The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1894-02-06
THE PEANUT INDUSTRY.
Hon. Walter Clark Tells How the Fac
tories" Rob the Producer, and
Suggests a Remedy.
From n. G. January Bulletin

From n. C. January Bulletin
Edward Atkinson, the we'll known
economist, has recently written an ad-
mirabIe article, pointing out the uses
of the peanut, especially as a producer
of oil. He it was, who years ago
pointed out the value Of cottonseed for
Its oil and it's manurial and feed quail
ties as cottonseed meal and the value
of the hulls. Prior to this, on many
farms cotUonseed was disposed of as
waste. Now Mr.. Atkinson predicts
the future usefulness of the peanut as
an oil producer and i'll other ways.
But before we go into it's production
extensively, attention should be called
to the syndicate which controls the
sale of the nuts, making its members
millionaires and the producers poorer.
The number of peanut buyers is small.
These have formed a trust or syndi
cate. By this combination IL is decreed
that farmers stock" Is not salable
and all peanuts before becoming mar
ketable must go through what they are
pleased to dignity with the name of
peanut factory" By another of their
rules, no factory will take the uts on
toll but they must be sold to the owner
of the factory. This delivers the farmer
alive into their hands.
The peanuts are sold on the market
at a price fixed by the syndicate which
is at present about 2 cents per Id. They
are run through the factory" at a
total COST Of one fifth of a CEN per Id.
and are then sold to the retail merchant
by Wholesale at 4 to Z cents per To-, ac-
curdlng to locality. The profits being
pooled are presumably divided. No
wonGer the farmers fad no profit in
making peanuts and hat the factory
owners are becoming m~illIOnaires.
Farmers generally raise small crops of
peanuts and each not feeling largely
interested, as a class they are ignorant
of the gross Imposition practlced upon
them III this, as in SINE other matters.
imposed upon by the word factory
they are led to thiLk that there is some
costly and mysterious process In pre-
pairing the peanuts for market There
are poured into a revolving cylinder
which polishes them and blows out the
pops and dirt. AS they come out, they
fall upon a broad, endless belt which
carries them along to be bagged. Ne
groes stand on Ell n side of thls moving
belt and with paddles deity sort the
peanuts They r then bagged and
sold for more than double Ul q price
paid the farmer. The process of thus
preparing them costs not more thar
one fifth Of a cent per pound.
It vas also thought that the process
vas not only mysterious and required
skIll-Which we see is not sO-buG that
the machinery vas expensive. But il
is said by those who know that the
machinery of one of these 50 called
factories" will not cost more thar
$500 to $500, and that the whole plant
including machinery, building, engine
every thlng-shouId not Jst over 80.
600 to s., 500 Il was also urged tina
there was a patent on the machinery
A party who Was bold enough tt defy
this claim and establish his own fec
tory, demonstrated In a suit III cOurr
that there vas no patent and there
upon, it issaid, the syndicate took hin
in and he is now one of opprt ssors
and fast becoming a mrIllonaIre
AS a last resort, to discourage put
ting up factories, it is given out that
large capital is required to establish