A LEAN SEASON

Southland Times, Issue 22107, 30 August 1933, Page 7

A LEAN SEASON

WHEAT INDUSTRY CANADA AND UNITED STATES TWO MAIN FACTORS (United Press Assn.—Teleg aph Copyright.) (Rec. 5.5 p.m.) Ottawa, August 28. The world wheat situation is dominated by two considerations, states the Dominion Bureau of Statistics. The first is greatly reduced North American cereal production through drought and excessive heat over the central areas of the United States and large areas of the Canadian prairies; and the second the prospect that Europe has harvested a bountiful crop, rendering import requirements abnormally low. The 1933 season has been one of the most disastrous in the agricultural history of Canada and the United States.

A message from Washington states that the Secretary of Agriculture, Mr Wallace, to-day formally' announced that a reduction of 15 per cent, in seeded acreage would be required of farmers joining the United States Government’s wheat plan. A warning against the dangers of the London wheat pact was made at Calgary to-day by Sir Herbert Samuel in an address in which he declared that the threat of a great home surplus had more to do with the depression in wheat prices than any other factor. "The new wheat agreements are admirable in their object,” Sir Herbert said, “but they do not make it plain how increased wheat prices are to be obtained. The farmer, assured of higher prices, will naturally raise more grain. Diminished production, however, must go along with reduced exports or a great home surplus will be built up.” Tfiis, he said, was exactly what happened with the United States Farm Board and the Canadian pools. Of the Ottawa agreements, Sir Herbert said they compelled Britain to negative her policy of discouraging foreign trade. "We cannot hamper or destroy this trade, which is three times that of our trade with the Empire,” he said. “Politically the dominions are free; economically, however, the situation is not so plain. Britain’s unemployment is largely due to a stoppage of emigration since the war. Indications of returning prosperity are evident in England.” LONDON AGREEMENT ARGENTINA’S ATTITUDE. (United Press Assn.—Telegraph Copyright.) Buenos Aires, August 28. The Minister of Agriculture, Di' Duhau, stated that Argentina might not sign the London wheat agreement, but if any sacrifice imposed on Argentina promised to bring an equivalent benefit in the future the matter would be considered with the required serenity and urgency. BRITISH MARKETS ADVANCE IN PRICES. (United Press Assn.—Telegraph Copyright.) London, August . 28. Wheat cargoes opened firm at 6d to 9d advance in sympathy with the weekend rise of American and a further appreciation of the Montreal exchange. The demand, however, was disappointing and closed quieter. Parcels are firmly held at 3d to 6d advance. Fair business is reported, particularly in Russian samples to British ports. Futures: London, September 21/8, December 22/9, February 23/1J; Liverpool, October 5/13; December, 5/3i; March, 5/63; May, 5/7J.