I ear

HO eee
806...
907. ooo =
908...
a...
911...
912 oo.
NI.
914. ______.
MBean we
G18. annie 5
917...
918 _.._.
919...
020... _..
1921 _____.
922...
1923...
924 ____
1925 ____

Average

AGRICULTURAL RELIEF
New Orleans Exchange spot middling cotion
[Cents per pound]

8

Jan. | Feb. Mar. |

Apr.

May

June | July | Aug. | Sept. | Oct. | Nov. | Dec.

1. 90
0. 44
1.83
9.33
R22

vu. 67
10. 48
LOT
r

0.84
n 82
91

11.2%
10. 79
10.19
"0.03

L101
11.88
10.91
10. 58

10.99
12.81
11. 57
11.03
San

10. 95
12.88
10. 8C
12:

10. 4¢
0

ifn
Ab

11.28
10. 35
10. 83
R. 96
40

pd

11.87
10. 48
11.53
8.74
14.95
14. 84
9.17
12.80
12.98

7.18
11.88
18. 34
29.07
29 43
© gr

.
J.
~ nr
ul
4Z
AC
9 44
97

7

“1

rand average, 20 vears, 18.03 cents; Sept. 1 to Jan. 1, 17.55 cents.
Mr. BLEDSOE. Now, gentlemen, in the matter of a practical
application of this insurance, the trouble with the cooperative mar-
keting association is that it is only able to advance about 65 per cent
of the price of the commodity to the grower, and, besides that, he has
no insurance against the price declining over a marketing season.
As insurance and finance are interdependent, then, of course, a con-
tract on this type would give the Cooperative Marketing Association
a chance to obtain funds on the commodity, to advance the grower
about ninety odd per cent of the value of his product at the time
of delivery.

I have discussed this matter with some of our bankers in New
York handling our financial affairs, and they seem to think that a
margin of the amount of the storage charges, insurance, and interest
for a term of 12 months would be a satisfactory margin to take care
of those three items, and, at the same time, take care of any differ-
»nce in discounts or premiums or error in discounts or premiums.

With reference to this feature, we are only asking that you give
the board the authority to enter into these contracts, if they see fit,
and on terms and on insurance premium rates, as they may deter-
mine; in other words, it is only a question of authorizing them to do
this form of business, if they see fit; and it will redound to a great
advantage to the cooperative marketing associations; and 1 under-
stand that the consensus of opinion of you gentlemen is that you
are in accord with the principle of cooperative marketing.

I am interested in seeing you gentlemen set up here some form of
service which will protect this surplus, some form of surplus control.

I would like to call your attention to the financing features that
are always incorporated in these agricultural bills, whereby it seems
you gentlemen have come to the conclusion that you must take a
second mortgage—or, let the cooperatives go out and borrow money
in the ordinary channels, and then give a second mortgage, as it 1s