National Farmers Organization
Encyclopedia
The National Farmers Organization is a producerist
Producerism
Producerism, sometimes referred to as "producer radicalism," is a right-wing populist ideology which holds that the productive members of society are being exploited by parasitic elements at both the top and bottom of the social and economic structure....

 movement founded in the United States in 1955. Its greatest notoriety came in 1967 when it organized milk farmers to engage in a “holding action” to drive up the price of milk.
Don Berkhahn was instrumental in the early years.

Origins

The NFO had its roots in earlier populist
Populist Party (United States)
The People's Party, also known as the "Populists", was a short-lived political party in the United States established in 1891. It was most important in 1892-96, then rapidly faded away...

 agrarian
Agrarianism
Agrarianism has two common meanings. The first meaning refers to a social philosophy or political philosophy which values rural society as superior to urban society, the independent farmer as superior to the paid worker, and sees farming as a way of life that can shape the ideal social values...

 movements such as the Grange and the Farmers' Alliance
Farmers' Alliance
The Farmers Alliance was an organized agrarian economic movement amongst U.S. farmers that flourished in the 1880s. One of the goals of the organization was to end the adverse effects of the crop-lien system on farmers after the American Civil War...

. Their more immediate predecessor was the militant Farm Holiday
Farmer's Holiday Association
The Farmers' Holiday Association was a movement of Midwestern United States farmers who, during the Great Depression, endorsed the withholding of farm products from the market, in essence creating a farmers' strike. The Farmers' Holiday Association was organized in May 1932 by Milo Reno...

 movement that briefly flared in Iowa and Nebraska during the Great Depression.

Founding

The NFO was officially founded on 22 September 1955 in Bedford, Iowa
Bedford, Iowa
Bedford is a city in Taylor County, Iowa, United States. The population was 1,620 at the 2000 census. It is the county seat of Taylor County. Lake of Three Fires State Park is located a few miles northeast of Bedford.-History:...

. However, it began with conversations between farmer Wayne Jackson and feed sales man Jay Loghry in 1953. At a feed sales presentation for Moorman’s feed on 05 September, 1955 in the Adair County, Iowa schoolhouse, Loghry suggested to the seven farmers present that they form a new farm organization. Jackson organized the next meeting at Carl Iowa at which 35 farmers attended. However, much of the initial impetus for the NFO’s early growth came from positive comments made by former Iowa Governor Daniel Webster Turner
Daniel Webster Turner
Daniel Webster 'Dan' Turner , a lifelong Republican, was elected the 25th Governor of Iowa, and served only one term from 1931 to 1933.-Biography:...

 when he was asked about it by the press.

Turner also exerted a moderating influence on the organization. He had been Governor of Iowa during the Farmer's Holiday Association
Farmer's Holiday Association
The Farmers' Holiday Association was a movement of Midwestern United States farmers who, during the Great Depression, endorsed the withholding of farm products from the market, in essence creating a farmers' strike. The Farmers' Holiday Association was organized in May 1932 by Milo Reno...

 movement and had to call-out the state militia to suppress violence associated with that eruption. Governor Turner’s political career had foundered due to the Great Depression but he was still influential in 1955. He sought to direct the nascent NFO organization away from militancy. The NFO took on the character of a “producers union”.

The NFO headquarters was established in Corning, Iowa
Corning, Iowa
As of the census of 2000, there were 1,783 people, 803 households, and 452 families residing in the city. The population density was 1,132.3 people per square mile . There were 880 housing units at an average density of 558.9 per square mile...

. Governor Turner had wanted the organization to be headquartered in a small town instead of a big city like Kansas City, Omaha, or Chicago. He wanted the NFO to remain in touch with its rural roots. In return for Missourian’s supporting Corning as the headquarters’ site, Turner backed Oren Lee Staley from Missouri as the first President of the NFO. In 1989 the national headquarters was relocated to Ames, Iowa
Ames, Iowa
Ames is a city located in the central part of the U.S. state of Iowa in Story County, and approximately north of Des Moines. The U.S. Census Bureau designates that Ames, Iowa metropolitan statistical area as encompassing all of Story County, and which, when combined with the Boone, Iowa...

.

In its early days as a protest organization, the NFO’s membership reached as high as 149,000. Staley is credited with carrying the NFO thru the subsequent downturn and establishing a post-protest program for the NFO. Under Staley’s leadership the NFO pursued collective bargaining agreements in accordance with the Capper-Volsted Act of 1922.

The NFO’s program involved:
  • getting members to sign a membership agreement that named the NFO as their bargaining agent
  • negotiating procurement agent contracts with food processors who buy the produce of the members.

The Holding Action of 1967

The NFO engaged in producers strikes called “holding actions” to get food processors who ordinarily held monopsony
Monopsony
In economics, a monopsony is a market form in which only one buyer faces many sellers. It is an example of imperfect competition, similar to a monopoly, in which only one seller faces many buyers...

power over farmers to sign the agency contracts.

On March 16, 1967 the NFO started their most notable holding action. They withheld milk from the market for 15 days until they were enjoined from doing so by a temporary restraining order issued by US Federal Judge Stephenson of the US District Court for Southern Iowa. By the time the restraining order expired the government negotiated terms agreeable to the NFO.

Sources

  • Holding Action, by Charles Walters Jr., Published by Halcyon House - New York & Kansas City, 1968, Library of Congress catalog card number: 68-26115
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