The Nonpartisan Leader Newspaper, September 1, 1919, Page 3

In the interest -of a square deal for the fm:mers VOL. 9, NO. 9 ST. PAUL, MINNESOTA, SEPTEMBER 1, 1919 North Da‘kota Buys Its Fi llonpartisén feader Official Magazine of the National Nonpartisan League A magazine that dares to print the truth " WHOLE NUMBER 206 rst Flour Mlfi - Plant at Drake Is Purchased to Begin New State Enterprise—Orders for Flour Pour in From Many ‘States—Extension on Site Is Already Planned ——HE state of North Dakota has mill and elevator association will take over the plant of the Drake Milling company at Drake, N. D., August 20. By the time this article appears-in print, flour branded with the great seal of North Dakota will be turned out at the rate of 125 barrels a day. In defiance of all the obstructions cast in_the way by those who fear public ownership, North Dakota now has made a start in all its state-owned enter- prises. The Bank of North Dakota is already an established success, and is lending money to farm- ers on 30-year payments. The home building asso- ciation, designed to enable citizens to buy farms or city homes. from: their savings, is under way. And now: the great basic industry of milling has been - entered. 3 The mill at Drake is only a beginning. By the time the court action and the referendum election were out of the way, it was too late in the season to begin building.operations. Manager J. A. Mec- Govern, however, thought it would be well to purchase a small mill and operate it as the first unit of the state system. - Already the fame of the North Dakota people’s mill has spread over the entire United States. Or- - ders for enough flour to take the entire output for six months already have been sent in. These come from as far away as California, Washington and Ohio. While the Nonpartisan Leader correspondent was visiting the mill, A. W. Luehrs, secretary to Manager McGovern, received a message which read as follows: “Quote price carload best flour. “FARMERS’ CO-OPERATIVE ASSOCIATION, 7 “Sikeston, N. D.” Not all these orders can be filled, for the Drake mill can only produce 15 carloads a month. Most of this will be sold in the trading territory of -the town of Drake, for the mill is to be run on the same business principles as if privately owned. However, carloads will be shipped to the various parts of the state as sample consignments. : MILL TO BE OPERATED 24 HOURS A DAY The mill will be operated night and day. If it were 10 times its present size it could not keep up with the demand of people who want to buy honest flour and prefer trading with the state to bargaining with a profiteer. Plans_are already being made for the erection of a big new mill on the land adjoining. This will . have a capacity of 500 barrels a day. In conjunction will be a huge terminal elevator. This plant will be ready . for grinding next year’s crop. The original mill will then be used for grinding rye and feed. The wheat grown in. northwestern North Da- kota, eastern Montana and part of Canada will flow mnaturally to this state plant. Drake is situated ~almost- in the center of the state, with excellent railroad facili- ties. It is on the main line of the Minneapolis, ‘St. Paul & Sault Ste. . Marie railroad:. This line . bought ‘its first flour mill. The. runs from Chicago and the Twin Cities to the Pacific coast. It enters western Canada at Portal. Radiating from Drake are branch lines to Bismarck, to Sanish and to Fordville. The main line of the Great Northern railway, which runs only four miles from the town, will be conpected by a spur. The plant will have direct connections- at Thief River Falls, Minn., with Duluth -and the water route to Europe. : Much of the export trade of this mill is expected to be with the Orient, through the port of Seattle. The milling monopoly already perceives this, and is contemplating the erection of great private mills in Montana in an endeavor to compete. The story of the location of the first mill at Drake is an interesting one illustrative of how the towns- people are swinging about in favor of the public ownership plans of the organized farmers. When it was decided to purchase one or two small mills in order to get the state enterprises under headway, a number of sites were examined. Many factors had to be taken into consideration. In most places the owners of the mills asked prohibitive prices for their plants. Some towns did not have the proper railway outlets. Others were handicapped by the fact'that after the grain was milled the flour would have to be subjected to what is known as back haul—an increase in freight charges that the farmers are trying to eliminate. This is the system by which freight must be paid on grain to Minneapolis and then freight must be paid on the flour that is shipped back. The state plants will all be located at strategic points. Freight tariffs are such that it is cheaper to ship wheat eastward than wcst- ward. The closer one goes to the Atlantic sea- board, the less charges there are. So it prob- .ably will be necessary to erect the main mill- - ing center in the eastern part of the state. This will have an initial capacity of at least 2.000 barrels of flour a day. But the subsidiary - plants will be placed at the best locations in the four corners of North Dakota. It is for one " of these plants that Drake was selected. Drake is a small town of perhaps 800 people. The coming of the mill and elevator will almost imme- diately double its population. But the town is pre- pared with good schools, a fine location for work- ingmen’s homes, and a friendly spirit for the new state industry and those who will run it. To all its other advantages Drake added the one that its people believe in public ownership. When the state experts visited the mill, the leading citi- zens met them with the-offer to buy the entire bond issue for purchasing the mill. The owners of the mill, H. E. and F. Heimerdinger and H, Schwerd- feger, were men of large vision, and saw that their plant under state operation would be a much greater benefit to the town than if it continues to run as a private enterprise. Small millers are handicapped by inability to buy and store enough wheat to keep running night and day throughout the year as the big mills do. PEOPLE OF DRAKE BUY ALL BONDS They offered to sell for $20,000, apd to take $5,000 in state bonds. The people of the city then guar- anteed to run the bond purchase up to $32,000. Such an opportunity to gain a first class mill could not be passed up. The contract was made and the mill delivered to the people of North Dakota August 20.- The same force will remain, and the former owners will continue to manage it under state direction. The people of Drake, with one single exception, are backing this state enterprise. Not that it is a sudden change of heart such as many cities would undergo if they saw a chance to profit out of the farmer program. For Drake has always been on friendly terms with the farmers. When Governor Frazier or President A. C. Townley of the Non- partisan league came to speak, the shops all closed down for the day, and the mayor introduced them. The enmity toward the organized farmers that exists in some trading communities never showed itself here. ; When the workers in the big mill that is shortly to be erected arrive, they will find that they are not ostracized as they would be in some localities, but welcomed with open arms. The little town of Drake, in southwest McHenry county, is undoubtedly a city with a future. The people there will tell you that the credit belongs not to them, but to a League farmer and Equity leader, Peter Johnson. It was his enthusiastic tunity. Peter Johnson recognized the geo- graphical advantages of Drake, and carried them not only to the people but to the industrial commission. He west grows around Drake. It is more glutinous than the grain grown in the more moist regions of the state. This " means flour made from it will have bet- ter rising qualities. Blended with lower grades - of wheat to provide both strength and color, the state of North Dakota will produce a flour surpassed by none. The Drake wheat this year, when so much elsewhere is “shriveled and light, av- erages 57 to 58 pounds to the bushel. As a hard spring milling wheat it will be hard to equal. Plans for the state mill and terminal eleva: tor are now being drawn. The elevator will have a 1,000,000-bushel capacity. .+ will also be erected. work that made them see their oppor- knew that the best wheat in the North- - i e e e e A A big cold storage plant