Evening star., 1946-06-11
Reaction 10 Program
OF Wheat Lending Hit
By yAgricuItulre Official

Dissatisfaction with the way wheat
merchandisers are reacting to the
Governments wheat-lending pro-
gram was expressed today by ar
Agriculture Department official as
he worked to back up relief deliveries
of flour to Washington bakeries with
additional shipments.
Philip Talbot, head of the bakery
section at the Agriculture Depart
ment, said it would have to over
come the current attitude of mills
and merchandisers in order te
obtain more flour for Washington
At the same time, the AFL bak.
cry union here was preparing spe-
eiflc wage demands it expects to
present to management by Saturday
James B. Luttes, president of the
Employing Bakers Association, de-
MED published report that the
Association would refuse to grant
wage increases.
- Refusing to discuss the wage issue
Mr.. LutJes said the association is
willing to discuss improvement of
conditions in Washington.
Uses Trade Channels.
Mr.. Talbot said he was working
through established trade channels
in his effort to obtain additional
shipments of flour for Washington.
He hopes to supply small bakeries
through their regular distributors,
while going to the mills for large
bakeries buying direct.
1t will be necessary to channel
more wheat to the mills before they
can supply Washington, he said.
The trouble. he added, is that
neither mills nor melChandisers
have demonstrated they are con-
vlnced the Government wheat lend
iGg program is workable plan.
A hastily prepared Government
press release created confusion
among mill operators, he reported.
The release said the Government
would loan flour to the mills Actu-
ally the Government is lending
-four to the merchandisers, who sell
it outright to the mills. The mills
are not responsible for paying it
back. but apparently some still
think So Mr.. Talbot remarked
.@ Must Pay Wheat Back.
While the merchandisers must
pay the wheat back after July l.,
the Commodity Credit Corp. has
assumed all the risks, he said.
20 But something is making them
drag their feet. am not at all
pleased with the manner in which
the merchandisers are co-operat-
ing"
The Government plan was an
nouGed June after the mills had
protRsted that the United States
had bought so much wheat for re-
lief shipments that the mills were
starving.
Relief deliveries of flour loaned
by the Continental and Schneider
Baking Cos. have assured continued
operation of % small bakeries fac
ing a shutdown for lack of -four.
The first delivery was made yester-
Gay to the District Baking CO.
Ask Six Days Pay.
Both union and company officials
we're silent today after Local 118,
Bakery and Confectionery Workers
international Union presented man
agement with a union resolution
seeking six days pay for five days
work.
Union officials, who met yester-
day with Louis A. Spiess, attorney for
the Employing Bakers Association,
said the proceedings opened in a
friendly atmosphere.
Mr.. Luttes said he could not say
whether the bakery companies
would agree to reopen the contract.
A clause provides for reopening after
q 5 per cent increase in the cost of
living Charles B. McClosky, union
business agent, said the union would
contend there has been a per cent
increase since the contract was
signed in December.