The Kennewick courier-reporter. [volume] (Kennewick, Wash.) 1914-1938, 1937-11-25
Brazil Quits Crop Control


Washington-Word comes frol
Rio de Janeiro that the governmer
of Brazil has decided at long Las
to place its coffee business again O
competitive basis. That is to sa
Brazilian coffee once more will
sold in world market conditions.
was IA years ago that crop contre
was started and now it has Hoppe
finally after costing the grower
losses accountable in millions an
after virtually wrecking some Dor
tions Of Brazils foreign trade.
I think it might be said also tina
the fallacy of the coffee control pol
icy was among the real cause
which eventuated in the dictator
ship that established itself in Bra
I'll recently. President Getulio Var
gas succeeded in placing himself a
the head Of the nation indefinite
ly" and he did so he said because O
unrest among the peoples" of tn,
provinces. The first dictatorship il
the Western hemisphere, therefore
is fact. =.
But to get to the coffee question
1t was the determination of the Bra.
lillian leaders that policy of scar.
city would force coffee prices high
er in the world market. The state OF
Sac Paulo initiated the scheme. II
failed to work, and its sponsors said
the reason was its scope was linn
tied. Thus, it was expanded until
the whole nation was embraced
Still, coffee prices did not 60 high
enough and it was then that actual
destruction Of coffee began. Mil
lions Of tons were dumped into the
Atlantic ocean and other millions
were burned-even as we in this
country burned surplus wheat and
corn and killed COCOON pigs.
AS the destruction continued and
the growers found themselves tied
tighter with regulations and DEGREES,
there were some increases in prices.
But the promised great profits prov
ed to be as illus0ry as a mirage on
the desert.
The whole thing was a boomer
ang. Not only were the producers
IN Brazil disillusioned by failure to
gain the record returns they had
been led to expect, but they found
another sad and wholly disadvant-
ageous result staring them in the
lace. There was some increase in
the price-just enough, indeed. to
reduce consumption to some extent
for the growers, but with Brazil
reducing available supplies others
got into the producing business.
Among these new coffee growing
areas, Colombo sprang into prom
inence. Maybe Colombia coffee
was not as good as Brazil's in quail
1ty. Maybe it was not quite as ac-
ceptable otherwise. But it was
cheaper, and it was profitable for
Colombia planters to produce. They
found ready sale.
That, however, was not the worst.
When other coffee-using nations
bought coffee from Colombia and
other growing areas. Colombia was
able to buy other commodities from
the nations buying her coffee. New
trade agreements suddenly showed
up; new relationships were estab-
lished, and some of Brazips former
business connections throughout the
world are gone with the wind. They
may never be re-eestablished.
We, in the United Stataes ought
to give quite bit of thought to Bra
zipS coffee experiment for we have
had, and are threatening to have
more, experiments of kindred ma
ture. Lessons in crop control are
right expensive. and more important
is the fact that sooner or later all
through history, they have had to
be abandoned. And when refer to
crop control, I include all kinds of
production control whether agricul-
tural or industrial. Somebody al
ways has to pay dearly for it and US
uaIly the cost has been extended. It
is reflected in other commodities
and in taxes until the actual loss
from the experiment is multiplied
many times over. w.
Political Move
Speaking of congress, the way it
has started off makes me think that
the extra session was purely a po-
litical move. am quite sure it is
going to accomplish some great
good like amending the neutrality
act. OF course, suppose I should
not be selfish. I ought to consider
that the representatives and sena-
tors must have time to make
speeches for this or that or the 9TH
er so that their constituencies back
home will be duly impressed with
their importance Maybe SO! But
repeat that the prospect of any
thing worth while in either the
special session or in the regular ses-
sion to follow in January is decided
~ dull.
Politically, there are several
things to watch for in the time that
congress will be heave-ho-ing. One
of these definitely now visible is the
among the Democrats