Program for 



Agriculture 



By Earl C. Smith 



I 



-EXPERIENCE iH.ih IhIi.i, .,u<I ,aui 

 '. tiiiiittiunl lit ihc At;riiullur;il 

 A<ijii>lmciii Aci MtKSi.st> iiiui 

 itiiininn'ncls ihc lOllowmi; ji"V>'''n- 

 mciiliil pi>lirn'S as cssoiitial In haiifllc 

 ;ht laiiii surplus proliU'iii (1) An <x- 

 tiiiMvt pii)S'""ii "f soil cf)nsfi'vau<>n 

 si> adtiiinistcrcd as In assist farmers in 

 adjiistinj; prodiution tii doniand; (2) 

 Aggressive pn)gran\ to expand donns- 

 tie and f(»reign markets for farm tom- 

 i)i<idit\ surpluses. If nei'essary, use uf 

 import revenue to assist through suh- 

 iidy. (3) Practical system of farm com- 

 modity loans. 



It IS my belief that the development 

 and aggressive administration of these 

 three important functions of govern- 

 ment, properly coordinated would very 

 substantially, if not completely, con- 

 stitute a .sound, defensible and perma- 

 nent solution <jf the farm problem of 

 the United States. 



Our First Olijeclive 



Our immediate objectives sh<iuld be; 



FIRST, to .secure such action by 

 Government as is nece.s.sary to im- 

 mediately and fully di.scharge its ob- 

 ligation with every farmer who under 

 contract has complietd with his agree- 

 ment with the government or is in the 

 process of compliance covering con- 

 tracts of 1935. prior thereto or who has 

 entered into contract or agreement 

 covering adjustment of wheat acreage 

 :n the fall of 1935. 



I have ev<>ry rea.son to believe this 

 will be easily accomplished, as I have 

 heard of no one in administration 

 circles, congressional circles or reason- 

 able business circles who question the 

 justice of this action. 



SECOND, to secure such act-.on by 

 s>oveinnieiit as is necessary to cover 

 into the trea>ury <>f the United Stales 

 all processing taxes levied but unpaid 

 up to the time of the Supreme Court 

 deiision on January 6, 



THIRD, to secure the enactment h\ 

 Congress and the administration by 

 Government of a sound, practical, legal 

 agricultural policy covering. 



(a) full authority and direction to 

 insure aggressive action for expansion 

 of outlets for farm products in both 

 the domestic and foreign markets. 



Pr<tloct Home Market 



Farmers certainly have a right to 

 insist upon full protection of the home 

 market from competitive imports and, 

 in addition, have a right to insist that 

 at lea.st untit industrial prices are in 

 line with agricultural prices, trade 

 agreements entered into with foreign 

 countries should giv« to agriculture 

 substantial advantage over othar in- 

 dustry in the provisions of all such 

 agreements. 



(b) Practical and eflectivc applica- 

 tion of the business principle in agri- 

 culture that is both successful and ef- 

 fective in bu.siness in adjusting pro- 

 duction to total demands of markets at 

 fair price levels. 



(c) Extension of a policy covering 

 commodity loans based upon farm 

 warehouse receipts or otherwise, so as 

 to control sea.sonal .surpluses in the in- 

 terest of more orderly marketing and 

 more stable farn^ commodity prices. 



These three things can and must be 

 d(me. I do not believe farmers are so 

 much concerned as^ to the legal prin- 

 ciples and authority upon which these 



policK-s of Government are ba.sed, but 

 that they are concerned and will de- 

 mand that they be applied with rea- 

 sonable simplicity, practicability and 

 made permanently eflFective. 



Your leaders in statu and nation <ire 

 convinced that not only ckii the thret 

 mentioned principles of agricultural 

 legislation be drafted, providing for 

 u workable and effective program: 

 but that such a program would be well 

 within any reasonable interpretation, 

 even of the so-called Roberts opinion. 



We believe this is no lime for tem- 

 porary expedients or for further twid- 

 dling of thumbs as we face the great is- 

 sue before us. I personally have nt\ti 

 witnessed either interest or tempir ••'. 

 Congress so conducive and friendly lo 

 a sound and permanent solution of the 

 agricultural problem. 



Believed Legal 



Based upon detailed study and legi.l 

 advice from authority of the highe>t 

 character, it is believed that through 

 proper amendments to the Soil Erosion 

 Act of 1935. the ultimate eflect of ad- 

 justed production to secure and mair.- 

 lain a fair standard of price levels li r 

 farm products can be secured. 



There c«'rlainly can be no question 

 a.s to the responsibility and power ot 

 the federal go\'ernment in controUini; 

 the rivers and harbors of the country. 

 There certainly can be no question 

 that any reasonable national effort to 

 conserve soil fertility is m the general 

 public interest. It has been stated by 

 technical authority that soil fenility of 

 a value running into billions of dollars 

 annually .s carried bv streams and 



k. 



I. .\. \. RECORD 



