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DEAN H. W. MUlfPOaD. 

 COLLEGE OF ACRICULTUHE, 

 UNIVERSITY OF ILLWOIS, 

 UEBASA. ILLWOIS. IO-H.L-7-aa 



IIlinoisAgriculturaJAssodalion 



Volume 1 



July 16, 1923 



Number 9 



does It 

 Just ex- 



:hancel-' 



NEWU.$. GRAIN GROWERS, INC., PLAN ADOPTED 



Held 



met at 



Urbana, 

 meeting. 

 Iviser of 



at tbe 

 t of the 

 rs. 



with an 

 arketing 

 al Expe- 

 ! Mack- 



Wiscon- 

 vantages 

 ion and 



aim in 

 to malie 

 ies and 

 Jons of 



FORM PRODUCERS 

 "CO-OP" TO RHAIL 

 MILKAT^DECATUR 



I. A. A. Advises Organization 



After Finding Conditions 



Favorable 



of the 

 bandry 

 id ani- 

 le lab- 

 be ad- 

 results 

 .1 talks 

 ers of 

 faculty 



Is' club 

 D June 

 rom a 

 embled 

 iit the 

 he va- 

 [^ollege 



r5 



1th 



irket 



pervis- 

 control 

 ms op- 

 . Paul 

 D fined 

 .St two 

 of the 

 books 

 t was 



Formation of the Producers 

 Co-operative Dairy Association, 

 capitaliKed at $40,000, took 

 place at Decatur, July 2. About 

 250 milk producers supplying 

 milk" to that city will be mem- 

 bers of the new ''co-op," which 

 was formed by the Macon 

 County Farm Bureau in co-op- 

 eration with the I. A. A. Dairy 

 Marketing Department. 



Dissatisfaction with the pres- 

 ent milk distribution system of 

 the city led up to the organiza- 

 tion. Producers have lately 

 been getting only three cents 

 per quart for milk which has 

 been retailing for 12 cents. The 

 new company will strive to se- 

 cure a higher price for the pro- 

 ducer and at the same time 

 greatly better the quality of the 

 product for the consumer. 



An organization committee of 

 nine with L. E. Bear as chair- 

 man, was appointed to act as a 

 board of directors until organ- 

 ization is completed. They will 

 form a stock sales committee. 

 Shares of stock will be sold at 

 a par value of tlOO each. 



Before advising organization, 

 the Dairy Marketing Department 

 conducted a business survey of 

 the retail miik^situation of De- 

 catur and found that conditions 

 were favorable for a producers 

 company to sell market milk, 

 providing it is efficiently capital- 

 ized and properly managed. 



Judging from the enthusiasm 

 manifested by the milk produc- 

 ers, the latest addition to the 

 1. A. A. family of dairy "co-ops" 

 shows every promise of success. 



Pen Which Signed 

 Co-operative Act 

 Presented to I. A. A. 



At the July meeting of the Ex- 

 ecutive Committee, President S. 

 H. Thompson presented the pen 

 with whfch Governor Small signed 

 the Co-operative Marketing Act, 

 to the committee with the recom- 

 mendation that it be preserved as 

 one of the valued possessions of 

 the association. It is planned to 

 place the pen in a glass case and 

 to hang it on the walls of the I. 

 [A. A. offle*. 



Red Top Growers 

 First to Apply Under 

 New "Co-op" Law 



Only the fact that there were 

 no application blanks available 

 at the office of the Secretary of 

 State prevented the Red Top 

 Growers' Warehouse Association 

 from filing its application to re- 

 organize under tbe provisions of 

 the new ■ Illinois Co-operative 

 Marketing Law which went into 

 effect July 1. This subsidiary 

 of the Egyptian Seed Growers 

 Exchange was the first to apply 

 under the act. The Exchange 

 had made plans to apply im- 

 mediately after its annual meet- 

 ing, July 10. 



MANY COUNTIES TO 

 REORGANIZE THIS 

 SUMMER AND FAIL 



Many Illinois counties will 

 stage membership reorganization 

 campaigns within tbe next few 

 weeks to renew the three-year 

 membership contracts. Most of 

 the campaigns are in the south- 

 ern part of the state. 



Only one school of Instruction 

 will be held in July, that of Jack- 

 son county on July 31. 



In August the following 

 schools are scheduled by the I. 

 A. A. Organization department: 

 August 7, Franklin county; Au- 

 gust 8, Pulaski county: August 

 9, Edwards county; August 14," 

 Greene county; August 15, St. 

 Clair county. 



In September, Piatt county has 

 its school planned for the fourth, 

 followed by Bond, Sept. 12; Jo 

 Daviess, Sept. 13; Scott, Sept. 

 IS; Henderson, Sept. 18; and 

 Richland, Sept. 25. 



Johnson county will hold its 

 school October 9, tE"e only one 

 thus far scheduled for October. 



Chicago Producers Vote 

 Thirty Per Cent Refund 



The Board of Directors of thp 

 Chicago Producers Commission 

 Association has voted to refund 

 to its shipper members 30 per 

 cent of all commissions paid in 

 during the year which closed 

 June 30. The refund amounts 

 to approximately $70,000. 



It will be remembered that 

 the success of tbe company led 

 to an announcement early last 

 February that cash membership 

 fees would be dispensed with. 

 A total of 110.176.06 was re- 

 turned to shippers shortly after 

 that date. - 



During its first year of oper- 

 ation, the Chicago Producers 

 handled 11,742 car loads of live 

 stock which sold for a total of 

 »19, 828.033. 54. 



Starting with a manager, two 

 cattle salesman, three hog sales- 

 men, a cashier and small office 

 force, the farmers' concern has 

 expanded with growth of the 

 business until the office now has 



FundamenUJ Principles of Marketing 



IT COSTS MORE— 



A — To tell at lono distances thaiL^at short. -^ v. '.. ; 



B — To sell unstandard than standard products. ... 



C — To sell perishable than unperlshable. '■!••■■■ ~-- 



D — To sell small quantities than large quantities. 



E — To sell many varieties than few varieties. 



F — To sell products with a seasonable demand than with an 



unseasonable demand. 

 G — To sell products not widely known than those widely 



known. 



Hon. Sydney Anderson, 

 I. A. A. Picnic. 

 June 29th, 1923. 



three cattle salesman, three hag 

 salesman, one sheep salesman 

 and also a well trained oCqce 

 and yard force. 



The Chicago Producers tojok 

 the lead in number of hogs hi n 

 died among commission firms 

 that market early in July, 19l2, 

 and has held the lead nea ly 

 tvery week since then. At pr w- 

 ent t)etween 12 and 15 per c<nt 

 of bog receipts in Chicago go 

 the Producers. An average 

 ahout 6 per cent of the total live 

 stock receipts is handled by tbe 

 "co-op." 



Producers Will 

 Open Agency at 

 Pittsburgh, Pa. 



Live stock producers tributary 

 to the Pittsbt^gh market recefat- 

 ly held a meeting which resulled 

 in tbe decison to establish an 

 agency of the National Produc ^rs 

 Commission Associatioa at tlat 

 market. Committees were choten 

 to arrange details of establinh- 

 ment. Harry G. Beale, Mt. Stir- 

 ling, O., heads the new "co-oii." 



The Producers opened an 

 agency at Oklahoma City on^Jiily 

 2. Dan Gaumnitz, St. Pa|il, 

 Minn., wsts employed as man 

 ager and hog salesman of ijhe 

 Oklahoma company. 



C. C. Bums, for three years fd- 

 viBor In Jo Daviess county, Will 

 succeed C. H. Oathout as fatm 

 adviser of Champaign county, nn 

 Sept. 1. Mr. Oathout recently l-e- 

 signed after 10 years aervlce 

 tbe c<HM>t7. !f; - 



li , I -I 



MID-WEST CHIEFS 

 APPROVE; REQUEST 

 MARKETING POLICY 



Direct Funding of Debts and 

 Setting Up of Sales Agen- 

 cies at Terminals 



(On Page Two of this issue will 

 be found the complete report of 

 the U. S. Grain Growers, Inc.) 



At a mectii^ of l^presenta- 

 tivcs of the ftirm bureau fed^ 

 orations of Illinois; Ohio, Indi- 

 ana, Michi^o, Iowa, Minne- 

 sota, Missouri, Nebraska, Kan- 

 sas and North Dakota, compos- 

 ing the Mid-West p^e8ident« 

 and secretaries, a new" plan for 

 the future oounse of action of 

 the r. S. Grain Growers, Inc., 

 was adopted. 



The plan provides for the 

 funding of debts by the U. S. 

 Gi'ain Growers, tac, and tbe set- 

 ting up of sales agencies in the 

 various {erminal markets under 

 the Capper-Tiacher act. The 

 American Farm Bureau Federa- 

 tion will formulate a national 

 grain marketing policy based on 

 organization of producers by 

 states, with long-term contracts, 

 pooling by gradec on the basis of 

 milling values," corn to be han- 

 dled separately. 



The following is the resolution 

 adopted unanimously: 



"Resolved by this meetlnir of 

 President and Sacretaries 6f Mid- 

 west Farm Hureaufl in session at 

 Chicago. July 3. UZS: 



"1. That the Arserican Farm Bu- 

 reau Pederatiaffi tK- ref|ue«tod 

 through its Co-operative Market- 

 ini? Pepartmenl, to formulate a 

 national grain marketing policy, 

 based on organ itation of producers 

 by states. with ionp-term con- 

 tracts, pool Ins by E.iOc. v., I barlk 

 of milling valu^ corn to be dealt 

 with separately and that appropri- 

 ate action be taken to conduct or- 

 eanization caminlgns. In the sev- 

 eral grain growing states' in the 

 order of their readiness to begln^ 

 suci) work. 



"2. That we request the Execu- 

 tive Committee of Jhe V. S. (.rain 

 Crowers to co-Ojperate with th* 

 American Farm Bureau Federation 

 in carrying out thi program out- 

 lined above. 



"3. That pendiSK the organization 

 of state <-o-oper4tlve grain marltet- 

 ing: organiration^ as above, we ap- 

 prove the plan ojf the Board of tfi- 

 recnors of the Vl S. 'irain firowefa. 

 Inc., to engage In grain selling on 

 the plan submitljfrd to us today, tbe 

 same fto be merged into or sup- 

 planteu by the lorganlEationa con- 

 templated in pat^graph 1 hereof at 

 such time as the latter are ready !• 

 begin operationsj" 



The above resolution was ap- 

 proved by the J. A. A. Exerutive 

 Committee in its meeting on July 

 6. 



The Supreme Court of Texaa 

 recently sustained the co-opera- 

 tive cotton market contract in aU 

 its parttcnlars. '' 



