Show Li liveston vesto I 1 kedl naughtan one of the most elaborate schemes in modern times tor for the purpose of increasing commodity prices pi ices is now being tried out by the united states government starting on august the secretary of agriculture announced that the U S agricultural adjustment administration would purchase every pig weighing from 60 50 to pounds and all piggy sows bows weighing over pounds on the public stock yards at premium prices it is estimated that the government will be called upon to purchase a minimum of four million pigs and one million bred sows bows under this plan prices to be paid producers range from 6 to 9 va cents a pound for pigs strictly according to weight and market price for sows bows plus four dollars per head with no dockage for sows bows as is customary on the markets during the first two days in which the united states government assumed the role of the worlds largest live pork buyer nearly one hundred thousand pigs and bred sows bows were offered on the middle western markets the scheme is expected to reduce the wint r hog marketing as well as the 1934 hog marketing by at least twenty per cent roughly government officials believe that this will mean the elimination of the actual surplus pork production thus paving the way for increased prices of live hogs on the market by at least awen ty five to thirty per cent to pay for the purchase of these hogs a processing tax amounting to less than a half cent cea a pound will be levied against all packers who slaughter hogs beginning october chicago is used as the basic market with prices to bs be paid for pigs running 40 cents a hundredweight less at missouri river markets and 60 cents less at rocky mountain and pacific coast markets all of the meat from these hogs will be purchased by the government for relief purposes and is not to go into usual retail meat channels inedible product it is promised will not compete with established trade some product is expected to be exported the plan is expected to prove oi of real benefit to middle western farmers who are short of feeds because of drouth conditions the extreme west is not expected to share in the program as there W no surplus of hogs on on the pacific coast however western stock men may be expected to share in benefits e to the general market which is anticipated those who are in the habit babit of buying young pigs for feeding purposes are left out of the picture as they cannot compete with the government price schedule such feeders will either have to arrange to raise their own pigs or else get out of the hog feeding business during the next few months this is not a serious program as the government pig buying is expected to cease by october 1st ast the effect odthe huge scheme will be interesting to observe farmers and stockmen stoc kmen are hopeful that it will prove highly beneficial to the price structure beef cattle producers are watching the experiment with great interest and are talking of requesting the government to work out some such plan for cattlemen |