The development of sound and strong cooperative associations is of fundamental importance to our agriculture.  It is encouraging to note, therefore, that a vigorous and healthy growth in the cooperative movement is continuing.  Cooperative associations reporting to the Department of Agriculture at the end of 1925 had on their membership rolls a total of 2,700,000 producers.  Their total business in 1925 amounted to approximately $2,400,000,000, compared with $635,800,000 in 1915.  Legislative action to assist cooperative associations and supplement their efforts was passed at the last session of Congress.  Important credit measures were also provided by Congress in 1923 which have been of inestimable value to the cooperative associations.  Although the Federal credit agencies have served agriculture well, I think it may be possible to broaden and strengthen the service of these institutions.

Attention is again directed to the surplus problem of agriculture by the present cotton situation.  Surpluses often affect prices of various farm commodities in a disastrous manner, and the problem urgently demands a solution.  Discussions both in and out of Congress during the past few years have given us a better understanding of the subject, and it is my hope that out of the various proposals made the basis will be found for a sound and effective solution upon which agreement can be reached.  In my opinion cooperative marketing associations will be important aids to the ultimate solution of the problem.  It may well be, however, that additional measures will be needed to supplement their efforts.  I believe all will agree that such measures should not conflict with the best interests of the cooperatives, but rather assist and strengthen them.  In working out this problem to any sound conclusion it is necessary to avoid putting the Government into the business of production or marketing or attempting to enact legislation for the purpose of price fixing.  The farmer does not favor any attempted remedies that partake of these elements.  He has a sincere and candid desire for assistance.  If matched by an equally sincere and candid consideration of the different remedies proposed a sound measure of relief ought to result.  It is unfortunate that no general agreement has been reached by the various agricultural interests upon any of the proposed remedies.  Out of the discussion of various proposals which can be had before the Committees of Agriculture some measure ought to be perfected which would be generally satisfactory.

Due to the emergency arising from a heavy tropical storm in southern Florida, I authorized the Secretary of Agriculture to use certain funds in anticipation of legislation to enable the farmers in that region to plant their crops.  The department will present a bill ratifying the loans which were made for this purpose.

Federal legislation has been adopted authorizing the cooperation of the Government with States and private owners in the protection of forest lands from fire.  This preventive measure is of such great importance that I have recommended for it an increased appropriation.