Newark leader. ([Newark, Ohio]) 1917-1946, 1924-08-08
MILK AS FOOD
COOPERATIVE MARKETING is
GOING STRONG
1t Will Bring Down the Food Prices
by Systematizing the Marketing
of Farm Products

"Co-operative marketing will bring
down food prices because it will sys-
tematize the marketing of farm pro-
ducts so that there will be a steadier
stream of supply to every market
without the loss in perishables and
the stealing that is often found" de-
clares former Gov. Lowden of Him
ois. "Thus the farmer will get fair
produce more and market prices can
be lowered as the system becomes
more and more efficient"
According to the Department of
Agriculture, which has been making
survey of the matter, over 1,OOO,-
900 farmers have gone into the bus
mess of cooperative marketing, their
transactions aggregating more than
two billion dollars in 1923. Cooper
ative marketing" says Gov. Lowden,
'is our new national business policy.
Thirty states and the Federal Govern
ment have passed laws establishing
it. The Supreme Court has approved
these as constitutional. The Depart
ment of Agriculture, the War Trade
Board and the Farm Loan Board are
all behind the movement, which was
so badly needed to prevent farmers
generally from going to the wall"
The cotton growing states formed
most of their cooperative associations
in 1921 and 1922, when cotton was at
low levels. In December of last year,
when tobacco went low, 5,400 hurley
growers joined the "co-op" whereby
the buyers were compelled to bargain
on fairer terms with the growers. In
the last three years the introduction
of the California contract plan, which
guarantees the delivery of the farm
ers entire crop to the association
selling agents, has accomplished Won
ders in the marketing of farm pro-
ducts. About II, 900 such associations
are now functioning, and in 1928 their
combined business was greater than
that of the automobile industry. To-
day not only cotton, and tobacco but
rice, apples, wheat, butter, cheese,
cabbage, celery, peppermint, even
sunflower seed, and many other agri-
cultural commodities, are now being
marketed via the cooperative system.
The grain cooperative lead the list
with $490,000,000 worth of business
in 1923. Then come the dairy pro
duets with $300,000,000; live stock.
S220,000,000; cotton $150,0O0,OOO and
tobacco, $132,000,000.
Milk productive one of the greatest
Of agricultural activities.
According to the Government sta
tistics of 1920 nearly 80 billion pounds
of milk was produced in the United
States in single year-or if placed
in ten gallon cans side by side would
form line to reach more than once
around the world.
This vast amount of milk is con-
sumed largely in the cities in the form
of fluid milk and manufactured pro-
ducts. the prices are regulated, not by
arbitrary control, but by supply and
demand, that is if supply exceeds the
demand the prices are bound to de
crease and as a result the prices will
react upon the producer, it is part
of the economic system.
Cooperative Marketing Associa
tions are not functioning with the
idea in mind to fix prices beyond
reach of the consuming public, such
steps would be entirely out of place
when the supply of milk at present
is nearly so per cent greater than the
demand and is increasing steadily, |
yearly. Should prices of dairy pro-
ducts be placed so high as some may |
predict, the per capita consumption
would decrease to such an extent that |
the surplus would be greater than at
the present time, and again, the reac-
tion would have it's influence to de-
crease the price paid to the produc-
er
According to Government statistics,
where Milk Marketing Associations
are controlling largely the fluid milk
market-the retail price to the con-
sumner average very closely to the old
system of marketing-yet the price
paid the producer has been materially
increased. Such associations control
the retail and wholesale price of milk
in many of our larger cities, and is
very moderately fixed. Chicago re-
tail price per quart is lac; Minneapo
lis and St. Paul, 10c; New York City,
13c; Cleveland 19c; Cincinnati 10c;
Pittsburgh reduced the price from lac
per quart to 13c; Columbus from 19c
to 12c. The producers have their
product for sale and are guaranteeing
a price that the consuming public can
we'll afford to use it.