Evening star., 1941-01-09
Report Sees 1941
Food Supply Ample
To Fill All Needs
Federal Bureau Predicts
Defense Will Increase
Form Prices and Income

There viii be plenty of food in the
United States throughout 1941 for
civilian and military needs, the Bu-
reau of Agricultural Economics.
Large supplies of wheat, potatoes,
citrust fruits, dried fruits, canned
goods, truck corps and dairy prod
ucts are in existence or in prospect,
the bureau said.
American mills are spinning cot
ton at an unprecedented rate. The
supply of feed grains for animals
on farms is about S per cent larger
this year than last. Milk production
has been setting new high records
for this time of the year. Prices of
most fats and oils except butter
are considerably lower this winter
than last.
The whole picture is vastly diff
ferent from the situation in Europe
The bureau predicted that farm
prices, income and production costs
would rise during this year under
the stimulus of spending for ma
tional defense. Currently, the bu-
reau said, the ratio of prices re-
ceived by farmers to prices paid for
non-farm products and services is
about II per cent below the pre-
World War base.
Record Wheat Surplus Seen.
There Is a possibility, the bureau
said, that the wheat surplus in 194l
would reach 400,000,0O0 bushels. the
largest on record. Even in the Dust
Bowl, where a good wheat crop
comes only about once in four
years, the farmers expect a bumper
harvest where during most of the
le30s planters were plagued with
drought and dust.
Whether the Dust Bowl farmers
would make much money on a big
wheat crop in this particular year
will depend largely on the price at
harvest time. The large surplus
and the dark outlook for wheat ex-
ports suggest that the price will be
depressed. 1t is probable, however,
that the Government will continue
to peg the price at current levels of
about 72 cents a bushel by means
Of the loan program
In 194l, planting will be restricted
under Federal crop control pro-
grams. There is a possibility those
programs may be even more rigid
for some crops than at any time
since the Roosevelt administration
took over in 1888.
Only in the case of a few products
such as meat animals, dairy prod
ucts, poultry and some truck crops,
will limited increases be favored.
Land Resources Ample"
Continuation of agricultural pro-
duction control should not cause
consumers or defense leaders any
worry, says Secretary Wickard.
Americas land resources are
ample" he says. They are being
safeguarded by farmers and forest
owners with the assistance of Gov
ernment programs. On the land
there are millions of farm families
as skillful in turning out crops and
livestock as any farm families in the
world"
This abundance from past years
is stored under the ever-normal
granary. There is no danger of de-
fense being bottlenecked by lack
Of food and fiber"
Financing Causes Alarm.
The problem of financing subsidies
authorized by the farm act is
troubling farm leaders both in and
outside the Government.
Some expect Congress to be under
pressure to reduce farm aid appro-
priations because of the demand of
the defense program upon the
Treasury.
Some leaders would have Con-
gress re-enact processing taxes on
major farm commodities to finance
the subsidies. There are others who
urge enactment of new legislation
which would authorize the Govern
ment to fix farm prices at higher
levels. A third group would employ
commodity loan provisions of the
present farm law to peg farm prices
at higher levels, thereby reducing or
eliminating the subsidies.
The administration itself has
taken no public stand on these pro-
posals, but Secretary Wickard has
indicated he does not favor price
fixing or higher Government loans.