CHECK ON PRODUCTION

Sun (Auckland), Volume III, Issue 882, 28 January 1930, Page 10

CHECK ON PRODUCTION

FARMERS IN UNITED STATES WARNED L niicd P. A. —By Telegraph—Copyright WASHINGTON, Monday. The United States Department of Agriculture has issued, its annual report. This cautions farmers against over-production, and says the domestic market, at least for the first half of the year, will not be as good as it was in the past year. The demand fo* some farm products, noticeably butter and ,wool, has been affected, says the report, by the decline in industrial activity since June. Foreign demand in 1930, it is predicted, will be better on the whole in the last half of the year. The prospects are for an improvement in the economic conditions and purchasing power of Britain. More competition is expected from foreign-produced wheat. Little change is anticipated in dairy products and wool. Prices for the 1930 wheat crop are expected to be- little different from those of 1929, unless the winter damage should be severe. The world acreage probably will not be materially changed, and the yields an acre are not likely to be as low as in 1929. The world demand for wheat appears to be increasing. The United States must expect to meet continued keen competition from Canada, Australia and perhaps Russia. A high point of expansion in the sheep industry has been reached. It is unlikely that the prices for sheep and lambs can be maintained at the high levels of the last three or four years.