The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1920-05-06
BARNES FEARS
WHEAT MARKET
Calls Conference In Chica.
go to Consider the
Situation
WOULD PROVIDE
AN OPEN MARKET
Wants Producers Protected From
SPECTATORS - Present Prices Are
Artificial and Controlled BY Heavy
Foreign Demand.

SANAoAA
NEW YORK, May 6.-Plans for a
national conference to discuss methods
of re-establishing a free and open mar
ket for wheat through the grain OK
changes of the country upon the APP
preaching termination of the authority
of the United States Grain Corpora
ton on June /, are outlined in a letter
sent out by Julius II. Barnes, United
States wheat director. Representatives
of wheat and flour trade organizations
and newspapers are invited to send rep
rcsentatives to meeting at the La Sale
hotel, Chicago, on May Z, to confer with
Mr.. Barnes ON suitable measures to be
taken "to provide for and to permit the
establishment of a free and open market
for the purchase, sale and handling OF
wheat and wheat products upon the
expiration of the wheat guaranty act.
"Problcms of great national I'M
portance make such meeting impera-
tive in the public interest at the earl
lest possible moment, Mr.. Barnes de
clarcd cone is the present level OF
wheat prices, kept far above that OF
the United States guaranteed price by
export buying of wheat only, which IN
addition to being artificial and liable
to stop at any moment, handicaps our
own mills and results i'll underproduc-
ton of mill-feed for our dairy industries
Another is the apparent reluctance OF
IL. |, 4 IN 10 Z I
conditions Of open trading and reestah-
lsh the hedging facilities which have
been suspended during three years OF
government wheat control.
'This attitude of the exchanges Is
due largely to the extraordinary trade
hazards resulting from world disorgan-
ization. Exchange hedging facilities
upon which wheat marketing depended
for years prior to the war must be re-
stored by individual initiative before
the underlying security provided by the
Grain corporation is withdrawn Other
wise, the country faces risk of wider
margins between the producer price and
the consumer price and consequent hard
ship to both. =
Foreign buying Of wheat, largely con
ttHlIdltil III lllt udiilS VI SONt liltttHb q
at the present time, Mr.. Barnes said, il
forced by bread subsidies abroad anC
by the inability of their war crippled
private agencies to "carrv at high val
ucs sufficient stock and sufficient flow
for assurance of the bread requirement
of their people," He added that the de
cision of purchase and prices paid rest
in a few officials. and it is measurabl,
true that these officials, with or with
out concerted action, can influence tn
price level for America
The letter makes this remarkabl
statement: /" Because of these influences
the wheat producer received large
per cent of the ultimate consumer pric
at home and abroad than in any othc
land or any other commodity This
now ieopardized by conditions tina
should be understood by all The chic
hazards rest on inadequate inland trans
portation, and on foreign buying don
mated by governments Liquid milan
transportation is essential if the pr,
Queer is to find a ready market, an
at a fair reflection of the ultimat
markets.
lie adds: "Prescnt purchases. col
fined to wheat because of desire fl
home employment, ignore flour, and OF
mills suffer a completely artificial han
leap This reflects into underproduc;i il
Of mill -feed for our dairy industries
wheat price, advanced in this mann
under export buying of wheat only. lac
even the cushion Of current flour ma
ket protection against too rapid f.
should foreign buying for any reas,
discontinue. Wide and rapid fluctu
tions in prices are to be expected ma
urallv, from fluctuations in overseas g
change, unusual ocean frcights, the lii
itations of credits, outside of the ar
fetal influence of the views of forci
government officials =