The midland journal. (Rising Sun, Md.) 1885-1947, 1936-07-17
MILK PRODUCERS POINT TO
NEED FOR HIGHER PRICES
FOR THEIR PRODUCT

L
farmers in the Philadelphia milk
shed have an increase in the price
CT Glass l milk-the milk that is
used in fluid assumption. A large
number have been forced to take
slight decrease during that time.
In the meantime, almost every item
of cost of milk production has in
creased sharply. The situation Is
serious, and is presented in feature
article in the July issue of the Inter
State Milk Producers Review, from
which the following extracts are
made:
Certain developments have ccur-
red during June which directly at
feet the matter of increasing prices
to producers on Glass l milk. Out
standing is the hearing held by the
New Jersey milk control board on
June 18 at which the need for such
an increase as soon as the summer
slump occurs was proved beyond
doubt.
The situation early in June was
critical with pastures drying up. 1t
was evident that unless rains came
soon an acute slump in production
would occur which might cause a
shortage even before July is, the
date for which the increase was
asked. Adequate rains over most
parts of the milk shed have given
new life to pastures, thus delaying
the summer slump somewhat. How
ever, parts of the milk shed report
that pastures are practically gone
and production is dropping sharply.
Tie June issue of the Review car
ried facts and figures showing the
need for higher Glass prices. These
were, briefly, Cd So per cent in
crease in COW prices since November,
1894, GU it now takes more milk to
pay for a COW than any time since
1900, CD immense cash OUTLAWS have
been required of producers in order
to comply with frequently raised
sanitary standards, and ca the farm
price index has increased by 20 per
cent while the Glass l milk price
has remained constant.
Since that time we have obtained
figures which show that farm labor
costs are rising. No figures on our
milk shed states are available, but
the Bureau of Agricultural Eco
Monies reports on June % for the
country as whole that farm wage
rates have jumped 80 per cent
from $500 a month to $20.89 with
board. They are substantially high
er in this area The Ohio Expert
gment Station reports that the index
(buying power) of farm wages in
that state has risen from IA in 1888
with no report for 1886. This is
20 per cent jump in buying power,
requiring an even greater increase
in actual dollar wages to overcome
higher price levels.
The feed situation is unfavorable
for next fall and winter. Rains
came too late to help the local hay
crop and hay is short. Second and
third cuttings can not make up for it
even if rains do help.
Drought in the central plains has
sent grain prices up. Unless this
situation is relieved Complete grain
crop recovery, except possibly corn,
is now impossible) we are going to
be faced with drastically increased
feed prices next winter.
Should this develop-and we do
not see how it can be fully avoided
it will mean that every major item
of expense in milk production will be
drastically increased over the level of
costs which prevailed when the last
increase in Glass l milk price occur
red in August, 1888.
There is no alternative except for
our control agencies to call hearings,
obtain the facts and draw up new
orders to be made effective as soon as
production starts to enter the sum-
mer slump.
No hearing has been called as yet
by the Pennsylvania milk control
board to obtain further facts relative
to the need for an increase in the
price of Glass milk. 1t is felt that,
in the face of the facts, such hear
ing must be called soon so the order
may be drawn up and made effective
as soon as a shortage is imminent.
Obviously the AAA is not in posi-
ton to take stand on marketing
order on interstate milk until the
control boards in this shed work out
uniform price schedule and buying
plan. This policy has been followed