Willmar tribune. [volume] (Willmar, Minn.) 1895-1931, 1916-05-10
BIG COOPERATIVE
PACKING PLANT

About This Largest Of
Enterprises.
Ira NJ. J. Chryst, a national figure
in the farmers cooperative move
ment, four years national president
Of the Society of Equity, and president
of the largest cooperative enterprise
ever launched in the Northwest, a
million dollar terminal packing plant.
now being established at South St.
Paul, addressed representative gath
ering of farmers in the schoolhouse in
Dist. 4S last Saturday evening. By
special invitation representatives of
the press of Willmar were present.
Mr.. Chryst, owner of the Fairview
farm, on R. F. D. No. /, Hudson, Wis,
has a pleasing personality, is fair and
reasonable in his utterances, and
knows the cooperative movement
from a to z. He is a good speaker
and he held the floor Saturday eve
|
ers interested thruout.
In his Introductory remarks, Mr.
Chryst showed the great need of the
farmers taking more decided interest
in the marketing of their products.
He quoted Government statistics to
show that the consumers in some in
stances pay as high as eight times the
amount paid the producers for pro-
ducts. He quoted the report Of the
Country Life Commission, a body Of
men who began their investigation Of
the high cost of living" with the idea
that the principal cause was the
somewhat higher prices received by
farmers, to the effect that there ex-
listed ''too many unnecessary toll
gates" which the farmers products
must pass before they reached the ul-
innate consumer. Mr.. Chryst denied
that the purpose Of the Equity Society
was to place added taxes to the con-
sumer. They recognize that the in
terests Of the consumer are vital to
the welfare of the producer The OBJ
ject Of the farmers cooperative en-
terprises as to do away with 'the un-
necessary tollgates'' for the benefit of
both producer and consumer.
The speaker had no quarrel with
members of the Chambers of Com
merce or owners of packing plants as
individuals. They had provided the
necessary marketing facilities which
the farmers had neglected or so far
have been unable to provide for
themselves, and were simply taking
advantage of the situation as they
found it.
Mr.. Chryst next discussed the grain
markets showing how they were
manipulated by those in control to
the detriment Of the farmer as we'll
as the consumer He quoted figures
from reports filed with the Railroad
e Warehouse Commission showing
how the terminal elevators were re-
ceiving little or no No. hard wheat,
but were shipping out thousands Of
bushels of such grade. How they re-
ceived immense quantities of No. A.,
no grade, and rejected grain but had
it's way out improved in grade. Far
mers have established cooperative
elevators all over the Northwest to
correct the local markets, and now
the next logical step was to establish
cooperative terminal elevators to cor
rect abuses at the big markets.
But the main subject of Mr.. Chryst's
address was the stock markets. He
gave graphic analysis of the method
used to hold down the prices to the
stock raisers at the stock yards, u.s.
ing return report blank of the local
shipping association as text. South
St. Paul, Sioux City, Omaha, Kansas
/ City and other markets are but tribu-
tary to Chicago, good safe margin
! being maintained to enable the oper-
| ators to re-ship surplus stock to Chi.
cago at a profit. The capacity of the
Swift packing plant at South st. Paul
is often times less than one-fourth OF
the receipts. Buyers never act at St.
Paul, before receiving the ruling pric.
I es of the day at Chicago.
/ The cooperative packing plant is
| no longer an experiment. Wisconsin
I has several, in the erection of which
/ Mr.. Chryst has been active. Their
Il capitalization range from $250,000 tc
Il $500,00O. They supply local require
II ments, but their operation has giver
the co-operators many valuable les
sons which have encouraged them tt
undertake this greater enterprise.
The new St. Paul packing plant i:
capitalized at 100000. 1t is incor
Il porated under the Wisconsin law, be
i CAUSE lilo WISE 40S1S1tLOIS VI MILL
nesota saw danger" in permitting
cooperative enterprises of large cap
italization. The Wisconsin, law il
truly cooperative. It recognizes tn
individual as the unit instead of tn
dollar. No stakeholder is permitted
Il to hold more than $1,000 in stock an
no stakeholder has more than on
l vote. The company has acquired on
hundred and sixty acres on the Mis-
sissippi river opposite the Swift
n plant. It is reached by the main line
of the Burlington, Milwaukee an
Northwestern railways, and tn
switching charges from other road
has been fixed the same as for tn
Swift plant. The first block of 5000
900 in stock has been taken by tn
farmers and the sale of stock is pr,
crossing rapidly. The organizatio
expense is taken care of by char,
ing a premium for the stock, it no
being sold at sos, and this will be il
creased when the second block {
100000 is subscribed. The maximum
dividend to be paid is eight per cen
The articles provide for deductio
from receipts for surplus fund u
til the same reaches one-third of tt
capitalization. Any earnings beyo1
that will be returned to the men wi
sold the stock thru their local shi
ping associations. The organizatit
Of local shipping associations throug
out the Northwest was a necessal
preliminary step to the larger proje<