94 
no one but citrus growers has any influence or authority in 
its policy. The regions in which citrus fruits are grown in 
California are organized into local associations which are 
grouped about a local Exchange, each association having, as 
a rule, one representative in the local Exchange. Each local 
Exchange, in turn, selects* one representative for the central 
Exchange. At present there are fifteen local exchanges and 
nearly seventy associations, all organized cooperatively and 
transacting their business with the fruit consuming public 
through the central Exchange in Los Angeles. This system 
secures a perfect understanding of the demand for citrus 
fruits in various ]:>arts of the country and of the supply on 
hand in all of the different markets. The quantities and kinds 
of citrus fruits which are needed for various cities and towns 
are known by telegraph at the central Exchange and the dis- 
tribution of all fruit is made in accordance with this informa- 
tion. By this means it is easy to avoid overstocking or short- 
age of the citrus fruit market in any given town. The orders 
to supply the demands for the various markets are issued in 
such a way as to relieve most effectively the accumulation of 
fruit which has taken place in any one association. The fruit 
is thus marketed with the least possible loss at the place of 
production, and distributed in the most uniform manner which 
can be devised. All men concerned in the packing and dis- 
tribution of the fruit are growers or on the payroll of the Ex- 
change. Direct representatives of the citrus growers have 
been found to be much more satisfactory in protecting the in- 
terests of the industry than men who work on commission and 
who have other interests. The local associations are kept in- 
formed as to the losses which occur from improper methods 
of packing, and any complaints which may be received at the 
central Exchange regarding the quality or packing of any 
crate of citrus fruits can be at once referred to the individual 
concerned. In this way great improvement has been brought 
about in the grading.of citrus fruits and in the care with which 
they have been packed. The Southern California Emit Ex- 
change has, therefore, found it possible, by means of careful 
business methods and a masterful control of the situation, to 
ship citrus fruit 3000 miles across the continent and market it 
successfully in competition with the Elorida growers, who are 
much nearer the eastern markets. 
Previous to the organization of this Exchange, the growers 
were entirely at the m;ercy of transportation companies and 
were often unable to secure rates and cars for shipping their 
fruits so that even a bare profit could be made. Now the 
strength of the organization has been made apparent, their 
business methods are dignified and satisfactory and their in- 
fluence is such that their requests are considered by all busi- 
ness men with whom they have dealings. 
