export bonus
export bounty

Wheat futures, while lower, received some support from news that China would receive 1.5 million metric tons of export bonus wheat.

Wheat futures received some support from a Department of Agriculture report that India would purchase a million tons under the export bonus program.

At the opening, wheat prices gained support from reports that the Soviets bid for 550,000 metric tons of wheat under the export bonus program.

Rumors have arisen repeatedly over recent months that the Agriculture Department was going to offer subsidized wheat to the Russians under the export bonus program.

Wheat staged a late rally on news of China's interest in buying 400,000 metric tons of export bonus wheat, and corn followed suit, traders said.

Wheat prices were higher, with traders anticipating that the Agriculture Department would offer export bonus terms to several foreign countries, Mr. Karlin said.

After the close of trading, the Agriculture Department announced the sale to the Soviet Union of 200,000 metric tons of wheat under its export bonus program.

After the closing bell, the Agriculture Department said it planned subsidized sales of 2 million more tons of wheat for the Soviet Union under the export bonus program.

But the Soviet official also said in an interview with the Reuters news service that Agriculture Department officials had not made any export bonus offer on wheat during the meeting.

Wheat futures, which closed mixed, were under pressure from reports that Algeria's bid for 250,000 metric tons of United States wheat under the export bonus program was rejected.

"We're continuing to see interest in wheat, apparently because of some buying" under the Government export bonus program, said Dale Gustafson, an analyst with Drexel Burnham Lambert Inc.

The expectations of higher yields outweighed news late on Friday that the Agriculture Department had granted the Soviet Union an allocation for $73 million worth of soybeans under the export bonus program.

Barney Janecki, a Chicago analyst with Dean Witter Reynolds Inc., said traders were concerned about a reduction in the United States export bonus offers to the Soviet Union.

At the Chicago Board of Trade, word from the United States Department of Agriculture that China was being offered 550,000 tons of wheat under the export bonus plan produced buying in the wheat pit, analysts said.

Mr. Zusel said that Egypt tendered for 500,000 metric tons of wheat late Tuesday and that the Agriculture Department yesterday morning chose Egypt for a million metric tons of export bonus wheat.

Wheat futures showed gains on aggressive buying by commercial houses and by Egypt's purchase of 200,000 metric tons of soft white wheat under the export bonus program, said Paul Sylvester, an analyst with Gerald Inc. in Chicago.

Wider Export Program Rumored The initial advances in wheat futures came from rumors that the Agriculture Department may soon expand the export bonus subsidy program to China, East Germany and Algeria, analysts said.

"Just because a country has an export bonus offer is no guarantee they're going to use it," said Joel Karlin, an analyst with K & S Research in Chicago The amount of wheat involved represents about a 50 percent increase over the amount sold at subsidized prices last year.

The Convention's intent was to lead to the gradual phasing out of export bounties, and Britain would then forbid the importation of subsidised sugar.

The phasing out of the linen export bounty between 1825 and 1832 stimulated demand for cheaper textiles, particularly for the production of cheaper, tough fabrics.

However, the Liberal Party was later able to unify over its opposition to the Education Act 1902 and the Brussels Sugar Convention of 1902, in which Britain and nine other nations attempted to stabilise world sugar prices by setting up a commission to investigate export bounties and decide on penalties.