1021.] 



Prices of Home-Grown Wheat. 



897 



to 73^ per cent, and to 72 per cent, if more than 15, per cent, 

 of British wheat is used. The Minister is advised that in the 

 opinion of the Flour Mills Control Committee this rate alfords 

 ample inducement to millers to use the maximum quantity of 

 British wheat. 



With a view to emphasising the importance of this matter, 

 however, a letter has been addressed to the Wheat Commission 

 urging that continued attention should be given to this point 

 with a view to the rate of extraction <5f British wheat being kept 

 proportionately low as compared with foreign v\'heat. 



3. With regard to the free export of British wheat, representa- 

 tions have been made to the Wheat Commission with a view to 

 the export of wheat for seed purposes being allowed without any 

 restriction other than the issue of a licence on the recommenda- 

 tion of this Ministry. It is hoped that it may be possible to give 

 effect to this proposal at no very distant date, though at the 

 moment it is not possible to give any definite assurance on the 

 point. 



4. The suggestion that millers should be permitted to sell 

 flour made exclusively from British wheat at a price lower than 

 the controlled price of ordinary flour has also been submitted to 

 the Food Controller with an urgent request that it may receive 

 favourable consideration. The Ministry has, however, reason to 

 doubt whether it will be possible to give effect to this proposal. 



5. As regards the Cereals (Piestriction) Order, the Minister is 

 informed that this Order has been revoked by the Food Con- 

 troller and that a notification to that effect is now being issued. 



6. Lord Lee trusts that the Xational Farmers' Union v^ill 

 realise from the information given above that every possible step 

 is being taken by this Ministry to assist farmers in securing a 

 better market for home-grown wheat. 



At the same time, he feels bound to remind the Union that 

 millers are under no obligation to purchase grain which is not 

 required to meet current needs, and that in a number of cases 

 the relatively low prices w^hich have been realised have been due 

 to farmers pressing millers to purchase wheat to an extent which 

 is in excess of current milling requirements. Another important 

 cause of the low prices realised has been the inferior condition of 

 much of the wheat recently offered for sale. 



That there is at the present time a lack of demand is 

 undoubted, and this appears to be parti}' due to a slow demand 

 for flour by bakers, while in addition farmers have threshed 

 heavily this season, with the result that millers hold large stocks 

 of British wheat. 



