Evening star., 1935-03-17
World Agreement on
Wheat Now Unlikely
BY HARDEN COLFAX.


The refusal Of the representatives Of
Argentina this week to agree to a new
attempt to control wheat acreage and
exports for the coming year Is re-
garded as poStponing, perhaps indefl-
nitely any world agreement on wheat.
In August. 1898. it will be remem-
bered. an international agreement was
concluded for the restriction Of acre
age planted TO wheat. This agreement
was 70 have been renewed last No
vember, when the International
Wheat Advisory Committee met at
Budapest, but Argentina refused to
agree TO a renewal 1t was then un-
derstood that. until the so-called Big
Four" in wheat Cthe United States.
Canada, Australia and Argentina) had
agreed among themselves as to how
much they would plant and ship
abroad. the other countries, most of
them importers, would simply mark
time.
Since then the world wheat situation
has shown little improvement. Ac-
cording to advices to the Departments
of Agriculture and Commerce, plant
ings have been restricted but world
prices are still very low.
The present wheat adjustment con-
tracts in the United States expire July
81, the end Of the season of the present
year. During the next few months
American wheat growers must decide
on future course. 1t was realized
in 1888 that the world situation had
become acute and the Federal Govern
ment stepped in with the setting up
of the Agricultural Adjustment Ad-
ministration and the imposition Of a
processing tax, as we'll as other meas
ures and it is said in Washington that
results so far have been in the main
satisfactory.
Two short crops and the adjustment
program have reduced the surplus OF
wheat in the United States. according
to a review of the general situation
Just issued by the A. A. A. so that
by July the carry-over is expected to
be down to normal.
1t is true that in recent years there
have been changes in wheat consump-
ton and the experts at the A. A. A.
tell us that Americans have been eat
ing less and less wheat per capita every
wear for the past half century. The
decline in consumption of wheat flour
has been caused by sweeping changes
in the diet of the American people
during and Immediately after the
World War
Other factors include the develop
ment of the refrigerator car and other
devices which have made it possible
to transport meats, fresh fruits and
vegetables over long distances.
x 4 x
In Australia. reports from govern
ment agents in the field indicate the
wheat export subsidy system is not
working very we'll. The marketing
agency of the Argentina government
has been selling wheat at loss. but
that country continues to ship vast
quantities abroad. Canada'S wheat
policy, which was originally designed
to maintain the price of grain and
yet keep her world markets, is also
in trouble During the present sea-
son Canadian exports of wheat have
been disappointing At the end of
the crop year, July 81, the Dominion
will probably have carry-over Of
abnormal proportions, although per-
haps less than last year.
Dominion officials are saying that
this season Canada may be called
upon to supply more than half of the
remainder of the worlds wheat re-
quirements. approximately 330,0O0,0OO
bushels. OF the 552,000.000 bushels
to be consumed this season through