Grain market

“ If importation is rendered free, so long as the price of corn in England is high enough to surpass the price in that general market of nations, together with all the expence of carriage into England, corn will flow into that country, till it reduce the price there to that in the general market, augmented by all this expence of carriage. If exportation is rendered free, as soon as corn in England sinks below the price in the general market, it will flow out of England till the price become as high as in that market, bating the expence of carriage. ”

“ After a full consideration of the subject, I am satisfied that stock-raising at the West is much more profitable than raising grain. Indeed, an examination of the north-western States shows a vast difference in the wealth of the grazier over those who crop with grain. The profits of wheat appear well in expectation on paper, but the prospect is blasted by a severe winter, appearance of insects, bad weather in harvesting, in threshing, for there are but few barns at the West, or transporting to market, or last, a fluctuation in the market itself. ”

“ No one however will hesitate to allow all that is necessary for our argument, that the tendency of the species to multiply is much greater than the rapidity with which there is any chance that the fruits of the earth will be multiplied in Britain, or any other country in Europe, What is the consequence of this great law of society, but that the production of corn creates the market for corn? ”

“ Supposing that an equal amount of other kinds of grain has gone out of cultivation, which is a most moderate supposition, seeing that 10,000,000 quarters of foreign grain are now annually imported, when there were not 2,000,000 before, we have 6,000,000 less quarters of grain annually raised in Great Britain than was done before Free Trade was introduced! The defalcation has been nearly as great in the supplies of cattle, sheep, and other animals brought to the English market. Beyond all doubt the value of the produce that is raised has sunk a fourth. ”

“ But the value of crops, and the expense of raising each, should be duly estimated in making selections for rotations. Let us say, for instance, that the average crops of wheat, barley, and Indian corn, at their greatest extent, may average 50 dollars in value to the acre, after the grain is ready for market; crops of rye, oats and peas, not more than two thirds of this amount; buck-wheat, considerably less. From lands suitable for ruta baga, or mangel wurzel, it would seem that from five to six hundred bushels to the acre may be expected with good culture ”

“ Another thing there is in our markets worthy to be looked into, and that is the recarriage of grain from the same into lofts and cellars, of which before I gave some intimation; wherefore if it were ordered that every seller should make his market by an hour, or else the bailey or clerk of the said market to make sale thereof, according to his discretion, without liberty to the farmers to set up their corn in houses and chambers, I am persuaded that the prices of our grain would soon be abated. ”

“ The unlimited importation of cheap grain from Spain, Egypt, Sicily, and Lybia, and nothing else.
2. In the next place, even if the gratuitous distributions of grain had embraced twenty times the number which they did, nothing can be clearer than that the effect on agriculture is the same, whether cheap foreign grain is imported by the private importer, or bought and distributed by the government. If the home-grower loses his market, it is the same thing to him whether he does so from the effects of private importation or public distribution ”

“ The four great lines from the Lakes to the seaboard would each have to run four hundred cars a day for half the year to carry this grain to market. Speaking of the grain-trade, Mr. Ruggles says,—"Its existence is a new fact in the history of man. In quantity, it already much exceeds the whole export of cereals from the Russian Empire, the great compeer of the United States, whose total export of cereals was in 1857 but forty-nine million bushels, being less than half the amount carried in 1861 upon the American Lakes. ”

“ We shall have an enormously large surplus of breadstuffs for exportation, and it happens that in this period of our abundance crop failures or shortages in India, in Russia, in France, in Germany, and England have opened a market that will require the last bushel of grain we have to sell. ”

“ Wheat is, of course, the grain which the farmer chiefly raises for market, and he considers himself remunerated, if the price is not below a dollar for a bushel. Flour, when wheat is at a dollar per bushel, is expected to bring somewhat more than five dollars per barrel of one hundred and ninety-six pounds. Indian corn, two shillings to two shillings and six pence per bushel; oats, one shilling and two pence to one shilling and four pence; barley, one shilling and six pence to one shilling and eight pence. ”

“ Farmers in the thickly populated Eastern and Middle States, or, in fact, east of the Mississippi River, cannot grow grains nor fatten beeves with the same profit as before the opening of the great West. Dairying still returns fair profits, but there is a widespread demand for cash crops adapted to farm culture, especially where railroads furnish quick access to towns and cities.
In response to this demand, we beg to offer a short list of farm vegetables that can be grown with greater profit than grain, with hints about growing them. ”

“ In the next place, the purchase of so very large a portion as a fourth of the annual subsistence—not from our own cultivators, who consume at an average five or six pounds a-head of our manufactures, but from foreign growers, who consume little or nothing—has had a most serious effect upon the home trade. The introduction of 12,000,000 or 13,000,000 quarters of grain a-year into our markets, from countries whose importation of our manufactures is almost equal to nothing, is a most dreadfully depressing circumstance to our manufacturers. ”

“ Paul Boards of Trade and the New York Produce Exchange are the three great agencies for dealing in grain in the United States. 225 Buffalo, Duluth, Baltimore and Philadelphia are also important markets. Adjuncts to these markets are the great terminal elevators capable of holding almost indefinitely enormous quantities of wheat and other grain. On the Pacific Coast all the wheat is handled in the bags, as is the custom in the other markets of the world. ”

“ The corn merchant, whose business it is to attend to such matters, 20 is therefore at a distinct advantage, and the farmer loses the benefit of a rise in the market until the information slowly filters through to him. No doubt the time will come, when not only wheat selling, but all business in this country, will be simplified by the compulsory enactment of sale by uniform weight. ”

“ In that country where stock thrives care free, where a poor man's 32 potatoes saved can return him 18 bushels, and 2 1/2 bushels of wheat sown yield 350 bushels in a season; or where an average crop of wheat on irrigated lands is 50 bushels to the acre; the farmer's part is hardly to be despised. Certainly it will not be under a continuance of the present prices current of the region,—wheat at $4 the bushel, and flour $12 the hundred, with a ready market. ”

“ The bread stuffs, as they are popularly termed, particularly wheat and wheat flour, maize, and rice, form very important articles of commerce, and enter largely into cultivation in various countries for home consumption and export. Russia, India, and the United States, carry on a very considerable trade in grain with other countries. Our local production being insufficient for food and manufactures, we import yearly immense quantities of grain and flour. ”

“ Perhaps the general reader is more familiar with these mad scenes of "The Pit," as the trading floor is called, than with the steadily turning marketing machinery of which they are but a penumbra.
The modern grain exchange is much more than a mere roulette wheel for the speculator. Its real purpose is to provide a centre for the legitimate trader. It is a great information bureau of world happenings where every item of news concerning the wheat in any way is gathered and classified—drouth, rain, frost, rust, locusts, hail, Hessian fly, monsoon or chinch bug. ”

“ Ten millions has been sent out of the country to buy foreign wheat, and, of course, lost to British industry. The five million quarters of wheat imported have been less an addition to the national consumption, than a transference of that consumption from British farmers to foreigners. At least a half of the present harvest will be rolled over to next year. If we are blessed with another fine harvest, there will be the crop of a year and a half, besides ten or twelve millions imported in 1851, to stock the market. Prices in all probability will be much lower than they are at present. ”

“ I received frequent communications from home to say that all my large farming concerns were going on well, in fact those were glorious times for farmers; the price of corn and all sorts of agricultural produce was enormous, and as I had grown most excellent crops that season, my profits were very ample. My bailiff wrote me word, that he continued to obtain the highest price in Devizes market for my corn, both for wheat and barley, and one week he sold wheat for five guineas a sack, and barley for five pounds a quarter. ”

“ If the foreigner, when he had no hope of such a market being opened to him, could for the last two years send in a supply of nearly twenty-two million quarters of various descriptions of corn, and if he could do that out of his surplus produce, what will he do now that he has the market entirely open to him—when he has got our capital to improve his cultivation, and when he knows that he may produce and send an unlimited quantity into our markets? ”

“ Therefore, if the quantity of corn in the country was not small in proportion to this diminished consumption, there would be, towards harvest, a great deal of corn remaining in the hands of the farmers, which the farmers would, if they considered their own interest, then bring to market in greater quantities than they had done before; for they must suppose that, after harvest, the price would fall, and, consequently, that they should be great losers. ”

“ This high price of corn immediately raises the profit of farming stock and labour somewhat above the ordinary rate of profit in other employments. This as immediately creates a competition. The demand for farms becomes greater. The landlords are enabled to let their land higher, till farming profit comes again on a level with the profit of the general business of the country. Here then we are again in the very situation we were in before. Agriculture is a little more animated for a few years, till things find their proper level ”

“ But unfortunately it too often happens that the struggling farmer cannot have a free hand in marketing his corn. In many cases he must sell at once 17 after harvest to raise the necessary cash to buy stock for the winter’s feeding. This causes a glut of wheat on the market in the early autumn, and the price at once drops. In other cases the farmer has bought on credit last winter’s feeding stuffs, or last spring’s manures, and is bound to sell his wheat to the merchant in whose debt he finds himself, and to take the best price offered in a non-competitive market. ”

“ The population had increased fourfold, and it is no marvel that meat is dear. It is the interest of agriculturists to KEEP DOWN THE QUANTITY AND KEEP UP THE PRICE. The diminution in the area under corn was not met by a corresponding increase in live stock—in other words, the decrease of land under grain is not, PER SE, followed by an increase of meat. If the area under grain were increased, it would be preceded by an increase in the growth of turnips, and followed by a greater growth of clover; and these cattle-feeding products would materially add to the meat supply. ”

“ Dairy-farming replaced the unprofitable attempts of older sections of the Middle West and the East to compete with the wheat-fields of the Farther West. Truck and fruit farming increased in the South, and the canning industry added utility to the fruits and vegetables of the West. Following the trend of combination the farmers formed growers' associations and studied the demand of the market to guide their sales. The mortgaged farms were gradually freed from debt. ”

“ The period of low prices for farm products and extensive methods of farming is rapidly passing. The large grain and live-stock farms of the eastern states are giving way to the smaller dairy, fruit, vegetable or poultry farm. The large wheat farms of the northwest are being divided into moderate-sized farms for mixed farming. The ranges of the west and southwest are being broken up into stock farms and the movement everywhere is toward more intensive methods of farming. ”

“ In the depressed condition of farming of which I have spoken, it has been found that grazing and dairy farms are more profitable than grain. The abolition of the corn laws, said a friend, made bread cheap and enabled the mechanic and manufacturer to live, and they can buy more meat than before, and grazing and dairy farms are very profitable. Grain, which can readily be transported by sea, comes more closely into competition with the English grain than meat does.
One of the persons whom I met in Huntingdonshire was a retired farmer, and must have been a successful one. ”