St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1896-02-15
WADENA,s EXPERIENCE.

An extremely interesting letter from
our special correspondent, which we
publish this morning, gives succinct
account of the method by which the
farmers in the vicinity Of Wadena,
aided by the business men Of that city,
overthrow the dictation of the elevator
men last season, and secured an open
market and fair prices and grades for
their grain. The situation at Wadena,
when the rush of wheat shipments be-
gan, was the same as has been reported
from other points where there was no
effective competition in buying. Grades
and prices were both unsatisfactory,
and the farmers began to haul their
grain to other points where they could
make better terms This aroused the
business men, and committee was ap-
pointed to inaugurate system of indie
pendent purchase and shipment A pa
per was circulated and signed by forty
one citizens, who agreed to bear each
a specific percentage Of the entire loss
that might be incurred in opening the
market. The aggregate liability which
they assumed amounted to LOG per cent
of the total, thus assuring the financial
hackers of the scheme against possible
loss.
On this showing the banks ad-
vanced money freely, and the ma
chinery Of competition was put in mo-
tion. The result was seen the first
day, when the price for even grades
advanced three cents a bushel, and
there was a rise of one grade in the
local inspection. This made a reduc-
ton of the margin between the local
and the terminal market from Is to 9
cents bushel, or a gain of 6 cents
bushel to the farmers All eff
forts to break down the move
ment having failed, the elevator people,
later on, were forced to pay fair prices
and give just grades in order to get
any business. BY this means the mar
ket was kept in reasonably satisfactory
condition until the end Of the season.
The evidence is clear, however, that if
the people had not made this move to
secure and defend their rights. thew
would have lost many thousand dol
lars. This is just so much more left
in the pockets of the producers. where
1t belongs, instead of going to swell
the profits Of the elevator business. OF
all the cases which the Globe has
investigated thus far, there is no in
stance in which 1t is so specifically es-
tablished, by a scrutiny of all the de-
tails of the transaction, that the farm
ers are losers annually, taking the
whole state at large, by an enormous
amount.
If there were no evidence at hand
other than that furnished by this
letter from Wadena, it would be suf11-
cient proof, without further testimony
of the absolute necessity of such legis-
lation by the representatives Of the
people ofMinnesota as will forever here
after prevent the practice of extortion
upon the farmer; throw open to him the
markets Of the world, and bring to
him, at his local shipping point such
a grade and price for his grain as it
will command in the terminal markets.
less only the freight and legitimate
cost Of handling. That this can
be done simply and easily, the
Clio be is thoroughly persuaded.
1t has distinctly in mind the
method by which It can be accom-
plished. That method will be suggested
at later day, after the investigation
OF our special correspondents has been
extended further over the wide field Of
Minnesota wheat production; so as to
leave not the shadow of a doubt that
the conditions complained Of are gen.
eral, and that the remedy for them
cannot be local, but must rise out of
proper and judicious legislation apply