Pullman herald. [volume], June 18, 1920, Second Section, Page 6, Image 16

About Pullman herald. [volume] (Pullman, W.T. [Wash.]) 1888-1989

Image provided by: Washington State Library; Olympia, WA

                
Pane Six
CANADIAN GRAIN
GROWERS si i DI \\ HKA <
MARIIKTING PLAN
The May issue of the Orain Grow
era Quids, published by the organ
ised farmers of Canada, contained
tho following analysis of the plan
for the- co-operativo marketing of
wheat, written by R. I)! Colquetti
Those who attended the U. F. A.
convention in Calgary last winter
will remember A. A. Klmore. presi
dent of the Farmers Union of the
state of Washington, who brought
greetings from the formers south of
the line to the farmers of western
Canada.
Mr. Elmore is a live wire of high
voltage. He is specially treated iv
the' welfare of the wheal growers of
the Inland Empire which consists of
Idaho, and large wheat-growing dis
tricts in eastern Washington and Ore
gon. This great section is separated
from the eastern wheat markets by
.a age of the Rockies which adds
high grades to a long haul. The nat
ural outlet is to tho Pacific c o ,ist,
where a local market and shipping
facilities to the Orient and through
tbe Panama canal are provided or in
prospect. rhe commercial interests
of the farmers of the Inland Empire
ignore stato boundaries and are a
Striking example of the fact that the
political sub-divisions of a country
are' not always drawn with due re
gard for the natural divisions into
which its soil and climate divide' It.
The wheat marketing facilities of
the Inland Bmpire are not. all that!
could be desired from the farmers' j
viewpoint. True, there have been a
considerable number of local co- i
operative warehousing associations
organized; but there has been little;
or no co-ordluatiou between them, I
and things seem to be fairly satis-
tory to I be big wheat and milling
Interests. Mr. Elmore has been try
ing to find tin; remedy tor this state
of affairs. Things looked rather
murky and hopeless.
They looked murky and hopeless J
until one day last winter. He was in!
Portland, Ore., and was pacing the
lobby of a hotel, waiting for a train. I
Passing by the door of one of the as-!
sembly rooms he noticed a sign which i
stated that a co-operative meeting of
fruit growers was going on inside.l
Co-operation means come In" to El
more, and in ho went. There he
found Aaron Sapiro, attorney for
some of the co-operative associations
of California, explaining the co-oper
ative plan for marketing farm pro
ducts. "That is the idea for us,"!
said Klmore, and negotiations for
getting Sapiro to address the annual
convention of the Farmers Union at
Spokane were undertaken.
When Sapiro landed in Spokane it
was with a working plan foi the j
wheat growers in his pocket. His
plan went over at the convention \
with a bang. It was thoroughly dis
cussed by the delegates, and before |
they were through they had decided
to proceed in applying the California !
idea in the marketing of tehir wheat.
President Elmore was authorized to
appoint an organisation committee
of 15 members, "for the express pur
pose of initiating and developing a!
idea in the marketing of their wheat,
growers into co-operative marketing
associations, whereby their wheat
will be handled on a co-operative
basis for the benefit of the produc
ers and ultimately the consumers."
Some news of these plans had
reached the Guide, and on my trip
through the Pacific states it was
planned that I should investigate
what was being done and see how
the scheme was going over. Spo
kane, where the committee has is of
fices, is the center of the movement. '
When I reached Yakima, on my
journey across from Seattle, and had i
still half the state between me and
Spokane, I began hearing of the!
plan. The farmers were talking of
it, and the county agent was enthusi
astic about It. It began to feel as
if there was something doing. So
when I reached Spokane I was not
long in making my way to the offices
of the Farmers Union, and the wheat
orgri.lzation committee. I arranged
to go out with Mr. Elmore to one of
his organization meetings at a plarY
called Fairfield, in the famous Pa
louse district, whose bald, rounded
hills of volcanic ash produce some
wonderful crops of wheat.
At Fairfield, we found the meeting
already In progress. The farmers
were listening to an address by Dr.
Stanley Arnda. a partner of Mr. Sa
plro's in San Francisco. If tbe
word "doctor" calls up In your mind
a picture of an elderly gentleman
with a pre-occupied air, forget It.
Arndt- is al! youth and enthusiasm.
He could pass as a county agent
without an effort. He won his doc
- tor's degree at the University of Call
fornia last year with a thesis on co
operation law. When we arrived he
was explaining the terms of the
wheat contract, and occasionally tak
ing a poke at the big wheat and mill
ing Interests In a manner that would
delight the heart oi an audience of
. anadlan farmers. The khaki shirt
he wore didn't detract any from the
effectiveness of his address
Ur. Arndt's business at he meet
ing was to explain the terms of the
contract which the farmers down
the:-. are signing. Elmore talked
co-oporation and organisation. Prom
their addresses, from literature that
is being circulated, and from conver
sations wilh several of the men who
re working to get the plan over I
gained a fair working knowledge of
just what the idea is, and what Is
hoped for it.
This is the plan: 'i he wheat grow
-
ing section In which the organisa
tions are being formed produces
80,000 000 bushels of wheat in a
normal year The total farm value
of the 1919 crop, basis December 1,
waa estimated by the federal gov
ernment at 187,000,000. The mar
keting of this crop Is i he biggest i in
gle line of commercial business In
the Pacific Northwest. In each if
the states of Idaho, Washington and
Oregon a hob capital, non-profit as
sociation of wheat growers will be or
ganized under the Mate law. Three
associations in necessary cause
the state boundaries divide a big dis
trict which, from the agricultural
viewpoint, is an industrial unit. The
associations will work in close co-op
eration in the marketing of wheat.
The completion of the organisation
and the commencement of business is
contingent upon getting the wheat
rowing farmers in the three states
to sign contracts to deliver their
wheat to the associations in suffici
ent numbers to guarantee a volume
of 15,000,000 bushels annually. The
date set for reaching this objective
Is July 1.
We will take the Washington asso
ciation as an example.* It is known
as the Washington Wheat Growers
association; Membership is open to
any wheat grower, the entrance fee
is $10, and each member has one
vote. The association will be con
trolled by a board of 16 directors, 14
elected by counties according to the
amount of wheat marketed through
the association, their election to be
latified at the annual meeting of the
association at Spokane. The other,
who has full director's powers, will
he appointed by the dean of the state
agricultural college to represent the
general interests of the public.
A contract between the grower
and the association is signed. It is a
binding one. It binds the association
to buy and the grower to sell and de
liver to the association all of the
wheat marketed by the grower for
six years. The growers retain, of
course, all the wheat necessary for
seed and feed. Special arrangements
will be made regarding the sale of
wheat of special quality for seed pur
poses. The growers surrender all
right to sell their wheat, this being
looked upon as one of the basic prin
ciples of producers' co-operation.
The selling will be done for them by
experts engaged by the association.
Special facilities will be provided for
obtaining information on world's
wheat marketing conditions to enable
the experts- to merchandise the grain
to the best possible advantage. It is
explained that the big wheat inter
ests all have such sources of informa
tion. That is one of the ways they
have of manipulating the wheat mar
ket. Each grower, even the most in
experienced, will have the advantage
of competent salesmanship in the
marketing of his wheat.
"Yon are primarily producers of
wheat," say the organizers. "You
are at it every working day of the
year but one, and you know, or ought
to know, about all there is to know
regarding the growing of wheat. For
one day of the year you are a seller,
Of wheat. How can you expect to be
as expert at selling wheat as a man
who is at it every working day of the
year? That is his business. When
you do business with him he has
everything in his favor. He knows
the commercial conditions, he knows
how to talk, how to convince men
that black is gray; he knows how to
handle you and you don't know how
to handle him. Your business is to
hire a specialist, to hire someone
who knows the business from the
bottom up. The Armour Grain com
pany in Chicago is the greatest grain
company in the United States. it
owns 22 per cent of all the grain
elevators In the country. Do you
suppose that Armour docs this? You
do not suppose that he gives the ord
ers when wheal shall suddenly be
dumped on the market to make your
price go down. No. he hires men
Who study tb< wheat conditions in
Australia, Argentina, and India, and
these men cable him all the available
Information. But Armour does not
Ido this. He has hired specialists
win. do it for him. lie is probably
playing golf when his deals are
made."
One of the reasons for signing up
cont.acts for six years, covering all
[the whea f grown by the signing
growers for the years 1920 to 102',
Inclusive, is that the associations will
be able to attract competent sales
men to engage with them. Th it
could not be done if the contracts
were for one or two years only, and
the immediate future of the associa
tion were problematical. Another
reason is that that period Is neces
sary to finance a corporation for
warehousing the wheat and doing
the physical handling of the product.
This part of the plan is discussed
further on in this article.
All wheat delivered to the asser
tion will be pooled according to
grade. When a farmer delivers his
wheat it is weighed and graded. His
what then loses its Identity. It Is
put In with wheat of like grade de
livered by other growers. Arrange
ments are made for securing an lm-
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