El Paso herald. (El Paso, Tex.) 1901-1931, 1920-07-23

IT WOULD greatly help the traffic situation each sec
ton would possible products from the near
est Of primary supply One reason why the south
west has not had such serious coal troubles as other
sections that coal produced comparatively near
home and those mines find It less profitable to ship the
long distances to other markets But Il Paso ana al the
southwest do import altogether too much stuff from out
side that ought to be produced manufactured close BY
The home market for any community OF region ought
TO Be the best and most profitable and every community
would best its interests by buying at home OF
as near home as possible Instead of that many cases
home products 60 waste while outside stuff is shipped
in at great cost
The fault is largely one of failure of organization and
defective distribution system. Jobber wholesalers, and
manufacturers require steady reliable certain supply Of
the staples IN which they deal; but is well known that
the small producers commonly the hardest to get along
WITH since they have no definite advance plans are not IN
position make keep contracts far IN advance Of the
season. and apt to think that they do better
peddling around when the time CONES than contracting
their product IN advance
with al great food staples there certain recognized
primary markets where prices ascertained and stabilized
These constitute the open market and without such
razed exchange arrangements conservative and safe busi
planning would be impossible The custom is to base
buying prices Of material the prices at these great
primary markets less freight from the point Of purchase TO
TIE primary market; and to base selling prices Of the
manufactured product the prices in the primary markets
plus freight to the point Of sale These bases apply even
though the raw product may not 20 the primary market
though the finished product may not from
the primary market It is one Of those peculiar ADJUST
that the business world has found necessary order
e1ualze competitive conditions among places unequaly
favored geographic situation. Sometimes the system
appears to work injustice
But region develops, its absorptve power grows
too and begins to develop its subordinate primary
markets. community that produces what It consumes
and has surplus to send out is prosperous community
community that consumes the greater part OF what II
produces exercises powerful developmental force its
producing industries.
The southwest has somewhat slow put itself in
this enviable position But conditions improving all the
time One little item Arizona indicates the drift The
Phelps Dodge company examined its books to find out how
much of the stocks its chain Of stores bought originated
in its home state Arizona It found that IN 1919 the
company bought Arizona products amounting to S11945O
The salt River valley furnished sso0o worth Of that The
ella valley next with s2ss71 worth. The Tucson
district furnished products worth $685. and the San Pedro
valley furnished the company with el503 worth The
products Of four districts had vide variety and
included graiu, fruit, vegetables, flour, and milk
One Of the largest flour mills the southwest using
good deal Of New Mexico wheat Wheat from northern
New Mexico, along the Dawson branch and the upands
and Kansas wheat The rainfall is commonly sufficient to
produce good crops Last year those sections sent out
100000 bushels Of wheat and the industry has Just
started When e Pas0 and other parts Of the southwest
from going farther afeld for the necessary supply the
New Mexico wheat industry VIII expand rapidly under this
influence
TIE effect the illogical distribution system pre-
vang vel illustrated by the present shortage Of
to the Texas wheat crop Immense quantities Of
said that millions Of dollars worth Of Texas wheat win
spoil If cannot Be had to the grain north
narzets-perhaps the very markets from which we
Texans buy products back.
Loss Of 100000 bushels Of wheat threatened by the
shortage Of grain cars. Texas grain elevators full
Texas farm barns and ganaes still loaded with last
years crop farmers dumping wheat the ground
Under the best conditions only half the required
Der Of available and at many grain shipping points
the supply Of cars is only 10 percent Of normal The per