WHEAT INDUSTRY.

Manawatu Standard, Volume LIII, Issue 63, 10 February 1933, Page 12

WHEAT INDUSTRY.

BRIGHTER PROSPECTS. EXPERTS OPTIMISTIC. It will he good news to producers that expert advisers of tho British Government predict a substantial improvement in the world wheat situation within the next six months, involving a.n upward trend in prices. There is already evidence that the supply is more nearly adjusted to the demand, and that surplus stocks are rapidly sinking, particularly in the United States and Russia, which both aro likely to disappear from the international trade as sellers of wheat. Some observers even say that Russia will be importing supplies on a considerable scale from April onwards. According to Mr J. S. Broomliall, the standard authority on wheat market prospects, reports from Chicago indicate that at least one-third of the United States winter wheat sowing is a complete failure, and that as a result of bad prices and lngh freightage, American farmers have so far used 125 000,000 bushels on their farms as food, this figure being 75,000,000 above the estimate. India recently has been buying wheat, and several cargoes are now on their way to Calcutta as a direct consequence of a large decrease in production, the Punjab alone having reported a 1,000,000 decrease in acreage. Britain hitherto has relied on American supplies for the short period between linrvests in July, but she is now drawing chiefly from Canada and Argentine where immediate stocks remain high. For five years, wheat surpluses carried over by agencies such as the American Federal Farm Board and the Canadian wheat pool, have been a drag on the market, and the cause of low prices, but the rapid diminution of these .stocks promises better times for | producers - all over the world*