The Waterbury Democrat., 1939-09-13


 There is no shortage of any Inn.
 portant foodstuR In America,
 If there Is going to be . big in-
 crease In demand due t0 the war,
 N has not shown up as yet.
 There iS, In fact, surplus M
 food In practically all lines.
 The war psychology is working tn two ways, as the department figures it. It causes consumers to buy heav- ily, either In fear of e shortage or In fear of further price increases; and 1t causes retailers and distribu. tors to mark up their prices TOT much the same reasons.
 HERE ARE
 THE FACTS
 If you have been affected by this war psychology, consider these facts;
 i-Right now the department officially lists as surplus eommodi- ties" butter, shell eggs, corn meal, dried prunes, dry beans, flour (both white and whole wheaD, rice, cab- bage, fresh tomatoes, fresh green peas, onions (eXeept green onionO, [, fresh peaches, and fresh pears, To dispose of these commodities the government Is spending huge sums, through the famous stamp plan, In other words, there's Q glut and some of your tax money is being spent to remove it,
 @The departments latest esu- mates of prospective supply, domes- tie consumption and probable ex- ports show that this country has more than 1t needs of these staple foodstuifs: fresh meats, poultry, eggs, butter, lard, wheat, corn, rice sugar, canned fruits and fruit juices, dried fruits, potatoes, and beans,
 a--if the war abroad Is going to lead to an Increased European de- lnand for American foodstuffs, the demand Is not apt to appear for some time-judging by the course ae things In the last war, at least. Then the price of U, g, farm products actually went slightly downward during the first year of the war; not until 1916 did Euro pean demand increase enough to send American farm prices above the 1914 level,
 Furthermore, while retail prices are going up, the farmer Is still far under parity. The average-J July price for wheat, for instance, was 5b,7 cents . bushel; average July price for iei0-iei4, inclusive, was a6 cents; parity (which is simply the level which the department figures would be fair all around) iS Si,ii.
 Since July wheat prices have gone up, SO that now they are around the ieio.ieit average-stiil long way below parity,
 FARM COUNCIL
 MAY ACT
 Much the same thing is true of the other staples, And while retail food mark-ups are causing the de- partment would hate to see any rise In farm prices checked unless and until partly Is reached.
 On Sept. 10. Secretary Wallace's Agricultural Advisory Council meets here to see what can be done about the retail price situation, The secre- tary hopes to avoid any arbitrary price-fixing program,
 What he Is looking for is some cooperative plan reached by agree- ment with farmers, proeessors, and distributors to keep prices within reasonable limits.
 Meanwhile, the Department of Justice Is studying the situation to see what legislation may be needed to check "proflteering." With the laws now on the books, there Is very little the department can do about excessive mark-ups.
 It Is probable that out of its present study will come recommen- dations for new laws to give 1t further power - recommendation which may conceivably be handed to the special congressional session that is in prospect for this fall,