Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1920-12-06
NEED OF STORAGE
FOR TOBACCO AND
| COTTON STRESSED
finance Corporations Are
Urged to Meet Demands
for Working Funds.
kANTS MARKET DATA =.
GATHERED FOR TILLERS
He Favors System Of Credits
Based on Receipts for
Stored Crops.
REDICTS BETTER CONDITIONS
Insists That Seller OF Land Prod
ucts Bc Placed on Equal.
ity With Buyer.
FANTS MARKET DATA =.
GATHERED FOR TIlLERS
REDIcTs BETTER CONDITIONS
1sists That Seller OF Land Prod
ucts Iic Placed on Equal.
ity With Buyer.
mr ROBERT ). RENDER,


Ne" YORK. Dec. 5.--Bernard NJ.
aruch. AT the request OF the Kansas
'ate Board OF Agriculture. has pre-
ared report for that institution
utiining remedies designed to anell-
rate the plight OF farmers through
ut the country.
Briefly. his recommendations MAJ.
summed up as follows.
!. Creation o! adequate modern
;orage facilities under public super
ision.
:. Certification OF farm products as
, grade and amount by licensed
raiders and weighers.
3. Use OF certificates. Issucd by The
raiders and wcishers, ms the basis
sales and purchases. as well as
le basis o! financing.
4. Reservation Of u fair share OF
he credits OF banking and tinancla!
ist!iutions during certain periods
or crop movement.
Federal Aid in Marketing.
.. Collection and distributions 10
Irmers OF AL market information
areush trained experts hy tho Az
|!culturai Department. this !n.or!na-
Oh To bc Of the kind and charactc
ow in the possession OF buyers and
consumers of farmers' products.
g. Creation of a new source @.
redit for tho farmer, namely. the
rivatc investor, by establishment, Of
nancing corporations TO make loans
n warehouse receipts.
Baruch goes into the subject OF
|o-operating. buying and selling on
he part of farmers. and his views
re of interest both because OF his
International reputation as an econo-
hist and because of the present
ress!ng problem facing the farmers
( the country.
The cornerstone of the whole sub
|ect, he holds TO be sufficient storage
|'arehouses for cotton. wool and TO-
acco. or elevators for grain at pri-
|iary points to carry the peak load
q the distribution OF the product
'hese storage facilities should be
preferably under private owner
hip" but in event private capital is
licking. should be under state own
rship." and, in all events, under
tate or Federal supervision.
Should Protect Farmers.
Tho weighing and grading OF prod
icts. which Baruch terms "certiti.
ation." lie says. should be hedged
bout. so that underpayment, over.
harging and unfair grading will be
voided. The certification then will
&c the basis of sale. or, in case the
producer does not wish to sell. IL
hould be and could be made the
,asis on which he could borrow
money until he is ready to SELL"
In connection with the establish
nent Of necessary warehouse facili-
lies, institutions or corporations
for the purpose of making loans on
he warehouse receipts. They should
,e large enough and so ofiicered that
hey would gain the confidence OF
he investing public. Their capital
took should be open to public sub
|tcription. They could be made CO.
operative. hut need not necessarily
be So"
Supplement Present Methods.
Such an institution. Baruch cx-
blamed. would supplement rather
han supplant present methods of
financing crops.
"The finance corporation would de-
,osit in its treasury. in trust, the
armers' notes maturing at various
lates and secured by the warehouse
.eceipts. 1t would then issue against
he notes bearer certificates, as is
low done by large corporations in
he issuance Of short-time notes. in
Of 800. $500 and
II 900. There would be no better
investment or collateral
han these obligations. Investments
n these bearer certificates would be
protected by the resources of the
corporation, plus tho farmers In
iividuai credit, plus the security Of
tho warehouse receipts based upon
. proper certincation, Of tho amount
o. lContinued en- Fifth paRo,l 5'.5Is.I