The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1936-02-29
CANADA CALLS
INVESTIGATION
Full Dress Wheat Board
Quiz Will Stress Sales
Tactics
BY cHAS. ROBERT MORGAN
United Press Staff Corresnondant

OTTAWA, Feb. 20. (UP)-An
investigation packed with public
interest and also with potential
political consequence is to be in
stituted soon by the Canadian par
lament into the wheat marketing
administration.
For seven years the industry
has been more or less in turmoil.
Cooperative pools" of growers
although they represent less than
half of the total-long endeavor-
ed to "hold up" the foreign mar
ket for high prices. They had ret
respective visions of the days in
war time when there was "$2
wheat" But Europe would not
buy. The pools" had sufficient
power to exact financial guaran-
tees from three western govern
ments. When the load became too
heavy, due to the enormous ac-
emulation of wheat carry-over,
the former Dominion government,
five years ago, was importuned to
go to the rescue. 1t did by assum-
ing the obligations and setting up
a selling agency"
SURPLUS PILES UP
This agency took over from the
pools l27,OOO.00O bushels of
wheat. Operations went on with
little known about them. They
We're carried forward by John |.
Mcfarland, the selling agency"
who reported exclusively to for
mer Premier R. B. Bennett. On
June % last, however, figures
given to 4 parliamentary commit
tee showed 22S,000,000 bushels
on hand. Some selling occurred,
but, at the end of the ''crop
year" on July 81, the accumula-
ton was still 215,000,000 BUSH
els. The obligation of the public
treasury was huge.
The October general elections
resulted in 4 change of govern
ment and q decided change of
wheat policy. The Liberal admin
istration has definite and differ
ent ideas about handling the
wheat problem. 1t believes in con-
tinuously offering wheat in COM
petitive markets, not holding it.
The old board, headed by Mac
farland, refused to resign and
was retired forcibly on the ground
that it's policy had created antag-
onism of the buyers and had pro-
duced among the latter a "sales
resistance. A new board, with
James r. Murray, of a we'll known
grain company, as its chairman,
was appointed. In six weeks 1t
sold $4,000, 900 bushels. But last
December the Argentine suddenly
raised it's minimum price to pro-
ducers and, overnight, the market
jumped 20 cents a bushel.
BENNETT RAISES CHARGE
NOW, it is charged by Ben
nett that the new wheat board
protected short interest" in the
market by selling them between
the close and the reopening of
the Winnipeg Grain Market more
than 100000 bushels. An
agreement is admitted to have
been made between the board and
the dealers to protect the latter
from overnight fluctuations, but
this agreement was concluded
long before the Argentine episode
in the promotion of selling. How
ever, suspicion having been Great
ed, a full inquiry is to be held. =.
1t will comprise not only these
particular transactions but those
of the old board in the last five
years. Bennett, while assalllng
the new board, admitted that
John |. Mcfarland, though never
buying a bushel of wheat when
head of the selling agency. did
make some speculative investments
in oats. He lost money in the
adventure, but the principle,
nevertheless, is assailed. :
The whole affair is to be re-
vealed, 1t will interest the Cana
dian public, but particularly pro.
ducers, .pools, the grain trade OF
two continents, and the milling
industry. Interesting revelations
are promised.
Meanwhile, the determined pol
lev of the Liberal government IS
to dispose of the surplus as soon
- ,oss;hla IN do so without