The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-07-18
DOLLAR WHEAT
COAL IN c. 0. P.
ELECTION DRIVE
Republicans Hope to Swing
Western Farmers Into
Camp by November.
BY LEO r. SACK
rimen Stan Writer

Zines stan WIttF
WASHINGTON. July ia drive
for dollar wheat by November as a
means Of helping President Hoover
win the west, was vizualized here
today by administration politicians
Dollar wheat will Constitute the
big break" Republicans are anti
cipating to help them dispel wide
spread resentment in western states
suffering from agricultural distress
and bitter, also, because Of feeling
that farm relief pledges made by
and for Hoover four years ago have
been disregarded.
Just before the senate adjourned
Saturday night, Senator Howell
rep, Neb) angrily charged after
all these months, you have not done
one thing constructive for the
farmer"
But administration leaders hope
to point to the dollar wheat goal as
positive denial of this and similar
complaint by western senators.
Wheat now is selling around az
cents in Chicago and 25 to 35 cents
on the farm.
Export Surplus Is Vehicle
The unlimited agricultural surplus
export provision of the relief law
just enacted by congress is the We
hicle with which Republicans hope
TO bolster the market.
This section of the law, placed
there by Senator Norbeck Of South
Dakota at Hoover's request, with
stood two roll call assaults in the
senate. 1t follows:
I'm order that the SURPRISES OF
agricultural products may not have
a depressing effect upon current
prices OF such products, the corpo-
ration Reconstruction flnance) is
authorized and directed to make
loans, in such amounts as may in its
Judgment be necessary, for the pur-
pose of financing sales of such sur
pluses in the markets of foreign
countries in which such sales can
not be financed in the normal course
of commerce; but no such sales
shall be financed by corporation, if
in its judgment, such sales will ef-
feet adversely the world markets foI
such products; provided, however
that no such loan shall be made tc
finance the sale in the markets OF
foreign countries of cotton owned
by the federal farm board or the
Cotton Sterilization Corporation"
Exemption Is Made
Although the relief law prohibits
the Reconstruction Finance Corpor
alton from loaning money upon for
eign securities or acceptances as col
lateral, a specific exemption is made
for agricultural exports.
The Reconstruction Finance Cor
poration now has an authorized
capital of $3,800,O00,000 and any
portion of this sum may be used, in
the absence of restrictions, to
finance exports of wheat, corn and
other farm commodities
President Hoover is said by in
formed Republicans to have had
this in mind when he urged author
ization for exports of surplus farm
crops.
Don't you suppose we know what
is in the bill?" retorted the polite
ally-minded Senator James E. Wat
son of Indiana, when questioned as
to the prospective operations of the
new law.
rs the administration going to
use the authorization extensively"
BOrah Has Doubts
We'll, we are not going to over
Nok any BETS" Watson replied.
'enator William Borah, who first
he irritated with President
when he concluded that
m relief promises he made in
the west in Hoovers name were
being disregarded, said this of the
new law:
MY understanding of the purpose
of the section is to endeavor to raise
the price of farm commodities, but
I have grave doubts of its ability
to do so"
Senator Norbeck, although aware
of the purpJrt of the provision, said
he doubts whether it will produce
dollar wheat, but he believes an in
crease of Is cents a bushel, aside
from normal natural recovery, is a
possibility.
1t is expected that the admins
tration's market operations will get
well under way during August and
September so that the full effects
will be apparent early in November
thereby placing western farmers. al
ready happy over an increase in hog
prices, in an even happier humor
when they go to the polls.