Gallatin MFA Exchange is oldest in Missouri

Times are much different today than they were nearly a century ago when seven farmers met in a tiny one-room schoolhouse in Brunswick, and formed a small, farmer-owned “farm club” where they pooled their orders for farm supplies.

This little organization grew until there was a need to create an order office two years later. At that time, the club was given the name Farmer’s Mercantile Company. Shares were sold for $5 and 1,200 shares were issued.

On Feb 9, 1918, capitalization was increased and the name was changed to Farmers Mercantile Company of Gallatin. One year later, the organization had grown and there was a need for larger quarters. The farmers purchased property at the corner of Grand and Market Streets on the Gallatin square from Mr. and Mrs. Frank Woodruff for $10,000.

At this time, the small family farm was very common and fairly independent as it had flocks of chickens, herds of hogs and dairy cows, and several work horses. Thus, the Exchange catered to their needs, purchasing their cream and eggs and selling feed and merchandise in return. Farmers brought their eggs into town in wooden, 30-dozen egg cases as well as buckets and cardboard boxes. Cream was delivered in cream cans of various sizes.

In the year 1920, the Exchange purchased $54,000 worth of eggs, $26,000 worth of cream, $24,000 worth of poultry, besides hides, furs, etc. The Exchange also sold $61,000 worth of merchandise. Three years later, patronage dividends were issued for the first time and the practice is still done today when there is enough profit made by the company.

When the 1930s arrived, the horse drawn equipment was slowly being replaced by the tractors arriving on the scene. The company acted as agents for John Deere and later International equipment.

As the years passed, farming operations changed. Small farms merged and specialized; the small diversified farm was on its way out. To cater to the new way of farming, the Exchange also changed to meet the new demands of the modern farmers.

In 1939, after pulling through the Depression, the company was changed to MFA Cooperative. By 1948, the exchange was still going but became part of the MFA Central and it was no longer directed by a local board.

The year 1954 was a big year for MFA as both a bulk fertilizer plant and a $30,000 grain elevator were built. The grain elevator was constructed in August 1954. MFA Cooperative paid one-half the cost and the other half was financed by farmers and businesses buying stocks in the cooperative. The elevator consisted of four steel bins with a capacity for 30,000 bushels complete with scales and a high-speed auger able to handle 3,000 bushels per hour. There was room for seven boxcars on the Wabash siding and the elevator located north of the depot. With the new set-up, the trucks could be emptied almost as fast as they could be weighed in.

Nearing the end of 1954 plans were made for the construction of a bulk fertilizer plant to be financed by the same terms as the elevator. The new $70,000 plant allowed plant food to be spread on the farmers’ field at approximately the same cost as it would to buy it in bags. A six-ton truck could be loaded in about 30 minutes. For the most part the fertilizer was granular and trucks would spread it within a 30 mile radius of the plant.

In addition to the bulk fertilizer, an anhydrous ammonia storage tank weighing approximately 40 ton and made of one-inch steel plate was installed, which had a capacity of 30,000 gallons. This was much better than the previous year when the anhydrous ammonia was only available from special leased cars.

To better facilitate the operation and to serve farmers better a new exchange building was built along the Wabash near the elevator and fertilizer plant. When the scales were moved to the new location, the concrete slab top was so heavy it had to be broken in to three pieces and removed with a crane.

By 1964, there were two elevators on the Wabash, namely the MFA Elevator and the Farmer’s Grain and Fertilizer. Jointly, the two elevators could hold over 200,000 bushels. At harvest time of that year, it was estimated soybeans would yield 20 bushel to the acre and would bring approximately $2.50 per bushel.

By 1964, the old Exchange’s doors were locked and the building used for storage. One year later, the building became the home of the Whetstone Furniture Store.

In 1967, the Gallatin MFA Cooperative became a member of the state exchanges and its name changed to the MFA Exchange. The exchange continued to expand its operation and by 1973 it purchased both the fertilizer plant and the grain elevator from Clark Froman as well as purchasing the Lock Springs Exchange. Two years later a new office and merchandise center was built near the railroad and elevators.