Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-07-17
LOW WHEAT PRICE
FOR NEW CROP SEEN
Fears of Agriculture Depart
ment Based on Big Supply
Still on Market.
BY the Associated Press.

BY the Associated Press.
The Agriculture Department said to-
day the present world wheat crop pros
poets and indications of probable de-
mand point TO another year Of very
low prices for the world as a whole"
The present low domestic wheat price
has focused attention OF farm leaders
or the Southwest Winter wheat section
where a bumper crop is now being
harvested. Farmers have been offered
as low as IS cents a bushel with sub
sequent appeals to the Farm Board for
assistance.
NO bumper crop" the department
said. lis expected this year for the
world as whole, but the very large
stock remaining in North America.
Argentina and Australia promise
plentiful world supply even though
yields should be very low.
Russian Acreag &c Increased.
Furthermore, increases in the Rus
sian acreage which have been made
this year would, with average yields,
result in a crop almost as large as that
obtained with the high yields of last
year.
Due to drought condition a reduc-
ton in the North American crop is in
prospect. Smaller productions also are
expected in the Danube Basin countries
OF Europe, but probably will be par
TALLY offset by larger crops in European
importing countries. Indications point
to reduced acreage in Argentina and
Australia. Stocks Of old wheat, how
ever. will likely be larger than last
year and about as large as 1879.
The present very low levels Of prices
for new wheat" the department said,
are resulting in very small returns 20
farmers, even in the Winter wheat re-
gionS, where yields are good. Elsewhere,
especially in the Spring wheat region,
where yields are likely to be very low,
returns to wheat growers will be ex-
tremely small, indeed. Nevertheless there
appears to be small prospects for any
great improvement in world prices.
1T should be borne in mind. however,
that developments as TO Russian eX-
ports will have an important bearing
upon the course of world prices during
the season and that indications as 20
the probable volume of such exports
during the 193l-l932 season are at the
present time almost WIDELY lacking"
Farm Board Lacks Funds.
The Farm Board is doing everything
possible to help out in the wheat crisis,
but 1t lacks funds to undertake new
sterilization operations to relieve the
presents low prices. James C. Stone,
chairman of the board, said yesterday.
To attempt price sterilization would
mean continuous purchases until next
June, Stone said, adding.
I'VE haven't the funds to stabilize
for that length of time
In its two sterilization operations the
board has invested millions in buying
more than O,0O0, 900 bushels of wheat
it now holds On July !, it had left
more than 5000, 100000 IA working
capital from the $500, 900 900 which
Congress appropriated for its activities.
1t quit buying wheat last month when
the new crop started to come in.
Stone expressed doubt whether
moratorium on farmers debts could be
declared, as has been proposed in the
wheat belt
He said 1t was unfortunate that
bankers, manufactu and merchants
were IOTCeQ 10 demand Sale Oh JIlc HcN
crop to meet current obligations OF
farmers.
Holding Crops Advised.
Stone said the situation in the South
west, where farmers are receiving the
lowest prices in history for wheat could
be materially relieved If they would hold
their new crops on the farm.
While several million bushels of wheat
have been sold in the Northwest to meet
millers' demands, the chairman said
the board is following its July l policy
of not selling more than 100000
bushels monthly. He empasized that
the board was acting in conformance
with the demands of some Republican
Senate leaders that the sterilization
wheat be held from the market, although
it has declined to fix a minimum price
at which the grain would be sold.
Chairman Stone is to speak Monday
night over the Columbia Broadcasting
System on THE Truth About the Wheat
Situation"