The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1921-05-05
MARKETING FARM PRODUCTS
Cooperative Selling Will Give Grower
Large Share Of Consumers
Dollar.

done. Most of these necessary steps
are included in the following.
% The commodity must be assem-
bled or concentrated.
|. (2) 1t must be graded and standar
died.
60 Part of the crop must be ware
housed or processed.
a. The marketing Operation must
be financed.
(5) Cheap transportation must be
provided.
Co. Expert salesmanship must be
brought into play.
Gu The commodity must be retailed
or distributed to consumers.
The above mentioned steps coming
between the growing and the consum'
ing of a crop are at present largely
conducted by the so-called middlemen.
By looking over the list it is seen that
the "middlemen" includes the rail-
roads, bankers, jobbers, retailers,
warehousemen, and in the case OF
some commodities the manufacturers,
| in addition to spectators.
Cooperative marketing by the grow
ers, if it accomplishes it's object, will
effect saving in those steps between
the growing and consuming of COM
modify where loss or unnecessary
waste now occurs In other words, a
cooperative marketing association OF
growers will do those things neces-
sary which are not now being done
efficiently and will leave alone those
things which are being done properly.
The following principles of co-opera-
tive marketing have been put into
practice by the California associations
and elsewhere and clearly apply to
the cooperative marketing OF any
commodity.
(1} Organization by commodity or
crop.
(2) Membership limited to growers
and to landlords who receive a part
of the crop as rental.
(3) Binding crop contracts between
growers and association.
(4) Grading of the crop or commod-
ity and pooling according to grade.
(5) The business of the association
to be handled by experts.
(6) Organization without capital
stock and therefore non-dividend
paying association. All profits are
paid to growers, thus making the as
sociation purely cooperative.
Organization by Commodity.
It seems we'll established that or
ganization of a farmers association
by commodity rather than by locality
is essential for success, An organiza-
ton set up for the purpose of market
ing peanuts efficiently might be utter
ly unable to cope with the problems
involved in marketing cotton or tobac-
co. It would not be advisable to try
to combine the marketing Of cotton
and peanuts but it would be entirely
feasible to marke+ several kinds OF
truck crops through the same organ
lZdClOu UGCduSS VI IAIS
the problems involved.
Limited Membership.
Since there is no stock and hence no
dividends in a purely cooperative as
sociation there is no inducement for
anyone to join except those having
the commodity to sell. In order that
the association might represent pr1-
marily the interests of growers, mem
bership is limited to- actual growers
and landlords who receive part OF the
crop as rental.
The Crop Contract.
The crop contract is essential Tor
the reason that it gives the association
title to the commodity for purposes OF
marketing Without such contract the
association could not market the COM
modify because it would have no con-
troll over it. The crop contracts create
basis upon which the association
can more readily borrow money tor
making advances to growers as first
payments.
Grading ana eoollh9.
When a member Of an association
delivers his crop it is Immediately
graded and he is given receipt for
the amount of each grade delivered.
HIS product is then mixed in with
that of other member and lots of each
grade are made up. These lots are
called pools. His interest in each
pool is represented by the proportion
which the product delivered by him to
the pool bears to the total amount in
that pool. In this way every man re-
ceives the same price for the same
article.
Trained and Expert Management.
Farmers are too busy with produe-
tion ever to become expert and efh-
cient at handling these seven steps IN
marketing. A cooperative marketing
association of growers, If large enough
NAV employ the best talent IN exls-
tence to work for the growers in elm
mating waste and loss in any one or