130 AGRICULTURE OF MAINE. 



The most of the exchanges, however, did not retain the profit 

 of $1.00 and the stockholders secured their goods at only 

 $1.00 advance over cost. The Aroostook County Potato Asso- 

 ciation of Presque Isle was the first to enter the business of 

 furnishing fertilizer and the prices secured by this association 

 ena'bled them to make a cut of $2.00 per ton under the cash 

 price charged by the regular companies. This cut was met by 

 all the manufacturers doing business in the county, resulting 

 in a saving of $120,000.00 to the farmers of Aroostook. This 

 was during the season of 1912. In 1913 the Farmers Union 

 of Maine was operating in almost every producing center in the 

 state and this caused the companies to cut prices covering the 

 whole state and, as it is estimated that 130,000 tons are used in 

 the state, this saved the farmers $260,000.00. 



While the operations of the farmers' organizations have very 

 materially reduced the price of fertilizer, owing to the small 

 contract made the lowest price has not yet been secured, but in 

 time the saving along the lines of fertilizer will many times 

 pay all the expense of organizing. While the exact figures are 

 not available at this time it is estimated that out of the 130,000 

 tons of fertilizer consumed in the state, at least 100,000 tons 

 have been and are being bought on what is termed December 

 payment. The farmers who buy in this way have been paying 

 an enormous interest for the use of the money. For example, 

 the price of a 4-6-10 on December payment has in the past five 

 years been $38.50. Any time during the five years had the 

 farmers been organized this grade of fertilizer could have been 

 purchased for $32.50, leaving a profit of $2.00 to go into the 

 funds of the association. The difiference between $32.50 and 

 $38.50 is $6.00. This is $6.00 for the use of $32.50 for six 

 months. For one year the cost would be $12.00 and, as $32.50 is 

 about one-third of $100.00, the rate of interest is 36 per cent. 

 With this evidence before them it would appear that the farm- 

 ers would purchase all their supplies through their association. 

 This, however, was not the case, for the farmers had not the 

 available cash and their associations did not have sufficient 

 capital to furnish the goods on time. Figuring from a basis of 

 130,000 tons at $6.00 per ton over the cash price charged by the 

 farmers' organizations, then the farmers paid out in interest 

 money the grand total of $780,000.00. This money practically 



