Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1931-08-07
FARM BOARD
ATTACKED ON
COTTON PLAN

WASHINGTON, Aug. 7. R-The
farm board had before 1t for early
consideration today a proposal from
Germany for the purchase OF stabli-
cation cotton ON long term credits
and protests against the plan from
the American cotton trade. >
The ADM n istration-sponsored
proposition to permit the farm board
10 unload some of its 1900, 900 bales
OF cotton TO stimulate that industry
and at the same time aid Germany
met opposition before the offer Of
the Reich was received.
South Opposes.
Since the overtures were initiated
by Ambassador Sackett at Berlin
with the approval Of Pres. Hoover.
the protests against the plan have
been augmented by demands from
southern senator's, cotton traders.
and growers that the sterilization
cotton. be held TO permit the cur
rent crop to be sold. The %conten-
ton that disposal OF a part OF the
sterilization surplus In Germany
would deprive the American cotton
farmer Of an important market has
been advanced.
The German offer was transmitted
to the state department yesterday by
Ambassador Sacket and Immediately
was referred TO the farm board. II
had been hoped in administration
circles that disposal OF some Of the
sterilization cotton to Germany
would &C far toward revivirs the
industry and thereby bring a more
healthy condition TO other depress-
ed commodities.
Consider Protests.
Howevez. the board has made
clear the protests are to be consider
ed even though they may defer such
a sale. on the other hand. Chmn.
Stone said II was his own idea that
whatever sterilization supplies we're
sold. they would not be replaced by
purchases from this years crop. This
was interpreted here as an indica-
ton the board H. anxious to re-
lieve Itself OF sterilization stocks.
Only last week Stone announced
the board would authorize the sale
OF sterilization supplies II II would
aid Germany and increase consump-
ton OF American agricultural COM
modities.
From Berlin last night came more
protests c the plan. understood
TO call for about 100000 bales. be
cause the view was held there that
the deal apparently was for the pur-
pose Of helping the farm board out
of an embarrassing situation.
Bremen cotton dealers also report
ed receipt Of kilograms from Amer
lea traders. particularly the New Or
leans cotton exchange, expressing
opposition to the plan.
The existence or the surplus held
by the farm board also has been
condemned by the cotton traders
and growers on the ground that II
was a burden on the markets. u
is understood that as a result of
this attitude the board has been en-
deavoring for some time to dispose
of the cotton satisfactorily and that
Il looked 70 the German PROPOSE
ton as the best solution.
Carl Williams. a board member.
said the cotton trade had taken a
contradictory attitude in opposing
the suggestion that a part Of the
surplus be sold 70 Germany. He took
the attitude there was no question
of dumping but that the proposed
transaction would be the same as
lending money to that country.
Little hope Is held for the dis
poSal Of any wheat 70 Germany
under a long term credit plan, be-
Gauss that country has an unusual
large production Of grain this sea-
son.