Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1912-08-21

In a recent interview, r. siege
of Medina, president OF the North
Dakota Dairymen's Association, dis
cussed the local creamery and dairy
ing as follows:
1.-THE local creamery is a compar'
atiyely new feature in the dairy bust
ness, having been developed through
various stages within the last hve
years. 1t may be either an individual
or cooperative institution, although
most of the successful plants in the
misunderstanding in the State OF
Minnesota-are operated on a co-op
erative basis. Opposed to this sys'
TEN are the large interests, common
ly known as the S~entraIlzers. Ihese
concerns maintain large plants IN the
cities soliciting rea shipments by
express from a large territory, being
nothing uncommon for them to ship
500 miles without any refrigerator
service, even in the hottest weather.
Naturally 1t is to the interest OF
the Ce~ntralizers to crowd out the loo
al creamery, and thereby gain a mon
opoly in the manufacture OF cream
cry butter.
1.-THE record OF the local creameries
in the Northwest is unusually good,
considering that this system has been
developing for only a comparatively
few years. Under the cooperative
systyn, the local creamery deducts
the actual cost of operation, and a
small sinking fund, returning the bal
ance to the patrons pro rata in pro
portion to the amount of butter fat
delivered.
"The Centralizers. wherever they
have gained monopoly, pay as little
as a farmer will accept. Quoting from
the report of the Bureau Of Anima
Industry for the year 1907: Reports
show that during the month Of July
in Kansas and Nebraska. where {
monopoly appeared to be complete
the farmers received only tic to 19t
a pound for butter fat, while in north
ern Iowa, Minnesota, Wisconsin ant
Illinois, where cooperative creamer
les predominant, the price ranged
from Csc o 26c per pound
"The methods of the centralizers
are sometimes ~reprehensible, espec
tally where these concerns have come
into competition with small creamer
les. They have raised prices to a
point that made it impossible for the
small oncern to continue, thus fore
ing it out of business by reducing the
price at some other points where
there was no competition, have moi
suffered any loss. and have been able
to gain a firm hold on certain terri
tory. This is interesting, as it illus
trates what may be expected in the
state of North Dakota If the people
fail to appreciate the Importance o.
local creameries and support them as
they should.
The large interests have already
practically destroyed the smaller
creameries in the state of Montana
and are, at the present time, inter
testing themselves in this state. 1t i;
not alone the closing Of the creamer
les that must be given serious consid
Grafton. but also the fact that under
the centralized system, dairying has
never developed. Statistics show
.r'IllCt IllC uulIlDCl VI SlColLISiiCo -
Kansas declined from 1873 in 1900 t
81 in 1905, while in Minnesota, dur
ing the same period there was an in
crease of from 5S2 to 905. The de
crease in Kansas is attrlDuted to dis
satisfaction and distrust On the par
OF the farmers with the centra
creameries because Of the low price
paid, poor quality Of butter produced
killing OF the small creameries, an
the loss of all immediate contact be
tween the farmer an. the owner 0
the business.
.The Minnesota farmer is today re
ceiving from five to six cents pc
paund more for butter than the Kar
sas farmer and those farmers in Mort
Dakota who are compelled of neces
sity to patronize one Of these larg
outside concerns.
There can be no doubt that tn
tendency OF the centralizing syster
is bad both for the farmer and tn
nublic. The effect is to exact hig
prices from the and pa
low prices to the producer, the profit
going to the large operators who cor
troll the situation,
"The smaller cooperative creame1
les should be encouraged, and tn
Dairy Division Of the Department {
Agriculture is spending a great dea
OF money to help develop these small
or institutions throughout the cour
try. 1t has been proven beyond di
pute that a creamery ma~nufacturin
Is, 900 lbs. Of butter--if properly mar
aged-can be operated on as low
manufacturing cost per pound as
creamery making four or five time
this amount. The fact that the lOcs
creamery is located near the soruc
Of the raw material, and that the bu
@fermakar and manager are pers0nall