Southwest Washington labor press. [volume] (Hoquiam, Wash.) 19??-19??, 1924-03-14
Distribution SYSTEM
PROBLEM TO FARMERS
Continued from Page ID

NOOASAn0O0 @1HC ~
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combine and say that the price Of a
certain article shall be, thus working
great hardship on the consumer
who has to have this article. AS an
example, milk. The consumer of nee
cessity would have to curtail the
amount he would use and in this way
the farmer would defeat his own OBJ
jective. That is to realize the most
out of his product. The object is a
great deal as the axiom of the rail-
roads, ITO charge all the traffice will
bear" In other words the farmer
must charge such a price as will bring
the greatest amount of consumption
of his product at rate that is prof.
table to him.
There seems to be a difference Of
opinion among advocates of the CO.
operative of just how far they ought
to go in the marketing of their
products. A certain group think that
they ought to follow their produce
until it reaches the consumer, while
others again would confine themselves
to the assembling of their product,
grading and perhaps manufacturing
it into a more easily handled product.
Then selling it in the ordinary chan
nels of trade.
The latter plan we think is the more
sensible. The retail business is too
complicated to watch and often brings
the farmer in competition with him
self. To illustrate the workings of
the ordinary cooperative, instead of
using hypothetical case, am going
to use the Grays Harbor Dairymen's
Association in their endeavor to dis
pose of their product.
Their association was formed about
six years ago to overcome the trouble
they were having over the irresponsi-
bflity of the dealers here on the Har-
Dor. Competition was so keen that
the weaker dealers were all the time
going broke with losses to the far
mers of several months checks. They
Immediately set about to establish a
uniform price to all dealers and to
organize the up-county in such a way
as to insure the cheapest possible
manner of collection of the milk.
They soon discovered that If they
wanted to get the best possible price
for their milk it would be necessary
to establish some plant to take care
of their surplus. So they bought the
Satsop Cheese factory. A lite later
they took over the Union Dairy here
in Aberdeen and started to distribute
their own milk, but this was later
sold.
Last year the association had con-
tract with the dealers on fifty-fifty
basis. The price the consumer was
to pay is always governed more OF
less by the price paid for butter
cheese and condensed milk. The fiji
ty-fifty brought more to the farmer
than at any previous time. This was
brought about by the system of haul
ing, and the handling OF his own
} surplus. We think more money can
be saved to the farmer in both these
items but it will take some time to
work it out.
The second problem before the far
mers and the distributors is to cheap.
on the distribution in town. At the
present time we have great duplica-
tion of effort in the distribution OF
milk. Each street will see three OF
four different delivery wagons in the
course OF a day. Another expense II
the wastage in bottles. This item
alone amounts to thousands of dollars
on the Harbor in a year.
We have given these problems and
the workings Of the cooperative tC
to show why they can justify them
selves. The consumer is interested
in a cheap product while the pro
Queer has to get out of his produces
the cost of production and a reason
able profit, If the cooperative car
simplify collection and distribution o
the farmers product, so that he viii
get so cents Of the consumers dollai
instead of so cents as he does on thu
harbor and IS cents Of the genera
average throughout the country, i
viii justify itself
We could go on and show savings IL
the Egg Association. PotatOe Growers
Association, etc. As these organiza
tions are working along similar lines
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