BILLION BUSHELS

Evening Post, Volume CXII, Issue 9, 10 July 1931, Page 7

BILLION BUSHELS

WORLD'S WHEAT SUPPLY

BIG PROSPECTIVE SURPLUS

OUTLOOK FOE CANADA

(United Press Association—By Electric Telegraph—Copyright.) (Received 10th July, 11 a.m.) OTTAWA, 9th July. The present outlook is that on Ist August one billion bushels of wheat will be available for world requirements, Mr. James Richardson, ofWinnipeg, told the House Committee of Agriculture on Thursday. The requirements amounted to eight hundred million bushels, leaving a prospective surplus of two hundred millions. ' Ho included Bussia's exportable surplus, but did not think that Bussia would export more than it did last year. The indications were that they would export less. : "My information," said ftio speaker, "is that the Bussians are not satisfied with the price they are getting. To try to boost Canadian prices above tho world market. would be to get us nowhere. We would be merely holding the umbrella for other countries to get under." Australia, he said, had taken the Oriental trade from Canada because their exchange was at a big discount. If Canadian exchange depreciated, Canadian wheat would be selling at a higher price. The farmer would get more of depreciated currency, but he would not be able to buy more.with it, although he might be able to.pay on; his present debts. Mr. Bichardson opposed a Wheat Board that would fix and regulate prices and dispose of wheat. Mr.», Andrew Cairns, statistician for the Wheat Pool,.,.gave 225,000,000 to 250.000,000 bushels as an optimistic estimate of the wheat crop of all Canada for this year. Last year the estimate had been . 374,000,000, with about 355,000,000 bushels realised. Tho condition of spring wheat in all Canada at 30th June was 56 per cent. of a long time average yield per acre, according to the Bureau of Statistics, compared with 92 per cent, for the corresponding time last year. The report says that a study of the condition figures for 30th June in years back to1 3908 reveals nothing comparable to the critical crop condition on tho prairies this year. On the other hand, the crops in Eastern Canadaare good. When the recent abortive conference was held in London between the i;cprosentatives of eleven exporting ■ countries, in the endeavour to devise a way out of the wheat problem, it was stated that the anticipated exportable surplus for the coming harvest was 35,000,000 tons and the needs of importing countries would be 23,000,000 tons. The recent world sugar pact, headed by Mr. Thomas L. Chadbourno, the New York lawyer, gave impetus to tho effort to make a similar arrangement for wheat. A system of export quotas was proposed by the Aust tralian and Polish delegates to the conference, but was not accepted, largely because the Bussians insisted on their right to climb back to prewar production. For this Bussia was condemned by other countries which had grown in importance during the absence of Bussia. from the market—the TTnited. States, Canada, Australia) arid the Argentine 'Which found the suggestions impossible. The United States, a second barrier' to any agreement, was found to, have gone to the conference without the slightest intention of co-operation and ' without tho slightest interest in the meeting, but merely because • she was weary, of being criticised by the , rest of the world for her aloofness. The Balkan States, however, showed interest in Bussia's proposals, and it is possible that arrangements may be made between these countries. . ■ . Earlier, the proposal was made that wheat acreage should be1 cut, but the United States Farm Board, through its chairman, Mr. James C. Stone, declared the plan unworkable, pointing out that to ask farmers to quit raising wheat irrespective of how economically they could do so was . inequitable-^ Some farmers would be compelled to cease sowing wheat in; any case through economic necessity. Compulsory restriction of acreage is impossible because of tho Fourteenth Amendment. At' the conference, however, Mr. Samuel B. M'Kelvie, the chief American delegate, proposed that all countries should cut acreage, and this was opposed by the Bussians, who pointed out that the Five Year Plan demands further development of wheat production. America refused to join any pool, and also stated that she would not dump surplus wheat, ■ and the conference; ended merely with an arrangement for the collection of data. Last year Bussian wheat production was 29,500,000 tons, of which 23,400,000 tons was consumed' internally. This year the anticipated crop is 36,500,000 tons. The average Canadian exports from 1924 to 1927 were 7,000,000 tons a year, and the average Bussian exports from 1909 to 1914 were about 5,000,000 tons.