The weekly times-record. (Valley City, N.D.) 1912-1922, 1922-09-21

the North Dakota farmer is about
1900 miles from the New York har-
Dor. Nearly all of our wheat destined
for foreign markets travels the Great
Lakes from Duluth to Buffalo using
the rail and canal systems and then
down to New York where terminal
charges must be paid and where the
facilities are inadequate. The freight
charge on a bushel of wheat carried
by water either from Chicago or Du
luth, 1000 miles, to Buffalo is two
cents or less. Add twelve cents from
Buffalo to New York or Boston max
ing a total of fourteen cents per
bushel. If we construct the St. Law
renee Deep Water Way, this wheat
instead of being diverted at Buffalo
will go down the St. Lawrence past
Montreal and into the world markets.
Our best experts estimate that to send
wheat by way of Montreal the addi-
tional cost would be three or three
and one-half cents. AS the rates
from New York and Montreal to Liv-
erpool are the same, this means
saving on every bushel of wheat to
the farmers of ten cents. 1t is gen.
orally agreed that water rates on the
Great Lakes average less than one
mill per ton mile, while the rail is
fifteen mills. If our wheat was ship
pepd thru the St. Lawrence Deep Wa
ter Way, it would be $50 miles near
err to the Liverpool market.
1t is estimated that the total cost
of this improvement would be $780,
100000. The bonds which would be
issued for this work would be paid
for in two ways, first, by navigation
charges and secondly, by the sale of
electricity developed from water pow
err. 1t is estimated that the total
power which is capable of develop
ment upon the St. Lawrence is equi-
valent to that to be produced by thirty
million tons of coal; and to produce
this amount of coal and deliver it
takes the labor of approximately 1OO,-
900 men. This power if developed
can be made available to all of the
New England states except a part of
Maine and all of New York and the
cost would be greatly less than the
cost of power produced from coal.
If rail tonnage continues to in
crease as it has for the past thirty
years in which it has doubled about
every ten years and in 1920 was 446
billion ton miles, it will be absolutely
impossible for the railroads to take
care of the increased tonnage.
We get some idea of the tremend-
Gus saving when We consider that the
cost of carrying 1000 tons by water
or 100 tons by rail is equal over the
same distance. No additional taxes
will be levied for this project as the
cost will be paid by bonds issued by
the Governments Of the two countries
interested and the project, from pow
err and navigation receipts, will pay
it's own way.
Another important factor in secur-
ing a reasonable price for the farm
ers' wheat is the lack of orderly mar
keting. We should establish ware
houses in which the wheat could be
stored, negotiable receipt issued and
loans made to the farmers on these
negotiable instruments which would
also be protected by insurance In
bonded warehouses. This system
should be so operated that a farmer
could take his storage ticket to bank
and borrow what money he needed
and the bank in turn send the notes
and the collateral to the Federal Re-
serve Bank. These loans should be
recognized and encouraged by th<
Federal Government. Today, in or
der for the farmer to get money, it is
necessary for him to sell his crop
Certainly, great Improvement car
be made on sound banking principles
by extending such loans to farmers
This would insure an orderly market
ing of the great wheat crop and 9th
err crops from this state. The tobac
CO farmers have solved this problem
In Kentucky the growers last veal
pooled their crop, stored it in ware
houses, established grades, and stand
ards, borrowed money on it and the1
sold it in an orderly manner instead
of dumping it in the market at ser
les of auction sales. The tobacco
growers of Virginia, North and souti
Carolina decided to follow their ex
ample. The Tri-State Tobacco Grow
ers Association was formed and i
; now has a membership Of about Is,
, 900 members. One Of the requisites
| of membership is the signing OF