Evening star., 1933-07-24
Farm Administration Greatly
DispIeased With Sharp
Fluctuations.
PROGRAM OF REFORM
DECLARED NECESSARY
o. S. Cannot Longer Permit Farm
ers to Be Dispossessed Of Prop
erty and Hopes, He Says.
By the Associated Press.

By the Associated Press.
George N Peek, chief administrator
Of the farm act, told representatives OF
the grain industry today to put your
own house in order" or "the Govern
ment will act"
The farm administration is greatly
displeased" with the recent sharp huc-
tuations in the prices Of wheat and
other grains, he said, and IS deter
mined that a program Of reform Tor
the methods of marketing products Is
necessary. w
The industry is to be given "the
first opportunity to establish practices
which would insure greater stablllty
in prices. but if it fails. farm admins
traitors are prepared to take prompt
action before the next session OF Con-
gress beginning in January.
'I do not entertain the view that
the present grain trade has any divine
right to handle the farmers products,
Peek said
THE institutions engaged IN Market
ing exist and will continue to exist
Just so long as they provide useful
service
IF they do not perform such service
then it will be necessary for farmers
to find some other method for market
ing their products.
Time Come for Action.
This country cannot go on per.
hitting farmers to be dispossessed OF
their farms and hopes through no fault
of their own because Of their maoulty
to make the cost of production.
MY prediction IS that unless the
farmers of the country can be assured
that they are going to get square
deal-not two or three years hence, put
now and before Congress reassemples-,,
then events will happen which Will
make what we already have seen look
like a pleasant dream.
Il want to emphasize to every one
connected with the grain trades the
necessity that you put your own house
in order where it needs to be put In
order
I'VE are not going to undertake to
superimpose something on the gram
trades until after they have had an op-
portunity to work out their problems
themselves.
If this is not done, promptly how
ever, I will make no promises.
Peek's comments were made public IN
written form by the Government after
he had confronted the grain conference.
""Abuses exist in the grain trade" he
averred emphatically.
The trades, acting as the marketing
medium for the farmers, should cor
rect these.
IF they do not succeed the Govern
ment will act We conceive 1t to be
the Governments function to protect
any group which is unable to protect
itself
Farmers without Voice.
"I know Of no industry other than
farming which has nothing to say about
the prices received for its products
II understand why this is true, but
do not understand why it should be
allowed to remain true. Perhaps
should be enlightened"
Peek then told the group that Secre-
tary Wallace has expressed pleasure
because some phases Of the grain in
dustry, including milling, have taken
steps to establish a code Of trade prac-
tices and that administrators will CO.
operate IN efforts to work out codes for
other branches. including the grain
exchanges.
Soon after the conference selected
committees representing the exchanges.
terminal elevators and country elevators
to explore the possibilities OF a CODE
for each, with instructions to present
their plans at the conference late today.
It was reported that during the morn
ing session Of the conference these pro-
posals for establishing more stable
prices for grain were submitted with no
final action taken on any OF them:
Permanent establishment OF daily
f1uctuation limits.
Limitation Of individual holdings OF
futures to a maximum total, probably
100000 to 100000 bushels.
Higher margin requirements for trad
erS.
The Department of Agriculture was
represented at the conference by Chester
Davis, production administrator; Frank
Theis. wheat marketing chief, formerly
a grain man at Kansas City, and
]. W. T. Duvel, in charge OF the grain
futures administration.
The Chicago Board of Trade, where
transactions represent about 85 per
cent of those involving wheat each
year, was represented by Peter b.
Carey, president.
J. S. Hart. president. represented the
Kansas City Board of Trade. while r.
CONTINUED on Page 2, Column -