Washington standard. [volume] (Olympia, Wash. Territory) 1860-1921, 1914-10-02
COOPERATION WINS
FOR KANSAS FARMERS
MUTUAL COMPANIES DRIV Il
BROKERS OUT OF BUSINESS
IN SUNFLOWER STATE

TOPEKA, Kan, October Exam
sas is driving the middlemen out of
business in certain lines so fast that
within two or three years those who
transact business with the farmers
on a commission basis will find this
state the most barren field on their
lists. The broker in farm products
is being superseded by cooperative
organizations of the Kansas farmers,
who are handling the own products
direct to the consumer without the
product going through the hands of
the broker and paying him the usual
commissions.
Cooperative trading has been so
successful in this state in the last few
years that there are more co-opera-
tive corporations being chartered by
the state charter board than any
other single class of corporations.
Since the first of the year more than
200 cooperative organizations have
been Incorporated, and at present
there are nearly 1000 of these, and in
addition there is a considerable num-
Der of partnership agreements.
Phone Cooperation in the Lead.
The largest single cooperative or
ganizatiOn is the mutual telephone
organizations. The second largest is
the farmers elevators. There are
more than 400 mutual telephone COM
panies in the state, with upward of
100000 homes supplied with service.
Practically all these homes are out
side the cities and towns and afford
the only means the farmers had of OBJ
tanning telephone communication.
They built their own lines, each far
mer buying his own instrument and
paying pro rata of the cost of the
poles and wires. These mutual lines
are connected with the lines of the
Bell and independent systems.
4hCoC CiCNdlOIo WcIc OTSdulLeu U
handle the grain of the members and
of others. They are branching out
and are purchasing the coal used by
the members, sometimes buying a
carload of sugar or of groceries or
buying feed. Ten years ago the Cen
trail and Western Kansas farmer paid
from to IL cents bushel for mar
keting his grain. This was the bro
ker's margin and included the eleva-
tor fees. ,..,
Handle on q 2-Cent Margin.
The cooperative organization grew
up because this margin was too large,
and these organizations handle the
business on a 2-cent basis, often
less. The elevators are small, but
they have as efficient cleaning and
grading machinery as the big ones,
and are ample for handling all the
grain of the members and sometimes
others. Some of the cooperative or
CARNATIONS are able to show an &C.
tual profit to the farmer of as high
as 35 per cent on the money he has
invested because of the saving in
brokerage ard other expenses and a
profit on the bu5iness done for others.
The N .. notable example Of CO.
operative trading is the Grange store
at Olathe and it's branches in other
towns and its allied enterprises, a
bank. an insurance company, elevator
and lumber yards. The store has been
In operation for IS years, and it has
a paid up capital Of 100000 and a
surplus account of $4,000. In thir-
ty years it has distributed more than
100000 in profits, besides selling
goods to the members at lower figures
than the same quality could be pur-
chased in the ordinary stores.
The next oldest cooperative enter
prise is the Wathena Fruit Growers
Association. Eight years ago the
fruit growers in that section were re-
ceiving from SO cents to 80 cents
crate for berries. This year the low
est was $50 crate. From an orig
inal membership of twelve eight years
ago the association has 1853 members
and does more than 100000 worth
Of business year and owns property
worth $4,000. This association has
organized an elevator company, a
lumber yard, general store and &
cooperative fire insurance company.
Now Produce Selling Concern.
A new line of endeavor in the CO.
operative work arose this year in
Lyon county, where the Lyon County
Farmers Produce Association was or
ganized. This association is selling
concern entirely. 1t sends men into