Newspapers / The Carolina Union Farmer … / Jan. 25, 1912, edition 1 / Page 6
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THE CAROLINA UNION FARMER Thursday, January 25, IW r>i n ' % ■'Ti .. .(tJ Plans for Reforming Present Method of Marketing and Distribution. m The cotton season of 191T-J2 has demonstrated beyond a doubt the folly of producing a large crop of cotton under the present busi ness and marketing system. Fully fifty per cent, possibly seventy-five per cent, of the cotton crop is grown on a credit business system. All bills mature not later than November ist. With prices under 12 cents, it will take from fifty to one hundred per cent of the crop to meet these obligations. Therefore the farmer must necessarily realize money on his cotton almost to the full value of the crop. There arc only two ways of doing this: He must either put it on the market or store in bonded warehouses, and borrow money on the warehouse receipt, which is good collateral at any bank. Thus the credit basis cotton farmer finds himself on the mercy of the time merchant, the cotton speculator and the banker. The merchant insists on the payment of his account and he is not to be censured. The farmer who volun tarily assumes a future obligation ought to prepare to meet it when due. The best way to avoid the payment of time bills is not to make any. The cotton speculator knows how much fertilizer has been sold and what per cent of it was sold on credit. He can also find out or closely estimate the acreage, con dition of crop and . aggregate amount of crop liens. The spinner wants cheap raw material, so he goes in cahoot with the speculator and they very naturally take ad vantage of the farmers helpless condition and force prices down to and below cost of production. If the farmer has warehouse facilities the friendly banker comes to his aid. I use the term “friend ly” advisely, because some bankers will aid the farmers only after the demands of the commercial and manufacturing interests have been met. In case-of money stringency the farmer suffers. But a great majority of the banks stand ready to make loans to the farmers on warehouse rec^pts. The trouble heretofore has been the lack ci warehouses in which to store cot ton.’ Many of the cotton counties have no storage facilities and for this reason a great deal of cotton was forced on a congested, low market during the fall cotton sea- son. ^ Tbc Farmers’ Union of North Carolina advocates changing our business system from the credit to a cash basis. One of the cardinal principles of the organization is “To discourage the credit and mortgage system.” To do this suc cessfully every farmer must raise his home supplies. His chief aim ill farming should be to make a liv ing; and, while doing it to also im prove his soil. The money crops should be the surplus, over and above the crops cultivated for a living. This method of farming will soon enable any farmer with ordinary economy and intelligent industry to get on a cash basis. He will then be in a position to join hands in the Farmers’ Union move ment to radically reform the pres ent method of marketing the money crops. Lets now briefly consider this plan. It provides first for the organ ization of a State Warehouse Comi- pany with one or more large cen tral warehouses conveniently lo cated, and one or more countv warehouses in every county in the State. These county warehouses will be constructed so as to adapt them to the liandling of the money crops of that particular section, while the central warehouses will be arranged for the storing and marketing of all kinds of farm products. Through this chain of warehouses will be established a direct and economical method of distribution from producer to con sumer. There will be no unneccs sary handling by middle men, there by deteriorating the quality of the products and greatly increasing tlie cost to the consumer. All products will be properly packed and labelled with the pro(iucer’s name, thereby insuring against unfair dealing, if any should be attemped. Cotton and tobacco will be sold direct to the manufacturers. All perish able crops will be distributed so as to meet and supply the demanc without congesting the market. This will insure the producer a steady market at remunerative prices, while the consumer will get a fresher article for less money. The producer will be encouraged to adopt diversfiied farming; and there will be less complaint from the consumer on the high cost of living. Thus it will be seen that a proper system of marketing and distribution will enure to the benefit of both producer and consumer. The Secretary of Agriculture at Washington, after making careful investigations, reports that out of every dollar paid by the consumer the producer gets from thirty-five to forty cents. A small part of the other sixty cents pays for trans portation, while the greater part of it is a tax due to our present bad methods of marketing and distri bution. Such a warehouse company will be incorporated under the laws of North Carolina in a short time. The conditions are ripe for its establish- m.cnt. The high cost of living is being considered by national, stale and municipal authorities, while farm products leave the farmers’ hands at prices hardly above the cost of production. This enter prise will benefit the towns and country alike. It will succeed as soon as well established. It takes three things to make a business successful: capital, patronage and management. Ample capital will be forthcoming, and patronage is guaranteed from the start by the fifty thousand members of the Farmers’ Union, to say nothing of the hundreds of thousands of other producers and consumers brought together by this scientific method of marketing. EflEicient manage ment will be secured in all the dit- ferent branches of the business and all details will be carefully worked out. pphis warehouse company will also import, store and distribute fertilizers and fertilizer materials, fsrm implements and farm ma chinery, selling direct to the farm ers. .^The officials of the Farmers’ Union are now considering proposi tions from' various cities for the location of the central warehouse or warehouses, as more than one will probably be built. \ a Fraternally, 'H. Q. ALEXANDER. Jan. 22nd, 1912. THIS FARMERS UNION Is made of bright nickeled metal with emblem of the Farmers Union cut into the i metal, Very stylish, and good enough for anybody to wear. Price, by mail, 30 cents. One dozen, by mail, $3.00. Write for price list of Seals, Minute and Receipt Books, Ballot Boxes, Initiation Trees, Trade Cards, Farmers Union Badges, Etc. Union Supply Co. M.\RSHVILLE, ». C. The Union National Bank Charlotte, N. C. CAPITAL 1x00,000 ( T. W. WADE, President \ F. B. McDowell, Viee-Preoident I H. M. Victor Cashier J We cordially invite business and offer every cour tesy and accommodation consistent with safe bankui^' We particularly invite the accounts of Fanners. Respectfully, H. M. VICTOR, Cashier
The Carolina Union Farmer (Charlotte, N.C.)
Standardized title groups preceding, succeeding, and alternate titles together.
Jan. 25, 1912, edition 1
6
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