Antitrust Status of Farmer Cooperatives: - USDA Rural Development ...

200 51 Cong. Rec. 9568 (1914).
201 51 Cong. Rec. 9569 (1914). The limited application of the committee
language is highlighted by a later comment of Rep. Edward Browne (R-WI)
that "At least 75 per cent of the farmer organizations in the United States are
organized for profit and have capital stock." 51 C ong. Rec. 9571 (1914).
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one of their main objects for organization. I am not willing
to subject them to any such danger.
Again, suppose an agricultural or horticultural
organization in my county or anywhere else should, in
addition to their other purposes, wish to organize for the
purpose of erecting a warehouse and issue stock for that
purpose, a thing which they have done in some cases, in
order to have some place in which to store their products,
while they are holding them for more favorable conditions in
the market. Most of them are people of small means and not
able by voluntary contributions to build warehouses, and if
they should issue capital stock to build one, they at once,
under the provisions of this section as worded, would
become subject to the operations of the antitrust laws. Thus
you force them either to expose their products to the weather
or rent warehouses possibly at exorbitant rent. For one I am
not willing to do this, but want them to have the right by
issuing stock or otherwise to build and own their own
warehouses. If we are going to do anything for them, let us
do it ungrudgingly. 200
Faced with strong opposition from Rep. Webb, the Thomas
amendment was rejected, 105 to 69. 201
Rep. John Nelson (R-WI) then offered an amendment as a
compromise between the committee and the Thomas language. While
it was pending, he engaged in a spirited discussion with Rep. Webb
over the issue of a possible cooperative monopoly.
Mr. WEBB: Does the gentleman think that it would be
right to allow the cotton farmers in the South or the corn
raisers of the West to form corporations whereby they could
hold, corner, or monopolize the entire cotton or corn crop of