The Hood River glacier. (Hood River, Or.) 1889-1933, 1911-05-11
OVERPRODUCTION is
MYTH OF PESSIMISTS

Below appears in part recent com.
munication of E. II. Shepard to the
Sunday OregOnian:
The impression exists with some who
are unfamiliar with conditions that
overproduction stares us in the face
and consequently low prices must pre-.
vail in the future. | do not believe
that anyone who has been engaged in
the marketing of fruit for the last
eight years, who is familiar with all
conditions, will express such an opin-
ion. and do not believe that this view
il justified. Too many people without
experience, without knowledge, make
up their minds impulsively and arrive
at conclusions without proper
knowledge or investigation. This
seems to be human nature. | have
talked with many men of experience
and samong them do not find that the
idea of overproduction generally pre-
walls. However, on the other hand,
the idea of overprOduction is common
among those who know little about
selling fruit, and universal with those
who have not engaged in the business
The man who could have bought an
applet orchard at small figure a few
years ago and which is worth $4,000
an acre today, but did not buy, will
holler his head off about overproduc-
tion and low prices in the future.
Conditions are more or less similar
in all well proven fruit districts. In
asmuch as | am more familiar with the
past and present history of Hood
River, | will relate conditions in this
district to the best of my ability, feel
ing that my views will be of some
value to all good fruit districts.
In the year 1896 the United States
produced $4,000, 900 barrels of apples
In 1904, 1905 and 1906 the average was
approximately $4,000, 600 barrels. In
1907, 1908, 1909 and 1910 the average
has been sfrom 25, 900, 600 to 80, 900, 600
barrels. If prices are lower on 80,
900, ,OOO-barrel crop than they were on
the 45, 900, 600 crop, do not see where
in the individual is justified in assert
ing that lower prices in the year 1910
on the lesser crop are due to over-pro-
duction. 1t is evident to me that some
other cause must be the reason. There
are reasons and to me these reasons
That business during the year 1910
was not in prosperous condition is a
well-known fact; that money has been
tight during the past year no one
denies. Consequently, it must be ad-
mitted that such a condition to a
greater or less extent would naturally
affect the prices Of fruit and perhaps
more than some other commodity for
the reason that fruit is not an absolute
necessity although an essential.
The crop of apples in the year 1910
was about the same as during the pre-
vious three years. However, it was
differently distributed, the crop of
apples being much larger in the boxed
districts and much smaller in the bar
rel districts. This difference pre-
sented to the fruit dealer problem
which he had never faced before.
Consequently it was but natural that
his business judgment should dictate
Il conservative policy until he could
thoroughly understand the effect on
the market of a greater crop of boxed
apples and a smaller crop of barrel
apples.
It is a well-known fact and generally
admitted that nearly every family in
the United States went on basis of
more or less economy this year, reduc-
ing living expenses wherever possible.
The result was peculiar condition,
causing the ordinary grades of apples
to sell more readily than the higher
quality of apples, because they could
be purchased for less money. This
economizing made itself apparent in
another way in connection with the
apple business in 1910, which was also
something new. The purchaser pre-
ferred and bought small apples, $50 to
the box instead of from 96 to u apples
to the box. In some instances, small
apples have brought higher prices than
the larger-sized apples; peculiar con-
dition, nevertheless fact and one
usually understood by the man who
has sought and discovered the cause
which Is simple. The buyer who
wanted to economize preferred to buy
$50 apples to the box instead of 96,
because they would so a good deal fur
ther with the family of small children.
These two special conditions are some
thing unusual this year and unfortu-
nately the Northwest seemed to have,
for the first time in the history of the
business, what is usually considered to
be the most desirable, but what at
this time was not generally wanted by
the consumer. In other words, the
Northwest had quality apples and of
large size. The consumer did not want
quality apples but wanted cheap