— 42 — 



method, for the reason that both the buying and selling can be done by 

 this method at the least possible cost to both parties. The present 

 ruinously low prices of dried fruit render its adoption an urgent neces- 

 sity. It is not only by far the cheapest, but one that secures to the 

 seller the highest price the buyer will pay. No seller can obtain more. 

 For the benefit of those who may not be familiar with this method, 

 permit me to very briefly, and as far so I may be able, clearly explain it. 



As the Producers' Exchange, at Elgin, Illinois, known as the Elgin 

 Board of Trade, is not only a very simple organization, but also the 

 most successful one of which I have any knowledge, I will therefore 

 refer to it in exemplifying this method. 



In the room where this Exchange's sales are made is a large black- 

 board divided into columns. In the proper column, opposite the name 

 of each factory, is written the quantity, quality, and the selling price, 

 if it is given, if it is not given the letters "op" are written instead. The 

 letters "op" mean it is optional with the factory whether the bid is or 

 is not accepted. Sales occur weekly and occupy one hour. The sales 

 are all f. o. b. net spot cash. The seller's responsibility ends when he 

 puts the goods sold on board the cars. Nothing is consigned. There is 

 no storeage, insurance, or commission paid on products sold by the Ex- 

 change. The Secretary does the selling and makes a record of the sale. 

 The following will further illustrate the matter: 



Blackboard— Advertising Space. 



Offered by Fac- 

 tory- 



Quantity 

 of Butter- 

 Tubs. 



Quality. 



Asks. 



Bid. 



Sold to— 



Genoa 



Cobb 



Woodstock . 

 South Elgin 



Concord 



Hanover ._ . 

 Elkhorn 



25 

 25 

 40 

 60 

 30 

 25 

 28 



Al 

 Al 

 Al 

 Al 

 Al 

 Al 

 Al 



28 cts. 



op. 



op. 

 28 cts. 

 ^58 cts. 



op. 

 28 cts. 



28 cts. 



28 cts. 

 21% cts. 

 27 % cts. 



28 cts. 



28 cts. 



28 cts. 



E. L. Newberry, Chicago. 



...W. E. Lawrance, Chicago. 

 ...J. D. Stockton, New York. 



- - S. R. Udell, Boston. 



. S. Sands, Cincinnati, Ohio. 

 __W. D. Stover, Indianapolis. 

 L. Wood & Co., San Francisco. 



If the seller accepts the price bid his product is checked off; if not, it 

 remains there to be sold at a subsequent sale. If the buyer is not pres- 

 ent, he is usually represented by his broker, and the sellers are gener- 

 ally present or are represented by the Secretary, or some one else. The 

 buyers pay their brokers J cent per pound for their services. 



The Exchange expenses are equally borne by the equally benefited 

 parties; namely, the buyers, sellers, and other members. In this 

 Exchange about two thirds of its members are producers. Each pays 

 $2 annual dues. There are but two salaried officers in the Exchange; 

 namely, the Secretary and Sergeant-at-Arms. The former receives $250 

 a year for his services in making and recording the weekly sales, and 

 the latter $25 a year. The principal portion of the Secretary's salary is 

 paid by a large number of newspapers for reports of the Exchange's 

 weekly sales. For these weekly reports each paper pays him $1. 



•The cost of conducting this Exchange, at least to the buyers and 

 sellers, is next to nothing. For example, during the year 1892 its 

 membership was 278. Each member paid $2 annual dues, making in 

 the aggregate $556. The entire running expenses were paid out of this 



