Vol. XV. 7 LINCOLN NEB., FEBRUARY 4, 1904. No. 7.
i . .1 . '
Vti V IX 77 L . t History of a Western In-
S 1 he Lo-Uperanve Movement c vimi
1-
The first attempt at effecting a busi
ness organization of farmers in Kan
sas was on August 7, 1900. A meeting
was held at the National hotel, To
peka, Kas , and considerable enthus
iasm was manifested.
The prevalent idea at that time was
to effect a national organization and
get various states of the union in
terested in pushing forward such an
organization. After" working along
those lines for several months it was
.found that the plan was impractical,
that people would not invest in or
support such an organization.
The grain dealers of the' west had
combined or formed pools at the vari
ous stations. There was no competi--tion
among them for they agreed
""ttpon a division of the grain that
came to the, station on the per cent
plan. Each "dealer getting his pro
portionate profit on the amount of
grpfn handled at the station. This
led up to exorbitant margins which
were exaetad from farmers by the
regular dealers. The grain dealers
being thoroughly organized, they
' joined in a request to the various
railroads, operating in the west, ask
ing them to refuse to furnish cars to
scoop-shovel dealers, which, of course,
included farmers. This concession
was conceded by the railroads.
Then the grain dealers, not being
satisfied with What they had accom
plished, they demanded of commission
men, and all receivers of grain in the
central market as well as . exporters,
that they refuse to handle grain from
parties who were not regular dealers.
They even went so far as to include
those who operated elevators inde
pendently, and who would not comply
with the demands of the trust. This
placed .the trust dealers in a position
to exact margins from the farmers,
limited only by their selfishness.
, Something more practical in the way.
of a farmers' organization became a
"necessity. They could not wait for
the people of the nation to become' in
terested. A conference was held by
those who had taken an interest in
effecting a farmers' organization and
it was decided to hold a state meeting
for the purpose of organizing on bu&i
. ness lines, with a view of securing
" ifcbef.
A meeting ;vas held at Salina, Kas.,
and an - organization was effected on
May 16, 1901. This organization was
known as the Farmers Co-operative
Grain and 'Live Stock association. The
plan adopted embodied the organiza
tion of local co-operative elevator
companies, operated on the indepen
dent plan. Ar.d the central company
referred to above has incorporated
and it was expected that all the local
independent associations were to fed
crate with the central company, and
take stock in the same and transact
their business through the central
company. In the unorganized, chaotic
condition of farmers at that time, it
was the' only plan that would com
mand support.
The co-operative movement among
farmers has been one of continued
growth and advancement. Uy actual
test the independent plan proved to
be inadequate and impractical. It was
soon discovered by the most practi
cal men in the movement that a closer
organization was an absolute neces
sity. It was found thai the jrrain
trust could confuse, divide and prevent
tne locals from consolidating their
business ani prevent the m from asso
ciating together In a way t.iat would
insure succch?.
At the annual meeting of the stock
holders of the Farmers Co-op ;ratlvo
Grain and Live Ktock association It
was decided to adopt the corporation
plan of a line Kyutem of elevator,
adding tn It tho principle of t oper
ation. This plan wan unanimously
adopted by the board of dlrcc'ors of
tlw old Association and unanimously
confirm! t by the U kh!d r in an
nual eon.
The Farmers (Vopora'lve Shipping
Association, now KitceeMuIly oj.rr
t Ins In Kansas. Nebraska and Okla
homa, originated with th larj of
dlrt'ttur of the old haim latlon, and
aa adopt' 1 by th ttot-khoMrrj of
that company, and wn pmtuoM and
established by the authority and di
rection of the stockholders of the old
association in their annual "meeting.
The funds in the treasury of the -"old
association were-directed by the stock
holders to be used in propagating and
establishing the Farmers Co-operative
Shipping association.
The board of directors of the old as
sociation authorized Mr. James Butler,
secretary and manager of the old as
sociation, to proceed with the organi
zation work of establishing the Farm
ers Co-operative Shipping association.
This action was taken at an annual
meeting of the stockholders Decem
ber 2, 1902. While the plan of the old
company was weak and did not ac
complish all that the fanners wanted,
yet it laid the foundation for the com
pany that is now operating so suc
cessfully. It prepared farmers for the
progressive step and took the lead in
establishing the present company. It
was the parent of the present com
pany. Hence it would be unfair and
unjust to say that the old association
wag a failure -for had it not been for
the work of the old association in
propagating and producing the Farm
ers Co-operative Shipping association,
the great work that is being done to
day, would never have been, accom
plished. It should not be forgotten
that the old company furnished the
means to pay the expenses, and did
the work of successfully launching
the new association.
The Farmers Co-operative Shipping
association was chartered on the 28th
day of -May, 1903. This company be
gan- business, operating one elevator
and handled its first grain on the Sth
day of July, 1903. The association has
made a wonderful growth. It owns
and operates 18 elevators, and is build
ing Its 19th. It has local branches at
38 stations in Kansas, Oklahoma and
Nebraska, and many new stations are
preparing to line up with our associa
tion. We haye over 3,000 stockhold
ers in the Farmers Co-operative Ship
ping association, and under the plan
of the company, these stockholders
stand together as one man.
There are many independent local
farmers' associations, which are op
erating on a hap-hazaid, go-as-you-please
plan, trying to put into execu
tion the old states' rights theory,
which has never proven successful
anywhere. They are powerless to stay
the onward march of oppression, of
the heartless gtain trust which levies
tribute and exacts contributions from
the grain growers and wealth proauc
erg of this country. The grain trust
has usurped rights and monopolized
privileges and opportunities which be
long to the farmers and wealth pro
ducers of this country. They appeal
to prejudice and ignorance to defeat
any movement founded upon equity
in the interest of farmers. They .con
sider the products of your farms their
private stock in trade for gambling
purposes. For farmers to co-opeiate
on the same business lines and con
duct their own shipping business,
marketing their own products, through
a corporation, adopting the same busi
ness methods that are followed by
...The Old Guard of Populism...
; No detailed report of the Old Guard
enrollment will be madetbis week.
The number enrolling, together with
the large number of ballots sent In,
made so much work that the report
could not be prepared in time, espe
cially in view of the fact that the
order of filing is being changed from
the alphabetical arrangements of per
sons under each state, to an arrange
ment whereby the counties are given
and making this change has re
quired much work.
I had estimated last week that the
Old Guard of Populism extends into
about one-seventh-of the counties of
the United Stages, but by the time our
next report is made, I believe we can
count on havicg extended the enroll
ment into at least one-sixth of the
counties. An enrollment - blank and
blank ballot will be found on page 15
again this week. Every reader of The
Independent who indorses the work
of the Denver ..conference, who be
lieves that the people's party should
put up a national ticket of its own
and make an Independent, straight
forward fight for it, is invited to fill
these two blanks, cut them out and
mail to the assistant secretary. Send
also a list of ten or more names of
your populist neighbors who might
also enroll In thp Old Guard of Pop
ulism, and a small contribution to
help ' in the matter of postage and
printing.
Of course, no rejiort can be made on
the preferential vote until the polls
are closed February 13 but a casual
Inspection of the ballots ct.mlng In
seems to show two men far In the
lend of all others first and second
choice. These men are Thomas K.
Watson of Georgia, and William V.
Allen of Nebraska. Just which one
will havo the greater number of vrtra
la. of course, unknown now but this
will bo decided Ly those voter who
have ticleited m.e other candidate as
ftrt rhl and cxpre-H.-d a prefer
ence for Wat-crn or Alien as i-'oond
clu)! Thul I? ono advantage of the
preferential ballot-one. I perfectly
nafrt In naming a ooal (avorl'o us first
choice, wH knowing that h cannot
win the nom!n,.tlf.n, bccau when the
ballot are redistributed hi vote will
m for th Ktrong man lotted a sec
ond choice,
A franca at tho showing mad In
u uu if tlii? ititM, after the re-flHng
by counties, will give some idea of
Avhat has been accomplished in the
first seven weeks. This includes no
enrollments since January 23, and is,
of course, much smaller than the
showing to date:
Alabama has 66 counties; 9 con
gressional districts. The Old Guard of
Populism has a start in the 1st, 2nd,
3d, 4th, Cth, and 7th districts, em
bracing the following counties: Cher
okee, Coffee, Dallas, Henry, Houston,
Marshall, Pickens, St. Clair, Washing
ton, and Wilcox.
- Arkansas has 5 counties; 7 con
gressional districts. We reach every
district, and the following counties:
Arkansas, Benton, Craighead, How
ard, Little River, Logan, Nevada,
Pope, Pulaski, . Sevier; Sharp, and
Washington.
California has 57 counties; 8 dis
tricts. We reach the 1st, 2nd. 7th and
8th districts, and the following coun
ties: Los Argeles, Orange, Siski
you, Sonoma, end Tulare.
Colorado, 59 eounties. 2 districts.
Enrollment in both; Archuleta, Den
ver, Phillip3, and Sadgwlck.
Florida, 45 counties, 3 districts. W
reach 1st and ?d; De Soto, Jackson,
and Lee.
Georgia, 137 counties, 11 districts
We are in 2d, 4th, 5th, 7th, 9th; Bar
tow, Berrien, Carroll, Cherokee, Cobb,
Do Kalb, Habersham, Paulding.
Illinois, 102-counties, 25 districts
We reach 11th lCth. 18th, 20th, 231,
21th; Clay. Fayette, Hamilton Marlon,
Peoria. Pike, Hichland, Saline, Scott,
Vermilion and Will. -Indiana.
92 counties, 13 districts;
enrollment in 1st. 2d, oth. 7th, ftlh,
itth, 10th. 11th, lith; Cass. Clay. Da
vies. Delaware, Fountain Giant.
Howard. Knot. Lake, Madhon, Mar
ion. Marshall, Morgan, Porter. Posey,
ana Kuiuvan.
Other states show similarly, I ex
p'vt to have everything closet! up fro a
detailed report can bo mad up to
Ihurfduy, Icbruary 4, ami rath week
thereafter. Tb nddltlo.i thi wctk.
I estimate, will bring up 'he total
regular enrollment to something like
'x-o or a thousand. These will re pre
aeut flosrt on to .. counties, or inor
than one-lxtb of th country. That
lm t so bad for a dead party
CI I A It MM Q. UK FitANOK,
.Vltant Secretary,
Lincoln, Neb.
other successful undertakings, Is con
sidered gross impudence by trust
grain dealers and "they denounce your
transactions as illegitimate trade.
They have tyrannized over you and
exacted tribute trom you. so long, that
it seems to them impudence for you to
attend to your own b'sines.
They claim the right to coJ?ct un
limited toll from you and to reap the
reward of your labor. ,
The purpose of the Farmers Co-op-
epartive Shipping association is not
to fight other corporations or other
business Industries. It is our pur
pose and aim to better conditions in
securing for the farmers and wealth
producers, the rights and opportuni
ties that naturally belong to them.
We have learned to our. sorrow that
selfish pools, trusts and combinations,
organized for profit, are. not. to be
trusted with handling our business,
and they reap where they havo not
sown and take -what does net belong
to them.
We are organized to attend to our -:
own business. ,To attend to our own
business, In this age of powerful com
binations, the farmer and grain grow- .
er, business man and wealth, producer,
must form a combination in their own
interest strong enough to successfully
conduct their own grain business,
Farmers, grain growers and the coun
try business men should take stock in
the Farmers Co-operative Shipping
association, and capitalize their com
pany with sufficient cash to finance
their own business and protect 4heir
own welfare.
Local farmers' organizations and lo
cal elevators will never solve the pro-
biem of marketing grain in the most
economical manner. Inclividual, ship
ping associations and independent '
farmers' elevators will never be able
to compete with the powerful combina
tions of capitalists now engaged In
the grain business. Nor will they be.,
able to withstand the onslaught of
misrepresentation, bribery and insin- 1
uations hurled against their leaders
by their combined competitors. As
stated before the stockholders of the
Farmers Co-operative Shipping asso
ciation act ' together . as one man.
The company places experienced
men to manage the local elevators
and has inaugurated a business sys-
tern by which the central manager
receives daily reports of business
transacted at each of the local eleva
tors operated by t,he association. The
association keeps the managers, at lo
cal elevators thoroughly posted on
the market. It has its traveling audi
tors to check up the local, stations
and has a uniform system of conduct
ing the business at all its stations.
Our company has ' neen liberally
supported, by farmers taking stock in
the association, yet the subscriptions
have not been sufficient to enable the
company to secure all the needed fa
cilities for handling gram to best ad
vantage. A terminal elevator Is need
ed, and needed badly. It is an utter
impossibility for local independent
elevators to secure and operate sue- ;
cessfully a terminal elevator; but un
der the plan of the Farmers Co-optra- .
live Shipping association, It will not
be long until we will operate our
own terminal elevator where we can
clean, clip, scour, polish and mix gram
when it is an advantage to do so, and
place It In the best commercial coudi
tion to secure the best possible price.
A terminal elevator owned and oper
ated in the Interests of larmers would
gain for them In a financial way about
as much profit In transacting tnelr
business na they now Ram at the local
end of the line We are fttrongly In
hope that the farmers will awaken
to the necessity of operating their
own terminal elevator and mbwnbe
liberally for stock to enable the com
pany to buy or build nuch an elevator
at Kansas City
If farmer would act wisely and In
a way that will fcccure the vrrj best
advantage and enabla tho compmy to
pay a nnuh for pr.aln && othrr lino
elevators can pay. they will to to
work and aiUt in combining the lo
cal nhlpplng a.to.-htlon and loral
rl v atom and merj: them into ona
company, tho Farmer Co-operatlv
Shipping association. One strong.