

GRICULTURE 



MUST BE 

 ORGANIZED 



Illinois A^ricu 



OCTOBER 6, 1*3, eXT] 



mmediate 



50% 



;.•!.: 



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 

 f armers i n 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. 



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. 

 T he_ Ill inois 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 1 1 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 fe<Ioral law. 



A much larger i)ept*entage of 

 farmers are ivqulred in organiza- 

 tion If tlicy are to expect effective 

 and succe.ssful administration of 

 tlie law. 



Farmers are now in a position 

 to secure reasonable and fair 

 prices for wheat, corn, hogs, 

 dairy products, cotton and tobacco. 

 Other farm commodity prices 

 have and \vill seek comparable 

 price levels. 



Through organization and organi- 

 zation alono can these results be 

 obtained. 



I np|)eal to every farm family In 

 the Ntato of Illinois to do their 

 |)art by getting into organ-lzatiun 

 liariiCHs; force farm price levels to 

 a iMiirlty basis and with such in- 

 ••rensed lnc«>mes, 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 



I AA 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<ago 

 KMOX— St. IiOMi> 

 \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<t 



Oct. 1« 

 ItVt. 20 



IS 



T 



i: 

 i: 

 i: 

 i: 

 i: 



i: 



i: 



i; 



1! 

 11 



.:v^-v^.- 



.^.. 



> ♦■. 



•«:.»; .. .;■■ ♦,. 



