Evening star., 1933-03-26
gin. rather than by control of acreage


planted.
Natural conditions beyond the reach
OF the producer may necessitate pro-
auction control rather than acreage
control 1t is necessary that the ad-
ministration have not only the authority
to control acreage planted, but also to
control production marketed in order
to meet the varied circumstances.
Under the proposed marketing agree.
ments with professors and producer as
sociationS, he said, it may in many in
stances assure producers a fair return
without the necessity for the processing
tax and rental or benefit payments"
1T has been suggested" he added
that the hog situation can be met In
large part through such agreements
means Of assuring the tobacco producer
q better price for his commodity.
Through such agreements professors
might find 1t possible to place themselves
in such position as to eliminate some
OF the distributive costs and certain OF
their practices which now serve to de-
press the price to the producer. The
marketing agreements also afford a
means of providing relief for many
minor commodities with respect to which
acreage or production control and rental
or benefit payments are not contem-
plated under the bill"
Wallace said he regarded the licensing
provisions as vital"
They are not an end in themselves u
he said, but are supplementary au-
thority to effectuate production and mar
keting programs that might otherwise
be defeated through practices unfair to
the public or producers, or even to the
lfc
tributors who would be making an ear
nest attempt to efectuate the policy OF
the bill.
ITO illustrate, I would feel that the
policy were being defeated should, as a
result Of q 3-cent processing tax on cot
ton, an excessive increase in price be
passed on to the consumer The process
ing tax. If used, should not be availed
of to pyramid costs to the consumer.
THE cotton farmer obtains approxi-
mately cents for the cotton in a shirt
which costs the consumer 81 or $1.50.
A Scent tax, even with due allowance
for wastage and other factors, should
not increase that cost more than ap-
proximately another S cents"
The processing tax, he said, would not
necessarily become operative with re-
spect to all commodities in the bill.
IF satisfactory price could be
reached and maintained by trade agree
ments." he added. mo tax would be i'm
posed"
FuImer Makes Statement.
Meanwhile Representative Fulmer Of
South Carolina. ranking Democrat on
the House Agriculture Committee, who
introduced the administration farm bill,
said in formal statement he has
been assured by the Secretary of Agri-
culture, speaking for himself and the
President, that they are absolutely with
him in his fight for the final passage
Of the Presidents original program"
Fulmer added:
while the Smith cotton plan will
not do any harm, at this late date it
will not be able to serve as intended.
ment plan, that has been approved by
all farm leaders of major groups,
Secretary Of Agriculture, and the Presi-
passed, operate Immediately in the in
fair price on major farm products in
line with pre-war prices to the extent
Of the tax or readjustment charge
placed into operation under the bill.
Naturally, this will restore the pur-
chasing power of farmers to that ex-
tent. It Is my firm belief that until
agriculture is properly rehabilitated,
whereby the purchasing power of that
great group Of people is restored, it will
be almost impossible to bring back
normal prosperity and put to work the
millions Of unemployed"