The Washington herald., 1921-08-11
FARMERS MUST ORGANIZE,
CONGRESSMAN TENE EYCKSAYS1
Should Follow Example
Of Capital and Labor to
Enable Him to Compete
On Equal Terms, New
Yorker Asserts.
BY PETER G. TEN EYck.

farming community. Finance Or
ganized first and for time domi-
mated the worlds progress. which
in turn caused labor to organize to
compete successfully with the n
nancial power.
The farmers-the third force
have come to rallze that thy must
organize to compete successfully
with the other two forces, SO that
the basic industry which they rep
resent will have equal opportunity
with all other Industries. and in
this way secure a fair return on
money invested and labor per-
formed, and at the same time give
to the consumer their food prod
ucts at a reasonable price.
Glad to See II.
1t is only proper to admit that
the fundamental reason for the
trouble experienced in the farming
industry today is its lac<y of or
ganization and corporation, and
1 am glad to say that they realize
this. and are now organizing to
co-opeiate, not to dominate the
world, but to strengthen their po-
sition so that they can in turn CO.
operate with all other branches OF
business for the best interest OF the
entire country.
The reason why the farmer feels
a depression more than all others
is due to the fact that he is 100
per cent interested. or 100 per cent
RESPONSIBLE for the entire farming
industry, and therefore he is q l0o
per cent loser, and in turn feels
this depression 100 per cent. "hile
on the other hand. the representa-
tiys of tn other industris OF the
country are only partial owners as
thew sell their securitie to the con-
sumner, and in times like thes' tiny
only have a proportio1ate loss oIten
much less than so per cent the
consumer sharing the greater por-
tion of the loss.
The farmer today is endeaNorlhs
to ascertain where the great waste
or spread" lies between tine price
at which he sells his product whicn
is often lower than il sactual cost
and the price that the consumes
pays for it, which is universally
higher and out Of proportion 10 tne
actual cost or selling price OF tne
farmer. Therefore, it Is necessary
to obtain authentic Information al
regards the number 81 hands
through which his produce pass on
their route to the consumer, To-
gether with the cost of each hand
ling by the Intermediates and the
prot on each turnover, with the
view of lessening the spread which
will materially reduce the grea'
difference between the cost of pro-
duction and the cost to the con-
sumer, and will in turn give the
consumer food products at a rea-
sonaSle and Just price with a proper
return to the producer.
Causes Of Trouble.
There are four principal causes
for the uneconomic system of pro-
duction and Observation-Disclosures OF
credits, high cost of transportation
the system of marketing and inef-
ficient farm labor.
To improve the financial condi-
ton, the laws governing the Fed
eraI farm loan act should be eX-
tended and the Federal reserve act
should be liberalized toward agri-
culture The national banks should
be given more liberal discounts or
their loans upon far mproducts
The farmer must be given the
same banking facilities 40 the city
merchant manufacturer. There
should also be an extension of time
nthe short-time credit to the
farmer, extending over period of
nine months to a year, thus giving
hi man opportunity to make at leas
one turnover of his products before
the termination of his paper.
The short-time credit for the
merchant today Is approximately
ninety days. in which time the
average business man makes qRt
or mere turnovers of his stock, dHe
to which he can pay off his note
and re-borrow again for another
turnover. The farmer should be
given a year, so that he can make
a turnover of his products before
the life of his note expires. In ad-
dition to this "a system of credits
by the government should be in
augurated with foreign countries
so that the surplus farm products
of the country can be disposed OF
abroad, with the least possible
friction and loss, the same as the
merchant today is permitted to f.
nance his export trade through
banks. The farmer should be given
a like medium of banking facilities.
Better Marketing Plans.
The marketing system of the
country can be improved: First,
by Standardization and grading all
fam products throughout the
T-f a1
State help and supervision; second,
by cooperative storage plants and
warehouses at terminal markets;
thirdly, by cooperative salesman
ship of all his products, and adopt
ing a system of selling at the place
of shipment. instead of consigning
his products to be sold, and
fourthly. by. proper distribution of
his wares. a large percentage of
his output is perishablel and there
fore needs quick sale and proper
handling. as he absorbs the loss in
depreciation In addition to the cost
of building.
The reason for the old SAYING,
The farmer pays the freight both
ways" is the fact that when tn.
farmer sells his products for a
price. including the freight, for less
than a fair return rpon money in
vested and labor performed, in this
way he naturally pays the freight,
and as 30 per cent Of the farming
business is done on thi, basis. con-
sequently 30 per cent OF the freight
Is paid by the farmer on his sales,
while on the other hand, all the
manufactured food products. imple-
ments and clothing that he pur-
chases are sold to him at, a profit
which includes the freight. he again
in this way pays the freight on all