Evening star., 1932-05-08
Fair Deal for the Farmer

the city. Even where buying is highly
concentrated. the farmer can obtain a
fair return for his labor If his selling
method is also well organized and con-
centrated.
The farmer has not been getting a
proper share of the consumers dollar
and until waste and useless expense
between producer and consumer are
eliminated we shall not have the right
basis for a balanced prosperity of city
and country. There is nothing new
about that theory. But Congress de-
cided three years ago that the theory
should be established In fact. And
the Farm Board was established, with
half a billion dollars for the develop
ment OF cooperative marketing. stab
ilization of farm-rroduct prices and
other aid to agriculture.
little more than four months later
before the board had fairly started on
us task, the economic structure of the
world underwent tremendous changes,
The prices Of practically all commodi-
Ties went down-steel and iron. dia-
monds, oil, rubber, silk, coffee-and, of
course, the prices of the farm products
OF the United States went tumbline
a1ter. To meet the tremendous emer-
gency OF this economic cataclysm the
Farm Board in the 18 months that fol-
lowed used practically half its funds Ia
remove part of the wheat and cotton
surplus from the market. A consider
able part of those commodities so re-
moved are still being held. The part
held may prove a good investment in
the end-or very poor one. Still. the
boards action did much to ease the
1aH and to save our economic str,,c-
ture from absolute ruin.
Yet that has not been the most i'm
portant part of the boards work. In
the end 1t is probable that the greatest
good VIII accrue to the farmers and
TO the country generally from the prac-
tlcal help given in the building up OF
agricultural cooperative associations.
Had Difficult Problems.
There have been difficult problems To
be solved. For example, long before
the board came into existence there
were many strong cooperative associa :
tions In scattered rural sections. One
OF the major tasks of the board has
been to assist them in combining their
lacllties Tor mutual strengthening and
aid.
We have record of nearly 10000 CO.
operative associations, with 5000 00O
members including duplications) in
operation last year. They transacted
business amounting to S2.4OO 600 600
During the first two years of the Farm
Boards existence the number of CO.
operatives increased by approximately
500. The volume of business went M
s100 ,000, ,000-even though price levels
went down. The co-operatives. for in
stance, handled three times as much
cotton for farmers in 1881 as in 1929
and six times as much wool and mohair
But 1t Is not the mere multiplication
OF cooperative associations or the in
crease of their membership that is the
gauge of success. 1t is the linking of
the co-operatives of region or a state
or the whole nation that builds up power
power to handle sales effectively
power to deal successfully with buyers
and industries closely knit. power ia
eliminate waste and loss between pro-
ducer's farm and consumers table
Examples of the successful enlistment
OF the principle OF mutual help can be
found in practically any state. In
Minnesota and Wisconsin, for instance
there was cooperation many years age
between local dairy owners. There were
nearly as many qualities and packs
of butter produced as there were cream
cries, and each sold its product at about
what commercial buyers wanted to pay
Then the creameries began to cooperate
with each other in a small way. and
now there are about 500 associated in
mutual sales agency. From Wisconsin
and Minnesota and the Dakotas, cream
and butter is being gathered and con-
centrated IN modern plants that supply
MidWestern and Eastern markets with
100, 1000 900 pounds of butter a year
The same organization also handles
eggs poultry turkeys. cheese and fresh
cream, all of improved quality.
Know Outlet Is Established.
The thousands of owners of dairy
herds who belong to the cooperative
| joint sales agency are constantly spur.
red to the production of better cream
and milk products; they know there /.
an established outlet for their product
with honest grading and weighing, anc
sales carefully controlled and made tl
the best advantage. Concentration anc
! storage facilities. carload shipments fol
cooperative handling by an expert staff
with direct representation in the bis
| centers of population affording the besl
| markets
To develop such facilities for the
handling over a large area of 100,.
900 900 pounds of butter year, as vel
as millions of pounds of other products
required capital. Since 1929 part OF
that capital has been furnished by the
Farm Board, with proper security u
protect the public treasury.
The co-operatives can borrow at Low
rates-not exceeding 4 per cent-ant
1 fntai advan mag I'm m March I'm whirf
approximately 3,7oO local and regiona