Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1924-04-15
THE ATLANTA TRI-wEEKLY JoURNAh

they grade the cotton they nandle In the
interest of their members, whereas cotton
sold individually is graded by employees of
the buyers.
In theory there is no flaw in the Sapiro
plan of selling cotton comparatively. In &C
tual practice, its success depends on the
soundness and efficiency of it's management,
as is true with every other business enter
prise.
The Georgia association made a splendid
1929. 1t paid out to them, according to
| its records, better than twenty-six cents a
| pound for middling cotton, after the deduc-
| ton of all expenses or management and the
setting up of contingency reserve. This
figure contrasted brilliantly with Hesters
figure of twenty -four cents as the average
price for the season. In short the Georgia
association sold its members cotton so we'll
that it paid all the expenses of doing bust
ness and then gave to the producers two
cents pound more than they otherwise had
reason to expect.
| The accounts of the association, it is
pointed out were vigorously audited by a
| firm of national reputation. This audit re-
port was Immediately placed in the hands
| of every bank in Georgia, the associa ton
doing this in the stated belief that its in
terests and the interests of the banks of
Georgia are identical in particular
that of increasing the productiveness and
prosperity and happiness of the cotton
farmers.
The financial affairs Of the association
are subject to the constant scrutiny of a
nell Also they are handled with the advice
large board of directors of notable person
and Judgment of a committed from the
committee Mr.. E. R. Black, president of the
Atlanta Trust Company, is the chairman.
This advisory committee has been function
ing since the Georgia cooperative began ac-
tual business, to the satisfaction of the as
ISOLATION and the Atlanta banks. The inter
est of these latter institutions lies in the
heavy borrower, one Of its main reasons for
existence being that such an organization
can borrow money more soundly and more
cheaply than can individual producers.
When the cotton opens in the fall,
the cooperative extends a substantial ad-
vance to the member when he turns in his
last fall was at the rate of twenty cents a
pound, one hundred dollars bale, and nee
essarily was made before the association
was in position to sell any cotton The
money for the purpose was borrowed from
| Atlanta banks-hence the business sound
ness of clearing neutrality-suspicious.
| of the finances of the association.
| One of the interesting developments of
the past year has been the great number
| of public Endorsements made of the asso-
ciation's conduct Of business by the coun-
try banks, news of which has been
made public from time to time. When
the association was in the formative state
| and during the first year of its work, bank
,, ing interests naturally waited to see how
we'll the theory worked out. Now they seem
to be virtualyl unanimous in their indorse-
ment not only Of the theory, but also of the
! practice of cooperative marketing of cotton
in Georgia.
| The Journal has consistently advocated
cooperative marketing under competent
and trustworthy management, belleE-
| ing that it is sound in theory and work
able under proper direction. The record to
date of the Georgia Cotton Growers Co
operative Association indicates that the
forty thousand farmers of Georgia who
make it up are to be congratulated on their
choice of officers.
| And the fact that cotton can fluctuate
| thirty dollars a bale in market price in a
few days proves that the association is
needed to protect the producer and the pub
lie.