File:Illinois Agricultural Association record (microform) (January 1931- December 1934) (16053581193).jpg

Title: Illinois Agricultural Association record (microform)
Identifier: 5060538.1931-1934
Year: 1931- December 1934 January 1931- December 1934 (Jan0s)
Authors: Illinois Agricultural Association; Illinois Agricultural Association. Record
Subjects: Agriculture
Publisher: Mendota, Ill. : The Association
Contributing Library: University of Illinois Urbana-Champaign
Digitizing Sponsor: University of Illinois Urbana-Champaign

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;.•!.: V? UKivg;si;waff:i,yKo)?n Imperative To Raise Farm Price Levels At Earliest Possible Moment—Smith By EARL C. SMITH, PRESIDENT, Illinois Agricultural Association. Practictilly all students of national affairs and economics agree that it is imperative to raise farm price levels at the earliest possible date. They recognize that farmers and those dependent upon farmers constitute approximately one- half the total buying power in the Nation They agree that if this buying- power can be restored thru increasing fann incomes as a result of normal prices for farm products that farmers could and would be effective in absorbing the prod- ucts of mills and factories. Such buying would furnish a necessary outlet for increased production of mills and factories that must be had If in-^— ■ creased employment In industrial regions la to be realized. How to r.ii.se fann prices is the STOP! THINK! ACT! problem. Were It not for the tre mondous surpluses of farm crops this would be a comparatively easy task. The Farm IJnreau move- has for many years insisted that proper control of crop surpluses must be had if reasonable price levels AV ere to obtain for that portion of farmers production con- sumed in the domestic market. MiXary-HauRcn Bills, The McNary-Haugen Bills of 1926-27-28. were directed at the heart of this qucstioti. Many yet believe that had this IcRislation been enacted into law and effec- tively administered. America would not now he in the tlnows of distre.ss. The problem then pre- sented was very different and comparatively simple to that which exists today. At that time It was merely a matter of provid- ing ways and means for surplus production to flow into world channels of trade on a world pri«e level basis while maintaining price levels for the large portion of production consumed in the do- mes-tic market on the basis of American standards of living. At that time there was almost unlimited export outlets for sur- plus farm crops. Today such out- lets are greatly reduced, in some cases almost non-existent. The American farmer has continued to produce far beyond the possibili- ties of consumption in the United States. This changing condition was largely the cause of farm or- Banizations supporting the Agri- cultural Adjustment Act with its wide and varied authority placed In the Department of Agriculture to increase price levels of farm crops to parity, at least for that portion consumed at home. President Roosevelt and Secre- tary of Agrclulture Henry A. Wal- lace, have repeatedly told farmers that the only way they could ex- pect substantial improvement in price levels necessary to restore the purchasing power farmers had in the average of the years 1909- 3 914, was to plan their produc- tion so as to remove the tremend- ous surplus now coming to market. Means .\ Rcrtucllon. In effect, this means a sub- stantial reduction in the produc- tion of the many basic farm com- modities. A vast majority of the students of the agricultural prob- lem agree that this is the first essential to restore farm prices, at least until stich time as normal export outlets may he established thru reciprocal trade agreements and international understandings. Based upon the general princi- ple of planning commodity pro- duction to the needs of the do- mestic market, the Secretary of Agriculture and admini.stralors of the Agricultural Adjustment Act have developed and are putting into effect, programs which they hetlevo are addressed to the pe- luliar problems presented by the several basic farm commodities and which they believe will ef- fectively result In substantial Im- provement of farm price levels to the full extent farmers will re- Bpond and coopor.'ite. The wheat control program which has been imdcrway for sev- eral months needs no further ex- planation. Undoubtedly, there arc inequities or inequalities in the application or effect of this pra- gram upon many farmirs. The 'outstanding fact remains, how- ever, that practically every stu- dent of the situation confronting wheat farmers Hgroe that it is necessary to reduce total wheat 20% to 25% If we are to have any substantial reasons for ex- pecting parity prices for that part domestically consumed. Very definite price-controlling plans are underway for the dairy farmers in the larger^ milk sh' The temporary pr^uctlon con^ trol program for the cotton farm- ers in the South was accepted by them In a very large way. More permanent plans to maintain reasonable prices for this group of farmers is well underway. Hog Program. A temporary program for the hog farmer is about completed. An Intermediary program for corn-hog farmers coupled with a more permanent program, has been recommended to officials at Washington by the National Corn- Hog Committee. Much publicity has been given to the details of these plans. Every farmer should fully understand the complexities of the corn-hog problem that he may be prepared to understand the rea.sons underlying the pro- posed solutions. Many leaders of national promi- nence in the political and business world have contended that nothing could be done to stimulate corn and hog prices except improve- ment in general economic condi- tions. They appeared in large numbers before the committees of Congress when the Agricultural Adjustment Act was under con- slder.ation and stated in the pro- ceedings of these hearings that the delicate and jkecullar relation- ships existing berwcen corn and hogs made it economically and practically impossible to success- fully do anything to improve and maintain the price levels of these commodities. The Illinois Agricultural As- sociation a.ssumed the leadership in insisting that any National agri- cultural i)rogram would break down that failed to effectively in- clude corn and hogs because taken together, they constitute the largest cash crop of the American farmer. Economists have stated that hog prices could not artificially be raised that to do so would decrease pork consump- tion with the result that the large increase in the tonnage pf hogs coming to market would force a break-down in such a program. The National Corn and Hog Committie has attempted In its recommendations which have gone forward to Washington, to meet every economic problem that the peculiarities of the commodities of corn and hogs present. I*r«)blcHi Siininied I'p. Summed up, the problem pre- sented disclosed a decrease in the exports of pork j)roducts of more than five himdred million pounds during the last year, coupled with an e.'^tlmatcd increase In pigs far- rowed of around seven per cent. Tho temporary program, although ilrastic. called for the immediate marketing of six million pigs or approximately one-third of the numljers that would have normal- ly come to market during the next six to eight months' period. This effort has now been fully ac- complished. The recommendations now under consideration In Washing- ton call for an immediate im- provement of price levels which should result in parity prices on all hogs below 220 pounds by November Ist. The levying of a .$2.00 processing tax on all hogs reaching market. $1.00 of this tax to be returned to all farmers who contract to reduce their corn acre- age twenty per cent In 1934 under that of the average of 19.'?2 and i;t.13; also to pay such co-opernt ^ks c\^ry THINK and ACT.
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Information rcaehingr the of- fices of tho Illinois Agricul- tural A.ssociation discloses that the efforts now being made to successfully admminlster the Agricultural Adjustment Act arc being resisted by various groups of processors of differ- ent commodities. These people are effectively organized. They are presenting almost solid fronts to protect what they call their rightful interests. In many cases this means to pro- tect abnormal margins of prof- It in the processing or the later handling of the products of the American farmer. It is well known that many processors of farm commodi- ties are appealing to and get- ting support from unorganized farmers to offset or break down the efforts and influences of farm organzations. To which camp do you be- long? With the procesiors and other h.infllers of farm crops in the channels of distribution, or in an organization fighting shoulder to shoulder with your neighbor producer? There is no middle ground. There can be no middle ground. The_ Illinois Agricultural Asso- Hartner in to BJTWTt*^ bushel on the normal yield of acres taken out of corn produc- tion, such acres to be allowed to go to pasture or cut for hay. The other revenue derived from the processing tax, it is recom- mended, be used to remove from normal market channels the per- centage of hog receipts above that which can be coiwumed in the domestic market on a basis of parity prices to the producer. The hoga so purchased would be pro- cessed into an edible and whole- .some sausage upon which a low price could be fixed unifoyuly throughout the United States, buch a program will make available on a lower price basis than exists at the present time, a pork product for citizens with reduced Incomes. Calls For Cooperation. This program calls for the_ co- operation of a large percentage of the corn-hog farmers of the middle west. Practical men in all lines of the meat Industry, In- cluding producers, packers and retailers, agree such a plan can be so coordinated as to result in parity prices for approximately 90% of the estimated pork ton- nage to come to market during the next eight months. The question resolves Itself Into the following: Shall corn-hog farmers do noth- ing and as a 1 r e 8 u 11 of their lethargy be prepared to expect even lower prices than have pre- vailed during the last year, or shall they organize and fully co- operate so as to have reasons to expect parity price levels for ap- proximately 90 7o of their normal production of hogs and 80% of their normal production of corn. Less than 10% of the fanners in the United States thru organi* zation have made possible this far- reaciiiiig femes, a.sslst in buying the Nation back to prosperity. Congress Intend) Should AiH Woi lO Id production in this country from ing farmers on a basis of 30c per IAA LEGISLATIVE COMMITTEE IN STATE CAPITAL By R. A. COWLES, Treasurer Illinois .'Vgricultura Association Members of the Association w attended the Annual Meeting, h , in Peoria last January, will rec ■■" the address of Fred Lee, Washii^ ton, D. C. SPECIAL LEGISI \ TIVE COUNSEL, who presen F^ the bills In preparation and bef j^*^ the 72nd Congress, proposed ^^ farm organizations for the re '* of distressed farmers threaten®" with loss of their homes and pr erty through foreclosure—with source of funds available for fu ing such obligations. The program, as explained i "V Mr. Lee, proposed brieflv: (1) Amendment of the Fedrf""^' Bankruptcy Act, to enable farn ®" in suitable manner and with m'"'" mum expense, to secure befor- * Special Ileferee In the homo co""" ty, agreement by majority ac '°" of creditors as to extension *^'" composition of the farmer's de^- (2) Amendment of the Fed I*"*) Farm Loan Act and enactmen » ** other legislation necessary to llT?' of fi»l^" PP- no d- r vide n substantial source needed for such purpose and new farm financing. j^ The 72nd Congress, in the tff* ing days of the session, amerj the Federal Bankruptcy Act adding a new chapter, Inclu "".^ "Section 75 ACailCULTUl The legislative committee of the Illinois Agricultural As.sociatlon was on hand at Springfield this week when the General Assembly convened in special session. The 1. A. A. is attempting to protect the interests of farmers, in fact, all downstate people against imfair legislation that may bo pro- posed by Chicago political leaders in the Interest of poor relief. 8CHEDULI DLRIXG MOl! (Speakers for ded by lAL COMPOJ SION," A 3rd by t No a reached to provl needed i and for i Honor member dlclary, has prep Section 1 tioned, 1 here rep United ! ) "How with del Governn bankrup "Unde Congress relief fc special I "Secti law now farmers gether i District or cone handle t "How lief, wh slonej: 1 court? "At a (he law OF RADIO 1LIZ.\T10X ( To Be Anno! .STATION W L S —Chlcaito KMOX—St. liouis W L S —Chicago KMOX—St. Louis W L S —Chicago \V li .S —Chicago KMOX—St. Louis W li S —Chl \V 1, R —C^lilf'ago W li S —Chicago DATE Mondfl y Tuesday Wednesi Thursda Friday Sunday ^londny Tuesday Wcdnesi TImrsdal* Friday Oct. 9 Oct. 10 ay Oct. 11 f Oct. 12 )et. 18 Oct. IR Oct. Ifl Oct 17 ny 0 ♦■. •«:.»; .. .;■■ ♦,.

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