16 BULLETIN 476, U. S. DEPARTMENT OF AGRICULTURE. 
instructions that offers be submitted to him before the sale was made. 
The broker called him on the telephone late one afternoon, after all 
exchanges had closed, and advised that he was offered 7% cents a 
pound for the lot. The farmer told the broker that he knew the lot 
would run a few points on Middling and that as the market was 
quoting Middling at 8 cents he felt that he should at least receive that 
_ price. The next morning the farmer received a check covering the 
sale of the cotton at 8 cents. Thus a difference of about $1.88 per 
bale, or $85 for the lot, was obtained which undoubtedly would have 
been lost to this farmer if he had not been informed as to the class 
of his cotton. 
COMPARISON OF SMALL AND LARGE LOT SALES. 
A study of all comparable large and small lot sales shows that the 
producers who sold in large lots secured higher prices than the pro- 
ducers who sold only one or two bales at a time. For the season of 
1914-15 a comparison of prices received for lots containing 10 or 
more bales with the average price received for single bales of the - 
same grades sold on the same date shows an average difference in 
favor of the larger lots of 29 points, or $1.45 per bale. Sixteen large 
lots, comprising 867 bales, were used in this comparison, the lots 
ranging from 10 to 168 bales. 
For the 1915-16 season a comparison of lots ranging from 20 to 
159 bales showed a difference of 173 points, or $0.85, per bale for the 
larger lots. The data compiled showed that there was no appreciable 
difference in prices between the sale of 20-bale lots and those contain- 
ing 50 or more. | 3 . 
There seem to be two principal reasons for the increased price 
which large lots usually bring, one being the natural tendency of the 
buyer to grade the large lot carefully and buy it at a smaller profit per 
bale than he would the single bales, and the other being the induce- 
ment to the large producer, if he did not receive an offer in keeping 
with his grades, to ship his cotton to a point where he could obtain 
competitive offers. Such an opportunity is not usually open to the 
man with one or two bales. 
It appears conclusive, therefore, that there is a material advantage 
in selling in reasonably large lots. This fact should be borne in mind 
by cotton producers, as an increased price generally can be secured 
without serious inconvenience to individuals. Cooperative selling 
organizations will best meet this need and are recommended. How- 
ever, farmers who are unable to perfect organizations of this char- 
acter in their neighborhood can undoubtedly secure higher prices 
merely by selling together. . 
