Gilpin observer., 1903-07-09
FARMING MATTERS.
Cooperation Of Farmers.

exploited in the Century Magazine for
July. IL resembles in some of its de-
tails the old Granger movement Of
1873. and In other particulars the CO.
operative schemes of manufacturing
centers In England. Its success or
failure--or mixture Of these results
will be revealed later on.
In the vicinity of Rockwell some 500
prosperous owners and tillers of the
soil have formed combine to obtain
fair prices for their crops and to se-
cure necessaries at wholesale prices.
All the members of the combine are
practical farmers. They were led to
organize by the persistent refusal Of
the chief tradesmen in their vicinity
to sell to them at fair rates or give
them the market price for their prod
ucts. They are consequently not try
ing to demonstrate any economic the
ory, but to prosecute their business in
dependently of local mOnopOlies. They
had a deep-rooted conviction that
farmers are not fairly treated as indi-
viduals. but may compel equitable deal
ing by combining. The 500 Rockwell
farmers are worth together about $5,-
ten square miles. and their farms aver
age about 100 acres. Having secured
a manager OF strict integrity and bus
iness sense. in ten years they have in
creased their annual business from
100000 to 1924 PSI.
This business has been conducted on
a capital never exceeding $4,000. The
rules forbid borrowing over $1,000 at
one time. and prevent debts ever ex-
ceeding $1,000. None of the funds OF
the company may be loaned to anyone.
and no obligation can be contracted
without the written consent of a major
ity of the directors. There are no
profits. What the members look to is
the fact that they receive cash for their
produce at the highest market price
and buy their supplies at the lowest
wholesale price, plus four per cent.
added to cover expenses. "Once year.
says the Century, the company holds
a general meeting. during which re-
poIes are made. There is but little
actual business to transact, however.
for the members of the firm have been
transacting the business day by day all
through the year. There is no large
sum of accumulated profits to admins
ter, no surplus to tempt to speculation.
There are no profits in the business
save the profits which accrue to each
individual farmer month by month as
he buys his necessaries at wholesale
and sells his products at figures uni
formly higher than the surrounding
markets. The company buys agricul-
tural machinery. fence wire, salt. -four.
fuel and other bulky articles. The
agent Of the company buys at the low
est wholesale rates large quantities Of
the materials needed, selling these in
turn to the farmers at cost, plus the
small percentage noted. From the farm
ers he buys cattle. hogs. sheep, oats
and corn. paying year in and year out
higher prices than are paid in other
towns in the state Through the agent
OF the company the members buy Of
Others than members of the company
may buy of the agent, but not at the
same figures as those granted to mem
bers.
In the experiment thus far no account
is taken of the relation Of a growing
town to the value of neighboring lands.
1t is, of course, admitted that towns
will not grow under the Rockwell
plan. as there is little or nothing for
the middleman to do. In fact, lie Is
carefully eliminated from the indus
trial program and can, therefore. neith-
er help to pay taxes, support churches
or schools nor contribute to the value
Of neighboring lands. When these sew
eral losses are taken from the gains
of the farmers then. and not till then.
can the balance be properly stated.
Despite the absence of a middle class.
the Century writer tells us that the sue
cess OF the cooperative enterprise has
built up a prosperous town about their
place Of business. 1T is admirably
lighted" we are told. land has ade-
quate water works. telephone system.
etc. There are excellent public and
church schools. and the various relig-
ious denominations have comfortable
houses of worship. More than half of
the population OF the town is composed
of retired farmers. many OF them mem-
bers of the company. who have leased
their farms to others and have moved
into town to live. They have built
pleasant modern town houses out OF
their surplus means. They not only
have the staple necessities Of life. but
not a few OF its minor luxuries as
we'll"