The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1908-03-15

\ 11L MOIAN LINZ nOL y
mand and supply In future months
are disseminated by Boards OF Trade
generally. The daily quotations re-
cciyed by local grain buyers include
prices both for immediate and future
delivery. and the farmers can sell as
Is most profitable and convenient to
him The big grain exchanges afford
ready market for him as well as
price quotations for spot and fu-
ture delivery, which establish GER
tain value for his grain, making il
possible for him to borrow at his
bank almost It's full value,
The farmer may sell his grain In
the field IL he desires. He can, II he
chooses, garner II and wait for the
daily telephone or telegraph bulletin
TO notify him OF raise in the market
which will give him a handsome pro-
iit over a more needless neighbor.
The warehouse men at his station,
and representatives OF the big com.
mission houses on the Chicago, Min
ncapolis. Kansas City and other cx-
changes, will buy at the prevailing
prices OF the day less the charges for
shipping and commission. II It Is for
immediate delivery the grain is al
once loaded into the ears and in q
few days is In ono OF the great ter
minal elevators. s
Under no other system than that
now in vogue on the exchanges would
the financial ship have been steadied
as il was a few weeks ago, Remove
the possibility OF making contracts for
the future. and chaos would mark the
end OF each harvest The farmed
who must realize after the expenses
OF the spring and summer would be
forced TO sell at once and the great
bulk OF the years grain would sudden
ly be thrown on the market. The
middlcman would be unable to pay
the farmer within ten to twenty-five
per cent as much for his grain as he
is enabled to pay under the present
system, because OF the risk OF hnanc-
ing and handling such immense guam
titles Of corn, wheat, barley, oats, rye,
and flax all at once,
An illustration OF what would oc-
cur appears in the present situation
in the tobacco market, where there
is no opportunity to make contracts
for the future. The newspapers have
been filed with accounts OF riot and
disorder in Kentucky, where barns
and warehouses have been fred by
night riders There has been no
quoted price recently for tobacco as
for wheat and cotton. The farmers
brought their product to market and
the buyers bid for it, But the "com-
binc" OF tobacco manufacturers has
reduced the old-time field of buyers
TO one or at most two interests, The
price is made accordingly, and the
grower may whistle il he does not
like the quotations, for he has no
other market. Experts who have in
Quired into the conditions which exist
today in the tobacco producing states
point out that buying and selling for
future delivery is the only hope Of the
industry.
In 1893 AN industrial commission
was appointed by the Government to
investigate the effects OF present trad
ing methods on the value of farm
products, Senator Kyle of South
Dakota, one OF the great wheat states,
was chairman OF the commission. II
outlined the economic services of ex-
changes and their agencies engaged
in distributing farm products as three
fold:
! They localizc industrial risks
among commercial class whose
special function is to distribute sur
plus supplies over deficit times and
places in such way as to lessen the
uncertainty of producers and con-
sumers.
2 "They relieve producers and
consumers from carrying a whole
years stock, enabling the farmer to
convert his crop promptly into cash
capital, and the latter to supply him
self as his periodical needs may re-
quire without enchancing prices be-
yond the original rate or risks and re-
turns OF such capital investments.