St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1896-03-09
RESULT OF COOPERATION.
Experiment at Kenyon Was a Com
plete Success.
Special to the Globe.

Special to the Globe
KENYON, Mimi, March 9.-The
farmers around Kenyon have thrown
off the yoke of the elevator owners and
now control the grain market here.
After being compelled to pay tribute to
the elevator owners, or to haul their
grain to Cannon Falls or Zumbrota
they formed a cooperative elevator
and mercantile company and handled
their own grain. This year, instead Of
the farmers hauling their grain through
Kenyon to other markets, the farmers
have hauled their produce through 9TH
er towns and sold it here. The farm
ers' company built 20000-bushel ele-
Vator and later equipped it with a feed
mill All kinds Of grain were bought
on the closest possible margin, and the
direct gain to the producers was over
$4,000 That is the amount the pro-
ducers received in excess of what they
would have been paid for their grain
had the margins in force in 1894 re-
manned in force While the crop of 1895
was marketed. In addition to this there
was surplus from five months bust
ness by the farmers house of So, 500. 20.
This remains in the treasury of the
company as working capital, but is
owned by the farmers, who are nearly
all stockholders in the company. The
company has been in business about
seven months, and the surplus men,
tened is only for the first five months
operations. While no report has been
made by the officials of the company. it
is estimated on the basis of the first five
mel ths business and the amount of
grain handled since that time that the
surplus at the present time is not far
from Sc, 800.
The plant cost $4,000 and the stock
subscriptions were only 81, 700 This
left shortage instead of a surplus
capitol for conducting business. In
order 20 provide the necessary funds
for handling the grain the officers of
the company were compelled to borrow
money on their joint notes This will
not be necessary in the future as the
plant is now paid for and the surplus
is retained in the treasury as working
capital.
The experience of the farmers, who
hauled their grain to other markets in
1894, and that of the merchants. who
suffered from loss Of business because
the markets at other points offered in
ducements which caused the producers
to sell their grain elsewhere and to buy
their goods at other towns, was the
cause of the movement here A year
ago many of the farmers west and
south of Kenyon drove through this
town with their loads of grain and
sold 1t at Cannon Falls or Zumbrota
Is to IS miles from here There
were farmers elevators at both of
those towns, and the prices were SO
much better that a farmer could make
as high as So more than the Kenyon
price would afford on each load of grain
scld there. The farmers who sold their
grain In those towns bought their
goods there, and those who accepted
the prices offered here were continual
Iy complaining of the treatment thew
received in the Kenyon markets.
The project of forming a cooperative
company here was agitated and dis
cussed. Several meetings were held
and all the information that could he
obtained. showing the experience where
independent houses had been operated
was laid before the merchants and
farmers. There was no haste in the
matter for, while every one favored the
plan, no one wanted to make a false
move that could be taken advantage Of
by the elevator owners.
Finally the Kenyon Farmers Mer-
camille and Elevator company was or
gained with the following as the first
beard of officers: E. H. Emerson, pres
ident, West Concord o. r. Henkel,
vice president, Kenyon; A. T. Kjos, sec
rotary, Norway; G. L. Brusletten, sec
rotary Kenyon; and John Davidson,
Spring Creek; p. B. Lee, Kenyon; R. H.
Wickum, Norway; p. O. Ruen and K
o. Sahl, holland, directors. 1t was de-
cided to build a 100000 bushel elevator
and to employ William Shepherd a
thoroughly experienced grain buyer, as
general manager. On Aug. ! the house
began to take in grain and to buy 1t
upon as close margin as possible.
The other houses met the cooperative
cOmpany's prices, but did not get much
of the grain, as the farmers were near
ly all stockholders in the cooperative
company. Some Of them sold to the
other houses, as they were rushed with
work and could not spare the time to
wait their turn in the line at the farm
ers house.
The prices paid at Kenyon attracted
the farmers from far and near and
many of them hauled through other
towns to sell their product here The
territory between Kenyon and Zum-
brOta and Kenyon and Cannon Falls
was fairly divided as the prices paid
at the farmers houses in the three
towns were very nearly equal On the
south and west 1t was different and
Kenyon drew the farmers from within
six miles Of Dodge Center and Owa-