Henderson daily dispatch. (Henderson, N.C.) 1914-1995, 1937-11-11
Red Cross Drive Begins
For County Next Monday
MEAT SUPPLY FOR
NEXT YEAR LARGER
Wallace Claims Situation
Supports Contention for
Granary

wallace said today that the meat sup
ply situation and the factors behind
IL demonstrate the value and necessity
OF the ever normal granary principle,
not only in the interest of producers
but in the interest of consumers and
professors as well.
He pointed out that the total SUD-
plies of meats, excluding poultry, are
expected to be larger in 1888 than this
year and added that the smaller meat
supply this year has been a hang
over effect of the 1886 drought.
Droughts cause farmers to sell off
breeding stock as well as market ami
mails because of inadequate feed SUD-
plies. This naturally results in short
er supplies of meat animals during
the year after a drought.
AS in 1885, following unprecedented
drought, nearly all the reduction in
supplies this year was in pork and the
better grades of beef, since hogs and
tat cattle depend mostly upon grain
for feed. Supplies of lamb and the
lower grades of beef have been reduc-
ed very little since the production of
these meats is not so dependent upon
grain.
During the past two months much
emphasis has been placed on the very
high top prices paid for cattle, as
high as $3.50 per hundred pounds at
Chicago" Secretary Wallace said.
'This tells only part of the story. The
supply of top grades has been unusual
~ light and the supply of lower grade
cattle has been considerably larger
than average. This has caused the
spread between the top price of fin
lshed cattle and the general run of
cattle to be the widest on record. The
record shows that the average price
paid for all cattle slaughtered at Chi
cago during September was only $3.50.
Even in normal times, top grades US
ually comprise only about Is percent
of the offerings.
LAS with prices of cattle, the rise
in the price of beef has been most
noticeable in the better grades and
more choice cuts. And it must be re-
membered that the choice cuts repre-
sent only about 20 percent of the beef
carcass.
Most cuts of pork have been some
what higher than during correspond
ing months last year, and not greatly
different from prices in 1929. The
smaller supply of pork may be direct
~ attributed to the 5iilion-bushel drop
In the corn crop-the second such
caused by drought in three years-for
each year, hogs consume over 40 per-
cent of the Nations corn crop.
Supplies of lambs have been larger
this year, and prices have been. only
slightly above last year and consider
9hlu hn10yxy tho ,,riHoe e 4000
The reduced supplies of the better
grades of cattle and beef and of hogs
and pork this year, as two years ago,
was most pronounced during the sum-
mer and early fall. This is the period
just before the years livestock pro-
duction comes to market and when
meat prices are usually the highest
OF the year. Since mid-September,
however, both livestock and meat
prices have defined somewhat as mar
ket supplies have increased, as they
usually do in late fall.
Increases in employment, payrolls,
and in the national income as well as
short supplies due to the drought are
responsible for the higher meat prices.
An analysis of the figures shows that
the rise in meat prices since 1888 has
been no greater than the rise in ma
| tional income
"The principle of the ever-normal
granary has been proposed in order
to deal more adequately with surplus
es and drought conditions. In the
years of production of grains above
normal this plan would provide for the
| shortage of such grains in excess Of
normal domestic needs for use in
! years when production is below the
| requirements.
"The application of an ever-normal
| granary plan on corn and other feeds
would make available, large quantities
! Of feeds for livestock in years follow
ing droughts. Likewise in years when
feed production was large the storage
would prevent increases in livestock
and meat production from being SO
great as to cause burdensome sur
plus and resulting low prices to both
livestock and grain farmers" Secre-
tary Wallace said.