16 BULLETIN 458, U. S. DEPARTMENT OF AGRICULTURE. 
broker’s commission, freight to the ports, compressing, and other 
compress charges, and all other local charges to which the cotton 
is subject, plus the commission or profit to the original buyer. It 
is understood, of course, that the buyer purchases the cotton at such 
a price as will insure a profit on the transaction in the event of any 
change in the market before he in turn can sell to the broker or 
direct to the mill, as the circumstances warrant. 
The Imperial Valley Long-Staple Cotton Growers’ Association 
sold some of its cotton through these buyers, who also handled all 
of the cotton produced by growers in the valley who did not belong 
to the growers’ association. 
DIRECT MARKETING BY THE GROWERS’ ASSOCIATION. 
In marketing its Durango cotton independently, the growers’ asso- 
ciation had samples drawn from both sides of each bale of cotton as 
previously described, and coupons from the tags on the bales were 
placed in the samples. The samples were then sent to the office of 
the growers’ association, where they were laid out on the tables to be 
graded and stapled. Cotton of similar grade and even lengths of 
staple was classed into lots of 50 bales each. A designating mark of 
four letters was placed on the wrapper covering the samples and the 
tag list was entered in the type book, with all information concerning 
the cotton, including grade, staple, ownership, and the type to which 
the lot was equal. 
The samples were then sent to the prospective purchasers known 
by the association to be in the market for such cotton. On the 
arrival of the samples at the cotton mills, their classer examined them 
and if, in his judgment, the cotton represented by the samples sub- 
mitted was suitable for their requirements they asked for a firm 
offer. Upon receipt of the offer, if the price was considered reason- 
able by the mill treasurer, he accepted it or made a counter offer of 
a price which he considered as the market value of the cotton, or its 
value to his mill. These transactions were all carried on by telegraph, 
for, according to the custom of the trade, firm offers hold good only 
for the day, unless otherwise stated. For instance, the owner, whether 
he is the buyer, broker, or representative of the association, will 
usually offer cotton under the following terms: “ We offer firm, NEL 
50 bales, Mrxe 50 bales, at 20 cents f. o. b., and freight to mill.” 
Limitation may be placed on an offer in many ways. 
The marketing of staple cotton at full price is a difficult matter. 
It rests first on the ability of the classer to make up lots of 50 bales 
each of similar grade and equal length of staple. Then it is neces- 
sary to offer the cotton so as to secure the full market price, yet at 
the same time the final purchaser, the mill treasurer, must feel that 
