One of the best and most largely attended meetings of the Rockingham county branch of the Tobacco Growers’ Cooperative Marketing Association was held at Wentworth Saturday. Anyone having doubts as to the growth and stability of the organization in this county was thoroughly convinced as to its solidity by a glance at the great crowd of loyal members present. Every available seat in the courthouse was occupied, and many were standing in the aisles.
The meeting was presided over by President C.H. Dalton. A roll call showed that the county locals were well represented. An invitation had been extended to bankers of the county to attend this meeting for the purpose of formulating plans to finance the growing tobacco crop this year. A representative from each local was named to hold a conference with the bankers in the grand jury room. While this conference was in progress the meeting in the court room was addressed by several representatives of different fertilizer companies. Some instructive information as to the proper use of fertilizer was given (at) the meeting.
The conference with the bankers in the grand jury room was presided over by Squire W.S. McKinney. Vice-President Scott Fillman of the First National Bank of Reidsville outlined a plan which he thought would solve the problems of financing the present crop. He pointed out that the local banks were willing and eager to assist the farmers to the extent of their abilities and believed that the resources of the county banks were ample to supply the prospective needs of the farmers in this county, but that certain banking rules would have to be complied with in order to secure the needed funds. He called attention to the fact that the banks were freely discounting farmers’ notes and made no discrimination against them over any other class of business. That the banks could not indiscriminately loan money to individuals in any line of business who were not entitled to banking credit, even on chattel mortgages. But the banks would gladly discount paper given by or endorsed by responsible farmers owning unencumbered farms. He suggested that each local of the Tobacco Growers’ Cooperative Marketing Association in this county work out plans whereby those members needing money to buy fertilizers or for other crop needs execute chattel mortgages to certain trustees to secure repayment of such advances; that responsible members sing a joint note and have it discounted at one of the county banks for the amounts needed; and these endorseers see to it that those receiving the money pay off the borrowings out of the proceeds from sale of their crops. He suggested that each local hold a special meeting and find out just how much each unit will need and report to a committee of the county bankers, who in turn will apportion the loans to the different banks of the county. This plan was later agreed to.
Short talks were made by President P.H. Gwynn Sr. of the Bolevard Bank and Trust Company of Leaksville; President J.F. Watlington of the Bank of Reidsville; President Vaughn of the Bank of Stoneville; President Patrick Simpson of the Bank of Summerfield; and President R.L. Watt of Citizens Bank of Reidsville. Mr. Gwynn explained the plan which he is advocating for a federal law enabling all commercial banks to handle farm crop and land paper for from 8 to 10 months on crop liens and from 1 to 5 years on land. He assured the farmers that his bank in the meantime would go its limits in discounting bankable notes for the farmers. Mr. Watlington explained how the Bank of Reidsville for 8 or 10 years past has been discounting notes for groups of farmers who used the money to buy fertilizers for cash, thus securing much lower prices than on crop time. Each farmer, he explained, would execute a chattel mortgage to secure his part of the note. A list of names would be attached to the joint note showing the amounts to be paid by each endorser. He had found this very desirable paper to handle and his bank had never had the slightest trouble with collections. All the bankers assured the tobacco growers hearty cooperation.
The consensus of opinion was that the financial institutions of the county were amply able to finance the farmers of the county, and that it is up to the farmers themselves to take the necessary steps to secure needed funds. In fact, many farmers have expressed the opinion that the tobacco farmers are not as much interested in securing credit as they are in getting profitable prices for their tobacco. Hence the great interest the tobacco growers are taking in the cooperative marketing movement. They know that if they can sell their tobacco at prices which will show a profit, the credit problems will cease to be problems at all.
Each of the bankers made brief talks later to the full meeting upstairs.
Chairman Dalton graciously called to the attention of the convention he loyalty of The Reidsville Review to the Cooperative Marketing Association and advised every member who is not getting the paper to subscribe for it. On motion, a rising vote of thanks was given The Review for its active and loyal support of the association.
At the afternoon session Director John W. King of Greensboro, who represents the district composed of Caswell, Rockingham, Guilford and Randolph counties in the Tri-State Association, briefly addressed the convention and gave an outline of the work of the association so far. He stated that all unsold tobacco had been processed and was in safe condition to keep until sold. Very satisfactory sales had been made, he said, and the entire crop would be disposed of at good prices in a reasonable time. He announced that over $2 million was ready for disbursement as a second payment on all tobacco pooled in the old belt since January 1st. Checks will be mailed out as soon as the final returns are sent in by the receiving plants, all of which close on March 30th.
The old officers were re-elected by acclamation for another year. These are C.H. Dalton, president; Clay M. Wilson, vice president; W.F. Burton, secretary and treasurer. The meeting was then adjourned.
From the front page of the Reidsville Review, Monday, March 26, 1923
No comments:
Post a Comment