Evening star., 1942-09-20

her argued, it would be possible
under the remainder of the present
price control law in behalf of the
| farmers TO take care of all ele-
ments of cost, including production,
distribution and transportation, in
which field producers of farm COM
modities have found the greatest
cost increase
Above all" the Connecticut Sen
ator continued, under subsection E
of section 2 of the present law the
administrator would be able to call
for maximum production of any
commodity on whatever terms are
necessary to insure expanded pro-
duction. Obviously if there be ade-
quate supplies of all commodities,
their very existence would operate
in favor of generally reduced price
to the consumer, and maintenance
of supply could be assured. II we
don't do something like this we are
going to have one of the greatest
food shortages next year this coun-
try has even seen"
Senator Bankhead said the most
serious phase of the problem was to
keep production going in the face OF
the exodus of farm workers to war
plants and military service.
'I am not worrying so much about
current prices" he said. THE ques-
ton is whether you will have pro-
duction or rationing next year"
e'5 Cotton Problem Cited.
Advice reaching him from repre-
sentatives of the farmers. he said,
indicates that fields in the South
are standing with unpicked cottons
with labor costs amounting to one
third of the price of a bale. Cot
ton not picked on time, he said,
will result in a lower average grade
| for the crop.
The Senate bill contains pro-
yiso to enable the President to
modify maximum prices for any
agricultural commodity or COM
modify processed or manufactured
In substantial part from farm prod
ucts when necessary to increase pro-
duction for the war effort, or where
it is shown increased labor costs
create gross inequity.
One concession the Senate COM
mittee made to the farm group
was to raise from IS to 80 per cent
! of parity the Commodity Credit
Corp. loan rate on the basic agri-
| cultural products to serve as a floor
under these commodity prices. Along
the same general line, the House
committee provided that during the
war and for three years thereafter
farm prices should not be permitted
to go below 80 per cent of parity.
Senator Danaher declared last
night the 80 per cent of parity
guarantee would cost consumers
S670,000,000 a year without l cent
additional to the farmer" Senator
Taft said the proviso was counter
to the general aim of the bill ano
agreed it would force prices up
ward.
c. of c. Unit Offers Plan.
The Agriculture Committee of ths
United States Chamber of Com.
merce recommended meanwhile tha
policies on wage and price levels bt
decided with due consideration "tt
the maintenance of the efflcienc,
r and productive capacity Of the ag
riculture industry"
Elmer H SeXauer of Brookings
S. OAK. chairman of the commit
, tee, presented the report to thu
! chamber directors.
3 To insure ample supplies of food
, fiber and other farm products, tn
! report said, 1T is necessary not onl,
> that there be available an ampl
supply of farm labor but also tina
the prevailing p~ice levels for prod
ucts marketed shall be sufficient t
" compensate fully for the expense
= of production and to provide tn
= necessary incentive to insure con
e tinued production on scale com
r mensm ale with the needs of the wa
7 effort"