The Hood River glacier. (Hood River, Or.) 1889-1933, 1914-10-29
FRUIT EXCHANGE MAN
DISCUSSES MARKET


From the Yakima Republic of Monday
Oct. l9)
"Are cooperative fruit growers or
CARNATIONS going to stand the test Of
l9l4?" This question was put TO X.
r. Ellinwood, Of Portland, this morn
ing. He is in the city today on busi-
ness for the Northwestern Fruit Ex-
change Of which be became assistant
to the general manager a week ago.
For the past five years he has handled
city and fruit news for the Wenatchee
Daily World. The Republic asked him
to give his views as a newspaper man
/ after having spent a week in the Office
of a big shipping organization where
he had an opportunity to see the ma
chine in full operation.
81 suppose you are wondering
whether the tendency Of growers in
the future will be toward selling out
right to cash buyers, consigning inde-
pendently, or continuing their allegi-
ance to the various cooperative organ
izations," queried Mr.. Ellinwood. "As
you might expect me to say. believe
firmly, and will give my reasons, that
the only hope of the grower lies in CO.
operative organization. Opinions re-
garding the achievement of the organ
iztion this year should not be formed
by comparing results with those of 1913
or 1911. Growers should take into &C.
count what they are up against this
year.
at is not generally appreciated that
the northwest this season is only pro-
dueing six per cent of the national ap-
pie crop. Fully 80 per cent is packed in
barrels and is produced much nearer
the big markets, viz: across the Rock
les. Now the Northwestern Fruit Ex.
change has sold its entire tonnage OF
Jonathans at prices little above o0
cents (. o. b. for extra fancy and 90 to
rs cents for fancy. This 80 cents
seems .fearfully low, but it is equiva-
lent to $5 per barrel down east; for
barrel contains three and a half boxes.
The freight alone amounts to Sl.75,
and refrigeration S5 cents. Add these
items to 81. so for the fruit at 80 cents
per box, and the total is $4.90.
"Now take into consideration that
New York and other eastern states this
season have new inspection law which
compels far better grading OF fruit
hence there is not the difference IN
quality between boxes and barrels that
existed in previous seasons. IL is said
that in New York the effect of the law
is so great that nealry half the orchard
run is left in the orchards. while much
is shipped in bulk at 40 to 5O cents per
hundred weight. And yet the high
grade apples are selling at from Sl.5O
to So. so. The question therefore arises,
are buyers justified in paying better
than an equivalent of SIS per barrel for
boxes, when they can get fine quality
in barrels at $3.50?
"And now, another question comes
up: How much better are individuals
prepared to cope with the existing sit
uation than are organizations which
scour the country each day and select
the very best markets, regulating dis
tribution, preventing congestion and
generally supporting the market by IN
teligent distribution?
81 wish every newspaperman, every
grower in the Yakima valley and every
business man in this city might have
| the privilege which was mine during
the past week. Each morning the en-
tire correspondence in outgoing letters
and kilograms has been placed on my
desk. have seen great machine for
selling fruit working under high pres
sure. | have felt the throb of its tre-
mendous energy; also the powerful
resistance of hundreds of statesmen in
all corners of the world sending in beg
ging messages: Please shade your fg-
ures just a mite, and perhaps | can get
this order Little do growers appre-
ciate the mighty pressure resting on
eastern salemen to get every possible
cent for the fruit.
81 want to say that up to one week
ago | had strong impression that the
big cooperative orangizations were en-
gagged in titanic contest for suprem-
acy, and were using the growers fruit
as material out of which to manufac-
ture 42-centimeter shells to hurl at
each other in the form of cutthroat
prices. My observations during one
week on the firing line absolutely dis
prove my suspicious.
"When you come to think of it, what
has any one of the organizations to
gain by selling fruit for less than its
rival? Would not such course result
| in suicide rather than victory; Grow
ers are now settled for the season. The
fight for tonnage will not be resumed
until next winter and spring. That or
ganization will be in the best position
to get contracts from growers next
year which makes the largest returns
to the growers in quickest time for the
1914 crop.
at is a fact that the big organiza-
tions are in hourly competition in al.
most every market of the world, but
each of them is striving to its utmost
to sell higher than its competitor, not
lower; we'll realizing that its very life
depends on the showing it makes at the
end of the season.
"The worst condition with which
shippers are contending is not competi-
tion with one another, not even the
rivalry between bexes and barrels. II
knows that bankers from one side OF
world to the other have absolutely ia.
booed speculation. Now, buying ap
Piles for storage is speculation, legiti
mate, but none the less speculation.
Bankers generally forbid it, and refuse
to make their usual loans for the pur,
pose of enabling buyers, hundreds oi
them, to lay in five to 20 carloads oi
apples. The result is that, this yeal
more than ever before, the grower anC
his organization are being compelled t.
store their own product. This may b.
good thing and result happily. The
exchange policy has been to accept tn,
present market, low as it is, rathe
than go into storage with more than
fourth of its tonnage. The question o.
; the hour is not so much whether organ
izations are undertaking one another
, as it is whether to store or not to store
The general policy being adopted b.
practically all the larger organization
seems to be to sell all but best varie
ties of late keeners at the hest nrice