marketing grain 1 at country pointS; 23 



farmer attempts collection the buyer has disappeared. Often the 

 scoop shoveler may contract to purchase a farmer's grain at a certain 

 figure. If the market declines before delivery is made, the farmer 

 either finds the buyer has gone or that it is impossible for him to take 

 the grain and pay for it. One instance was noted where a scoop shoveler, 

 in contracting for grain from farmers for future delivery, proffered 

 a written contract, which at first glance appeared binding, but further 

 scrutiny disclosed in fine type in one corner these words : " This 

 contract shall not be dated or closed until the above price or better 

 can be paid." This statement meant that unless the price of grain ad- 

 vanced to a profitable point for the buyer before the grain was de- 

 livered the contract was worthless. 



There are many honest scoop shovelers, including not only con- 

 sumers or small dealers who come into producing territory occasion- 

 ally, but also men of limited means who obtain their start in the grain 

 business in this manner. The manager of one of "the largest milling 

 companies in the West at the present time made his entry into the 

 grain business with a scoop shovel. For his own protection, how- 

 ever, the farmer should investigate carefully the responsibility of 

 itinerant purchasing agents before selling his grain to them. 



While the activities of the scoop shoveler occasionally causes 

 marked losses both to regular dealers and to farmers, as well as to 

 country bankers and merchants, at times his restraining influence 

 upon the country dealer can not be denied. In fact, the manager of 

 a line company operating a large number of country houses recently 

 intimated there was little danger of his company ever seeking ex- 

 cessive margins, for whenever this was attempted scoop shovelers 

 would immediately begin buying grain at each of the stations. 



CONTRACTING WITH FARMERS FOR FUTURE DELIVERY. 



It is the common practice of certain elevator managers to bargain 

 with farmers for the future delivery of grain. In the ordinary 

 course of events such bargains are entered into during the harvesting 

 season, but at times an arrangement providing for the future delivery 

 of grain is agreed upon several months before the grain is actually 

 harvested. In one community it is said that two-thirds of the oat 

 crop is disposed of in this manner soon after the seed is sown. 



KINDS OF CONTRACTS. 



There are two forms of contract in common use. The simplest 

 and most common" agreement is one in which the farmer agrees to 

 deliver, on or before a certain date, for a stipulated price, the surplus 

 grain produced upon his farm. This form of contract is sometimes 



