congressman John
N. Baer or Congressman J. H. Sin
clair, House Office Building, Wash
ington.
-4.Is
FLOUR TO POLAND
Fifty million dollars is about to be
given by congress to relieve starva-
ton in Poland, Austria, Armenia and
other regions Of central and eastern
Europe and the Near East. Director
Barnes of the grain corporation
came before the house rules commit.
tee and stated that this ought to be
done at once, but that whether or not
congress furnished he ready none!
he was going send 100000 bar
rels of -four, now held by the grain
corporation and likely beginning to
= SDOi} as soon as warm weather ar