234 AGRICULTURAL DISCONTENT 



As a result of the organized drive in the Northwest, the year 1927 saw 

 the establishment of a North Dakota Farmers' Union, which claimed a 

 paid-up membership of over 8,000, and also a slight membership gain 

 in Minnesota. Further Union accomplishments included the growth in 

 patronage of the livestock department in South St. Paul; the creation of 

 a life insurance company and a property insurance company in North 

 Dakota; and finally, the organization of the Farmers' Union Exchange, 

 Inc., functioning in a small way but growing nonetheless. 32 



An even greater increase in Union activities took place in 1928. A 

 training school for organizers was established, and five field organizers, 

 together with more than fifty local organizers, were put to work. Mem- 

 bership during the year was placed at 20,505. The livestock department 

 had a force of ten organizers who worked systematically to build up and 

 consolidate the membership about shipping points and to form the mem- 

 bers into livestock-shipping associations. The grain department had five 

 men in the field capable of arranging local meetings. By November, 1928, 

 Minnesota had enrolled 2,796 members and Wisconsin, exclusive of the 

 secessionists, had 1,735. Four organizers were put to work in the latter 

 state to overcome the effects of factionalism. The future of the Union 

 in Wisconsin appeared to depend largely on the ability of the Farmers* 

 Union Central Exchange to cater to the dairy producers, who were well 

 organized on the marketing side but totally unorganized in purchasing. 33 



The Union, in the course of its expensive organizing activities in the 

 Northwest, incurred an unspecified deficit. This prompted the recom- 

 mendation that the earnings of the Northwest business organizations be 

 used to finance organizational work rather than to pay the customary 

 patronage dividends. According to the Farmers' Union Herald, "Our 

 members clearly understand this policy and warmly approve it, realizing 

 that the end aimed at in cooperative buying and selling is conditioned on 

 large scale organization. By no other means will we ever be able to acquire 

 bargaining power either in the marketing of products or die purchase of 

 commodities used on the farm." Much criticism was leveled at the North- 

 west Committee for this policy, but the Farmers' Union Herald in defense 

 simply inquired how else a farm organization might be built. 34 



32. Farmers' Union Herald, November, 1928. 



33. Ibid. 34. Ibid., November, 1928; February 17, 1930. 



