Gunnison news-champion., 1923-02-02
Weekly Letter from
RObt. F. Rockwell

general way The cooperative MARKET
ing iaw, introduced and recommended
By Aaron Sapiro, the organizer for
co-0peratIves in California and other
states. Next week and the week fol-
lowing ] shall take up the recommend
alton aud the water compact bills.
FlTst, ] wish 70 repeat 4 statement
that / made in an interview TO the
New a couple Of weeks ago.
The fuudamyntal difference be
tween the agricultural program Of the
Republican and Democratic platform
LlIEg the campaign last fall vas the
question Of si1Ie-Owned and operated
warehouses.
IL O. interesting 10 note that with
tu the IaEt few days, Mr. SapirO, the
eminent authority and spokesman for
the cooperative organizations Of Cali
f0rnIa ana other states, who has been
o. Denver at the SPECIAL invitation OF
Governor Sweet 20 talk on cooperative
marketing. has spoken very firmly and
positively in opposition 10 any effort
or policy whereby the state Of Colo
EadO in any way as a state would
undertake 70 build and operate ware
houses. We, therefore, are led TO
judge that Governor Sweet has chang
cd his opinions upon this policy, leav-
ing 10 partisan difference OF opinion
as 10 the general means Of helping
along farm legislation.
The cooperative marketing law, as
introduced in our Legislature, and,
which, IN my opinion. will be passed
with few, If any, minor amendments,
Is what we understand anost identical
with that OF California and fifteen
or sixteen other states The results
obtained by cooperative associations
organized under this law have been
Of lnestimable advantage 10 the pro-
ducers of California and several of
the cotton and tobacco states of the
south. According to Mr.. Sapiro, l5
years ago, the producers of California
were only getting eight cents of the
consumers dollar, whereas, today they
are getting As cents. II has raised the
standard Of their products very mater
tally, and practically nothing is ship
ped out of these cooperative organiZa
tons except produce of the highest
grade and of the finest quality.
The law, as now introduced in our
legislature, Is very similar to that in
Denmark at the present time. II is
founded on long-term contracts be-
tween the grower and his cooperatives.
Its purpose is to place its products on
the market as desired by the buyer
and not to ship as it is haryestaed.
The organizations are by commodities
and not by localities.
Another very important part of the
success Of the cooperative marketing
law IN California is the necessity of
having the very best available men at
the head Of the organizations. Salaries
secm to be Of little moment, because,
as Mr.. Sapiro says, if we expect to
get the highest price for our products
We must have men of the highest ef-
ficiency to handle our business for us
Another very important part of
cooperative marketing, as carried on
in California, is the ability 10 borrow
money upon warehouse receipts at
small rates of interest, Banks, like
the National City Bank of New York,
Brumm & Company, and others, are
very desirous of loaning money to Cal
ifornia cooperativeS at as low a rate
Of interest as 4 ~ and per cent, ac-
cording TO Ar. Sapiro, because they
feel that the security is absolutely
good
The cooperatiyes of California are
handling between $500 200. 900 and
$500 .00O,0 900 worth of products each
year. Fifteen years ago California
was in u similar condition, if not
worse, than Colorado is now, accord
ing 10 this authority, and only within
the last seven years has she developed
the present marketing facilities which
have brought such wonderful results
to the producer without materially
changing the price to the conumer.
Under this proposed law, the CO.
operative organizations would take out
articles of Incorporation and be in the
same class with any other corporation.
1t would make contracts, borrow mon
ey and do other things which a corpor-
alton can do. In fact, it would be a
farmers corporation.
The problems in California are, of
course, very different from those in
Colorado. For instance, they raise
oranges, raisins, prunes, nuts, etc
which most states cannot raise. This
problem is one of developing markets
for which they alone can supply the
demand. Our problem is different; we
raise the same class of products as
other states in the temperate zone,
such as potatoes, hay. wheat, grain,
sugar beets, apples, cattle, sheep etc.
Our problem is to raise better quail
ty and standard for which we might
expect to receive premium.
The question of marketing and dis
tribution is undoubtedly the greatest
problem that the rural committee must
solve, and this Cooperative Marketing
Act affords possible solution.
This is a problem which is not con-
fined alone to the State of Colorado,
but is part of the national organiza-
ton. 1t comprises the raising of the
grades and unifying the standards of
our products, and will take men of the
very highest ability to handle success
fully.
In my opinion the Colorado legisla-
ture will pass this cooperative law.
but the real test Will come from the
men who must organize it.