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DATE.

While the figures show that the bulk of the wheat shipped out up to date has been by the elevators, it also shows that the farmers are beginning to realize, and experience has demonstrated to them, that they can ship their own grain with greater profit and more satisfactory to themselves than by dealing with the elevators, and that it is only a question of time when the figures will be reversed, and the farmers will be the shippers instead of the elevators.

That we may have a better idea of the value of our wheat crop, we have prepared the following table, showing the price of wheat at Duluth and London upon corresponding dates, together with all costs for lake, canal and ocean freights, insurance and elevator charges:

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None in the market.

Approximated, no No. 1 hard upon the market.

Establishment of No. 1 hard grade, known in London as Duluth grade or No. 1 hard.

*Loss; a local spurt at Duluth.

Profits.

Taking the profits for the year 1891, with an abnormally large crop, estimated at 611,780,000 bushels, as against 357,112,000 bushels in 1885, the lowest wheat production in eleven years, we find the lowest profit of 12 cents per bushel to have been in April, 1891, before navigation was opened in the lakes; and the highest, 293 cents, in September, 1891, this at a period when our farmers were just commencing to rush in their crop to market, while the average profit for the year was a fraction less than 19 cents per bushel. Bear in mind that this average of 19 cents per bushel profit is only between Duluth and London, and that there is still auother profit to be added to this, and that additional profit comes in between the point where it is purchased from the actual producer and Duluth, as shown by the following table:

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In the above table we have taken Grand Forks as the initial point, which is favorable to the dealer, from the fact that Grand Forks is a good wheat market, owing to railroad facilities and milling competition, consequently it is reasonable to suppose that prices range higher here and profits would be less to the dealer than in the interior stations, where there are no such facilities or competition.

By adding the profits in table No. 2 to those in table No. 1, we have the result of the gross profit as shown in the following:

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Profits between Grand Forks and Duluth, as shown by table No. 2, do not show up very large, so far as figures go, for the reason that elevator companies are under contract with the railroad companies to pay for wheat within 4 cents of the market price, with the freights added. It will also be seen that we have allowed double elevator charges at Duluth, which would not come in upon through shipment, which would add another cent to the profit column in table No. 3. Then again the elevator purchasing from the farmer docks for dirt from three pounds to seven pounds per bushel, when one-half to one pound would cover the actual dirt; adding another profit of from 4 to 8 cents per bushel-an average of 6 cents; then the average farmer who sells to the elevators is lowered in the grade of his wheat to the amount of an additional 3 cents, and another 3 cents in false weights, so that there should be added to the profit columns in tables 2 and 3 an additional 12 cents per bushel, or a grand average between Grand Forks and London of 30 cents per bushel profit to the dealer.

If there were competition between the several elevator companies doing business in this State, these profits would undoubt

edly be reduced, and the farmers would receive the benefit. Take the stations along the line of the Great Northern railway, where there are from three to five elevators, owned by as many different firms, there is no competition whatever; in fact, as a rule there is but one man buying wheat at each station, the other elevators being practically closed, and when one elevator at the station is full, this buyer goes over and opens another elevator and commences buying and filling up that elevator, and so on. This state of affairs is the rule, and not an exception.

The question asked is: How is this state of affairs to be met? We answer, by legislative enactment, if such a thing is possible; if not, then the farmers-the grain growers-must organize and control their own products. True, the farmers have their alliance-a worthy organization-but the trouble with the alliance is that it allows itself to get switched off upon the sidetrack of impractiable ideas, that will take years to carry out, and loosing sight of the main issue of how they are to secure the best returns for their labor.

It is safe to say that of the 1891 crop the elevator companies will handle 30,000,000 bushels; a profit of 30 cents per bushel amounts to $9,000,000.00 loss to the grain grower.

An investment in a stock company of only 1 cent per bushel by the grain growers who have sold this 30,000,000 bushels of wheat to the elevator companies, would have created a fund of $300,000.00. This fund would have erected an elevator at West Superior, with a capacity of 1,000,000 bushels, at a cost of $180,000.00, and with the balance, or $120,000.00, would have employed first-class men to look after the business-one at West Superior, one at London or Liverpool, England, and the other at Edinburgh, Scotland, besides paying all expense of operating the elevator, inspection, etc., and have still remaining in the treasury a handsome sum, and the growers would have saved to themselves the balance of the nine million dollars, or $8,700,000.00.

This is the most practical solution of this problem. It is not a new undertaking or idea. The Millers Association of this State are organized and do their business practically in this manner. The grain grower would receive his money upon his shipment as soon as it was billed, upon a draft drawn upon the foreign agent.

This entire subject has been outlined to Hon. E. D. C. Shortridge, president of the Farmers' Alliance of the State, who has fully investigated the same, and who is in accord with the views. of this Board. We will therefore not enter into further details. However, we will be pleased at any time to give the farmers all information and assistance at our disposal.

In the matter of grain grades and inspection, we are in favor of placing this matter in the hands of the general government, and under control of inspectors appointed by the general government, believing this system would give us a more uniform and better system of grading.

Further, the Board has at its disposal a valuable elevator site, upon deep water, at West Superior, which will be donated free of cost by the property owners of West Superior to the Farmers Elevator company.

Respectfully submitted by the Board,

Attest:

M. J. EDGERLEY,

Secretary.

GEO. H. WALSH,

Chairman.

ERTRACTS FROM THE MINUTES OF THE BOARD.

OFFICE COMMISSIONERS OF RAILROADS,

Board met for organization.

BISMARCK, N. D., Jan. 6, 1891.

Members present, George H. Walsh, George W. Harmon and Andrew Slotten.

On motion of George W. Harmon, which was seconded by Andrew Slotten, George H. Walsh was elected Chairman. Harvey Harris, the secretary of the old Board, was requested to continue in the capacity of secretary until his successor should be elected and qualified. Adjourned to meet at the call of the Chair

man.

HARVEY HARRIS,

Secretary.

OFFICE COMMISSIONERS OF RAILROADS,
BISMARCK, N. D., Jan. 8, 1891.

Board met at the call of the Chairman.
Called to order by Chairman Walsh.

Present, Commissioners Walsh, Harmon and Slotten.

The matter of a petition for a sidetrack or spur on the Great Northern Railway adjacent to the coal mines of J. L. Colton, of Ward county, N. D., was under consideration, and it was decided to visit the locality and make an investigation, and the secretary was instructed to notify Mr. Colton that the Board would be in Minot on the evening of January 13 for that purpose.

Also to notify the Great Northern Railway of such meeting and request that a representative of the road be present at said investigation.

The matter of the petition for a depot at Edinburg was under consideration, but no action was taken. Adjourned to meet at the call of the Chairman.

HARVEY HARRIS,

Secretary.

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