Looseleaf Tobacco Cooperative Auctions in the United States

Excerpts from the report: This report examines organizational and operational features of cooperatives operating looseleaf tobacco auction warehouses. Information from 15 cooperatives located in Kentucky, North Carolina, Tennessee, and Virginia is included. Twelve of the associations are local cooperatives, operating one or more warehouses in a single local market. The three remaining associations, classified as central cooperatives, operate warehouses in two or local markets and have a headquarters to coordinate and control administrative and operating functions. Together, their total membership included over 50,000 tobacco growers. The report is divided into three main sections. The first section, Development of Cooperative Auction Warehouses, presents background material on the establishment of these associations, including the preliminary steps taken before their organizations, sources of assistance, and method of financing. Organizational features of existing looseleaf tobacco auction cooperatives are considered in the second section. Trends in membership, composition and functions of the boards of directors, characteristics and duties of managers, and number of employees, are among the items discussed. The concluding section of the report summarizes the associations' tobacco marketing activities. Attention is first given to the warehouse facilities and equipment operated by the associations. Next considered characteristics of the markets in which the cooperatives operate. This is followed by a discussion of cooperative marketing activities during a 10-year period 1952-53 to 1961-62.