The Ordway new era., 1921-04-08
ADOPT NATIONAL
MARKETING PLAN
(By ROBERT FULLER)

Written specially Tor new Era
The wheat speculator and unneces-
sary middleman were hit hard by the
American Farm Bureau Federation
when it adopted the grain marketing
plan Of the Farmers Grain Commit
tee of Seventeen" the result OF more
i.than one yeas's study.
1t was shown by Chairman c. II.
Gustafson, of Lincoln, Neb., that
dealings in wheat on Chicago's Board.
of Trade, alone are equal to three
times the entire worlds wheat crop.
Speculative trading is fifty-one times
greater than .the actual cash sales.
What this means to the producers
Price of wheat may be imagined. =
The plan adopted calls for the
formation at once of National
Grain Growers Cooperative Sales
Agency owned by farmers who will
employ their own grain marketing
experts This institution Is to be
capitalized at 100000. Bern
ard NJ Baruch and Herbert Hoover
both think we'll of this plan.
1t is proposed to incorporate the
National Sales Agency as a nom
stock. non-profit, grain owners CO.
operative membership organization
which will provide market for
grain by virtue of contracts with
local growers cooperative associa-
tons or with farmer-owned. cooper
ative grain elevators. Each wheat
grower in any state may take mem
bership in the National Sales Agency,
after which he will make a contract
with the local grain growers asso-
citation to deliver uiI the wheat he
produces either on a contract basis
or as part of a whes, pool. The local
elevator or grain producers associa-
tions will contract with the Nation
al Sales Agency to handle the farm
era' grain.
The National Sales Agency is to
control. through ownership of the
voting stock. the terminal agencies
through which the wheat or corn will
reach market. There will be branch
sales offices in all grain centers to
handle the grain for each grain dis
trict Where possible existing farm
ers' cooperative machinery will be
used.
Three distinct corporations are to
he created: ID a warehouse corpor-
alton to acquire warehouse facilities
ease, purchase of erection
and operate through government
licensed channs,s; (2) finance cor
rnration 10 I've. de the necar5arv
credit facilities II to be fsrmar-rnn-
tr:.ll"d. WhcI ty country aie 'a.o g
may opsrly finance the n1ov.hg
crop 4 dcily fashion; (3, an ex-I
port crrporat'cn controlled by .ar'I-
crS to market American grain abr:,d |,
The finance o:tro ration is ,l.:nded |
to supplement u listing financll: na-1
Membership subscriptions of the |
grain growers will provide the Nat
ional Sales Agency with the initial
facilities for immediate handling of
grain produced. Later the expenses
of doing business will be secured by
assessing a handling charge on the
grain marketed through the Nation |
al Sales Agency.
Existing Farmers Cooperative |
Elevator companies, composed of
grower members and organized on
q patronage basis, are to be asked
to contract with the National Sales
Agency for the sale of the grain of !
their members. The grower will al
ways have option as to the method of
of his grail. He may con-
sign his grain to the local co-opera-
tive elevator for exclusive sale
through the National Sales Agency,
or he may vote to pool it for sale
through the Agency. The option
method, it is thought, will prove the
acid test for the pooling system for
grain and it will be "up to" the farm
ers to decide.