The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1929-06-21
handling the commodity to later enter

handling the commodity to later enter
the sterilization corporation.
Such 4 stabiliSation corporation Is
given two distinct functions by the
act. First, 1t may act as q marketing
agency for its members-the pools or
] coopcratives-in . manner similar to
that used by the central selling
agency Of the Canadian pools. Sec
ond, 1t may aid in controlling the
surplus Of any commodity II in furth-
GRANGE Of the policy outlined by the
act, and In so doing may buy, store,
prepare, process, merchandise, and
handle any quantity Of such food pro-
duct. irrespective whether or not all
Of this amount is handled for it's
members o is acquired from outside
interests.
Loans may be made to the stabili-
cation corporation for working capi-
tai Tor the sterilization corporation,
and the corporation is required to es-
tablish adequate commercial reserves
from out Of any profits arising from
the stabilizing Of price for its COM
modify. No real restriction Is laid
upon tho sterilization corporation as
to the method which It is to use in
.effecting this control Of the surplus,
ave only that 1t Is not to be permit
ted to unduly initiate prices to the ex-
pense and suffering Of domestic con-
sumers.
Price Insurance
All agriculture has suffered from
the effects Of fluctuating prices and
the tendency arising from glutted
markets at the time of delivery for
an undue depression in prices. In or
der to meet this situation, provision
is made for the underwriting, II nee
cSsary, Of q system Of price insur-
ance. This may be done provided the
individual commodity has been traded
in over . period Of years in sufficient
volume to provide q basis upon which
such insurance can be figured.
It is probable that a basic price
would be ascertained-possibly de-
rived from the average price received
during the past 20 years on the open
market. Is In the case Of wheat-and
this used from which TO calculate the
said insurance.
Who Qualities?
A great deal of discussion has
arisen concerning just who would be
able to qualify under the provisions /
OF the new act as cooperative asso-
Citations. The new act is very clear on
that point, and specifies In its defini-
ton 0f cooperative that the organi-
zation must qualify under the act of
February 10. 1922, known as the "act
to authorize the association Of pro-
ducers Of agricultural products" and
further specifies that such associa-
tions must be composed and controlled
Of and by actual producers Of the
commodity concerned.
This provision fully qualities the
North Dakota Montana wheat pool
which Is organized in full accord with
the act specified Is well as under the
Of Its own states. It Is further
probable that the board In its opera
lions will require for It's protection
that the individual pools receiving
loans Or organizing sterilization cor
pcrations shall be organized upon the
basis Of q signed membership con-
tract. this giving the necessary finan-
cial security needed for financing OPP
erations.
The North Dakota Montana Wheat
Growers association is ready to take
full advantage Of the legislation.
President Ouis Is and has been In
Warrington during the final passage
Of the legislation and Is ready to give, |
through the pool, the individual
farmer members the advantage of all
the Information which he has gained.