The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1923-01-12
SAPRO OUTLINES
COOP PLAN TO
lsH MARKET CROPS
Organizer Details Method Of Uniting
Producers TO Control Available
Supply and Finance Single CommO-
dity Under Best Experts in Field.
b. Aaron SapirO

more, the technique has to be varied
slightly for each different commodity
or type of commodity to which the
organization plan is applied. For in
stance, you can't have exactly the
same type of contract for a strict
pershabIe, like oranges, in which the
chief problem is one of rapid and eff /
Gent routing, as you have for a semi
perishable like eggs, where the prin-
cipal problem is one of proper pro-
cessing, storage or packing.
Finance Problem Important
Or it may be a strict non-perishable
like cotton, in which none of the afore-
mentioned problems are Of very great
importance and the chief problem is
one of financing over long periods of I
gradual sale.
In the organization of all types of /
commodities, however, certain funda-
mental principles hold good and it IS
rapid fire outline of these which
propose to give in this article.
Of late, cO-operatives being newly /
set up in this country, usually meet all
requirements of this plan at the out
set. There are many strong coopera-
tives, however, which have gradually
transformed their form of organiza-
ton over long years of experience I'M
til it now meets these requirements,
even though, for some of them, there
are apparent differences which do not
really exist.
Five Requirements Filled.
Whether, through gradual evolution
from bad start, or by recognition
of these principles at the outset, all
except one or two of the larger CO.
operative marketing associations of
the country fit the five fingers of the
following glove:
First-Organization upon com
modify basis.
Second - Organization under
long term binding contracts with
member growers.
Third-Purely cooperative con-
troll and pooling of all produce of
a like grade and variety.
Fourth Organization upon
large scale.
Fifth-Empleyme Of experts.
Your modern cooperative is Orga-
nized upon which is now commonly /
called the Commodity plan" Of orga-
nization because Of its primary prin-
cipIe that it is organized about one
commodity, or closely related group
of commodities, only, without
greater regard than is absolutely
necessary to locality.
Commodities Are Organized
We do not organize sections, we do |
not organize farms, we do not or
ganize farmers. We organize COM
modities, and that is all.
These organizations may or may not
have capital stock. The newest and
biggest are organized today without
it. Where they have to buy ware
housing or processing plants, they or
ganize subsidiary corporations, con-
trolled by their member farmers, to
purchase or build such property.
Instead of capital stock, these or
CARNATIONS possess the greatest credit
backbone in the world-a guaranteed
volume Of business. They are orga-
nized under long term, binding cor
tracts, covering a stated period Of
years, during which the member farm
er agrees to deliver outright to his
association every bit Of the commodity
that he raises.
Market Contracts Binding.
That means that his association can
conduct financial operations with these
groups of the commodity as collateral
far beyond the reach of the individu-
al farmer It means that they can
be relied on to fill orders for good
customers over a period of years.
It means that the next years crop
further guarantees the perfect securi-
ty Of any credit advanced upon the
commodity And it means that specu-
lative interests undertaking to lose
money to see that farmers outside the
organization receive more than those
on the inside, with the idea of thus
destroying the unit, have a long and
practically impossible job ahead of
them. Whether they have capital
stock or not, all commodity organiza-
tions have been binding marketing
contracts.
Organizations Are CO-Ops.
The organizations are purely coop /
erative In the conduct of their af-
fairs, every member has one vote and
only one. By districts, the members
elect board of directors from their
own number, one director from each
district, and each one of whom is
rrlnxrar. rirnco M one nrcar,t c.1.nrro,.- |