Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1921-03-18

done by the directors effects their owr
crop in the same way that 1t effect:
the crop Of other members. Directors
are elected to represent certain spe'
Gifted amount of the commodity, ant
are reelected each year.
3. The crop contract is essential fol
the reason that it gives the association
title to the commodity for purposes ot
marketing. Without such contract the
association could not market the conf.
modify because il would have no con
troll over it. No one can market al
article except the person or organl-
zation owning Or holding title to the
article hence a marketing association
that had no control Of the commodity
which it is expected to market could 1oc
of little service.
Originated in Denmark.
The crop contract idea was original
ed in Denmark for the purpose OF
| holding in line members wishing to
patronize spectators who were making
rarily paying higher prices. Even II
this Is all that could be accomplished
by having the contract it would be alb
solutely essential. It will be readily
seen that an association is without
strength and therefore without power
to benefit its members unless 1t has
the unquestoned support Of the mem
bership.
1t was soon found, however, that the
crop contract functions in other i'm
portant ways. 1t makes certain Il de-
finite supply Of the commodity to be
MARKETED for 4 period Of years. This
stabillzes the business Of the associa-
ton and permits, it to plan ahead with
assurance, and with resultant profit to
the members. 1t places the associa-
tion in favorable position in the
market and gives the farmer the bene-
fit of having a powerful representative
on the market. The farmer not being
concerned with the problems Of mark
citing which are zoo large for any indi-
vidual, can give better attention to ef-
ficient production. The crop contracts
create basis upon which the associa-
tion can readily borrow money for
making advances to growers as first
payments. Since the contract provides
that the title to the crop passes to the
association upon delivery the associa-
ton is able to borrow money on the
crop and make first payments to the
grower Immediately The contract has
in this way solved the financial prob
lem in cooperation for the reason that
bankers readily advance money on this
basis. or course, the contract sets forth
that the grower is to receive pay
ment for the crop in an amount repre-
sented by it's resale value less the costs.
The exact method of ascertaining the
costs is stated ip the contract.
Graded When Delivered.
4. When member of an association
delivers his crop it is Immediately
graded and he is given a receipt for the
amount to each grade delivered. Let
US assume for purposes Of illustra-
ton that the crop is cotton and that
farmer delivers his entire crop con-
sisting Of good middling, m!ddling,
strict low middling and low middlinS.
He gets a receipt for the number of
pounds he delivers of each of these
grades and is paid the approximate
loan value of the cotton as first pay
ment. His bales are then mixed in
with the cotton Of other members and
lots of cotton of each grade are made
up. This farmer would have an in
terest in each Of the four lots of cotton
that correspond with the four grades
delivered by him. These lots are call
ed pools His interest in each pool IS
represented by the proportion which
the cotton delivered by him TO the pool
bears to the total amount in that pool.
Thus if lie delivers 10 bales Of middllnG
and there are one hundred thousand
bales of middling in the pool his part
of the proceeds from the pool will be
one ten thOusandth of the entire net
amount. This particular farmer would
have no interest whatever in pools
other than the four into which his cot
ton was graded.
Same Price for Same Article.
In this way every man receives the
same price for the same article. Or
ganiZatious which market non perish
able crops ordinarily require year TO
sell all the commodity contained in
pool. Additional payments are made to
q grower during the year as the pools
i'm which he has an interest arc gradu-
ally closed out. Final payment Is
made when the pool is entirely closed
out.
Organizations marketing perishable
crops and crops whose value must in
the nature of the case vary with the
season, frequently run pools Tor
shorter time than Il year. For example
the California egg selling associations
have a new pool each week. The Mich
igan Potato Growers have devised
daily pool so that returns from all the
potatoes sold on u given day are aver
o.ol ,,p onf di1.;6od n oC.pnrf}inr TO each