Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1919-08-20

these held for several weeks, await.
ing action at Augusta but for some
reason which has never been ex-
planned to me the entire matter was
dropped at Augusta and nothing was
then done.
] understand that much assistance
has been given the farmers by the
farm loan banks but what we need
is a we'll matured plan by which the
farming and the commercial inter-
ests can be brought together to that
end that full loan accommodations
may be given to the farmers.
This naturally brings me to a. con-
sideration Of the second problem,
that Of selling or marketing crops.
Some plan must be devised So that
crops may be made liquid asset.
for when loan accommodation is
needed the first question asked is
What liquid assets are available?"
By liquid assets I mean assets that
may be turned into money when
needed. The product Of the farm. the
manufacture Of agricultural prod
ucts, is unique in the productive
world inasmuch as the farmer Is
obliged to sell his production regard
less OF what 1t costs him.
The shoe manufacturer, the wool
en- manufacturer, the cotton manu-
facturer, in fact every other manu-
facturer, when his product is COM
pleteo figures his cost, adds an ov-
erhead and various contingent
charges and then puts upon his pro-
quot a price which will return him
a profit above these elements Of
cost. Sometimes competition dis
turbs him but as a rule, his profit is
there. AS a rule he has a continu-
ing products which he markets all
through the season. The farmer, on
the other hand, has but one product
year. The great bulk Of his pro-
duct comes to maturity all over the
country at practically the same time,
in the fall. It is the time Of album
dance. the time when the supply
overtakes the demand. It may hap
pen and frequently does happen
that the vicissitudes of wind and
weather make a crop most expen-
sive in the years when the lowest
price is realized for it. Whether
this condition can be changed-I
mean the relation between price
and COST will not attempt at the
moment to discuss, but I do believe
that 1t Is possible by improved
marketing conditions to give to the
farmer a larger portion of the sum
that is paid by the ultimate con-
sumner. I further believe that it is
possible by proper cooperation be-
tween the farmer and the business
man to develop plan by which
a farmer will not be obliged to mar
ket his crops at the low priced per-
iod in order that he may have
money available or because of diff
ficulties Of storage. And right here
we touch the problem Of profiteer-
ing in food-the great combinations
Of capital that buy farm produce
when it is cheapest and hold it for
sale when 1t is dearest,-capitaliz
ing the farmers lack of storage
provision.
With better marketing conditions
the farmers crops would yield a.
larger average return in each and
every year. They would assure
him of a liquid asset, one that. he
could turn into cash without sacri-
flee and this improved condition
would make 1t much more easy for
him to find capital available. Dur
ing the first year of the war when
this question of food production
was such a vital one in the world,
our committee on Public Safety,
comforting with financial and bust
ness interests in Bangor. developed
what seemed to US a practical plan
for solving this particular Difficult
ty. Briefly put. this plan contem-
plated: Organizing in Bangor a
Produce Exchange preferably under
a semi-public charter. perhaps I'M
der the auspices Of the local cham
her of commerce financed at the
lowest possible rate Of interest, and
so organized that there would be no
profits to any single individual, just
sufficient charge for the service rem
dered to pay actual interest on the
investment and to cover the depre-
citation charges and expenses of
management.
A location was found on the rail-
road, convenient to water transport
tation and readily accessible to
teams-and it was proposed to de-
sign buildings on a unit plan SO
that as occasion arose they could
be enlarged. These buildings were
to contain produce exchange, a
market place, where a farmer could
find a customer and where the deal
er could find the farm products. /
Ample dry storage room for the
non perishable products.
Ample cold storage space for the
perishable crops.
To create a department for market
quotations so that by means of
telephone and mail farmers could
be kept in touch with market condi-
lions.
To develop and organize a system
OF truck transportation radiating
out Of Bangor SO that it would be
possible for produce to be deliver
ed at the Exchange at the lowest
cost Of transportation and without
the loss Of time incident to personal
carrying. It was proposed in con-
nection with this produce exchange
to develop a system Of warehouse
receipts 80 that q farmer who did
not find a satisfactory market
could have the privilege OF ware
houses that is given to the western
grain and the southern cotton. A
l..