AGRICULTURAL RELIEF

275
Mr. Aswerr. If that is sound, why is it that only 6 per cent
belong?

Mr. KILGORE. You are speaking of cotton?

Mr. AsweLL. Yes.

Mr. KiLgore. The surplus cotton of 1925 and 1926 hurt the cotton
cooperatives; that was the story Mr. Kehoe told you of the Burley
Tobacco Association; that was the story Mr. Morgan told you of the
Dark Tébacco Association. It was the surplus.

Mr. CLargE. May I go just a step further with you now? You
say the cooperatives would be of assistance in the way of grading
and the rest of it. Now then, if a particular commodity goes into
this compulsory pooling proposition, does there not necessarily go
with it the standardizing and grading of the different trade practices
of things, so that the cooperative would not be performing an addi-
tional function, but the board set up there would necessarily be com-
pelled to take recognition of the trade practices, the standards and all
that goes with it. Therefore, if the board would not perform the
function of standardizing or protecting the producer or anything
else——

Mr. KiLGore. I do not understand the board would undertake
to perform any of those functions.

Mr. CLARKE. Is it not a necessary corollary of implied power that
goes along with the board that it must set up the standards that have
been all through the years established with trade practices in respect
of any commodity?

Mr. KiLcore. That would be set up?

Mr. CLARKE. Yes.

Mr. KiLcore. Those standards would be set up?

Mr. CrarkE. Necessarily. How are you going to protect a
commodity?

Mr. KiLcore. The cooperative would have its own experts to
perform the technical functions.

Mr. CuarkE. I do not think the commodity, I think the board
itself that is going to control the machinery 1s the one, because a
board necessarily set up independently and without the control of
the law itself would naturally not reflect the law and would have no
power at all.

Mr. Jones. The board at most would only grade surplus; it would
not grade the other part of it.

Mr. KiLcore. I do not understand that the board would have
employees that would perform any of these functions, but they would
expect the experts, the specialists in the cooperative associations, to
do those things for them, including the surplus and the handling of the
products of their own members.

Mr. Fort. Your idea, Doctor, is that the board would attempt
to handle only middling cotton and only do its price work through
the price handling of middling, and leave all of the rest of the grades
to fall where they may.

Mr. Kivgore. I think the board would recognize actual grades.

Mr. Fort. Or would it arrange prices according to grades?

Mir. KiLgore. The board would operate through the cooperatives
or stabilization corporations.

Mr Fort. And they would have to deal with each grade as a
grade’

Mr. Kircore. I think so.