Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1922-01-17
RELIEF FOR FARMERS
CONTINUED From Page one,)

a afooting Of equal opportunity with the
buyer. First (and this is the corner
stone of the whole subject matter),
believe that sufficient storage ware
houses for cotton, wool and tobacco, or
elevators for grain. must be provided
at primary points to carry the peak
load in the distribution Of the product
-These warehouses or elevators
!, should preferably be under private
ownership. But, il private capital is
not forthcoming, they should be under
state ownership, But under any con-
dition, they should be under, Federal
Supervision. g.
1.-THE question as TO who should owl,
E bnfid these elevators and warehouses
requires, some thought. But that ade-
quate warehouses and elevator facili-
ties of the most modern type should be
established Is beyond question. The
very well being and prosperity of the
different states and all Of their citizens
depends upon the proper marketing OF
their major products.
.aThe modern warehouse. makes pos
sible the handling Of agricultural COM
nlodities at reduced costs because Of
the saving effected In insurance, financ-
ing and marketing. 1t also, will play
an immensely important part III the
development of a practical plan Of CO.
operative marketing.
When products are delivered to the
warehouses or elevators they should
be properly weighed, graded and certi-
fed by the licensed weighers or grad
ers. For lack Of a better term I call
this process a 'certification' OF the pro-
duct. This certifcation should be so
hedged about that under payment,
overcharging and unfair grading will
be avoided. 1t will be the basis OF sale,
or. in case the producer does not desire
TO sell, It should be and could be, made
, the basis on which he could borrow
money until he Is ready, to sell:
"As a rule, the farmers products
move to the market when there is a
great congestion both in the money
market and in traffic conditions Ar
rangements, therefore, should be made
so that he can borrow a reasonable
amount properly nargined upon the
products OF the, farm. sTg.
Better Methods Sought.
/, Z 'I wish to imply no improper or
sinister motives to any Of the factors
that take part in the marketing of our
crops, They would not have survived
il they had not been fulfilling useful
purpose There may be too many Of
them; but most Of them are perform
ing service. No changes should be
made that would destroy those factors,
or any of them. unless something better
be established to take their places,
Preparations are made each SUM
1ner for the movement Of the crops
in the fan. Yet every year we, run
into difficulties. Last year they We're
accentuated by world conditions and
the huge specuiations and boarding
which took place in 1919 and 1920.
Bankers, financiers, promoters, specu-
lators ana jobbers always can obtain
more and cheaper cT.dit than the
farmer. ~.
ain connection with the warehouse
facilities, corporations should be. es-
-tabllshed for the purpose of making
loans on the warehouse receipts. They
should be large enough and so officered
as to gain the confidence of the invest
ing public. Their capital stock should
be open to public subscription: They
might be made cooperative. but they
need not necessarily be SO. They could
advance money to the individual (for
the financing o the crop marketing).
just as banks do now for any time from
thirty days to x months or year.
..S"They would not take the place Of
the present arrangement wherein the
merchant, the banks and the Federal
Reserve system finances the market
ing, but would supplement it,.
How it Would Work Out.
"The finance corporation would de-
post in It's treasury in trust. the farm
ers' notes maturing at various dates,
and secured by the warehouse receipts
for the -perishable product. 1t
would issue against the notes, bearer
certificates, as is now done by the large
corporations, in the issuance of short
time notes in denominations of 500,
$500 and $1,000 So. .., ~.
There would be no better short time
investment or collateral than these OBJ
legations. The present process, where
in the farmer gives his note to the
merchant, the merchant the note to the
bank and the bank sends'it to the Fed
eral Reserve bank, amounts practically
to the same thing. The only difference
is that these secured bearer certificates
would be in negotiable form and would
attract the private investor.
There are large sums Of money.
even in localities in which crop pro-
duction takes place, that would seek
investments in small amounts if It
We're easy to buy these negotiable, we'll
protected instruments. The finance
corporation being responsible for the
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