NEW FURROWS
Fishes, beasts and fowls are to eat each other, for they have no justice; but
to men is given justice, which is for the best. Hesiod.
The situation was changing indeed
for the Grain Growers in Western Canada. In
spite of all opposition the farmers had made themselves
a factor in the grain trade and had demonstrated their
ability to conduct their affairs on sound business
principles. Co-operative marketing of grain
no longer was an untried idea, advocated by a small
group of enthusiasts. The manner in which the
farmers’ pioneer trading agency had weathered
the stormy conditions of its passage from the beginning
and the dignified stand of its directors these
gradually were earning status in the solid circles
of the business world.
Out in the country also things were
different. Those farmers who at first had been
most certain that the trading venture would crumble
away like so many other organized business efforts
of farmers in the past, now were ready to admit their
error to admit that a farmers’ business
organization, managed by farmers, could succeed in
such ample measure that its future as a going concern
was assured. Instead of hovering on the outskirts
of its activities, like small boys surrounding a giant
fire-cracker on Victoria Day waiting for
the loud bang so freely predicted these
gentlemen were beginning to look upon it as a safe
investment.
The success of the Grain Growers’
Grain Company was an argument for co-operation which
could not be overlooked and the co-operative spirit
spread rapidly among the farmers in many districts.
It will be remembered that the promoters
of the grain company had intended originally to operate
under a Dominion charter but were compelled by circumstances
to content themselves with provincial powers.
The farmers now were finding themselves too restricted
and application was made for a new charter which would
facilitate the transaction of business in other provinces
than Manitoba. Special powers were asked for
and by special Act of Parliament the charter was granted
in 1911 in the face of considerable opposition at Ottawa
from those whom the farmers regarded as representing
the Canadian Manufacturers’ Association and
the Retail Merchants’ Association.
For the trend of the organized farmers
was quite apparent. No secret had been made
of the views entertained by the Grain Growers regarding
co-operation. To familiarize every member of
the various organizations with the history of co-operative
achievements in other countries had been the object
of many articles in the Grain Growers’ Guide
and much speech-making from time to time. The
possibility of purchasing farm supplies co-operatively
in addition to co-operative marketing of grain was
being urged convincingly. And during the long
winter evenings when the farmer shoved another stick
into the stove it was natural for him to ask himself
questions while he stood in front of it and let the
paring from another Ontario apple dangle into the ash-pan.
“The fellow who made that stove
paid a profit to the Iron an’ Steel Trust who
supplied the raw iron ore,” considered he.
“Then he turned around an’ added a profit
of his own before he let the wholesaler have it.
Then the wholesaler chalked up more profit before
he shipped it along to Joe Green over in town an’
Joe just naturally had to soak me something before
I got her aboard for home. That’s profits
on the profits! It’s a hot proposition
an’ it’s my money that goes up the flue!”
When he added further profits which
he figured might be due to agreements between supposed
competitors in prices, the Grain Grower was quite
ready to believe that he had paid about twice as much
for that stove as the thing would cost him legitimately
if he dealt with the maker direct. Here was
the High Cost of Living that everybody was talking
about. The remedy? The same chance as the
Other Fellow for the farmer to use the resources of
Nature and, by co-operation, the reduction to a minimum
of production and distribution cost.
“I’ve done it with my
grain. Why can’t I do it with what I need
to buy?” That was what the Grain Grower was
asking himself. “Why must I feed and clothe
and buy the smokes for so many of these middlemen?”
So when the directors of the grain-trading
company came before him with the suggestion of buying
a timber limit in British Columbia in order to put
in their own saw-mills eventually to supply building
materials on the prairie, the Grain Grower slapped
his leg and said: “Good boy! An’
say, what about a coal mine, too?”
That was the beginning of great developments
for the organized farmers of Western Canada.
It was the beginning of new furrows the
opening up of new vistas of emancipation, as the farmer
saw it. And as the furrows lengthened and multiplied
they were destined to cause much heart-burning and
antagonism in new directions.
The timber limit which the Grain Growers’
Grain Company purchased was estimated to contain two
hundred and twenty-two million feet of lumber.
A Co-Operative Department was opened with the manufacture
and sale of more than 130 carloads of flour at a saving
to the farmer of fifty cents per cwt, even this small
beginning registering a drop in milling company prices.
Next they got in touch with the Ontario Fruit Growers’
Association and sold over 4,000 bbls. of apples to
Western farmers at the Eastern growers’ carload-lot
price, plus freight, plus a commission of ten cents
per barrel. More than one hundred carloads of
coal were handled in one month and the farmers then
got after the lumber manufacturers for lumber by the
carload at a saving of several dollars per thousand
feet.
Still experimenting, the Grain Growers’
Grain Company added to the list of commodities in
1912-13 fence posts, woven fence wire, barbed
wire and binder twine. Followed other staples cement,
plaster, sash and doors, hardware and other builders’
supplies; sheet metal roofing and siding, shingles,
curbing, culverts, portable granaries, etc.; oil,
salt and other miscellaneous supplies; finally, in
1914-15, farm machinery of all kinds, scales, cream
separators, sewing machines and even typewriters.
Of binder twine alone nearly seven million pounds
was handled during this season. Thus did co-operative
purchasing by the farmers pass from experiment to
a permanent place in their activities.
Expansion was taking place in other
directions also. In 1912 the Company leased
from the Canadian Pacific Railway a terminal elevator
at Fort William, capacity 2,500,000 bushels.
A small cleaning elevator was acquired at the same
place and, with an eye to possible developments at
the Pacific Coast, a controlling interest in a small
terminal elevator in British Columbia was purchased.
At Port Arthur, on a six-hundred-foot lake frontage,
a new elevator has just been built with a storage
capacity of 600,000 bushels.
So much for terminal facilities of
this farmers’ pioneer trading organization.
Now, what about the country elevators for government
control of which the farmers had campaigned so vigorously
in the three Prairie Provinces? As we have seen,
the problem had been handled in Saskatchewan along
very different lines to the method adopted in Manitoba.
In Manitoba the 374 elevators, owned by the Provincial
Government and operated by the Provincial Elevator
Commission, showed a loss. It was even hinted
in some quarters that the Manitoba Government had
no intention in the first place of operating at anything
but a loss. Whether or not there was any ground
for these irreverent suspicions, the fact remained
that the Government elevator system in Manitoba was
beginning to assume the bulk of a snow-white elephant.
The Government, not entering the field as buyers, had
tried to run the elevators as a storage proposition
solely. In 1910-11 the loss had exceeded $84,000
and the year following was not much better. At
last the Government said in effect to the Grain Growers:
“We’ve lost money on this
proposition. We tried it out to please you farmers,
but you’re still dissatisfied. Try to run
’em yourselves!”
“We’ll just do that,”
replied the farmers, although the Grain Growers’
Grain Company was not enthusiastic over the prospect
of converting the elevator failure into immediate
financial success.
It was too much to expect. At
many points the Government owned all the elevators
in sight. In some places there was too much elevator
accommodation for the district’s volume of business.
In certain cases the elevators which had been sold
to the Government were practically discards to begin
with. However, the need for improvement in the
service which the farmers were getting at country points
was so very great that finally, in 1912, the farmers
assumed control of the government system in Manitoba.
It was late in August when this came
about. With only three or four weeks in which
to prepare for the season’s crop, make repairs,
secure competent managers, travelling superintendents
and office staff the results of the first season scarcely
could offer a fair test. Even so, prices for
street grain went up at competing points. Line
elevator companies began asking the farmer for his
grain instead of merely permitting him to place it
in their elevators.
The farmers were quick to note this
and asked that the elevator service be continued by
their company. With better organization the following
season brought still greater improvement in service.
Prices rose. The special binning service from
their own elevators the farmers found genuine, not
just a last-minute privilege granted to secure their
grain. In spite of bad crop conditions in 1914-15,
the elevators continued to succeed under the farmers’
own management and, the year following, letters of
highest praise from farmers everywhere marked the
complete success of the undertaking. So excellent
was the service now being rendered by the Company
that independent Farmers’ Elevators in several
instances approached the Grain Growers and sought their
management.
The handling of co-operative supplies
at elevator points began in 1913-14. Flour houses
were erected where prices were out of proportion and
at other places the elevator agents began to arrange
for carload shipments and proper distribution of coal
among the farmers at a saving of from two to three
dollars per ton.
These co-operative lines at elevator
points soon were enlarged with much success.
In addition to the elevators leased from the Manitoba
Government the Grain Growers’ Grain Company bought
outright, erected or leased sixty elevators of its
own.
Those who were watching all this steadily
grew more restive. The Farmers’ Movement
in the West was fast becoming a subject of bitter
debate.
“When farmers advance to the
last furrow of plowed land on the farm they breast
the fence which skirts the Public Highway,” argued
many Men of Business. “They are climbing
over the fence!”
But the organized farmers were not
inclined to recognize fences in restriction of honest
competition. They believed they were on the Open
Range and held unswervingly on their way.