The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1929-08-30
FARMERS ADVISED
TO HOLD GRAIN

/ n
Grain to Store it-Assorts r. u
ers are Unable to PAY Harvest
ing bills Without Dumping Their
Graln on the Market.
The following statement Of w
nj. Thatcher, assistant secretary ~
the organization committee of si ~
teen is from the st. Paul Pioneer
Press. 1oiieer
With a nine day embargo on
oraley, oats and rye becoming ef-
Iectlve on all northwest railroads
at midnight Thursday, northwest
representatives prepared to ask
that the new federal farm hoard
and its operating agency. tbe
FARMERS National Grain Corpora.
ton, now in process of organiza-
ton, take immediate and drastic
steps to alleviate the acute cron
marketing situation.
nj. w. Thatched of st. Paul. as
sistant secretary of the organiza.
ton committee of sixteen of the
new grain corporation, announced
That he will meet with the COM
mlttee In Chicago Monday and urge
haste in proceedings; also that
such cooperative terminal assoc,.
ations as have marketing facilities
be conscripted so as to permit the
farm board to extend Immediate
rellef to the grain producer.
HAD this orgzinaait pinghteps
"Had this organization, the
Farmers National Grain Corpora
ton, begun functioning under the
farm board even 80 days ago." Mr..
Thatcher said, "the price of wheat
would be 80 cents a bushel higher
than it is today"
He pointed out that on MINNIE
apolis market, Thursday, Septem-
Der wheat sold cent; higher than
cash wheat SO the producer selling
his grain now is being forced to
take loss of nearly a cent a
bushel day for the eight market
days remaining until September de-
livery.
"Acuteness of the situation" Mr..
Thatcher said, "lies in the fact that
the farmers are without money to
pay current harvesting bills with
out dumping their grain on the
market.
"Had the farm board started
functioning six months ago." he
said, sit could have arranged to
help the farmer hold back his crop
in storage and to obtain advances
on it. Then he would not have to
dump it on the market, but could
have held it for a favorable mar
ket regarded as certain to occur
within a few months. In that event
there also would have been no ter
minal congestion and no need for
an embargo.
'The farmers National Grain
Corporation" Mr.. Thatcher ex-
planned, lis the designated funnel
through which the federal farm
board will advance money to per-
NIT of orderly marketing.
eve are meeting Monday only
for an organization meeting, to
consider and probably adopt proper
articles and bylaws. We cannot
yet actually discuss functioning.
"This is an acute situation as a
result of which the farmer forced
to sell enough of his crop to pay
his bills is taking a tremendous
sacrifice in the price he gets for
his crop.
eve are going to urge that the
farm board within ten days take
over, conscript if you please, exist
ing terminal marketing associa-
lions and their facilities, such as
for example, the Farmers Union
Terminal Association of st. Paul.
"These associations have ma
chinery for marketing and for ex-
tending credit on storage certifi-
Gates. There are other in Omaha
and Kansas City.
"With the direct contacts estab-
lished through this machinery, the
farm board and the Farmers Ma
tional Grain Corporation, as the
agency of the farm board, could be-
gin loaning money to co-operatives
so that they could obtain much
needed credit accommodation.
intermediate credit banks are
loaning money to existing cooper
alive organizations. North Dakota
and Montana each have new laws
providing for farm storage OF
grain. When graded and certified
farm granaries become bonded
warehouses. Storage certificates
are issued by the state which car
be used as collateral for loans.
although Oliver Knudson Of
Fargo has been appointed NORTH
Dakota commissioner, the office
has just been organized, and be
heve no storage certificates have
been issued, although the grain il
: rapidly being harvested.
"In Montana, however, the agen
CIV was established at once and il
functioning well.
? at is all very WE'LL" Mr.. Thatch
er concluded, "to urge the farmer
to hold their grain, not ship it Il
market where it will block termi
nails and hold down prices on |
flooded market. But it is anothe
thing to show that farmer some
thing with which to pay his cur
rent bills while he Us holding hi
n grain. He must be able to CONVEX
: that grain, stored in local ware
e houses or on his farm, into enougl
? ready cash to meet the bills n
I must pay in cash.
another move for relief of tn
: producer and small elevator opel
| ator was to get under way at 2
d m. today when representatives o
railroads, grain interests, the ship
pers advisory board and the Mir
o. ~oI;e obo,,,bar of commerc