Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1920-07-15

! want to present a brief outline
OF the work by the board of direc-
tors during this period.
We soon realized that what we
did not know about how to go at II
amounted to more than what we did
know. and consequently we did not
always agree on ways and means to
reach the goal which we all agreed
should be true cooperative market
ing OF farm produce, conducted and
based on real business principles SC
that we might be able to place our
potatoes and other produce where II
IL wanted and when II is wanted In
standard grades so as to create and
increase demand for Minnesota po-
tatoes and farm products.
We we're perhaps cropping in the
dark for a little while about what
to do. No money was in sight ia
pay even for postage stamp. The
law limits the commission for ex.
penses in selling shares to So oi
the amount OF shares sold. SO we
could not figure on any income worth
while from that scource, and we de-
cided not to have any promoters to
sell shares nor TO pay anybody eli.
Their commission or compensation In
any form whatever for selling
shares.
The publicity given our organiza-
ton by the agricultural papers and
the daily press created a demand
from local organizations and farm
er clubs for information and expla-
nation from the board of direc-
tors about this new plan Of market.
|jng which we felt II our duty to
give by meeting with local groups
of farmers or organizations when
ever invited to do SO. We also real
lied that TO make this marketing a
success We must be sure Of the raw
material. specially the potatoes in
sufficient volume or quantity before
we would be warranted in establish
ing headquarters. with equipment and
hiring manager and sales agency
and securing adequate protection for
these potatoes enroute to buyer in
the distant markets as near as pos
sible to the ultimate consumer.
All this could not be done without
spending a lot of time and money
I'm different ways. We felt it our
duty to prepare this marketing in
stitution so 1t would be a sure sue
cess. We felt that we had been
charged with the duty of doing SO
and II we did not do all in our pow
er as we saw 1t ought to be done
it would be nothing but criminal
neglect.
Expense in marketing depends
largely upon where you will market.
To haul load of potatoes to the
nearest cash buyer or to your COOP
erative warehouse costs very little
but the hauling. But to sell and
transport and protect enroute and
get your money home from a distant
market costs considerable more and
requires an organization and GER
tain volume of sure business to keep
the overhead expenses reasonable,
so as to make the transaction a
real saving in service. II we can
not make our marketing system a
real gain in the net return tor our
products, we are not justified in or
ganizing. Therefore we must be
sure OF the raw material, the pota-
toes. This means that the potato
growers must organize themselves
and agree with one another and
give bonds or security that they will
live up to this agreement tc mar
ket all their potatoes so as to Sc
cure the volume Of business neces-
sary to warrant all the expenses in
Cured in selling.
In other words we must know the
size OF our business before We can
prepare to carry the business eff
GENTLY, and that is what we have
been working on more than anything
else up to this time. So far n local
associations have voted to affiliate
with the Exchange and quite few
more are in the preliminary stage
OF organization to affiliate. expect
that at least 100 local associations
will be In line by September list
with the prospect of an average mar
keting OF so cars each or 5000 cars
provided we get an average crop
For comparison I will mention that
the Michigan Exchange organized
two years ago and commenced mar
keting with 2s associations and
handled little better than 1000 cars
the first year. When we know the
size OF our business we practically
know the sire Of the manager we
need and will he in position to
intelligently contract for such. We
have quite a few applications from