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Show OPEN LETTER. The following letter to the Committee of the Grain Growers' Convention is copied, by request, from the California Patron: In compliance with a resolution of your convention, inviting me to confer with the committee, I beg to offer the following suggestions: The object, as I understand it, is to devise a plan of co-operation that will enable the farmers to realize greater profits by marketing their own crops. To accomplish this, it will be necessary for the grain growers to place their wheat at the absolute disposal of a co-operative business association, to be managed by experienced business men. This is the plan pursued by capitalists when they invest their money in banks, railroads or other corporations, and the advantages of large combinations of capital are now universally admitted; and that equal benefits may be secured to the producers by similar co-operative associations, is proved by the wonderful success of the Rochdale? spinners of England, who now send their fabrics abroad in their own ships, and to be sold by their own agents, who purchase the return cargoes of raw material for their looms. The farmers of California, by means of co-operation, may save at least 90 per cent of the cost of insurance, reduces the rate of interest and commission one half, and secure freights at reasonable rates, even if they are compelled to build their own ships, and they can find plenty of experienced ship masters who will gladly join them in this enterprise. In addition to the Granges and their business association, the grain growers will require the aid of a commercial and insurance agency, and a change to their banking system, that will enable them to reduce the rate of interest; but it would hardly be advisable to publish the plan by which this can be done, until after its adoption by the convention. The best plan for a commercial agency will suggest itself to any competent business man. But the plan of insurance will require the co operation of the Granges, and had better be made public, that it may be discussed by them prior to the meeting of the convention. The plan is very simple. Let each member of the Grange hand in to the Secretary a schedule of the value of the property he wishes insured, and when the list is complete, let it be sent to the Secretary of the State Grange, and, if advisable, the plan may become national. When losses occur, let them be submitted to the central bureau, and apportioned pro rata, and drafts drawn upon each Grange to cover and pay the losses, and a fund might be assessed and kept in reserve for this purpose. The advantages of this plan are economy and simplicity. No agents are needed, and every person insured will be interested in guarding against fraud. This plan was submitted to Mr. Wm [William] Saunders, originator of the Granges, and by him approved. If the members of the committee will please communicate with the undersigned, a plan of the proposed banking system will be forwarded to each one. Respectfully, C.B. SMITH, San Francisco P.O. |