Granger Movement

The railroad transformed life in the United States during the gilded age. With that transformation grew the power of those rail companies, which often turned toward exploitation. Customers, competitors, and workers all suffered from the action of rail companies whose power had allowed them undue influence over politicians of both parties. Who was going to stand up to the abuses?

Fig.1 - Farm Circa 1867

Granger Movement Definition

The Granger Movement was composed of farmers who had grievances against the railroads. Farmers had become reliant on the railroad to transport their crops for sale, as farmers in the Midwest were selling most of their produce to faraway buyers. When the farmers united in this new organization, their shared conflict with rail companies quickly became the central issue.

Granger Movement Founding

Oliver Hudson Kelley founded the movement in 1867 with the Patrons of Husbandry organization. Initially, he aimed to create an education-focused organization to discuss farming methods and improve efficiency. Once the farmers joined together and discussed the issues they were facing, the real growth and popularity of the organization stemmed from its ability to organize farmers as a larger union. Although Kelley had intended the organization to grow nationwide, it found favor mainly in the Midwest. The term "Granger" comes from "Grange," the word used for a local chapter of the organization.

Fig.2 - Oliver Hudson Kelley

Oliver Hudson Kelley

In 1866, Just a year before starting the movement, Kelley had been surprised by the state of agricultural practices while on a tour of the South. Kelley had been an employee of the Department of Agriculture on a fact-finding mission for the department during Reconstruction. In addition to his concern for the farmers, he believed the organization would bring the Northerners and Southerners back together to help heal the wounds of the Civil War. He served as secretary of the organization until 1878.

Spread of the Grangers

The organization grew first in Minnesota, where Kelley lived, before expanding to nine states by 1870. By 1875 there were over 850,000 Grangers. While the Midwest hosted the great concentration of Granger popularity, most states did have at least one Grange.

Fig.3 - Grain Elevator

Granger Movement Goals

The primary goal of the Granger movement shifted from education to standing up to the rail companies. Railroads and grain elevators charged excessive prices for the transportation of farm goods. Farmers couldn't grow their crops without bringing in agricultural products; without distant markets, they had nowhere to sell. The monopolies enjoyed by railroad companies and the grain elevators, often owned by rail companies, offered them no alternative to predatory rates.

Farmer's Fourth of July

The Grangers collected all their grievances with the railroads into a document called Farmer's Declaration of Independence. The paper quoted Lincoln and appealed to God to support the farmer's demands. It called for the farmers to unite and stand against the monopolies that threatened their livelihoods. The day it was published, July 4, 1873, became known as the Farmer's Fourth of July.

Granger Political Party

The Grangers found unsympathetic ears from Republicans and Democrats, who had been bought by the railroads. The Grangers launched their political organizations without a party to advocate for them. A man named Ignatius Donnelly and his newspaper Anti-Monopolist were central in these efforts. Support coalesced around third parties, such as the Greenback Party, which supported farming issues. Many state legislatures were soon full of Granger-supported candidates.

Fig.4 - Train Crossing

Granger Movement Impact

The impact of the Grangers began to be felt politically in 1871. Illinois, followed by Minnesota, Wisconsin, and Iowa, passed laws that limited the rates which could be charged for the transportation and storage of grain, known as Granger Laws. Rail companies attempted to fight the regulations, challenging their constitutionality to the US Supreme Court in what was called Granger Cases. The Supreme Court case of Munn vs. Illinois vindicated the Grangers. The court decided that states could regulate businesses of a public nature.

Unintended Effects of Granger Laws

For another Decade, the Granger Laws enforced fair rates for farmers. The Potter Law in Wisconsin was among the most stringent on rail companies and fixed the rate so low that rail service became unprofitable in the state. The state economy was severely impacted as rail construction in the state halted, and dividends were not paid out. In 1876, the law was repealed.

Granger Movement Significance

By the 1880s, the popularity of the movement began to wane significantly. The significance of their actions would continue to develop, though, as the Supreme Court striking down an Illinois Granger Law in 1886 led to the Interstate Commerce Act of 1887. With the act, railroads became the first industry regulated by the federal government. Ironically, by challenging Granger Laws, monopolies had begun the process leading to their federal regulation and eventual breakup. The organization is not as large as its peak in the 1870s but does continue to voice farm issues to this day.