OUT OF THE MIRE

Southland Times, Issue 20209, 21 June 1927, Page 7

OUT OF THE MIRE

CANADIAN WHEAT POOL CONTRACTS RENEWED WITH SASKATCHEWAN NO ALARM FOR THE FUTURE (By Telegraph—Press Assn.—Copyright.) (Rec. 7 p.m.) Ottawa, June 19. Mr James McLeod, Director of Publicity for the Canadian Co-operative Wheat Producers’ Ltd., informed the Press that the Saskatchewan wheat pool has already secured enough contracts and renewals to carry on for another five years. This means that over 6,500,000 acres have signed with the pool for five years, beginning with the 1928 crop, and there is still over a year before the old contracts expire. The fact that the Saskatchewan pool his already secured its quota and that contracts are coming in very rapidly from the other two provinces, establishes beyond any question that the functioning of the pool for at least another six years, and probably for all time, Is part, if not the whole of the grain marketing machinery of Western Canada.—A. and N.Z.

The New York Times’ Winnipeg correspondent stated early in April that the Saskatchewan wheat pool, a big factor in co-operative grain marketing in Canada was having great difficulty in persuading its members to renew grain marketing contracts which were formulated by Sapiro. Less than five per cent, of the members were, it was reported, renewing, despite an army of field service men employed bv the pool. This was due to the fact that producers selling on the open market had been obtaining a better price for their grain than the pool farmer, in some cases getting 60 cents a bushel more. Eleven million acres of Saskatchewan wheat was then in the pool, but expired with the marketing of the 1926-1927 crop. Only five million acres had renewed. Unless another 3,500,000 acres entered by next autumn, the pool would have been compelled to release all members from their contracts and cease operations connected with the pool. The managers when seeding began, exto obtain 85 per cent, of the acreage. ihe failure was considered a triumph of the grain exchange marketing system. A decision had already been reached in Saskatchewan to discontinue operations of the Coarse Grains Pool, namely oats, barley, rye and flax.