Seventy-Thikt) Annual Report 1173 



own five shares or less, and one-tliird of wlioni own from five to 

 one Imudrod sliares. A few who are deepiv interested in the 

 project have taken more than one Imndred shares. The present 

 capital is $25,000. The company did a hnsiness the first year 

 of $27,000 on a paid-in capital of $2,000. The second year it 

 did a hnsiness of $44,000 on a paid-in capital of $3,500. The 

 third year it did a hnsiness of $00,000 on a paid-in capital of 

 $8,500. It now has a capital of $25,000, and is doing hnsiness 

 at the rate of $100,000 per annnm. ]\rost of its new capital 

 has heen nsed in hnvinii; an acre of land at Monnt Kisco, with 

 a railroad siding, and in the erection on this land of its own 

 warehonse and office hnildings, a garage, an apple evaporator 

 and vinegar plant. The apple evaporator and the vinegar plant 

 are related to a piece of constructive work which the association 

 is trying to do for the region in which it operates. The figures 

 as to its business, which I have given, relate entirely to wdiat I 

 may call its supply business. That is to say, to the supplies which 

 it buys for its members, and sells to its members. This is the 

 part of its business in which our experience should be useful to 

 the ordinary cooperative association in a purely agricultural dis- 

 trict, ^o such association, of course, could command the capital 

 which the Bedford Farmers' Cooperative Association can com- 

 m.and. Therefore, precisely what we have done is of little value 

 as an example. But some things we have learned, in doing this, 

 which I think are vitally important to be borne in mind by any 

 association of this kind. We have demonstrated, beyond perad- 

 venture, that such an association can buy much more cheaply 

 than a farmer who cannot l)uy in carload lots. The association 

 can buy some tnings more cheaply even than the farmer who is 

 able to purchase in carload lots ; but this is not true as to every- 

 thing. It may be said, therefore, without fear of successful con- 

 tradiction that, through w^ell-managed cooperation, the small far- 

 mer can get his supplies at least as cheaply as the farmer with 

 large capital. Is not this worth while ? 



Our association began business by cooperation in buying, be- 

 cause it is the easiest form in wdiich to cooperate. We have not 

 yet begun, in any systematic way, to cooperate in selling, because 

 the agricultural production of our region is almost negligible. 



