WHEAT CONFERENCE

Otago Witness, Issue 4028, 26 May 1931, Page 28

WHEAT CONFERENCE

METHODS OF DISTRIBUTION EXHAUSTIVE STUDY REQUIRED. LONDON, May 18. The Wheat Conference opened quietly it Canada House. The delegates were photographed, after which Mr G. H. Ferguson (High Commissioner for Canada) formally welcomed them. He declared that the questions to be discussed were the most important in the world. It was imperative that the agricultural industry should be continued. There was much evidence that world production merely kept pace with the increase in the world’s population. Some argued that the present abnormal situation was not due to over-production, but to faulty methods of distribution, preventing the crop reaching the consumers in an orderly way. This must be exhaustively studied. “ I suggest considering the disposition of the present accumulation of stocks and an improvement in handling the future surplus. We must take a broad and unselfish view. All mankind is suffering.” The conference gave a decision against the admission of observers, whose presence at the private discussions would not help the conference or the countries they represent. Observers may lie admitted to the preliminaries, at which the press will attend. NO DUMPING BY UNITED STATES. LONDON ■, May 19. “The United States will not dump,” said Mr M'Kelvie, of the United States Wheat Board, at the opening of to-day’s Wheat Conference. He added that production must be curtailed. The Farm Board’s stocks would be marketed in an orderly fashion, and would not be sold at any price, thus demoralising the markets. ANNOUNCEMENT CAUSES RELIEF. LONDON, May 19. Mr Ferguson, the chairman, summing np the morning’s Wheat Conference, emphasised the relief caused by the announcement that the United States was not dumping. He said that to-day’s proposals favoured a restriction in the area of production as one of the methods for the better balance of trade. THE CANADIAN POOL. VANCOUVER, May 19. A Winnipeg message states that the farmers of Carman (Manitoba) adopted a resolution demanding that the Provincial Government should take action for their release from wheat pool contracts. They declared that they could have marketed their wheat independently to better advantage. AMERICAN OBSERVERS’ VIEWS. WASHINGTON, May 21. Statistical observers in and out of •the Government service are of the opinion that no country represented at the International Wheat Conference at London could be reconciled to Russia’s proposal that the 1900-1914 full year average export should be used as the basis for distributing the new world export quotas. The effect would be to authorise Russia to increase her exports over those of A year ago by 15 times, cut Canada’s export in half, and lop 35,000,000 bushels off the United States export. Except for Russia India alone would profit by the Soviet plan.

DISCUSSION OF REPORTS. LONDON, May 20. The chairman (Mr Ferguson) announced that the Wheat Conference generally debated the three committees’ reports—namely, statistics, general plans, and utilisation of stocks. He described the proceeding as “ confessions of faith.” THE SOVIET’S ATTITUDE. LONDON, May 21. The Soviet wheat conference statement anticipates the 1931 crop at 36,500,000 bushels, and considers that the' present crisis is due to the capitalist system.. The Soviet is interested in regulating the market, but there must be no lowering f of the workers’ standards. It does not accept the United States suggestion of a reduction in cultivation. The Soviet needs increased production to meet the growing internal demand. The Soviet accepts quotas with certain reservations, opposes the establishment of fixed prices, but favours a permanent bureau and orderly marketing. UNEASINESS IN CANADA. VANCOUVER, May 21. Grain exporters frankly admit uneasiness over the Russian proposal that the 1909-14 five-year average be used as a basis for world export quotas. Winnipeg grain exporters have cabled Sir Ferguson (Canadian High Commissioner and chairman of the conference) urging strong opposition to the Russian prm posals. RUSSIAN STATEMENT WITHHELD. LONDON, May 21. Though the Russian delegates promised to issue a statement on their wheat policy during the evening, they left the conference with the document in their pockets, and no one is aware of its contents. From hints dropped, however, it is understood that Russia is

pledged to accept any principle of international quota that the conference approves. WORLD TRADE SLUMP. LONDON, May 23. : A result of the Wheat Conference will be the establishment of a secretariat, representing all the "wheat-exporting countries, to continue the exploration of the problems. The conference found the existing conditions due to a general worldtrade slump, some countries producing more thau could be absorbed. WORLD WHEAT ACREAGE. WASHINGTON, May 23. A reduction in the world wheat acreage outside Russia and China for the 1931-32 season is stated by the Department of Agriculture to-day to be definitely in prospect, the decrease being approximately 2 per cent, on a total producing area aggregating 18,186,500 acres. Canada in particular has been hard hit by the fall in wheat prices and other farm products. The Canadian correspondent of The Times recently said: “The economic situation in the Prairie Provinces of Canada is a source of grave anxiety to local administrations, to the Federal Government, and to the country at large.” He quotes a ease of three brothers working a farm on a commercial basis, who in 1928 realised £9640 for their crop, and this year received only £B5O. In some areas the'poorer class of farmers have lx?en reduced to a ration of coarse home-made bread and syrup, varied by a few potatoes. Supplies of food, clothing and fuel are being distributed by the Red Cross. The local councils are finding it very difficult to collect the taxes; at Wood River only 36 per cent, of the taxes has been paid. The Ottawa correspondent of the Manchester Guardian says that in one place butter has fallen from 30 cents to 10 cents per lb.

The farmers do not really have enough to eat. About £8,000,000 is being devoted to the relief of unemployment in Western Canada. However, when Mr G. H. Ferguson, the new High Commissioner, arrived in London recently he said the conditions would be only temporary, and in six or 12 months at most would see a great improvement.