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and take it to another one, and we will come up with several pounds more rice.

For instance, this fall I had 840 barrels of Texas pack. I sent it to the Houston grading office, and it would have brought me $9.32.

I left it in my storage about 2 weeks, and we discussed around among ourselves as farmers as to why they were getting more on different grades.

So when I went to make my application for my Commodity Credit loan I took my official sample and sent it to Beaumont, and that rice brought me $9.66.

No, that is concrete proof that your gradings—there is something wrong somewhere; I do not know.

The CHAIRMAN. What was that difference, now?
Mr. CHAMBLISS. The difference between $9.32—
The CHAIRMAN. $9.32 and $9.66 ?

Mr. CHAMBLISS. $9.32 and $9.66. I believe it would have been 34 cents.

Another thing is the method of calculating this rice where we have rice in the storage on the farm, bulk storage. We have our rice dried at a dryer, and it is weighed. It comes out at 944 barrels, we will say. ASC is supposed to hold back 5 percent of that rice. They will not take your weight.

Now, our rice was weighed, another man's rice was weighed, was put into storage, and when we got his loan on it, rather than to be holding out 9 percent, there was approximately 13 percent.

Now, what we would like would be that where those scales are bonded, scales that are used for storing rice in the dryers and warehouses, we haul that rice to our dryer or to the farmer's dryer out on the farm, and why can't we use their weights, and ASC still hold out the 5 percent? Well, that is

The CHAIRMAN. That is an administrative matter.
Mr. CHAMBLISS. There is too much variation.
The CHAIRMAN. That can be corrected. All right.
Will you proceed?

Mr. CHAMBLISS. Rice is not offered on the market at a competitive world price. Therefore, our 1955 rice is about 33 percent below the 1954.

The CHAIRMAN. If you offered it at the world price, would it not be lower! I have just returned from Thailand and Burma, and they have enough rice there to last them quite a while.

Mr. CHAMBLISS. I should have said exports instead of price; I beg your pardon.

The CHAIRMAN. All right, sir.

Mr. CHAMBLISs. The maturity date on Commodity Credit loans should be not later than February 28.

The CHAIRMAN. What is it now? May ?

Mr. CHAMBLISS. This year it had been set for March 16. Last year, I believe it was April 30.

The CHAIRMAN. Yes.
Well, that is

Mr. CHAMBLISS. The reason the farmers would like to have that set on February 28, in our area, or in Texas, it should be a permanent date of February 28 is because there are a number of storages and dryers and things that are away from the railroads. Rice has to be transported, and it comes at a time, if you would take it from March 15 or March 16

The CHAIRMAN. You mean for the Government to acquire it; is that it?

Mr. CHAMBLISS. Yes, sir; when the Government takes over the rice on the Commodity Credit loan.

Now, if we sell it on the open market, why, then, it moves whenever we sell it. But there has not been but very little of it sold that has been put on the Commodity Credit loan. Therefore, we would like, if it is possible, to make that a permanent date of February 28 for takeover day.

We would also suggest that the Congress use all the effort possible to try to get the Navy and the Army and those people to use more rice.

It does not seem to us like, from the reports that come from the serviceboys that are raised in the rice area, they come back and they say they seldom ever have rice, but they have potatoes every morning for breakfast.

We would like to get our foot in the door on that. That would eliminate some of our surpluses.

It seems like we are going to have about at the end of this year from reports about 29 million barrels of surplus rice. That is above the approximate 48 million barrels that are consumed for local consumption and export.

I am wondering if it would not be possible in some way that we might set a minimum of 48 million barrels of rice, freeze this rice, this 29 million barrels of rice that we have on hand now, put it away where it will not be used for 10 years unless we had a calamity.

The CHAIRMAN. What would the bugs do with it, do you think?

Mr. CHAMBLISS. Well, some old boy suggested that we ship it to the Arctic Circle.

The CHAIRMAN. How much would it cost?
Mr. CHAMBLISS. I do not know what it would cost.
The CHAIRMAN. You would have to take it by airplane.

Mr. CHAMBLISS. It will probably not cost any more over a period of 10 years than to store it that long.

The CHAIRMAN. Is there anything else you want to add?
Mr. CHAMBLISS. I believe that is all
The CHAIRMAN. All right.
Mr. Guenther? Have a seat here, sir.

STATEMENT OF GUS GUENTHER, COUPLAND, TEX.

Mr. GUENTHER. Senator, I am just going to add a little to that. Time is running low, and I must compliment you on your patience and consideration. You are the first man I have seen sit through a meeting of this type after hours that long.

The CHAIRMAN. You tell that to the voters of Louisiana, will you? [Laughter.] Mr. GUENTHER. I will do that.

I feel that as it stands now it looks like we might have to use the parity formula, and it has been misused and overadvertised to our disadvantage, and it will be in the future.

But it is my understanding that the airlines are being subsidized, of course under different names, the railroads, boats, and ships; the Navy from the west coast buys their tomatoes over here on the east coast, and the Army over here on the east coast or in the eastern part of the State, goes to the west coast to buy their tomatoes there.

If we could compute figures on this over the time that the farm program has been going on, and then receive our just share equally and use a different word than parity or subsidizing it, maybe we could relieve the present problem and work toward a different system there.

It is my feeling that as a farm grower it has gone through, it has cost money, but not in the extreme of what has been spent for other purposes that are harmful to us as the factories and technicians and machinery and labor that have been used in other countries, compared to our purpose here.

That is about all that I would add to this particular meeting. The CHAIRMAN. Thank you. Mr. GUENTHER. Thank you. (The prepared statement of Mr. Guenther follows:) My thinking and that of my area is our first problem is to find markets for our surpluses, at home and abroad, to relieve our present problem.

It is my understanding that we have a trade agreement on exports. Why is it not used when the world as a whole is hungry and half clothed, and we are blessed with an abundance of food and fiber?

Is it not our Christian duty to help our fellow men if it is in our power? I feel that it is.

My thinking on the soil fertility bank, if properly administered, will not only reduce surpluses but will solve many of our present problems. We will retain our present mineral supply in our soil and add more for later use. At this very time and day we have depleted our soil in some areas to the extent that it has weakened the bone and body structure of man and beast for lack of minerals in our soil. Our shallow wells are drying out for no other reason than lack of humus or soil condition as it may be called. Rain will fall on unconditioned soil and flow down the creek and rivers to the gulf and sea, when in reality it should filter through the soil to fill underground reservoirs for the welfare of the people as a whole.

Just how to solve all of our problems at this time I do not know, but I think we have enough smart men with past experience and all records that we have of past experiences, it should not be too hard to solve our problems.

The CHAIRMAN. All right. Dr. Joe D. Nichols.

Will you give your name in full for the record and your occupation, please.

STATEMENT OF DR. JOE D. NICHOLS, SECRETARY, MARION-CASS

SOIL CONSERVATION DISTRICT, ATLANTA, TEX. Dr. NICHOLS. I am Joe D. Nichols from Atlanta, Tex., in Cass County. I am an orthodox M. D. I own and operate a 25-bed hospital; I also have 1,000 acres of land on which I grow grass, pine trees, cattle, and vegetables.

I am chairman of the board of the National Atlanta Bank; I am secretary of the Marion-Cass Soil Conservation District; I am a director of the Texas State Soil Conservation; I am also president of Natural Food Associates which has its headquarters in Atlanta, Tex.

The CHAIRMAN. You ought to be able to give us a solution of this problem with all that. Have you got it?

Dr. NICHOLS. Yes, sir; I think I do.

The CHAIRMAN. Fine; proceed.

Dr. NICHOLS. I do not know too much about economics or philosophy. I have heard a great deal of it today, which I have enjoyed tremendously. I am not going to give you any of that, if that is all right? The CHAIRMAN. We have had enough of it.

Dr. NICHOLS. I have with me a complete transcript of the report that was approved of our soil conservation district supervisors on last Thursday, which represents 1,000 farmland operators, a cooperative in the Marion-Cass Soil Conservation District. That is only about 8 miles from the Louisiana line. We are 50 miles from Shreveport, right in north Texas in the Pine Belt.

I am going to read now, if I may, just the conclusion to this whole report. Of course, I might say this: That we have the same problems that everybody else does. We, realizing the problem, realize that agriculture is bankrupt.

In conclusion, we in the Marion-Cass Soil Conservation District believe that the farm problem can be solved only by the restoration of the fertility of the land. The technique for doing this varies in different regions. Specifically in our district this can and must be done by (1) reforestation and good forestry practices on about one-half of our lands; and (2) planting winter cover crops on another 200,000 acres.

In the past our farm leaders in extension have educated our farmers only to exploit the land. They have taught them to use ever-increasing amounts of commercial fertilizer and poison insecticides. With reckless abandon, and no thought for the future, our farmers have been educated to make more bushels per acre regardless of the consequence. This is one of the causes of our surpluses, the very inferior products we produce. As a result, our soils are ruined and our own agriculture is bankrupt.

We need a new type of educational effort, controlled and executed by our own soil conservation district supervisors. We have made a good start in the Marion-Cass Soil Conservation District. We need cooperation from extension services, not attempted domination. That is what they are trying to give us now.

We believe that State and Federal funds should be channeled through the soil conservation district. We believe the local soil conservation district knows best how to handle their own problems. We believe the individual farmer should not be compelled to follow a set of plans devised in the Washington oflice of the Farm Bureau.

far too often this type of plan is not only useless but positively detrimental in solving his own local problem. The farm program ought to be decentralized all the way down to the local SCD level.

We need more money for action. Too much of our research has been an effort to further expoit our land. "Federal aid" to help exploit our land more only makes our problem worse. We believe that a big portion of the money now wasted on research should be directed to the Soil Conservation Service, and the soil conservation districts for positive action. We already know how to solve our problems of restoration in the Marion-Cass SCD. We already have an educational program that is getting results.

The CHAIRMAN. Where did you get your information from?
Dr. NICHOLS. Sir?

The CHAIRMAN. Where did you get your information from to carry out these programs that are now in effect?

Dr. NICHOLS. We believe that the answer is the restoration of the fertility of the soil.

The CHAIRMAN. I know that, but where did you get the information from?

Dr. NICHOLS. Where did we learn how to do that?

The CHAIRMAN. Yes. Didn't you learn it from the experiments or other things done by other agencies of Government?

Dr. Nichols. My hobby for the last 9 years has been the restoration of the fertility of the soil. I have å thousand-acre farm, as I

told you.

The CHAIRMAN. How are you making out with it?

Dr. NICHOLS. Wonderful. I have no surplus of any kind. I have no trouble selling everything I can grow on it because I grow superior quality. People come from Shreveport, Texarkana, Marshall, Tex., to buy my produce, and I get a premium on it.

The CHAIRMAN. What do you produce?
Dr. NICHOLS. All sorts of vegetables on 8 acres under irrigation.
The CHAIRMAN. Eight acres? What do you do with the rest of it!

Dr. Nichols. Grass, pine trees, cattle. I also get a premium for my cattle. We have superior quality. I will go into that in just a minute, if I may.

We believe the new plan sponsored by the Farm Bureau has some good points. But we also believe it has in it a joker that will socialize agriculture. We believe the plan was conceived by the Extension Service and is being presented to Congress and the American public by their camouflaged front boy, the Farm Bureau. There is in it too much compulsion and not enough liberty for the American farmer.

The new "master plan” paraded under the name of a “farm home development program” by Extension, is too socialistic to be accepted by a liberty-loving, God-fearing, American farmer. We do not want to see the county agent become the little dictator on the local level. No such plan as that will ever receive the endorsement of the farm leaders in the Marion-Cass Soil Conservation District. The Farm Bureau is not the spokesman for the farmer in our district.

I would like to bring out one point that came up a while ago. We had one man who said something about the political activities of the county agent. I would like to tell you a little about what they are doing to us in that district.

We have had a very successful program in the last 4 years in that district.

Two years ago we planted 2 million pine seedlings, more than had been planted 10 years before.

The following year we planted 4 million. The program has been so successful, our winter legume program and pine seedling program has been so successful, we have gotten so much cooperation from other people, that this year we started out to raise $35,000 locally, which represented $1 per head of the population, and we were getting along just fine

The CHAIRMAN. How could a farmer live or expect to live if he plants pine seedlings now on his land when he needs it? You are a doctor, you say?

Dr. Nichols. Yes, sir; that is right.

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