The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1921-10-04
By WILLIAM sANBoRN

IAC Wal HudnSC SOA POl hoo
tablished line of credit for the bene-
fit of the U. S. Grain Growers, or
rather for the benefit of the farmers
owning the grain that this organiza
ton proposes to pool or sell for them.
Word comes out of Chicago that a
credit of $15,000,000 from the billion
dollar fund has been made immediate
ly available.
According to a statement by the
American farm bureau: This will en-
able the Grain Growers sales commit
tee to finance grain marketing for
thousands of members in the north
west, who insist upon using the new
/ cooperative machinery, without de-
lay"
The Grain Growers have long been
! anxious to make a showing in the
handling of actual grain; in fact,
| through arrangement with the Equity
Cooperative Exchange, of st. Paul,
! quite a little grain has already been
| handled, through this Equity elevator
| the clearing plant of numerous
| branches of the Equity in the north
west. In view of the fact that c. H.
| Gustafson, the head of the Committee
| OF Seventeen, has long been the NOV
ing spirit in Equity grain circles, ana
is accredited with being the master
| mind in the handling of its affairs, a
deal between the Grain Growers and
Equity folks should not be difficult
| of consumation. AS an official of the
Grain Growers, Inc, Mr.. Gustafson has
his fingers on the pulse of both organ
izations and is thus in position to
| effectively spread the gospel of CO.
operation, in both pooling and mar
| keting.
Is Going Concern
| The Equity Exchange has been mar
| keting grain for its members for some
! time. 1t has established an elevator
service in the Twin Cities, has obtain
ed a foothold on the Minneapolis mar.
ket, and is now in every sense a go.
ing concern. 1t is lined up with mum
erous interior Equity co-operatives and
this is OF decided advantage to the
Grain Growers in their quest for mem
bers who will continue to pool The
Equity folks were pioneers among co
operators and poolers, and now that
S15,0O0,000 has been made available to
all northwestern grain farmers, who
will store as the law requires, The
hands of the organization has been dis
i tinctly strengthened
The Fund May Grow
To the activity of the farm bureau
is due the prompt action of the wal
finance corporation in setting aside
the S15,000,000 loan fund. j. NJ. An
derson, of the sales committee, has
been authorized to now complete ar
rangements to handle the grain o.
Grain Grower members, thousands OF
whom have been secured in the north
west. We do not know how far the
members of the Equity will go will
the Grain Growers in their marketing
operations, as Equity folks are already
well supplied with an outlet, whenever
!, ready to sell, and all their sales are
based on the cooperative principle O
Relating the excess charges, afte
total expenses of doing business hav,
been met. In this they stand on com
mon ground with the farm bureau
sales organization. 1t is expected tina
the loan fund will be increased a
occasion demands.
The Effect on Pooling.
That the work of these two associa
lions will tend to increase the quaint
| ~ VI pOOlOu NHCdI III lu6 HOTIuWHS
is certainty. The forthcoming loan
will assist materially in this. A state
ment sent out by the American farm
bureau. under date of September 29
says:
= Prices have been unduly depresse,
. by the unprecedented dumping Q
), grain on all markets this fall TIL
determination to withhold northwes
\ grain from the terminal markets, 70
the present, is in keeping with rec
=. concentrations made by such student
J., of world conditions as secretary c
d commerce, Herbert Hoover"
], Per Cent To Be Loaned.
The combination deal with the Ecu
t ty folks seemingly assures that tn
? action as to loans on account of ind
), vidually stored and pooled grain on tn
l. part of the Grain Growers, will o
L closely followed by the Equity. TIL
r former has decided to advance grow
r. ers from 65 to IS per cent of til
S present market price of their grain
If In continuation the farm bureau write
t, says: This will enable growers {
e hold their grain until the market II
It fleets the true value"
E. 1t is not to be supposed. OF cours
that individual farmers are to b
barred from making loans from I'll
banks, as heretofore, wherever it ha1
pens that bankers are prepared to a
commodate. Inasmuch as any accredi
Z ed banker can make these loans @
& stored, collateral and can rediscour
this paper freely at federal reser1
banks, this insures that there will /
. more competition for such loans in I'll
, northwest in future. Warehouses hol
!, ing grain for the federal loan accoul
: must be bonded and must be license
- by Uncle Sam. In brief, the COVER
:, ment is now making it as easy
- possible for farmers to obtain none
for carrying crops.
And all of this will conduce to mo-
orderly marketing" from now on.
Farmers Finance Stick.
n One of the outstanding facts in rel
y ton to the billion dollar loan fund
u aid of farmers, is the probability
the doing away entirely Of the need f
se the marketing of any part of the stot
to of the one-hundred million dollar Del
IN ware corporation. That this is al
10 the view of farm bureau lUthoriti
1t was evidenced some weeks ago VIII,
in the American farm bureau officia
err sent out a statement to the effect tn
no attempt would be made to mark