In recent years, concern has arisen about the structure of the international grain trade and its ability to operate in the interest of exporting or importing countries (McCalla and Schmitz). Producers and consumers question whether international market intermediaries' interests or strategies operate in a manner consistent with producers' and consumers' interests. Efforts to address these issues have emphasized policies where government becomes more directly involved in trade. Examples include state trading, marketing boards, and bilateral trade agreements. While recognizing such alternatives, this paper addresses the potential for producers and consumers to become more directly involved in the international grain trade through cooperative organizations and thus to improve the performance of the international grain marketing system. To accomplish this, it is necessary to review the structure of international grain marketing.