Free trader-journal and Ottawa fair dealer. (Ottawa, Ill.) 1920-1927, 1921-08-13
RAIL RATE DROP
SPURS. BETTER FARM
PRODUCT PRICES
WHITE HOUSE BULLETIN SAYS
GENERALLY BETTER coNoI.
TONS ARE COMING, WHICH
,ebENTIRE AGRICULTURAL INTER
lFSTs WILL SHARE.

Washington, Aug. tS.-7Strong hope
for better prices in the agricultural
markets Is justified by reductions IN
The railroad rates on grain for eX'
port, already in effect and proposed,
according to statement at the White
House last night.
Recent reductions in the export
rate on grains between Chicago and
New York, the statement said, Will
be followed by sweeping revisions OF
grain rates generally. including those
f. from Mississippi river points and on
the lines to the gulf, in order that
the entire agricultural interests may
share fully.
Better Markets Predicted.
"In general" the statement con-
tinued, advances in freight costs are
passed on to the consumer by adding
them to the selling price. But in
grains. whose domestic price is domi-
mated by the foreign price of the ex-
ported surplus, the producer suffers
when rates go up and benefits when
they go down. Therefore, though the
exports represent minor share OF
the total grain production. the low
ering OF export rates affects the en-
tire crop These reductions of rates,
together with the arrangements for
financial assistance to export trade
and the assurance that Europe is 60
ing to need extraordinary quantities
of American foodstuffs, constitute al
together a justification for strong
hope that the tendency in the agri-
cultural markets will for some time
be decidedly toward better prices"
Canadians On the Job.
Moreover, the statement said, 1t
was discovered under the old condi-
tons that the Canadian railways and
ports were getting the lions share of
the grain shipments to Europe. in
eluding quantities of American
grain.
ITO meet this condition" it said,
land insure that the American pro-
Queer would not only get his full
share of the sales in foreign markets,
but would also get the highest posi-
BILE price, a movement for reducing
export rates was 'inaugurated by the
administration"
Wool Industry PeriIed.
washington, Aug 13.-The sheep |
raising and wool industry of the
United States is facing annihilation. |
C. J. Everett of Chicago, director OF
wool marketing of the American
arm Bureau Federation, today told
the Joint congressional commission OF
agricultural inquiry. ss
"ConsnmerS of sheep and wool will
be compelled to rely upon foreign
production for more than 400 100000
pounds of wool and our entire sup
ply of mutton annually, and the bill
If foreign producers will be around
$50, 100000 each year if the sheep
industry continues in the dilemma 1t
has been indurng the last year he
said AEF .ttf &fftLJ E i
1T is estimated today so per cent
of the western growers have liabili-
ties greater than their assets, and |
this spring flocks were mortgaged at
So to $12 a head. We have a year
and halls supply of wool on hand
prices are only one-third to one-half
of those a year ago, freight rates are |
dblliODl duu WOOl SiOWClo
did not participate in the advance in
prices during the war to the extent en- |
ioYed iby many other producers.
rid sheep industry would be |
bankrupt il forced to liquidate, and |
this. condition arises out of no mis- |
management of its own
Outlines Remedies.
The witness suggested the follow. !
ing as remedial measures which would !
assist in bringing the sheep industry |
of the country back to normal.
Reduction in cost of production.
Reduction in freight rates and COM
mi ion charges.
deduction in interest rates and ade-
qr.ta financing,
More economical method Of market |
ing both wool and mutton
Pooling Of wool through growers
selling agencies.
Marketing sheep through cooper
alive shipping associations and sell
ing through cooperative commission
concerns.
A national cooperative law per-
hitting cooperative marketing of ag-
ricultural products.
A more liberal attitude by the fed. |
eral reserve system in regard to fl. |
nancing agricultural commodities Sc
CURED by bonded warehouse receipts. |
no IN riff