A Ouarter Million 

 Dollars More for Wool 



Had All Illinois Wool Grow- 

 ers Sold Co-operatively Last 

 Year Thai's How Much More 

 They Would Have Got 



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f 



ILLINOIS farmers who marketed 

 their wool cooperatively through 

 the Illinois Livestock Marketing As- 

 sociation in 1935 received an average 

 of 5.48c or about 25 per cent more per 

 pound than the average price paid 

 farmers for wool as reported by th" 

 U. S. Department of Agriculture. 



The Illinois Livestock Marketing As- 

 sociation has just completed distri- 

 bution of $43,379.37 to 1,500 consignors 

 in 59 Illinois counties. This sum rep- 

 resents the balance due these growers 

 on their 1935 consignment. The average 

 net price on the 1935 wool handled by 

 the Association was 24.98c per pound. 

 The price on the better class of wool 

 ranged up to 27.78c per pound. The 

 average farm price paid farmers gen- 

 erally throughout the United States 

 during 1935 was only 19*/^c per pound. 

 About half of the total amount dis- 

 tributed in final settlement, or $19,000 

 represents increased returns to wool 

 growers over the amount they would 

 have received had they sold at the av- 

 erage price of ig'/ic prevailing through- 

 out the year. 



Benefited Neighbors 



The co-operators not only helped 

 themselves. They also benefited their 

 neighbors. A higher level of prices in- 

 variably prevails in communities where 

 wool is marketed cooperatively, where 

 the seller is not at the mercy of the 

 average wool buyer. 



During 1935 in counties where wool 

 was being marketed cooperatively, 

 wholesale prices ranged from 2c to 5c 

 per pound higher than in areas where 

 there was no wool marketing program. 

 Illinois produces annually about 5,- 

 000,000 pounds of wool. Every cent per 

 pound which can be added to the price 

 our Illinois farmers receive for this 

 crop means $50,000 more income — 2 

 cents per pound means $100,000 more 

 income and 5c per pound means (which 

 was the increase farmers received in 

 1935), a quarter of a million dollars if 

 applied to the entire Illinois crop. 



These figures give som? indication 

 of the possibilities Illinois farmers are 

 overlooking by not marketing their 

 wool and other farm products co-oper- 

 atively. 



Last year the wool assembled in 59 

 counties was shipped to Indianapolis 

 where it was warehoused. After being 

 graded it was sold by the National Wool 



1* 



Marketing Corporation, Boston, the co- 

 operative representing collectively the 

 interests of wool growers throughout 

 the United States. The Illinois wool 

 grower, whether he produces 100 

 pounds, 1000 pounds, or 10,000 pounds, 

 has at his disposal a complete mar- 

 keting machine running from his own 

 farm to the nation's wool market at 

 Boston where he is represented by the 

 nation's largest wool marketing con- 

 cern. 



Each Lot Graded 



Each grower who consigns his wool 

 is given a grading report showing the 

 different types and grades of wool in- 

 cluded in his consignment, and the 

 price realized on each grade. Under 

 the old system, wool is usually pur- 

 chased at a flat price. The man with 

 good wool may be underpaid while the 

 man with poor wool is given more than 

 is justified. Under the cooperative plan 

 each man is paid according to the 

 grade he produces and delivers. 



In the account sale rendered growers" 

 actual expenses are set out. In 1935 

 these expenses were as follows: 

 Freight and Trucking (average 



for state) 1.37c per lb. 



National Wool Marketing 



Corp 1.1 c per lb. 



Grading and Warehousing 1.25c per lb. 

 State and Local Expense . . 1.5 c per lb. 



Average Total Expense 5.22c per lb. 



Growers who market their wool co- 

 operatively sometimes complain about 

 the expense involved in this method. As 

 a matter of fact the actual expense in- 

 volved in marketing is less than it is 

 under the old system. But under the 

 old system expenses are not itemized 

 for the information of the grower. No 

 matter how the wool is handled it must 

 be warehoused somewhere. Transpor- 

 tation charges must be paid. Selling 

 commissions are involved. Margins 

 charged by local buyers and other 

 dealers are invariably generous under 

 the old system. From 5c to 10c per 

 pound depending upon how much the 

 tariff wUl bear is not unusual. 



Over several years it has cost be- 

 tween 5c and SVzc to pay all expenses 

 involved in marketing wool cooper- 

 atively in Illinois. This is about half 

 the usual expense involved in market- 

 ing under the old system. 



Plans are already under -way for 

 handling 1936 wool. County Farm Bu- 

 reaus have been asked to name a ^\'ool 



(Continued on page 21) 



HE HAD MORE WOOL 



C. B. Oswald, manager, Tazewell Wool Market'ng, left, is handing a check for $39.75 to C. W. 

 Aclterman, and one for $111.93 to Paschal AlUn in final settlement of 1935 wool. Tazewell 

 led the state in volume of wool marketed co-operatively with 27,473 lbs. It paid to tell co- 

 operatively last year and wait for the final check. 



I. A. A. RECORD 



