The Ward County independent. [volume] (Minot, Ward County, N.D.) 1902-1965, 1922-02-02
CREDIT NEEDS OF THE FARMER ARE. =,
ANALYzED BY PRESIDENT OF A, C,

years for his first real crop and tn,
breeder of livestock often from two t,
four years. A first attempt was mad,
to provide in a small way for this spe
cial need when the Federal Reserve
| system provided for loans to farmer!
extending over a period Of six months
possibly subject to renewal. Students
of the subject now generally agree
that both national and state banks
should be authorized to make such
loans for period up to one wear wifi
Will be renewed from year TO yeal
IN the case of livestock and fruit
farmers over the number of years nee
essary to bring in the first or second
crop after which the loan could be
gradually reduced The clothing mer
chant turns his goods once each sea.
son. Ninety day loans suffice for him
but the farmer is in a different kind
of business and needs a different type
of loan. One might as well expect tc
plant wheat and corn with the same
planter-one needs a wheat drill, the
other corn planter SO it is with
credit. Here again the growing crops
and livestock should be insured as the
merchant or manufacturer insures.
The result should be lower interest
rates.
THE fourth type Of credit needed
is in connection with marketing.
Here our first need is for system of
grades, standardization and recognized
market classes. Our second need is
bonded warehouses, elevators, and
cold storage with insurance proper.
toned to time Of insurance and risk
involved and our third is a system OF
warehouse receipts which may be &C.
cepted as satisfactory collateral. Oul
War Finance corporation is temper.
airy but only half-hearted attempt to
help supply the need. With standard
grades and market classes, insured
and bonded warehouses and standard
receipts. the present institutions of
credit should be adjusted to care for
all our needs. 1t is to be hoped that
the agricultural commission of con-
gress now studying this problem will
work out the details to make this eff
fective
''There are many special phases of
this question of credit for farmers
but | shall only refer to one here The
four general types referred to above
hoy tn RI fhn
farm, the equippin@ of the farm, the
production of the crop and marketing.
But what of the question of the con-
venience Of the farm home and farm
headquarters? When number of cit
liens group together in a city they
decide that they want flowing water,
toilet facilities, bath, sewage, electric
lights, etc. Are not farmers as worthy
'citizens' even if they do not live in
the city and should they not be able
to secure these same cOnveniences
The scientist, the mechanic, the in
ventor, have now provided reliable in
dividual equipment for the farmers
home. But how shall he finance it:
In the city bonds are issued and sold
and sinking fund created. Why
should not groups of farmers or indi-
viduals have chance to borrow
through federal or state chartered
land banks for this purpose?. with OPP.
portunity to pay a small amount an.
nually to cover interest and create a
sinking fund which would wipe out
the debt in a period of ten to twenty
years? And why, if municipalities
may issue tax exempt bonds for such
purposes should not federal and state
land banks similarly issue tax exempt
securities? This is only one illus.
tratiOn of the special legitimate needs
of farmers and suggestion Of the
method of solution
of furnishing the grower who is to
plant the seed plot an opportunity to
make selection from the corn for his