The midland journal. (Rising Sun, Md.) 1885-1947, 1933-12-15

realize that At the same time any
farmer who does not think specula-
ton by the other fellow is costing
him money doesn't know much about
things in general.
Secondly, an important thing that
cooperative marketing can do, Is to
stabilize the market. BY stabilizing,
mean to avoid the slumps and scar
cities that result when farm produce
is dumped on the market in uncon-
trolled fashion.
Everyone knows that it has been
the custom of farmers to "sow by
faith, harvest by hope and market by
chance" If you will study the price
chart of any uncontrolled farm COM
modify, you will see it consists of
peaks and valleys with the farmers
just as often selling at the bottom
as at the top. 1t too often happens
that one city may be glutted with
certain commodity and yet there may
be shortage elsewhere. or course,
this opens a way for handlers t.
profit since they can route the pro-
duce where it will sell highest, but
not necessarily to benefit the farmer.
Orderly marketing by the farmers
organizations can correct that. The
general price level might go down,
but if an effort is made to feed stuff
to the market, when and where it is
needed, the fluctuations will be elm
mated.
The dairy associations have been
an example of this. Despite the fact
that the price level is lower (Which
l said is mainly caused by supply
and demand) yet the violent ups
and downs that characterize other
farm prices have been missing from
milk. The producer of milk has
been assured of a fairly stable mark
ct, not dreamed of by the potato
farmer or the grower OF canning
crops, for example.
These are two big things that CO.
operative marketing can do and any
sane man must admit that they are
important to ultimate agricultural
prosperity.
How about the middle man? Is
this movement a deliberate plan to
put the middle man out of business?
This is important, since many good
people are in the business Of handl-
ing agricultural produces and the
practice of having the government
loan money to develop cooperatives
has been questioned from the stand
point of policy.
1t is my firm opinion that to the
extent that marketing organizations
function to take the speculation out
of the handling of farm produces and
to place that produce on the market
in such way as to maintain q level
supply, Just that far is cooperative
marketing sound business and
should be promoted as a matter of
public good.
But there are certain processes on
the way from the farmer to the con-
sumner that must be handled and
there is no assurance that the farm
er's organizations can do these
things any cheaper or better than
those already in business. Outlines
lack of experience makes il more ex-
pensive and less satisfactory for the
cooperative to attempt these services.
Some folks look at the price farmers
get and the price consumers Lay and
quote the spread as the resaon for
the farmers low income. Some of
this spread in undoubtedly due to
speculation and disorderly market
ing. Intelligent organization can
correct that and return the differ
ence to the farmer. 1t is doing it
now. But some of the spread is for
legitimate services that can cfttimes
be done better by those in the bust
ness rather than by new o.saniza-
ton. Most intelligent farm leaders
admit that and the present trend of
marketing organizations is keeping
this in mind.
Next week. Low Cost Production
and Cooperative Buying.l