Live Stock Report

The President's agricultural Conference,consisting of nine men, heads of various grange and farm organizations, after existing for nine weeks, brought in its first findings. In doing so, it laid down the program which it affects to follow. It said, first, that there are a number of good reports on agricultural conditions and that it is not necessary to make more elaborate ones. Instead it will strive to submit concrete recommendations.

Pursuant to this plan, it will submit five reports:

1) On the emergency in the livestock situation.

2) On necessary legislation.

3) On the Government administration of agricultural matters.

4) On important problems of the industries.

5) On the problems which farmers can and must solve for themselves.

The first of these reports, on the live stock emergency, was then offered.

In recent months there has been a heavy liquidation of the cattle industry, mainly because of the calling of loans by private financing agencies, and partly because of a shortage of feed. The liquidation was made necessary by extensive loans made on cattle at excessive valuations during the War. Breeding stock is now reduced so that there is little 'likelihood of 'future overproduction. Four adjustments are necessary:

Finance. The private agencies which formerly made loans have suffered setbacks which have restricted their loans. The result is a shortage of primary discount agencies. The Federal Intermediate Credit Bank is fully equipped to finance the primary discount agencies--in short, there is a good financial middleman, but too few financial retailers. The Federal Farm Loan Board should encourage the setting up of more financial retailers and make a report on its progress by July 1.

Transportation Costs. Because of flat increases in freight rates during the War, agricultural products, and especially live stock, bear a disproportionate share of transportation costs. The whole freight-rate structure needs thorough revision. The Conference will later make definite recommendations regarding the agricultural aspects of such a revision.

Tariff. The cattle industry needs tariff protection from imported meats and hides. The conference reserves its report on this need, however, until it can go into the general question of tariffs on agricultural products.

Grazing. The policy of free grazing on the Public Domain has resulted 1) in encouraging many grazers to enlarge their herds, 2) in reducing the grazing value of the range because of overstocking, 3) in production of inferior stock. In national forests, on the contrary, where grazing has been restricted, the range and the quality of the cattle has been improved. The unappropriated Public Lands should therefore be leased for grazing purposes with suitable regulations and fees to be determined by a Government committee.

In short, the conference recommends better business management to cattle raisers, selection of good breeding stock, scientific management of grazing and winter-feeding areas and careful selection of the class of cattle to be marketed.