WORLD SURPLUS GRAIN.

Auckland Star, Volume LXXI, Issue 221, 17 September 1940, Page 4

WORLD SURPLUS GRAIN.

AMERICA'S BIG STOCKS* GREAT INTERNATIONAL PROBLEM. RUGBY, September 16. The disposal of the surplus of the great wheat harvest in Canada constitutes a problem similar to that confronting Australia, which has large stocks from last year, and also the United States and Argentina. The problem to-day, says "The Times," is intensified by the war blockade. One of the major preoccupations of the recent Pan-American Conference was how to deal with surpluses of various products which are piling up in South American countries. A committee has been appointed to arrange for their orderly marketing and for the necessary finance. An influential British mission is about to proceed to Argentina, and probably later to other South American countries, to promote British trade in South America. It must certainly deal with this problem, in which Britain is hardly less interested than the United States. On the face of it, the problem can be solved only by international co-operation on a great scaie. If it is resolutely tackled now by the Government, in consultation with primary producing countries themselves, they ought to be able tCKWOrk out a comprehensive plan dealing with such surpluses, not only during, the war, but as a permanent world economic measure, thus preventing any repetition of the disastrous fluctuations in prices which were so largely responsible for the economic collapse of 1931. The first estimate of this year's Canadian wheat production is over 560,000,000 bushels, the second largest crop on record. The oat crop is estimated at 400.000,000 bushels, barley at 110,000,000 bushels, and rye at 14,500,000 bushels. The total stocks of wheat in Canada on July 31 >vero 273,000,000 bushels, the largest on r?cord.