FOWL WHEAT POSITION

Timaru Herald, Volume CXLV, Issue 21088, 14 July 1938, Page 6

FOWL WHEAT POSITION

Report by Grader Will 24 Per Cent, of Stocks Be Millable? Market Still Restricted Mr A. W. Smith, chief grader of the Wheat Research Committee who visited Timaru some weeks ago to carry out an investigation into the quantity and quality of fowl wheat held in stock here, has presented his report, which was released in Christchurch. Mr Smith’s report is as follows: “I have investigated at Timaru the quantity of fowl wheat on hand, and also its quality and the chances of selling stocks now on hand. On May 23 the South Canterbury Grain. Seed and Produce Association advised that the quantity of undergrade fowl wheat on hand was about 25,000 sacks. “I interviewed all the merchants resident in Timaru with the exception of one who handles a very small quantity. and as a result I should say that 18.000 sacks of all classes of fowl wheat would cover the quantity that has to be dealt with, both on farms and in store. “After examining the wheat in a number of stores I was of opinion that it could be divided into four types, and I set up samples to conform to these standards. “I estimate the percentage of each is as follows: No. 1 sample 24% No. 2 sample 45% No. 3 sample 24% No. 4 sample 6% 100% “Lenient in Sampling’’ “I find that millers have been very lenient in their sampling and have instructed their respective storemen to take any wheat that has a reasonable chance of keeping. Most of the rejected wheat is on end in stores and is being given every chance to come into condition, with the result that I expect to see the bulk of No. 1 sample eventually go to mills.

“No. 1 sample comprises wheat that can be classed as No. 2 milling, and the only apparent defect is that It is a little too heavy in moisture to allow of stacking, but the condition of many of these lines is improving. “No. 2 sample is wheat that is well worth full fowl wheat rates, although 5/11 f.o.b. cannot be got for shipping orders against Australian at 6, 4 c.i.f. Wellington, sacks in. However, this class of wheat seems to be moving now and is being sold to the south at 5/6 to 5/7 on trucks “close in'’ stations.

“No. 3 sample is lower than g.w.f. grade and contains more weeds. Still it is saleable wheat at 2d to 3d below No. 2 sample. “No. 4 sample. This is the wheat that presents difficulty in handling and gives concern to brokers. It smells badly, is musty, and could not be stacked. Lines similar to these are worth only what purchasers will pay for them, and like very badly smutted lines produce very little, if any, response when offered for sale. “Generally, merchants state that they are not very concerned regarding the disposal of the wheat on hand with the exception of No. 4 type. They seem quite confident that the stocks will go in time, providing the committee refrains from releasing any more milling wheat, including Australian, for feed purposes. South Canterbury Has the Wheat “Mr Smith’s report will at least let farmers know that merchants have been endeavouring to assist them, and also let buyers know that South Canterbury has wheat available which the chief grader says is quite suitable for fowl wheat,” was the comment of one merchant. It was the opinion of merchants that they were not concerned very much

with Sample No. 4. referred to by Mr Smith, which they knew would bring only what it was worth, but they were concerned with the remaining 94 per cent, which was certainly not millable, but for which, in order to make sales, they would have to accept less than the expected value of the wheat.

There was almost unanimous endorsement for part of the last paragraph contained in Mr Smith’s report. They felt confident that the key to the position in South Canterbury was the prohibition of further imports of milling wheat from Australia for feed purposes. It was felt also that much anxiety amongst merchants and growers would not have existed had the authorities enabled supplies on hand to be cleaned up before Australian wheat was brought into the country. It was ascertained that the original estimate of the fowl wheat held would not have been far out had the whole of South Canterbury been taken into consideration. Stocks of fowl wheat were also held by some of the mills, and they had disposed of the wheat as best they could.

The reporter was told by milling representatives that they had wheat in store which they purchased as milling and could not use. If millers had carried out the letter of the law, the reporter was told, they would not, because- of the moisture content, have secured one-tenth of their requirements. Although millers had been lenient in their sampling they had gone to the limit of their purchase of the wheat at present in store and it was doubtful, it was claimed, if any of the 24 per cent mentioned in the grader’s report, would be accepted. If that wheat improved it would be readily snapped up by millers, some of whom were short in their requirements. It was explained that millers had inspected the wheat in store and have definitely regarded it as unsuitable for gristing. The contention was made by men interested in the industry that there was still a limited market for fowl wheat. It was hoped that as a result of the grader’s report something would be done to find more outlets and lighten the heavy burden which growers had experienced in one of the most difficult seasons on record as a result of the phenomenal weather.