GRAIN FOR EUROPE

Otago Daily Times, Issue 26579, 30 September 1947, Page 5

GRAIN FOR EUROPE

AMERICA.’S INTERIM PLANS NO HARDSHIP ON OWN PEOPLE WASHINGTON, Sept. 28. The Secretary of Commerce, Mr Averell Harriman, as chairman of the President’s committee on foreign aid, presented to President Truman to-day an interim report on the 1947-48 grain export programme, in which he stated that the export of 500.000,000 bushels of United States wheat to needy countries would not impose, a hardship on the American people. Mr Harriman reported that if the European need for wheat was to be met the first essential was to reduce the use of wheat for livestock, and the second was to acquire it for 'export. He declared: “A substantial export programme would not compel disastrous liquidation of livestock bcause the shipment abroad of 500,000,000 bushels of wheat (about 23,500,000 tons) would leave more than 250,000.000 bushels for feed. “The world "deficit would he about 3,000,000 tons of grain even if the United States would make 15,000,000 tons available for export. Canadian exports would probably be smaller, but shipments from Argentina and Australia should be larger, with Argentina the most promising major area for the export of grain. Stocks of all grains in that country were about 4,000,000 tons larger on July 1. 1947, than on the same date a year ago. Mr Harriman reported that the reimposition of direct controls in the United States this winter would not solve the problem of world shortage, and added: " Whether livestock in this country or human beings in the deficit areas abroad get a major portion of our surplus wheat depends, first, on prices; secondly, on the behaviour of American consumers; and thirdly, on action taken by the United States during the next few weeks. In making the recorfimendations, Mr Harriman said: “The most effective weapon that can be brought into play immediately to reduce pressure on grain markets is voluntary selfrationing by consumers. Such an effort must be led by the President.” Mr Harriman pointed out that the committee would not make final recommendations until it had had an opportunity to study the'report of the Paris Conference of 16 nations, but stated that the present interim report was made “ in view of the urgency of the food crisis in Europe and the necessity for immediate decisions with respect to grain procurement by the United States Government.” ■,