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In January 1940, area farmers elected ten of their peers to the original Board of Directors to
begin the organization. This new cooperative would prove to play a major role in the region's
agriculture, history, and identity. It would also impact in the national marketing of one of
our country's major and favorite produce items, the watermelon. The auction's origins and
continued success are a tribute to the power of cooperation. Hundreds of farm families from
Delaware and Maryland have survived on the land as a result of the Auction Market.
Laurel area farmers were shipping trainloads of watermelons at the turn of the century. For
example, on August 17, 1905, 45 carloads of melons, with 1,200 melons per car were loaded on a
train in Laurel. The watermelons weighed between twenty and forty pounds each. This particular
trainload generated $30,000 in cash sales for the many farmers who cooperated to put the load
together.
Delmarva producers, then as now, enjoy a competitive freight advantage over growers from more
distant regions. In 1926, 2,014 carloads of cantaloupes and 356 carloads of watermelons were
shipped by rail from Delmarva. Rail car transportation charges for cantaloupes shipped from
Delmarva to New York were $148.70 per car, versus $612.50 from California.
A wholesale produce market existed at the corner of Poplar and Clayton Street in
Laurel during the 1920s. It is unclear if this small shed facility was an auction, or simply a
buying station for shippers. However, the photo demonstrates it was active and busy.
That market was replaced during the 1930s by a private auction block, The Laurel Produce
Association, controlled by brokers operating in Laurel. Farmers were dissatisfied with the
trade practices followed at this auction and charged that the brokers controlled the auction to
their advantage. Outside buyers could make purchases only through a local broker who belonged
to the auction. Brokers charged fees of five cents per package to the buyer and two cents to
the farmer. These burdensome commissions made it less attractive for buyer and seller alike.
Moreover, the system of allowing purchases only through member brokers tended to force other
buyers to make purchases elsewhere, since they dislike to deal exclusively through the brokers.
The work was spread among farmers in the area about a meeting in January 1940 to discuss the
formation of a grower-owned auction market in Laurel. By the end of that first session, a plan
was set and ten men were elected to the original board of directors. Those founding members
were: Merrill G. King, Earl T. Cooper, Harley G. Hastings, William J. Hopkins, Norman O.
Dickerson, Fred M. Wright, Martin W. Johnson, Jr., Watson W. Moore, Grover C. German, and Roy C.
Dennis, Merrill King was elected President.
These ten directors then went out to solicit and collect $5 investments in the new cooperative
from interested farmers. Two hundred-thirteen people found the five dollars to become the
original stockholders. Who could guess that this act of cooperation and faith, generating seed
money of $1,065 would create something so lasting and important to generations of people and
families in the region? Who knew the Southern Delaware Truck Growers Association known as the
"Laurel Block" would become such an important market point of the fresh produce industry of the
Eastern United States. Those 213 investors confronted with the challenge of successfully
selling their crops, felt there had to be a better way.
In April, 1940, the Board hired Carmel Moore as Treasurer and General Manager. Still a legend
in Laurel, twenty-two years after his death in 1978, Moore was known not only for his honest and
keen management of the auction, but also as a fair man for both buyer and seller. Moore is
generally acknowledged as the man who made the venture work. He would manage the auction into
the 1970s.
That first year, 22,000 sales transactions generated sales of $231,887.74. From those
beginnings, the Laurel Auction Market now sells over $3 million of produce annually. Over
eighty percent of that is in watermelons.
The light, sandy soils, coupled with our warm, summer climate, make the agricultural region
around Laurel and the neighboring counties in Maryland an ideal spot for production of high
quality, nutritious produce, especially watermelons. Please connect and link with
DelmarvaProduce.com and the LaurelAuctionMarket.com websites for information
on tapping into this wonderful supply.
If you would like more information on the history of the market, you can obtain "Where Buyer and
Seller Meet - Sixty Years of the Laurel Auction Market," by Ed Kee, from the Laurel Historical
Society or the Southern Delaware Truck Growers Association Office at the Laurel Auction at
302/875-3147.
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