in a dollar except for the capital stock which is limited to $15,000.
Equally notable successes have been attained by the Hood River apple growers and the citrus fruit growers of California. The organization of these growers has not only resulted in better prices to the growers, but in a standard quality of goods and less fluctuation of prices in the retail markets. Since California growers learned to market their oranges and lemons through organization, there has been brought about a uniformity of distribution which “has resulted in a lower retail price to the consumer and gives a larger proportion of the retail price to the producer.” These very successful organizations have one definite purpose—to sell the fruit their members grow. They are organized on strictly business principles. Each member’s crop virtually belongs to the association, and is picked, graded, packed, and sold as the association directs. Details of cultivation and spraying which may affect the quality of the fruit are also looked after by the association, and the grower has no right to sell his fruit except through the association. In the case of the California Fruit Growers’ Exchange this right to the privilege of handling the crop is claimed in the first place by the Local Exchange against the grower, next by the District Exchange against the Local Exchange, and finally by the General Exchange against the District Exchange. It is an up-to-date business organization these men have; the grower belongs to a Local Exchange, the Locals form District Exchanges, and these, in turn, the General Exchange. Each is independent in matters that concern it only, but all must submit to the general voice in matters which may be of concern to all.
Fruit and truck crops seem to be especially adapted to coöperative marketing; or possibly the uncertainty of profit in their production and the big share of the final price absorbed by the middlemen have forced fruit and truck growers to coöperate to a greater extent than farmers in most other lines. At any rate there are quite a few successful coöperative associations among these growers. In Texas such an association does a business of $1,500,000 annually. The Grand Junction Fruit Growers’ Association, of Colorado, is another notable
success. California nut growers market their product through a coöperative organization. Florida citrus growers claim to have raised the net price received by growers for oranges from $1.15 in 1909-10 to $1.96 for the season 1912-13. Western North Carolina fruit growers have organized, as have Georgia peach growers, and fruit raisers in many other sections. In an Alabama town a truckers’ association with 190 members has standardized its products until it obtains prices considerably above those secured by individuals, and from a small beginning has grown to be the most important business concern of its town.
These stories might be duplicated many times; and it is not too much to say that the fruit growers and truckers are rapidly coming to realize the benefits of coöperative organization. I do not believe it any wild prophecy to say that within a dozen years the trucker seeking a location will inquire into the marketing organization conducted by his fellow truckers just as he now inquires into the locality’s shipping facilities. And some time all the local coöperative organizations marketing perishable truck and fruit will unite to conduct a great central marketing exchange. Then the present-day scarcities of certain fruits and vegetables at one town, while in another these same products are decaying and going to waste, will be avoided.
Coming back from the things that may be to the things that are, it is worth while to note that in 1911 2,120 out of a total of 6,284 creameries in the United States were conducted on coöperative lines, and that of 3,846 cheese factories, 349 were coöperative. In Minnesota 608 out of 838 creameries were coöperative. In Wisconsin 347 creameries out of 1,000 and 244 cheese factories out of 1,784.
In these as in other lines of business coöperative associations are largely localized. A successful coöperative creamery in a locality helps to organize other creameries near it on a coöperative basis, and so on. Similarly, the successful coöperative rural stores of the country are largely grouped in Minnesota and Wisconsin, having spread from one or two unusually successful ventures in small towns. The coöperative grain elevators of the country are mostly located in Iowa, the Dakotas, Minnesota and Illinois, although Nebraska and Kansas have
over a hundred each. Where one farmers’ telephone line is organized another is likely to follow, and whole counties have been covered in this way.
In short, the coöperative spirit is like the little leaven which spreads and spreads until it leavens the whole lump.
It is not only that a successful coöperative enterprise leads to the establishment of similar enterprises in nearby communities. More notable and striking still is the fact that a successful coöperative enterprise in a rural community seems often to put new life into the whole community and to give the farmers entirely new conceptions of their own capacities and the possibilities of their vocation.