GRAZING FEES — GUAEANTY PRICE ON WHEAT. 25 



Mr. Clement. Absolutely not. 



Mr. Young. I had overlooked the fact that they fixed the price 

 on the 1917 crop. 



Mr. Clement. Yes, sir ; it was the 1917 crop. 



Mr. TiNCHEE. You read an extract from a document sent out by 

 Mr. Hoover to all the grain dealers. I hope you will let that whole 

 document go into these hearings. 



Mr. Clement. We will be very glad to do so. 



Mr. Wilson. You also spoke about receiving numerous communi- 

 cations from Mr. Hoover about this time on this subject. Have you 

 those ? 



Mr. Dorset. We have those, but not here. 



Mr. Wilson. I do not know, but I think it would be a good thing 

 to insert them in the record in the proper place, if you have got 

 them so you can do so. 



Mr. Clement. We will furnish you everything we have got. 



Mr. Wilson. I do not know what they are, but I suppose they are 

 along the same line and would undoubtedly be of interest to the 

 committee. 



Mr. Young. Let us get back a little bit to the marketing ques- 

 tion. You gentlemen represent the six States involved in this con- 

 troversy. Now, take Texas as an illustration of the conditions in 

 the other States. A farmer out near Fort Worth, for instance, pro- 

 duces wheat. His first market is the local buyer in his country town, 

 is it not? 



Mr. Clement. Exactly. 



Mr. Young. Now, do you gentlemen, as dealers in grain, become 

 that first buyer or do you buy from the local merchants ? 



Mr. Clement. Well, sometimes we have elevators at different 

 places, and at other times we buy from the merchants. Except in 

 the Panhandle they handle most of the wheat grown in Texas. 



Mr. Young. The country mercha,nts? 



Mr. ClemeNt. There are a good many little country elevators. 



Mr. Dorset. I will say, Mr. Young, we have 400 members in our 

 association, and more than 90 per cent of them are country buyers, 

 who buy from the farmers. 



Mr. Young. You gentlemen simply accumulate it in larger quan- 

 tities and put it into the commerce of the country ? 



Mr. Clement. Exactly. The smaller elevators do not get in touch 

 with the general trade like the grain dealer does. 



Mr. Young. That system of buying from the farmer applies sim- 

 ilarly to the six States involved here, does it? 



Mr. Clement. Exactly. 



Mr. Young. Now, as I understand it, with reference to this par- 

 ticular crop of 1917 you gentlemen kept in touch with the Federal 

 authorities so far as you could? 



Mr. Clement. Absolutely. 



Mr. Young. To see what was going on, so that as business men 

 you would know what to do ? 



Mr. Clement. Exactly. ■ i i. i . 



Mr Young. Instead of making the market, you simply bought on 

 the market that was made by the combination of circumstances in 

 the entire world? 



