The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-08-15
GRAIN, HOGS AND
DAIRY PRODUCTS
HOLD ATTENTIQ::
Wallace Watches Grain Ex.
change, Where Trading
May Be Suspended
MAY LEVY HOG TAX OCT. I
Sharp Drop in Price Of Butter
Prompts Dairymen to
Call Meeting

Grain. hogs and dairy products
commanded attention Tuesday as de-
velopments we're reported from various
sectors of the agricultural front, &C.
cording to Associated Press dispatches
Secretary Wallace said the depart
ment of agriculture is studying close
ly the problems expected to develop
should minimum prices on the ma
tons grain market be suspended with
the close of trading Tuesday as sched-
uled
The secretary also announced that
the United States is prepared to &C.
cept ANY reasonable plan for Euro
pean cooperation" involving the re.
duction of wheat production which
is satisfactory to Canada, Australia.
and Argentina"
From another sector came an an
nouncement that a nominal process
ing tax may be levied on hogs on or
after Oct. to provide funds for fl
nancing the emergency hog reduce
ton program now being worked out.
Dairy Men to Meet
From still another source came an
nouncement that an emergency con-
ference of dairy producers and rep
resentatives of distributors and pro-
cessors has been called for next Mon
day by farm administrators to deal
with neWly-arisen problems of the in
dustry, including the recent sharp
drop in butter prices.
Regarding the grain market situa-
ton, Wallace said no decision has
been reached by the Chicago board
Of trade as to its final course land
none by U.s."
He was to confer with representa-
tives of the board and members OF
his staff later in the day on tho
minimum price question.
"Winnipeg's grain market was put
on a peg this morning." Wallace told
newspapermen. THAT may influence
the Chicago board"
The minimum prices. based on
closing prices of July 80, have been
in effect for several weeks. Wallace
denied reports the minimums were
ordered into effect by the depart
ment of agriculture.
1--WE did not cause them to be put
on" he said. 1.-The Chicago board
merely asked if we had any objec-
tons. We didn't"
Wallace said if prices Of wheat in
cash trading and futures trading
should separate, he considered the
futures market would be reduced to
"a mere absurdity."
Subsidized Exporting
To hn 1,yI,oa
duction proposal, Wallace said unless
program of international reduction
of wheat production is obtained, this
country is prepared to proceed with
a program of Subsidized exporting
in order to remove its surplus of grain.
"Subsidized exporting" in effect he
described as similar to dumping" ex-
cept that the program he had in mind
would involve assurance this country
could export near the amount of it's
normal exports rather than in excess
of normal exports. If the program in
volved expectation in excess of the
normal flow Of grain out of this coun-
try dumping" would be the correct
term, Wallace said.
Under no consideration, Wallace
said, will processing tax on swine be
levied before the beginning of the hog
marketing year, which he added is
generally recognized as being Oct l.
Half Cent Tax
A tax of about one-half cent per
pound Of live hog would prove Suffi-
Gent funds for the emergency pro-
gram, he said, reckoning the maxi
mum gross cost of the program at
about $50,000,000. However, he added,
this may not be the rate of the ini-
tial levy.
Several details remain to be worked
out before the program presented by
organized corn and hog farmers can
be put into effort, Wallace said.
This program contemplates the pay
ment of bonus of about 81 to farm
ers for marketing million sows soon
to farrow and 4,O0OO 900 pigs under 100
pounds by Oct. /.
The program as it now stands in
wolves having the government enter
into contracts with packers to process
the pigs, he said. Negotiations with
the treasury for financing the pro-
gram remain to be completed. Anoth-
er element in the program, which pre-
vents its immediate announcement, he
said, is completing arrangements with
Harry L. Hopkins, federal relief ad-
ministrator, for distributing some Of
the meat products through charitable
and relief organizations.
Fats and Oils Studied
Among proposals reported scheduled
to come up for consideration at the
dairy conference will be limitation of
imports and shipments from insular
possessions Of fats and oils used in
competition with dairy products.
Several dairy groups have under
consideration a proposal to ask Pres
ident Roosevelt to invoke powers pca-
vided under the national recovery act
to limit imports when they are found
to be endangering the recovery pro-
gram for any branch of industry.
Administrators said committees
have been appointed to study some OF
the most acute problems of the dairy
industry and to make report at the
conference. Subjects delegated to
committees for study, they said, in
clude tariffs, production control, pur-
chases and dairy cows, processing
taxes. health and educational work in
behalf Of greater consumption Of
dairy products and retail Prices.