BIG WHEAT PURCHASE

Hokitika Guardian, 8 February 1930, Page 6

BIG WHEAT PURCHASE

OF U.S.A. SURPLUS

[United Press Association. —By Electric Telegraph.—Copyright.]

NEW YORK, February 7

It is estimated that during tbe last six months the potential wealth of the United States farmer lias been reduced by approximately 395 million dollars, as the result of the slump on wheat. The proposed entry of the Farm Board in tbe weakened national and international markets is said to be an unprecedented peace time action on the part of the:, Federal Government towards the attempted control of raw foodstuffs, for the benefit of the producers. Any losses that might occur in tlie process would be repaid from a revolving fund of five bundled millions, which was appropriated by. Congress last June ; and would be equalised from thef-Kprofits of the "Board during more ■favourable seasons. .f’Tiie Chairman of the Board, Air Legge, lias described the process as 'what “might be termed an extraordinary or an emergency operation, whereby, because of a large surplus of any commodity, there would be brought and taken off the, market—some considerable part of the tonnage, in order to relieve the pressure; and tbe carrying of the product until some future date., in'tlie hope that there would then be a more favourable opportunity of disposing of it.”