MR. FARM BUREAU MEMBER, HERE'S 



YOUR GRAIN MARKETING 



PL 



ILLINOIS Farm Bureau members 

 have taken steps to follow their 

 grain on its way to market all the 

 way from the farm to the proces- 

 sors who prepare it for human 

 consumption. Their state organi- 

 zation, the Illinois Agricultural Asso- 

 ciation, with the approval of county 

 Farm Bureaus, particularly those in the 

 cash grain producing area, has set up 

 Illinois Grain Terminals Company to 

 enter the grain merchandising business. 



The new company will merchandise 

 grain, that is, it will purchase grain at 

 the terminal markets that has reached 

 the terminal markets through county 

 grain companies, county service com- 

 panies that are engaged in the grain 

 and feed business, local elevators which 

 have memberships in Illinois Grain 

 Corporation, another state-wide aflfili- 

 ate of the Illinois Agricultural Associa- 

 tion, and the several river operating 

 companies that have been organized in 

 the past several years. 



In order to merchandise grain at the 

 terminal markets it will be necessary 

 for the Illinois Grain Terminals Com- 

 pany to acquire facilities at the termi- 

 nal markets, particularly, Chicago, 

 East St. Louis and Peoria. 



Terminal facilities are already avail- 

 able at Indianapolis and Evansville, 

 Ind., Louisville, Ky., and Decatur, Ala. 

 These facilities are owned and operated 

 by Indiana Grain Cooperative, a co- 

 operative organization sponsored by 

 the Indiana Farm Bureau. 



Indiana Grain Cooperative, Inc., has 

 reciprocal membership agreements with 

 the Illinois Grain Corporation and the 

 savings realized by the merchandising 

 operations of the Indiana concern flow 

 back to Illinois grain producers 

 through Illinois Grain Corporation and 

 the county-wide local Farm Bureau 

 companies at the county level. 



The merchandising operations of the 

 new Illinois Grain Terminals Company 

 will follow closely those of the Indiana 

 neighbor. These operations include 

 purchasing, storing, conditioning and 



reselling the grain after it reaches the 

 terminal market. 



The farmer with surplus grain to 

 sell hauls his grain to his nearest fa- 

 cility owned by and operated by a local 

 or county-wide company sponsored by 

 the local Farm Bureau. 



The grain is then sold through Illi- 

 nois Grain Corporation, a commission 

 and brokerage agency, operating on 

 the principal terminal markets at Chi- 

 cago, St. Louis and Peoria. It also has 

 branch offices at Mendota, Blooming- 

 ton, Champaign and Jacksonville. 



Illinois Grain Corporation will sell 

 this grain to Illinois Grain Terminals 

 Company. Illinois Grain Corporation, 

 however, will not be able to sell all of 

 the grain that is offered to it to Illinois 

 Grain Terminals Company but will 

 find other markets for grain offered it. 

 Only the grain that is sold to Illinois 

 Grain Terminals Company or the In- 

 diana Farm Bureau Cooperative will 

 remain in cooperative channels. 



In the merchandising process there 

 are net savings on all of the operations 

 that take place in the handling of the 

 product. Through Illinois Grain Ter- 

 minals Company these net savings will 

 accrue to the benefit of the producers 

 and it is from these net savings that 

 patronage refunds will be made avail- 

 able to the producer. 



Patronage refunds will be paid back 

 to Illinois Grain Corporation where 

 they will be added to the net savings 

 that will accrue from the commission 

 and brokerage business and from the 

 net savings that have been realized 

 from Indiana Grain Cooperative. The 

 combined net savings, therefore, will 

 be paid back through the county or 

 local grain companies and they, in 

 turn, will pay them to the producers 

 based on the volume of business han- 

 dled. 



Illinois Grain Terminals Company 

 will have as its members Illinois Grain 

 Corporation, the several river grain 

 companies operating on the Illinois 



and Mississippi rivers, county grain 

 companies that have been organized by 

 county Farm Bureaus, county service 

 companies that are engaged in the 

 grain and feed business and the Farm 

 Bureau-type elevator companies of lo- 

 cal elevator companies that reorganized 

 and function on the same basis as the 

 county grain companies and the county 

 service companies. 



In these local elevator companies, 

 patronage refunds will be limited to 

 Farm Bureau members and to non- 

 Farm Bureau members who are com- 

 mon stockholders at the time the local 

 company reorganized. 



The state-wide grain marketing pat- 

 tern as adopted by the county Farm 

 Bureaus, the Illinois Agricultural Asso- 

 ciation, Illinois Grain Terminals Com- 

 pany and Illinois Grain Corporation, 

 is already shaping up and looking for- 

 ward to a state-wide coverage of coop- 

 erative grain marketing services under 

 Farm Bureau sponsorship. 



The program will be complete when 

 any Farm Bureau member in the state 

 who has surplus grain or soybeans for 

 sale lives close enough to a facility 

 owned and operated by a Farm Bureau 

 sponsored company so that he can mar- 

 ket his grain or soybeans through that 

 facility if he so desires. When the 

 time comes when every Farm Bureau 

 member in the state lives close enough 

 to such a facility, the grain marketing 

 problem becomes one of efficient serv- 

 ice. 



County-wide grain companies have 

 been organized by the county Farm Bu- 

 reaus in the following counties: Lee, 

 Bureau, Grundy, Livingston, Ford, 

 Peoria, Tazewell, Mason, Henderson, 

 Warren, Hancock, McDonough, Ma- 

 coupin, Champaign, and Moultrie. 



Other county Farm Bureaus are al- 

 ready seeing the need for reorganiza- 

 tion of county-wide companies. 



County-wide grain companies that 

 now own facilities are as follows: Lee, 

 Grundy, Livingston, Mason, Hancock, 



McDonouj 

 and Mouli 

 County 

 operate g 

 the follow 

 Knox, Mo 

 hn. 



In four 



Monroe, a 



companies 



and becon 



organizatio 



one or mo 



In La S 



local eleva 



become Fi 



ganizations 



Lenzburg : 



Regional 



ganized on 



rivers. W 



pany was c 



has been o] 



at Dallas ( 



ates three 



Other r( 



developed 



date. 



The secc 

 ect to get 

 River Graii 

 serves an 

 seven couni 

 McDonoug 

 and Logan 

 has been o| 

 It has const 

 elevator ar 

 20,000 bus 

 quired fror 

 vator Com 

 with shelli 

 completion 

 project. 



The Hav 

 was orjgani; 

 developmen 

 of the In 

 Much of th( 

 from Havar 

 the Mississi 

 the Tenness 

 {Co 



L A. A. RECORD 



OCTOBER. 



