The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1923-09-20
SAPIRO DALIVERS
A STRONG ADDRESS
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cooperative must sell it's product
under it's own name, stand behind the
quality and get the profit that some
chain store now makes.
Recognize Time Factor
Third We must recognize the
factor of time and place in market
ing. We must make the period OF
shipment conform to the period OF
consumptive demand. In potatoes, we
must ship potatoes as people need
them for table and seed use, not
when they are dug.
'Fourth-We must not overlook the
factor of expanding our markets, be-
phase of farmeing profitable. it at
tracts others to the industry. A CO.
operative owes it to its members to
expand consumption as much as it
can, partly to offset increased pro-
mand as much as it can to strengthen
prices. What do you know about the
demand for potatoes? Do you know
whether Irish potatoes-Red river
south? Have you any way of finding
out, except through channels which
have no concern with the welfare of
the California prune growers discov-
sered, through one of it's trained spe-
cialists that the City of Galveston
as did Boston. so they set out to find
out why. They found that down
there in that hot country, prunes de-
veloped a worm in the hot months,
1T go at that? No. they began put
ting dried prunes in cans and now
Galveston is eating as many prunes
as does Boston.
Must Control Flow
"Fifth--We must be able to con-
troll the flow of commodity to mar
ket. 1t was a great day for farmers
when, through their co-operatives
they learned to make a little addition
to the story of the law of supply and
demand. We have learned to add a
phrase, where and when
"Sixth--Prices must be determined
by the demand at the point of con-
sumption, rather than at the point of
production. Last year, there were
hundreds of thousands of bushels of
potatoes. in the ground, that never
were dug because prices were made
at the point of production, instead of
at places where people were buying
their potatoes. Thus, potatoes that
never were dug Were used to pound
able to dump on the market. You all
recall that not SO very long ago Henry
FORD had a great surplus of cars on
dis hafds and was facing finansial
lot OF spectators and ask for bids, or
put his cars on the auction block
Net nm much Sda He figured that there are
States, 24,000,00O families, and that
the ambition in every family was
TIrst for "a boy, then a girl and then a
over the, country, this surplus of
Fords, told them that unless they sold
their their quota they no longer would be
long story short, was that the surplus
was sold at profitable prices and Ford
was able, to meet his obligations to
New f. York banks and thus escaped
example of making prices at the
point of consumption as we ever have
seen.
Must Understand Work
But simply agreeing on six factors
TO success does not solve the whole
technique of cooperative marketing
Organize by Commodity
First, we must organize by the
commodity. A potato sales agency
has no business handling prunes, or
q q. wheat agency eggs. Each must be
Second, it must be operated on a
nonprofit basis. 1t must not specu-
late ana 1T must neither buy or sell
Ior profit, because when you buy for
profit. there may be loss.
Third, it must have democratic
controi-one man one vote.
re Fourth, there must be no proxies.
d
may vote by mail, but not by proxy -
Firth, 1T must be based on long
time contract.
Sixth, it must recognize the abso-
Iute pool of all products so that all
growers of like kind, quality and va
rlety Will obtain the same price. If
director wants a high price for his
: own Stuff, he must get that same
price for the smallest grower in the
organization.
,a~ Seventh, it must provide for a
hoe
business. 1t would be useless for YOU
70 start a potato organization with
only hundred or even Thousand
cars You must have enough bust
ness ss,; 70 carry your overhead.
Tor those who break the contract
Wnen your organization is formed to
nanole a certain tonnage of potatoes
~ must have that tonnage. Moreover
lnere must be penalty to prevent
your neighoor from accepting high
Is the way in which dealers ALWAYS
attempt to break up co-operativa
Lastly, II must be well managed
Never hire lawyer to sell potatoes
Never hire producer to sell pota-
toes Men. right here in this state
statesmen in the country You can
get them to work for you, Just as
Well as TO have them working for
someone else. They will serve YOU
place them on your payroll
Same as Maine Contract
And now we come down to the
specific business before you; the po-
tato marketing campaign. All the
essentials of which have been
tract that is being used in the Min