MOVE TO LIFT PRICES

Hawera Star, Volume LIII, 19 October 1933, Page 5

MOVE TO LIFT PRICES

AMERICAN RECOVERY EFFORT CORN AND PIG PRODUCTION. PLAN FOR CURTAILMENT. TWO-YEAR PROGRAMME. .United tress Association —By Electric Telegraph Copyright.) WASHINGTON, Oct. 17. A two-year programme for a sharp curtailment of production on corn and hog farms was started by the Secretary of Agriculture, Mr Henry Wallace, to-day in the latest and extensive effort to improve agricultural prices. The plan involves a potential Governmental expenditure of 500 million dollars, and aims at decreasing hog production by 25 per cent and com acreage by 20 per cent. A processing tax will lie levied on hogs for the two-year period. The rate will be 50 cents per 1001 b at the start, increasing gradually until February 1, after which it will be two dollars per hundred, or two cents a pound live weight for the remainder of the period.

A tax of about 30 cents on com used in procession foods products but not fed to animals will also go into effect, t. The announcement of Government purchases to-day of more than a million bushels of wheat for the relief of distress and the Reconstruction Finance Corporation’s allocation of 250,000,009. dollars for 8 cent to 10 cent a lb Joans on cotton produced a generally optimistic effect on the American markets.

! Stocks and commodities rallied shandy, the former recovering one to three points on yesterday’s losses and wheat jumping four cents, but later becoming relatively steady with a general gain of two cents. Cotton was up two dollars a hale. This commodity was further particularly stimulated by the Agricultural Adjustment Administration’s announcement of the purchase of about 40,000 bales of cotton for May and July contracts in connection with its own routine market operations. An advance of 80 Cents an ounce in the price of gold and a moderate recession in the price of dollars also helped to stimulate the markets generally. Additional purchases of wheat through the winter, reaching possibly as high as 40,000,000 bushels, were reported to be in contemplation by the Government to supplement its purchases through the new surplus relief corporation. Loans to cotton producers will be made provided they join in the acreage reduction control programme for next year.

VIOLENCE ON STRIKE FRONT.

WIDE AREA AFFECTED. NEW YORK. Oct. 17. Further outbursts of violence occurred aloiw the National Recovery Act strike front to-day. At Los Angeles pickets and workers clashed in a garment strike. _ A't Wilkesbhrre the homes of two miners were damaged by dynamite. At Brockton. Massachusetts. the police guarded the Douglass c hoe company against invasion from workers.

Strikes continued at San Jua.qmn. Valiev, where twelve thousand cotton p okers are out. Coal miners are still , ’ii strike in Tnd’ana. silk rayon workers in Rhode Island. Pennsylvania, and N«w Jersey and sardine fishermen •it Monterey California.