Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1886-03-18
COUNCIL OF FRUIT-GROWERS.

COUNCIL OF FRUIT.GROWERS.
Meeting Held Yesterday at Grangers'
Hali-The Fruit Union.
In response to the published call, there
was meeting of leading fruit-growers
held at Changers Hall yesterday afternoon
Dr. w. A. Hughson presided, and E. Greer
was Secretary. The Chair stated that the
meeting had been convened to consider
whether it was advisable for the fruit
growers of Sacramento county and vicinity
to form an organization for the purpose of
cooperating with the California Fruit
Union, or the growers act independently.
X. ID. Stephens, in order to bring the
subject into form for discussion, moved
that an organization be formed to cooper
ate with the State organization. The mo-
ton was seconded by Senator Reuter-.
Trustees Sol Runyon and C. W. Reed, of
the California Fruit Union, being present,
| they were requested to make statement
of the action taken by the Trustees at their
meeting on the 10Th inst. Mr.. Runyon re-
sponded, saying that contract was entered
into between the Trustees and Porter
latter is to sell on commission all fruit for
warded by the Union for sale; that Porter
Bros Company is to receive the fruit when
loaded on the cars at Sacramento, or at
other shipping points in California, and
| take full charge of disposing of it. collect
| ing payment therefor, paying freight
charges, etc; and for compensation, is to
| receive 10 per cent on the gross sales Por-
| ter Bros. to be responsible for all fruit sold
and to make prompt returns. This, Mr.
Runyon stated was the extent of the busi-
| ness transacted, he believed, at the meeting
referred to.
| Mr.. Stephens asked the speaker whether,
at the previous meeting of the Board, an
order was not passed definitely fixing the
rate of commission for selling the fruit at
) per cent, and whether letters were not
read by the President of the Board at that
meeting, from various dealers in cities at
the East offering to sell the fruit of the
| Union at that rate?
| Mr.. Runyon replied that such was the
| fact.
Mr.. Stephens further asked whether
another per cent.-or, say, $50-was not
to he assessed, as dues to the Union. upon
every carload shipped, to be paid bv the
grower, thus making Is per cent to be paid
| by the grower upon all his fruit. in addi
ton to what he pays upon his stock held
| in the Union?
Mr.. Runyon said it was decided. as
| stated, to charge per cent. upon the gross
sales, for cost of handling and forwarding.
but it was understood among the Trustees
| that they would not make this extra : ppr
cent. charge to those who sent their fruit TO
| be sold by Porter Bros, but only against
those who consigned their fruit direct to
some dealer or person, without going
| through the hands of Porter Bros.
A long and interesting discussion was
then engaged in by Mr.. Stephens, Mr. Run
yon, c. W. Reed, Joseph Reuter-. G. ".
Hancock, II. Weinstock, William john
ston and others, as to the effect the arrange
ments made by the Trustees of the Union
would have upon the interests of the stock
| holders, and as to the benefits to be derived
from the Union under present status. 1t
was contended, among other things, that al
the annual meeting of the Union strong
| fight was made by the members from the
interior OF the State to SO amend the by
laws as to place everybody upon an equal
1ootlng as to cost OF shipping fruit to the
| East, and the amendment was adopted nv
an overwhelming majority; but that now
| this point gained would be entirely an
nulled by the Board, which proposes to
charge the per cent TO those who sell
| their own fruit, and thus consign direct to
| their purchaser, whereas those who send
fruit to be sold on commission bv Porter
Bros. would save this $50 or more tax upon
each car.
1t was further argued that the effect of
having all the fruit concentrated into the
hands OF one agency-Porter Bros. at
Chicago, to be by them sold-would erect a
monopoly which would be SO powerful
| as to crush out all outside BUYERS and shin
pers; that it would be for the interest of
! the Chicago commission agent of the Union
to Kill out all competition, and thus secure
| commissions upon all California fruit that
goes to the East, and that to effect this he
| could slaughter the fruit shipped to him.
by throwing it in large quantities, at ruin
| GUS rates, upon the market in places where
a competitor had placed fruit for sale. In
such case the competitor would be killed
! OF, and driven out of the market, at the
expense of the members of the Union.
whose fruit was slaughtered to accomplish
1t, and not at loss of the Unions commits
sion agent.
1t was also strongly urged that instead of
taking action which will reduce the num-
Der OF buyers and shippers, it is to the ut
| most interest OF all fruit-growers that the
| number of buyers and dealers in our fruits
| be increased as much as possible, from the
fact that the greater the competition the
smaller will be the margin of profit re-
ceived by shippers, and this in turn means
fair prices to growers, and large sales and
| extension of market at the East 1t was
claimed that the trend of the California
| Fruit Union was against the accomplish
ment of these very desirable ends. and the
building up of one of the most complete
and rninous monopolies ever known.
Washington Porter, of Porter Bros. who
| was present, was called upon to explain his
contract with the Fruit Union, which he
did, approving what Mr.. Runyon had said.
Hewas asked if 10 per cent covered the
charges against the Union in all cases, and
he replied that it did, except in emergency
cases, when he might be required to quickly
send out in small lots one or more carloads.
to persons other than his regular agents.
IN order to dispose of what was on hand
before it rotted. In these cases the COM
mission would depend upon charges made
by sub-agents
1t was argued by subsequent speakers in
relation to this that the question of when
a case was one of emergency was always to
be decided by the commission agent of the
Union, and might be very frequent. In
fact, sentiment of quite general dissatis
fachon at the present situation of matters
connected with the Fruit Union prevailed.
Mr.. Snow, of Boston, and Mr.. Clapp, of
New York-both prominent dealers in Cal
norma frults-weIe present, and were
called upon Tor expressions of views. but
refralned from passing upon the effects of
the regulations of the Fruit Union. Mr..
Clapp,. however, spoke at length upon the