Eagle River review. [volume] (Eagle River, Wis.) 1890-1927, 1924-02-21
FARM
COOPERATIVE
SELLING
BY GLENN G. HAYES
0OOOOOOOOOOSOS 0SOSScsStSSSCSSCO
%. 1924. Western Newspaper Union.)
Launching National Dairy
Sales Service.

~
lea as a historic date in the history Of
dairy marketing. That day 80 repre-
sentatives from the leading co-opera-
tive dairy marketing associations of
the United States met in Chicago
hotel and unanimously agreed to adopt
the national dairy sales agency plan.
For three years dairy marketing
men had been working toward ma
tional plan for the cooperative distri-
button of dairy products. In 1920 the
American Farm Bureau federation
had turned the task over to the farm
ers' marketing committee Of eleven.
The committee knew that the next
step forward was the establishing of
national sales agency with branches in
all the big cities.
But the committee couldn't agree
on Just how to do it. They didn't think
as a committee working for the good
OF the dairy industry as whole; they
thought in the terms of how such a
plan would affect this that or the
other local group which they repre-
scented. 1t was finally agreed to call
in the leaders of all the dairy mar
keting organizations Of the country for
a round-table talk to see what they
wanted to do about it. That was get
ting down to business, submitting
referendum to the country, as It We're
The meeting was called at MilWau-
kee, wis. The fifty cooperative lead
ers present represented the big CO.
operative cheese, butter, condensed
and fluid milk interests Of the country,
It didn't take them long to decide
what they wanted 1t remained for
]. T. Williams, president of the MIX
Producers Marketing company OF
Chicago, to present definite plan
of action. In less than four hours
after the meeting came to or
der it was unanimously agreed to
establish national sales agency serv-
ice for the marketing of condensed
milk. butter and cheese and sweet
cream-the by-products Of the cow
milking business. A committee Of nine
was then chosen to work out a plan OF
organization which was to be present
ed to delegates from the various CO.
operative associations for approval
and adoption.
Forced to Federate Into Units.
It was outlined by the various lead
ers present that it takes more than
local plant to establish demand for
dairy products, and for that reason
the local plants of all the important
dairy districts had been forced to fed
crate into units Of one kind or another.
The tendency then was to form these
units into state associations which
are doing more in finding and estab-
fishing a market than the local can
ever hope to do.
The local agency is without means
for advertising extensively enough.
The national agency which had been
proposed should be able to handle the
advertising and selling for all the re-
gional associations and reduce this
expense to a minimum.
All the speakers were agreed as to
the economic waste Of permitting their
best product to be advertised and mar
keted under the brand of some dealer
or distributor who thus gained the ad-
vantage Of the good reputation for a
superior product which should right
fully belong to the cooperative organ
fzation which manufactured the prod
uct. With a central sales agency dis
posing Of this product under cooper
alive brand the co-operatiyes and in
turn their farmer members would he
the ones to benefit by this fine reputa-
ton. The effect of such united
sales effort would also tend to stab
tlize prices and prevent ruinous spec
uIation such as has been repeatedly
practlced in the cheese industry.
The plan by President Williams of
Chicago for the newly appointed COM
mittee of nine to build a national dairy
sales service was as follows:
It's Purpose.
To act as general sales agent for
all co-operatives who are members
thereof in the sale of manufactured
prSaocts for export and in the large
competitive markets of America and
foreign countries. To have and main
tain a general Office centrally located
and to establish branches or agencies
as fast as the growth of the business
warranted in all the principal cities
of this country and important market
centers in foreign lands for the sale of
the manufactured dairy products Of its
members.
In addition to handling manufac-
tured dairy products there would be
times when the central organization
could assist Its members to dispose of
milk and sweet cream to some of the
cities in the South and elsewhere for
ice cream purposes where such cities
were not served by members of the
central organization.
Further, where cooperative member
associations in a period of shortage
needed extra milk or cream to carry
on their business, this central organi-
cation could assist in securing it from
some other cooperative association in
another part Of the country which
might be in a position to furnish 1t.
Further, this company might be OF
considerable assistance to independent
concerns which are buying milk for
manufacturing purposes through a CO
operative member Of this company,
which concerns at times might find