Warren sheaf. [volume] (Warren, Marshall County, Minn.) 1880-current, 1921-09-14
RURAL ACTIVITIES AND NEWS
or INTEREST 10 HE FARMER.

+ Ak lEkS AXE AknED
AGAINST GRa DEAL
Bureau Says Ilat Rrppeeed CspA{1et
Would Grip q ~ Q g. 4 a y y {
90. Movement 8
Proposed arrangements for concen-
trating the marketing Of the grain Of
Minnesota, South Dakota, Montana and
wisconsin in the hands OF the Equity
exchange as the exclusive sales agency
of the u. s. Grain Growers, Inc, en-
danger the success Of the whole coop
erative marketing movement in the
northwest, the Minnesota Farm Bureau
federation says in an Official statement
sent to the county farm bureau today.
The statement was sent out to every
county bureau in the state, and also
to 10000 individual farmers, as a warn
ing that in the opinion Of the farm bu-
reau federation, which helped to launch
and to finance the investigations of the
Committee of Seventeen, proposed
contract designed to put the marketing
plans Of this committee into operation
in Minnesota "dOes not merit the sup
port Of the farmers nor warrant their
investment at the present time"
The decision to issue the warning
was reached at meeting Of farm bu-
reau federation directors from the
county farm bureaus, in st. Paul. The
statement received here declares that
a contract, drawn up between the U. >.
Grain Growers, Inc, and the Equity
Co-operative exchange, but not vet
signed. complexities the process of grain
marketing instead Of Offering "the
slightest improvement over present
methods" a..
State Bureau Backs Growers
sThe Minnesota Farm Bureau feder-
alton is absolutely back of the U. S.
Grain Growers, Inc, and the plan Of the
Committee of Seventeen" the statement
saws, "The plan is sound. The farm
bureau will not rest until it is put into
successful operation. The federation
has been ready for four months to or
ganize the U. S. Grain Growers in Min
nesota, in cooperation with other farm
organizations, as soon as practical ar
rangements could be made for market
ing the farmers grain under control OF
the U. S. Grain Growers, Inc. 1t IS
ready to do so now as soon as modi-
fication can be made in the proposed
contract, so that the individual farm
er's interests will be properly protected.
The objections of the federation to the
proposed contract do not apply in any
way to the U. s. Grain Growers or the
plan of the Committee Of Seventeen.
We are asking changes in the contract
in the interests of the grain producers.
'The plan of the Committee of Seven
teen calls for an organization equipped
to handle enough of the grain Of the
United States through single cooper
ative system, to exert stabilizing eff
feet on the market, to put grain on the
market in an orderly manner. and to
prevent gluts and violent price fuctua-
tions. This purpose can be accomplish
ed only through one centralized, con-
trolling sales agency. But the proposed
contract would make the Equity, a To-
cal organization, the exclusive selling
and warehousing agency for all grain
marketed comparatively in the whole
spring wheat district We can come to
no other conclusion than that the q.
S. Grain Growers, Inc, contemplates
signing similar contracts with the sew
eral other cooperative selling organ
iZations represented on the board Of di-
rectOrs Of the national corporation.
Would Give Four Agencies
''This will give the farmers Of Amer
lea four or more selling agencies. and
cannot do otherwise than place the
farmer back in the same position he
was before cooperative marketing at
%ho ta,s7,1irn!c Woo oftOmnfAh
1t will prevent the u. s. Grain Growers
from doing the farmer any real good.
1t will pile one commission charge on
top of another, instead Of shortening
the road from producer to consumer
and cheapening the process of distri-
button.
''In effect, the proposed contract
means that the u S. Grain Growers.
Inc. would ask every grain producer
to give it $40, and it. would then de
vote it's efforts to drumming up business
for the Equity exchange and other To-
cal organizations, instead Of marketing
the farmers grain on national scale
through one agency =
The farm bureau federation listed
other objections to establishment of the
Equity exchange as sole selling agency
of the cooperate grain marketing sys-
tenn in the northwest, as follows:
.'The proposed contract permits the
Equity exchange to carry on its own
business at the same time it acts as
agent for the q. S. Grain Growers. We
do not believe that any marketing
agency can carry on its own business
and at the same time give competing
agency efficient service and satisfactory
results, when their interests may at
times be conflicting.
Proposed Contract
.The. proposed contract further pur-
ports to give the 4 q. s. s, Grain Growers,
Inc. an option to purchase the prop
critics of the Equity exchange at an APP
praised valuat ton, after Aug. 1923.
This purported option is in reality no
option at all. It would be null and
void, unless q ma jority of the stock
holders Of the Equity exchange voted
. to sell. It is further provided III the