The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1929-01-30
SAYS STORING GRAIN
Turns MARKET OVER
TOCANAD|AN WHEAT
Jamestown Elevator Man De.
cIares Legislative Propos-
ais Contain Harm
OPPOSES CUT IN CHARGE
His Business Has Experienced
Losses, He Asserts, in Try
ing to Aid Farmers

Opposition to any reduction In the
rates for grain storage by elevators
was expressed here. today, by G. B.
Nupen, jamestown elevator owner.
Proposals now before the house to
reduce the legal storage rate would
seriously handicap elevator operators
II passed. Nuper said. and would be
an injustice to men in the grain bus
mess.
Nupen is not opposed to the pro-
poeal to provide grain storage on
farms but doesn't regard the measure
as one of much benefit to the farm
er. no matter what form the law. Is
in when it becomes effective.
The present storage rate on grain
Is one cent month with maximum
Of 10 cents q year per bushel. II the
farmer sells his grain within 20 days
after storing 1t the storage Is free.
Otherwise he pays storage from the
time the grain Is delivered to the ele-
yator. One Of the bills in the house
would make the rate one-half cent q
month per bushel with maximum Of
six cents q year. II the bill becomes
effective, Nupen said. It will mean
that elevators would lose money on
every bushel Of stored grain.
Should Have Refusal Option
If the storage rates are reduced "
Nupen said, elevators should have
the option Of refusing grain for stor-
age. denied them under the present
law.
1.-THE farmer still would have relief
Is he could haul to q competitor who
stores grain or sell his grain and buy
future contracts or options, as eleva-
tors do, or could ship grain to ter
minals and store It there or store
grain on his farm.
| Storing grain In North Dakota OF
holding 1t off the market for so days
gives Canada the benefit as she slips
In and feeds the world until naviga-
ton closes and gets all grain possible
In position to move promptly during
the winter months to importing coun-
tries. .S.
when navigation closes, Australia's
crop is ready to market and Is feed
ing the world. Right now Argentina
Is beginning to market her crop
which is one of the largest crops 1t
has ever produced. In few months
winter wheat will be maturing and
will find its way where needed.
Winter Wheat Area Selling
| 1.-THE farmers Of the winter wheat
states are very clever in disposing OF
crops. Their system is to begin about
this time Of the year to sell July op-
tions until they have sold half or 60
per cent Of their average crop, on the
basis Of past crops When they know
what their crop will be when cut. they
promptly contract the cash grain with
their local elevators and then buy in
the July options sold formerly. This
system has proved practical and to
their advantage.
The northern states, including
North Dakota, have the same oppor-
tunity, and, II applied. it would beat
Canada in disposition OF its crops, but
It seems the northern farmers have
given this method no thought or con-
Sideration and are determined to be.
lieve the proper system Of marketing
grain Is to store it or hold it off the
market. which. apparently, works out
to disadvantage as far. as northern
farmers are concerned. It benefits
their competitors in foreign countries.
Options Caused b. Losses
Elevators are obliged to receive
and ship out considerable quantities
Of stored grain during the months Of
August. September and October and
usually buy December options to pro-
tect. rs best they can. on the actual
stored cash grain sold. In changing
over from December to May options.