Statement by the President Calling on Distillers To Observe Voluntary Grain Quotas.

SHORTAGES of food, resulting largely from the devastation of war and adverse weather conditions, have brought about acute distress and hunger in many countries.

In order to relieve hunger in food deficit areas, it is necessary for the United States to export large quantities of grain. Because of this it is necessary to limit the use of grain for nonessential purposes in the United States.

When millions face the threat of starvation, the use of grain for the production of whisky and other beverage spirits is a use which is dearly nonessential. This has been recognized by most of the distilling industry, which voluntarily suspended production for a period of 60 days, from October 24, 1947, until December 24, 1947. From December 30, 1947, until today, the use of grain for distilled spirits has been limited pursuant to the authority of Public Law 395, approved December 30, 1947. The authority granted for such purpose by that law expires today.

The limitations imposed upon the use of grain for distilled spirits under this authority are reasonable and have not caused undue hardship in the industry. The industry now has on hand stocks of whisky which represent a 6-year supply. Continued limitation of the use of grain for distilled spirits is necessary and proper in order to aid in relieving hunger and distress.

A bill which would extend the authority of the Government to curb the use of grain until February 29, 1948, has passed the Senate of the United States by unanimous consent and is now pending in a committee of the House of Representatives. I sent a special message to the Congress asking that the Congress extend this authority before it expired at midnight tonight. I sincerely regret the failure of the Congress to act in time. It is my earnest hope that the Congress will take favorable action on this legislation as soon as possible.

In the meantime, it is in the public interest for distillers to continue to observe reasonable limits in the use of grain.

Therefore, I now call upon all users of grain for the production of ethyl alcohol, including both distilled spirits and neutral spirits, to observe temporarily the same controls established by the Grain Conservation Order of the Secretary of Agriculture dated December 30, 1947.

Specifically, I ask them to use no wheat in the making of whisky. I ask them to use as a monthly basis of consumption those limited quantities of grain set forth by the Secretary's order as a quota for the month of January. I ask them not to disturb grain markets by rushing in and purchasing large quantities of cereals.

It is unthinkable that, at this time, when the need for grain as a food is so great, the distillers in this country should choose to use unlimited quantities of grain in the manufacture of whisky.