17 
thing which the farmer has bought has been obtained from retail- 
ers and at retail prices. Co-operative associations among tarmers 
have already shown, however, that the farmer by combining can 
purchase those materials which he has to have upon the farm, at 
wholesale prices, and by taking in his own hands the means of dis- 
tributing his products can sell them at retail prices. In other 
words, the profession of farming is thereby put upon a rational 
business basis with the assurance of reasonable profits. The only 
explanation of how the farmer has been able for these many years 
to sell at wholesale and buy at retail prices is to be sought in the 
natural fertility of the soil, which, for a limited time, at least, has 
produced crops without asking any return. As soon, however, 
as it was thoroughly appreciated that to impoverish the soil was a 
suicidal farm policy, and that money and time must be expended 
in maintaining fertility, business methods had to be adopted in or- 
der to avoid inevitable bankruptcy. The principles of business 
methods are essentially the same whatever the business concerned. 
It is obviously necessary to understand as thoroughly as possible 
the market which one seeks to reach, the requirements which must 
be met upon this market, and every method of reducing expense 
from one end of the chain of operations to the other. 
PROPOSED PLAN FOR ENCOURAGING FRUIT GROW- 
ERS AND TRUCK FARMERS. 
We have already attempted to present the attitude of business 
men on the question of how to encourage diversified agriculture 
in a substantial way, and how to put it upon a profitable basis. 
It has been shown that dealers have demand for more agricultural 
products than are now produced in the Islands, and would prefer 
to handle Island products if they were presented in the way the 
dealers wish to have them, and in quantities to satisfy the de- 
mands of the trade. The problem is, therefore, now passed along 
to the producer to do his part toward the improvement of his 
own business. Are we to suppose that the producers will go on in 
the old way, taking such returns as can be secured for the pro- 
duce which they ship at irregular intervals and in carelessly pre- 
pared packages ; will they continue to maintain that there is neith- 
er prospect nor encouragement for growing miscellaneous crops ; 
will it still be contended that co-operation- or mutual association 
of whatever nature, is impossible on account of the sparseness of 
our population and the mixed nature of the races with which we 
have to deal? If this be the case, there is indeed little hope to 
hold out to the small producer. There is little prospect of pre- 
