No Seed Money

In 1932, under the law creating the Reconstruction Finance Corporation, the government had loaned the farmers money to purchase seed, and the loan could be paid back when the crops were harvested. In Missouri alone, over 9,000 farmers had borrowed over a million dollars. Now the crop had been harvested and only a little over 50% of it had been paid back. The average amount loaned was $110.

In 1932, under the law creating the Reconstruction Finance Corporation, the government had loaned the farmers money to purchase seed, and the loan could be paid back when the crops were harvested. In Missouri alone, over 9,000 farmers had borrowed over a million dollars. Now the crop had been harvested and only a little over 50% of it had been paid back. The average amount loaned was $110.

Kansas farmers had borrowed over $400,000 and only about 40,000, approximately 10% of it had been repaid. The average loan was $200.

In July, 1932, Daviess County was allotted $2,500 for the purchase of soybean seed at cost of $2.25 per bushel. The farmers could either pay cash or work out the cost by doing relief projects. More than $800,000 worth of seed for small acreages of late forage crops was distributed throughout the state, and 40,000 acres of winter pasture developed.

In Daviess County alone the following quantifies of seed were distributed:

1. Over 1,600 bushels of soybean seed.

2. 1,200 bushels of barley.

3. 2,000 bushels or rye.

4. 1,000 bushels of wheat.

— Collecting Seed Loans Tough Job, Gallatin North Missourian, Volume 69, Number 16, December 22, 1932

Researched by Wilbur Bush