As a part of the Stalinization of USA in the 1930s, fruit commissions were set up by law to force growers to pay into funds to "promote" their products. There are blueberry commissions, hops commissions, and apple commissions.
From the Washington State Apple Commission website:
Well, "created at the request of SOME in the industry" would be a more accurate description. The benefits of advertising inure to the leader. When Royal Crown Cola advertises, people get thirsty for Coke. When the Washington State Apple Commission promotes, the biggest gets the benefit.
The commission was collecting about $20 million per year in box fees and with some 40 employees, had about $500,000 for each employee to burn through. Partay!
Ag trade is an instrument of USA foreign policy, and is heavily subsidized and controlled to serve USA foreign policy. There are also regulations to keep the prices high.
In Wenatchee Washington there were two leading apple growers/exporters, Dovex and Stemilt.
Dovex rocked the programs offered by the government, and Stemilt went its own way. One manifestation was the Apple Commission required all Washington State Apples carry a Washington State apple tag. This hurt small growers and helped Dovex. Stemilt went its own way, marking its apples simply Stemilt, the tag looking like a ladybug.
That 2003 lawsuit was about paying that assessment, and when the commission sued its members for payment, the courts backed the forced-members, and now the 3.5 cent assessment is essentially voluntary, with the commission funding largely federal export promotion dollars. Everyone not benefitting got out, which was most growers.
After 2003, marketing and promotion mattered, not "rocking the programs." And by 2010, Stemilt acquired Dovex, because Stemilt knew how to operate in a free market, and Dovex, not so well.
Stay away form government programs, pursue independence.
Feel free to forward this to three friends.
From the Washington State Apple Commission website:
The Washington State Apple Advertising Commission was created by an act of the Washington State Legislature in 1937 at the request of the apple industry, making it one of the oldest and largest commodity commissions in the United States.
Under statutory authority, the Commission collects a mandatory assessment levied against all fresh apple shipments. ...
The assessment rate is established by a referendum of commercial apple growers in the state, and remains at the same level yearly until changed by growers. Since 1937, growers have increased the assessment 13 times from its original 1 cent per box to as high as 40 cents per 42-lb box. Then in 2003 a lawsuit restructured the Commission and at this time the assessment is 3.5 cents per box.
Well, "created at the request of SOME in the industry" would be a more accurate description. The benefits of advertising inure to the leader. When Royal Crown Cola advertises, people get thirsty for Coke. When the Washington State Apple Commission promotes, the biggest gets the benefit.
The commission was collecting about $20 million per year in box fees and with some 40 employees, had about $500,000 for each employee to burn through. Partay!
Ag trade is an instrument of USA foreign policy, and is heavily subsidized and controlled to serve USA foreign policy. There are also regulations to keep the prices high.
In Wenatchee Washington there were two leading apple growers/exporters, Dovex and Stemilt.
Dovex rocked the programs offered by the government, and Stemilt went its own way. One manifestation was the Apple Commission required all Washington State Apples carry a Washington State apple tag. This hurt small growers and helped Dovex. Stemilt went its own way, marking its apples simply Stemilt, the tag looking like a ladybug.
That 2003 lawsuit was about paying that assessment, and when the commission sued its members for payment, the courts backed the forced-members, and now the 3.5 cent assessment is essentially voluntary, with the commission funding largely federal export promotion dollars. Everyone not benefitting got out, which was most growers.
After 2003, marketing and promotion mattered, not "rocking the programs." And by 2010, Stemilt acquired Dovex, because Stemilt knew how to operate in a free market, and Dovex, not so well.
Stay away form government programs, pursue independence.
Feel free to forward this to three friends.
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