The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1920-10-22
MUST ADOPT NEW
METHODS TO FINANCE
FARMERS. He SAYS
Los Angeles Banker Sug-
gests Cooperative
Agencies

WASHINGTON, Oct. 22.-F4nan,
cling the farmers Of the country IN IN,
marketing OF their crops domaut
new methods OF extending credit AZ
as 70 prevent unjust price d~eprecln.
ton, Henry NJ. Robinson. n banker
or Lre Angeles. who was chairman ol
tho United States bituminous coal
commission, declared today in ad.
dressing tho convention OF the Am.
erican Bankers association. a change
IN the bankers point OF View and the
establishment BY producers OF coop.
erntive marketing agencies were sug.
Eeate,i as means for improving pres.
cnt conditions.
There are many evidences, de-
clarcd Mr.. Robinson, ''of growing dis
satisfaction on the part OF the pro-
uucers OF many commodities who
claim that they are being discrimln-
ated against by bankers or those In
control OF credit facilities, and there
Is constant agitation by such pro-
ducers for an extension OF the prin-
cLple Of cooperative marketing TO
remedy or at least relieve the sltua-
ton.
Bankers must meet this problem.
There must be a modification Of tho
old attitude. Whether this should
be done through banking machinery
or through proper cooperative mar
keting remnina 70 be decided. How
ever, some method must he devised
for reducing the pressure on the pro-
ducer which forces him 10 dispose.
OF his crop, either at the moment tho.
harvest IL completed. or while ~
movement Is under way. aa this hal
been 10 often used as n price a..
probation. Methods also must ~
discovered for the lowering OF Nhc
coat Of financing hir,."
The tendency OF the So~Operfativc
o~rEanizations OF producers IN edward
use Of their great power toSthb ale,
advantage of other ~nrrSAucere, Mr.
Rohinsosd said
FReearding current practices in the
movement OF grain and cation. Mr.
Robinson said;
For many years Il hos peenl &C.
cepted ~ a part OF the 6bligntion oi
M banks OF TIE county to finance
the movement n storage OF grain
but no commodity considering It's
Importance, has shaped as little III
the financial resources OF the country
az n cotton-this principally due "a
The lack OF adequate warehouse sys-
tom In the production area and lack
OF an open market for paper issued
against the product.
Athuhtiticnt tllolt mas UecN mudr
TO place cotton and It's storage on a
basis Of credit in a form that would
be readily marketable on its own
merit.
The difficulties Of financing even
Legitimate holdings OF such commod-
tiles rs grain and cotton, for the pur-
pdse or conducting n movement in an
active and orderly way. are becoming
increasingly greater aud more COM
pick n bankers must uss their best
thought TO see that each producing
industry receives a fair share or the
available credit and bcdrs Its fair
share Of the burden a8d pressure
when n credit shortage exiats.
In the present emergency. re-
curing the %rEtionlng OF credits. n
measure OF financial support pro-
p~ortionate to cotton's contribution
10 the credit u OF the coun-
try, and with proper consideration
for the delays in moving e~xpor!abie
nirplus because OF the low ebb OF
European credit, should be given.''