Show RAIN P roi roiF l F CONTRACT I ti- ti R D r Plan of Committee of Seventeen Pla Placed d Before Be Be- fore fore Imp Important ortan Gathering Gathering Gath Gath- ering to Break Speculation Speculation lation in the Product CHICAGO April 6 Complete Complete I p 1 ni necessary machinery necessary for the theof a e i t l j S w of their grain gram vas was t 0 bay ay in ill 1 a report of the committee of i seventeen n recommending recommending- establishment establish establish- I ment meat of a corporation to be to to be known as the J the United States Grain Growers Inc I at a national conference of grain growers growers growers grow grow- ers here today The plans plan call for optional pooling of grain for cooperative marketing pressure for for compulsory pooling hayIng hay hay- 1 ing lag been defeated in the the committee The committee had worked for six months months months' on its report and and called caned the conference today toddy as a ratification meeting The report declared declared curbing f c of speculation which it asserted almost almost almost al most staggers s human comprehension was one of the chief alms aims t 0 OUTLINES CONTRACTS Besides announcing plans for the corporation and its bylaws the report I Outlined contracts binding farmers who enroll in the plan Salient details of the contract feao feature feature fea fea- o ture ure of the plan arc arc these There are two contracts the first running from the farmer to the farmers farmers' farmers farmers' farmers farmers' farm farm- ers' ers cooperative elevator the second from the elevator to the central agency The farmer fanner signing the contract must sell sen his grain exclusively to these I agencies for five years renewable thereafter from year to year There are two types of contract a farmer may make He may adopt the I regular sales method now followed I II through which the farmer sells to the I 1 elevator and the elevator sells at the market These may be he direct sales or sales on consignment The second method Is pooling Farmers of a II community community com community com com- adopting thio thIr plan may pool or farmers of two or more communities may mal join in a pool of their grain BALANCE TO STAND o If either of the two optional methods Jn in Inthe the contract proves unlawful it is isso isso so stated that hat It wi will be automatically stricken from the contract and the balance balance balance bal bal- ance stands Other features features- of the plan require that all an members rs of the United States Grain Growers Inc must be bona fide growers growers of grain The membership fee is set at 10 with no assessments The corporation corporation corpora- corpora tion proposed is a II nonprofit non nonstock stock I company with no dividends and to be he operated on a cost basis Expenses after the membership fee Is paid are to be be met by de deductions from the sale of grain PLACES LIMIT If the farmers farmer's rs r's grain Is sold on a a. I commission basis solely th the maximum deduction permitted is 1 per percent cent of the i-the the value of the grain c corresponding to present commission charges on exchanges exchanges exchanges ex- ex changes it is stated by members of the the committee of seventeen en r n other grain involving storage and other marketing facilities the total deduction deduction deduction de- de det for capital Investment shall shan not exceed 1 per cent of the value of the tho grain For this deduction certificates cerU I not interest bearing are are to be be glyen given Funds so acquired are to be fused used to buy warehouses establish crop i-crop crop rop news gathering agencies in various various va ya- rious countries and other facilities needed Provision is also made for establishment t of subsidiary corporations In Including in- in eluding an export corporation a warehouse warehouse ware- ware j house trustees corporation a II corporation to j Continued on n page 12 I t t t GRAIN POOL I Continued from page 1 i purchase seats on exchanges and arid a a aal I II finance corporation MAKE IT COMPULSORY I I Demand for compulsory pooling of ot a percentage of ot farmers' farmers grain arose among a section of ot delegates I Opposition came chiefly from representatives representatives representatives of ot the Northwest Wheat Wheat- growers' growers association in Washington I Idaho Oregon and Montana and from the association of ot America with headquarters at Wichita VIchi ta la Kan Aaron of at San Francisco Francisco Fran Fran- cisco a delegate from the Northwest declared compulsory pooling of ot 2 per cent of ot a farmers farmers' grain the Irr Irreducible minimum A. A C. C Bailey Dalley of Kinsley Kan chairman chairman chairman chair chair- man of ot the state organization committee commit commit- tee for Kansas of at the association took the same position Efforts have been made for tor some time timeto timeto to get the three major cooperative grain marketing groups together This is the s second cond year of ot operation of ot the Northwest group while the Wichita organization has already signed up farmers for tor year i Mr Ir who Is a a. prominent figure figure figuro fig fig- ure uro in California cooperative commodity commodity commodity com com- marketing had another amendment amendment amend amend- amendment ment to offer providing that the tho national na- na marketing organization should not handle grain previously bought by individual grain elevators i |