Evening journal., 1921-07-25
MONDAY, JULY IS, 1921
NORTHWEST WOOL MEN TAKE ACTION.

CONNdETDABlsE instance OF private cooperation in
IN an effort 10 recover industry from the depres-
sion in which It has been thrown in the past year is seen
in press dispatches which tell OF the organization O the
Columbia Basin Wool Warehouse Company formed by
bankers and sheep for the purpose of rennanong
the sheep and wool industry what is commonly known
the Inland EMPIRE" all that region drained by the
Columbia River in the Pacific Northwest
As explained in the dispatches the plan which has been
put into eeot is under with banks carrying
mortgages against sheep producers and provides for
suing first mortgage paper at loan value readily dis
couniable by holding banks.
Tue result will be that the Wool Warehouse Company
composed Of associated interests, will be enabled to
extend credit facilities 10 growers
While the dispatches do not state It is altogether
probable that some such plan as this was necessary
unless banks willing to take over the property OF
the sheep and become farmers as well as bankers
This arrangement leaves the strong probability that they
VIII be able to work matters satisfactorily and in any
event accomplish better results than the bankers could
II they undertook foreclosure proceedings
1t is needless to recount various events which culm-
mated dsasrously to the growers of sheep and pro-
ducers OF wool
Durng the the Wilson administration assumed a
practical monopoly OF wool marketing.
For all practical purposes they fixed the price, deter
mined grades dictated the terms on which the wool
might be sold.
AS natural result OF this monopolistc control hs
profits Of wool men were limited
The government placed no limit however on the in.
creaslng costs Of production
It has been charged by many. with much apparent
reason that the sudden deaon in the market value Of
farm products, particularly cattle and wool was due To
deaton measures adopted by the Federal Reserve Board
Certain it Is that there was sudden coapse in tbe
market value Of sheep and wool as we'll as cattle grain
and cotton, Immediately following the announcement o,
ne policy Of the Federal Reserve Board relative 10 refusal
o. extension OF credits 10 the producers Of these COM
modties
In and another the policies Of the Wilson ad-
mnistration seem 70 have had a very considerable in
nuence in bringing about the sudden collapse in inc
values Of sheep and WOOL
Moreover, it viii be remembered that the Wilson sd
minsraon put the free list and under the fire.,
trade policy there enormous mporations OF foreign
wool which guted the American market and deprived th
American grower Of ready demand FOR his product
It has been said mat there is now practically two
years supply Of wool In the warehouses Of the world
Certain It Is that the Republican tariff policy will in
olude adequate production on wool and with this as
sorance there will undoubtedly be steady recovery in N
sheep growing sections Of The country
It is worth noting that the bankers and sheep grower
have been able 10 finance themselves without an appes
10 the Government notwithstanding the fact that IN
opvenment as administered by Mr. Wilson and his sub
ornates largely responsible fer the deporabe oou
dillon into which the sheep industry was thrown