The Bingham County news. [volume] (Blackfoot, Idaho) 1918-1930, 1923-09-14
How to Build the
Cooperative Mar
keting Machine
By AARON SAPIRO
In its Construction Certain Definite Principles
Cannot be ignored

1t is not enought to know wher
you are going. You have to buil
the right kind of machine to take yol
there. Even after farmers under
stand that the aim of cooperative
marketing is to stop the dumping o
agricultural products and to substl
tute therefor a system Of merchandis
ing, they have not yet solved the prob
lem. They have simply found ou
where they are going.
But they have to build machin'
strong enough to take them to tina
particular goal. If the machine I!
improperly constructed all the goot
Intentions and all the well-directet
aims in the world will not bring The
growers to any hope Of success.
From direct observation 1t is nov
possible to announce definite and dis.
tinct principles in the technic Of CO.
operative marketing. Thousands oi
cooperative ventures have failed. A
few score have succeeded. By study
ing the failures and analyzing the
successes 1t Is possible to learn from
the failures what to avoid, and from
the successes what to initiate.
From such study and careful OBJ
servation covering the experience OF
cooperative marketing movements IN
America and Europe, certain big
principles stand out distinctly. If
the farmers will observe these rules
in building. their machine, there is
real likelihood of success for their
marketing enterprises.
Each commodity must be studied
If 1t is a perishable pro-
duct we may organize in one way. II
It is nonperishable another method
may be used. If it is a commodity
Of constant production, like eggs, the
method must be somewhat different
from that used for annual products,
like grain.
But these rules can be adapted to
he need of any type of commodity
n any section Of this country.
The first and most important prin-
,iple is to organize by the commodity
md not by the locality for marketing
,urposss. 1t is proper to organize
ocal associations for receiving, grad
ng, packing and storing, particularly
With perishables. But these locals
must all be federated into one CEN
raj exchange for marketing pur-
,oses.
The Commodity Must be Studied
Local ociations-imitation OF
he old British Rochdale system-are
roper for consumer cooperation. Or
anization by the commodity is the
My type of cooperative organization
hat has really brought relief in mar
citing to the farmers of this coun-
ry.
A cheese factory in Wisconsin IS
OF a marketing organization. 1t |
lay perform cooperative manufac-
Iring, but when it comes to handling |
1e problem of sales, they can be
ccomplished only by federation OF
ractically all these cooperative
1eese factories into one real market
lg unit.
Cooperative marketing associations
} not sell the land; they sell a COM
odity. 1t is only the farmers who
axe the blunder of organizing from
locality standpoint instead OF
standpoint. The three
ousand and more cooperatives IN
e middle west are all organized on
e basis Of locality, but the Armour
rain Company is properly and wise
organized on the basis Of the COM
odity. Every manufacturer and
cry merchant who deals in primary
aterials is organized on the COM
odity basis. The farmer alone has Z
en- led to organize on the locality
sis and the farmer alone is unable
cope with the other elements in !
e community.
Each commodity must be studied TO
ach the limits of this rule. II 1t 6
a specially, like raisins, an organ =
ltion within single state will suf-
e. If it is a district commodity, ;,
q Burley tobacco, centering in Ken
,ky, but flowing over into the fringe .
Indiana, Ohio, Tennessee, West :,
rginia and even Missouri, the Or .
may be a Kentucky asso- :,
ltion extending over into these .
Ter neighboring states. But with
lily national product, like cotton, q
tatoes, wheat, or corn, any attempt =,
a single association is doomed TO =
failure.
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