CANADIAN WHEAT.

Press, Volume LXV, Issue 19769, 6 November 1929, Page 13

CANADIAN WHEAT.

CURRENT RULING PRICES. POOL'S REFUSAL TO SELL. From a Special Correspondent. VANCOUVER, October 16. The Canadian Wheat Pool, in an official statement,.takes full responsibility for refusing to sell at current ruling prices. Were wheat sold at present price levels, having disregard to the grade of the crop, this only promises a gross farm income of £59,600,000, or an approximate reduction in the buying power of the West of £34,000,000. The value of last year's crop was £04,000,000. ; The present season's crop is estimated at 260,000,000 bushels—about J half the crop threshed last year. In J the face of this comparatively light crop, terminal storage is being overpxtended while the surplus wheat is backing up into the country. Railway companies are rationing cars for wheat and lake grain-carriers are taking on j winter storage. i The situation has been squarely laid at the door of the Wheat Pool, and the Wheat Pool has accepted the responsibility. If the Pool's price were reduced there would be no difficulty iu making sales and the blockade would be at an end, but the Pool says it will not place high-grade wheat on the bargain counter. European buyers are just as firm in their s>tanri not to buy at the Pool's price. It lias bad to face sharp criticism at home. Steamship companies have laid up wine of their Great Lake carriers iti winter quarters, and some have expressed bitterness at the Wheat Pool's stand. Railways are losing heavily, but the Poi>l will not budge from its position. The farmers are behind it to a man. The Pool is fortified in its stand by the opinions of the banks. The Canadian Bank ot Commerce has publicly express*! it« view that the Pool is taking a sound stand in its present policy. The bank says it is as much the privilege of the farmers and their marketing organisations to refuse to sell on a declining market. It predicts reduced world supplies and states that only a remarkable recovery can provide I normal supplies from Australia and the Argentine. * The estimated average wheat yield for Alberta is from 10 to 12 bushels an acre, and a fair price is held to be a necessity if actual want is to be avoided. ''No one." says the Pool statement. '"should delude himself that Western Canadian farmers are rolling in wealth. Figures recently compiled show that the .survey conducted on 12.000 representative United ta | e ( s farms th-' average profit was 1334 dollars in the twelve months of 1928. The average investment in land was lo 416 dollars. Deducting six cent, interest on the investment .shows the farmt-r a net nrofit of 434 dollai* for a vear of labour. I do not know if a similar survey has ever been made 'in Canada, but it is safe to predict that return- wonld not average p ll1 ?* 1 higher. The wheat producer of the Canadian Prairies is not a "profiteer, and in fact ranks among the .owest paid of all workers."' Concerns merchandising products of good quality can develop the unI paralleled sales opportunities in Canterbury most effectively and most I economically through the advertising columns of THE Pubs.