the current selling season in Australia, prices were below the closing prices of the previous season in June, declined further during September, and the trend generally was downward through October. Since October, prices in Australia have shown a firming tendency.

Consumption of apparel wool by United States mills during the first 9 months of 1957 was 13 percent below that of a year earlier. This decline follows increases in each of the 2 previous years. Consumption in the 1958 marketing year is expected to be a little higher than that for 1957. The lower level of wool prices in the world market should stimulate consumption of wool in this country since wool prices are now more competitive with prices for manmade fibers.

Imports of apparel wool during the first 8 months of 1957 were almost a third lower than last year. They are expected to continue low during the remainder of the year and then show some increase during 1958 after CCC stocks are completely disposed of (early in calendar year 1958) and consumption shows an improvement.

Payment program.-The incentive price for shorn wool for the marketing year 1958 has been announced at 62 cents per pound, the same as for the 1957 marketing year. Assuming that prices received by growers will average 50 cents per pound for the 1958 marketing year, payments on shorn wool would average 12 cents per pound, compared with the estimated average price of 52.5 cents per pound and average payments of 9.5 cents per pound for the 1957 marketing year. For the 1956 marketing year, payments averaged 17.7 cents per pound on shorn wool. It is anticipated that payments on the 1958 program will be made early in the fiscal year 1960. During the fiscal year 1959, it is estimated that payments applicable to the 1957 program will amount to $28.5 million, consisting of $24.2 million on 254.7 million pounds of shorn wool and $4.3 million on 1.1 million pounds of unshorn lambs (liveweight).

Payments during fiscal year 1958 applicable to the marketing year 1956 are estimated at $53.1 million, consisting of $45.2 million on 254.7 million pounds of shorn wool and $7.9 million on 1.1 billion pounds of unshorn lambs (liveweight). Payments on the 1955 marketing year, which were made during the fiscal year 1957, amounted to $57.6 million consisting of $50 million on 260.3 million pounds of unshorn wool and $7.6 million on 991.7 million pounds of unshorn lambs (liveweight).

Mohair.-Production of mohair during the marketing year 1958 is estimated at 19.1 million pounds-the same as indicated for the 1957 marketing year but slightly more than was produced during the marketing year 1956. Domestic consumption during 1958 is expected to decline somewhat from the 1957 level while exports are anticipated to remain at the high level attained in 1957.

Prices received by growers for mohair have been above the support price of 70 cents per pound. While the average price received for the 1958 marketing year is estimated to be lower than for the 1957 marketing year, it is expected to remain above the support level, as was also the case in both the 1955 and 1956 marketing years. Consequently no payments were required on mohair marketed in those years and it is not anticipated that any will be made on mohair sold during the 1957 and 1958 marketing years.

PRICE SUPORT PROGRAM, OTHER NONBASIC COMMODITIES

Summary of latest operations

Barley

Objective. To support the price of 1957-crop barley as a feed grain at 70 percent of June 15, 1957, parity, as required by law.

Eligibility.—Eligible commodity is barley produced in continental United States in 1957 and grading No. 4 or better or No. 4 Garlicky or better. Barley produced on federally owned land in violation of restrictive leases, or on newly irrigated, drained, or reclaimed land within any Federal project authorized after May 28, 1956, shall not be eligible. Eligible participants are producers of 1957 crop barley, who are in compliance with any regulation prescribed by the Secretary governing the eligibility for price support.

Operations.-Nonrecourse loans are available from about May 15, 1957, through January 31, 1958, and will mature on April 30, 1958 (except that an earlier maturity date may be established for any State by the President or Executive Vice President, CCC) or earlier on demand. The national average support price is 95 cents per bushel, 70 percent of June 15, 1957, parity price for all barley.

Loans may be obtained from approved lending agencies, through eligible financial institutions, or direct from the Corporation through the Agricultural Stabilization and Conservation county committees. Loans will be made on a noteand-chattel mortgage basis for farm-stored barley and on a note-and-loan agreement basis secured by warehouse receipts for warehouse-stored barley.

Purchase agreements are offered to producers from about May 15, 1957, through January 31, 1958. A producer desiring to deliver barley to the Corporation under a purchase agreement must declare his intention to sell within a 30-day period ending on the applicable loan maturity date. The producer will not be obligated to sell any specified quantity; however, the number of bushels specified in the purchase agreement is the maximum quantity that may be delivered. Authority.-Commodity Credit Corporation Charter Act, as amended (15 U. S. C. 714-7140), particularly section 714c thereof; titles III and IV of the Agricultural Act of 1949, as amended (7 U. S. C. 1447-1449, 1421-1431); and titles I, II, and III of the Agricultural Act of 1956 (7 U. S. C. 1813, 1860, 1442d). Basis of estimate

Assuming (1) a 1958 crop harvested acreage of 13.2 million acres almost 1.8 million acres less than that harvested in the 1957 crop-year primarily as a result of the base acreages established for each farm participating in the 1958 soil-bank acreage reserve program for the basic commodities (which restricts the planting of other crops on acreage placed under that program), and (2) a yield per acre of 29 bushels (the same as the actual yield for the 1956 crop), a production of 383 million bushels is estimated for the 1958 crop 47.7 million bushels less than is currently indicated for the 1957 crop.

Should price support extended on the 1958 crop equal 25 percent of the production-the average percentage of the production of the 1954 through 1956 crops actually placed under support-it is estimated that price support will be obtained on 95.7 million bushels during the fiscal year 1959 compared with 120 million bushels anticipated for the fiscal year 1958 and actual price support extended in the fiscal year 1957 on 78.6 million bushels.

Acquisitions during the fiscal year 1959 are estimated at 80.7 million bushels compared with 104 million bushels anticipated during the fiscal year 1958 and actual acquisitions in the fiscal year 1957 of 61.3 million bushels. Sales activity during the fiscal year 1959 is estimated to total 69 million bushels compared with 66.3 million bushels anticipated for fiscal year 1958 and actual sales during the fiscal year 1957 of 51.6 million bushels.

Summary of latest operations

BEANS, DRY, EDIBLE

Objective. To support 1957 crop dry edible beans at a level intended to encourage movement of bean stocks into domestic and export channels and at the same time discourage overplanting.

Eligibility.—Eligible commodity is dry edible beans of the classes: Pea and medium white, Great Northern, small white, flat small white, pink, small red, Pinto, Red Kidney, large lima and baby lima, produced in the United States in 1957, grading No. 2 or better and containing not in excess of 18 percent moisture. Beans produced on federally owned land in violation of restrictive leases, or on newly irrigated, drained, or reclaimed land within any Federal project authorized after May 28, 1956, shall not be eligible. Eligible participants are producers or cooperative marketing associations of producers which meet requirements of eligibility established by the President or Executive Vice President, CCC.

Operations.-Nonrecourse warehouse stored and farm stored loans are available from harvest (about August 15, 1957) through January 31, 1958, and will mature on February 28, 1958, in the case of beans stored in the States of Michigan, Pennsylvania, and New York; and on April 30, 1958, in all other States. The support prices reflect an average of $6.31 per 100 pounds or 68 percent of the January 15, 1957, parity for all dry edible beans.

Loans are made on a note-and-chattel mortgage basis on farm stored beans and on a note-and-loan agreement basis for warehouse stored beans. Farm-storage loans will not be available in areas where beans cannot be safely stored on a farm. Loans may be obtained from approved lending agencies, through eligible financial institutions, or direct from the Corporation through the agricultural stabilization and conservation county committees.

Purchase agreements are offered from harvest through January 31, 1958. A producer who elects to deliver beans to the Corporation under a purchase agreement must declare his intention to sell within a 30-day period ending on the applicable maturity date. The producer is not obligated to sell any specified quantity; however, the quantity specified in the purchase agreement is the maximum quantity that may be delivered.

Authority. Commodity Credit Corporation Charter Act, as amended (15 U. S. C. 714-7140) particularly section 714c thereof; titles III and IV of the Agricultural Act of 1949, as amended. (7 U. S. C. 1447-1449, 1421–1431); and titles I and II of the Agricultural Act of 1956 (7 U. S. C. 1813, 1860).

Basis of estimate

Assuming (1) a 1958-crop harvested acreage of 1,450,000 acres 35,000 acres more than that harvested in the 1957 crop, and (2) a yield per acre of 12.2 hundredweight (the same as the actual yield for the 1956 crop), a production of 17.7 hundredweight is estimated for the 1958 crop-1.9 hundredweight more than is currently indicated for the 1957 crop.

Should price support extended on the 1958 crop equal 24.1 percent of the production-the average percentage of the production of the 1954 through 1956 crops actually placed under support-it is estimated that price support will be obtained on 4.3 million hundredweight during the fiscal year 1959 compared with 2.3 million hundredweight anticipated for the fiscal year 1958 and actual price support extended in the fiscal year 1957 on 4.7 million hundredweight.

Acquisitions during the fiscal year 1959 are estimated at 2.8 million hundredweight compared with slightly less than a million hundredweight anticipated for the fiscal year 1958 and actual acquisitions during the fiscal year 1957 of 2.9 million hundredweight. Sales during the fiscal year 1959 are estimated at 1.3 million hundredweight compared with 1.1 million hundredweight anticipated for the fiscal year 1958 and actual sales in the fiscal year 1957 of 2.8 million hundredweight.

Summary of latest operations

COTTONSEED

Objective. To support the price of 1957 crop cottonseed to eligible producers at such level as to cause competition on equal terms on the market with soybeans. Eligibility.-Eligible commodity is cottonseed containing not more than 11 percent moisture produced in the United States in 1957 by an eligible producer. Moisture content is not applicable to purchases.

Eligible participants are:

(1) Producers of 1957 crop cottonseed as individuals, partnerships, corporations, associations or other legal entity.

(2) Participating ginners (those filing notice with county committee of intention to participate in program).

Operations.-Loans: Farm-storage nonrecourse loans will be made through January 31, 1958, maturing March 1, 1958, or earlier on demand, at $46 per ton for basis grade (100), about 65 percent of January 15, 1957, parity. Loans may be obtained direct from CCC through agricultural stabilization and conservation county committees and through approved lending agencies. Loans will be on note-and-chattel mortgage basis for cottonseed stored in approved structures (on or off farm) provided no warehouse receipts are outstanding.

Purchases: CCC will issue an open offer to purchase cottonseed from producers and participating ginners through February 28, 1958. The purchase rate to ginners will be $46 per ton for basis grade (100) cottonseed, f. o. b. gin, and to producers $42 per ton. Ginners must agree to pay eligible producers not less than the support price.

Authority-Commodity Credit Corporation Charter Act, as amended (15 U. S. C. 714–7140), particularly section 714c thereof; titles III and IV of the Agricultural Act of 1949 (7 U. S. C. 1447-1449, 1421-1431); and title VI of the Agricultural Act of 1956 (7 U. S. C. 1432).

Basis of estimate

The production of cottonseed during the 1958 marketing year is estimated at 4,786,000 tons compared with 4,852,000 tons currently estimated for the 1957 marketing year and an actual production of 5,423,000 tons during 1956. These estimates are in line with the national cotton acreage allotments and include the probable effects of the soil bank program. In order to cause cottonseed and soybeans to compete on an equal basis on the market in accordance with existing legislation, the support level for cottonseed was fixed at 65 percent of the effective parity for the 1957 marketing year compared with 70 percent for soybeans.

It is expected the same relationship in support rates will be in effect for the 1958 marketing year.

It is assumed that prices for cottonseed during the 1957 and 1958 marketing years will generally remain above the price-support level and that only a nominal amount of cottonseed will be placed under loan. It is also expected that all cottonseed will be redeemed within the same fiscal year so that no inventory will be acquired.

Summary of latest operations

FLAXSEED

Objective. To support the price of 1957-crop flaxseed at 65 percent of January 15, 1957, parity.

Eligibility.—Eligible flaxseed is that produced in 1957 and grading No. 2 or better. Eligible participants are producers of 1957-crop flaxseed.

Operations.-Nonrecourse loans are available from about April 1, 1957, through October 31, 1957, in Arizona and California and through January 31, 1958, in all other States. The national average support price for flaxseed grading No. 1 will be $2.92 per bushel, which is 65 percent of the parity price of all flaxseed as of January 15, 1957. Loans will mature on January 31, 1958, or earlier on demand in Arizona and California and on March 31, 1958, in all other States. Loans may be obtained from approved lending agencies, through eligible financial institutions, or direct from the corporation through the agricultural stabilization and conservation county committees. Loans will be made on a note-andchattel mortgage basis for flaxseed stored on the farm and on a note-and-loan agreement basis when stored in an approved public warehouse.

Purchase agreements are available on eligible flaxseed for the same periods and areas as are loans. A producer electing to deliver flaxseed to the Corporation must declare his intention in this regard within a 30-day period ending January 31, 1958, in Arizona and California and ending March 31, 1958, in all other States, or on such earlier dates as may be prescribed by the Corporation. The producer is not obligated to sell any specific quantity; however, the number of bushels specified in the purchase agreement is the maximum quantity that may be delivered.

Direct purchases are authorized from harvest through July 31, 1957, in designated Texas counties where flaxseed produced contains excess moisture and cannot be stored without deterioration.

Authority.-Commodity Credit Corporation Charter Act, as amended (15 U. S. C. 714–7140), particularly section 714c thereof; and titles III and IV of the Agricultural Act of 1949 (7 U. S. C. 1447-1449, 1421–1431).

Basis of estimate

Assuming (1) a 1958-crop harvested acreage of 5 million acres-335,000 acres less than that harvested in the 1957 crop year and (2) a yield per acre of 8.8 bushels (the same as the actual yield for the 1956 crop), a production of 44 million bushels is estimated for the 1958 crop-16.9 million bushels more than is currently indicated for the 1957 crop which suffered sever losses from disease and heat damage in the Dakotas and Minnesota, the major flaxseed-producing States.

Should price support extended on the 1958 crop equal 27.3 percent of the production the average percent of the production of the 1954 through 1956 crops actually placed under support-it is estimated that price support will be obtained during the fiscal year 1959 on 12 million bushels compared with only 550.000 bushels anticipated for the fiscal year 1958 due to the short 1957 crop and actual price support extended in the fiscal year 1957 on 17.5 million bushels. Acquisitions during the fiscal year 1959 are estimated at 10.5 million bushels compared with 658,000 bushels anticipated during the fiscal year 1958 and actual acquisitions in the fiscal year 1957 of 16.2 million bushels. Sales, primarily for export, are estimated to total 2.5 million bushels during the fiscal year 1959 compared with 14.1 million (mostly from the 1956 crop) anticipated for the fiscal year 1958 and actual sales of 2.7 million bushels in the fiscal year 1957.

Summary of latest operations

NAVAL STORES

Objective. To help maintain adequate supplies and facilitate the orderly distribution of gum naval stores produced in the United States by supporting the level of prices to producers.

Eligibility.-Eligible naval stores include (1) processed turpentine meeting prescribed specifications and stored in approved bulk tanks, (2) processed rosin, federally graded X through K, packed in specified metal drums and placed in approved storage, and (3) the turpentine and rosin content of crude gum stored at processing plants adequately equipped with crude gum storage facilities. Producers may pledge the turpentine and rosin content of stored crude gum, the warehouseman being obligated to process the gum within specified time limits and deliver processed turpentine and rosin equal to or better than the grades and weights on which the loan is based.

Eligible borrowers are producers who are members of the American Turpentine Farmers' Association Cooperative of Valdosta, Ga., CCC's borrower, and who cooperate in the Department's 1957 gum naval stores conservation program or otherwise follow good forestry conservation practices as determined by the association on the basis of standards established by State and Federal forestry services.

Operations. Loans are governed by an agreement between CCC and the producer association borrower representing about 95 percent of domestic gum production. Loans were available to eligible producers throughout the producing area during, and on production harvested in, the calendar year 1957 and mature July 1, 1958, or earlier on demand. The support rate per standard barrel of gum, processed basis (435 pounds net) is $28.29, which reflects 90 percent of the crude gum parity price, unprocessed basis, as of February 15, 1957. Initial loan rates are 51 cents per bulk gallon of turpentine and $7.67 per hundredweight of gum rosin, basis grade WG with a premium of 10 cents for grades X and WW, and a discount of 30 cents for grades N, M, and K. Producers are required to execute an agreement with the association containing the terms and conditions upon which the loan is made. The association enters into agreements with warehousemen and assigns such agreements to CCC. Payment of the loan proceeds to the producer is effected by the warehouseman (acting as agent of the association) making request therefor upon CCC through the association. Such payments are made by check directly to producers or their designees by the Atlanta Federal Reserve Bank.

Authority.-Commodity Credit Corporation Charter Act (15 U. S. C. 714) and the Agricultural Act of 1949 (7 U. S. C. 1447; 1421).

Basis of estimate

Rosin.-Production of all types of rosin during the crop year 1958 is estimated at 1,925,000 drums compared with 1,945,000 drums indicated for the 1957 crop year and 1,994,000 drums produced in the crop year 1956. With carry-in stocks of 700,000 drums and insignificant imports of Mexican gum rosin, a total supply of 2,626,000 drums will be available during the 1958 crop year-a reduction of 10,000 drums below the previous crop year and 101,000 drums below the 1956 crop year. The downward trend in supplies reflects steady liquidation of CCC stocks and a continuing reduction in output of gum and steam distilled wood rosin which is expected to more than offset increased tall oil rosin output. Domestic disappearance during the crop year 1958 is estimated at 1,425,000 drums compared with 1,376,000 drums indicated for the 1957 crop and 1,433,000 for the 1956 crop.

Since rosin prices are estimated to average somewhat above the loan rates in the 1958 and 1957 crop years, producers are expected to use this program as a medium for carrying their output from the flush to the slack production season in the hope of realizing returns for their crude pine gum. It is estimated that loans will be made on 200,000 drums in the crop year 1958 compared with 65,000 drums pledged from the 1957 crop and only 117 drums from the 1956 crop. Stocks of CCC-owned rosin by June 30, 1959 should be at their lowest point since June 30, 1951.

Turpentine.-Production of all types of turpentine is estimated at 311⁄4 million gallons for the 1958 crop compared with 311⁄2 million gallons for the 1957 crop and 324 million gallons for the 1956 crop. With carry-in stocks of 8 million gallons and Mexican imports of 950,000 gallons, it is estimated that a total supply of 40.2 million gallons will be available in the crop year 1958-the same as is indicated for the 1957 crop. Domestic disappearance for the 1958 crop is expected to increase over the previous year but will not quite reach the level of the 1956 crop year.

Since turpentine prices are estimated to average above the loan rate in the 1958 and 1957 crop years, producers are expected to use the program as a medium for carrying their output from the high to the low production months.