Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-05-22
Russia's Wheat Proposal.

The Russian Soviet government real
ICES fully the extent of the overproduc-
ton Of wheat In the world today, but
because of conditions under which
wheat is grown in Russia and the lower
prices for which it can be sold intends
to dominate the world market. It's
representative at the London Confer
ence Of WHEAT exporting nations have
said as much. Why should Russia
agree to curtail her wheat acreage and
production when by continuing the
wheat war it may eventually be able
to drive other competitors out of the
market and seize for itself the great
bulk of the wheat exporting trade?
Judging from the statements made by
the Russian representatives at the con-
ference, that is exactly what the Soviet
intends to do.
1t is true that Russia advances a
proposal of her cwn which has the
smack of an agreement regarding ex-
port wheat. But the proposal is lop-
sided, with the great bulk in favor OF
Russian wheat. 1t is willing to agree to
a quota plan. But in that plan Russia
must be given the place she occupied
before the World War in the matter of
exportable wheat At that time Russia
stood far ahead of the othsr nations in
the matter of wheat exports. Her an
nual wheat exports were practically
twice those Of her nearest competitor
Argentina, and three times as great as
those of the United States. During the
war and since, the production and export
Of wheat in other nations than Russia
increased very greatly. Russia now
would thrust aside the changed condi-
tons of wheat production by the
farmers of Argentina, Canada, Australia,
the United States and ether nations
and revert to the conditions which pre-
vailed in 1913. This may be acceptable
to Russia but it is clear that it is not
so pleasing to the others.
The wheat crop Is what the Russian
Soviet government Is relying upon to
pay for the development Of other Rus
sian industries. 1t says so very frankly
It does not mean to be disturbed in
this matter or to reach any agreement
with regard to the expectation Of wheat
which does not give Russia all the ad-
vantage. Even in the quota plan to
which it has condescendingly said II
would agree If Russia were given her
old pre-war status it has not agreed
to any Limitation with regard to the
prices to be paid for export wheat. II
Russia can undersell, she intends to
undersen.
Unless there is material change in
the situation at the London wheat con-
ference, it looks as though the wheat
war win continue, with Russia leading
the attack. Certainly the russians are
prepared to go ahead in the, most ap-
proved though heartleSs method OF
capitalism In their plan to undersen the
world In the matter Of wheat-dumping
it has been called in some quarters-in
order to wipe out the competing wheat
farmers in the United States, Argen-
tina, Canada and elsewhere.
In the end there VIII come an adj
justment. The world cannot go on in
definitely or for long producing a huge
surplus of wheat which cannot be con-
sumed. And In the end there will be
contraction of production. Russia
means TO come out on top Of the heap
If she can Other nations will resist If
they can the effort to take the export
wheat market away from them. 1t may
not be aniss to quote from the text of
the Russian statement on wheat, which
says: New principles Of state and col
lective farming, combined with a sys-
TEN OF planned economy and utiliza-
ton Of modern machinery, make it
possible for the Union of Socialist
Soviet Republics to enter the world
market with a high quality of grain at
lower costs Of production than num-
Der of other countries" 1t asserts that
the wheat crop OF Russia is to be larger
! this year than 1t was last, and that as
a matter of fact it is necessary for
Russia to increase her wheat produc-
| ton. Clearly Russia has thrown down
the gauntlet TO the rest Of the world In
this wheat war