The Brookings register. [volume] (Brookings, Brookings County, S.D.) 1903-1971, 1915-02-25
GRAIN EXCHANGES AND OPTION
TRADING
WATERFOWL, S. D.

LtdutI VI JdHudIy [OIH, L leel mat /
must digress to clear the way for
future discussion.
The editorial divides the grain ex.
changes system into four parts nam
ing the fourth foption trading) Gin
surance contracts" and refers to same
as follows: ut is the misfortune of
this fourth department that it is so
little understood. 1t is this depart
ment that is the center of attack; not
by intelligence, but rather by a rest
less ignorance cloaked in the false
guise of reform" That paragraph sur
prised me. 1t did not breathe the
spirit, or express the style of genial
Charley Day, who is n of the fairest
writer's in the state. 1t is the senti-
ment of arrogant private monopoly,
clothed in the familiar style Of Mr..
McHugh the secretary of the Mime
apolis Chamber of Commerce. 1t re-
minded me of his address at the State
Grain Dealers Association at Sioux
Falls where he refused to argue, dis
cuss, or answer questions.
am sure that the editor does not
think that | am much below the aver
age in intelligence" nor will he as
sert that he thinks | am Ignorant"
concerning the economic problems
affecting agriculture; and l am very
sure that it cannot be said that |
have ever "cloaked my views under a
false guise of REFORM" during the 80
years l have been in season and out,
pointing out that the grain exchanges
and their subsidiaries, were not in
their inception, organization, or opera
ton intended to aid the farmer, but
instead to exploit him for their own
profit.
On my way to Watertown to file on
my homestead in 1883 I overheard a
conversation that made a strong i'm
preston on me. A young man, an en-
ployee of a line elevator company was
telling a friend his trouble. He vas
short in his coal weights and his en-
ployers insisted on his making good.
He said that he was away ahead on
his wheat weights and thought that
should balance his account, but they
insisted that the gain in wheat was
thnirc ond tho lose on nno1 hic and 70
avoid prosecution, his widowed mother
to save her boy had to give a mort
gage on the homestead,
Later | learned that the rule was a
general one, and as a business man it
seemed to me unfair, and had a ten
dency to influence the manager for
self protection, to under weigh wheat,
and overweight coal, neither of which
was in the interest of the farmer.
During the spring of 1885 l had
some business experience with a prom
inent line elevator company which con-
firmed my earlier suspicious.
In 1885 l had a good crop of 500
acres of wheat and thought it a part
of my farming to sell as well as pro-
duce, and sent a sample to the. Union
Mills, Waterloo, Iowa; also submitted
a sample to the local buyers.
The net difference was IL cents per
hushel in favor of direct shipment to
the miller. l gave the information to
my neighbors through the Deuel. Coun-
ty Advocate, and urged that they
should unite by cooperation to reach
the miller direct through ~organiza-
tions of our own. That is now the
remedy of the organized farmers of
the state and nation. In South Da-
kota we have over 200 cooperative
farmers elevator companies, member
ship averaging about 100 each. This
state grain dealers association repre-
sents the more aggressive element,
and no more intelligent, earnest body
Of men meet annually in this state;
and of course in SO far as the needs of
agriculture are concerned none to com.
pare with them. At their annual con-
vention in Aberdeen last December
they unanimously adopted the follow.
ing resolution:
THAT in view OF the great loss to
the farmers at the various terminal
elevators with q view of doing our
own terminal marketing and export
ing, as is now being done by the farm
ers Of Canada, and that we condemn
gambling In futures as to phantom
grain. as 1t ia well known that such
gambling Axes to q very great extent.
the price Of cash grain"
I am not interested financially In
either production or marketing.
II t -. AHEInAA &c., E LMI-