OCR Text |
Show nSpvestodkTl A.rtMUQHTQtfjfe 2ZZ- r 4 Los Angeles, July 23, 1934 A succession suc-cession of events appears to be working work-ing towards elimination of burdensome burden-some supplies of all farm commodities. commodit-ies. Nature in its bounty gave the country more food than could be consumed con-sumed at least, at prices which gave the producer opportunity for profit even under the best of management. Then the federal government stepped in and offered cash payments to those producers who would agree to reduce their acreage and cut down production. This program in itself offered certain reduction of many basic crops. But man did not count on nature's cooperation, despite the lessons of past centuries. Now the great producing areas of the United States are in the midst of alarming drouth conditions. We have plenty of foods on hand and in prospect of harvest this year but the future is uncertain. Government officials reassure the people, however, with the assertion that the Agrculture Adjustment administration plans for "controlled production", which does not necessarily neces-sarily mean reduced production. High officials of the Department of Agriculture declare that through their knowledge of crop possibilities in all parts of the country and their contact with producers through loans and production agreements that there is no danger of food shortage. The cattle situation is undoubtedly undoubted-ly serious. Nearly a million cattle already have been purchased by the A. A. A. for relief purposes and buying buy-ing is expected to continue through the winter. Many range outfits that are able to carry cattle through the! summer are likely to face a vastly more serious water and feed shortage short-age in the winter due to small supplies sup-plies of hay. Cattlemen would do well to keep close watch on the market situation. Many cattlemen who are now selling off parts of their herds under the drouth relief program are using the money to feed out the balance of their stock in dry lots. The probable result will be burdensome supplies of half -fat cattle on , the fall markets. I This may have a depressing effect 1 on cattle prices in the fall and winter, but the chances are that well-finished bullocks will be outstanding and in good demand. The outlook for cattle supplies over a long period indicates a short- age rather than an over-supply. The determining thing is the ability of the consumer to purchase. There is one very serious feature connected connect-ed with this whole situation, and that is the sacrificing of our breeding breed-ing herds. About a quarter of a century cen-tury ago we went through that situation, situ-ation, requiring a long period of time to build up our herds. There is no occasion for duplicating the experience ex-perience of that time and it looks as though those in control of the situation should encourage and facilitate the movement of feed to our breeding herds rather than to force them into the market at sacrifice sacri-fice prices. |