£70 RURAL MICHIGAN 



ing-hoiise and siding with a capacity of fourteen 

 cars and situated adjacent to a vessel dock. The 

 Excliange also operates its own cider and vinegar 

 plant to which low-grade apples are sent. A contract 

 has been entered into with a cannery for the utiliza- 

 tion of low-grade peaches. Stock at par is $100 a 

 share and a neAv member pays an additional premium 

 of $50. This premium is for good will, increased 

 value of buildings and equipment, and the like. 

 Partial payments for stock and premium are per- 

 mitted. Each member signs a crop contract agree- 

 ing to deliver at the Exchange peaches, pears, 

 quinces, apples, at "tree-run/' which are there sorted, 

 packed and shipped, or made into vinegar as market 

 condition and quality require. Net returns are paid 

 to growers, after cost of handling and 5 per cent sell- 

 ing charges. Profits are returned to growers on 

 basis of fruit delivered to the Exchange. Growers, 

 on delivery of fruit, are provided with a receipt and 

 later a card showing the grading thereof. Finally 

 comes a statement of net returns. Growers may draw 

 money on account as soon as they begin delivering. 

 The Exchange has a storage with a capacity of 5,000 

 barrels. It handles feeds, fertilizers, spray materials, 

 flour, and whatever can be purchased in quantity to 

 advantage. The Exchange owns 30^000 crates for 

 fruit. The longest distance any member hauls to 

 the Exchange is fourteen miles, the average being 

 three to four miles. ^ 



' Ftatoment of James Nicol, President of the South Haven 

 Fruit Excliange. 



