Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1922-03-02
HOW OKLAHOMA FARMERS
FINANCE COTTON SALES
BY RALPH SMITH

-NTIOWG1O d000C1dL4O1l, cNo AOAAae-A1
ed in Sundays Journal, has han-
died nothing like as much cot
{ ton as it had under contract.
The cotton pool, in a word, fell
far short of expectations. Only
$1,000 bales were handled, or,
rather, have been received dur
ing the seasonal development,
the explanation of which is
plausible and Immediately di-
reefs attention to the all-impor-
tant question of finances.
How, in heavens name, did
{ lot of unbusinesslike farmers
ever get funds sufficient to f.
nance 81, 900 bales of cotton?"
/ wondered. The answer to
that question is a part OF the
"ear-full'' that 1 received in Ok
lahoma City-an 'tear-full' that
strengthened my confidence in
the truisf that seeing is be-
lieving."
4AldL Oil OLt IllS COllOlI Sl6 1GtA
UP FOR delivery was not received
by the association was due to a
combination of circumstances.
Crop mortgages had a lot to do
with the delinquency. Unpre>
paredness on part of the assoc
citation had something to do
with it. The bull movement in
cotton during September and Oc-A
tober influenced things some
what. Ideal harvest weather
and an unusually early crop
played a part.
Although the contract be-
tween the association and its in
dividuals l. binding and legally
enforceable, crop mortgages are
a prior lien. The association
recognizes this and its officers
understand that crop mortgages
are one of the obstacles that
must be met in the development
of the cooperative movement.
Mortgage Holders Object
A considerable proportion OF
the cotton that was under con.
tract for delivery to the associa-
ton could not be delivered be.
cause the holders of the mort.
cages were unwilling to- coop
crate. They insisted on their
pound of flesh" Immediately the
cotton was picked up and GIN
ned.
They would not consent that
the cotton covered by their
liens should be pooled and sold
in orderly fashion by the Okla
homa Cotton Growers associa-
ton. Some few landlords who
received their rental in cotton
took the. same position. despite
that theW association offered, to
the holders OF crop mortgages
and landlords the same safe
guards and sureties that were
satisfactory to the bankers OF
Oklahoma and TO the War FL
zaaffcU- corporation
II haven't here available the
figures showing the actual per-
centage of cotton the associar
ton lost through the arbitrary
attitude Of holders of crop mort
cages, but it was considerable"
Mr.. Williams admitted.
The spectacular. advance in
the cotton market in September
and October last year, it is adj
mitted, probably Influenced some
Few association members to dis
regard their contracts and sell
their cotton. 1t is asserted by
association officers that many
street buyers, ginners and 9TH
ers opposed to the cooperative
movement bid in and bought cot.
ton recklessly and with little re-
gard to its true value, in the
hope of killing. the association.
Although the great majority
or our members have stood 10y.
ally by their contracts, except
where crop mortgages interfer-
ed with their desire, a few sold
OUT at the first opportunity,
said Mr.. Williams. We now
have under advisement the insti-
tuition Of some ten or twelve le-
gal actions that will firmly es-
tab tanhs aa.t the j.. binding quality Of
Cotton Moved Early
Cotton began to move much
earlier in Oklahoma last year
than the association anticipated.
Th1s was due largely to the ear
ly maturity Of the plant and the
ideal harvest. season. Bales upon
bales-hundreds of them-were
picked, ginned and ready for
sale before the association was
In position to function. Lots
or them got away because the
organization was in no position
to handle them.
lust like lot of farmers
always talking and never ready
to do anything" you say.
The criticism implied by that
IS who'll. unjustified, circu:l-
stances anG accomplishments
weig. ed IL the scales of justice.
The accomplishments of the
Oklahoma Cotton Growers as
ISOLATION have been wonderful. !,
What Trey have done almosU
staggers the imagination. Imag-
inc, II you can, any association
or business men, any corpora.
ON. any individual, perfecting
in nine months an organiza-
tion-a business organization
. to deal with $4,000 individuals
and handle a turnover of ten
million dollars. 1t is almost in
conceivable, yet that is just
what the Oklahoma Cotton
Growers association did.
The organization was launch-
ed in April, 1921, and before JAM
uary 1, 1922, it had handled
products approximating 10000
900 in value!
And more, the Oklahoma as
ISOLATION handled this tremen.
dous business without any cap.
ital of it's own,
1t is not as if the association
had had a capital stock, or
working capital of one or two or
three million dollars. It started
with nothing, and to date, as j.
figure, it has distributed among
its farmer members over $5.-
$4,000,
That's going some, it seems
to me.
How Funds Are Obtained
We are back where we started, :
wondering how, in heavens
name, the farmers Orpa nization