Evening star., 1924-08-27
FLOOD Of WHEAT
ALARMS MONTREAL
Poor Foreign Buying Means
Heavy Losses to Shipping
Interests in Canada.
BY j. G. ROYLE.
Special DiSpat!

Special Dispatch to The Star.
NEW YORK, August 27.-The
port of Montreal is bursting with
Canadian wheat and shippers thereof
are bursting with rage as demurrage
bills and warehouse, elevator and
other costs are piling up. MontreaTs
ocean going traffic has Increased so
extensively of late years that port and
terminal facilities have not been able
to keep pace. Vessels coming in from
Port Arthur and Fort William, the
Canadian head of the lakes, frequent
ly are long delayed in discharGing
cargo while their daily costs for crew
and other expenses continue without
return.
The present congestion. however, is
the greatest ever experienced in the
history of the port. There are today
over 100000 bushels of wheat in
the three elevators there, while load
ed grain boats are lying as thick as
they can find berths. There are be-
tween so and 60 boats unable to un-
load owing to the congestion Some
or them have been in port since
August 13. Vessel owners say that
continuation of this situation means
either a serious financial loss to them
or an advance in the transportation
rate of grain to Montreal
blOcheN WIN tf11n.
The problem of clearing the port
has been complicated by the fact that
European demand for Canadian grain
has fallen TO small proportions When
the price on wheat went up in the
United States and in Canada as a
result of the estimates for small
dominion crop and a reduced Ameri-
can production. growers rushed their
wheat TO market. But buyers on
the other side seemingly ceased to
purchase in the hope that more favor
able weather would increase the
yield in the Canadian prairie province
and cause lower prices.
The port is just blocked with
grain, said T. F. Trihey, secretary
TO the board OF Montreal harbor COM
missioners. The grain is here and it
is not being moved. At present we
have 100000 bushels stored and
have handled SO far this year total
of 11,797,000 bushels. They are not
buying on the other side. The full
reasons why they are not, we do not
know
Farmers Anxious to Sell.
Harvest is now on in the Canadian
Northwest. New crop grain is moy-
ing to the elevators with farmers
anxious to sell at present high prices.
So far, the volume of Canadian grain
moving through American lake ports
to New York and Philadelphia by
rail and barge canal is not large
but unless Montreal is unblocked the
overflow probably will be directed to
those outlets.
This will not be particularly easy of
accomplishment, for with Canadian
boats tied uD in the st. Lawrence the
bottoms available to handle grain from
Port Arthur and Fort Williams to Buff
falo and other ports on the American
side Will be limited. American vessels
have been fighting shy of this trade
because of their Discrimination to meet
the requirements imposed by the Cana
dian shipping regulations. The effect
of the congestion at Montreal has been
felt by American shipping men who
are interested in vessels under Cana
dian registry operating in Canadian n
coaStWiSe trade.
Better Demand Must Come.
The European demand however. is
bound to be strengthened sooner or
later by the fact that in 10 European
countries wheat harveStS are reported
16 per cent below those of last wear
The wheat crop of England and Wales
VIII amount TO only about 5O503. 900
bushels, or 100000 less than last
year. The latest estimate of the Hun
garlan wheat harvest is $4,000. 900
bushels below the yield of 1923. while
the Polish crop has fallen off 1000 900
bushels. Indications from Germany
and France point to yields above the
average, but there has been curtail-
ment of acreage in France and heavy
abandonment in Germany, so the out
turn may be no larger than last years
AS to world supply, the 19 countries
in the northern hemisphere which
have reported mot including Russia
China. Germany and France) report
probable production of 2099. .OOO. 600
bushels, compared with 23S4, ,00O, 600
for 1928. This reduction is made the
more important as a factor in Euro
pean demand by the decline in the
rye crops, which last year weakened
the market for wheat in Germany
and Central European territories.
Recent U. 8. Shipments.
Cessation Of European demand
therefore is regarded as temporary
but it is probable the Montreal con-
gestion will not be cleared for some
time after buying is removed.
In the meantime the export busi-
ness in grain of all kinds from the
United States reached the highest
point in it's history one day this week,
according to Julius II. Barnes, presi-
dent of the Barnes Amers Company
and former president of the United
States Grain Corporation.