SURPLUS WHEAT

Hokitika Guardian, 21 March 1932, Page 5

SURPLUS WHEAT

AMEBICAN EXPOBT

DUMPING NOT CONTEMPLATED.

(United Press Association—By Electric Telegraph.—Copyright.)

WASHINGTON', March 1?},

Mr Mark W. Woofs, of Nebraska, who lias been a prime mover in conferences that have been held here to arrange credit in order to sell some of the U.S.A. Farm Board’s wheat holdings said on Saturday that the contemplated sales are to be non-com-petitive wheat markets such as those of China apd the Orient, with no thought of selling to Europe any- more than the normal requirement from this country. Virtually, every bushel of wheat and every bale of cotton which the Farm Board controls, could, so the officials . believe, be sold to foreign Governments if satisfactory credits were to be arranged. That is why the Administration and the Congressional leaders are seeking to provide adequate financing through the use of part of the two hundred million dollars of agricultural funds carried in the Reconstruction Finance Corporation Act. Many foreign Governments have made overtures to the U.S.A. Farm Board, but, in most cases acceptable credit terms could not be reached. In a telegram to Southern cotton firms, the Secretary stated on Saturday: “The Administration plans the disposal of the wheat and cotton surpluses abroad. We do not contemplate dumping, but new markets are to be sought.” The Secretary specified that no sale would be made except in an orderly way in accordance with the Farm Board’s previously announced policy. Such sales would be constructive if they were made to result in a benefit to the farmers. Meanwhile Chairman Stone of the Farm Board said that the Board contemplated no change in its wheat stabilisation policy, and rumours that the surplus wheat would he dumped upon the foreign market were untrue.

EFFECT IN CANADA

WINNIPEG, March 19

There has been a heavy liquidation of all three wheat futures. It has been prompted by the reports of a wheat surplus slicing by the United States.