Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-07-20
Weather May Solve the
Surplus Wheat Problem
BY HARDEN CoLFAx.

The weather promises to have tar
greater effect on the agricultural sltua-
| ton this year than any other factor
even the program determined on by
the Federal Farm Board.
The United States Weather Bureau
and the Department of Agriculture have
reported that the wheat crop OF the
Northwest has already been seriously
damaged by the dry, hot weather. 1t
is too early as yet to declare definitely
how much this will reduce the total
crop, but 1t unquestionably Is a bullish
factor so far as price is concerned.
Then, too, the damage has been even
more severe in Canada, according to
official reports. The Canadian crop has
deteriorated from 80 per cent OF nor
NAL to n per cent and the estimate OF
the Canadian total has dropped 3S,0OO,-
900 bushels in the last week.
* y Il X
The heavy carry-over and the stocks
on hand would seem to preclude any
wide increase in farm prices OF wheat
for the moment. In fact, as Samuel II.
McKelvy, member of the Farm Board,
stated today, THE news of the wheat
situation as kind which normally
would raise prices has simply failed to
function this year." He laid this to
slackness In general business. Many
experts disagree with Mr.. McKelvy.
Senators Capper and Allen OF Kansas
and Gov. Reed of Kansas have made
earnest pleas to the Secretary OF Agri-
culture, the Farm Board and 10 the
President to have the Farm Board pur-
chase 100 OO0. 900 additional bushels OF
wheat. All of these appeals have been
refused. The Farm Board does not con-
template the purchase Of more wheat
at this time. 1t Is understood that the
President has concurred in this attitude
in his discussions with Senators Capper
and Allen. Secretary Hyde has also
made 1t plain that he does not favor
Government purchase of additional
wheat at present.
X 4 r
Senator Capper declared he believed
that IL the market could be stimulated
now while wheat is still in the farmers
hands, the farmer would get the full
benefit of the prices. He added that he
did not see how the Government could
lose any money by purchasing wheat at
present, since prices were at a lower
level than they have been in years and
there was reason to believe they would
advance materially within the next six
months.
Other remedies have been suggested
for the benefit of the wheat growers.
Grocers, bakers and millers have sug-
gested a campaign to induce the con-
sumption of more bread. This cam
paign, however has not progressed far
enough to prove its worth. It is also
suggested that the farmer should mar
ket his wheat in the form Of live stock
and dairy products: that is, he should
feed his wheat to farm animals instead
of selling it as grain. 1t is pointed out
that as stock food, wheat at present
price is cheaper than corn as fodder
n n X X
Secretary Hyde and Chairman Legge
of the Farm Board have made vigorous
appeals for the reduction of wheat
acreage. In only few cases have such
efforts been successful in inducing
farmers to refrain from planting. Bank
ers and business men of the South have
tried to restrict cotton acreage, with
only partial success. The cotton in
dustry Is also discouraging to the pro-
Queer. This is attributed to a certain
extent to a drop in the production of
cotton cloths incident to disturbances
in the Orient.
The advocates OF the Farm Board
program are counting on the Canadian
situation to offer a striking example of
the benefits of cooperative marketing
this year. The co-operatives have
gained firm Soothold In Canada and
their advocated declare the results there