The producers news. [volume] (Plentywood, Mont.) 1918-1937, 1925-01-02

Briefly. with wheat prices sticking
close around the $3.50 mark, 1t might
be- said that the Canadian growers
bian is receiving the acid test. How
ever. those well informed on the sub
iect insist that the growers are stick
inc to their guns and that they have
come through 1924 with flying colors
and are more firmly entrenched to
carry ON With the 1925 yield.
Bankers Are Financing the
Growers Organization
First of all the Canadian wheat
growers and bankers are working
hand In hand The province banker
realizes that the farmers welfare is
his welfare, and he has made and is
making it his business to see that the
wheat growing farmer is financed.
The first ear, which was in 1928,
the Canadian Bankers Association
financed the wheat growers organiza-
ton with approximately S15,00O,0OC
at G1a per cent interest. This year
the bankers raised the ante to $780,
100000 at 6 per cent.
The association was organized anC
is conducted as follows: First of all
one cent a bushel is deducted from
the growers price, this going to {
reserve fund. At this stage eff thu
fight, another 2 cents a bushel is de-
Quoted for the purpose of building
grain storage quarters and elevators
Pool Pays
Over SLIGO
This year the association has paiC
al ,l-1Trro-srr ~ fI1t
end Of the season all funds received
for wheat in excess Of that price vii
be divided pro rata The number o.
Canadian wheat growers pooling theil
grain this year has been reported be
tween sixty-five and ninety Thousand
Fifty Per Cent of
Farmers Pay Interest
AS a result Of this wheat pooling
by growers, Canadian bankers repOr
that more than fifty per cent of TIL
farmers will be able to meet their in
terest payments on mortgages thi
year, a condition that has not existet
since shortly after the war.
Binding Contract With
Growers Prevents Bolt
The farmers contract with the OF
ganiZatiCn is binding to the eXtrem
made so to prevent the tinid frol
rushing to an independent markt
when prices break sharply, as hal
pened once since November 1, whe
the Winnipeg high for hard whei
adjusted to Chicago quotations.
If the wheat grower bolts and d
ivers to independent buyers he mV
pay a fine of 25 cents per bushel al
is subject to suit by the assOciatiO
The cost eff joining is So, this goiI
to the general expense fund. Tl
marketing or selling agency of Il
organization is of course of first il
pOrtance. The year just closing h
been a very jumpy one in wheat II
organization has a good sales age
ey, small it is admitted, but eficieT
A margin of Is cents is set at {
times between the cash payment
growers and the market price.
Growers Claim Market
Has Been Stabilized
These organized Canadian whe
growers are convinced that if the
pooling proves successful by the tir
all of the 1924 crop has been dispos
Of, that the movement will have do
more to stabilize wheat prices a
restore prosperity to the wheat are
than all of the loan plans and poli
cal efforts ever dreamed of.
Canadian Success Means
e. S. Success
1t is but short step from
wheat fields and grain markets
Canada to those of the United Stat
Success there, such as is indicated.
sure to be followed here, because
en- though there is a great differel
IN the lumber Of wheat growers tn
and in the United States. the Ca
dian moement has been on a La
enough scale to prove the plan fe
IDLE with any number. Fspecis
with positive proof of success ab
to hold American membership in
and true to the organization pledp
State Board Approves