Months. Cents per Quart.
May, June, July and August 2
March, April, September and October 3
November, December, January and February 4
___
Yearly average 3

In 1854 or 1855 the Milk Dealers' Union was organized for the avowed purpose of determining future prices. This body proposed to (and did) meet on the tenth day of every month and "make a price" for the preceding month. Thus, the producer did not know how much he would receive for his milk until ten days after it had been shipped, distributed and consumed.

This was so palpably unjust and one-sided that producers were indignant and since then have formed many counter organizations and combinations for the purpose of taking the price-making power out of the hands of dealers. All these were failures.

The present system of fixing prices, in vogue since 1882, is more equitable. It is the producer's own fault that it is not the best that could be devised. The Consolidated Milk Exchange, an incorporated stock company, announces prices in advance of delivery. This is merely an offer to pay a specified price until otherwise announced. This constitutes a legal price, inasmuch as no one is under any obligation to deliver any milk, provided the offer is not satisfactory.

With one added feature it would be a perfect way of satisfactorily settling the matter of price, a problem that has for fifty years puzzled the brains of the wisest milk producers in Orange County. That this feature is lacking, milk producers alone are responsible.

When the milk exchange was incorporated and before organization was completed, producers were invited, urged and pleaded with, both by dealers and the more progressive, level-headed producers, to subscribe for half of the capital stock and thus be entitled to equal representation on the price committee. But this they refused. Had the offer been accepted producers would have a voice in deciding prices, a conceded right which for fifty years they have been striving to secure but voluntarily surrendered, when once within their grasp.

Of all the movements for gaining control of prices, the action of March, 1883, was the most notable. Very few members of the numerous associations organized for this purpose were willing to admit that supply and demand had, or should have, any influence in determining the market price of milk. Nevertheless, the keystone of every effort to advance prices was by curtailing the supply. This was to be accomplished by persuading producers to withdraw part or all of their shipments until dealers were brought to terms.

But it was difficult to find anybody willing to keep his milk home and thereby realize two cents a quart, while his neighbors continued to ship and were paid three cents. For this reason every scheme of this kind was doomed to failure.

Early in March, 1883, the managers of the Milk Producers' Association of Orange County, reinforced by their brethren of Sussex County, N. J., notified the dealers that the market price of milk for that month would be three and one-half cents a quart. This brought about a conference of the opposing forces. Dealers offered three cents for the first and three and one-half cents for the last half of the month. Neither party would recede from its position and both resolved to fight it out on these lines.

Producers proposed to withhold all shipments, commencing about the 15th, until dealers were starved into submission. Experience had shown that something more powerful than moral suasion would be required to induce producers to discontinue shipping.